Document:

Exhibit 10.9

 

AGREEMENT

 

This
Agreement is entered into by and between Elmer Doty (“Executive”) and Vought
Aircraft Industries, Inc., a Delaware corporation with its principal place
of business in Dallas, Texas (“Vought” or the “Company”).

 

Executive
and Vought (the “parties”) have previously entered into an agreement, dated March 29,
2006 (the “Employment Agreement”) which provided for the initial terms and
conditions of Executive’s employment with the Company and the compensation to
be provided to Executive for those services.

 

By
their signatures below, the parties agree that the terms of the Employment
Agreement shall be amended as follows:

 

1)
Paragraph 2, subsection (b) shall be amended by deleting
the following words:

 

“...with
a maximum bonus opportunity for calendar year 2006 equal to 150% of Annual Base
Salary.”

 

and
substituting the following words:

 

“...in such amount as may be approved by the Board (or its Committee).”

 

2)
Paragraph 2, subsection (g) shall be amended by deleting
the following words:

 

“...annual
reimbursements for financial and tax planning, up to a maximum of $10,000 per
year...”

 

and
substituting the following words:

 

“...annual reimbursements for financial and tax planning in accordance
with plans or arrangements of the Company, as may be amended from time to time,
which are applicable to other senior officers of the Company.”

 

The
Employment Agreement shall remain unchanged in all other respects.

 

	
  Elmer
  L. Doty

  	
   

  	
  Vought
  Aircraft Industries, Inc.

  
	
   

  	
   

  	
   

  	
   

  
	
  /s/
  ELMER L. DOTY

  	
   

  	
  By:

  	
  /s/
  KEVIN P. MCGLINCHEY

  
	
   

  	
   

  	
   

  	
  Kevin
  P. McGlinchey

  
	
   

  	
   

  	
  Its:

  	
  Vice
  President, General Counsel and

  Corporate Secretary

  
	
  Dated:
  February 13, 2007

  	
   

  	
  Dated:

  	
  February 13,
  2007Exhibit 10.10

 

SECOND
AMENDMENT TO ELMER DOTY EMPLOYMENT AGREEMENT

 

THIS SECOND AMENDMENT, dated as of December 31,
2008 (the “Amendment Effective Date”), is entered into by and between
Vought Aircraft Industries, Inc., a Delaware corporation (the “Company”)
and Elmer Doty (the “Executive”).

 

RECITALS

 

WHEREAS, the Company and the Executive previously entered
into an employment agreement, dated as of March 29, 2006, as previously
amended on February 13, 2007 (the “Employment Agreement”), that
sets forth the terms and conditions of the Executive’s employment with the
Company;

 

WHEREAS, the Company and Executive mutually desire to amend
the Employment Agreement to take into consideration certain requirements
imposed by Section 409A of the Internal Revenue Code of 1986, as amended
(the “Code”); and

 

WHEREAS, Section 15 of the Employment Agreement
provides that the Employment Agreement may be amended pursuant to a written
agreement between the Company and the Executive.

 

NOW, THEREFORE, the Company and the Executive hereby agree
that, effective as of the Amendment Effective Date, for good and valuable
consideration, the receipt of which is hereby acknowledged, the Employment
Agreement  is hereby amended as follows:

 

1.             The following sentence is hereby
added to the end of Section 2(b) of the Employment Agreement:

 

“Any
annual bonus that becomes payable pursuant to this Section 2(b) shall
be paid no later than March 15th of the year following the year
in which such annual bonus is earned. 
Provided, however, that if the Board shall determine that it is
administratively impracticable, which may include inability of the Company to
gain certification of its financial statements, to make such annual bonus
payment by March 15th, any such payment shall be made as soon
as reasonably practicable after such period and in no event later than December 31st
of the year following the year the year for which such annual bonus was earned.”

 

2.             Section 2(i) of
the Employment Agreement is hereby deleted and replaced in its entirety with
the following:

 

“(i)                               Expenses.  During the Term, the Company shall reimburse
the Executive for all reasonable travel and other business expenses incurred by
him in the performance of his duties to the Company in accordance with the
Company’s expense reimbursement policy. 
To the extent that any reimbursements, including without limitation any
reimbursements pursuant to Section 2(g) above and/or pursuant to this
Section 2(i), are determined to constitute taxable compensation to the
Executive, then reimbursement requests with 

 

 

respect
to such expenses must be timely submitted by the Executive and, if timely
submitted, such expenses shall be reimbursed no later than December 31st
of the year following the year in which the expense was incurred.  In no event shall the Executive be entitled
to any such reimbursement payments after December 31st of the
year following the year in which the expense was incurred.  The amount of any such expenses reimbursed in
one year shall not affect the amount eligible for reimbursement in any
subsequent year, except for the reimbursement of medical expenses referred to
in Section 105(b) of the Internal Revenue Code of 1986, as amended
(the “Code”), and the Executive’s right to reimbursement of any such
expenses shall not be subject to liquidation or exchange for any other benefit.”

 

3.             Section 2(k) of
the Employment Agreement is hereby deleted and replaced in its entirety with
the following:

 

“(k)                            Indemnification.  The Executive shall be indemnified and held
harmless by the Company to the fullest extent authorized by the Company’s
certificate of incorporation or bylaws against all costs, expenses, liabilities
and losses reasonably incurred or suffered by the Executive with respect to any
bona fide claim against the Executive or the Company, where such claim is based
on actions taken by the Executive in good faith and in his capacity as an
officer of the Company.  Notwithstanding
the foregoing, no amounts shall be paid or advanced in accordance with this Section 2(k) to
the extent that any such amounts would fail to be exempt from the application
of Section 409A (as defined below) in accordance with Treasury Regulation
1.409A-1(b)(10).”

 

4.             Section 4(b) of
the Employment Agreement is hereby amended and restated in its entirety to read
as follows:

 

“(b)                           Termination without Cause or
resignation for Good Reason.  If, during the Term, the Executive incurs a “separation
from service” from the Company (within the meaning of Section 409A(a)(2)(A)(i) of
the Code and Treasury Regulation Section 1.409A-1(h)) (a “Separation
from Service”) by reason of a termination of the Executive’s employment
without Cause pursuant to Section 3(a)(iv) or for Good Reason
pursuant to  Section 3(a)(v),
the Company shall, subject to the Executive signing and not revoking, within
thirty (30) days following the Separation from Service, a release of claims in
substantially the form attached hereto as Exhibit A:

 

(i)                                     pay to the
Executive, in equal installments over the twelve (12) month period following
the Date of Termination in accordance with the Company’s regular payroll
practice, an amount equal to the Annual Base Salary that the Executive would
have been entitled to receive if the Executive had continued his employment
hereunder for a period of twelve (12) months following the Date of Termination,
which amounts shall be payable commencing on the Company’s first payroll date
occurring on or after the 30th day following the Separation from
Service (the “First Payroll Date”), and any amounts that would otherwise
have been paid pursuant to this Section 4(b)(i) prior to such
payroll date shall be paid in a lump-sum on the First Payroll Date; and

 

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(ii)                                  pay to the
Executive a lump-sum amount equal, as determined by the Company, to the total
aggregate annual premium costs for group medical, dental and vision benefit
coverage for the Executive and the Executive’s spouse and dependents, in each
case, as in effect with respect to each such individual immediately prior to such
Separation from Service, which payment shall be made on the First Payroll Date
and which payment may be applied by the Executive, in his discretion, to the
purchase of comparable coverage.  For the
avoidance of doubt, the payment described in this Section 4(b)(ii) shall
be subject to withholding of any federal, state, local or foreign withholding
or other taxes or charges which the Company is required to withhold.”

 

5.             Section 4(d) of
the Employment Agreement is hereby deleted and replaced in its entirety with
the following:

 

“(d)                           409A.  Notwithstanding anything to the contrary in
this Section 4, no payments in this Section 4 will be
paid during the six-month period following the Executive’s Separation from
Service unless the Company determines, in its good faith judgment, that paying
such amounts at the time or times indicated in this Section would not
cause the Executive to incur an additional tax under Section 409A (in
which case such amounts shall be paid at the time or times indicated in this
Section).  If the payment of any amounts
are delayed as a result of the previous sentence, on the first day following
the end of the six-month period (or such earlier date upon which such amount
can be paid under Section 409A without being subject to such additional
taxes, including upon the Executive’s death), the Company will pay the
Executive a lump-sum amount equal to the cumulative amount that would have
otherwise been previously paid to the Executive under this Agreement.”

 

6.             Clause (D) of Section 9(e) of
the Employment Agreement is hereby deleted in its entirety, and clauses “(E)”and”(F)”in
the last paragraph of  Section 9(e) are
hereby renumbered as clauses “(D)”and “(E)”, respectively.

 

7.             Section 21 of the
Employment Agreement is hereby deleted and replaced in its entirety with the
following:

 

“21.Section 409A.  To the extent that the Company reasonably
determines that any compensation or benefits payable under this Agreement are
subject to Section 409A, this Agreement shall incorporate the terms and
conditions required by Section 409A reasonably determined by the Company
and the Executive.  To the extent
applicable, this Agreement shall be interpreted in accordance with Section 409A
of the Code and Department of Treasury regulations and other interpretative
guidance issued thereunder, including without limitation any such regulations
or other such guidance that may be issued after the Effective Date (“Section 409A”).  Notwithstanding any provision of this
Agreement to the contrary, in the event that following the Effective Date the
Company reasonably determines that any compensation or benefits payable under
this Agreement may be subject to Section 409A, the Company and the
Executive shall work together to adopt such amendments to this Agreement or
adopt other policies or procedures (including amendments, policies and
procedures with retroactive effective), or take any other commercially
reasonable actions necessary or appropriate to (a) preserve the intended
tax treatment of the compensation and benefits payable hereunder, to 

 

3

 

preserve the economic benefits of such
compensation and benefits, and/or to avoid less favorable accounting or tax
consequences for the Company and/or (ii) to exempt the compensation and
benefits payable hereunder from Section 409A or to comply with the
requirements of Section 409A and thereby avoid the application of penalty
taxes thereunder; provided, however, that this Section 21 does not, and
shall not be construed so as to, create any obligation on the part of the
Company to adopt any such amendments, policies or procedures or to take any
other such actions or to indemnify the Executive for any failure to do so.”

 

9.             Except as expressly modified by the
terms of this Second Amendment to the Employment Agreement, the terms and
conditions of the Employment Agreement shall remain in full force and effect.

 

[Signature page follows]

 

4

 

IN WITNESS WHEREOF, the Company and the
Executive agree to the terms of this Second Amendment to the Employment
Agreement, effective as of the Effective Date.

 

	
   

  	
  VOUGHT
  AIRCRAFT INDUSTRIES, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  THOMAS F. STUBBINS

  
	
   

  	
  Name:
  Thomas F. Stubbins

  
	
   

  	
  Title:
  Vice President, Human Resources

  
	
   

  	
   

  
	
   

  	
  EXECUTIVE

  
	
   

  	
   

  
	
   

  	
  /s/
  ELMER L. DOTY

  
	
   

  	
  Elmer
  L. Doty

  

 

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