Document:

FIRST AMENDMENT TO
                          AGREEMENT AND PLAN OF MERGER

     This  First  Amendment dated as of August 1, 2002 (this "AMENDMENT") to the
Agreement  and  Plan of Merger dated December 19, 2001 (the "MERGER AGREEMENT"),
is  entered  into  by  and  among  Murdock  Communications  Corporation, an Iowa
corporation  ("MURDOCK"), MCC Merger Sub Corporation, a Delaware corporation and
wholly-owned  subsidiary  of  Murdock  ("MERGER  SUB"),  and  Polar  Molecular
Corporation,  a  Delaware  corporation  ("POLAR"  and  sometimes  the "SURVIVING
CORPORATION").  Capitalized  terms  used  herein but otherwise not defined shall
have  the  meanings  set  forth  in  the  Merger  Agreement.

                             INTRODUCTORY STATEMENTS

     1.     The  parties  have  entered  into  the  Merger  Agreement.

     2.  The  parties  find  it  desirable  to amend the Merger Agreement in the
manner  specified  in  this  Amendment  to  allow  for  the extension of certain
timelines  and  provide  for  revised  obligations  of  the  parties.

     3.  The  provisions  of  this  Amendment  in  no way diminish the right and
obligations  of  any party under the provisions of the Merger Agreement that are
not  otherwise  amended  by  this  Amendment.

                                    AGREEMENT

     NOW,  THEREFORE,  in  consideration  of  the  foregoing  and the respective
representations,  warranties,  covenants  and  agreements  set  forth  in  this
Amendment,  the parties hereto, intending to be legally bound, agree as follows:

                                   AMENDMENTS

     1.1     Section  2.01  of  the  Merger  Agreement  is hereby amended in its
entirety  to  read  as  follows:

     "SECTION  2.01  The  Merger.  The  Closing of the transactions contemplated
                     -----------
hereby  (the  "CLOSING")  shall, subject to the provisions of Article VI hereof,
take place at the offices of Holme Roberts & Owen LLP in Denver Colorado, on the
later to occur of November 15, 2002 and the date that is two business days after
each  of  the  conditions  set  forth  in  Article  VI has been met or waived in
writing,  or  at  such  other date, time and place as Polar and Murdock mutually
agree.  The  date  on which the Closing actually occurs is referred to herein as
the  "CLOSING  DATE"."

<PAGE>

     1.2     Article  V  of the Merger Agreement is hereby amended by adding the
following  provisions  to  the  end  thereof  as  a  new  Section  5.16:

     "SECTION  5.16.  Conversion  of Loans from Polar.  Immediately prior to the
                      -------------------------------
Effective Time, the aggregate sum of all loans from Polar to Murdock outstanding
as  of such time, shall be converted into the number of shares of Murdock Common
Stock obtained by dividing the outstanding loan balance as of the Effective Time
by  $3.03.  Stock  certificates  representing  the resulting number of shares of
Murdock  Common  Stock  shall  be  issued in favor of Polar and delivered at the
Closing in accordance with the provisions of Section 2.03 hereof.  The shares of
Murdock  Common Stock issued pursuant to this Section 5.16 will be held by Polar
for  future  distribution as incentives for employees, consultants and directors
of  Polar,  as  determined  from  time to time in the discretion of the Board of
Directors  of  Polar."

     1.3     Subsection  (b)  of  Section 7.02 of the Merger Agreement is hereby
amended  in  its  entirety  to  read  as  follows:

     "(b)     the  Merger  shall not have been consummated on or before November
30,  2002  (the  "EXPIRATION  DATE")  (provided, that the Expiration Date may be
extended  by  mutual  agreement of Polar and Murdock to December 31, 2002 if the
Merger  shall  not  have  been  consummated on or prior to November 30, 2002 due
solely  to  the failure of the SEC to clear and declare effective the Filing for
mailing  to Murdock's stockholders on or prior to October 31, 2002) or if events
have  occurred  which  have  made  it  impossible  to  satisfy  on or before the
Expiration  Date a condition precedent to the terminating party's obligations to
consummate the Transactions; provided that the right to terminate this Agreement
                             -------- ----
under  this Section 7.02(b) shall not be available to any party whose failure to
perform any covenant or obligation under this Agreement has been the cause of or
resulted  in  the  failure  of  the  Merger to occur on or before the Expiration
Date."

                                  MISCELLANEOUS

     2.1  The  parties hereto hereby agree that this Amendment amends the Merger
Agreement  in accordance and in compliance with the terms of Section 8.08 of the
Merger  Agreement,  and each party hereto hereby represents and warrants that it
has  taken,  and covenants that it will undertake, any and all actions necessary
so  that  the  amendments  made by this Amendment are validly made in compliance
with  Section  8.08  of  the  Merger  Agreement.

     2.2  Except as expressly set forth herein, this Amendment does not alter or
modify  any  right  or  obligation  of  any  party  under  the Merger Agreement.

     2.3  This  Amendment  may  be executed in multiple counterparts, and by the
different  parties  hereto in separate counterparts, each of which when executed
shall  be  deemed  to  be  an  original,  but  all of which taken together shall
constitute  one  and  the  same  amendment.

                            [Signature Page Follows]

                                        2
<PAGE>

IN  WITNESS  WHEREOF, this Amendment has been duly executed and delivered by the
parties  hereto  on  the  date  first  above  written.

                                          POLAR  MOLECULAR  CORPORATION

                                          By:     /s/   Mark  L.  Nelson
                                              --------------------------------
                                              Name:
                                                   ---------------------------
                                              Title:
                                                    --------------------------

                                          MURDOCK  COMMUNICATIONS  CORPORATION

                                          By:     /s/   Eugene  I.  Davis
                                              --------------------------------
                                          Name:      Eugene  I.  Davis
                                               -------------------------------
                                          Title:   Chief  Executive  Officer
                                                ------------------------------

                                          MCC  MERGER  SUB  CORPORATION

                                          By:     /s/   Eugene  I.  Davis
                                              --------------------------------
                                          Name:      Eugene  I.  Davis
                                               -------------------------------
                                          Title:   Chief  Executive  Officer
                                                ------------------------------

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Exhibit 10.61    
  

 
 
 

SETTLEMENT AGREEMENT AND RELEASE    
  

        This Settlement Agreement and Release ("Agreement") is effective as of November 15, 2002 (the "Effective Date") among Spectrian Corporation ("Spectrian"),
Cree, Inc., and Cree Microwave, Inc., a wholly owned subsidiary of Cree, Inc. that was formerly known as UltraRF, Inc. and, prior to that, as Zoltar
Acquisition, Inc. (Cree, Inc. and Cree Microwave, Inc. shall be collectively referred to herein as "Cree." Spectrian and Cree shall be referred to collectively herein as the
"Parties.") 

        WHEREAS,
the Parties entered into an Asset Purchase Agreement dated November 20, 2000 (the "Asset Purchase Agreement"); and 

        WHEREAS,
Spectrian and Cree Microwave, Inc. entered into a Purchase and Supply Agreement dated December 29, 2000, and subsequently entered into Amendments to the Purchase
and Supply Agreement dated October 19, 2001 and March 31, 2002 (collectively, the "Purchase and Supply Agreement"); and 

        WHEREAS,
in a letter dated September 25, 2002, Cree gave Spectrian formal notice of alleged claims against Spectrian under the Purchase and Supply Agreement and its intent to
arbitrate such claims if they were not otherwise resolved; and 

        WHEREAS,
in a letter dated September 30, 2002, Spectrian responded to Cree's September 25 letter and informed Cree of alleged claims against Cree under the Purchase and
Supply Agreement; and 

        WHEREAS,
the Parties desire to settle certain claims relating to the Asset Purchase Agreement and the Purchase and Supply Agreement pursuant to the terms and conditions set forth herein
below; 

        IT
IS HEREBY AGREED by and among the Parties, in consideration of the mutual covenants and undertakings set forth in this Agreement, as follows: 

        1.    Spectrian
shall pay to Cree Microwave, Inc. a total of $5,000,000 (five million dollars) (the "Settlement Payment") in cash. The Settlement Payment shall be paid
by wire transfer, to an account designated by Cree Microwave, Inc., within five days of the Effective Date. 

        2.    Provided
that the Settlement Payment is paid to Cree Microwave, Inc. within five days of the Effective Date, then as of the Effective Date, Cree and Spectrian,
along with their respective affiliates, subsidiaries, attorneys, insurers, reinsurers, predecessors, successors, directors, officers, parents, subsidiaries, employees and assigns, release and forever
discharge each other and their respective affiliates, subsidiaries, attorneys, insurers, reinsurers, predecessors, successors, directors, officers, parents, subsidiaries, employees and assigns, from
all claims arising from or in any way relating to the Purchase and Supply Agreement, except as set forth in Paragraph 3 herein. For purposes of clarity, and without limiting the foregoing in
any way, the Parties acknowledge that the release set forth in this Paragraph 2 includes but is not limited to: (i) all claims referenced in Cree's letter to Spectrian dated
September 25, 2002 indicating its intent to arbitrate; (ii) all claims referenced in Spectrian's letter to Cree dated September 30, 2002 responding to Cree's September 25
letter; (iii) the remaining Minimum Commitment for the periods after September 30, 2002 of approximately $11.3 million; (iv) any and all Minimum Commitments not already
purchased for all periods prior to September 30, 2002; and (v) any previously existing obligation on the part of Spectrian under the Purchase and Supply Agreement to use, purchase, or
qualify any Cree Microwave or UltraRF products, including but not limited to LDMOS 8, LDMOS 8.5 30-watt or 125-watt parts. 

        3.    The
Parties agree that the Purchase and Supply Agreement shall be terminated as of the Effective Date, provided that the Settlement Payment is paid to Cree
Microwave, Inc. within five days of the Effective Date. Article V (including the warranties set forth in Schedules 5.1 and 5.2), Article VI, and Article VII of the Purchase
and Supply Agreement shall survive termination. Notwithstanding anything else in this Agreement, any claims arising from or relating to Articles V and 

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VII of the Purchase and Supply Agreement shall be preserved, and are not waived or released. Any purchase of products by Spectrian from Cree Microwave, Inc. after termination of the Purchase
and Supply Agreement shall instead be governed by the terms set forth in the Volume Purchase Agreement executed concurrently herewith, so long as the Volume Purchase Agreement remains in effect,
unless otherwise mutually agreed in writing by the Parties. 

        4.    In
consideration of and subject to its receipt of the Settlement Payment, and as of the Effective Date, Cree and its affiliates, subsidiaries, attorneys, insurers,
reinsurers, predecessors, successors, directors,
officers, parents, subsidiaries, employees and assigns release and forever discharge Spectrian and its affiliates, subsidiaries, attorneys, insurers, reinsurers, predecessors, successors, directors,
officers, parents, subsidiaries, employees and assigns from all claims arising from or relating to the representations and warranties made by Spectrian in the Asset Purchase Agreement, with the
exception of the representations and warranties set forth in Sections 5.18 and 5.20 thereof. Any claims arising from the representations and warranties set forth in Sections 5.18 and 5.20 of the Asset
Purchase Agreement shall survive this Agreement and are not released. Cree acknowledges and agrees that, as of the Effective Date, it is not aware of any breaches of the representations and warranties
made by Spectrian in Sections 5.18 and 5.20 of the Asset Purchase Agreement. 

        5.    Spectrian
acknowledges that Cree's LDMOS 8 family of products has successfully passed Cree's internal process and reliability qualification tests and the Parties will
include such acknowledgment in a mutually acceptable form in the press release contemplated by Paragraph 20. 

        6.    The
Parties expressly waive and relinquish any and all rights and benefits they now have or may have in the future under the terms of Section 1542 of the Civil
Code of the State of California, which section reads in full as follows: "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF
EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR." The Parties being aware of said Code Section, hereby expressly, knowingly and intentionally
waive any rights they may have thereunder, as well as any other statute or common law of similar effect. The Parties and each of them understand and acknowledge the significance of this specific
waiver of California Civil Code Section 1542, and thereby assume full responsibility for any damages or losses that they have incurred or hereafter incur in connection with the facts and claims
which are the subject of the releases as set forth in Paragraphs 2, 3, and 4 above. 

        7.    Each
Party understands that if the facts with respect to which this Agreement is executed are found hereafter to be other than or different from the facts now believed by
them to be true, the Parties expressly accept and assume the risk of such possible differences in facts and agree that this Agreement shall be and remain effective notwithstanding such difference in
facts. 

        8.    Each
Party denies any liability for all claims against it referenced in this Agreement and this compromise and settlement thereof shall never be treated as an admission
of liability or responsibility for such claims at any time for any purpose. 

        9.    Each
party hereto declares that its decision in executing this Agreement is not predicated on, or influenced by, any declaration or representation of any other party
hereto, but solely on the conditions, covenants, and agreements contained or referred to in this Agreement. 

        10.  The
undersigned Parties each warrant and represent that it has the right and authority to execute this Agreement as to the claims, demands, obligations, or causes of
action referred to in its release set
forth in this Agreement; and that it has not sold, assigned, transferred, conveyed, or otherwise disposed of any of such claims, demands, obligations or causes of action and will not do so
concurrently with the execution of this agreement or after its execution. It is agreed and acknowledged among the Parties that Spectrian's execution on May 19, 2002 of an Agreement and Plan of
Merger 

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and Reorganization with REMEC, Inc., a California corporation, and Reef Acquisition Corp., a Delaware corporation, and its execution on October 29, 2002 of an amendment and restatement
thereof, shall not be deemed contrary to Spectrian's representations and warranties in this Paragraph 10. 

        11.  This
Agreement shall inure to the benefit not only of the Parties, but also to each and every one of their respective agents, representatives, employees, attorneys and
insurers, whether primary or excess, and also to the respective assigns and successors in interest of each Party. 

        12.  This
Agreement contains the entire agreement among the parties hereto relating to the subject matter within the scope of the release contained in this Agreement and is
intended by the parties hereto to be the final and exclusive statement thereof. This Agreement shall not be construed as conferring on any party hereto, by implication, estoppel, or otherwise, any
rights except the rights expressly granted herein. All prior or contemporaneous agreements, written or oral, among the parties hereto regarding the subject matter within the scope of the release
contained in this Agreement are superseded by this Agreement, except for the Volume Purchase Agreement referenced above. This Agreement may not be modified except by written document signed by an
authorized representative of each party hereto. 

        13.  It
is expressly understood and agreed that no promises or representations relating to the subject matter within the scope of the release contained in this Agreement
shall be binding on any Party except as expressly provided herein. 

        14.  All
controversies, disputes or claims arising among the parties in connection with, or with respect to, any provision of this Agreement shall be submitted for
arbitration in accordance with the rules of the American Arbitration Association or any successor thereof. Arbitration shall take place in Sunnyvale, California. Cree, on the one hand, and Spectrian,
on the other hand, each shall select one independent arbitrator (who shall not be counsel for such party), and the two so designated shall select a third independent arbitrator. If either party shall
fail to designate an arbitrator within seven calendar days after arbitration is commenced by filing a demand with the American Arbitration Association, or if the two arbitrators shall fail to select a
third arbitrator within 14 calendar days after arbitration is commenced by filing a demand with the American Arbitration Association, then such arbitrator shall be selected by the American Arbitration
Association or any successor thereto upon application of either party. Judgment upon any award of the majority of arbitrators shall be binding and may be entered in any court of competent
jurisdiction. Subject to the provisions of this Agreement, the award of the arbitrators may grant any relief that a court of general jurisdiction has authority to grant, including, without limitation,
an award of damages and/or injunctive relief. Nothing herein contained shall bar the right of any of the parties to seek temporary injunctive relief from a court of competent jurisdiction in
accordance with applicable law against threatened conduct that will cause imminent loss or damage before relief can be obtained through the arbitration process. 

        15.  No
term of this Agreement shall be considered waived and no breach excused by any party hereto unless waived or excused in writing. No waiver or excuse of a breach by
any party hereto, express or implied, shall constitute a waiver or excuse of any subsequent breach. 

        16.  This
Agreement shall be interpreted, enforced, and governed by and under the laws of the State of California, notwithstanding its choice of law rules. 

        17.  The
parties hereto acknowledge and agree that this Agreement may be executed in one or more counterparts, and that all such counterparts shall constitute one and the
same Agreement. This Agreement may be executed by exchange of facsimile signatures to be followed with the originals being signed and exchanged by regular mail or courier, which facsimile signatures
the parties hereto agree shall be deemed for all purposes as originals. 

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        18.  If
any provision of this Agreement, or any portion thereof, is held invalid, illegal or unenforceable, that provision of the Agreement shall be enforced to the maximum
extent permissible so as to effect the intention of the parties hereto, and the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired. 

        19.  The
parties hereto agree to act in good faith in carrying out all of the terms of this Agreement. 

        20.  The
Parties agree to cooperate in the preparation of mutually acceptable press releases announcing the execution of this Agreement but shall otherwise make no public
announcement or disclosure of the execution or terms of this Agreement without the written consent of the other Parties, except that a Party may, upon notice to the others Parties, make such public
disclosures regarding this Agreement as, in the opinion of counsel for such Party, are required by applicable securities laws. 

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(Signature page to Settlement Agreement and Release)  

        IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date. 

	Spectrian Corporation	 	Cree, Inc.
	

By:	
 	

/s/  MICHAEL D. ANGEL      
 Michael D. Angel

Executive Vice President, Finance and Administration, and Chief Financial Officer	
 	

By:	
 	

/s/  M. TODD TUCKER      
 M. Todd Tucker

Executive Vice President, Operations
	

Date: November 15, 2002	
 	

Date: November 15, 2002
	

 	
 	

 	
 	

Cree Microwave, Inc.
	

 	
 	

 	
 	

By:	
 	

/s/  M. TODD TUCKER      
 M. Todd Tucker

President
	

 	
 	

 	
 	

Date: November 15, 2002

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Exhibit 10.61

SETTLEMENT AGREEMENT AND RELEASE

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