Document:

Amendment to Amended and Restated Severance Agreement

 Exhibit 10.3 
 AMENDMENT TO 
 AMENDED AND RESTATED SEVERANCE
AGREEMENT 
 AND NOTICE OF TERMINATION 
 THIS AMENDMENT TO AMENDED AND RESTATED SEVERANCE AGREEMENT (“Amendment”) is made and entered into as of the 13th day of October, 2009, by and between Acuity Specialty Products, Inc. and its
parent, Zep Inc. (collectively, the “Company”), and John K. Morgan (“Executive”). 
 WHEREAS, Acuity Brands,
Inc. and Executive previously entered into that certain Amended and Restated Severance Agreement, dated as August 1, 2005, as later amended by the parties (“Severance Agreement”); and 
 WHEREAS, effective on or about October 31, 2007, the Company became the successor to Acuity Brands, Inc. and assumed the Severance
Agreement; and 
 WHEREAS, the parties now wish to amend the Severance Agreement in certain respects as set forth herein; and

 WHEREAS, pursuant to Section 1 of the Severance Agreement, the Company wishes to give notice of termination of the
Severance Agreement upon the expiration of the two-year term ending on the second anniversary of this Amendment. 
 AMENDMENT 
 NOW, THEREFORE, the Severance Agreement is hereby amended as follows: 
 1. Succession of the Company under the Severance Agreement. Effective as of October 31, 2007, Zep Inc. (“Zep”), then a
wholly-owned subsidiary of Acuity Brands, Inc., was spun-off in a transaction pursuant to which Acuity Brands, Inc. distributed to its stockholders, all of the outstanding shares of the commons stock of Zep. In connection with this spin-off, Acuity
Specialty Products, Inc., a wholly-owned subsidiary of Zep (“Acuity Specialty Products”), became Executive’s employer and the Company succeeded to all of the rights and obligations of Acuity Brands, Inc. under, and assumed, the
Severance Agreement. For purposes of this Severance Agreement, the applicable entity with respect to Executive’s employment status, and employment-related issues, shall mean Acuity Specialty Products or its successors. 
 2. Annual Bonus Section 4.2 of the Severance Agreement is hereby deleted in its entirety and replaced with the following
language: 
  

	 	“4.2	 Annual Bonus. Executive shall be paid two payments as described in this section. The first payment shall be in an amount equal to the annual
incentive bonus under the Company’s annual incentive plan (“Annual Incentive Plan”) that would be paid or payable to Executive for the fiscal year of the Company during which Executive’s Date of Termination occurs, assuming the
target level(s) of performance had been met for such fiscal year, multiplied by a fraction (the “Pro

	 	 
Rata Fraction”) the numerator of which is the number of days that have elapsed in the then current fiscal year through Executive’s Date of Termination and the denominator of which is
365 (“Initial Annual Bonus”). Such Initial Annual Bonus payment shall be made in a single lump sum within ten (10) days following Executive’s Date of Termination. Additionally, if and to the extent that, based on the
Company’s performance under the terms of the Annual Incentive Plan, the Company’s performance for the fiscal year during which Executive’s Date of Termination occurs exceeds the target performance levels in the Annual Incentive Plan
used to calculate the Initial Annual Bonus, Executive shall receive an additional payment equal to the payout under the Annual Incentive Plan which Executive would have received for the fiscal year during which his Date of Termination occurs,
multiplied by the Pro Rata Factor, less the Initial Annual Bonus. Such additional payment shall be made in a single lump sum as soon as reasonably practical following the end of the Company’s fiscal year during which Executive’s Date of
Termination occurs, and in any event by the end of the calendar year during which such fiscal year ends.” 

 3. Supplemental Executive Retirement Plan. Section 4.5 of the Severance Agreement is hereby amended such that the reference to the “Supplemental Executive Retirement Savings Plan” shall mean the value of
Executive’s Make-up Contribution Subaccount and SERP Contribution Subaccount provided for in, and calculated in accordance with, the provisions of, Appendix A and Appendix B, respectively, of the Zep Inc. Supplemental Deferred Savings Plan (the
“SDSP”). Said Section 4.5 is also hereby clarified to confirm and expressly provide that the SDSP benefits attributable to additional service credited under Section 4.5 shall be paid to Executive at the time and in the manner
provided for in the SDSP. 
 4. Healthcare Provisions Following Termination of Employment. Section 4.7 of the
Severance Agreement is hereby deleted in its entirety and replaced with the following language: 
  

	 	“4.7	 During the 2-year period following Executive’s termination (or, if shorter, during the period between Executive’s termination and his
65th birthday), the Company shall pay Executive a lump sum
amount equal to the increase, if any, in: (i) the average of the Company’s health care benefit equivalent premium (calculated in the same manner as under Section 4.16 of Executive’s Employment Letter Agreement) for the five
(5) year period which is comprised of the fiscal year of the payment plus the previous four (4) fiscal years, over (ii) the average of such health care benefit equivalent premium for the five (5) fiscal year period immediately
preceding the fiscal year of the payment. The Company shall pay Executive the total amount of any such increase each fiscal year during the applicable period in a lump sum payment as soon as reasonably practical following the first day of the
Company’s fiscal year, and in any event, within the first 60 days of each such fiscal year. If the last such payment covers less than a 12-month period, the amount of such increase (and the resulting payment) shall be prorated
appropriately.” 

 5. Compliance with Code Section 409A. Section 4.11 of the Severance
Agreement is hereby deleted in its entirety and replaced with the following language: 
  

	 	“4.11	Compliance with Section 409A. 

 (a) It is the intent of the parties that this Agreement be interpreted and administered in compliance
with the requirements of Section 409A to the extent applicable. In this connection, the Company shall have authority to take any action, or refrain from taking any action, with respect to this Agreement that is reasonably necessary to ensure
compliance with Section 409A (provided that the Company shall choose the action that best preserves the value of the payments and benefits provided to the Executive under this Agreement), and the parties agree that this Agreement shall be
interpreted in a manner that is consistent with Section 409A. In furtherance, but not in limitation of the foregoing: (a) in the event that Executive is a “specified employee” within the meaning of Section 409A, payments
which constitute a “deferral of compensation” under Section 409A and which would otherwise become due during the first six (6) months following Executive’s termination of employment shall be delayed and all such delayed
payments shall be paid in full in the seventh (7th) month after the Executive’s termination of employment, and all subsequent payments shall be paid in accordance with their original payment schedule, provided that the above delay shall not apply to any payments that are excepted
from coverage by Section 409A, such as those payments covered by the short-term deferral exception described in Treasury Regulations section 1.409A-1(b)(4); (b) notwithstanding any other provision of this Agreement, a termination of
Executive’s employment hereunder, including the term “Date of Termination”, shall mean, and be interpreted consistent with, a “separation from service” within the meaning of Section 409A; and (c) with respect to
the reimbursement of fees and expenses provided for herein, including payments made pursuant to indemnification provisions, and tax gross-up payments, the following shall apply: (i) unless a specific time period during which such expense
reimbursements and tax gross-up payments may be incurred is provided for herein, such time period shall be deemed to be Executive’s lifetime; (ii) the amount of expenses eligible for reimbursement hereunder in any particular year shall not
affect the expenses eligible for reimbursement in any other year; (iii) the right to reimbursement of expenses shall not be subject to liquidation or exchange for any other benefit; and (iv) the reimbursement of an eligible expense or a
tax gross-up payment shall be made on or before the last day of the calendar year following the calendar year in which the expense was incurred or the tax was remitted, as the case may be. 
 (b) The Company hereby agrees to indemnify and hold Executive harmless for any additional income taxes, penalties and/or
interest assessed against Executive pursuant to Section 409A, because of any actions taken, or failure to take any action, by the Company that results in a failure to comply with Section 409A, with regard to any payment or distribution
made or to be made under this Agreement or the plans and benefits provided in accordance with or referenced in, this Agreement. The Company agrees to pay Executive an additional payment for any such additional income taxes, penalties and/or interest
that may be assessed under Section 409A (but not the regular income taxes

 
payable by Executive as a result of receiving payments under this Agreement or such plans), such that, after payment by Executive of the additional income taxes, penalties and/or interest
assessed under Section 409A, Executive will be in the economic position he would have been had such payment or distribution not been determined to be noncompliant with Section 409A. Any such additional payment shall be made as soon as
reasonably practical after Executive has paid such additional income taxes, penalties and/or interest, and in any event by the end of the calendar year next following the calendar year in which Executive remits the applicable additional income
taxes, penalties and/or interest.” 
 NOTICE OF TERMINATION 
 Pursuant to Section 1 of the Agreement, the parties each hereby notify the other that this Agreement shall cease to extend
automatically. The “Term” of this Agreement shall be the two-year period following the date hereof and this Agreement shall terminate upon the expiration of such Term. 
 IN WITNESS WHEREOF, the parties have executed this Amendment as of the day and year first above written. 
  

			
	ZEP INC.
		
	By:	 	 /s/ Robert P. Collins

	
	ACUITY SPECIALTY PRODUCTS, INC.
		
	By:	 	 /s/ Robert P. Collins

	
	 /s/ John K. Morgan

	JOHN K. MORGANfs11009ex10xxiv_celsius.htm

    Exhibit
10.24

    

    NOTE

    

    THIS NOTE
HAS NOT BEEN REGISTERED WITH THE UNITED STATES SECURITIES AND EXCHANGE
COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE OR UNDER THE SECURITIES ACT
OF 1933, AS AMENDED. THE NOTE MAY NOT BE OFFERED, RESOLD, PLEDGED OR TRANSFERRED
EXCEPT AS PERMITTED UNDER THE ACT PURSUANT TO REGISTRATION OR EXEMPTION OR SAFE
HARBOR THEREFROM.

    

    No.
12-2009                                                                                                                                   US
$1,000,000

    

    CELSIUS
HOLDINGS, INC.

    

    6%
UNSECURED NOTE

    

    This Note
is one of a duly authorized issue US $1,000,000.00 of CELSIUS HOLDINGS, INC., a
corporation organized and existing under the laws of the State of Nevada ("Celsius") designated as its 6%
Unsecured Note.

    

           FOR
VALUE RECEIVED, Celsius promises to pay to CD Financial, LLC., the registered
holder hereof (the "Holder"), the principal sum of
One Million United States Dollars (US $1,000,000) together with interest on the
unpaid principal sum at the rate of 6 percent per annum from the date hereof
stated below as provided herein.  After an Event of Default, interest
will accrue on the unpaid principal balance at the then current statutory
interest rate provided under Florida law. The principal of this Note and
interest are payable in such coin or currency of the United States of America as
at the time of payment is legal tender for payment of public and private debts,
at the address last appearing on the Note Register of Celsius as designated in
writing by the Holder from time to time. Celsius will make payments when due to
the registered holder of this Note and addressed to such holder at the last
address appearing on the Note Register at such time payment is
made.

    

           This
Note is subject to the following additional provisions:

    

           1.     Celsius
shall be entitled to withhold from all payments of principal of this Note, and
any interest due on this Note any amounts required to be withheld under the
applicable provisions of the United States income tax laws or other applicable
laws at the time of such payments, and Holder shall execute and deliver all
required documentation in connection therewith.

    

           2.     This
Note has been issued subject to investment representations of the original
purchaser hereof and may be transferred or exchanged only in compliance with the
Securities Act of 1933,
as amended (the "Act"),
and other applicable state and foreign securities laws. In the event of any
proposed transfer of this Note, Celsius may require, prior to issuance of a new
Note in the name of such other person, that it receive reasonable transfer
documentation including legal opinions that the issuance of the Note in such
other name does not and will not cause a violation of the Act or any applicable
state or foreign securities laws. Prior to due presentment for transfer of this
Note, Celsius and any agent of Celsius may treat the person in whose name this
Note is duly registered on Celsius' Note Register as the owner hereof for the
purpose of receiving payment as herein provided and for all other purposes,
whether or not this Note be overdue, and neither Celsius nor any such agent
shall be affected by notice to the contrary.

    

           3.     Except
as provided by law, no recourse shall be had for the payment of the principal
of, or the interest on, this Note, or for any claim based hereon, or otherwise
in respect hereof, against any incorporator, shareholder, officer or director,
as such, past, present or future, of Celsius, all such liability being, by the
acceptance hereof and as part of the consideration for the issue hereof,
expressly waived and released.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

           4.     The
Holder of the Note, by acceptance hereof, agrees that this Note is being
acquired for investment and that such Holder will not offer, sell or otherwise
dispose of this Note except under circumstances which will not result in a
violation of the Act or any applicable state Blue Sky or foreign laws or similar
laws relating to the sale of securities.

    

           5.     This
Note shall be governed by and construed in accordance with the laws of the State
of Florida. Each of the parties consents to the jurisdiction of the state and
federal courts sitting in Palm Beach County, Florida, and hereby waives, to the
maximum extent permitted by law, any objection, including any objection based on
forum non coveniens, to the bringing of any such proceeding in such
jurisdiction.

    

           6.     The
following shall constitute an "Event of
Default":

    

    
      	
              (a)  

            	
              Celsius
      shall default in the payment of principal on this Note and same shall
      continue for a period of five (5) days;
or

            

    

    
      	
              (b)  

            	
              Any
      of the representations or warranties made by Celsius herein or other
      written statements heretofore or hereafter furnished by Celsius in
      connection with the execution and delivery of this Note or the Agreement
      pursuant to which this Note has been  issued shall be false or
      misleading in any material respect at the time made;
  or

            

    

    
      	
              (c)  

            	
              Celsius
      shall fail to perform or observe, in any material respect, any other
      covenant, term, provision, condition, agreement or obligation of this Note
      or any note issued by Celsius to or agreement entered into between Celsius
      and Holder and such failure shall continue uncured for a period of ten
      (10) days after written notice from the Holder of such failure;
      or

            

    

    
      	
              (d)  

            	
              Celsius
      shall (1) admit in writing its inability to pay its debts generally as
      they mature; (2) make an assignment for the benefit of creditors or
      commence proceedings for its dissolution; or (3) apply for or consent to
      the appointment of a trustee, liquidator or receiver for its or for a
      substantial part of its property or business;
or

            

    

    
      	
              (e)  

            	
              A
      trustee, liquidator or receiver shall be appointed for Celsius or for a
      substantial part of its property or business without its consent and shall
      not be discharged within ninety (90) days after such appointment;
      or

            

    

    
      	
              (f)  

            	
              Any
      governmental agency or any court of competent jurisdiction at the instance
      of any governmental agency shall assume custody or control of the whole or
      any substantial portion of the properties or assets of the Celsius and
      shall not be dismissed within ninety (90) days thereafter;
    or

            

    

    
      	
              (g)  

            	
              Bankruptcy,
      reorganization, insolvency or liquidation proceedings or other proceedings
      for relief under any bankruptcy law or any law for the relief of debtors
      shall be instituted by or against Celsius and, if instituted against
      Celsius, shall not be dismissed within ninety  (90) days after
      such institution or Celsius shall by any action or answer approve of,
      consent to, or acquiesce in any such proceedings or admit the material
      allegations of, or default in answering a petition filed in any such
      proceeding.

            

    

    

    Then, or
at any time thereafter, and in each and every such case, unless such Event of
Default shall have been waived in writing by the Holder (which waiver shall not
be deemed to be a waiver of any subsequent default) at the option of the Holder
and in the Holder's sole discretion, the Holder may consider
the  unpaid principal amount and interest under this Note immediately
due and payable, without presentment, demand, protest or notice of any kind, all
of which are hereby expressly waived, anything herein or in any note or other
instruments contained to the contrary notwithstanding, and the Holder may
immediately enforce any and all of the Holder's rights and remedies provided
herein or any other rights or remedies afforded by law.

    

           7.     This
Note shall be paid, together with accrued interest on February 28,
2010.  Notwithstanding the foregoing or any contrary provision, upon
2-days’ prior written notice to the Holder (a “Prepayment Notice”), Celsius
shall be permitted to prepay any balance due on the Note, with accrued interest,
without prepayment penalty or future interest due.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

          8.       No
failure or delay on the part of the Holder in the exercise of any power, right
or privilege hereunder shall operate as a waiver thereof, nor shall any single
or partial exercise of any such power, right or privilege preclude any other or
further exercise thereof. All rights and remedies of the Holder hereunder are
cumulative and not exclusive of any rights or remedies otherwise available.
Celsius shall bear all costs (including without limitation reasonable legal fees
and expenses) incurred by the Holder in enforcing any of Holder’s rights,
remedies and privileges hereunder, including collections of amounts due
hereunder.

    

           IN
WITNESS WHEREOF, Celsius has caused this instrument to be duly executed by an
officer thereunto duly authorized.

    

    Dated:
September 29, 2009

    

    CELSIUS
HOLDINGS, INC.

    a Nevada
Corporation

    

    By:                                                      

          Stephen
C Haley, Chief Executive Officer

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