Document:

QuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.1  

 
 

AMENDMENT NO. 8    
    
    TO    
    
    THIRD AMENDED AND RESTATED ACCOUNTS RECEIVABLE
  MANAGEMENT AND SECURITY AGREEMENT    

        THIS
AMENDMENT NO. 8 (this "Amendment") is entered into as of June 29, 2002, by and among TMP Worldwide Inc., a Delaware corporation ("Borrower") and each of the other
Financial Parties party hereto, GMAC COMMERCIAL CREDIT LLC ("GMACCC"), each of the financial institutions party hereto (GMACCC and each of such other financial institutions, collectively, the
"Lenders") and GMACCC as agent for the Lenders (GMACCC in such capacity, the "Agent"). 

BACKGROUND 

        Pursuant
to a Third Amended and Restated Accounts Receivable Management and Security Agreement dated as of November 5, 1998 (as the same has been or will be further amended,
supplemented or otherwise modified from time to time, the "Loan Agreement") by and among Borrower, Agent and Lenders, Agent and Lenders agreed to provide Borrower with certain financial
accommodations. 

        Borrower
and the other Financial Parties have requested that the Loan Agreement and certain Ancillary Agreements be amended as hereinafter set forth and Agent and Lenders are willing to
do so on the terms and conditions hereafter set forth herein. 

        NOW,
THEREFORE, in consideration of any loan or advance or grant of credit heretofore or hereafter made to or for the account of Borrower by Agent and Lenders, and for other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows: 

        1.    Definitions.
All capitalized terms not otherwise defined herein shall have the meanings given to them in the Loan Agreement. 

        2.    Amendment
to Loan Agreement. Subject to satisfaction of the conditions precedent set forth in Section 4
below, the Loan Agreement is hereby amended as follows: 

        (a)
Section 1(A) is hereby amended as follows: 

        (i)
by inserting the following defined terms in their appropriate alphabetical order: 

"Accounts"
shall mean and include, as to each Financial Party, all rights of such Financial Party to payment of a monetary obligation (including general intangibles
relating thereto), whether or not earned by performance, which is not evidenced by chattel paper or an instrument, (a) for property that has been or is to be sold, leased, licensed, assigned,
or otherwise disposed of, (b) for services rendered or to be rendered, (c) for a secondary obligation incurred or to be incurred, or (d) arising out of the use of a credit or
charge card or information contained on or for use with the card. 

"Amendment
No. 8" shall mean Amendment No. 8 dated as of June 29, 2002 to Third Amended and Restated Accounts Receivable Management and Security
Agreement dated as of November 5, 1998. 

"Amendment
No. 8 Effective Date" shall mean the date upon which all of the conditions precedent set forth in Section 4 of Amendment No. 8 has been
satisfied. 

"Chattel
Paper", "Deposit Accounts", "Documents", "Electronic Chattel Paper",
"Fixtures", "Goods", "Instruments", "Letter of Credit Rights",
"Proceeds" and "Tangible Chattel Paper" shall have the respective meanings assigned to such terms in the UCC. 

 

"Commercial
Tort Claim" shall mean a commercial tort claim as such term is defined in the UCC and in which the amount claimed is $500,000 or greater. 

"GMAC
Company" shall mean, individually and collectively, Agent, GMACCC, GMACCCL, GMACCC-Canada or any Affiliate thereof (and shall extend to their respective successors
and assigns). 

"Permitted
Buyback" shall mean the purchase or redemption by Borrower of its common or preferred stock in an aggregate amount not to exceed $100,000,000; provided,
however, before and after giving effect to any such purchase, there shall not have occurred an Event of Default or Incipient Event of Default. 

"Tangible
Capital Funds" shall mean, with respect to any Person, total assets less total liabilities, less the net book value of goodwill, trademarks,
non-compete agreements, client lists, and other intangible assets each on a consolidated basis and in accordance with US GAAP. 

"UCC"
shall mean the Uniform Commercial Code as in effect in the State of New York from time to time. 

        (ii)
by amending the following defined terms to read in their entirety as follows: 

"Collateral"
shall mean and include, in each case whether now owned or hereafter acquired by any Financial Party, all of each Financial Party's property and assets,
wherever located, including, without limitation: 

        (a)  all
Accounts; 

        (b)  all
Equipment; 

        (c)  all
General Intangibles; 

        (d)  all
Inventory; 

        (e)  all
Subsidiary Stock of Domestic Subsidiaries and 65% of the outstanding Subsidiary Stock of Foreign Subsidiaries; 

        (f)    all
Investment Property; 

        (g)  all
of each Financial Party's present and future right, title and interest in and to (i) its respective goods and other property including, but not limited to,
all merchandise returned or rejected by Customers, relating to or securing any of the Receivables; (ii) all of each Financial Party's rights as a consignor, a consignee, an unpaid vendor, mechanic,
artisan, or other lienor, including rights of stoppage in transit, setoff, detinue, replevin, repossession, reclamation and repurchase; (iii) all additional amounts due to any Financial Party from any
Customer relating to the Receivables; (iv) other property, including warranty claims, relating to any goods securing this Agreement; (v) all of each Financial Party's contract rights, rights of
payment which have been earned under a contract right, instruments (including all promissory notes), documents, chattel paper (including all tangible and electronic chattel paper), warehouse receipts,
deposit accounts, cash held as cash collateral to the extent not otherwise constituting collateral, all other money and cash; (vi) if and when obtained by any Financial Party, all real and personal
property of third parties in which such Financial Party has been granted a lien or security interest as security for the payment or enforcement of Receivables and including deposits by and property of
account debtors or other persons securing the obligations of account debtors; (vii) any other goods, personal property or real property now owned or hereafter acquired in which any Financial Party has
expressly granted a security interest or may in the future grant a security interest to 

2

 

Agent hereunder, or in any amendment or supplement hereto or thereto, or under any other agreement between Agent and any Financial Party; and (viii) all letters of credit, banker's acceptances and
similar instruments and including all Letter-of-Credit Rights (whether or not the letter of credit is evidenced by a writing); and (ix) all Commercial Tort Claims, including,
without limitation, all Commercial Tort Claims set forth on Schedule 1(C); 

        (h)  all
present and future supporting obligations and all present and future liens, security interests, rights, remedies, title and interest in, to and in respect of
Receivables and other Collateral, including (i) rights and remedies under or relating to guaranties, contracts of suretyship, letters of credit and credit and other insurance related to the
Collateral, and (ii) goods described in invoices, documents, contracts or instruments with respect to, or otherwise representing or evidencing, Receivables or other Collateral, including returned,
repossessed and reclaimed goods; 

        (i)    to
the extent not otherwise described above, all Receivables; 

        (j)    all
of each Financial Party's ledger sheets, ledger cards, files, correspondence, records, books of account, business papers, computers, computer software (whether owned
by any Financial Party or in which it has an interest), computer programs, tapes, disks and documents relating to (a), (b), (c), (d), (e), (f), (g), (h) or (i) above; and 

        (k)  all
proceeds and products of (a), (b), (c), (d), (e), (f), (g), (h), (i) and (j) above in whatever form, including, but not limited to: cash, deposit
accounts (whether or not comprised solely of proceeds), certificates of deposit, insurance proceeds (including hazard, flood and credit insurance), negotiable instruments and other instruments for the
payment of money, chattel paper, security agreements, documents, eminent domain proceeds, condemnation proceeds and tort claim proceeds. 

"Equipment"
shall mean and include as to each Financial Party all of such Financial Party's now owned and hereafter acquired goods (other than Inventory), wherever
located, including, without limitation, all equipment, machinery, apparatus, vehicles, vessels, fittings, tools, furniture, furnishings, fixtures, parts, accessories, data processing and computer
equipment and computer hardware and software, whether owned or licensed, and including embedded software, all attachments, accessions and property now or hereafter affixed thereto or used in
connection therewith, and substitutions and replacements thereof, wherever located. 

"General
Intangibles" shall mean and include as to each Financial Party all of such Financial Party's general intangibles, whether now owned or hereafter acquired
including, without limitation, all choses in action, causes of action, corporate or other business records, inventions, designs, patents, patent rights, patent applications, equipment formulations,
manufacturing procedures, quality control procedures, trademarks, service marks, service mark applications, goodwill (including any goodwill associated with any trademark or the license of any
trademark), copyrights, works which are the subject matter of copyrights, rights in works of authorship, copyright registrations, inventions, trade secrets, formulae, processes, compounds, drawings,
designs, blueprints, surveys, reports, manuals and operating standards, design rights, registrations, licenses, franchises, customer lists, tax refunds, tax refund claims, computer programs, domain
names, domain name registrations, software and contract rights relating to software, all claims under guaranties, security interests or other security held by or granted to such Financial Party to
secure payment of any of the Receivables by a Customer, all rights of indemnification and all other intangible property of every kind and nature (other than Receivables). 

3

 

"Inventory"
shall mean and include as to each Financial Party all of such Financial Party's now owned and hereafter acquired inventory, including, without limitation, all
goods, merchandise and other personal property, wherever located, which (a) are leased by any Financial Party as lessor; (b) are held by any Financial Party for sale or lease or to be
furnished under a contract of service; (c) are furnished by any Financial Party under a contract of service; or (d) consist of raw materials, work in process, finished goods or materials
and supplies of any kind, nature or description which are or might be used or consumed in such Financial Party's business, together with all documents of title or other documents representing or
relating to any of the foregoing. 

"Investment
Property" shall mean and include as to each Financial Party, all such Financial Party's now owned or hereafter acquired investment property (exclusive of
Subsidiary Stock) (including securities, whether certificates or uncertificated, securities accounts, security entitlements, commodity contracts or commodity accounts) and all monies, credit balances,
deposits and other property of such Financial Party now or hereafter held or received by or in transit to Agent or its affiliates or at any other depository or other institution from or for the
account of such Financial Party, whether for safekeeping, pledge, custody, transmission, collection or otherwise. 

"Receivables"
shall mean and include, as to each Financial Party, all of the following now owned or hereafter arising or acquired property of such Financial Party:
(a) all Accounts; (b) all amounts at any time payable to any Financial Party in respect of the sale or other disposition by such Financial Party of any Account or other obligation for
the payment of money; (c) all interest, fees, late charges, penalties, collection fees and other amounts due or to become due or otherwise payable in connection with any Account; (d) all
payment intangibles of any Financial Party and other contract rights (including, without limitation, Affiliate Receivables acquired by Borrower, Receivables which are not documented by an invoice,
Recruitment Media Billing Receivables and Media Billing Receivables), chattel paper, instruments, notes, and other forms of obligations owing to any Financial Party, whether from the sale and lease of
goods or other property, licensing of any property (including General Intangibles), rendition of services or from loans or advances by any Financial Party or to or for the benefit of any third person
(including loans or advances to any Affiliates or Subsidiaries of any Financial Party) or otherwise associated with any Accounts, Inventory or General Intangibles of any Financial Party (including,
without limitation, choses in action, causes of action, tax refunds, tax refund claims, any funds which may become payable to any Financial Party in connection with the termination of any Plan or
other employee benefit plan and any other amounts payable to any Financial Party from any Plan or other employee benefit plan, rights and claims against carriers and shippers, rights to
indemnification, business interruption insurance and proceeds thereof, casualty or any similar types of insurance and any proceeds thereof and proceeds of insurance covering the lives of employees on
which any Financial Party is beneficiary). 

        (b)  The
defined term "BNY Company" is hereby deleted and each reference to BNY Company in the Loan Agreement or any Ancillary Agreement is hereby replaced with "GMAC
Company". 

        (c)  Each
reference to "chattel paper", "fixtures", "goods" and "instruments" is hereby replaced with "Chattel Paper", "Fixtures", "Goods" and "Instruments", respectively. 

        (d)  Each
reference to "Uniform Commercial Code" is hereby replaced with "UCC". 

        (e)  Section 1(C)
of the Loan Agreement is hereby amended in its entirety to read as follows: 

"(C)
Uniform Commercial Code Terms. All terms used herein and defined in the UCC, as in effect from time to time, shall have the meaning given therein unless otherwise
defined 

4

 

herein. To the extent the definitions of any category or type of Collateral is expanded by any amendment, modification or revision to the UCC, such expanded definition will apply automatically
as of the date of such amendment, modification or revision." 

        (f)    Section 2.1(a)(y)(i)
is hereby amended in its entirety to read as follows: 

"(i)
85%, subject to the provisions of Section 2.1(d) hereof ("Receivables Advance Rate") of the net face amount of Eligible Receivables and Eligible Unbilled Receivables, minus" 

        (g)  Section 6
is hereby amended in its entirety to read as follows: 

"6.
Security Interest. 

        6.1  Grant
of Security Interest. To secure the prompt payment of the Obligations, each Financial Party hereby acknowledges, confirms and agrees
that Agent has and shall continue to have for the benefit of the Lenders a continuing security interest in and upon all Collateral heretofore granted to Agent and, to the extent not otherwise granted
to or held by Agent, hereby assigns, pledges and grants to Agent, for the benefit of the Lenders (and to the Affiliates who are party to Interest Rate Agreements) and GMACCCL, GMACCC-Canada and each
other Foreign Subsidiary Lender, a continuing security interest in and to the Collateral, whether now owned or existing or hereafter acquired or arising and wheresoever located (whether or not the
same is subject to Article 9 of the UCC). All of each Financial Party's ledger sheets, files, records, books of account, business papers and documents relating to the Collateral shall, until
delivered to or removed by Agent, be kept by Financial Parties in trust for Agent until all Obligations have been paid in full. Each confirmatory assignment schedule or other form of
assignment hereafter executed by any Financial Party shall be deemed to include the foregoing grant, whether or not the same appears therein. 

        6.2.  Perfection
of Security Interest. (a) Each Financial Party shall take all action that may be necessary or desirable, or that Agent
may reasonably request, so as at all times to maintain the validity, perfection, enforceability and priority of Agent's security interest in the Collateral or to enable Agent to protect, exercise or
enforce its rights hereunder and in the Collateral, including, but not limited to, (i) immediately discharging all Liens other than Permitted Liens, (ii) obtaining landlords' or mortgagees'
lien waivers, (iii) delivering to Agent, endorsed or accompanied by such instruments of assignment as Agent may specify, and stamping or marking, in such manner as Agent may specify, any and all
Chattel Paper, Instruments, letters of credits and advices thereof and Documents evidencing or forming a part of the Collateral, (iv) entering into warehousing, lockbox, bailee and other
custodial arrangements satisfactory to Agent, and (v) executing and delivering financing statements, instruments of pledge,
mortgages, notices and assignments, in each case in form and substance satisfactory to Agent, relating to the creation, validity, perfection, maintenance or continuation of Agent's security
interest under the UCC or other applicable law. 

        (b)  Agent
may at any time and from time to time file financing statements, continuation statements and amendments thereto that describe the Collateral as "all assets"
of the applicable Financial Party or words of similar effect and which contain any other information required by Part 5 of Article 9 of the UCC for the sufficiency or filing office
acceptance of any financing statements, continuation statements or amendments. Each Financial Party agrees to furnish any such information to Agent promptly upon request. 

        (c)  Financial
Parties shall, at any time and from time to time, take such steps as Agent may reasonably request (i) to obtain an acknowledgment, in form and
substance reasonably satisfactory to Agent, of any bailee having possession of any of the Collateral, stating that the bailee holds such Collateral for Agent, (ii) to obtain "control" of any
Letter-of-Credit 

5

 

Rights, Deposit Accounts or Electronic Chattel Paper (as such terms are defined in Article 9 of the UCC with corresponding provisions thereof defining what constitutes "control" for such items
of Collateral), with any agreements establishing control to be in form and substance reasonably satisfactory to Agent, and (iii) otherwise to insure the continued perfection and priority of
Agent's security interest in any of the Collateral and of its rights therein. If any Financial Party shall at any time, acquire a Commercial Tort Claim such Financial Party shall grant to Agent a
security interest and lien in and to such Commercial Tort Claim and all Proceeds thereof as set forth in Section 6.1 of this Agreement. 

        (d)  Each
Financial Party hereby confirms and ratifies all UCC financing statements filed by Agent with respect to such Borrower on or prior to the date of Amendment
No. 8. 

        (e)  All
reasonable charges, expenses and fees Agent may incur in doing any of the foregoing, and any local taxes relating thereto, shall be charged to Borrower's Account as
a Revolving Credit Advance and added to the Obligations, or, at Agent's option, shall be paid to Agent immediately upon demand. 

        6.3  Foreign
Secured Facility. In the event Borrower requests Agent or a GMAC Company to provide a secured working capital lending facility to a
Foreign Subsidiary of Borrower (a "Foreign Secured Facility") and neither Agent nor any GMAC Company provides a written commitment to provide such financing, on terms substantially similar to those
contained herein, within 30 days after receipt by Agent of such request, Agent and such GMAC Company shall release its Liens, if any, upon the assets or stock of such Foreign Subsidiary upon
satisfaction of the following conditions: (i) Borrower shall deliver to Agent a request in writing that Agent or the applicable GMAC Company release its Liens in the assets or stock of such
Foreign Subsidiary, (ii) Borrower shall deliver to Agent a copy of a written commitment to provide a Foreign Secured Facility to such Foreign Subsidiary from a replacement financial institution which
commitment shall provide as a condition that Agent or a GMAC Company release its Liens in the assets or stock of such Foreign Subsidiary as a condition to providing such
Foreign Secured Facility, (iii) Borrower or such financial institution shall supply Agent, at Borrower's or such financial institution's expense with the forms of any such release documents to be
executed by Agent or a GMAC Company, (iv) such Foreign Secured Facility shall be secured solely by the assets and/or stock of such Foreign Subsidiary, or a guaranty by Borrower or another Financial
Party (to the extent permitted by Section 12.3(e) or a Letter of Credit issued pursuant to Section 2.6, and (v) after giving effect to such release, Agent and Lenders shall have
either (A) a security interest in 85% of the Receivables of Borrower on a Consolidated Basis, (B) a pledge of 100% of the stock of each Domestic Subsidiary and 65% of the stock of each
Foreign Subsidiary owning in the aggregate at least 85% of all Receivables of Borrower on a Consolidated Basis, or (C) any combination of (A) and (B), which results in Agent and Lenders
having a security interest (whether by lien or pledge of stock) in at least 85% of the Receivables of Borrower on a Consolidated Basis." 

        (h)  The
following new subsections 8(i) and 8(j) are added to Loan Agreement in the appropriate sectional order to read as follows: 

"(i)
If any Financial Party now holds or shall at any time hereafter acquire a Commercial Tort Claim, such Financial Party shall immediately notify Agent of the details thereof, including a reasonable
description and summary thereof and shall grant to Agent a security interest therein and in the proceeds thereof (in form satisfactory to Agent); and such claim and proceeds shall thereafter be
deemed Collateral under the terms of this Agreement. 

(j)
Each Financial Party shall at any time and from time to time, take such steps as Lender may reasonably request for Lender to obtain "control" of any Investment Property, Deposit 

6

 

Accounts, Letter-of-Credit Rights or Electronic Chattel Paper, with any agreements establishing such control to be in form and substance satisfactory to Agent." 

        (i)    Section 12.1
(a) is hereby amended by inserting the following sentence at the end thereof but before the semicolon to read as follows: 

"The
state organizational identification number of each Financial Party which is a Domestic Person is as set forth on Schedule 12.1(a) of this Agreement." 

        (j)    Section 12.3(b)
is hereby amended in its entirety to read as follows: 

"(b)
Dividends. Borrower will not nor will any other Financial Party (i) declare, pay or make any dividend or distribution in cash on any shares of their common
stock or preferred stock provided, however, Borrower and any Financial Party may make any such dividend if at the time of and after
giving effect to such dividend there shall not have occurred an Event of Default or Incipient Event of Default; or (ii) apply any of their funds, property or assets to the purchase, redemption or
other retirement of any of their common or preferred stock, except in connection with a Permitted Buyback." 

        (k)  Section 12.3(d)
is amended in its entirety to provide as follows: 

"(d)
Loans. Borrower will not nor will any other Financial Party make advances, loans or extensions of credit to any Person; provided,
however, 

(1)
Borrower and its Subsidiaries and Affiliates may make Intercompany Loans so long as (i) no Event of Default or Incipient Event of Default shall have occurred or would occur after giving
effect thereto and (ii) to the extent the aggregate amount of Intercompany Loans to any Subsidiary or Affiliate exceeds $20,000,000, such Indebtedness shall be evidenced by a demand note and
shall be assigned to Agent as collateral security for the Obligations in a manner reasonably satisfactory to Agent; provided, however that
Intercompany Loans shall not exceed at any time an aggregate amount equal to $250,000,000 or an amount equal to $80,000,000 for each Intercompany Loan; provided,
further, the proceeds of any Intercompany Loan shall not be used to effect an Acquisition or Merger except to the extent such Acquisition or Merger is otherwise permitted
under Section 12.3(f) or Section 12.3(g), respectively; and 

(2)
Borrower and its Subsidiaries and Affiliates may make Extracompany Loans so long as (i) no Event of Default or Incipient Event of Default shall have occurred or would occur after giving
effect thereto and (ii) such Indebtedness shall be evidenced by a note and shall be assigned to Agent as collateral security for the Obligations in a manner reasonably satisfactory to Agent;
provided further that the aggregate outstanding balance of Extracompany Loans shall not exceed $15,000,000 at any time." 

        (l)    Section 12.3(e)
is amended in its entirety to provide as follows: 

"(e)
Guaranties. Borrower will not nor will any other Financial Party become either directly or contingently liable upon the obligations of any Person by assumption,
endorsement or guaranty thereof or otherwise other than the endorsement of checks in the ordinary course of business except (i) as listed on Schedule 12.3(e) and (ii) with respect to the
issuance of the guaranties of indebtedness of foreign Affiliates or Foreign Subsidiaries provided that at any time, the maximum aggregate outstanding amount of indebtedness secured by all such
guaranties which are not guaranties of collection and which were not in the sole judgment of Agent incurred by foreign Affiliates or Foreign Subsidiaries on a fully secured basis shall not exceed
$50,000,000 provided, however no guaranty may be made in connection with or to support an Acquisition or Merger except to the extent such
Acquisition or Merger is otherwise permitted under Section 12.3(f) or Section 12.3(g), respectively;" 

7

 

        (m)  Section 12.3(o)
is hereby amended as to add a new subsection (J) at the end thereof, but before the semicolon, to read as follows: 

"(J)
investments in (1) tax advantaged securities and tax exempt securities issued by states and municipalities in the United States of America including notes and bonds, variable rate demand
notes, variable rate commercial paper, adjustable rate option tender bonds, pre-refunded notes (including those with no ratings or BBB or lower rating provided
repayment is 100% collateralized with AAA rated securities), auction rate securities, each having a minimum short-term rating of "SP-1" or "A-1" or a minimum
long-term rating of "AA" or equivalent by S&P or a minimum short-term rating of "MIG-1" or "VMIG-1" or "Prime-1" or a minimum
long-term rating of "Aa" or equivalent by Moody's, (2) auction rate preferred securities issued by U.S. corporations having a minimum rating of "AA" or equivalent by S&P or "aa" or
equivalent by Moody's, (3) bonds and debt issued by corporations carrying ratings of at least "AA" by S&P and "Aa" by Moody's, and (4) any money market fund backed by any of the
permitted investments described in this subsection (J); provided that the maturity of any investment in this subsection (J) shall not be greater than
18 months and (k) investments in the Borrower's common or preferred stock in connection with a Permitted Buyback. 

        (n)  Section 12.4(a)
is hereby amended in its entirety to read as follows: 

"(a)
Intentionally Omitted." 

        (o)  Section 12.4
is hereby amended by inserting a new subsection (d) thereof to read in its entirety as follows: 

"(d)
Tangible Capital Funds. Borrower shall not at any time permit Tangible Capital Funds to be less than $185,000,000, provided however that the minimum required Tangible Capital Funds will be
reduced Dollar for Dollar in step with Borrower's purchase of it's common stock up to an aggregate cost of $100,000,000 in connection with a Permitted Buyback. By way of example, if Borrower purchases
it's common stock at a cost of $100 million the minimum required Tangible Capital Funds will simultaneously reduce by $100,000,000 (the minimum required Tangible Capital Funds then becomes
$85,000,000). 

        (p)  Section 24
is hereby amended in its entirety to read as follows: 

"24.
Notices. Any notice or request hereunder may be given to Borrower or Agent at the respective addresses set forth below or as may hereafter be specified in a notice
designated as a change of address under this paragraph. Any notice or request hereunder shall be given by registered or certified mail, return receipt requested, or by overnight mail or by telecopy
(confirmed by mail). Notices and requests shall be,
in the case of those by mail or overnight mail, deemed to have been given when deposited in the mail or with the overnight mail carrier, and, in the case of a telecopy, when confirmed. 

8

 

Notices
shall be provided as follows: 

	 	 	If to Agent:	 	GMAC Commercial Credit LLC

1290 Avenue of the Americas

New York, New York 10104

Attention: Frank Imperato

Telephone: (212) 884-7026

Telecopier: (212) 884-7162
	

 	
 	

with a copy to:	
 	

Hahn & Hessen LLP

350 Fifth Avenue

New York, New York 10118

Attention: Daniel J. Krauss, Esq.

Telephone: (212) 736-1000

Telecopier: (212) 594-7167
	

 	
 	

If to Borrower:	
 	

TMP Worldwide Inc.

1633 Broadway, 33rd Floor

New York, New York 10019

Attention:  Myron F. Olesnyckyj

Senior Vice President

and General Counsel

Telephone: (212) 977-5400

Telecopier: (212) 940-3972
	

 	
 	

with a copy to:	
 	

Fulbright & Jaworski L.L.P.

666 Fifth Avenue

New York, New York 10103

Attention: Gregg Berman, Esq.

Telephone: (212) 318-3000

Telecopier: (212) 752-5958"

        (q)  Schedule 1(B),
12.1(c), 12.1(h), 12.3(e) and 12.3(f) to the Loan Agreement are hereby amended in their entirety to read as set forth in Schedules 1(B), 12.1(c),
12.1(h), 12.3(e) and 12.3(f) attached to Amendment No. 8. 

        3.    Amendment
to Security Agreements. Subject to satisfaction of the conditions precedent set forth in
Section 4 below, each of the Security Agreement dated November 5, 1998 (collectively, the "Existing Security Agreements") between Agent and each of TMP
Holdings International, Inc., TASA Incorporated, Austin Knight Inc., Online Career Center Management, Inc., M.S.I. Market Support International and General Directory Advertising
Services, Inc. are hereby amended as follows: 

        (a)  Section 1(A)
is hereby amended as follows: 

        (i)    by
inserting the following defined terms in their appropriate alphabetical order: 

"Accounts"
shall mean and include all rights of Company to payment of a monetary obligation (including general intangibles relating thereto), whether or not earned by
performance, which is not evidenced by chattel paper or an instrument, (a) for property that has been or is to be sold, leased, licensed, assigned, or otherwise disposed of, (b) for
services rendered or to be rendered, (c) for a secondary obligation incurred or to be incurred, or (d) arising out of the use of a credit or charge card or information contained on or
for use with the card. 

9

  

"Chattel
Paper", "Deposit Accounts", "Documents", "Electronic Chattel Paper",
"Fixtures", "Goods", "Instruments", "Letter of Credit Rights",
"Proceeds" and "Tangible Chattel Paper" shall have the respective meanings assigned to such terms in the UCC. 

"Commercial
Tort Claim" shall mean a commercial tort claim as such term is defined in the UCC and in which the amount claimed is $500,000 or greater. 

"UCC"
shall mean the Uniform Commercial Code as in effect in the State of New York from time to time. 

        (ii)  by
amending the following defined terms to read in their entirety as follows: 

"Collateral"
shall mean and include, in each case whether now owned or hereafter acquired by Company, all of Company's property and assets, wherever located, including,
without limitation: 

        (a)  all
Accounts; 

        (b)  all
Equipment; 

        (c)  all
General Intangibles; 

        (d)  all
Inventory; 

        (e)  all
Subsidiary Stock of Domestic Subsidiaries and 65% of the outstanding Subsidiary Stock of Foreign Subsidiaries; 

        (f)    all
Investment Property; 

        (g)  all
of Company's present and future right, title and interest in and to (i) its respective goods and other property including, but not limited to, all merchandise
returned or rejected by Customers, relating to or securing any of the Receivables; (ii) all of Company's rights as a consignor, a consignee, an unpaid vendor, mechanic, artisan, or other lienor,
including rights of stoppage in transit, setoff, detinue, replevin, repossession, reclamation and repurchase; (iii) all additional amounts due to Company from any Customer relating to the Receivables;
(iv) other property, including warranty claims, relating to any goods securing this Agreement; (v) all of Company's contract rights, rights of payment which have been earned under a contract
right, instruments (including all promissory notes), documents, chattel paper (including all tangible and electronic chattel paper), warehouse receipts, deposit accounts, cash held as cash collateral
to the extent not otherwise constituting collateral, all other money and cash; (vi) if and when obtained by Company, all real and personal property of third parties in which Company has been granted a
lien or security interest as security for the payment or enforcement of Receivables and including deposits by and property of account debtors or other persons securing the obligations of account
debtors; (vii) any other goods, personal property or real property now owned or hereafter acquired in which Company has expressly granted a security interest or may in the future grant a security
interest to Agent hereunder, or in any amendment or supplement hereto or thereto, or under any other agreement between Agent and Company; and (viii) all letters of credit, banker's acceptances and
similar instruments and including all Letter-of-Credit Rights (whether or not the letter of credit is evidenced by a writing); and (ix) all Commercial Tort Claims, including,
without limitation, all Commercial Tort Claims set forth on Schedule 1(C); 

        (h)  all
present and future supporting obligations and all present and future liens, security interests, rights, remedies, title and interest in, to and in respect of
Receivables and other Collateral, including (i) rights and remedies under or relating to guaranties, contracts of suretyship, letters of credit and credit and other insurance related to the
Collateral, and 

10

 

(ii) goods described in invoices, documents, contracts or instruments with respect to, or otherwise representing or evidencing, Receivables or other Collateral, including returned, repossessed and
reclaimed goods; 

        (i)    to
the extent not otherwise described above, all Receivables; 

        (j)    all
of Company's ledger sheets, ledger cards, files, correspondence, records, books of account, business papers, computers, computer software (whether owned by Company
or in which it has an interest), computer programs, tapes, disks and documents relating to (a), (b), (c), (d), (e), (f), (g), (h) or (i) above; and 

        (k)  all
proceeds and products of (a), (b), (c), (d), (e), (f), (g), (h), (i) and (j) above in whatever form, including, but not limited to: cash, deposit
accounts (whether or not comprised solely of proceeds), certificates of deposit, insurance proceeds (including hazard, flood and credit insurance), negotiable instruments and other instruments for the
payment of money, chattel paper, security agreements, documents, eminent domain proceeds, condemnation proceeds and tort claim proceeds. 

"Equipment"
shall mean and include all of Company's now owned and hereafter acquired goods (other than Inventory), wherever located, including, without limitation, all
equipment, machinery, apparatus, vehicles, vessels, fittings, tools, furniture, furnishings, fixtures, parts, accessories, data processing and computer equipment and computer hardware and software,
whether owned or licensed, and including embedded software, all attachments, accessions and property now or hereafter affixed thereto or used in connection therewith, and substitutions and
replacements thereof, wherever located. 

"General
Intangibles" shall mean and include all of Company's general intangibles, whether now owned or hereafter acquired including, without limitation, all choses in
action, causes of action, corporate or other business records, inventions, designs, patents, patent rights, patent applications, equipment formulations, manufacturing procedures, quality control
procedures, trademarks, service marks, service mark applications, goodwill (including any goodwill associated with any trademark or the license of any trademark), copyrights, works which are the
subject matter of copyrights, rights in works of authorship, copyright registrations, inventions, trade secrets, formulae, processes, compounds, drawings, designs, blueprints, surveys, reports,
manuals and operating standards, design rights, registrations, licenses, franchises, customer lists, tax refunds, tax refund claims, computer programs, domain names, domain name registrations,
software and contract rights relating to software, all claims under guaranties, security interests or other security held by or granted to Company to secure payment of any of the Receivables by a
Customer, all rights of indemnification and all other intangible property of every kind and nature (other than Receivables). 

"Inventory"
shall mean and include all of Company's now owned and hereafter acquired inventory, including, without limitation, all goods, merchandise and other personal
property, wherever located, which (a) are leased by Company as lessor; (b) are held by Company for sale or lease or to be furnished under a contract of service; (c) are furnished
by Company under a contract of service; or (d) consist of raw materials, work in process, finished goods or materials and supplies of any kind, nature or description which are or might be used
or consumed in Company's business, together with all documents of title or other documents representing or relating to any of the foregoing. 

"Investment
Property" shall mean and include all of Company's now owned or hereafter acquired investment property (exclusive of Subsidiary Stock) (including securities,
whether certificates or uncertificated, securities accounts, security entitlements, commodity contracts 

11

 

or commodity accounts) and all monies, credit balances, deposits and other property of Company now or hereafter held or received by or in transit to Agent or its affiliates or at any other depository
or other institution from or for the account of Company, whether for safekeeping, pledge, custody, transmission, collection or otherwise. 

"Receivables"
shall mean and include all of the following now owned or hereafter arising or acquired property of Company: (a) all Accounts; (b) all amounts
at any time payable to Company in respect of the sale or other disposition by Company of any Account or other obligation for the payment of money; (c) all interest, fees, late charges,
penalties, collection fees and other amounts due or to become due or otherwise payable in connection with any Account; (d) all payment intangibles of Company and other contract rights chattel
paper, instruments, notes, and other forms of obligations owing to Company, whether from the sale and lease of goods or other property, licensing of any property (including General Intangibles),
rendition of services or from loans or advances by Company or to or for the benefit of any third person (including loans or advances to any Affiliates or Subsidiaries of Company) or otherwise
associated with any Accounts, Inventory or General Intangibles of Company (including, without limitation, choices in action, causes of action, tax refunds, tax refund claims, any funds which may
become payable to Company in connection with the termination of any Plan or other employee benefit plan and any other amounts payable to Company from any Plan or other employee benefit plan, rights
and claims against carriers and shippers, rights to indemnification, business interruption insurance and proceeds thereof, casualty or any similar types of insurance and any proceeds thereof and
proceeds of insurance covering the lives of employees on which Company is beneficiary). 

        (b)  Each
reference to BNY or BNY Company shall be deemed a reference to GMAC and GMAC Company, respectfully. 

        (c)  Each
reference to "chattel paper", "fixtures", "goods" and "instruments" is hereby replaced with "Chattel Paper", "Fixtures", "Goods" and "Instruments", respectively. 

        (d)  Each
reference to "Uniform Commercial Code" is hereby replaced with "UCC". 

        (e)  Section 1(C)
of each Existing Security Agreement is hereby amended in its entirety to read as follows: 

"(C)
Uniform Commercial Code Terms. All terms used herein and defined in the UCC, as in effect from time to time, shall have the meaning given therein unless otherwise
defined herein. To the extent the definitions of any category or type of Collateral is expanded by any amendment, modification or revision to the UCC, such expanded definition will apply
automatically as of the date of such amendment, modification or revision." 

        (f)    Section 2
of each Existing Security Agreement is hereby amended in its entirety to read as follows: 

"2.
Security Interest. 

        2.1  Grant
of Security Interest. To secure the prompt payment of the Obligations, Company hereby acknowledges, confirms and agrees that Agent has
and shall continue to have for the benefit of the Lenders a continuing security interest in and upon all Collateral heretofore granted to Agent and, to the extent not otherwise granted to or held by
Agent, hereby assigns, pledges and grants to Agent, for the benefit of the Lenders (and to the Affiliates who are party to Interest Rate Agreements) and GMACCCL, GMACCC-Canada and each other Foreign
Subsidiary Lender, a continuing security interest in and to the Collateral, whether now owned or existing or hereafter acquired or arising and wheresoever located (whether or not the same is subject
to Article 9 of the UCC). All of Company's 

12

 

ledger sheets, files, records, books of account, business papers and documents relating to the Collateral shall, until delivered to or removed by Agent, be kept by Company in trust for Agent until
all Obligations have been paid in full. Each confirmatory assignment schedule or other form of assignment hereafter executed by Company shall be deemed to include the foregoing grant,
whether or not the same appears therein. 

        2.2.  Perfection
of Security Interest. (a) Company shall take all action that may be necessary or desirable, or that Agent may reasonably
request, so as at all times to maintain the validity, perfection, enforceability and priority of Agent's security interest in the Collateral or to enable Agent to protect, exercise or enforce its
rights hereunder and in the Collateral, including, but not limited to, (i) immediately discharging all Liens other than Permitted Liens, (ii) obtaining landlords' or mortgagees' lien waivers,
(iii) delivering to Agent, endorsed or accompanied by such instruments of assignment as Agent may specify, and stamping or marking, in such manner as Agent may specify, any and all Chattel Paper,
Instruments, letters of credits and advices thereof and Documents evidencing or forming a part of the Collateral, (iv) entering into warehousing, lockbox, bailee and other custodial
arrangements satisfactory to Agent, and (v) executing and delivering financing statements, instruments of pledge, mortgages, notices and assignments, in each case in form and substance
satisfactory to Agent, relating to the creation, validity, perfection, maintenance or continuation of Agent's security interest under the UCC or other applicable law. 

        (b)  Agent
may at any time and from time to time file financing statements, continuation statements and amendments thereto that describe the Collateral as "all assets"
of the Company or words of similar effect and which contain any other information required by Part 5 of Article 9 of the UCC for the sufficiency or filing office acceptance of any
financing statements, continuation statements or amendments. Company agrees to furnish any such information to Agent promptly upon request. 

        (c)  Company
shall, at any time and from time to time, take such steps as Agent may reasonably request (i) to obtain an acknowledgment, in form and substance
reasonably satisfactory to Agent, of any bailee having possession of any of the Collateral, stating that the bailee holds such Collateral for Agent, (ii) to obtain "control" of any
Letter-of-Credit Rights, Deposit Accounts or Electronic Chattel Paper (as such terms are defined in Article 9 of the UCC with corresponding provisions thereof defining
what constitutes "control" for such items of Collateral), with any agreements establishing control to be in form and substance reasonably satisfactory to Agent, and (iii) otherwise to insure
the continued perfection and priority of Agent's security interest in any of the Collateral and of its rights therein. If Company shall at any time, acquire a Commercial Tort Claim such Company shall
grant to Agent a
security interest and lien in and to such Commercial Tort Claim and all Proceeds thereof as set forth in Section 2.1 of this Agreement. 

        (d)  Company
hereby confirms and ratifies all UCC financing statements filed by Agent with respect to Company on or prior to the date of Amendment No. 8. 

        (e)  All
reasonable charges, expenses and fees Agent may incur in doing any of the foregoing, and any local taxes relating thereto, shall be charged to Company's account as a
Revolving Credit Advance and added to the Obligations, or, at Agent's option, shall be paid to Agent immediately upon demand. 

        4.    Conditions
of Effectiveness. This Amendment shall become effective when all of the following conditions shall have been satisfied:
(i) Agent shall have received four (4) copies of this Amendment executed by each Financial Party and Required Lenders; (ii) Agent shall have received, for the ratable benefit of Lenders who
agree to this Amendment, an amendment fee equal to $92,500, which fee shall be payable on the Amendment No. 8 Effective Date and charged to Borrower's Account; (iii) no Incipient 

13

 

Event of Default or Event of Default shall have occurred and be continuing; (iv) Agent shall have received an executed guaranty and security agreement from each Scheduled Affiliate in form and
substance satisfactory to Agent and (v) Agent shall have received such other certificates, instruments, documents, agreements and opinions of counsel as may be required by Agent or its counsel, each
of which shall be in form and substance satisfactory to Agent and its counsel. 

        5.    Representations,
Warranties and Covenants. Each Financial Party hereby represents, warrants and covenants as follows: 

        (a)  This
Amendment and the Loan Agreement, as amended hereby, constitute legal, valid and binding obligations of such Financial Party and are enforceable against such
Financial Party in accordance with their respective terms. 

        (b)  Upon
the effectiveness of this Amendment, such Financial Party hereby reaffirms all covenants, representations and warranties made in the Loan Agreement to the extent
the same are not amended hereby and agree that all such covenants, representations and warranties shall be deemed to have been remade as of the effective date of this Amendment. 

        (c)  No
Event of Default or Incipient Event of Default has occurred and is continuing or would exist after giving effect to this Amendment. 

        (d)  No
Financial Party has any defense, counterclaim or offset with respect to the Loan Agreement or the Obligations. 

        6.    Reaffirmation
of Guarantors. Each Guarantor (a) acknowledges and confirms all terms and provisions contained in the Guaranty Agreements are
and shall remain in full force and effect in accordance with their respective terms and (b) adopts, and agrees to be bound by the provisions of Sections 7 through 10, 12.1, 12.2. 12.3 and 13 through
37 of the Loan Agreement. 

        7.    Effect
on the Loan Agreement. 

        (a)  Upon
the effectiveness of Section 2 hereof, each reference in the Loan Agreement to "this Agreement," "hereunder," "hereof," "herein"
or words of like import shall mean and be a reference to the Loan Agreement as amended hereby. 

        (b)  Except
as specifically amended herein, the Loan Agreement, and all other documents, instruments and agreements executed and/or delivered in connection therewith, shall
remain in full force and effect, and are hereby ratified and confirmed. 

        (c)  The
execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of Agent or any Lender, nor constitute a waiver
of any provision of the Loan Agreement, or any other documents, instruments or agreements executed and/or delivered under or in connection therewith. 

        8.    Governing
Law. This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and
assigns and shall be governed by and construed in accordance with the laws of the State of New York. 

        9.    Headings.
Section headings in this Amendment are included herein for convenience of reference only and shall not constitute a
part of this Amendment for any other purpose. 

        10.    Counterparts;
Facsimile Signatures. This Amendment may be executed by the parties hereto in one or more counterparts, each of which shall be
deemed an original and all of which taken together shall constitute one and the same agreement. Any signature received by facsimile transmission shall be deemed an original signature hereto. 

14

 

        IN
WITNESS WHEREOF, this Amendment has been duly executed as of the day and year first written above. 

	 	 	TMP WORLDWIDE INC.
	

 	
 	

By:	
 	

/s/  MYRON OLESNYCKYJ      
 Name: Myron Olesnyckyj

Title: Senior Vice President and Secretary
	

 	
 	

GMAC COMMERCIAL CREDIT LLC

as Agent and as Lender
	

 	
 	

By:	
 	

/s/  DAVID J. KANTER      
 Name: David J. Kanter

Title: President, Special Assets Division
	

 	
 	

DEUTSCHE FINANCIAL SERVICES

CORPORATION, as Lender
	

 	
 	

By:	
 	

/s/  STEPHEN D. METTS      
 Name: Stephen D. Metts

Title: Vice President
	

 	
 	

FLEET NATIONAL BANK

as Lender
	

 	
 	

By:	
 	

/s/  THOMAS J. LEVY      
 Name: Thomas J. Levy

Title: Senior Vice President
	

 	
 	

FIFTH THIRD BANK

as Lender
	

 	
 	

By:	
 	

/s/  ANN PIERSON      
 Name: Ann Pierson

Title: Corporate Banking Officer

15

 

	

 	
 	

GMAC COMMERCIAL CREDIT LIMITED
	

 	
 	

By:	
 	

/s/  DAVID J. KANTER      
 Name: David J. Kanter

Title: President, Special Assets Division
	

 	
 	

GMAC COMMERCIAL CREDIT CORPORATION
	

 	
 	

By:	
 	

/s/  DAVID J. KANTER      
 Name: David J. Kanter

Title: President, Special Assets Division
	

 	
 	

TMP HOLDINGS INTERNATIONAL, INC.

TASA INCORPORATED

AUSTIN KNIGHT INC.

ONLINE CAREER CENTER

            MANAGEMENT, INC.

M.S.I. MARKET SUPPORT INTERNATIONAL

GENERAL DIRECTORY ADVERTISING

            SERVICES, INC.
	

 	
 	

By:	
 	

/s/  MYRON OLESNYCKYJ      
 Name: Myron Olesnyckyj

The Secretary of each of the

foregoing corporations

16

QuickLinks

AMENDMENT NO. 8 TO THIRD AMENDED AND RESTATED ACCOUNTS RECEIVABLE MANAGEMENT AND SECURITY AGREEMENT<Page>

                                                                    Exhibit 10.1

                               SEVERANCE AGREEMENT

     THIS SEVERANCE AGREEMENT (this "Agreement"), dated as of May 1, 2002, is
made by and between NANOGEN, INC., a Delaware corporation (hereinafter the
"Company"), and Ira Marks (hereinafter "Executive").

                                    RECITALS

     WHEREAS, the Company and Executive wish to set forth in this Agreement the
terms and conditions under which Executive's employment may be terminated by the
Company;

     WHEREAS, the Company has agreed to provide for certain severance payments
to be made to Executive upon the Company's termination of the Executive's
employment;

     NOW, THEREFORE, the Company and Executive, in consideration of the mutual
promises set forth herein, agree as follows:

                                    AGREEMENT

     1.   BY DEATH. Executive's employment shall terminate automatically upon
the death of Executive. In such event, the Company shall pay to Executive's
beneficiaries or his estate, as the case may be, any accrued base salary, any
bonus compensation to the extent earned, any vested deferred compensation (other
than pension plan or profit-sharing plan benefits which will be paid in
accordance with the applicable plan), any benefits under any plans of the
Company in which Executive is a participant to the full extent of Executive's
rights under such plans, any accrued vacation pay and any appropriate business
expenses incurred by Executive in connection with his duties hereunder, all to
the date of termination (collectively "Accrued Compensation"), but no other
compensation or reimbursement of any kind, including, without limitation,
severance compensation, and thereafter, the Company's obligations hereunder
shall terminate.

     2.   BY DISABILITY. If Executive is prevented from properly performing his
duties to the Company as described in the Offer Letter hereunder by reason of
any physical or mental incapacity for a period of more than 90 days in the
aggregate in any 365-day period, then, to the extent permitted by law, the
Company may terminate the employment on the 90th day of such incapacity. In such
event, the Company shall pay to Executive all Accrued Compensation, and shall
continue to pay to Executive the base salary until such time (but not more than
90 days following termination), as Executive shall become entitled to receive
disability insurance payments under the disability insurance policy maintained
by the Company, which disability policy shall provide for full payment of
Executive's base salary during the period of disability, but no other
compensation or reimbursement of any kind, including without limitation,
severance compensation, and thereafter the Company's obligations hereunder shall
terminate.

<Page>

Nothing in this Section shall affect Executive's rights under any disability
plan in which he is a participant.

     3.   BY COMPANY FOR CAUSE. The Company may terminate Executive's employment
for Cause (as defined below) without liability at any time with or without
advance notice to Executive. The Company shall pay Executive all Accrued
Compensation, but no other compensation or reimbursement of any kind, including
without limitation, severance compensation, and thereafter the Company's
obligations hereunder shall terminate. Termination shall be for "Cause" in the
event of the occurrence of any of the following: (a) any intentional action or
intentional failure to act by Executive which was performed in bad faith and to
the material detriment of the Company; (b) Executive intentionally refuses or
intentionally fails to act in accordance with any lawful and proper direction or
order of the Board; (c) Executive willfully and habitually neglects the duties
of employment; or (d) Executive is convicted of a felony crime involving moral
turpitude, provided that in the event that any of the foregoing events is
capable of being cured, the Company shall provide written notice to Executive
describing the nature of such event and Executive shall thereafter have five (5)
business days to cure such event.

     4.   AT WILL. At any time, the Company may terminate Executive's employment
without liability other than as set forth below, for any reason not specified in
Section 3 above, by giving thirty (30) days advance written notice to Executive.
If the Company elects to terminate Executive pursuant to this Section 4, the
Company shall pay to Executive all Accrued Compensation and shall continue to
pay to Executive as provided herein Executive's base salary for six (6) months
from the date of such termination as severance compensation. Upon payment of the
severance benefits described herein, all obligations of the Company (or its
successor) shall terminate.

     5.   EXECUTIVE'S OBLIGATIONS. During the period when such severance
compensation is being paid to Executive pursuant to Section 4 above, Executive
shall not (i) engage, directly or indirectly, in any other business activity
that is competitive with, or that places him in a competing position to that of
the Company or any affiliated company (provided that Executive may own less than
two percent (2%) of the outstanding securities of any publicly traded
corporation), or (ii) hire, solicit, or attempt to hire on behalf of himself or
any other party any employee or exclusive consultant of the Company. The
obligations of Executive described in this Section 5 are in addition to any
other obligations that Executive may have to the Company as described in other
agreements or arrangements, including but not limited to, the Proprietary
Inventions Agreement, dated December 17, 2001.

     6.   GOVERNING LAW. The validity, interpretation, construction and
performance of this Agreement and the rights of the parties thereunder shall be
interpreted and enforced under California law without reference to principles of
conflicts of laws. The parties expressly agree that inasmuch as the Company's
headquarters and principal place of business are located in California, it is
appropriate that California law govern this Agreement.

<Page>

     7.   ASSIGNMENT; SUCCESSORS; BINDING AGREEMENT.

     (a) Executive may not assign, pledge or encumber his interest in this
Agreement or any part thereof.

     (b) The Company will require any successor (whether direct or indirect, by
purchase, merger, consolidation or otherwise) to all or substantially all of the
business and/or assets of the Company, operation of law or by agreement in form
and substance reasonably satisfactory to Executive, to assume and agree to
perform this Agreement in the same manner and to the same extent that the
Company would be required to perform it if no such succession had taken place.

     (c) This Agreement shall inure to the benefit of and be enforceable by
Executive's personal or legal representatives, executors, administrators,
successors, heirs, distributee, devisees and legatees. If Executive should die
while any amount is at such time payable to him hereunder, all such amounts,
unless otherwise provided herein, shall be paid in accordance with the terms of
this Agreement to Executive's devisee, legates or other designee or, if there be
no such designee, to his estate.

     8.   NO WAIVER OF BREACH. The waiver by any party of the breach of any
provision of this Agreement shall not be deemed to be a waiver of any subsequent
breach.

     9.   NOTICE. For the purposes of this Agreement, notices and all other
communications provided for in this Agreement shall be in writing and shall be
deemed to have been duly given when delivered or mailed by certified or
registered mail, return receipt requested, postage prepaid, addressed to the
respective addresses set forth below or to such other address as either party
may have furnished to the other in writing in accordance herewith, except that
notice of change of address shall be effective only upon receipt.

     To the Company:           Nanogen, Inc.
                               10398 Pacific Center Court
                               San Diego, CA 92121
                               Attn: Chief Executive Officer

     To Executive:             Ira Marks
                               c/o Nanogen, Inc.
                               10398 Pacific Center Court
                               San Diego, CA 92121

     10.  MODIFICATION; WAIVER; ENTIRE AGREEMENT. No provisions of this
Agreement may be modified, waived or discharged unless such waiver, modification
or discharge is agreed to in writing signed by Executive and such officer as may
be specifically designated by the Board of the Company. No waiver by either
party hereto at any time of any breach by the other party of, or compliance
with, any condition or

<Page>

provision of this Agreement to be performed by such other party shall be deemed
a waiver of similar or dissimilar provisions or conditions at the same or any
prior or subsequent time. No agreements or representations, oral or otherwise,
express or implied, with respect to the subject matter hereof have been made by
either party which are not expressly set forth in this Agreement.

     11.  VALIDITY. The invalidity or unenforceability of any provision of this
Agreement shall not affect the validity or enforceability of any other provision
of this Agreement, which shall remain in full force and effect.

     12.  CONTROLLING DOCUMENT. This Agreement, and the Offer Letter supersedes
any and all prior agreements between the Company and Executive relating to the
matters herein, but does not supersede any other agreements between Company and
Executive executed hereafter, including but not limited to, any stock option
agreements entered into pursuant to the Company's 1997 Stock Incentive Plan and
the Nanogen Employees' Handbook and Policies, except as expressly provided
herein. In case of conflict between any of the terms and conditions of this
Agreement and the documents herein referred to, the terms and conditions of this
Agreement shall control.

     13.  EXECUTIVE ACKNOWLEDGMENT. Executive acknowledges (a) that he has
consulted with or has had the opportunity to consult with independent counsel of
his own choice concerning this Agreement, and has been advised to do so by the
Company, and (b) that he has read and understands the Agreement, is fully aware
of its legal effect, and has entered into it freely based on his own judgment.

     14.  REMEDIES.

     (a) INJUNCTIVE RELIEF. The parties agree that the services to be rendered
by Executive hereunder are of a unique nature and that in the event of any
breach or threatened breach of any of the covenants contained herein, the damage
or imminent damage to the value and the goodwill of the Company's business will
be irreparable and extremely difficult to estimate, making any remedy at law or
in damages inadequate. Accordingly, the parties agree that the Company shall be
entitled to injunctive relief against Executive in the event of any breach or
threatened breach of any such provisions by Executive, in addition to any other
relief (including damages) available to the Company under this Agreement or
under law.

     (b) EXCLUSIVE. Both parties agree that the remedy specified in Section 14
(a) above is not exclusive of any other remedy for the breach by Executive of
the terms hereof.

<Page>

     15.  COUNTERPARTS. This Agreement may be executed in one or more
counterparts, all of which taken together shall constitute one and the same
Agreement.

     Executed by the parties as of the day and year first above written.

                                           NANOGEN, INC.

                                           By:    /s/ Dr. V. Randy White
                                              ---------------------------------
                                                  Dr. V. Randy White
                                                  Chief Executive Officer

                                           EXECUTIVE:

                                           By:    /s/ Ira Marks
                                              ----------------------------------
                                                  Ira Marks

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}]]