Document:

EX-10.2

EXHIBIT 10.2

EMPLOYMENT AGREEMENT

THIS AGREEMENT, effective as of January 12, 2006 (the “Effective Date”), is made by and
between Symbol Technologies, Inc., a Delaware corporation (the “Company”), and Salvatore Iannuzzi
(the “Executive”).

RECITALS:

A. It is the desire of the Company to assure itself of the services of the Executive by
continuing the employment of the Executive as its President and Chief Executive Officer; and

B. The Executive desires to commit himself to serve the Company on the terms herein provided.

NOW, THEREFORE, in consideration of the foregoing and of the respective covenants and
agreements set forth below, the parties hereto agree as follows:

1. Certain Definitions.

(a) “Affiliate” shall mean, with respect to any Person, any other Person directly or
indirectly, through one or more intermediaries, controlling, controlled by, or under common control
with, such Person. For purposes of this Section 1(a), “control” shall have the meaning given such
term under Rule 405 of the Securities Act of 1933, as amended.

(b) “Annual Base Salary” shall have the meaning set forth in Section 5(a).

(c) “Board” shall mean the Board of Directors of the Company.

(d) “Bonus” shall have the meaning set forth in Section 5(b).

(e) The Company shall have “Cause” to terminate the Executive’s employment upon (i) the
Executive’s failure to attempt in good faith to substantially perform his duties as President and
Chief Executive Officer (other than any such failure resulting from the Executive’s physical or
mental incapacity) which is not remedied within 30 days after receipt of written notice from the
Company specifying such failure; (ii) the Executive’s failure to attempt in good faith to carry
out, or comply with, in any material respect any lawful and reasonable written directive of the
Board or the Executive’s willful material violation of the Company’s Statement of Corporate Policy
and Code of Conduct, in either case which is not remedied within 30 days after receipt of written
notice from the Company specifying such failure or violation; (iii) the Executive’s unlawful use
(including being under the influence) or possession of illegal drugs on the Company’s premises or
while performing the Executive’s duties and responsibilities; (iv) the Executive’s intentional
commission at any time of any act of fraud, embezzlement, misappropriation, moral turpitude or
breach of fiduciary duty against the Company that has a material adverse effect on the Company or
that renders the Executive unable to perform any of his material duties hereunder; or (v) the
Executive’s commission of a felony, other than as a result of vicarious liability or as a result of
a traffic violation.

(f) “Change in Control” shall occur when:

(i) A Person (which term, when used in this Section 1(f), shall not include the
Company, any underwriter temporarily holding securities pursuant to an offering of such
securities, any trustee or other fiduciary holding securities under an employee benefit plan
of the Company, or any Company owned, directly or indirectly, by the stockholders of the
Company in substantially the same proportions as their ownership of Voting Stock of the
Company) is or becomes, without the prior consent of a majority of the Continuing Directors,
the beneficial owner (as defined in Rule 13d-3 promulgated under the Securities Exchange Act
of 1934, as amended), directly or indirectly, of Voting Stock representing twenty-five
percent (25%) (or, even with such prior consent, forty percent (40%)) or more of the
combined voting power for election of directors of the Company’s then outstanding
securities; or

(ii) The Company consummates a reorganization, merger or consolidation of the Company
(which prior to the date of such consummation has been approved by the Company’s
stockholders) or the Company sells, or otherwise disposes of, all or substantially all of
the Company’s property and assets (other than a reorganization, merger, consolidation or
sale which would result in all or substantially all of the beneficial owners of the Voting
Stock of the Company outstanding immediately prior thereto continuing to beneficially own,
directly or indirectly (either by remaining outstanding or by being converted into voting
securities of the resulting entity), more than fifty percent (50%) of the combined voting
power of the voting securities of the Company or such entity resulting from the transaction
(including, without limitation, an entity which as a result of such transaction owns the
Company or all substantially all of the Company’s property or assets, directly or
indirectly) outstanding immediately after such transaction in substantially the same
proportions relative to each other as their ownership immediately prior to such
transaction), or the Company’s stockholders approve a liquidation or dissolution of the
Company; or

(iii) The individuals who are Continuing Directors of the Company (as defined below)
cease for any reason to constitute at least a majority of the Board.

(g) “Code” shall mean the Internal Revenue Code of 1986, as amended.

(h) “Committee” shall mean the Compensation/Stock Option Committee of the Board.

(i) “Common Stock” shall mean the $.01 par value common stock of the Company.

(j) “Company” shall, except as otherwise provided in Section 9, have the meaning set forth in
the preamble hereto.

(k) “Competitive Business” shall mean (i) at any time during the Term and during the 12-month
period immediately following the Date of Termination, any entity (which term “entity” shall for
purposes of this Section 1(k) include any subsidiaries, parent entities or other Affiliates
thereof) that, as of the Date of Termination, competes with any of the businesses of the Company;
and (ii) during the period beginning on the first anniversary of the Date of Termination and ending
on the 18-month anniversary of the Date of Termination, those certain entities (which shall not
number more than 10) designated as “Competitive Businesses” by the Committee; provided, however,
that, notwithstanding the foregoing, Section 1(k)(ii) shall not apply in connection with any
termination of the Executive’s employment hereunder due to the Company’s non-extension of the Term
as described in Section 6(a)(vii). In order to effectuate Section 1(k)(ii), the Committee shall
provide the Executive with a written list of “Competitive Businesses” on or prior to the 90th day
following the Date of Termination.

(l) “Continuing Director” means (i) any member of the Board immediately following the election
of directors at the Company’s 2005 annual meeting of stockholders or (ii) any person who
subsequently becomes a member of the Board whose appointment, election or nomination for election
to the Board is recommended by a majority of the Continuing Directors (which person shall thereby
become a “Continuing Director”).

(m) “Date of Termination” shall mean (i) if the Executive’s employment is terminated by his
death, the date of his death; (ii) if the Executive’s employment is terminated as a result of
Disability, the date provided in Section 6(a)(ii); and (iii) if the Executive’s employment is
terminated pursuant to Sections 6(a)(iii) — (vi), the date specified in the Notice of Termination
(or if no such date is specified, the last day of the Executive’s active employment with the
Company), in each case provided in accordance with this Agreement.

(n) “Disability” shall mean any mental or physical illness, condition, disability or
incapacity which:

(i) Prevents the Executive from discharging substantially all of his essential job
responsibilities and employment duties; and

(ii) Has prevented the Executive from so discharging his duties for any 180 days in any
365-day period.

A Disability shall be deemed to have occurred on the 180th day in any such 365-day period.

(o) “Equity Incentive Plan” means the Company’s 2004 Equity Incentive Award Plan, as amended
from time to time (or any other equity based compensation plan or agreement that may be adopted or
entered into by the Company from time to time).

(p) “Executive” shall have the meaning set forth in the preamble hereto.

(q) “Extension Term” shall have the meaning set forth in Section 2.

(r) The Executive shall have “Good Reason” to resign his employment upon the occurrence of any
of the following without the Executive’s prior written consent: (i) failure of the Company to
continue the Executive in the position of, and with the title of, President and Chief Executive
Officer; (ii) a material diminution or undue dilution in the nature or scope of the Executive’s
employment responsibilities, duties or authority, or the assignment to the Executive of duties or
responsibilities that are materially and adversely inconsistent with his then position; (iii)
failure of the Executive to be elected to the Board at any annual meeting of the Company’s
stockholders that occurs during the Term (unless the Executive is prohibited from serving as a
member of the Board by any applicable law, rule or regulation (including without limitation any
rule promulgated by the New York Stock Exchange)); (iv) relocation of the Company’s executive
offices more than 60 miles east, or 20 miles in any other direction of its current location; (v)
failure of the Company to timely make any material payment or provide any material benefit under
this Agreement, or the Company’s material reduction of any compensation, equity or benefits that
the Executive is eligible to receive under this Agreement; or (vi) the Company’s material breach of
this Agreement; provided, however, that notwithstanding the foregoing the Executive may not resign
his employment for Good Reason unless: (x) the Executive provides the Company with at least 30 days
prior written notice of his intent to resign for Good Reason (which notice is provided not later
than the 90th day following the occurrence of the event constituting Good Reason), and (y) the
Company does not remedy the alleged violation(s) within such 30-day period; and, provided, further,
that notwithstanding the foregoing if the Executive is suspended pursuant to Section 6(a)(iii),
such suspension (and any corresponding diminution of the Executive’s title, duties or compensation,
or other change to the Executive’s employment arrangements described hereunder) shall not, in and
of itself, give the Executive Good Reason to resign his employment.

(s) “Initial Term” shall have the meaning set forth in Section 2.

(t) “Intellectual Property” shall have the meaning set forth in Section 9(f).

(u) “Non-Compete Term” shall have the meaning set forth in Section 9(a).

(v) “Notice of Termination” shall have the meaning set forth in Section 6(b).

(w) “Option” shall mean an option to purchase Common Stock pursuant to the Equity Incentive
Plan, as amended from time to time (or any other equity based compensation plan or agreement that
may be adopted or entered into by the Company from time to time).

(x) “Person” shall mean an individual, partnership, corporation, business trust, limited
liability company, joint stock company, trust, unincorporated association, joint venture,
governmental authority or other entity of whatever nature.

(y) “Pro-Rata Bonus” shall have the meaning set forth in Section 7(d).

(z) “Release” shall have the meaning set forth in Section 7(b).

	 	 	 
	(aa)

(bb)

	 	“Retention Program” shall have the meaning set forth in Section 7(a).

“Term” shall have the meaning set forth in Section 2.

(cc) “Voting Stock” means all capital stock of the Company which by its terms may be voted on
all matters submitted to stockholders of the Company generally.

2. Employment. Subject to Section 6, the Company shall employ the Executive and the
Executive shall continue in the employ of the Company, for the period set forth in this Section 2,
in the positions set forth in the first sentence of Section 3 and upon the other terms and
conditions herein provided. The initial term of employment under this Agreement (the “Initial
Term”) shall be for the period beginning on the Effective Date and ending on December 31, 2008,
unless earlier terminated as provided in Section 6. The Initial Term shall automatically be
extended for successive one-year periods (each, an “Extension Term”) unless either party hereto
gives written notice of non-extension to the other party no later than 60 days prior to the
scheduled expiration of the Initial Term or the then applicable Extension Term (the Initial Term
and any Extension Term shall be collectively referred to hereunder as the “Term”).

3. Position and Duties. The Executive shall serve as President and Chief Executive
Officer of the Company, reporting directly to the Board, with such responsibilities, duties and
authority as are customary for such role. During the Term, the Company shall nominate the
Executive for a seat on the Board upon the expiration of Executive’s current term as a director,
and upon the expiration of each subsequent term thereafter (or, in the event that the Executive is
not elected to the Board at any annual meeting of the Company’s stockholders, at not less than one
annual meeting following the first annual meeting at which he in not elected). The Executive also
agrees to serve, without additional compensation, as the chief executive officer and/or director of
any subsidiary, division or Affiliate of the Company if so requested by the Board. The Executive
shall devote substantially all of his business time, attention and efforts, toward the performance
of his duties under this Agreement. Notwithstanding the foregoing, the Executive may manage his
personal investments, be involved in charitable and professional activities (including serving on
charitable and professional boards), and, with the consent of the Board, serve on for-profit boards
of directors and advisory committees, so long as such service does not materially interfere with
the performance of the Executive’s duties hereunder or violate Section 9 hereof. Any boards that
the Executive serves on as of the Effective Date and which have been previously approved shall be
deemed to be continued as approved.

4. Place of Performance. In connection with his employment during the Term, the
Executive shall be based at the Company’s offices in Holtsville, New York, except for necessary
travel on the Company’s business.

5. Compensation and Related Matters.

(a) Annual Base Salary. At the commencement of the Term, the Executive shall receive
a base salary at a rate of $1,000,000 per annum (the “Annual Base Salary”), paid in accordance with
the Company’s general payroll practices for executives, but no less frequently than monthly. No
less frequently than annually during the Term, the Board and the Committee shall review the rate of
Annual Base Salary payable to the Executive, and may, in their discretion, increase (but not
decrease) the rate of Annual Base Salary payable hereunder; provided, however, that any increased
rate shall thereafter be the rate of “Annual Base Salary” hereunder.

(b) Bonus. As soon as practicable after execution of this Agreement, the Executive
shall be paid a supplemental bonus of $1,000,000 for exemplary performance in 2005. In addition,
except as otherwise provided for herein, with respect to 2006 and each subsequent fiscal year in
which the Executive is employed hereunder on the last day of the applicable year, the Executive
shall be eligible to receive a bonus (the “Bonus”), as determined pursuant to the Company’s
Executive Bonus Plan or another “qualified performance-based compensation” bonus plan that has been
approved by the stockholders of the Company in accordance with the provisions for such approval
under Code Section 162(m) and the regulations promulgated thereunder (collectively, the “Bonus
Plan”), and on the basis of the Executive’s or the Company’s attainment of objective financial or
other operating criteria established by the Committee in its sole good faith discretion and in
accordance with Code Section 162(m) and the regulations promulgated thereunder. With respect to
each fiscal year during the Term, (i) the Executive shall be eligible to receive a maximum Bonus
under the Bonus Plan equal to 200% of his Annual Base Salary if applicable performance criteria for
a maximum Bonus are met or exceeded, and (ii) the Executive’s target-level Bonus for achievement of
target-level performance under the Bonus Plan shall equal 100% of his Annual Base Salary. The
Bonus for each fiscal year shall be paid to the Executive no later than 90 days following the
completion of such fiscal year. In addition, the Executive shall be eligible to participate in any
other bonus plan or program that may be established by the Committee and that covers the Executive
(even if such plan or program does not provide for qualified performance-based bonuses within the
meaning of Code Section 162(m)), at a level commensurate with the Executive’s position.

(c) Equity Awards. 

(i) As soon as practicable after execution of this Agreement, the Executive shall be
awarded 200,000 shares of Restricted Stock in accordance with the terms of the Equity
Incentive Plan, subject to such normal vesting and other restrictions as the Committee shall
apply in the award agreement.

(ii) As soon as practicable after execution of this Agreement, the Executive shall be
awarded Options with respect to 300,000 shares of Common Stock in accordance with the terms
of the Equity Incentive Plan, subject to such normal vesting, exercise and other
restrictions as the Committee shall apply in the award agreement. The exercise price per
Option share shall be 100% of the fair market value of a share of Common Stock on the date
of grant of such Options.

(iii) For each year during the Term after 2006, the Executive shall be eligible to be
granted Options and other equity compensation awards at such time(s) and in such amount(s)
as may be determined by the Committee in its sole discretion, at a level commensurate with
the Executive’s position.

(iv) Notwithstanding any provision to the contrary in any Option award agreement,
effective immediately upon the occurrence of a Change in Control, all Options and other
equity compensation awards then held by the Executive shall become fully vested and
exercisable with respect to all shares subject thereto.

(d) Benefits. The Executive shall be entitled to receive such benefits (including,
without limitation, fringe benefits and perquisites) and to participate in such employee group
benefit plans, including life, health and disability insurance policies and the Company’s Code
Section 401(k) pension plan, as are generally provided by the Company to its senior executives in
accordance with the terms of such plans, practices and programs of the Company, at a level
commensurate with the Executive’s position. In addition, the Executive shall continue to
participate in the Company’s Deferred Compensation Plan, as amended from time to time.

(e) Expenses. The Company shall reimburse the Executive for all reasonable and
necessary expenses incurred by the Executive in connection with the performance of the Executive’s
duties as an employee of the Company. Such reimbursement is subject to the submission to the
Company by the Executive of appropriate documentation and/or vouchers in accordance with the
customary procedures of the Company for expense reimbursement, as such procedures may be revised by
the Company from time to time and to such caps on reimbursement as the Company may from time to
time impose.

(f) Vacations. The Executive shall be entitled to paid vacation in accordance with
the Company’s vacation policy as in effect from time to time. However, in no event shall the
Executive be entitled to less than four weeks vacation per annum. The Executive shall also be
entitled to paid holidays and personal days in accordance with the Company’s practice with respect
to same as in effect from time to time.

(g) Automobile. During the Term, the Company shall provide the Executive with a car
allowance of $1,350 per month.

6. Termination. The Executive’s employment hereunder may be terminated by the
Company, on the one hand, or the Executive, on the other hand, as applicable, without any breach of
this Agreement only under the following circumstances:

(a) Terminations.

(i) Death. The Executive’s employment hereunder shall terminate upon his
death.

(ii) Disability. In the event of the Executive’s Disability, the Company may
give the Executive written notice of its intention to terminate the Executive’s employment
while he remains so disabled. In such event, the Executive’s employment with the Company
shall terminate effective on the 14th day after delivery of such notice, provided that
within the 14 days after such delivery, the Executive shall not have returned to full-time
performance of his duties.

(iii) Cause. The Board may, with the approval of a majority of the
then-serving non-employee Continuing Directors after a meeting (of which the Executive is
provided with at least 10 days prior written notice of the intent of the meeting and the
specifics of the grounds for Cause termination being alleged) at which the Executive has
been given an opportunity to appear with counsel, terminate the Executive’s employment
hereunder for Cause.

(iv) Good Reason. The Executive may terminate his employment for Good Reason;
provided that if such termination is due to the Executive’s failure to be elected to the
Board as described in Section 1(r)(iii), then the Executive shall provide the Company with
not less than 60 days advanced written notice of such termination.

(v) Without Cause. The Company may terminate the Executive’s employment
without Cause upon 30 days written notice to the Executive.

(vi) Resignation without Good Reason. The Executive may resign his employment
without Good Reason upon 60 days written notice to the Company.

(vii) Non-Extension of Term. The Executive’s employment shall terminate as of
the last day of the Term if either party provides notice of non-extension of the Term to the
other pursuant to Section 2.

(b) Notice of Termination. Any termination of the Executive’s employment by the
Company or by the Executive under this Section 6 (other than termination pursuant to paragraph
(a)(i) or (a)(vii)) shall be communicated by a written notice to the other party hereto indicating
the specific termination provision in this Agreement relied upon, setting forth in reasonable
detail any facts and circumstances claimed to provide a basis for termination of the Executive’s
employment under the provision so indicated, and specifying a Date of Termination in accordance
with this Agreement (a “Notice of Termination”); provided, the Company may suspend the Executive
from his positions with pay during any notice period so long as he is retained as an employee of
the Company during such notice period.

7. Severance Payments and Benefits. 

(a) Termination for any Reason. In the event the Executive’s employment with the
Company is terminated for any reason, as soon as reasonably practicable after such termination the
Company shall pay the Executive (or his beneficiary in the event of his death) a lump sum equal to
any unpaid Annual Base Salary that has accrued as of the Date of Termination, any unreimbursed
expenses due to the Executive, and an amount for any accrued but unused vacation days and any
earned but unpaid Bonus for any fiscal year of the Company completed prior to the date of such
termination. The Executive shall also be entitled to accrued, vested benefits under the Company’s
benefit plans and programs as provided therein. The Executive shall be entitled to the cash
severance payments described below only as set forth herein, and the provisions of this Section 7
shall supersede in their entirety any severance payment provisions in any severance plan, policy,
program or arrangement maintained by the Company.

(b) Terminations without Cause or for Good Reason. Except as otherwise provided by
Section 7(c) with respect to certain terminations of employment in connection with a Change in
Control, if the Executive’s employment shall terminate without Cause (pursuant to Section 6(a)(v)),
or for Good Reason (pursuant to Section 6(a)(iv)), the Company shall (subject to the Executive’s
entering into a Separation and Release Agreement with the Company in substantially the form
attached hereto as Exhibit A (the “Release”)):

(i) Pay to the Executive an amount equal to the product of (A) the sum of his then
current (i) Annual Base Salary and (ii) the greater of (1) the Bonus paid or payable to
Executive with respect to the fiscal year ending immediately prior to the Date of
Termination or (2) 50% of the target Bonus for such year, and (B) 1.5; payable in equal
monthly installments during the period beginning on the Date of Termination and ending on
the 18 month anniversary thereof; provided, however, that no amount shall be payable
pursuant to this Section 7(b)(i) on or following the date the Executive first (i) breaches
any of the covenants set forth in Sections 9(a) or 9(b), or (ii) materially breaches any of
the covenants set forth in Section 9(c) or 9(e), which is not remedied (if remediable)
within 30 days after receipt of written notice from the Company specifying such breach;

(ii) Continue to provide the Executive (and his dependents) with the medical, dental
and life insurance coverage in which he (or his dependents) was participating as of the Date
of Termination (at a level then in effect with respect to coverage and employee premiums,
but subject to such modifications as shall be established for all employees of the Company)
until the earlier of (A) eighteen months after the Date of Termination or (B) the date the
Executive first (i) breaches any of the covenants set forth in Sections 9(a) or 9(b), or
(ii) materially breaches any of the covenants set forth in Section 9(c) or 9(e), which is
not remedied (if remediable) within 30 days after receipt of written notice from the Company
specifying such breach. If such coverage cannot be provided on a tax-advantaged basis under
the Company’s program, the Company will make a supplemental payment to the Executive such
that his after-tax cost of coverage will be no greater than the cost for such coverage to a
similarly-situated employee under the program. Any increase in premium cost resulting from
a change in the Executive’s coverage election shall be borne by the Executive. In order to
receive such continued medical and dental coverage, the Executive must be eligible for and
elect continuation coverage under “COBRA” under the terms of the applicable programs; and

(iii) Pay to the Executive a Pro-Rata Bonus, as defined in Section 7(d), when bonuses
are paid for the year of termination.

(c) Certain Terminations in connection with a Change in Control. If the Executive’s
employment shall terminate without Cause (pursuant to Section 6(a)(v)) or for Good Reason (pursuant
to Section 6(a)(iv)) during the period commencing six months prior to, and ending 18-months after,
a Change in Control, in any such case, the Company shall (subject to the receipt of the Release):

(i) Pay to the Executive an amount equal to the product of (A) the sum of his then
current (i) Annual Base Salary and (ii) the target Bonus payable to Executive with respect
to the fiscal year ending immediately prior to the Date of Termination, and (B) two; payable
in a lump sum as soon as reasonably practicable after such termination of employment (or, if
such termination occurs prior to the consummation of the Change in Control, as soon as
reasonably practicable after the effective date of such Change in Control);

(ii) Continue to provide the Executive (and his dependents) with the medical, dental
and life insurance coverage in which he (or his dependents) was participating as of the Date
of Termination (at a level then in effect with respect to coverage and employee premiums,
but subject to such modifications as shall be established for all employees of the Company)
until the earlier of (A) the second anniversary of the Date of Termination or (B) the date
the Executive first (i) breaches any of the covenants set forth in Sections 9(a) or 9(b), or
(ii) materially breaches any of the covenants set forth in Section 9(c) or 9(e), which is
not remedied (if remediable) within 30 days after receipt of written notice from the Company
specifying such breach. If such coverage cannot be provided on a tax-advantaged basis under
the Company’s program, the Company will make a supplemental payment to the Executive such
that his after-tax cost of coverage will be no greater than the cost for such coverage to a
similarly-situated employee under the program. Any increase in premium cost resulting from
a change in the Executive’s coverage election shall be borne by the Executive. In order to
receive such continued medical and dental coverage, the Executive must be eligible for and
elect continuation coverage under “COBRA” under the terms of the applicable programs for the
first 18 months of such coverage, and must not be eligible for coverage under a medical or
dental plan of another employer during the subsequent six month period; and

(iii) Pay Executive a Pro-Rata Bonus, as defined in Section 7(d), when bonuses are paid
for the year of termination; and

(iv) Notwithstanding any other provision of this Agreement, the parties acknowledge and
agree that Sections 7(b) and 7(c) shall operate in the alternative and that any payments and
benefits that the Executive shall be entitled to receive pursuant to this Section 7(c) in
connection with a termination of his employment and the subsequent occurrence of a Change in
Control shall be offset by payments and benefits received by the Executive pursuant to
Section 7(b) on or prior to the effective date of such Change in Control.

(d) Termination by Reason of Disability or Death. If the Executive’s employment shall
terminate by reason of his Disability (pursuant to Section 6(a)(ii)) or death (pursuant to Section
6(a)(i)), then the Company shall pay to the Executive (or Executive’s estate) when bonuses are paid
for the year of termination a pro-rated amount of the Executive’s Bonus for the fiscal year in
which the Date of Termination occurs equal to the product of (i) the amount of the Bonus the
Executive would have otherwise earned had he been employed by the Company on the last day of the
fiscal year in which the Date of Termination occurs and (ii) the ratio of (A) the number of days
elapsed during such fiscal year prior to the Date of Termination to (B) 365 (the “Pro-Rata Bonus”),
and provide the Executive (and his dependents), as applicable, with the continued health coverage
described in Section 7(b)(ii).

(e) Non-Extension of Term by the Company. If the Company notifies the Executive that
it will not extend the Term as provided by Section 2, then, in connection the Executive’s
termination of employment, as of the last day of the Term the Company shall (subject to the
Executive’s entering into a Release):

(i) Pay to the Executive an amount equal to the product of (A) the sum of his then
current (i) Annual Base Salary and (ii) the greater of (1) the Bonus paid or payable to
Executive with respect to the fiscal year ending immediately prior to the Date of
Termination or (2) 50% of the target Bonus for such year, and (B) one; payable in equal
monthly installments during the period beginning on the Date of Termination and ending on
the first anniversary thereof; provided, however, that no amount shall be payable pursuant
to this Section 7(e)(i) on or following the date the Executive first (i) breaches any of
the covenants set forth in Sections 9(a) or 9(b), or (ii) materially breaches any of the
covenants set forth in Section 9(c) or 9(e), which is not remedied (if remediable) within 30
days after receipt of written notice from the Company specifying such breach;

(ii) Continue to provide the Executive (and his dependents) with the medical, dental
and life insurance coverage in which he (or his dependents) was participating as of the Date
of Termination (at a level then in effect with respect to coverage and employee premiums,
but subject to such modifications as shall be established for all employees of the Company)
until the earlier of (A) the first anniversary of the Date of Termination or (B) the date
the Executive first (i) breaches any of the covenants set forth in Sections 9(a) or 9(b), or
(ii) materially breaches any of the covenants set forth in Section 9(c) or 9(e), which is
not remedied (if remediable) within 30 days after receipt of written notice from the Company
specifying such breach. If such coverage cannot be provided on a tax-advantaged basis under
the Company’s program, the Company will make a supplemental payment to the Executive such
that his after-tax cost of coverage will be no greater than the cost for such coverage to a
similarly-situated employee under the program. Any increase in premium cost resulting from
a change in the Executive’s coverage election shall be borne by the Executive. In order to
receive such continued medical and dental coverage, the Executive must be eligible for and
elect continuation coverage under “COBRA” under the terms of the applicable programs; and

(iii) Pay to the Executive a Pro-Rata Bonus, as defined in Section 7(d), when bonuses
are paid for the year of termination.

For the avoidance of doubt, no amount shall be payable to the Executive pursuant to this Section
7(e) if the Executive’s employment is terminated due to the Executive’s (rather than the Company’s)
notification of non-extension of the Term pursuant to Section 2.

(f) Compliance with Code Section 409A. The parties understand and agree that certain
payments contemplated by this Agreement may be “deferred compensation” for purposes of Code Section
409A. Notwithstanding any provision of this Agreement to the contrary, any payments constituting
deferred compensation required to be made upon or in respect of the Executive’s termination of
employment hereunder shall not be made prior to the first day of the seventh month after the
Executive’s termination of employment, to the extent necessary to comply with Code Section
409A(2)(B)(i). The Company shall identify in writing delivered to the Executive any payments it
reasonably determines are subject to delay under this Section 7(f) and shall promptly pay any such
amounts, without interest, at the conclusion of the applicable six month period (or, if later, when
scheduled to be paid under the terms of the Agreement). No deferred compensation payable hereunder
shall be subject to acceleration or to any change in the specified time or method of payment,
except as otherwise provided under this Agreement and consistent with Code Section 409A. In no
event shall the Company have any liability or obligation with respect to taxes for which the
Executive may become liable as a result of the application of Code Section 409A.

(g) Survival. The expiration or termination of the Term shall not impair the rights
or obligations of any party hereto which shall have accrued hereunder prior to such expiration.

(h) No Mitigation/Set-Off. The Executive shall have no obligation to mitigate any
payments due hereunder. Any amounts earned by the Executive from other employment shall not offset
amounts due hereunder, except as provided in this Section 7. The Company’s obligation to pay the
Executive the amounts provided hereunder shall not be subject to set-off, counterclaim or
recoupment of amounts owed by the Executive to the Company or its affiliates, except (i) as
provided by Section 7(c)(iv) and (ii) for any specific, stated amounts owed by the Executive to the
Company as evidenced by a writing signed by the Executive.

8. Parachute Payments.

(a) If it is determined by a nationally recognized United States public accounting firm
selected by the Company and approved in writing by the Executive (which approval shall not be
unreasonably withheld) (the “Auditors”) that any payment or benefit made or provided to the
Executive in connection with this Agreement or otherwise (including without limitation any Option
or other equity compensation award vesting) (collectively, a “Payment”), would be subject to the
excise tax imposed by Section 4999 of the Code (the “Parachute Tax”), then the Company shall pay to
the Executive, prior to the time the Parachute Tax is payable with respect to such Payment, an
additional payment (a “Gross-Up Payment”) in an amount such that, after payment by the Executive of
all taxes (including any Parachute Tax) imposed upon the Gross-Up Payment, the Executive retains an
amount of the Gross-Up Payment equal to the Parachute Tax imposed upon the Payment. The amount of
any Gross-Up Payment shall be determined by the Auditors, subject to adjustment, as necessary, as a
result of any Internal Revenue Service position. For purposes of making the calculations required
by this Agreement, the Auditors may make reasonable assumptions and approximations concerning
applicable taxes and may rely on reasonable, good faith interpretations concerning the application
of Sections 280G and 4999 of the Code, provided that the Auditors’ determinations must be made with
substantial authority (within the meaning of Section 6662 of the Code). To the extent that the
Company obtains a written opinion from the Auditors with respect to Parachute Tax issues, the
Company shall direct the Auditors to extend such opinion to the Executive (to the extent that such
extension is permitted by the Auditors); provided, that in no event shall the Company be required
to obtain such an opinion.

(b) The federal tax returns filed by the Executive (and any filing made by a consolidated tax
group which includes the Company) shall be prepared and filed on a basis consistent with the
determination of the Auditors with respect to the Parachute Tax payable by the Executive. The
Executive shall make proper payment of the amount of any Parachute Tax based on such determination,
and at the request of the Company, provide to the Company true and correct copies (with any
amendments) of his federal income tax return as filed with the Internal Revenue Service, and such
other documents reasonably requested by the Company, evidencing such payment, provided that any
information unrelated to the Parachute Tax may be deleted from the copies of the returns and
documents delivered to the Company. If, after the Company’s payment to the Executive of the
Gross-Up Payment, the Auditors determine in good faith that the amount of the Gross-Up Payment
should be reduced or increased, or a determination is made by the Internal Revenue Service that
would make the prior Gross-Up Payment amount not accurate, then within ten business days of such
determination, the Executive shall pay to the Company the amount of any such reduction, or the
Company shall pay to the Executive the amount of any such increase; provided, however, that in no
event shall the Executive have any such refund obligation if it is determined by the Company that
to do so would be a violation of the Sarbanes-Oxley Act of 2002, as it may be amended from time to
time; and provided, further, that if the Executive has prior thereto paid such amounts to the
Internal Revenue Service, such refund shall be due only to the extent that a refund of such amount
is received by the Executive; and provided, further, that (i) the fees and expenses of the Auditors
(and any other legal and accounting fees) incurred for services rendered in connection with the
Auditor’s determination of the Parachute Tax or any challenge by the Internal Revenue Service or
other taxing authority relating to such determination shall be paid by the Company, and (ii) the
Company shall indemnify and hold the Executive harmless on an after-tax basis for any interest and
penalties imposed upon the Executive to the extent that such interest and penalties are related to
the Auditors’ determination of the Parachute Tax or the Gross-Up Payment. Notwithstanding anything
to the contrary herein, the Executive’s rights under this Section 8 shall survive the termination
of his employment for any reason and the termination or expiration of this Agreement for any
reason.

9. Certain Restrictive Covenants. 

(a) The Executive shall not, at any time during the Term or during the 18-month period
following the Date of Termination (or, in the event of any termination of the Executive’s
employment pursuant to Section 6(a)(vii) due to the Company’s non-extension of the Term, the
12-month period following the Date of Termination) (either such period, the “Non-Compete Term”)
without the Board’s prior written consent directly or indirectly engage in, have any equity
interest in, or manage or operate (whether as a director, officer, employee, agent, representative,
security holder, consultant or otherwise) any Competitive Business; provided, however, that: (x)
the Executive shall be permitted to acquire a passive stock or equity interest in such a
Competitive Business provided the stock or other equity interest acquired is not more than five
percent (5%) of the outstanding interest in such a Competitive Business; or (y) the Executive shall
be permitted to acquire any investment through a mutual fund, private equity fund or other pooled
account that is not controlled by the Executive and which he has less than a five percent (5%)
interest. At any time during the Non-Compete Term following the Date of Termination, the Executive
may request in writing to the Board that the Board consent to the Executive’s direct or indirect
engagement in, ownership of equity interest in, or management or operation of (whether as a
director, officer, employee, agent, representative, security holder, consultant or otherwise) any
Competitive Business, which request the Board shall consider in good faith based upon the Board’s
reasonable determination of the potential impact of the Executive’s involvement in such Competitive
Business on the Company and its stockholders. If the Executive believes that the Board would
benefit from any additional information or if the Executive has any issues or questions regarding
any action taken or to be taken by the Board in connection with this Section 9(a), then the Board
and the Executive (along with their respective representatives) shall meet and discuss any such
issues or questions, and the Executive shall be permitted to present the Board with any relevant
information that he deems appropriate. The Board and the Executive shall act in good faith to
address all outstanding issues and questions while protecting the interests of the Company and its
stockholders.

(b) During the 24 month period following the Date of Termination, the Executive will not,
directly or indirectly recruit or otherwise solicit or induce any non-clerical employee, director,
consultant, wholesale customer, vendor, supplier, lessor or lessee of the Company to terminate his
or its employment or arrangement with the Company or otherwise change its relationship with the
Company.

(c) Except as the Executive deems necessary (or, in good faith, desirable) to be disclosed in
connection with the performance of the Executive’s duties hereunder or as specifically set forth in
this Section 9, the Executive shall, in perpetuity, maintain in confidence and shall not directly,
indirectly or otherwise, use, disseminate, disclose or publish, or use for his benefit or the
benefit of any person, firm, corporation or other entity any confidential or proprietary
information or trade secrets of or relating to the Company, including, without limitation,
information with respect to the Company’s operations, processes, products, inventions, business
practices, finances, principals, vendors, suppliers, customers, potential customers, marketing
methods, costs, prices, contractual relationships, regulatory status, business plans, designs,
marketing or other business strategies, compensation paid to employees or other terms of
employment, or deliver to any person, firm, corporation or other entity any document, record,
notebook, computer program or similar repository of or containing any such confidential or
proprietary information or trade secrets. Notwithstanding anything herein to the contrary, nothing
shall prohibit the Executive from disclosing any information that is generally known by the public.
The parties hereby stipulate and agree that as between them the foregoing matters are important,
material and confidential proprietary information and trade secrets and affect the successful
conduct of the businesses of the Company (and any successor or assignee of the Company). Upon
termination of the Executive’s employment with the Company for any reason, the Executive will
promptly deliver to the Company all correspondence, drawings, manuals, letters, notes, notebooks,
reports, programs, plans, proposals, financial documents, or any other documents concerning the
Company’s customers, business plans, designs, marketing or other business strategies, products or
processes, provided that the Executive may retain his rolodex, address book and similar information
and any non-proprietary documents he received as a director.

(d) Notwithstanding Section 9(c), the Executive may respond to a lawful and valid subpoena or
other legal process or other government or regulatory inquiry but shall give the Company prompt
notice thereof (except to the extent legally prohibited), and shall, as much in advance of the
return date as is reasonably practicable, make available to the Company and its counsel copies of
any documents sought which are in the Executive’s possession or to which the Executive otherwise
has reasonable access. In addition, the Executive shall reasonably cooperate with and assist the
Company and its counsel at any time and in any manner reasonably required by the Company or its
counsel (with due regard for the Executive’s other commitments if he is not employed by the
Company) in connection with any litigation or other legal process affecting the Company of which
the Executive has knowledge as a result of his employment with the Company (other than any
litigation with respect to this Agreement). In the event of such requested cooperation, the
Company shall reimburse the Executive’s reasonable out of pocket expenses.

(e) The Executive shall not intentionally disparage the Company, any of its products or
practices, or any of its directors, officers, or employees, whether orally, in writing or
otherwise, at any time. The Company (including without limitation its directors) shall not
intentionally disparage the Executive, whether orally, in writing or otherwise, at any time.
Notwithstanding the foregoing: (i) nothing in this Section 9(e) shall limit the ability of the
Company or the Executive, as applicable, to provide truthful testimony as required by law or any
judicial or administrative process or the Executive from making normal commercial competitive type
statements in a competitive business situation not based on his employment with the Company; and
(ii) in no event shall any termination of the Executive’s employment by the Company or the
Executive for any reason constitute disparagement for purposes of this Section 9(e).

(f) The Executive agrees that all strategies, methods, processes, techniques, marketing plans,
merchandising schemes, themes, layouts, mechanicals, trade secrets, copyrights, trademarks,
patents, ideas, specifications and other material or work product (“Intellectual Property”) that
the Executive creates, develops or assembles in connection with his employment hereunder shall
become the permanent and exclusive property of the Company to be used in any manner it sees fit, in
its sole discretion. The Executive shall not communicate to the Company any ideas, concepts, or
other intellectual property of any kind (other than that required in his capacity as an officer of
the Company) which (i) were earlier communicated to the Executive in confidence by any third party
as proprietary information, or (ii) the Executive knows or has reason to know is the proprietary
information of any third party. All Intellectual Property created or assembled in connection with
the Executive’s employment hereunder shall be the permanent and exclusive property of the Company.
The Company and the Executive mutually agree that all Intellectual Property and work product
created in connection with this Agreement, which is subject to copyright, shall be deemed to be
“work made for hire,” and that all rights to copyrights shall be vested in the Company. If for any
reason the Company cannot be deemed to have commissioned “work made for hire,” and its rights to
copyright are thereby in doubt, then the Executive agrees not to claim to be the proprietor of the
work prepared for the Company, and to irrevocably assign to the Company, at the Company’s expense,
all rights in the copyright of the work prepared for the Company.

(g) The Company and the Executive expressly acknowledge and agree that the agreements and
covenants contained in this Section 9 are reasonable. In the event, however, that any agreement or
covenant contained in this Section 9 shall be determined by any court of competent jurisdiction to
be unenforceable by reason of its extending for too great a period of time or over too great a
geographical area or by reason of its being too extensive in any other respect, it will be
interpreted to extend only over the maximum period of time for which it may be enforceable, and/or
over the maximum geographical area as to which it may be enforceable and/or to the maximum extent
in all other respects as to which it may be enforceable, all as determined by such court in such
action.

(h) As used in this Section 9, the term “Company” shall include the Company and any of its
Affiliates or direct or indirect subsidiaries within the meaning of Code Section 424(f).

(i) Any limitation on the Executive’s activities or any forfeiture of benefits, equity or
compensation based on violation of limitations on the Executive’s activities shall not be based on
any limitation that is any broader than those set forth in this Section 9.

10. Specific Performance. It is recognized and acknowledged by the Executive that a
breach of the covenants contained in Section 9 will cause irreparable damage to the Company and its
goodwill, the exact amount of which will be difficult or impossible to ascertain, and that the
remedies at law for any such breach will be inadequate. Accordingly, the parties agree that in the
event a party breaches any covenant contained in Section 9, in addition to any other remedy which
may be available at law or in equity (or under any other agreement between the Company and the
Executive), the other party will be entitled to specific performance and injunctive relief.

11. Purchases and Sales of the Company’s Securities. The Executive agrees to use his
reasonable best efforts to comply in all respects with the Company’s applicable written policies
regarding the purchase and sale of the Company’s securities by employees, as such written policies
may be amended from time to time and disclosed to the Executive. In particular, and without
limitation, the Executive agrees that he shall not purchase or sell Company securities (a) at any
time that he possesses material non-public information about the Company or any of its businesses;
and (b) while an employee during any “trading blackout period” as may be determined by the Company
and set forth in the Company’s applicable written policies from time to time.

12. Indemnification. The Executive shall be entitled to indemnification set forth in
the Company’s By-laws to the maximum extent allowed under the laws of the State of Delaware, and he
shall be entitled to the protection of any insurance policies the Company may elect to maintain
generally for the benefit of its directors and officers against all costs, charges and expenses
incurred or sustained by him in connection with any action, suit or proceeding to which he may be
made a party by reason of his being or having been a director, officer or employee of the Company
or any of its subsidiaries or his serving or having served any other enterprise or benefit plan as
a director, officer, employee or fiduciary at the request of the Company (other than any dispute,
claim or controversy arising under or relating to this Agreement). Notwithstanding anything to the
contrary herein, the Executive’s rights under this Section 12 shall survive the termination of his
employment for any reason and the expiration of this Agreement for any reason.

13. Cooperation Regarding Insurance. The Company and/or any of its subsidiaries,
divisions or Affiliates may, from time to time, apply for and obtain, for its or their benefit and
at its or their sole expense, key man life, health, accident, disability, or other insurance upon
the Executive, in any amounts that it or they may deem necessary or desirable to protect its or
their respective interests, and the Executive agrees to reasonably cooperate with and assist the
Company or any such subsidiary, division or Affiliate in obtaining any and all such insurance by
submitting to all reasonable medical examinations, if any, and by filling out, executing and
delivering any and all insurance applications and other instruments as may be reasonably necessary
to obtain such insurance.

14. No Conflicting Agreements. The Executive hereby represents and warrants that he
is not a party to or bound by any agreement, arrangement or understanding, written or otherwise,
which prohibits or in any manner restricts his ability to enter into and fulfill his obligations
under this Agreement (other than confidentiality obligations with any of the Executive’s prior
employers). The parties acknowledge and agree that the Executive shall not use of disclose, or be
permitted to use or disclose, any confidential or proprietary information belonging to any prior
employer in connection with the performance of his duties under this Agreement.

15. Delegation and Assignment. The Executive shall not delegate his employment
obligations under this Agreement to any other person. The Company may not assign any of its
obligations hereunder other than to any entity that acquires (by purchase, merger or otherwise) all
or substantially all of the Voting Stock or assets of the Company, provided such acquirer promptly
assumes all of the obligations hereunder of the Company in a writing delivered to the Executive.
In the event of the Executive’s death while he is receiving severance hereunder the remainder shall
be paid to his estate.

16. Notices. Any written notice required by this Agreement will be deemed provided
and delivered to the intended recipient when (a) delivered in person by hand; or (b) three days
after being sent via U.S. certified mail, return receipt requested; or (c) the day after being sent
via by overnight courier, in each case when such notice is properly addressed to the following
address and with all postage and similar fees having been paid in advance:

If to the Company:

Symbol Technologies, Inc.

One Symbol Plaza Holtsville, New York 11742-1300

Attn: General Counsel

with a copy to:

Seyfarth Shaw LLP

1270 Avenue of the Americas, Suite 2500

New York, NY 10022

Attn: Robert Nobile, Esq.

If to the Executive: to him at the most recent address in the Company’s records.

Either party may change the address to which notices, requests, demands and other communications to
such party shall be delivered personally or mailed by giving written notice to the other party in
the manner described above.

17. Legal Fees. The Company shall pay the Executive’s reasonable attorneys’ fees and
disbursements incurred by him in connection with the negotiation of this Agreement; subject to a
cap of $25,000.

18. Binding Effect. This Agreement shall be for the benefit of and binding upon the
parties hereto and their respective heirs, personal representatives, legal representatives,
successors and, where applicable, assigns.

19. Entire Agreement. This Agreement constitutes the entire agreement between the
parties with respect to the subject matter described in this Agreement and supersedes all prior
agreements, understandings and arrangements, both oral and written, between the parties with
respect to such subject matter, including, without limitation, the Retention Agreement between the
Company and the Executive dated as of August 26, 2005 (the “Retention Agreement”); provided,
however, that (a) any written agreements between the Executive and the Company concerning Option or
any other equity compensation awards shall remain in full force and effect in accordance with their
terms, and (b) Section 2 of the Retention Agreement shall continue in force through the date of the
retention payment required to be made as of January 31, 2006. This Agreement may not be modified,
amended, altered or rescinded in any manner, except by written instrument signed by both of the
parties hereto; provided, however, that the waiver by either party of a breach or compliance with
any provision of this Agreement shall not operate nor be construed as a waiver of any subsequent
breach or compliance.

20. Severability. In case any one or more of the provisions of this Agreement shall
be held by any court of competent jurisdiction or any arbitrator selected in accordance with the
terms hereof to be illegal, invalid or unenforceable in any respect, such provision shall have no
force and effect, but such holding shall not affect the legality, validity or enforceability of any
other provision of this Agreement.

21. Dispute Resolution and Arbitration. In the event that any dispute arises between
the Company and the Executive regarding or relating to this Agreement and/or any aspect of the
Executive’s employment relationship with the Company, AND IN LIEU OF LITIGATION AND A TRIAL BY
JURY, the parties consent to resolve such dispute through mandatory arbitration in Suffolk County,
New York under the then prevailing rules of the Judicial Arbitration and Mediation Services
(“JAMS”), before a single arbitrator mutually agreed to by the parties, or, if an arbitrator has
not been agreed upon by the 60th day of the demand for arbitration by either party, appointed by
JAMS. The parties hereby consent to the entry of judgment upon award rendered by the arbitrator in
any court of competent jurisdiction. Notwithstanding the foregoing, however, should adequate
grounds exist for seeking immediate injunctive or immediate equitable relief, any party may seek
and obtain such relief. The parties hereby consent to the exclusive jurisdiction in the state and
Federal courts of or in the State of New York for purposes of seeking such injunctive or equitable
relief as set forth above. The parties acknowledge and agree that, in connection with any such
arbitration and regardless of outcome, (a) each party shall pay all its own costs and expenses,
including without limitation its own legal fees and expenses, and (b) joint expenses shall be borne
equally among the parties. Notwithstanding the foregoing, the arbitrator may cause the losing
party to pay to the winning party (each as determined by the arbitrator consistent with its
decision on the merits of the arbitration) an amount equal to any reasonable out-of-pocket costs
and expenses incurred by the winning party with respect to such arbitration (as may be equitably
determined by the arbitrator).

22. Choice of Law. The Executive and the Company intend and hereby acknowledge that
jurisdiction over disputes with regard to this Agreement, and over all aspects of the relationship
between the parties hereto, shall be governed by the laws of the State of New York without giving
effect to its rules governing conflicts of laws.

23. Section Headings. The section headings contained in this Agreement are for
reference purposes only and shall not affect in any manner the meaning or interpretation of this
Agreement.

24. Counterparts. This Agreement may be executed in any number of counterparts, each
of which shall be deemed an original, but all of which taken together shall constitute one and the
same instrument.

25. Force Majeure. Neither Company nor the Executive shall be liable for any delay or
failure in performance of any part of this Agreement to the extent that such delay or failure is
caused by an event beyond its reasonable control including, but not be limited to, fire, flood,
explosion, war, strike, embargo, government requirement, acts of civil or military authority, and
acts of God not resulting from the negligence of the claiming party.

26. Withholding. The Company shall be entitled to withhold from any amounts payable
under this Agreement any federal, state, local or foreign withholding or other taxes or charges
which the Company is required to withhold. The Company shall be entitled to rely on an opinion of
counsel if any questions as to the amount or requirement of withholding shall arise.

IN WITNESS WHEREOF, the parties have executed this Agreement on the date and year first above
written.

SYMBOL TECHNOLOGIES, INC.

     /s/ Robert Chrenc     

By: Robert Chrenc

Its: Chairman of the Board of Directors

EXECUTIVE

     /s/ Salvatore Iannuzzi     

EXHIBIT A 

Date

Re: Separation and Release Agreement

Dear :

This letter sets forth certain terms and conditions relative to your separation from your
employment with Symbol Technologies, Inc., including its subsidiaries and affiliated corporations,
and their respective current and former directors, officers, employees, agents and assigns
(“Symbol” or the “Company”).

Your resignation from Symbol’s employ will be effective      . After you execute and
return this Agreement to the Company, which you acknowledge may not be executed prior to your last
day of actual work, the Company will provide you with severance payments and benefits to the extent
provided by that certain Employment Agreement between you and the Company dated as of January      ,
2006.

In exchange for the Company providing you with the aforementioned severance payments and benefits,
you hereby waive all claims against the Company and unconditionally and irrevocably release and
discharge the Company from liability for any claims or damages that you have or may have against
it, its current and former directors, officers, employees, agents and assigns up to the moment this
Agreement becomes fully executed, regardless of whether those claims are known or unknown
including, but not limited to, any claims for wages, severance (except as specifically provided for
herein), bonuses or benefits (except as specifically provided for herein), or any other claims
whatsoever arising during or, in whole or in part, out of your employment relationship with the
Company, or violations of any federal, state or local fair employment statute, executive order,
ordinance, law or regulation, including Title VII of the Civil Rights Act, the Rehabilitation Act
of 1973, the Americans With Disabilities Act, the Age Discrimination in Employment Act, as amended
by the Older Workers’ Benefit Protection Act, the Employee Retirement Income Security Act of 1974,
as amended, the New York State Human Rights Law, the Suffolk County Human Rights Law, or any other
potentially applicable employment or labor law, or any other rule of law or common law including,
but not limited to those concerning possible torts, express or implied contract, the implied
covenant of good faith and fair dealing, public policy, or other obligations. Other than with
respect to any rights to which you may be entitled under the federal Age Discrimination in
Employment Act, you also agree not to initiate any administrative or legal action against the
Company to assert such claims. Moreover, to the extent any such action is brought by you or on
your behalf by any third party, you agree to waive all claims to monetary relief or damages of any
kind, including attorneys’ fees and costs. You understand that the fact of this agreement and/or
the agreement to pay or the payment of the consideration described herein does not constitute an
admission by the Company that it has violated any such law or legal obligation.

You acknowledge that you may take up to twenty-one (21) days to consider the terms of this
Agreement. You also acknowledge that you were advised by Symbol to discuss the terms of this
Agreement with your attorneys prior to signing this Agreement. You further acknowledge that you
are entering into this Agreement, freely, knowingly, and voluntarily, with a full understanding of
its terms and that you will have 7 days to revoke this Agreement after executing the same by
notifying the undersigned in writing during this seven-day period. Except as set forth herein,
this constitutes the entire agreement between us regarding the subject matter hereof. This
Agreement may not be changed or altered, except by a writing signed by you and the Company. This
Agreement is entered into in the State of New York and the laws of the State of New York will apply
to any dispute concerning it, without regard to its conflicts of law provisions. If any clause of
this Agreement should ever be determined to be unenforceable, it is agreed that this will not
affect the enforceability of any other clause or the remainder of this Agreement.

Sincerely,

Symbol Technologies, Inc.

AGREED AND ACCEPTED:

By: Date:

—— —— Name

On this      day of      , 200     before me personally came      , to me known to be
the individual described in and who executed the foregoing Separation Agreement, and duly
acknowledged to me that he executed the same.

Notary PublicEX-10.1

EMPLOYMENT AGREEMENT

THIS AGREEMENT is made and entered into as of the 26th day of January, 2006, by and between
Golden Telecom, Inc. (“GTI”), a Delaware corporation, and Boris Oleg Svetlichny, an adult citizen
of the United States of America (the “Employee”).

WHEREAS, the appointment of the Employee as Senior Vice President, Chief Financial Officer and
Treasurer of GTI pursuant to this Agreement has been duly approved by the Board of Directors of GTI
as of the 11th day of January 2006; and

WHEREAS, GTI desires to employ the Employee and the Employee desires to be employed by GTI,
subject to the terms and provisions of this employment agreement (the “Agreement”);

NOW THEREFORE, GTI and the Employee mutually agree as follows:

	1.	 	Employment. 

	 	(a)	 	GTI hereby employs the Employee, and the Employee hereby accepts employment, on
the terms and conditions set forth herein, it being understood that the date of the
Employee’s commencement of his responsibilities shall be agreed between him and the
Chief Executive Officer of GTI, and shall be a date as early as possible in 2006 that
is satisfactory to the Chief Executive Officer of GTI in his sole discretion, and all
obligations of GTI under this Agreement are contingent on the Employee’s actual
commencement of his responsibilities under this Agreement.

	 	(b)	 	The Employee shall be employed as of the date he commences his responsibilities
under this Agreement in the position of Senior Vice President, Chief Financial Officer
and Treasurer of GTI, and seconded to one or more of GTI’s affiliates, based in Moscow,
Russia, but may from time to time be given such additional titles or be requested to
perform such duties and exercise such power and authority commensurate with the
Employee’s position as may be delegated to the Employee by the Chief Executive Officer
or the Board of Directors of GTI.

	 	(c)	 	The Employee shall devote all necessary business time and attention, and employ
the Employee’s best efforts, toward the fulfillment and execution of all assigned
duties, and the satisfaction of defined annual and/or longer-term performance criteria.

	2.	 	Term.

	 	(a)	 	This Agreement is effective as of the 26th day of January, 2006, the date of
execution of this Agreement, and shall continue unless terminated in accordance with
Section 10 herein.

	 	(b)	 	GTI reserves the right to pay the Employee in lieu of any period of notice.

	 	(c)	 	Further, GTI reserve the right to require the Employee not to attend GTI’s
premises or the premises of the Employee’s business unit or to provide the Employee
with alternative work of a broadly similar nature to the work the Employee normally
performs, during any period of suspension or whilst the Employee is under notice of
termination (served either by GTI or the Employee) provided that the Employee continues
to be paid the salary and benefits to which the Employee is entitled under this
Agreement and further provided that the period of any such requirement does not exceed
six (6) months.

	3.	 	Compensation. 

	 	(a)	 	For the purposes of this Agreement, “Salary” shall mean all payments by GTI to
the Employee pursuant to this Section 3.

	 	(b)	 	Commencing on the date hereof and continuing thereafter unless adjusted as set
forth herein, the Employee shall be paid an annual Salary of three hundred thousand
dollars (USD 300,000) payable in accordance with GTI’s customary payroll practices for
Employees, but no less frequently than bi-monthly and prorated for any partial year of
employment.

	 	(c)	 	As soon as practicable following the last day of each fiscal year of GTI, GTI
shall review the Salary of the Employee and shall consider, based upon the Employee’s
performance and GTI’s financial position, potential increases, but not decreases, to
the Employee’s Salary as GTI shall, in its sole and absolute discretion, deem
appropriate. Any such increased Salary shall be the “Salary” for all purposes under
this Agreement.

	4.	 	Bonus.

Subject to the terms and conditions of the Golden Telecom Group, Inc. Incentive Bonus Plan
for Senior Management (“Bonus Plan”), attached hereto as Annex A and forming an integral
part hereof, GTI shall pay to the Employee an annual performance-based, incentive
compensation payment (“Target Bonus”), which in the first year of the term hereof shall be
in the amount of one hundred and fifty thousand dollars (USD 150,000).

	5.	 	Grant of Stock Appreciation Rights.

The Employee shall be awarded fifty thousand (50,000) Stock Appreciation Rights (“SARs”)
pursuant to the Golden Telecom, Inc. 2005 Stock Appreciation Rights Plan (the “Plan”)
pursuant to the standard pricing and vesting schedule and award agreement for participants
in the Plan.

	6.	 	Benefits.

	 	(a)	 	During the term of this Agreement, the Employee shall be entitled to receive
such benefits and to participate in such employee group pension and welfare benefit
plans, property, life, and disability insurance, and worldwide medical insurance and
health benefits for the Employee and his family with a reputable international
insurance agency, initially Aetna Global Benefits, and dental and medical
coverage policies as are generally provided by GTI to its employees of comparable level
and responsibility in accordance with the plans, practices and programs of GTI
(“Benefits”). The Employee’s life insurance policy shall carry a value of $500,000 and
his disability insurance policy shall carry a value of sixty (60) percent of the
Employee’s Salary, and in the absence of valid insurance policies with independent
insurance companies, these insurance obligations shall be direct obligations of the
Employer.

	 	(b)	 	During the term of this Agreement, GTI shall pay the reasonable school fees for
the Employee’s eligible children in accordance with the policies and practices of GTI.

	 	(c)	 	Upon termination of this Agreement under any of the eventualities described in
paragraphs (b)-(e) of Section 10 hereof, GTI shall provide the Employee with
reimbursement (i) for the cost of a one-way business class airline ticket for the
Employee and his spouse (or if he is not married, his significant other) and his
children from their place of secondment to their place of relocation or their domicile
in their home country; and (ii) for the cost of moving the Employee’s and his spouse’s
(or if he is not married, his significant other’s) and children’s household goods and
other personal property from their place of secondment to their place of relocation or
to any storage facility designated by the Employee.

In conjunction with the foregoing, in the event of the Employee’s voluntary
resignation under Subsection 10(d) hereof, the benefits provided under this
Subsection 6(c) shall be payable only if (i) the effective date of the Employee’s
voluntary resignation is on or after the first anniversary of his commencement of
employment under this Agreement, and (ii) the Employee and his spouse (or if he is
not married, his significant other) and his children incur the foregoing travel and
relocation expenses within one (1) year of the effective date of the termination of
his employment.

Furthermore, in the event of the Employee’s death or termination of employment due
to Total Disability under Subsections 10(b) and (c) hereof, respectively, the
foregoing travel and relocation expense shall include the cost, as appropriate, of
shipping the Employee’s body to a place designated by him or his spouse (or if he is
not married, his significant other) or alternatively, if appropriate due to the
Employee’s Total Disability, shall include the cost of providing the Employee with
an appropriate medical evacuation mode of travel.

	 	(d)	 	During the term of this Agreement and for the tax reporting year twelve months
after the termination of this Agreement, GTI shall pay the cost of services by Ernst &
Young, or some other reputable international accounting/tax firm as determined by GTI,
to prepare the Employee’s and his spouse’s (or if he is not married, his significant
other’s) tax declarations in Russia and in the Employee’s and his spouse’s (or if he is
not married, his significant other’s) country of citizenship, to the extent required
and requested by the Employee. In addition, it is the intent of the parties hereto
that GTI shall equalize the Employee’s income tax obligation as if the Employee’s
compensation and other benefits provided under this Agreement were earned in the
Employee’s home country and subject only to income tax by the Employee’s home country;
provided, that the Employee will retain the benefit of his “Foreign Tax Credit
carryforwards” from years prior to his commencement of employment with GTI and the
effect of these Foreign Tax Credits should not be lost for the Employee and the actual
and economic benefit of any equivalent benefit in the Employee’s home country as is
allowed to US citizens pursuant to any Foreign Earned Income Exclusion and the Foreign
Housing Exclusion and Deduction (the “Exclusions”) as set forth in Section 911 of the
Internal Revenue Code of 1986, as amended (the “Code”), (the Foreign Income Exclusion
currently being eighty thousand dollars (USD 80,000)). As such, the parties hereto
expressly acknowledge and agree that (i) GTI or its affiliates shall pay all of the
Employee’s Russian tax obligations associated with the Employee’s compensation and
other benefits provided under this Agreement, in such amounts and at such times as
required by applicable Russian tax law (whether directly to the Russian taxing
authority, or through reimbursement to the Employee), plus pay to the Employee such
additional amounts as are required to gross up the Employee’s compensation and benefits
provided under this Agreement for any Russian income taxes or other income taxes of the
Employee’s home country associated with the payments and reimbursements required by
this Section 6(d) and (ii), notwithstanding any change in applicable tax law after the
date hereof, the potential benefit to the Employee associated with the Exclusions shall
in no event be less than the amount that would be available to the Employee under Code
Section 911 as of the date hereof.

	 	(e)	 	During the term of this Agreement, GTI shall provide necessary visa support for
the Employee and his family.

	 	(f)	 	During the term of this Agreement, GTI shall make available, at its sole
expense, foreign language training for the Employee, his spouse (or if not married, his
significant other) and children.

	 	(g)	 	During the term of this Agreement, GTI will match 50% of Employee’s maximum
allowed annual contribution into GTI’s-sponsored 401(k) Plan.

	 	(h)	 	During the term of this Agreement, GTI shall provide Employee with blanket
accident insurance, which insures against accidental loss of life or bodily injury.

	 	(i)	 	During the term of this Agreement, GTI shall make available to Employee
personal property insurance coverage against physical loss to items of Employee’s
personal property which are lost, damaged or destroyed.

	7.	 	Expense Reimbursement.

During the term of employment, GTI shall reimburse the Employee for all reasonable and
necessary expenses incurred by the Employee in connection with the performance of Employee’s
duties as an employee of GTI. Such reimbursement is subject to the submission to GTI by the
Employee of appropriate documentation and/or vouchers in accordance with the customary
procedures of GTI for expense reimbursement, as such procedures may be revised by GTI from
time to time hereafter.

	8.	 	Vacation.

During each of GTI’s fiscal years during the term of employment, the Employee shall be
entitled to no less than four (4) weeks vacation, or such greater number of days as provided
by any policy of GTI. Unused vacation days will not carry-over or accumulate from year to
year without the prior written consent of the Director, Human Resources.

	9.	 	Taxation Policy.

Notwithstanding Section 6(d) of this Agreement, to the extent that the Golden Telecom Group,
Inc. Expatriate Taxation Policy, as amended from time to time (“Policy”), provides more
favorable treatment to the Employee, the Policy will control.

	10.	 	Termination.

	 	(a)	 	GTI shall have “Cause” to terminate the Employee’s employment hereunder upon
the Employee’s:

	 	(i)	 	failure to follow a legal order of the Board of Directors or
the Chief Executive Officer of GTI, other than any such failure resulting from
the Employee’s physical or mental disability, sickness or other periods of
excused absence after notice and reasonable opportunity for cure;

	 	(ii)	 	fraud, embezzlement, or any other similar illegal act committed
by the Employee in connection with the Employee’s duties as an employee of GTI
or any subsidiary or affiliate or parent, direct or indirect, of GTI;

	 	(iii)	 	conviction of any felony involving moral turpitude which
causes or may reasonably be expected to cause substantial economic injury to or
substantial injury to the reputation of GTI or any subsidiary or affiliate or
parent, direct or indirect, of GTI; or

	 	(iv)	 	willful commission of an act or willful omission of an act
which is intended to cause or may reasonably be expected (as of the time of
such occurrence) to cause substantial economic injury to or substantial injury
to the reputation of GTI or any subsidiary or affiliate or parent, direct or
indirect, of GTI, including, without limitation, any material violation of the
Foreign Corrupt Practices Act, as described herein below.

Action or inaction by the Employee shall not be considered “willful” unless done or omitted
by the Employee intentionally and without the Employee’s reasonable belief that the
Employee’s action or inaction was in the best interests of GTI, and shall not include
failure to act by reason of total or partial incapacity due to physical or mental illness.
The cessation of employment of the Employee shall not be deemed to be for Cause unless prior
to such termination there shall have been delivered to the Employee a copy of a resolution
duly adopted by the affirmative vote of not less than a majority of the disinterested
membership of the Board of Directors of GTI at a meeting of such Board of Directors called
and held for such purpose (after reasonable notice is provided to the Employee and the
Employee is given an opportunity, together with counsel, to be heard before such Board of
Directors), finding, that, in the good faith opinion of the Board of Directors, the Employee
is guilty of the conduct described in clause (i), (ii) (iii) or (iv) above, and specifying
the particulars thereof in detail.

	 	(b)	 	Termination by Reason of Total Disability. Notwithstanding anything to
the contrary in this Agreement, GTI shall at all times have the right to terminate this
Agreement and the employment of the Employee immediately by delivering written notice
to the Employee if the Employee experiences a Total Disability. For the purpose of
this Agreement, the term “Total Disability” means any mental or physical illness,
condition, disability or incapacity that:

	 	(i)	 	prevents the Employee from discharging essential job
responsibilities and employment duties;

	 	(ii)	 	shall be attested to in writing by a physician or a group of
physicians acceptable to GTI; and

	 	(iii)	 	continues for period of six (6) consecutive months.

A Total Disability shall be deemed to have occurred on the last day of such applicable six
(6) month period, and shall be determined in accordance with applicable law relating to
disability.

	 	(c)	 	Termination by Reason of Death. This Agreement shall terminate
immediately upon the death of the Employee.

	 	(d)	 	Voluntary Resignation. The Employee may terminate the Agreement at any
time by giving ninety (90) days prior written notice to GTI (the “Employee’s Notice
Period”). Upon receipt of such notice to GTI, GTI, in its sole and absolute
discretion, may either continue to employ the Employee during all or part of the
Employee’s Notice Period, or may continue to pay the Employee’s Salary and continue
Benefits during the Employee’s Notice Period in lieu of continued employment.

	 	(e)	 	Termination Without Cause. GTI may terminate the Employee’s employment
at any time, for any reason, by providing the Employee with ninety (90) days prior
written notice (the “Employer’s Notice Period”) of pending termination. Upon providing
such notice to the Employee, GTI, in its sole and absolute discretion, may either
continue to employ the Employee during all or part of the Employer’s Notice Period, or
may continue to pay the Employee’s Salary and continue Benefits during the Employer’s
Notice Period in lieu of continued employment.

	 	(f)	 	Notice of Termination. Any termination by GTI shall be communicated by
Notice of Termination to the Employee given in accordance with Section 19. For
purposes of this Agreement, a “Notice of Termination” means a written notice given
within ten (10) business days of the GTI’s having actual knowledge of the events giving
rise to such termination, which (i) indicates the specific termination provision in
this Agreement relied upon, (ii) sets forth in reasonable detail the facts and
circumstances claimed to provide a basis for termination of the Employee’s employment
under the provision so indicated, and (iii) if the termination date is other than the
date of receipt of such notice, specifies the termination date of this Agreement (which
date shall be not more than fifteen (15) days after the giving of such notice).

	11.	 	Payments Upon Termination.

	 	(a)	 	Payment. Except as specifically set forth herein, all payments to be
made under the terms of this section may be made, in GTI’s sole and absolute
discretion, in one lump sum payment paid as soon as reasonably practical following the
date of Employee’s termination or in installments over the term of the period covered
by the payments, paid in accordance with GTI’s customary payroll practices.

	 	(b)	 	Termination For Cause. In the event that the Employee’s employment
under this Agreement is terminated for Cause, GTI shall have no obligation to pay the
Salary or provide any other compensation or Benefits provided under this Agreement to,
or for the benefit of, the Employee for any period after the date of such termination,
or to pay any Bonus for the fiscal year in which such termination occurs; provided,
however, that GTI shall promptly pay (i) all Salary earned by the Employee prior to the
date of such termination, (ii) any Benefits under any plans of GTI in which the
Employee is a participant to the full extent of the Employee’s rights under such plans
prior to termination, and (iii) reimbursement of any appropriate business and/or
entertainment expenses incurred by the Employee prior to termination and properly
submitted to GTI.

	 	(c)	 	Termination by Reason of Total Disability. In the event that the
Employee’s employment under this Agreement is terminated by reason of Total Disability,
GTI shall have no obligation to pay the Salary provided under this Agreement to or for
the benefit of the Employee for any period after the date of such termination;
provided, however, that GTI shall promptly pay to the Employee (i) all Salary earned by
the Employee prior to the date of such termination, (ii) the pro rata share of any
Bonus for the fiscal year in which the total disability occurred (which payment shall
be made based on the assumption that GTI had met the requirement for the payment of the
Target Bonus) (iii) any Benefits under any plans of GTI in which the Employee is a
participant to the full extent of the Employee’s rights under such plans, and (iv)
reimbursement of appropriate business and/or entertainment expenses incurred by the
Employee prior to such termination and properly submitted to GTI, each such item to be
paid to the date of such termination with the exception of disability benefits, which
shall continue to be paid from the GTI’s insured or self-insured long-term disability
plan, as the case may be, for the period specified in such plan. In the event there is
a period of time during which the Employee is not being paid Salary and not receiving
long-term disability payments for any reason, and conditioned upon the Employee or the
Employee’s representative immediately notifying GTI in writing, the GTI Compensation
Committee shall make all necessary inquiries and shall decide in its sole and absolute
discretion whether GTI shall make interim payments to the Employee until the
commencement of payments under the long-term disability plan.

	 	(d)	 	Termination by Reason of Death. If the Employee dies during the
Employee’s employment pursuant to this Agreement, GTI shall have no obligation to pay
the Salary provided under this Agreement to or for the benefit of the Employee for any
period after the date of the Employee’s death; provided, however, that GTI shall
promptly pay to the Employee’s designated beneficiary, to the degree earned but not
paid prior to the date of the Employee’s death: (i) all Salary; (ii) the pro rata share
of any Bonus for the fiscal year in which the death occurred (which payment shall be
made based on the assumption that GTI had met the requirement for the payment of the
Target Bonus); (iii) any Benefits under any plans of GTI in which the Employee is a
participant to the full extent of the Employee’s rights under such plans, and (iv)
reimbursement of any appropriate business and/or entertainment expenses incurred by the
Employee and properly submitted.

	 	(e)	 	Voluntary Resignation. In the event that the Employee resigns
voluntarily from Employee’s employment with GTI, GTI shall have no obligation to pay
the Salary provided under this Agreement to or for the benefit of the Employee for any
period after the end of the expiration of the Employee’s Notice Period, or after the
termination date if GTI elects to terminate the Employee and actually makes payments in
lieu of employment during the Employee’s Notice Period; provided, however, that GTI
shall promptly pay upon termination (i) all Salary earned by the Employee prior to the
expiration of the Employee’s Notice Period and (ii) any Benefits under any plans of GTI
in which the Employee is a participant to the full extent of the Employee’s rights
under such plans prior to the expiration of the Employee’s Notice Period, provided,
however, that such Benefits shall cease upon the Employee’s receipt of comparable
benefits under, or coverage under, any plans provided by a new employer; and (iii)
reimbursement of any appropriate business and/or entertainment expenses incurred by the
Employee through the end of said notice period and properly submitted.

	 	(f)	 	Termination Without Cause. In the event GTI terminates this Agreement
and the Employee’s employment without Cause:

	 	(i)	 	GTI shall promptly pay or provide to the Employee, to the
extent earned prior to the date of such termination: (A) all Salary; (B) the
pro rata share of all Bonuses for the fiscal year in which the termination
occurred (which payment shall be made based on the assumption that GTI had met
the requirement for the payment of the Target Bonus); (C) any Benefits under
any plans of GTI in which the Employee is a participant to the full extent of
the Employee’s rights under such plans prior to termination, except as noted in
Section 11(f)(ii)(B) below; and (D) reimbursement of any appropriate business
and/or entertainment expenses incurred by the Employee prior to such
termination and properly submitted to GTI.

	 	(ii)	 	subject to the GTI’s receipt from the Employee of a general
release of employment-related claims, attached hereto as Annex D, GTI shall
also promptly pay to the Employee:

(A) a lump sum amount equal to the Employee’s Salary at its then-current
rate for a period equal to six (6) months, plus any amount to be paid to the
Employee as a cash payout of Salary due to the Employee for that portion of
the Employer’s Notice Period that GTI shall elect to pay out pursuant to
section 11(e) hereof; provided that following the completion by the Employee
of one year employment, the amount paid under this section 11(f)(ii)A shall
increase to an amount equal to the Employee’s Salary at its then-current
rate for a period equal to nine (9) months, plus any amount to be paid to
the Employee as a cash payout of Salary due to the Employee for that portion
of the Employer’s Notice Period that GTI shall elect to pay out pursuant to
section 11(e) hereof; and

(B) in the event GTI is unable to continue such benefits pursuant to clause
(iii) hereof, GTI shall pay to the Employee the cost of continuing all
medical and dental coverages for a period of six (6) months, and shall pay
directly to the Employee a cash amount equal to the maximum matching
contribution which the Employee would have received pursuant to the terms of
GTI’s 401(k) Plan as though he had been permitted to continue making the
maximum permissible contributions to such plan for such period.

	 	(iii)	 	In addition to the payments described in clause (ii) hereof,
GTI shall continue to provide the Employee and his eligible dependents at GTI’s
expense (except to the extent of any premiums customarily charged to active
employees) with all medical, dental, life, disability and other coverages as
provided for under Section 6(b) hereof during the period determined in
accordance with Section 11(f)(ii)(A), provided however, that such benefits
shall cease upon the Employee’s receipt of comparable benefits under, or
coverage under, any plans provided by a new employer if such coverage commences
prior to the period determined in accordance with Section 11(f)(ii)(A) hereof.

(g) Relocation Expense Reimbursements. Reimbursement of the amounts described in
Subsection 6(c) hereof shall be promptly paid to the Employee provided a properly-submitted
reimbursement request is received by GTI within sixty (60) days of the date(s) such expenses
were incurred.

(h) No Requirement to Mitigate. The Employee shall not be required to mitigate the
amount of any payment or benefit provided for in this Section 11 by seeking other employment
or otherwise, and, unless specifically contemplated by this Agreement, the amount of any
payment or benefit provided for in this Section 11 shall not be reduced by any compensation
or benefits earned by the Employee as the result of employment by another employer or by
retirement benefits or from any other source.

	12.	 	Payments In Event of Change of Control.

In the event of a Change of Control, the Employee shall receive payment in accordance with
sections 12(b) and (c) below.

	 	(a)	 	(1) For the purposes of this Agreement, a “Change of Control” shall have
occurred whenever any of the following events happen:

	 	(i)	 	any “Person” (as defined in Section 3(a)(9) of the Securities
Exchange Act of 1934 (the “Exchange Act”) as modified and used in Sections
13(d) and 14(d) of the Exchange Act), other than an “Excluded Party,” is or
becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange
Act), directly or indirectly, of securities of GTI representing more than 49.9%
of the combined voting power of GTI’s then outstanding voting securities;

	 	(ii)	 	the stockholders of GTI approve a merger or consolidation of
GTI with any other corporation, other than a merger or consolidation which
would result in the voting securities of GTI outstanding immediately prior
thereto continuing to represent (either by remaining outstanding or by being
converted into voting securities of the surviving or parent entity) 50% or more
of the combined voting power of the voting securities of GTI or such surviving
or parent entity outstanding immediately after such merger or consolidation;

	 	(iii)	 	the stockholders of GTI approve a plan of complete liquidation
of GTI or an agreement for the sale or disposition by GTI of all or
substantially all of GTI’s assets or all or substantially all of its and its
subsidiaries’ assets, taken as a whole (or any transaction having a similar
effect).

	 	(2)	 	For purposes of this Agreement, an “Excluded Party” shall mean (1) GTI
or any of its subsidiaries, (2) any trustee or other fiduciary holding securities
under an employee benefit plan of GTI or any of its subsidiaries, (3) an
underwriter temporarily holding securities pursuant to an offering of such
securities, (4) any corporation owned, directly or indirectly, by the stockholders
of GTI in substantially the same proportions as their ownership of GTI’s common
stock or (5) Alfa Telecom Limited, Nye Telenor East Invest AS, OAO Rostelecom or
their respective wholly-owned subsidiaries and legal successors.

	 	(b)	 	Change of Control Payment. As soon as practicable following a Change
of Control, GTI shall pay the Employee a lump sum amount equal to two times the
Employee’s Salary and a pro rata share of any Bonus for the portion of the GTI’s fiscal
year which elapses prior to the Change of Control (which payment shall be made based on
the assumption that GTI had met the requirement for the payment of the Target Bonus).
The accelerated vesting of any stock options or restricted stock will be determined in
accordance with the governing restricted stock plan or restricted stock agreement(s).

	 	 	 	(c)

1

Certain Further Payments.

	 	(i)	 	Tax Reimbursement Payment. In the event that any
amount or benefit paid or distributed to the Employee by GTI or any of its
affiliates (an “Affiliated Company”), whether pursuant to this Agreement or
otherwise (collectively, the “Covered Payments”), is or becomes subject to the
tax (the “Excise Tax”) imposed under Section 4999 of the Code, or a comparable
provision of the tax laws of the Employee’s home country, or any similar tax
that may hereafter be imposed, GTI shall pay to the applicable taxing
authorities as withholding on behalf of the Employee, at the time specified in
Section 12(f) below, the Tax Reimbursement Payment (as defined below). The Tax
Reimbursement Payment is defined as an amount, which when added to the Covered
Payments and reduced by any Excise Tax on the Covered Payments and any federal,
state and local income tax and Excise Tax on the Tax Reimbursement Payment
provided for by this Agreement (but without reduction for any federal, state or
local income or employment tax on such Covered Payments), shall be equal to the
sum of (i) the amount of the Covered Payments, and (ii) an amount equal to the
product of any deductions disallowed for federal, state or local income tax
purposes because of the inclusion of the Tax Reimbursement Payment in the
Employee’s adjusted gross income and the highest applicable marginal rate of
federal, state or local income taxation, respectively, for the calendar year in
which the Tax Reimbursement Payment is to be made.

	 	(ii)	 	Determining Excise Tax. For purposes of determining
whether any of the Covered Payments will be subject to the Excise Tax and the
amount of such Excise Tax,

(A) such Covered Payments will be treated as “parachute payments” within the
meaning of Section 280G of the Code, or a comparable provision of the tax
laws of the Employee’s home country and all “parachute payments” in excess
of the “base amount” (as defined under Section 280G(b)(3) of the Code) shall
be treated as subject to the Excise Tax, unless, and except to the extent
that, in the opinion of the GTI’s independent certified public accountants,
which, in the case of Covered Payments made after the date of a Change of
Control, shall be GTI’s independent certified public accountants appointed
prior to the date of the Change of Control, or tax counsel selected by such
accountants (the “Accountants”), such Covered Payments (in whole or in part)
either do not constitute “parachute payments” or represent reasonable
compensation for services actually rendered (within the meaning of Section
280G(b)(4) of the Code) in excess of the “base amount,” or such “parachute
payments” are otherwise not subject to such Excise Tax, and

(B) the value of any non-cash benefits or any deferred payment or benefit
shall be determined by the Accountants in accordance with the principles of
Section 280G of the Code.

	 	(d)	 	Applicable Tax Rates and Deductions. For purposes of determining the
amount of the Tax Reimbursement Payment, the Employee shall be deemed:

	 	(i)	 	to pay any applicable federal income taxes at the highest
applicable marginal rate of federal income taxation for the calendar year, in
which the Tax Reimbursement Payment is to be made,

	 	(ii)	 	to pay any applicable state and local income taxes at the
highest applicable marginal rate of taxation for the calendar year in which the
Tax Reimbursement Payment is to be made, net of the maximum reduction in
applicable federal income taxes which could be obtained from the deduction of
such state or local taxes if paid in such year (determined without regard to
limitations on deductions based upon the amount of the Employee’s adjusted
gross income), and

	 	(iii)	 	to have otherwise allowable deductions for federal, state and
local income tax purposes at least equal to those disallowed because of the
inclusion of the Tax Reimbursement Payment in the Employee’s adjusted gross
income.

	 	(e)	 	Subsequent Events. In the event that the Excise Tax is subsequently
determined by the Accountants to be less than the amount taken into account hereunder
in calculating the Tax Reimbursement Payment made, the Employee shall repay to the GTI,
at the time or as soon as practicable thereafter, that the amount of such reduction in
the Excise Tax is finally determined, the portion of such prior Tax Reimbursement
Payment that has been paid to federal, state or local tax authorities on the Employee’s
behalf and that would not have been paid if such Excise Tax had been applied in
initially calculating such Tax Reimbursement Payment, plus interest on the amount of
such repayment at the rate provided in Section 1274(b)(2)(B) of the Code.
Notwithstanding the foregoing, in the event any portion of the Tax Reimbursement
Payment to be refunded to GTI has been paid to any federal, state or local tax
authority, repayment thereof shall not be required until actual refund or credit of
such portion has been made to the Employee, and interest payable to GTI shall not
exceed interest received or credited to the Employee by such tax authority for the
period it held such portion. The Employee and GTI shall mutually agree upon the course
of action to be pursued (and the method of allocating the expenses thereof) if the
Employee’s good faith claim for refund or credit is denied.

In the event that the Excise Tax is later determined by the accountants to exceed the amount
taken into account hereunder at the time the Tax Reimbursement Payment is made (including,
but not limited to, by reason of any payment the existence or amount of which cannot be
determined at the time of the Tax Reimbursement Payment), GTI shall make an additional Tax
Reimbursement Payment in respect of such excess (which Tax Reimbursement Payment shall
include any interest or penalty payable with respect to such excess) at the time that the
amount of such excess is finally determined.

	 	(f)	 	Date of Payment. The portion of the Tax Reimbursement Payment
attributable to a Covered Payment shall be paid to the applicable taxing authorities
within ten (10) business days following the payment of the Covered Payment. If the
amount of such Tax Reimbursement Payment (or portion thereof) cannot be finally
determined on or before the date on which payment is due, GTI shall either pay to the
applicable taxing authorities, an amount estimated in good faith by the Accountants to
be the minimum amount of such Tax Reimbursement Payment and shall pay the remainder of
such Tax Reimbursement Payment (which Tax Reimbursement Payment shall include interest
at the rate provided in Section 1274(b)(2)(B) of the Code) as soon as the amount
thereof can be determined, but in no event later than forty-five (45) calendar days
after payment of the related Covered Payment. In the event that the amount of the
estimated Tax Reimbursement Payment exceeds the amount subsequently determined to have
been due, such excess shall be repaid or refunded pursuant to the provisions of Section
12(e) above.

	13.	 	Covenants of the Employee.

In order to induce GTI to enter into this Agreement and employ the Employee, the Employee
hereby covenants and agrees as follows:

	 	(a)	 	During the term of this Agreement, and for a period equal to six (6) months
thereafter, the Employee shall not, without the prior written consent of GTI, directly
or indirectly through any other person or entity, own, acquire in any manner any
ownership interest in (except purely passive investments amounting to no more than five
percent (5%) of the voting equity), or serve as a director, officer, employee, counsel
or consultant of any person, firm, partnership, corporation, consortium, association or
other entity that competes with GTI or any of its direct or indirect affiliates,
parents, or subsidiaries, in the Russian Federation or the Commonwealth of Independent
States within such six (6) month period, with such six (6) month period under this
section 13(a) increasing to nine (9) months following the completion by the Employee of
one year of employment under this Agreement;

	 	(b)	 	During the term of this Agreement, and for a subsequent period of six (6)
months, the Employee shall not, without the prior written consent of GTI, directly or
indirectly through any other person or entity, with such six (6) month period under
this section 13(b) increasing to nine (9) months following the completion by the
Employee of one year of employment:

	 	(i)	 	solicit, entice, persuade or induce any individual who is at
any time during the term of this Agreement, an officer, director or employee of
GTI, or any of its subsidiaries or affiliates or parents, direct or indirect,
to terminate or refrain from renewing or extending such person’s employment
with GTI or such subsidiary or affiliate or parent, direct or indirect, or to
become employed by, enter into contractual relations with, or become consultant
to any other individual or entity, and the Employee shall not approach any such
employee for any such purpose or authorize or knowingly cooperate with the
taking of any such actions by any other individual or entity; or

	 	(ii)	 	except in accordance with the Employee’s duties on behalf of
GTI, solicit, entice, persuade, or induce any individual or entity which
currently is, or at any time during the term of this Agreement shall be, a
customer, consultant, vendor, supplier, lessor or lessee of GTI, or any of its
subsidiaries or affiliates or parents, direct or indirect, to terminate or
refrain from renewing or extending its contractual or other relationship with
GTI or such subsidiary or affiliate or parent, direct or indirect, and the
Employee shall not approach any such customer, vendor, supplier, consultant,
lessor or lessee for such purpose or authorize or knowingly cooperate with the
taking of any such actions by any other individual or entity.

	 	(c)	 	The Employee shall not at any time during or after the term of this Agreement:

	 	(i)	 	other than when required in the ordinary course of business of
GTI, disclose, directly or indirectly, any person, firm, corporation,
partnership, association or other entity, any trade secret, or confidential
information concerning the financial condition, suppliers, vendors, customers,
lessors, or lessees, sources or leads for, and methods of obtaining, new
business, or the methods generally of doing and operating the respective
businesses of GTI or its affiliates and subsidiaries and parents, direct or
indirect, to the degree such secret or information incorporates information
that is proprietary to, or was developed specifically by or for GTI, except
such information that is a matter of public knowledge, was provided to the
Employee (without breach of any obligation of confidence owed to GTI) by a
third party that is not a subsidiary or affiliate or parent, direct or
indirect, of GTI, or is required to be disclosed by law or judicial or
administrative process; or

	 	(ii)	 	make any oral or written statement about GTI and/or its
financial status, business, compliance with laws, personnel, directors,
officers, consultants, services, business methods or otherwise, which are
intended or reasonably likely to disparage GTI or otherwise degrade its
reputation in the business or legal community in which it operates or in the
telecommunications industry.

	 	(d)	 	The Employee hereby represents that (i) the Employee is not restricted in any
material way from performing the Employee’s duties hereunder as the result of any
contract, agreement or law; and (ii) the Employee’s due performance of the Employee’s
duties hereunder does not and will not violate the terms of any agreement to which the
Employee is bound.

	14.	 	Foreign Corrupt Practices Act.

The Employee agrees to comply in all material respects with the applicable provisions of the
U.S. Foreign Corrupt Practices Act of 1977 (“FCPA”), as amended, which provides generally
that under no circumstances will foreign officials, representatives, political parties or
holders of public offices be offered, promised or paid any money, remuneration, things of
value, or provided any other benefit, direct or indirect, in connection with obtaining or
maintaining contracts or orders hereunder. When any representative, employee, agent, or
other individual or organization associated with the Employee is required to perform any
obligation related to or in connection with this Agreement, the substance of this section
shall be imposed upon such person and included in any agreement between the Employee and any
such person. Failure by the Employee to comply in all respects with the provisions of the
FCPA shall constitute a material breach of this Agreement and shall entitle GTI to terminate
this Agreement immediately upon such failure to comply. Additionally, the Employee hereby
acknowledges that the Employee has read the “GTI Business Practices Training Program,” a
copy of which has been provided to the Employee. The Employee also acknowledges that a
condition precedent to the effectiveness of this Agreement shall be the execution by the
Employee of the “Employee FCPA Certification,” a copy of which has been provided to the
Employee. Additionally, and as a condition for GTI to continue this Agreement, the Employee
may be required from time to time at the request of GTI to execute a certificate of the
Employee’s compliance with the aforementioned laws and regulations.

15. Compliance with Policy Manual and Policy for Purchases and Sales of Securities.

The Employee has read, and agrees to comply in all respects with GTI’s Policy Manual, as
revised as of June 1, 2005, and as subsequently revised; and also agrees to comply in all
respects with Legal Policy No. 1, “Policy and Procedures for Directors, Officers and
Employees of Golden Telecom, Inc. and its Affiliates on Insider Trading and Tipping” and
Legal Advisory Memorandum No. 1A, “Purchase and Sale of Golden Telecom Securities and Policy
Regarding the Purchase and Sale of the Corporations Securities by Employees,” as such
policies may be amended from time to time. Specifically, and without limitation, the
Employee agrees that the Employee shall not purchase or sell stock in GTI or any of its
subsidiaries, affiliates or parents, direct or indirect, at any time (i) that the Employee
possesses material non-public information about GTI or any of its businesses; and (ii)
during any “Trading Blackout Period” as may be determined by GTI, as set forth in Legal
Policy No. 1 and Legal Policy No. 1A from time to time.

16. Indemnification.

GTI agrees to indemnify and hold the Employee harmless from any and all liability that he
may incur in connection with his position as an officer, employee and, if elected, director
of GTI and any of their affiliated corporations, to the maximum extent permitted under
Delaware law. GTI agrees to maintain Directors and Officers liability insurance covering
the Employee, such insurance to be of appropriate amount and scope under current industry
standards for a company of GTI’s size.

17. Non-exclusivity of Rights. 

Nothing in this Agreement shall prevent or limit the Employee’s continuing or future
participation in any benefit, bonus, incentive or other plan or program provided by GTI, or
any of its affiliated corporations and for which the Employee may qualify, nor shall
anything herein limit or otherwise prejudice such rights as the Employee may have under any
other agreements with GTI, or any affiliated corporations, including, but not limited to
stock option or restricted stock agreements. Amounts which are vested benefits or which the
Employee is otherwise entitled to receive under any plan or program of GTI, or any
affiliated corporations at or subsequent to the date of the Employee’s termination from GTI
shall be payable in accordance with such plan or program.

18. No Delegation.

The Employee shall not delegate the Employee’s employment obligations under this Agreement
to any other person.

19. Notices.

Any written notice required by this Agreement will be deemed provided and delivered to the
intended recipient when (i) delivered in person by hand; or (ii) three days after being sent
via U.S. certified mail, return receipt requested; or (iii) the day after being sent via
overnight courier, in each case when such notice is properly addressed to the following
address and with all postage and similar fees having been paid in advance:

If to GTI:

	 	 	 
	Golden Telecom, Inc.

2831 29th Street, NW

	 	

	 
	 	 
	Washington, DC 20008 USA

	 
	 	 
	Attn:

Copy:

	 	Director Human Resources

Chief Executive Officer

If to the Employee:

As of the Date of signing of this Agreement:

Boris Oleg Svetlichny

121 Queen Street Ext.

Gorham, ME 04038

After the Date of signing of this Agreement:

Boris Oleg Svetlichny

c/o Representation Office

Golden TeleServices, Inc.

1 Kozhevnichesky Proezd

Moscow 115114

Either party may change the address to which notices, requests, demands and other
communications to such party shall be delivered personally or mailed by giving written
notice to the other party in the manner described above.

20. Binding Effect.

This Agreement shall be for the benefit of and binding upon the parties hereto and their
respective heirs, personal representatives, legal representatives, successors and, where
applicable, assigns.

21. Entire Agreement.

This Agreement constitutes the entire agreement between the listed parties with respect to
the subject matter described in this Agreement and supersedes all prior agreements,
understandings and arrangements, both oral and written, between the parties with respect to
such subject matter. This Agreement may not be modified, amended, altered or rescinded in
any manner, except by written instrument signed by both of the parties hereto; provided,
however, that the waiver by either party of a breach or compliance with any provision of
this Agreement shall not operate nor be construed as a waiver of any subsequent breach or
compliance.

22. Severability.

In case any one or more of the provisions of this Agreement shall be held by any court of
competent jurisdiction or any arbitrator selected in accordance with the terms hereof to be
illegal, invalid or unenforceable in any respect, such provision shall have no force and
effect, but such holding shall not affect the legality, validity or enforceability of any
other provision of this Agreement, provided, however, that the provisions held illegal,
invalid or unenforceable do not reflect or manifest a fundamental benefit bargained for by a
party hereto.

23. Dispute Resolution and Arbitration.

In the event that any dispute arises between GTI and the Employee regarding or relating to
this Agreement and/or any aspect of the Employee’s employment relationship with GTI, AND IN
LIEU OF LITIGATION AND A TRIAL BY JURY, the parties consent to resolve such dispute through
mandatory arbitration under the Commercial Rules of the American Arbitration Association
(“AAA”), before a single arbitrator in a location mutually acceptable to the Employee and
GTI. The parties hereby consent to the entry of judgment upon award rendered by the
arbitrator in any court of competent jurisdiction. Notwithstanding the foregoing, however,
should adequate grounds exist for seeking immediate injunctive or immediate equitable
relief, any party may seek and obtain such relief; provided that, upon obtaining such
relief, such injunctive or equitable action shall be stayed pending the resolution of the
arbitration proceedings called for herein. The parties hereby consent to the exclusive
jurisdiction in the state and Federal courts of or in the State of Delaware for purposes of
seeking such injunctive or equitable relief as set forth above.

2

24. Choice of Law.

The Employee and GTI intend and hereby acknowledge that jurisdiction over disputes with
regard to this Agreement, and over all aspects of the relationship between the parties
hereto, shall be governed by the laws of the State of Delaware without giving effect to its
rules for resolving conflicts of laws.

25. Section Headings. 

The section headings contained in this Agreement are for reference purposes only and shall
not affect in any manner the meaning or interpretation of this Agreement.

26. Counterparts.

This Agreement may be executed in any number of counterparts, each of which shall be deemed
an original, but all of which taken together shall constitute one and the same instrument.

27. Force Majeure.

Neither GTI nor the Employee shall be liable for any delay or failure in performance of any
part of this Agreement to the extent that such delay or failure is caused by an event beyond
its reasonable control including, but not be limited to, fire, flood, explosion, war,
strike, embargo, government requirement, acts of civil or military authority, and acts of
God not resulting from the negligence of the claiming party.

IN WITNESS WHEREOF, the parties to this Agreement have executed and delivered this Agreement
as of the day and year written above.

GOLDEN TELECOM, INC.

	 	 	 	 	 
	By:	 	___________________________
	Name:
	 	Jean-Pierre Vandromme

	Title:
	 	Chief Executive Officer

EMPLOYEE

     

Name: Boris Oleg Svetlichny

3

Annex A

Bonus Plan, subject to revision by the Board of Directors at any time and in any manner applicable
to all senior officer of Golden Telecom, Inc.

Periodic Performance Incentives. Incentive awards are made on a quarterly or annual basis to
executive officers and senior management on the basis of Company and business unit performance
relative to budget in such areas as revenue, net income, and EBITDA, which is a common performance
measure in the telecommunications industry and means earnings before interest, tax, depreciation
and amortization. The Company adopted a revised executive officer and senior management executive
bonus program in 2001, whereby an additional criterion, personal performance objectives, was added
and executives and senior management are eligible for an annual incentive payment based on the
fulfillment of these personal objectives. The bonus program was revised in 2003 such that all bonus
components will be paid annually. The Company intends to continue providing incentives in concert
with other compensation elements in order to maintain a competitive total compensation program for
its executive officers. The Committee reviews and approves all performance measures and goals
established under the annual and long-term incentive plans.

	 	 	 	 	 	 	 	 	 
	All in US$

	 	Base Salary
	 	Target Bonus

(“TB”)
	 	TB Performance

Element (75%)
	 	TB Subjective

Element (25%)

Boris Svetlichny 300,000 150,000* 112,500 37,500

* only eligible for proportion of this amount determined in relation to date of commencement
of employment in 2006

TB Subjective = at discretion of Board. Officer TB Subjective pool can split between Officers in
any way with no upper limit. At discretion of Board <100% of TB subjective pool can be awarded.

TB Performance = based on financial results relative to budget and split 33.3% revenue, 33.3%
EBITDA and 33.3% EAT. If budget achieved then 100% of TB Performance paid. If 80% of budget then
zero, if 120% of budget then 200% (capped >120% performance). Formula can be adjusted at
discretion of Board to account for one-offs and other material issues as determined by the Board.

4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00096-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00096-of-00352.parquet"}]]