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                                                                    Exhibit 10.2

CONFIDENTIAL
                              EMPLOYMENT AGREEMENT

         This Agreement effective the 19th day of October 2001 (the "Effective
Date"), is by and between Intermagnetics General Corporation, a corporation
having a principal place of business at 450 Old Niskayuna Road, Latham, New York
12110 ("Intermagnetics", or the "Company") and Philip J. Pellegrino, an
individual residing at 58 Heron Drive, Marlboro, New Jersey 07746 ("Executive").

         WHEREAS, the Company and Executive entered into an Offer of Employment
Letter dated September 28, 2001 (the "Letter"); and

         WHEREAS, the parties now wish to enter into a formal agreement that
supersedes the Letter;

         NOW, THEREFORE, in consideration of the matters recited, the mutual
covenants and agreements contained herein, and other good and valuable
consideration, the receipt and adequacy of which are hereby acknowledged by the
parties, the Company and the Executive agree as follows:

1.       Employment. Intermagnetics shall employ Executive as Sector President -
         Energy Technology and President of IGC-SuperPower, LLC ("SuperPower").
         Executive shall commence his employment on October 19, 2001 and report
         directly to Intermagnetics' President and Chief Executive Officer.
         Executive shall perform the duties generally associated with the job
         description set forth on Schedule "A" of this Agreement.
         Notwithstanding the foregoing, Intermagnetics, through its Chief
         Executive Officer, retains the discretion to vary the title and duties
         of Executive from time to time; provided that Executives' title and
         duties shall not be less than at a senior executive level during the
         term of this Agreement, and provided further that any change shall not
         constitute a "diminution of authority" as defined in Section 2(g)(ii)
         of Intermagnetics' Enhanced Benefit Plan attached as Schedule "B" to
         this Agreement.

2.       Compensation.

         A.       Base Salary. Executive's annual salary will be $200,000, with
                  the opportunity for increase on an annual basis.
                  Intermagnetics currently reviews salaries for senior
                  executives in July of each calendar year, but reserves the
                  right to modify this review date.

         B.       Management Incentive Bonus Program. Executive will participate
                  in Intermagnetics' Management Incentive Bonus Program (the
                  "Program") with a target bonus equal to 35% of Executive's
                  Base Salary beginning in Intermagnetics' fiscal year 2002
                  (prorated for FY '02). Executive's qualitative goals under the
                  Program will be determined within the first three months of
                  his employment. Executive's target bonus after fiscal year
                  2002 will be reviewed annually based on the terms of the then
                  current Program.
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CONFIDENTIAL

         C.       Restricted Stock Grant. Executive will receive a restricted
                  stock grant of 1,000 shares of Intermagnetics' Common Stock
                  under the terms of the Company's 2000 Stock Option and Stock
                  Award Plan. The grant shall vest in two equal installments:
                  500 shares on October 18, 2003 and 500 shares on October 18,
                  2004, subject to the terms of the Plan.

         D.       Stock Options. Executive will receive a non-qualified stock
                  option grant of 25,000 shares of Intermagnetics' Common Stock
                  under the terms of the Company's 2000 Stock Option and Stock
                  Award Plan. The exercise price will be the market closing
                  price on October 19, 2001. This option will be exercisable in
                  installments of 20% of the total at completion of each year,
                  over 5 years following the grant. Executive will have a total
                  of ten years to exercise all options.

         E.       SuperPower Equity. Executive will be eligible to receive 5% of
                  the equity in SuperPower. The Company will develop a plan for
                  providing this equity ("Equity Plan") not later than April 12,
                  2002, with a vesting period not to extend past five (5) years.
                  The vesting schedule will be consistent for all of the
                  Company's executives eligible to participate in the plan.

3.       Benefits.

         A.       Enhanced Benefit Plan. Executive will be a participant in
                  Intermagnetics' Enhanced Benefit Plan. The current fixed
                  annual contribution to the Company's Deferred Compensation
                  Plan on behalf of each participant is $8,000. Except as
                  expressly modified by this Agreement, the terms (including the
                  definitions) of the Plan shall apply to Executive, including
                  the dispute resolution and non-compete/non-solicitation
                  provisions of that Plan.

         B.       Relocation Expenses. If Executive purchases a home in the
                  Capital District within 24 months of the Effective Date of
                  this Agreement, he will be eligible for full reimbursement
                  (plus tax gross up) of incurred moving expenses and customary
                  real estate costs related to the purchase of a new home and
                  the sale (if any) of an existing home. In addition to one-time
                  closing costs, Intermagnetics will reimburse for the cost of
                  up to two (2) points or the equivalent amount paid to reduce
                  Executive's mortgage interest rate to the rate he pays on the
                  mortgage for his existing home.

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CONFIDENTIAL

         C.       Monthly Living Expenses. The Company will provide Executive
                  with $2,000 per month for living expenses during the initial
                  three (3) year term of this Agreement, provided that such
                  payments shall cease if Executive exercises his rights as
                  provided in 4(B) above.

         D.       Medical, Dental, 401(k), etc. Executive shall be entitled to
                  receive group medical insurance and other employee benefits,
                  including, but not limited to, life insurance, disability
                  insurance and 401(k) participation, subject to the same terms
                  afforded other senior executive employees of Intermagnetics.
                  Executive acknowledges that these employee benefit plans may
                  be amended, enlarged, diminished or eliminated on a
                  non-discriminatory basis by Intermagnetics from time to time
                  at its discretion.

         E.       Reimbursement for Legal/Financial Review. Intermagnetics will
                  reimburse Executive, upon presentation of an invoice, up to
                  $5,000 for professional financial advice in connection with
                  the Equity Plan or legal review of the Letter and this
                  Agreement.

         F.       Paid Personal Leave. In addition to Intermagnetics' standard
                  ten paid holidays, Executive will be entitled to four (4)
                  weeks of paid personal leave per calendar year, which will be
                  pro-rated for calendar year 2001 based on the Effective Date
                  of this Agreement.

4.       Executive Stock Purchase Plan. Executive will be expected to meet the
         guidelines for stock ownership set forth in the Company's Executive
         Stock Purchase Plan (i.e., not less than one times base salary) within
         his first six months of employment. A copy of the Executive Stock
         Purchase Plan has been provided to Executive and a stock acquisition
         loan will be made available to Executive pursuant to the terms of that
         Plan.

5.       Term. The initial term of this Agreement shall be three (3) years
         beginning on October 19, 2001 and ending on October 18, 2004. Unless
         either party provides written notice of termination to the other six
         months prior to the end of the initial term, this Agreement shall
         extend for an additional two year term and shall be extended
         automatically for additional one year terms thereafter, unless either
         party provides twelve months written notice to the other of its intent
         to terminate at the end of the then applicable term.

6.       Termination.

         A.       For Cause. Intermagnetics may terminate this Agreement for
                  "Cause" as defined in the Enhanced Benefit Plan.

         B.       Disability. Intermagnetics may terminate Executive's
                  employment if Executive is unable, as a result of physical or
                  mental disability, to perform his duties as provided in this
                  Agreement for a period in excess of twenty (20) weeks,
                  consecutively or non-consecutively, in any twelve (12) month
                  period. Termination under this provision shall be executed by
                  written notice from Intermagnetics to Executive and shall be
                  effective thirty (30) days following the written notice. For
                  purposes of determining whether Executive has a "physical or
                  mental disability" under this paragraph 7(B) he shall be
                  evaluated by a physician retained by Intermagnetics at
                  Intermagnetics' expense. Such physician must be Board
                  Certified in the specialty for which Executive is being
                  evaluated. Executive shall make all relevant medical records
                  available to the physician retained by Intermagnetics and
                  shall otherwise cooperate in such evaluation.

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CONFIDENTIAL


         C.       Death. This Agreement shall terminate in the event of
                  Executive's death, effective on the date of his death.

         D.       By Executive. Executive may terminate this Agreement at any
                  time upon thirty days prior written notice, or sooner, as
                  mutually agreed to by the parties to this Agreement.

         E.       Severance Benefits. Except as specifically modified
                  hereinbelow as to the number of months of Base Salary to be
                  included in Severance Payments, and the provisions for
                  accelerated vesting, all other provisions included in
                  paragraph 5. of the Enhanced Benefit Plan will be applicable
                  to Executive. In the event of an Extraordinary Termination, as
                  defined in the Enhanced Benefit Plan, other than in connection
                  with a "Control Transaction" (as that term is defined in the
                  Enhanced Benefit Plan), Intermagnetics will provide Executive
                  with twelve (12) months of his then current Base Salary in a
                  Severance Payment, and will cover the expense associated with
                  paying for benefits under COBRA during the salary continuation
                  period. In addition, the stock rights provided under
                  paragraphs 2(C) and 2(D) above would become fully vested and
                  exercisable. In the event of an Extraordinary Termination in
                  connection with a "Control Transaction" (as that term is
                  defined in the Enhanced Benefit Plan) involving SuperPower,
                  Executive will receive a Severance Payment equal to two years
                  of his then current Base Salary, plus two times his previous
                  year's incentive bonus. Stock rights will be the same as
                  provided hereinabove, but, in addition, will provide that
                  Executive's equity in SuperPower would become fully vested.

         7.       Confidentiality. The terms of the confidentiality and
                  proprietary information agreement executed by Executive shall
                  remain in full force and effect and shall not be altered or
                  amended by this Agreement.

         8.       Miscellaneous.

         A.       Governing Law. This Agreement is made under, and shall be
                  interpreted, construed, and enforced in accordance with the
                  laws of the State of New York, without regard to the conflicts
                  of law provisions thereof.

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         B.       Disputes. All disputes arising out of this Agreement or
                  Executive's employment shall be subject to the dispute
                  resolution provisions of the Enhanced Benefit Plan.

         C.       Severability. If any provision or provisions of this
                  Agreement, or any schedule hereto, are held to be invalid or
                  unenforceable, such invalidity or unenforceability shall not
                  affect or impair the validity or enforceability of the
                  remaining provisions of this Agreement, which shall remain in
                  full force and effect.

D.       Successors and Assigns. This Agreement shall benefit and bind the
         parties and the successors and assigns of Intermagnetics.

E.       Entire Agreement. This Agreement contains the entire agreement of the
         parties relating to its subject matter, and supersedes all prior
         agreements, negotiations and representations not specifically set forth
         in this Agreement or the schedules hereto.


         IN WITNESS HEREOF, the parties have caused this Employment Agreement to
be executed as of the date first written above

INTERMAGNETICS GENERAL CORPORATION

By: /s/ Glenn H. Epstein             /s/ Philip J. Pellegrino
    --------------------             ------------------------
         Glenn H. Epstein                     Philip J. Pellegrino
         President and                        Sector President-Energy Technology
         Chief Executive Officer              President-IGC SuperPower, LLC

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