Document:

Employment Agreement

    
      

      

    

     

    Exhibit
      10.2.1

     

     

    AMENDMENT
      NO. 1 TO

    EXECUTIVE
      EMPLOYMENT

    AGREEMENT
      DATED NOVEMBER 30, 2005

    

    The
      following is an amendment (“Amendment No. 1”) to the Executive Employment
      Agreement ("Agreement") dated November 30, 2005, by and among Cobalis Corp.,
      (“Company”) and Thomas Stankovich ("Executive"). All capitalized terms used
      herein, but not otherwise defined herein, shall have the meanings ascribed
      to
      them in the Agreement.

    

    WHEREAS,
      the parties to the Executive Employment Agreement desire to amend certain terms
      of the Agreement, specifically Section 3.(c)(i) and Section 7.(a)(iv) which
      were
      set forth as follows:

    

    Section
      3.(c)(i). Initial Grant.
      On or
      prior to the Start Date, the Company hereby grants to the Executive an
      option/warrant (the "Initial Stock Option/Warrant") to purchase One Million
      (1,000,000) shares of the Common Stock at the purchase/exercise price of $1.75
      per share. This Initial Stock Option/Warrant shall vest and be exercisable
      as
      follows: 1/3 of the shares vest and become exercisable as of the Start Date;
      1/3
      of the shares shall vest and become exercisable one year after the Start Date;
      and 1/3 of the shares shall vest and become exercisable two years after the
      Start Date. Notwithstanding the foregoing, the Initial Stock Option/Warrant
      shall vest and be fully exercisable upon a Change in Control and shall vest
      as
      otherwise provided herein upon termination of the Executive's
      employment.

    

    Section
      3.(c)(ii) Future Grants.
      The
      Executive shall be entitled to participate in future stock option grants (the
      "Future Stock Options/Warrants") as determined by the President or the Board
      or
      any dully authorized Committee of the Board.

    

    Section
      3.(c)(iii) Option/Warrant Agreement.
      The
      Initial Stock Option/Warrant and any Future Stock Options/Warrants shall be
      evidenced by agreements in customary form for grants of stock options/warrants
      to executive officers of the Company, consistent with the terms and conditions
      of this Agreement.

    

    Section
      7.(a)(iv). Compensation Upon Termination by the Company for Cause or by the
      Executive Without Good Reason.
      If the
      Executive's employment is terminated by the Company for Cause or by the
      Executive Without Good Reason, the Company shall pay the Executive all amounts
      earned hereunder through the date of termination of the Executive's employment,
      including: any stock options and stock appreciation rights (including Initial
      Stock Option/Warrant and Future Stock Options/Warrants) granted to the Executive
      and vested through the date of termination of the Executive’s employment
      pursuant to the vesting schedule in Section 3(c)(i) shall become immediately
      exercisable for a period of thirty (30) days following the date of termination
      of the Executive’s employment.

    

    Section
      7.(b)(ii). Termination
      Upon Death or Disability. All
      restrictions on any outstanding awards granted by the Company (including
      restricted stock awards) granted to the Executive shall lapse and such awards
      shall become fully (100%) and immediately vested, and all stock options and
      stock appreciation rights (including Initial Stock Option/Warrant and Future
      Stock Options/Warrants) granted to the Executive and vested through the date
      of
      termination of the Executive’s employment pursuant to the vesting schedule in
      Section 3(c)(i) shall become immediately exercisable for a remaining life of
      the
      Stock Option/Warrant, or a period which shall be no less than twenty-four (24)
      months following the date of termination of the Executive’s employment,
      whichever is greater;

    

    Section
      7.(c)(iii). Termination
      Upon Death or Disability. 
      All
      restrictions on any outstanding awards granted by the Company (including
      restricted stock awards) granted to the Executive shall lapse and such awards
      shall become fully (100%) and immediately vested, and all stock options and
      stock appreciation rights (including Initial Stock Option/Warrant and Future
      Stock Options/Warrants) granted to the Executive and vested through the date
      of
      termination of the Executive’s employment pursuant to the vesting schedule in
      Section 3(c)(i) shall become immediately exercisable for a remaining life of
      the
      Stock Option/Warrant, or a period which shall be no less than twenty-four (24)
      months following the date of termination of the Executive’s employment,
      whichever is greater; and

     

    
      
         

      

      
        1

        
          

        

      

      
         

      

    

    

    NOW,
      THEREFORE, in consideration of the promises and mutual covenants hereinafter
      set
      forth, the parties hereto, intending to be legally bound, hereby agree as of
      the
      Amendment Date, i.e., the date below on which this Amendment is executed by
      the
      parties, that the Agreement shall be amended to read as follows:

     

    Section
      3. (c)(i) Initial
      Grant. In
      lieu
      of the Initial Stock Option/Warrant granted pursuant to the Agreement, and
      pursuant to the terms of the Warrant Cancellation Agreement, the Company hereby
      grants to the Executive options (the "Stock Options") to purchase One Million
      (1,000,000) shares of the Company’s Common Stock at the exercise price of $1.75
      per share, such options to have a term of ten (10) years from November ___,
      2006, i.e., the Start Date of this Amended Agreement. That grant of Stock
      Options shall be evidenced by the agreement executed on even date herewith
      entitled “Stock Option Agreement”. The Stock Options shall vest and be
      exercisable as follows: 1/3 of the options shall vest upon execution of this
      Amendment; 1/3 of the options shall vest and become exercisable on December
      5,
      2006; and 1/3 of the options shall vest and become exercisable on December
      5,
      2007. Notwithstanding the foregoing, the Stock Options shall vest and be fully
      exercisable upon a Change in Control and shall vest as otherwise provided herein
      upon termination of the Executive's employment.

    

    Section
      3.(c)(ii) Future Grants.
      The
      Executive shall be entitled to participate in future stock option grants (the
      "Future Stock Options") as determined by the President or the Board or any
      dully
      authorized Committee of the Board.

    

    Section
      3.(c)(iii) Option Agreement.
      The
      Initial Stock Option and any Future Stock Options or Warrants shall be evidenced
      by agreements in customary form for grants of stock options or warrants to
      executive officers of the Company, consistent with the terms and conditions
      of
      this Agreement.

    

    Section
      7.(a)(iv). Compensation Upon Termination by the Company for Cause or by the
      Executive Without Good Reason.
      If the
      Executive's employment is terminated by the Company for Cause or by the
      Executive Without Good Reason, the Company shall pay the Executive all amounts
      earned hereunder through the date of termination of the Executive's employment,
      including: any outstanding and valid stock options and stock appreciation rights
      (including any Initial and Future Stock Options or Warrant grants) granted
      to
      the Executive and vested through the date of termination of the Executive’s
      employment pursuant to the vesting schedule in Section 3(c)(i) shall become
      immediately exercisable for a period of twelve (12) months following the date
      of
      termination of the Executive’s employment.

    

    Section
      7.(b)(ii). Termination
      Upon Death or Disability. All
      restrictions on any outstanding awards granted by the Company (including
      restricted stock awards) granted to the Executive shall lapse and such awards
      shall become fully (100%) and immediately vested, and all stock options and
      stock appreciation rights (including Initial Stock Options and Future Stock
      Options or Warrants) granted to the Executive and vested through the date of
      termination of the Executive’s employment pursuant to the vesting schedule in
      Section 3(c)(i) shall become immediately exercisable for a remaining life of
      the
      Stock Option, or a period which shall be no less than twenty-four (24) months
      following the date of termination of the Executive’s employment, whichever is
      greater;

    

    Section
      7.(c)(iii).  Termination
      Upon Death or Disability. All
      restrictions on any outstanding awards granted by the Company (including
      restricted stock awards) granted to the Executive shall lapse and such awards
      shall become fully (100%) and immediately vested, and all stock options and
      stock appreciation rights (including Initial Stock Option and Future Stock
      Options or Warrants) granted to the Executive and vested through the date of
      termination of the Executive’s employment pursuant to the vesting schedule in
      Section 3(c)(i) shall become immediately exercisable for a remaining life of
      the
      Stock Option or Warrant, or a period which shall be no less than twenty-four
      (24) months following the date of termination of the Executive’s employment,
      whichever is greater; and

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    Except
      for the specific amendments provided for herein, all terms and conditions of
      the
      Agreement shall remain and are in full force and effect.

     

    IN
      WITNESS WHEREOF, the parties have made and entered into this Amendment in
      duplicate on November ___, 2006.

     

     

    
      	COMPANY	 	 	EXECUTIVE
	
              Cobalis
                Corp., 

              a
                Nevada corporation

            	 	 	 
	 	 	 	 
	/s/ 	 	 	/s/ 
	
              
                

              

              Gerald Yakatan

              Its: CEO

            	 	 	
              
Thomas
              Stankovich

    

     

    3Consent of Harris N.A. pursuant to Third Amended and Restated Credit Agreement

    September
      22, 2006

    

    

    

    

    Harris
      N.A.

    Chicago,
      Illinois

    

    SunTrust
      Bank

    Atlanta,
      Georgia

    

    U.S.
      Bank
      National Association 

    Denver,
      Colorado

    

    Wells
      Fargo Bank National Association

    Austin,
      Texas

    

    ING
      Capital LLC

    New
      York,
      New York

    

    Regions
      Bank

    Birmingham,
      Alabama 

    

    Credit
      Suisse First Boston

    New
      York,
      New York

    

    CoBank,
      ACB

    Denver,
      Colorado

    

    Ladies
      and Gentlemen:

    

    Please
      refer to the Third Amended and Restated Secured Credit Agreement dated April
      7,
      2004 (as amended, the "Credit
      Agreement")
      by and
      among Pilgrim's Pride Corporation (the "Company"),
      Harris N.A. in its capacity as agent ("Agent")
      and in
      its individual capacity, and the other lenders party thereto ("Banks"),
      under
      which the Banks made a revolving credit facility available to the Company.
      All
      capitalized terms used herein without definition shall have the same meaning
      as
      set forth in the Credit Agreement.

    

    As
      discussed, the Company proposes to acquire Gold Kist, Inc. (the "Target")
      as
      contemplated in this letter (the "Acquisition
      Transaction").
      The
      Company currently contemplates that the Acquisition Transaction may be effected
      by a merger or other consolidation of the Target with or into Company, a merger
      or other consolidation of one of Company's subsidiaries with or into Target
      or
      by means of a friendly or hostile tender offer pursuant to which Company
      directly or indirectly acquires a majority of the outstanding capital stock
      of
      the Target followed by a merger or consolidation. The consideration therefore
      may be cash or a combination of cash and stock.

    

    The
      Company intends to finance the cash portion of the purchase price for the
      Target, in whole or in part, through the incurrence of borrowed money. Such
      financing may be consummated through an amendment to and the increase of the
      commitments or borrowings under existing credit facilities of the Company,
      the
      issuance or assumption of other senior or subordinated indebtedness or
      otherwise, which financing may be unsecured and/or secured by the assets of
      the
      Company (other than the Collateral) and the Target (the "Acquisition
      Financing").

    

    In
      order
      to permit the Company to consummate the Acquisition Transaction, the Acquisition
      Financing and the transactions contemplated thereby, the Company is requesting
      the Agent and the Banks to consent to the matters described below. Subject
      to
      the terms and provisions of this letter, the Agent and the Banks
      hereby:

    

    
      	 	
              (a)

            	
              Consent
                to the consummation of the Acquisition Transaction and waive any
                Potential
                Default or Event of Default under Sections 7.6, 7.7, 7.17 and 7.27
                of the
                Credit Agreement as a result
                therefrom;

            

    

    

    
      	 	
              (b)

            	
              Consent
                to the Acquisition Financing in a principal amount of up to $1.315
                billion
                and any liens, pledges, mortgages and security interests granted
                on the
                assets of the Company and the Target (other than the Collateral)
                to secure
                such Acquisition Financing, which shall be in addition to any other
                indebtedness, liens, pledges, mortgages and security interests permitted
                by Sections 7.15 and 7.16 of the Credit Agreement, and waive any
                Potential
                Default or Event of Default under Sections 7.15 and 7.16 of the Credit
                Agreement as a result therefrom; 

            

    

    

    
      	 	
              (c)

            	
              Consent
                to the indebtedness and liabilities evidenced or payable in respect
                of the
                financing of the Senior Notes and Subordinated
                Capital Certificates of
                Target (or its successor) in the aggregate principal amount of up
                to $165
                million, which shall be in addition to any other indebtedness permitted
                by
                Section 7.16 of the Credit Agreement, and waive any Potential Default
                or
                Event of Default under Section 7.16 of the Credit Agreement as a
                result
                therefrom; and

            

    

    

    
      	 	
              (d)

            	
              Waive
                any Potential Default or Event of Default under Sections 7.9 and
                7.11 of
                the Credit Agreement from and after the closing of the Acquisition
                Transaction in which the Company has acquired at least a majority
                of the
                outstanding capital stock of the Target through and including March
                31,
                2007. In the event the Company has acquired at least a majority of
                the
                outstanding capital stock of the Target, then on or before March
                31, 2007,
                Agent, the Banks and the Company agree, in good faith, to amend Sections
                7.9 and 7.11 in order to take into account and give effect to the
                consummation of the Acquisition
                Transaction.

            

    

    

    In
      addition, the Company may following the consummation of the Acquisition
      Transaction provide to the Agent such updates of the Exhibits and Schedules
      to
      the Credit Agreement and such amendments
      to the representations, warranties, covenants other
      than financial covenants (including
      dollar limitations and thresholds) and increases in dollar cross-default
      thresholds reasonably acceptable to the Required Banks, in each case to
take
      into
      account the effect of the Acquisition Transaction. A default or event of default
      with respect to any representation, warranty or covenant in the Credit Agreement
      will not arise with respect to any matter pertaining to the Target existing
      on
      the date of the consummation of the Acquisition Transaction if such matter
      was
      not a default or event of default with respect to any representation, warranty
      or covenant of Target under Target's credit facility pursuant to the Target's
      credit agreement dated December 16, 2005 and any amendments
      thereto.

    

    This
      consent may be executed in one or more counterparts, each of which when so
      executed shall be deemed to be an original, but all of which when taken together
      shall constitute one and the same instrument. This consent shall be effective
      upon its execution by the Company and the Required Banks.

    

    It
      is imperative that the Company receive a signed copy of this letter by the
      undersigned on or before September 6, 2006. Your urgent attention to this letter
      would be greatly appreciated.

    

    Please
      indicate your agreement by executing a copy of this letter so indicated below
      and return same to the undersigned.

    

    * * *

    

    Very
      yours truly,

    

    PILGRIM'S
      PRIDE CORPORATION

    

    

    By:
      /s/
      Richard A. Cogdill   

    Richard
      A. Cogdill

    Chief
      Financial Officer

    

    

    

    

    Accepted
      and Agreed to by:

     

    HARRIS
      N.A., individually
      and as Agent

     

    By:/s/
      David J. Bechstein 

    Its:Vice
      President 

     

    SUNTRUST
      BANK

     

    By:/s/
      Samuel M. Jannetta, Jr. 

    Its:Vice
      President 

     

    U.S.
      BANK
      NATIONAL ASSOCIATION

     

    By:/s/
      Sara J. Reid 

    Its:Vice
      President 

     

    WELLS
      FARGO BANK NATIONAL ASSOCIATION

     

    By:/s/
      Illegible 

    Its:Relationship
      Manager 

     

    ING
      CAPITAL LLC

     

    By:/s/
      William Redmond 

    Its:Managing
      Director 

     

    REGIONS
      BANK

     

    By:/s/
      Illegible 

    Its:Senior
      Vice President 

     

    CREDIT
      SUISSE, Cayman Island Branch

     

    By:/s/
      Karl Studer /s/
      Karl Lesnik 

    Its:Director Assistant
      Vice President

     

    COBANK,
      ACB

     

    By:/s/
      Jim Stutzman 

    Its:Vice
      President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00113-of-00352.parquet"}]]