Document:

smhi-ex103_350.htm

Exhibit 10.3

 

AMENDMENT NO. 1 TO CREDIT AGREEMENT AND PARENT GUARANTY

THIS AMENDMENT NO. 1 TO CREDIT AGREEMENT AND PARENT GUARANTY (this “Amendment”) is made as of the 6th day of August 2019, and amends and is supplemental to (a) that certain credit agreement dated as of September 26, 2018 (as may be amended, supplemented or otherwise modified from time to time, the “Credit Agreement”) and (b) that certain guaranty dated as of September 28, 2018 (as may be amended, supplemented or otherwise modified from time to time, the “Parent Guaranty”), and is by and among (i) SEACOR Marine Foreign Holdings Inc., a corporation incorporated under the laws of the Republic of the Marshall Islands (the “Borrower”), as borrower, (ii) SEACOR Marine Holdings Inc., a corporation incorporated under the laws of the State of Delaware (the “Parent Guarantor”), as parent guarantor, (iii) the entities identified on Schedule 1-A hereto as subsidiary guarantors, (iv) each of the New Vessel Owning Entities (as hereinafter defined), (v) DNB BANK ASA, New York Branch (“DNB Bank”), as facility agent for the Creditors (in such capacity, the “Facility Agent”), as security trustee for the Creditors (in such capacity, the “Security Trustee”), (vi) the banks, financial institutions and institutional lenders whose names and addresses are set out in Schedule 1-B thereto, as lenders (together with any assignee pursuant to the terms of Section 10 of the Credit Agreement, the “Lenders”, and each separately, a “Lender”), (vii) the Swap Banks, (viii) DNB Markets, Inc., Clifford Capital Pte. Ltd. and NIBC Bank N.V. as mandated lead arrangers, and (ix) DNB Markets, Inc. as coordinator and bookrunner.  Unless otherwise defined herein, the capitalized terms used herein shall have the meanings assigned to such terms in the Credit Agreement.

W I T N E S S E T H

WHEREAS, the Borrower has requested that the Lenders execute and deliver this Amendment in order to, among other things, (a) amend certain financial covenants contained in the Parent Guaranty, and (b) substitute the United States flag Vessel LIAM J MCCALL, Official No. 1265843 (the “Released Vessel”), which is a Credit Support Vessel, with (i) the Marshall Islands flag Vessel CARLENE MCCALL, Official No. 8491, which is owned by SEACOR Offshore McCall LLC, a Delaware limited liability company (“SEACOR Offshore McCall”), and (ii) the Marshall Islands flag Vessel NAJLA MCCALL, Official No. 7889 (together with the CARLENE MCCALL, the “New Credit Support Vessels”), which is owned by SEACOR Offshore LLC, a Delaware limited liability company (“SEACOR Offshore” and together with SEACOR Offshore McCall, the “New Vessel Owning Entities”), each of which will be a Credit Support Vessel. 

WHEREAS, the Lenders have agreed to amend and modify certain terms and provisions of the Credit Agreement as set forth herein.

NOW, THEREFORE, in consideration of the premises set forth above, the covenants and agreements hereinafter set forth, and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows:

1.Amendment of the Credit Agreement.  The parties hereto agree that:

	
 
	
(a)
	
All references to “this Agreement” shall be deemed to refer to the Credit Agreement, as amended hereby, and each reference to the “Credit Agreement”, including any prior iteration thereof, in any Transaction Document shall be deemed to be a reference to the Credit Agreement as amended, supplemented or otherwise modified from time to time, including but not limited to as amended by this Amendment.

 

 

	
 
	
(b)
	
Schedule 4 of the Credit Agreement shall be replaced in its entirety with Schedule 4 attached hereto.

 

	
 
	
(c)
	
Section 1.1 of the Credit Agreement shall be amended by adding the following new definitions:

 

“SEACOR Offshore” means SEACOR Offshore LLC, a Delaware limited liability company.

“SEACOR Offshore McCall” means SEACOR Offshore McCall LLC, a Delaware limited liability company. 

	
 
	
(d)
	
Section 1.1 of the Credit Agreement shall be amended by deleting the definition of Vessel Owning Entity and replacing it with the following:

 

“Vessel Owning Entity” means each Subsidiary Guarantor, SEACOR Marine, SEACOR Offshore, SEACOR Offshore McCall and the owner of any other vessel mortgaged to the Security Trustee pursuant to the terms of this Agreement;

	
 
	
(e)
	
Section 9.1(d)(i) of the Credit Agreement shall be amended and restated as follows:

 

	
 
	
“(i) 
	
as soon as available but not later than one hundred twenty (120) days after the end of each fiscal year of the Borrower ending after the Closing Date, complete copies of the consolidated financial reports of the Borrower, all in reasonable detail, which shall include at least the consolidated balance sheet the Borrower as of the end of such year and the related consolidated statements of income and sources and uses of funds for such year, unaudited, but accompanied by the certification of the chief executive officer, chief financial officer or controller of the Borrower that such financial statements fairly present the financial condition of the Borrower as at the dates indicated, subject to changes resulting from audit and normal year-end adjustments;”;

	
 
	
(f)
	
Section 9.3 of the Credit Agreement shall be amended by deleting the text “less than one hundred forty percent (140%) (the “Required Percentage”)” and replacing it with “less than (a) one hundred fifty percent (150%) for the period through December 31, 2021, and (b) one hundred forty percent (140%) at any time after December 31, 2021, (as the case may be, the “Required Percentage”)”;

	
 
	
(g)
	
Section 9.4(a) of the Credit Agreement shall be amended and restated as follows:

 

“(a)At any time after the second anniversary of the Closing Date, provided that the Parent Guarantor is in compliance with the required ratio of Consolidated EBITDA to Consolidated Net Interest Expense set forth in Section 4(a)(xvi) of the Parent Guaranty as such ratio was set forth in the Parent Guaranty as at the Closing Date, upon the written request of the Borrower to the Facility Agent, (i) any lien created pursuant to any Security Document in respect of any of the Additional Credit Support Vessels shall be released and (ii) the relevant Vessel 

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Owning Entity shall be released from this Agreement (if it owns no other Vessel mortgaged to the Security Trustee) and any Security Document to which it is party, provided, that before and after giving effect to any such release, (A) the aggregate Fair Market Value of the Vessels is more than two hundred percent (200%) of the principal amount of the Loan then outstanding and (B) no Event of Default has occurred or is continuing.  For the avoidance of doubt, this paragraph (a) of Section 9.4 does not apply to the sale of a Vessel pursuant to paragraph (a) of Section 5.4. 

 

	
 
	
(h)
	
Section 9.4(c) of the Credit Agreement shall be amended by deleting the text “(including, without limitation, the LIAM J MCCALL)”.

2.Amendment of the Parent Guaranty.  The parties hereto agree that:

	
 
	
(a)
	
All references to “this Guaranty” unless otherwise specified shall be deemed to refer to the Parent Guaranty, as amended hereby, and each reference to the “Parent Guaranty”, including any prior iteration thereof, unless otherwise specified, in any Transaction Document shall be deemed to be a reference to the Parent Guaranty, as amended, supplemented or otherwise modified from time to time, including but not limited to as amended by this Amendment.

	
 
	
(b)
	
Section 1 of the Parent Guaranty shall be amended by deleting the definition of “Consolidated EBITDA” in its entirety and replacing it with:

““Consolidated EBITDA” means, for any accounting period, the consolidated net income of the Parent Guarantor and its Subsidiaries on a consolidated basis for that accounting period:

	
 
	
(a)
	
plus, to the extent reducing consolidated net income, the sum, without duplication, of:

	
 
	
(i)
	
provisions for all federal, state, local and foreign income taxes and any tax distributions;

	
 
	
(ii)
	
Consolidated Net Interest Expense;

	
 
	
(iii)
	
any net after tax extraordinary, nonrecurring or unusual loss, expense or charge (less all fees and expenses relating thereto) including without limitation any severance, relocation, office or facility closure or other restructuring charge or restructuring expense, in an aggregate amount not to exceed $8,000,000 while the Loan is outstanding; and

	
 
	
(iv)
	
depreciation, depletion, amortization of intangibles and other non-cash charges or non-cash losses (including non-cash transaction expenses and the amortization of debt discounts) and any extraordinary losses;

	
 
	
(b)
	
minus, to the extent added in computing the consolidated net income of the Parent Guarantor for that accounting period, any 

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non-cash income or non-cash gains (excluding any such non cash gain to the extent it represents the reversal of an accrual or reserve for potential cash item in any prior period);”;

	
 
	
(c)
	
Section 4(a) of the Parent Guaranty shall be amended by (i) deleting clause (xvi) in its entirety and replacing it with:

“(xvi) maintain as of the last day of each fiscal quarter described below a ratio of (x) Consolidated EBITDA to (y) Consolidated Net Interest Expense of not less than:

(1) 1.50:1.00 for the four consecutive fiscal quarters ending on each of June 30, 2020, September 30, 2020 and December 31, 2020; 

(2) 2.00:1.00 for the four consecutive fiscal quarters ending on each of March 31, 2021, June 30, 2021, September 30, 2021 and December 31, 2021; and

(3) 3.00:1.00 for each four consecutive fiscal quarters of the Parent Guarantor thereafter.”; and

(ii) deleting clause (v) in the proviso to such section in its entirety and replacing it with “(v) in each period of four consecutive fiscal quarters, there shall be at least two (2) fiscal quarters in which no Cure Right is exercised and the Cure Right shall not be exercised in more than two (2) fiscal quarters over the term of this Guaranty.”; and

	
 
	
(d)
	
Section 4(b)(vii) of the Parent Guaranty shall be amended by deleting “within two (2) years from the date hereof” and replacing it with “prior to January 1, 2022”.

3.Conditions to the Effectiveness of this Amendment.  This Amendment shall become effective on the date (the “Effective Date”) on which the following conditions shall have been met: 

	
 
	
(a)
	
This Amendment. Each of the parties hereto shall have duly executed and delivered this Amendment; 

	
 
	
(b)
	
Corporate Authority. The Facility Agent shall have received the following documents in form and substance reasonably satisfactory to the Facility Agent:

	
 
	
(i)
	
copies, certified as true and complete by an officer, director or managing member (as applicable) of each New Vessel Owning Entity and each Credit Party of the resolutions of the directors, members or managers thereof evidencing approval of this Amendment and with respect to the New Vessel Owning Entities, the New Collateral Vessel Security Documents to which each is or is to be a party, as the case may be, and authorizing an appropriate person or persons or attorney-in-fact or attorneys-in-fact to execute the same on its behalf, or other evidence of such approvals and authorizations; 

	
 
	
(ii)
	
copies, certified as true and complete by an officer, director or managing member (as applicable) of each New Vessel Owning Entity and each Credit 

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Party of all documents evidencing any other necessary action (including actions by such parties thereto other than the New Vessel Owning Entities and Credit Parties as may be required by the Lenders), approvals or consents with respect to this Amendment and with respect to the New Vessel Owning Entities,  the New Collateral Vessel Security Documents to which each is or is to be a party, as the case may be;

	
 
	
(iii)
	
copies, certified as true and complete by an officer, director or managing member (as applicable) of each New Vessel Owning Entity and each Credit Party of the certificate of formation, articles of incorporation, memorandum of association, operating agreement or by-laws, as the case may be, or equivalent instruments thereof; 

	
 
	
(iv)
	
certificate of the jurisdiction of formation of each New Vessel Owning Entity and each Credit Party as to the good standing thereof;

	
 
	
(v)
	
copies, certified as true and complete by an officer, managing member or director (as applicable) of each New Vessel Owning Entity and each Credit Party of the names and true signatures of the officers or directors (as applicable) of such New Vessel Owning Entity and such Credit Party signing this Amendment and with respect to the New Vessel Owning Entities, each New Collateral Vessel Security Document to which it is or is to be a party and the other documents to be delivered hereunder and thereunder, as the case may be; and

	
 
	
(vi)
	
a certificate signed by an officer, managing member or director (as applicable) of each New Vessel Owning Entity and each Credit Party (or its managing member) to the effect that the representations and warranties of such New Vessel Owning Entity and such Credit Party contained in this Amendment, and with respect to the New Vessel Owning Entities,  the other New Collateral Vessel Security Documents to which each is or is to be a party, as the case may be, are true and correct as of the date of such certificate;

	
 
	
(c)
	
The New Credit Support Vessels.  The Facility Agent shall have received evidence satisfactory to it that each New Credit Support Vessel:

	
 
	
(i)
	
is in the sole and absolute ownership of the relevant New Vessel Owning Entity and duly registered in such New Vessel Owning Entity’s name under the laws and flag of the relevant Designated Jurisdiction, unencumbered, save and except for the relevant Mortgage recorded against it, the Assignments, and Permitted Liens;

	
 
	
(ii)
	
is classed in the highest classification and rating for vessels of the same age and type with the respective Classification Society without any material outstanding recommendations affecting class;

	
 
	
(iii)
	
is operationally seaworthy and in every way fit for its intended service; and

	
 
	
(iv)
	
insured in accordance with the provisions of the applicable Mortgage and Section 9.1(v) of the Credit Agreement and all requirements of the 

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applicable Mortgage and Section 9.1(v) of the Credit Agreement in respect of such insurance have been fulfilled (including, but not limited to, letters of undertaking from the insurance brokers, including confirmation notices of assignment, notices of cancellation and loss payable clauses acceptable to the Facility Agent); 

	
 
	
(d)
	
Mortgages.  Each New Vessel Owning Entity shall have duly executed, and delivered to the Facility Agent, the Mortgage over its New Credit Support Vessel;

	
 
	
(e)
	
Recording of the Mortgages.  The Facility Agent shall have received satisfactory evidence that the Mortgage over each New Credit Support Vessel has been duly recorded under the laws of the relevant Designated Jurisdiction and constitutes a first preferred mortgage lien under the laws of the relevant Designated Jurisdiction;

	
 
	
(f)
	
Assignments.  Each of the New Vessel Owning Entities shall have delivered to the Facility Agent duly executed copies of the following (collectively, with the Mortgages over the New Credit Support Vessels, the “New Collateral Vessel Security Documents”):

	
 
	
(i)
	
an Insurances Assignment over each New Credit Support Vessel;

	
 
	
(ii)
	
an Earnings Assignment over each New Credit Support Vessel; 

	
 
	
(iii)
	
a Charter Assignment with respect to any Charter in excess of (or capable of exceeding, by virtue of any optional extension) 12 months over each New Credit Support Vessel (on a commercially reasonable basis if the relevant vessel employment agreement expressly prohibits such assignment); and 

	
 
	
(iv)
	
the Assignment Notices with respect to the above mentioned Assignments; 

	
 
	
(g)
	
Vessels Liens.  Each New Vessel Owning Entity shall deliver to the Facility Agent evidence satisfactory to it and to its counsel that, save for the liens created by the Mortgage and the Assignments, there are no liens, charges or encumbrances of any kind whatsoever on its New Credit Support Vessels, or on its earnings except as permitted by the Credit Agreement or by any of the New Collateral Vessel Security Documents; 

	
 
	
(h)
	
Compliance with ISM Code, ISPS Code, Annex VI and MTSA.  Each New Vessel Owning Entity shall deliver to the Facility Agent evidence satisfactory to it and to its counsel that its New Credit Support Vessel complies and the Operator complies with the requirements of the ISM Code, ISP Code, Annex VI and MTSA including (but not limited to) the maintenance and renewal of valid certificates pursuant thereto and the Facility Agent shall have received a copy of the DOC, SMC, ISSC and IAPPC for each such New Credit Support Vessel;

	
 
	
(i)
	
No Threatened Withdrawal of DOC, ISSC, SMC or IAPPC.  Each New Vessel Owning Entity shall deliver to the Facility Agent a certificate of such New Vessel Owning Entity certifying that there is no actual or, to the best of such New Vessel Owning Entity’s knowledge, threatened withdrawal of any Operator’s DOC, ISSC, SMC, IAPPC or other certification or documentation related to the ISM Code, ISPS Code, Annex VI or otherwise required for the operation of its New Credit 

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Support Vessel or in respect to such New Vessel Owning Entity’s New Credit Support Vessel; 

	
 
	
(j)
	
Evidence of Current COFR.  The Facility Agent shall have received evidence of current compliance with any applicable requirement for a Certificate of Financial Responsibility pursuant to the Oil Pollution Act 1990 for each New Credit Support Vessel, as applicable;

	
 
	
(k)
	
Vessel Appraisals.  The Facility Agent shall have received two appraisals of the Fair Market Value of each New Credit Support Vessel in form and substance satisfactory to the Facility Agent, and the aggregate Fair Market Value (as evidenced by such appraisals) of all the New Credit Support Vessels to be mortgaged to the Security Trustee following the effectiveness of this Amendment shall comply be equal to or greater than the Fair Market Value of the Release Vessel;

	
 
	
(l)
	
Insurance Report.  The Facility Agent shall have received a detailed report from a firm of independent marine insurance consultants appointed by the Facility Agent in respect of the insurances on each New Credit Support Vessel, in form and substance satisfactory to the Facility Agent, the cost of such report to be for the account of the Borrower;

	
 
	
(m)
	
Vessel Manager Documents.  Each Vessel Manager managing a New Credit Support Vessel shall have duly executed and delivered to the Facility Agent the Vessel Manager’s Undertaking relating to the relevant New Credit Support Vessel together with a copy of the Management Agreement;

	
 
	
(n)
	
Filings. Each New Vessel Owning Entity shall have duly delivered to the Facility Agent the Uniform Commercial Code financing statements for filing with such jurisdictions as the Facility Agent may reasonably require;

	
 
	
(o)
	
Licenses, Consents and Approvals.  The Facility Agent shall have received satisfactory evidence that all necessary licenses, consents and approvals in connection with the transactions contemplated by this Amendment and the New Collateral Vessel Security Documents have been obtained;

	
 
	
(p)
	
Know Your Customer Requirements.  The Facility Agent shall have received documentation to the satisfaction of each Lender in connection with its know your customer requirements relating to the New Vessel Owning Entities;

	
 
	
(q)
	
Legal Opinions.  The Facility Agent shall have received legal opinions addressed to the Lenders from Watson Farley & Williams LLP, special counsel to the Security Parties and Vessel Owning Entities, as to matters of New York law, Delaware law, Marshall Islands law and United States maritime law, in such form as the Facility Agent may require, as well as such other legal opinions as the Facility Agent shall have required as to all or any matters under the laws of the United States of America, the State of New York, the State of Delaware and the Republic of the Marshall Islands in a form acceptable to the Facility Agent and its counsel;

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(r)
	
Charters.  The Facility Agent shall have received certified copies of all Charters relating to the New Credit Support Vessels; and

	
 
	
(s)
	
Inventory of Hazardous Materials.  The Facility Agent shall have received a copy of the Inventory of Hazardous Materials with respect to each New Credit Support Vessel, commencing on the date of the first drydocking of such New Credit Support Vessel after the Closing Date; 

	
 
	
(t)
	
Process Agent. Each New Vessel Owning Entity (other than those incorporated in the United States) shall have appointed a process agent in the State of New York and the Facility Agent shall have received evidence of the acceptance of such appointment from such process agent; and

	
 
	
(u)
	
Amendment Fee.  The Facility Agent shall have received payment in full of any amendment fee agreed between the Borrower and the Facility Agent.

4.Release of Released Vessel.  Upon the Effective Date, the Lenders agree that the Collateral relating to the Released Vessel shall be irrevocably and unconditionally released, and hereby authorize the Security Trustee to enter into a release and reassignment agreement and such other documents as necessary to terminate the security interest in the Collateral relating to the Released Vessel.

5.Expenses.  The Borrowers hereby agree to pay to the Facility Agent, the Security Trustee and the Lenders all reasonable expenses related to this Amendment in accordance with Section 13.2 of the Credit Agreement, including any expenses of preparation, negotiation, execution and administration of this Amendment and the reasonable fees and disbursements of the Facility Agent, the Security Trustee and the Lenders’ counsel in connection herewith.

6.Representations and Warranties.  Each of the Credit Parties and the New Vessel Owning Entities represents and warrants to the Facility Agent as of the date hereof and as of the Effective Date that:

	
 
	
(a)
	
all acts, filings, conditions and things required to be done and performed and to have happened (including, without limitation, the obtaining of all necessary corporate or shareholder approvals and all governmental approvals, including those of any monetary or exchange control authority) precedent to the entering into of this Amendment to constitute this Amendment the duly authorized, legal, valid and binding obligation of such Credit Party or the New Vessel Owning Entity, as applicable, enforceable in accordance with its terms, have been done, performed and have happened in due and strict compliance with all applicable laws; and

	
 
	
(b)
	
immediately after giving effect to this Amendment, the representations and warranties set forth in the Credit Agreement, as amended hereby, are true and correct in all material respects, except for (A) representations and warranties which expressly relate to an earlier date, in which case such representations and warranties shall be true and correct, in all material respects, as of such earlier date, or (B) representations and warranties which are no longer true and correct as of a result of a transaction expressly permitted by the Credit Agreement as amended hereby, and no Event of Default shall have occurred and be continuing.

7.No Defaults.  Each of the Credit Parties and the New Vessel Owning Entities hereby represents and warrants that as of the date hereof and as of the Effective Date there exists no Event 

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of Default or any condition which, with the giving of notice or passage of time, or both, would constitute an Event of Default.

8.Covenants.  Each of the Credit Parties hereby reaffirms that it has duly performed and observed the covenants and undertakings set forth in the Credit Agreement and the other Transaction Documents to which it is a party, and covenants and undertakes to continue to duly perform and observe such covenants and undertakings so long as the Credit Agreement, as amended hereby, shall remain in effect. 

9.No Other Amendment.  All other terms and conditions of the Credit Agreement and each of the other Transaction Documents shall remain in full force and effect and the Credit Agreement and Parent Guaranty shall be read and construed as if the terms of this Amendment were included therein by way of addition or substitution, as the case may be. 

10.Execution in Counterparts.  This Amendment may be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which when taken together shall constitute one and the same agreement.

11.Governing Law.  This Amendment shall be governed by, and construed in accordance with, the laws of the State of New York.

12.Effect of Amendment.  All references in any Transaction Document to the Credit Agreement or the Parent Guaranty on and after the Effective Date shall be deemed to refer to the Credit Agreement or Parent Guaranty as the case may be as amended hereby, and the parties hereto agree that, except as amended by this Amendment, all of the terms and provisions of the Credit Agreement and the Parent Guaranty shall remain in full force and effect. This Amendment is a Transaction Document. 

[Signature Pages Follow]

 

9

 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed and delivered by their duly authorized officers as of the date first above written.

 

	
	
SEACOR MARINE HOLDINGS INC., 
as Parent Guarantor

	
 

	
 

	
By: __/s/ John Gellert___________

	
Name: John Gellert

	
Title: President/CEO 

	
 

 

	
	
SEACOR MARINE FOREIGN HOLDINGS INC., 
as Borrower

	
 

	
 

	
By: __/s/ John Gellert___________

	
Name: John Gellert

	
Title: President 

	
 

 

	
	
AARON S. MCCALL LLC,
as Subsidiary Guarantor

	
 

	
 

	
By: __/s/ John Gellert___________

	
Name: John Gellert 

	
Title: President 

	
 

 

	
	
ALYA MCCALL LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By: __/s/ John Gellert___________

	
Name: John Gellert 

	
Title: President 

	
 

 

	
	
MICHAEL G MCCALL LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By: __/s/ John Gellert___________

	
Name: John Gellert

	
Title: President 

	
 

 

 

 

	
	
	
FALCON PEARL LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Gellert___________

	
Name: John Gellert

	
Title: Vice President  

	
 

 

	
	
FALCON DIAMOND LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Gellert______________

	
Name: John Gellert

	
Title: Vice President 

	
 

 

	
	
SEA-CAT CREWZER LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Gellert___________

	
Name: John Gellert

	
Title: President 

	
 

 

	
	
SEA-CAT CREWZER II LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Gellert___________

	
Name: John Gellert 

	
Title: President 

	
 

 

	
	
SEACOR HAWK LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Gellert___________

	
Name: John Gellert

	
Title: Vice President 

	
 

 

	
	
SEACOR EAGLE LLC,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Gellert___________

	
Name: John Gellert

	
Title: Vice President 

 

 

	
	
PUTFORD ACHIEVER LTD.,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Annis___________

	
Name: John Annis 

	
Title: Director

	
 

 

	
	
PUTFORD SAVIOUR LTD.,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Annis___________

	
Name: John Annis 

	
Title: Director 

	
 

 

	
	
PUTFORD PRIDE LTD.,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Annis___________

	
Name: John Annis 

	
Title: Director 

	
 

 

	
	
PUTFORD JAGUAR LTD.,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Annis___________

	
Name: John Annis 

	
Title: Director

 

 

	
	
PUTFORD DEFENDER LIMITED,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Annis___________

	
Name: John Annis 

	
Title: Director 

	
 

 

	
	
PUTFORD PHOENIX LIMITED,

	
as Subsidiary Guarantor

	
 

	
 

	
By:__/s/ John Annis___________

	
Name: John Annis 

	
Title: Director 

 

 

	
	
SEACOR OFFSHORE MCCALL LLC,

	
as a New Vessel Owning Entity

	
 

	
 

	
By:__/s/ John Gellert______________

	
Name: John Gellert 

	
Title: President 

	
 

	
SEACOR OFFSHORE LLC,

	
as a New Vessel Owning Entity

	
 

	
 

	
By:__/s/ John Gellert______________

	
Name: John Gellert

	
Title: President 

	
 

 

 

 

	
	
	
DNB BANK ASA, NEW YORK BRANCH
as Facility Agent, Security Trustee  and Swap Bank

	
 

	
 

	
By: __/s/ Samantha Stone______________

	
Name: Samantha Stone 

	
Title: Assistant Vice President 

	
 

	
 

	
By:__/s/ Ahelia Singh______________

	
Name: Ahelia Singh 

	
Title: Assistant Vice President 

	
 

	
 

	
DNB CAPITAL LLC,
as Lender

	
 

	
 

	
By:__/s/ Philippe Wulfers______________

	
Name: Philippe Wulfers

	
Title: First Vice President 

	
 

	
 

	
By: __/s/ Andrew J. Shohet______________

	
Name: Andrew J. Shohet 

	
Title: Senior Vice President 

 

 

 

 

	
	
	
CLIFFORD CAPITAL PTE. LTD.

	
as Lender

	
 

 

	
 

	
By:__/s/ Richard Desai______________

	
Name: Richard Desai 

	
Title: Chief Risk Officer 

	
 

	
NIBC BANK N.V.

	
as Lender

	
 

 

	
 

	
By:__/s/ Paulien Hop______________

	
Name: Paulien Hop 

	
Title: Executive Director 

 

By:__/s/ Arnoud de Ridder____________

	
Name: Arnoud de Ridder

Title: Associate Director 

	
 

	
 

HANCOCK WHITNEY BANK,

	
as Lender

	
 

 

	
 

	
By:__/s/ Tommy D. Pitre______________

	
Name: Tommy D. Pitre

	
Title: Senior Vice President 

	
 

	
CITICORP NORTH AMERICA, INC.,
as Lender

	
 

	
 

	
By:__/s/ Jim Reilly______________

	
Name: Jim Reilly

	
Title: Vice President 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

 

 

 

SCHEDULE 4

 

SCHEDULE 4-A

 

CREDIT SUPPORT VESSELS

 

			
	
Asset Class / Name
	
Owner
	
Flag

	
Fast Supply Vessels
	
 
	
 

	
SEACOR Cheetah
	
Sea-Cat Crewzer LLC
	
Marshall Islands

	
SEACOR Cougar
	
Sea-Cat Crewzer LLC
	
Marshall Islands

	
SEACOR Leopard
	
Sea-Cat Crewzer II LLC
	
Marshall Islands

	
SEACOR Lynx
	
Sea-Cat Crewzer II LLC
	
Marshall Islands

	
Aaron S. McCall
	
Aaron S. McCall LLC
	
Marshall Islands

	
Alya McCall
	
Alya McCall LLC
	
Marshall Islands

	
Michael G McCall
	
Michael G McCall LLC
	
Marshall Islands

	
Najla McCall
	
SEACOR Offshore LLC
	
Marshall Islands 

	
Carlene McCall
	
SEACOR Offshore McCall LLC
	
Marshall Islands

	
 
	
 
	
 

	
Liftboats
	
 
	
 

	
Falcon Diamond
	
Falcon Diamond LLC
	
Marshall Islands

	
Falcon Pearl
	
Falcon Pearl LLC
	
Marshall Islands

	
 
	
 
	
 

	
Standby Vessels
	
 
	
 

	
Putford Achiever
	
Putford Achiever Ltd.
	
Cayman Islands

	
Putford Saviour
	
Putford Saviour Ltd.
	
Cayman Islands

	
Centrica Pride
	
Putford Pride Ltd.
	
United Kingdom

	
Putford Jaguar
	
Putford Jaguar Ltd.
	
United Kingdom

 

SCHEDULE 4-B 

 

ADDITIONAL CREDIT SUPPORT VESSELS

 

			
	
Asset Class / Name
	
Owner
	
Flag

	
Fast Supply Vessels
	
 
	
 

	
John G McCall
	
SEACOR Marine LLC
	
United States 

	
Michael Crombie McCall
	
SEACOR Marine LLC
	
United States

	
 
	
 
	
 

	
Liftboats
	
 
	
 

	
SEACOR Hawk 
	
SEACOR Hawk LLC
	
United States

	
SEACOR Eagle
	
SEACOR Eagle LLC
	
United States 

	
 
	
 
	
 

	
Standby Vessel
	
 
	
 

	
Putford Defender
	
Putford Defender Limited
	
United Kingdom

	
Putford Phoenix 
	
Putford Phoenix Limited 
	
United Kingdomxone-ex101_27.htm

	
	
 

 

Exhibit 10.1

 

EMPLOYMENT AGREEMENT

EMPLOYMENT AGREEMENT (“Agreement”) dated as of May 15, 2019 between The ExOne Company, a Delaware corporation (the “Company”), and John F. Hartner (the “Executive”).

WHEREAS, the Board of Directors of the Company (“Board”) has determined to appoint the Executive to serve as the Chief Executive Officer of the Company, and the Executive has agreed to serve as the Chief Executive Officer of the Company, on the terms and conditions set forth in this Agreement.

In order to effect the foregoing, the Company and the Executive wish to enter into this Agreement on the terms and conditions set forth below. Accordingly, in consideration of the premises and the respective covenants and agreements of the parties herein contained, and intending to be legally bound hereby, the parties hereto agree as follows:

ARTICLE 1

DEFINITIONS

SECTION 1.01. Definitions. For purposes of this Agreement, the following terms have the meanings set forth below:

“Affiliate” means (i) any entity that, directly or indirectly, is controlled by the Company, (ii) any entity in which the Company has a significant equity interest, and (iii) an affiliate of the Company as defined in Rule 12b-2 promulgated under Section 12 of the Securities Exchange Act of 1934, as amended.

“Base Salary” has the meaning set forth in Section 4.01.

“Cause” means (a) gross negligence in the performance of the Executive’s duties which results in material financial harm to the Company; (b) the Executive’s conviction of, or plea of guilty or nolo contendere to, (i) any felony, or (ii) any misdemeanor involving fraud, embezzlement or theft; (c) the Executive’s refusal to perform his duties and responsibilities with the Company, without the same being corrected within fifteen (15) days after being given written notice thereof; (d) the material breach by the Executive of any of the covenants contained in Articles 6 or 7 of this Agreement; (e) the Executive’s willful violation of any material provision of the Company‘s code of ethics and business conduct for executives and management employees; or (f) the Executive’s willful engagement in conduct that is demonstrably and materially injurious to the Company, monetarily or otherwise. The Executive may be terminated for Cause hereunder only by majority vote of all members of the Board.

“COBRA” has the meaning set forth in Section 5.05.

“COBRA Continuation Period” has the meaning set forth in Section 5.05.

“Code” means the Internal Revenue Code of 1986, as amended.

“Date of Termination” has the meaning set forth in Section 5.07.

“Employment Period” has the meaning set forth in Section 2.01.

“Good Reason” means, without the Executive’s written consent, (a) the material diminution of the Executive’s duties or responsibilities, including the assignment of any duties and responsibilities materially inconsistent with his position; (b) a reduction in the Executive’s Base Salary below $375,000 per annum; or (c) any person, partnership, corporation or other legal entity acquires all or substantially all of the assets of the Company; provided that any acquisition of the assets relating to one business line of the Company will not be deemed to be an acquisition of 

 

	
	
 

 

substantially all of the assets of the Company for purposes of this definition of “Good Reason”. Notwithstanding the forgoing, in order for the Executive to terminate for Good Reason under clauses (a) and (b) above, (a) the Executive must give written notice of the event that constitutes Good Reason under clauses (a) and (b) above within sixty (60) days after such event occurs, and any failure to give such written notice within such period will result in a waiver by the Executive of his right to terminate for Good Reason as a result of such act, (b) the event must remain uncorrected by the Company for thirty (30) days following such notice (the “Cure Period”), and(c) such termination must occur within sixty (60) days after the expiration of the Cure Period. In addition, in order for the Executive to terminate for Good Reason under clause (c) above, the Executive must give written notice to the Company or any successor of the Company that assumes this Agreement in connection with the sale of all or substantially all of the assets of the Company within thirty (30) days after the consummation of such sale and such termination must occur within sixty (60) days after the date of the notice of termination.

“Notice of Termination” has the meaning set forth in Section 5.06.

“Person” shall have the meaning ascribed to such term in Section 3(a)(9) of the Securities Exchange Act of 1934, as amended and used in Sections 13(d) and 14(d) thereof, including a  “group”  as defined in Section 13(d).

“Permanent Disability” means the Executive becomes permanently disabled within the meaning of the long term disability plan of the Company applicable to the Executive under circumstances whereby the Executive is entitled to receive immediate benefits thereunder.

“Reimbursable Expenses” has the meaning set forth in Section 4.05. In addition, any Reimbursable Expense shall be made only in accordance with the following conditions:

(a) The reimbursement of any eligible expense shall be made on or before the last day of the Executive’s taxable year following the taxable year in which the expense was incurred; and

(b) The right to reimbursement shall not be subject to liquidation or exchange for another benefit.

“Release” has the meaning set forth in Section 5.02.

“Restricted Territory” means the counties, towns, cities, states or other political subdivisions of any country in which the Company or its Affiliates operates or does business.

“Start Date” has the meaning set forth in Section 2.01.

ARTICLE 2

EMPLOYMENT

SECTION 2.01. Employment. The Company shall employ the Executive, and the Executive shall serve the Company, as the Chief Executive Officer, upon the terms and conditions set forth in this Agreement for the period beginning May 15, 2019 (the date of the beginning of such period to be referred to herein as the (“Start Date”) and ending as provided in Section 5.01 (the “Employment Period” ).

ARTICLE 3

POSITION AND DUTIES

SECTION 3.01. Position and Duties. During the Employment Period, the Executive shall serve as Chief Executive Officer of the Company. In such capacity, the Executive shall have such responsibilities, powers and duties as may from time to time be prescribed by the Board. During the Employment Period, the Executive shall devote substantially all of his working time and efforts to the business and affairs of the Company and its subsidiaries. The Executive shall not directly or indirectly render any services of a business, commercial or 

 

	
	
 

 

professional nature to any other Person or organization, whether for compensation or otherwise, without the prior written consent of the Company; provided, however, that nothing in this Agreement shall preclude the Executive from managing his personal investments or serving as a director of a not-for-profit organization, so long as such activities do not interfere with the Executive’s performance of his duties hereunder.

ARTICLE 4

BASE SALARY AND BENEFITS

SECTION 4.01. Base Salary. As of the Start Date, the Executive’s base salary will be $375,000 per annum (the “Base Salary”). The Base Salary will be payable in accordance with the normal payroll practices of the Company. Annually, during the Employment Period, the Compensation Committee of the Board of Directors shall review with the Executive his job performance and compensation, and if deemed appropriate by the Compensation Committee, in its discretion, the Executive’s Base Salary may be adjusted; such adjusted Base Salary shall become the new Base Salary.

SECTION 4.02. Bonuses. During the Employment Period, in addition to the Base Salary, the Executive shall be eligible to participate in an annual bonus plan on such terms established from time to time by the Board or the Compensation Committee of the Board, as applicable.

SECTION 4.03. Long Term Incentive Plans. During the Employment Period, the Executive shall be eligible to participate in any long term incentive compensation plan maintained by the Company on the terms established from time to time by the Board or the Compensation Committee of the Board, as applicable.

SECTION 4.04. Benefits. During the Employment Term, the Executive shall be entitled to participate in all employee benefit and fringe benefit plans and arrangements made available by the Company to its executives and key management employees upon the terms and subject to the conditions set forth in the applicable plan or arrangement. The Executive will be entitled to a maximum of four (4) weeks of paid vacation annually during the Employment Period.

SECTION 4.05. Expenses. The Company shall reimburse the Executive for all reasonable expenses incurred by him in the course of performing his duties under this Agreement which are consistent with the Company‘s policies in effect from time to time with respect to travel, entertainment and other business expenses (“Reimbursable Expenses”), subject to the Company‘s requirements with respect to reporting and documentation of expenses.

SECTION 4.06 Equity Award.  In consideration of Executive’s promotion to Chief Executive Officer, the Company will propose to the Compensation Committee to make Executive an award of restricted stock as of May 15, 2019 equivalent to $175,000, that will vest on the one-year anniversary of the grant date as more fully outlined in the Notice of Restricted Stock Award to be provided to Executive by the Company and further subject to the terms and conditions of The ExOne Company 2013 Equity Incentive Plan. 

ARTICLE 5

TERM AND TERMINATION

SECTION 5.01. Term. The term of the Agreement shall commence on the Start Date, May 15, 2019 and end on the second anniversary of the Start Date, May 15, 2021, (the Employment Period), unless further extended or sooner terminated as hereinafter provided.  Commencing on the second anniversary of the Start Date and on each anniversary thereafter, the Employment Period will automatically be extended each year for one (1) additional year, unless at least sixty (60) days immediately preceding such annual anniversary, the Company or Executive shall have given written notice to the other of such party’s decision not to extend the Employment Period.    In the event that either party terminates Agreement or Executive’s employment with the Company during the Employment Period, the parties acknowledge and agree that there is no Base Salary or Benefits outlined in Article 4 above or any other 

 

	
	
 

 

compensation or benefits due and owing to Executive, except as outlined in the following sections of this Article 5, and subject to such terms and conditions provided herein.  

SECTION 5.02. Termination for Good Reason or Without Cause. If Executive’s employment is terminated prior to the end of the Employment Period (a) by the Executive for Good Reason, or (b) by the Company without Cause, provided the Executive has delivered a signed Release of claims reasonably satisfactory to the Company (the “ Release ”) to the Company pursuant to the notice provision of Section 10.07 within ninety (90) days of the Date of Termination and not revoked the Release within the seven-day revocation period provided for in the Release, the Executive shall be paid solely (i) Base Salary through the Date of Termination and any annual bonus awarded in accordance with the Company‘s bonus program but not yet paid; (ii) an amount equal to one (1) times the Base Salary (to be paid in twelve monthly installments following the Date of Termination); (iii) a pro-rata portion of the Executive’s bonus for the year of termination, calculated by reference to the number of days during the bonus year during which he was employed by the Company, as determined to be earned by the Compensation Committee of the Board, or the Board as applicable, pursuant to the applicable bonus plan; (iv) payment for all accrued, but unused, vacation time through the Date of Termination; (v) payment for reasonable outplacement assistance services actually incurred by the Executive associated with seeking another employment position within 12 months of the Date of Termination; and (vi) promptly following any such termination, the Executive shall be reimbursed all Reimbursable Expenses incurred by the Executive prior to such termination. The amounts described in clause (iv) above will be paid in a single lump sum on the later of ten (10) days after the Date of Termination, or the next payroll date; provided, however, that no amount shall be paid until expiration of the 7-day statutory revocation period with respect to the release referred to in this Section 5.02 above. The amount described in clause (iii) shall be paid in accordance with the terms of the applicable bonus plan subject to the attainment of the performance goals applicable to such bonus award and will be paid in such form and at such time as bonuses for that year are paid to other executives of the Company as determined by the Compensation Committee or Board, as applicable. The amount described in clause (vi) shall be paid no later than the end of the calendar year following the year in which such expense is incurred by the Executive. The terms of all Company restricted stock units, stock options and other equity based awards will be as set forth in the applicable award agreements and medical benefits shall be as provided in Section 5.05 below. The Executive’s entitlements under any other benefit plan or program shall be as determined thereunder, except that severance benefits shall not be payable under any other plan or program. Notwithstanding the foregoing, if a termination of employment results in severance benefits being paid under any change in control agreement (or any successor thereto), no amounts or benefits will be paid to the Executive under this Section 5.02 or 5.05. The Executive further agrees that in the event that the Executive is terminated prior to the end of the Employment Period by the Executive under clause (c) under the definition of Good Reason, the Company may cease making payments under (ii) and (iii) above (and Executive will reimburse the Company for any payments made under (ii) and (iii) above with respect to such termination) in the event that the Executive accepts employment with the acquirer of all or substantially all of the assets of the Company prior to the end of the twelve month payment period during which payments under (ii) will be made.

SECTION 5.03. Termination Due to Death or Permanent Disability. If the Executive’s employment is terminated prior to the end of the Employment Period due to the Executive’s death or Permanent Disability, the Executive (or his heirs, estate or legal representative) shall be entitled solely to (i) Base Salary through the Date of Termination and any annual bonus awarded in accordance with the Company‘s bonus program but not yet paid; (ii) a pro-rata portion of the Executive’s bonus for the year of termination, calculated by reference to the number of days during the bonus year during which he was employed by the Company; (iii) payment for all accrued, but unused, vacation time through the Date of Termination; and (iv) promptly following any such termination, the Executive (or his heirs, estate of legal representative) shall be reimbursed all Reimbursable Expenses incurred by the Executive prior to such termination. The amounts described in clauses (i) and (iii) above will be paid in a single lump sum on the later of ten (10) days after the Date of Termination, or the next payroll pay date. The amount described in clause (iii) shall be paid in accordance with the terms of the applicable bonus plan subject to the attainment of the performance goals applicable to such bonus award and will be paid in such form and at such time as bonuses for that year are paid to other executives of the Company as determined by the Compensation Committee or Board, as applicable. The terms of all Company restricted stock units, stock options and other equity based awards will be as set forth in the applicable award agreements, and the Executive’s entitlements under any other benefit plan or program shall be as determined thereunder.

 

	
	
 

 

SECTION 5.04. Termination for Cause or Other Than Good Reason. If the Executive’s employment is terminated prior to the end of the Employment Period (a) by the Company for Cause, or (b) by the Executive other than for Good Reason and not due to the Executive’s death or Permanent Disability, the Executive shall be entitled, within ten (10) days following the Date of Termination, or the next payroll pay date, to receive solely (i) the Base Salary through the Date of Termination; (ii) payment for all accrued, but unused, vacation time through the Date of Termination; and (iii) reimbursement of all Reimbursable Expenses incurred by the Executive prior to such termination. The Executive’s rights under any benefit plan or program shall be as set forth thereunder.

SECTION 5.05. Medical Benefits. If  there is a termination of employment as specified in Section 5.02, the Executive and his dependents shall continue to receive his medical insurance benefits from the Company available through COBRA. If the Executive elects COBRA continuation coverage, the Executive shall continue to participate in all medical insurance plans he was participating on the Date of Termination, and the Company shall pay the applicable premium. To the extent that Executive had dependent coverage immediately prior to termination of employment, such continuation of benefits for Executive shall also cover Executive’s dependents for so long as Executive is receiving benefits under this paragraph and such dependents remain eligible. The COBRA Continuation Period for medical insurance under this paragraph shall be deemed to run concurrent with the continuation period federally mandated by COBRA (generally 18 months), or any other legally mandated and applicable federal, state, or local coverage period for benefits provided to terminated employees under the medical plan. For purposes of this Agreement, (a)  “COBRA”  means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended, and (b)  “COBRA Continuation Period”  shall mean the continuation period for medical insurance to be provided under the terms of this Agreement which shall commence on the first day of the calendar month following the month in which the date of termination falls and generally shall continue for an 18-month period or until such time as the executive is employed, whichever is earlier.

SECTION 5.06. Notice of Termination. Any termination by the Company for Permanent Disability or Cause or without Cause or by the Executive with or without Good Reason shall be communicated by written Notice of Termination to the other party hereto. For purposes of this Agreement, a “Notice of Termination” shall mean a notice which shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of employment under the provision indicated.

SECTION 5.07. Date of Termination. “Date of Termination” shall mean (a) if the Executive is terminated as a result of a Permanent Disability, the next business day after a Notice of Termination is given following the Permanent Disability; (b) if the Executive’s employment is terminated as a result of death, the date of death; and (c) if the Executive is terminated for any other reason, the later of the date the Notice of Termination is given or the end of any applicable correction period except as otherwise specifically provided herein.

SECTION 5.08. No Duty to Mitigate. The Executive shall have no duty to seek new employment or other duty to mitigate following a termination of employment as described in Section 5.02 above, and no compensation or benefits described in Section 5.02 shall be subject to reduction or offset on account of any subsequent compensation, other than as provided in Section 5.05. 

SECTION 5.09.  Release. Notwithstanding any other provision hereof, the Executive shall not be required by the Release to release claims that the Executive may have against the Company for reimbursement of ordinary and necessary business expenses incurred by him during the course of his employment, claims that arise after the effective date of the Release, any rights the Executive may have to enforce Sections 5.02 of this Agreement, and claims for which the Executive is entitled to be indemnified under the Company‘s charter, by-laws or under applicable law or pursuant to the Company’s directors’ and officer’s liability insurance policies.

ARTICLE 6

CONFIDENTIAL INFORMATION

SECTION 6.01. Confidential Information and Trade Secrets. The Executive and the Company agree that certain materials, including, but not limited to, information, data and other materials relating to customers, 

 

	
	
 

 

development programs, costs, marketing, trading, investment, sales activities, promotion credit and financial data, manufacturing processes, financial methods, plans or the business and affairs of the Company and its Affiliates, constitute proprietary confidential information and trade secrets. Accordingly, the Executive will not at any time during or after the Executive’s employment with the Company disclose or use for the Executive’s own benefit or purposes or the benefit or purposes of any Person, other than the Company and any of its Affiliates, any proprietary confidential information or trade secrets. The foregoing obligations imposed by this Section 6.01 will not apply (i) in the course of the business of and for the benefit of the Company, (ii) if such information has become, through no fault of the Executive, generally known to the public, or (iii) if the Executive is required by law to make disclosure (after giving the Company notice and an opportunity to contest such requirement). The Executive agrees that upon termination of employment with the Company for any reason, the Executive will immediately return to the Company all memoranda, books, paper, plans, information, letters and other data, and all copies thereof or therefrom, which in any way relate to the business of the Company and its Affiliates. The Executive further agrees that the Executive will not retain or use for the Executive’s account at any time any trade names, trademark or other proprietary business designation used or owned in connection with the business of the Company or any of its Affiliates.

SECTION 6.02.  Notice of Immunity under the Economic Espionage Act of 1996, as amended by the Defend Trade Secrets Act of 2016.  Notwithstanding any other provision of this Agreement or the provisions contained in any other agreements pertaining to confidentiality that the Executive has signed, the Executive understands that the Executive will not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret that (a) is made (1) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney and (2) solely for the purpose of reporting or investigating a suspected violation of law; or (b) is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding.  If the Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, the Executive may disclose the Company’s trade secrets to the Executive’s attorney and use the trade secret information in the court proceeding if the Executive:  (a) files any document containing the trade secret under seal; and (b) does not disclose the trade secret, except pursuant to court order.

ARTICLE 7

NONCOMPETITION

SECTION 7.01. Noncompetition. (a) The Executive acknowledges and recognizes the highly competitive nature of the business of the Company and its Affiliates and accordingly agrees that during the term of the Executive’s employment and for a period of one (1) year after the termination thereof:

(i) the Executive will not directly or indirectly engage in any business which is in competition with any line of business conducted by the Company or any of its Affiliates, including, but not limited to, where such engagement is as an officer, director, proprietor, employee, partner, investor (other than as a holder of less than 1% of the outstanding capital stock of a publicly traded corporation), consultant, advisor, agent or sales representative, in any Restricted Territory;

 

(ii) the Executive will not perform or solicit the performance of services for any customer or client of the Company or any of its Affiliates;

(iii) the Executive will not directly or indirectly induce any employee of the Company or any of its Affiliates to (1) engage in any activity or conduct which is prohibited pursuant to this Section 7.01, or (2) terminate such employee’s employment with the Company or any of its Affiliates. Moreover, the Executive will not directly or indirectly employ or offer employment (in connection with any business which is in competition with any line of business conducted by the Company or any of its Affiliates) to any person who was employed by the Company or any of its Affiliates unless such person shall have ceased to be employed by the Company or any of its Affiliates for a period of at least twelve (12) months; and

(iv) the Executive will not directly or indirectly assist others in engaging in any of the activities which are 

 

	
	
 

 

prohibited under clauses (i)-(iii) of this Section 7.01(a) above.

Notwithstanding the foregoing, the Executive may serve as an advisor to any person or entity that is not directly engaged in a business which is in competition with any line of business conducted by the Company or any of its Affiliates after the Executive receives the Company’s written permission, which shall not be unreasonably withheld.

(b) The covenant contained in Section 7.01(a)(i) above is intended to be construed as a series of separate covenants, one for each county, town, city and state or other political subdivision of a Restricted Territory. Except for geographic coverage, each such separate covenant shall be deemed identical in terms to the covenant contained in the preceding subsections. If, in any judicial proceeding, the court shall refuse to enforce any of the separate covenants (or any part thereof) deemed included in such subsections, then such unenforceable covenant (or such part) shall be deemed to be eliminated from this Agreement for the purpose of those proceedings to the extent necessary to permit the remaining separate covenants (or portions thereof) to be enforced.

(c) It is expressly understood and agreed that although the Executive and the Company consider the restrictions contained in this Section 7.01 to be reasonable, if a final judicial determination is made by a court of competent jurisdiction that the time or territory or any other restriction contained in this Agreement is an unenforceable restriction against the Executive, the provisions of this Agreement shall not be rendered void but shall be deemed amended to apply as to such maximum time and territory and to such maximum extent as such court may judicially determine or indicate to be enforceable. Alternatively, if any court of competent jurisdiction finds that any restriction contained in this Agreement is unenforceable, and such restriction cannot be amended so as to make it enforceable, such finding shall not affect the enforceability of any of the other restrictions contained herein.

ARTICLE 8

EQUITABLE RELIEF

SECTION 8.01. Equitable Relief. The Executive acknowledges that (a) the covenants contained in Sections 6.01 and 7.01 hereof are reasonable, (b) the Executive’s services are unique, and (c) a breach or threatened breach by him of any of his covenants and agreements with the Company contained in Sections 6.01 or 7.01 hereof could cause irreparable harm to the Company for which it would have no adequate remedy at law. Accordingly, and in addition to any remedies which the Company may have at law, in the event of an actual or threatened breach by the Executive of his covenants and agreements contained in Sections 6.01 or 7.01 hereof, the Company shall be entitled as a matter of right to an injunction, without a requirement to post bond, out of any court of competent jurisdiction, restraining any violation or further violation of such promises by the Executive or the Executive’s employees, partners or agents. 

 

 

ARTICLE 9

INDEMNIFICATION

SECTION 9.01. (a) Indemnification. The Company agrees that if the Executive is made a party, or is threatened to be made a party, to any action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that he is or was a director, officer or employee of the Company or is or was serving at the request of the Company as a director, officer, member, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, including service with respect to employee benefit plans, the Executive shall be indemnified and held harmless by the Company to the fullest extent permitted or authorized by applicable law and the Company‘s certificate of incorporation or bylaws, against all cost, expense, liability and loss (including, without limitation, attorney’s fees, judgments, fines, ERISA excise taxes or penalties and amounts paid or to be paid in settlement) reasonably incurred or suffered by the Executive in connection therewith, and such indemnification shall continue as to the Executive even if he has ceased to be a director, member, employee or agent of the Company or other entity and shall inure to the benefit of the Executive’s heirs, executors and administrators.

(b) D&O Insurance. During the Employment Period, the Company shall keep in place a directors’ and officers’ liability insurance policy (or policies) providing comprehensive coverage to the Executive to the same 

 

	
	
 

 

extent that the Company provides such coverage for any other officer or director of the Company and, after the expiration of the Employment Period, the Executive shall be entitled to such coverage to the same extent that the Company provides such coverage for any other current or former officer or director of the Company.

ARTICLE 10

MISCELLANEOUS

SECTION 10.01. Remedies. The Company will have all rights and remedies set forth in this Agreement, all rights and remedies which the Company has been granted at any time under any other agreement or contract and all of the rights which the Company has under any law. The Company will be entitled to enforce such rights specifically, without posting a bond or other security, to recover damages by reason of any breach of any provision of this Agreement and to exercise all other rights granted by law. The failure of the Company to enforce at any time any provision of this Agreement shall in no way be construed to be a waiver of such provision or of any other provision hereof.

SECTION 10.02. Consent to Amendments. The provisions of this Agreement may be amended or waived only by a written agreement executed and delivered by the Company and the Executive. No other course of dealing between the parties to this Agreement or any delay in exercising any rights hereunder will operate as a waiver of any rights of any such parties. Notwithstanding the foregoing or any provisions of this Agreement to the contrary, the Company may at any time, with the consent of the Executive, modify or amend any provision of this Agreement or take any other action, to the extent necessary or advisable to ensure that this Agreement complies with or is exempt from Section 409A of the Code and that any payments or benefits under this Agreement are not subject to interest and penalties under Section 409A of the Code.

SECTION 10.03. Successors and Assigns. All covenants and agreements contained in this Agreement by or on behalf of any of the parties hereto will bind and inure to the benefit of the respective successors and assigns of the parties hereto whether so expressed or not, provided that the Executive may not assign his rights or delegate his obligations under this Agreement without the written consent of the Company.

SECTION 10.04. Severability. Whenever possible, each provision of this Agreement will be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Agreement is held to be prohibited by or invalid under applicable law, such provision will be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of this Agreement.

SECTION 10.05. Counterparts. This Agreement may be executed simultaneously in two or more counterparts, any one of which need not contain the signatures of more than one party, but all of which counterparts taken together will constitute one and the same agreement.

SECTION 10.06. Descriptive Headings. The descriptive headings of this Agreement are inserted for convenience only and do not constitute a part of this Agreement.

SECTION 10.07. Notices. All notices, demands or other communications to be given or delivered under or by reason of the provisions of this Agreement will be in writing and will be deemed to have been given when delivered personally to the recipient, two (2) business days after the date when sent to the recipient by reputable express courier service (charges prepaid) or four (4) business days after the date when mailed to the recipient by certified or registered mail, return receipt requested and postage prepaid. Such notices, demands and other communications will be sent to the Executive and to the Company at the addresses set forth below.

 

			
	
 
	
 
	
 

	
If to the Executive:
	
  
	
To the last address delivered to the Company by the Executive in the manner set forth herein.

	
 
	
 

 

	
	
 

 

			
	
If to the Company:
	
  
	
The ExOne Company

127 Industry Boulevard

Irwin, PA 15642

Attn: Loretta L. Benec

General Counsel and Corporate Secretary

	
 

	
Copies of notices to the Company shall also be sent to:

	
 
	
 

	
 
	
  
	
McGuireWoods LLP

625 Liberty Avenue, 23rd Floor

Pittsburgh, PA 15222

Attn: Hannah Thompson Frank

or to such other address or to the attention of such other person as the recipient party has specified by prior written notice to the sending party.

SECTION 10.08. Withholding. The Company may withhold from any amounts payable under this Agreement such federal, state, local or foreign taxes as shall be required to be withheld pursuant to any applicable law or regulation.

SECTION 10.09. No Third Party Beneficiary. This Agreement will not confer any rights or remedies upon any person other than the Company, the Executive and their respective heirs, executors, successors and assigns.

SECTION 10.10. Agreements. This Agreement, between the Company and Executive constitutes the entire agreement among the parties relating to the subject matter hereof.  No prior or contemporaneous oral or written agreements or representations may be offered to alter the terms of this Agreement.     To the extent Executive and the Company have entered into other agreements, including, but not limited to, Executive’s offer letter dated October 23, 2018 and The ExOne Company’s Proprietary Information and Assignment of Inventions Agreement dated October 17, 2018, that are not in conflict with this Agreement, the terms of those other agreements shall be in addition to this Agreement.  

SECTION 10.11. Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent, and no rule of strict construction will be applied against any party. Any reference to any federal, state, local or foreign statute or law will be deemed also to refer to all rules and regulations promulgated thereunder, unless the context requires otherwise. The use of the word “including” in this Agreement means “including without limitation” and is intended by the parties to be by way of example rather than limitation.

SECTION 10.12. Survival. Sections  6.01, 6.02, 7.01, 8.01, 9.01 and Article 10 hereof will survive and continue in full force in accordance with their terms notwithstanding any termination of Executive or the Employment Period, and the Agreement shall otherwise remain in full force to the extent necessary to enforce any rights and obligations arising hereunder.

 

 

SECTION 10.14. GOVERNING LAW. ALL QUESTIONS CONCERNING THE CONSTRUCTION, VALIDITY AND INTERPRETATION OF THIS AGREEMENT WILL BE GOVERNED BY THE INTERNAL LAW OF PENNSYLVANIA, WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF LAWS.

SECTION 10.15. Internal Revenue Code Section 409A.

(a) If any benefit provided under this Agreement is subject to the provisions of Section 409A of the Code and the regulations issued thereunder, the provisions of the Agreement shall be administered, interpreted and construed in a manner necessary to comply with Section 409A and the regulations issued thereunder (or disregarded to the extent such provision cannot be so administered, interpreted, or construed.)

 

	
	
 

 

(b) For purposes of the Agreement, the Executive shall be considered to have experienced a termination of employment only if the Executive has terminated employment with the Company and all of its controlled group members within the meaning of Section 409A of the Code. For purposes hereof, the determination of controlled group members shall be made pursuant to the provisions of Section 414(b) and 414(c) of the Code; provided that the language “at least 50 percent” shall be used instead of “at least 80 percent” in each place it appears in Section 1563(a)(1),(2) and (3) of the Code and Treas. Reg. § 1.414(c)-2. Whether the Executive has terminated employment will be determined based on all of the facts and circumstances and in accordance with the guidance issued under Section 409A of the Code.

(c) For purposes of Section 409A, each severance benefit payment shall be treated as a separate payment. Each payment under this Agreement is intended to be excepted from Section 409A to the maximum extent provided under Section 409A as follows: (i) the Employee’s termination date and within the applicable 2  1 /2 month period specified in Treas. Reg. § 1.409A-1(b)(4) is intended to be excepted under the short-term deferral exception as specified in Treas. Reg. § 1.409A-1(b)(4); (ii) post-termination medical benefits are intended to be excepted under the medical benefits exceptions as specified in Treas. Reg. § 1.409A-1(b)(9)(v)(B); and (iii) to the extent payments are made as a result of an involuntary separation, each payment that is not otherwise excepted under the short-term deferral exception or medical benefits exception is intended to be excepted under the involuntary pay exception as specified in Treas. Reg. § 1.409A-1(b)(9)(iii). The Executive shall have no right to designate the date of any payment under this Agreement.

(d) With respect to payments subject to Section 409A of the Code (and not excepted therefrom), if any, it is intended that each payment is paid on a permissible distribution event and at a specified time consistent with Section 409A of the Code. The Company reserves the right to accelerate and/or defer any payment to the extent permitted and consistent with Section 409A. Notwithstanding any provision of this Agreement to the contrary, to the extent that a payment hereunder is subject to Section 409A of the Code (and not excepted therefrom) and payable on account or a termination of employment, such payment shall be delayed for a period of six months after the date of termination (or, if earlier, the death of the Executive ) if the Executive is a  “specified employee”  (as defined in Section 409A of the Code and determined in accordance with the procedures established by the Company). Any payment that would otherwise have been due or owing during such 6-month period will be paid immediately following the end of the 6-month period in the month following the month containing the 6-month anniversary of the date of termination.

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[Signature Page for John F. Hartner Employment Agreement]

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year first above written.

 

			
	
 
	
 
	
 

	
The ExOne Company

	
 
	
 

	
By:
	
 /s/Loretta L. Benec
	
 

	
Loretta L. Benec

General Counsel & Corporate Secretary

Dated: May 15, 2019

	
 

 

			
	
By:
	
 /s/John F. Hartner
	
 

	
John F. Hartner

Dated: May 15, 2019

 

	
	
 

 

Annex A

SEPARATION OF EMPLOYMENT AND GENERAL RELEASE AGREEMENT

THIS SEPARATION OF EMPLOYMENT AND GENERAL RELEASE AGREEMENT (this “Agreement”) is made as of this              day of             ,             , by and between The ExOne Company, a Delaware corporation (the “Company”), and John F. Hartner (the “Executive”).

WHEREAS, the Executive formerly was employed by the Company as Chief Executive Officer;

WHEREAS, the Executive and Company entered into an Employment Agreement, dated                     , 2019, (the “Severance Agreement”) which provides for certain payments and benefits in the event that the Executive’s employment is terminated on account of a reason set forth in the Severance Agreement; and

WHEREAS, the Executive’s employment with the Company was terminated for reasons that qualify the Executive to receive certain payments and benefits, as set forth in Article 5 of the Severance Agreement, subject to, among other things, the Executive’s execution of this Release as defined therein.

NOW, THEREFORE, for and in consideration of the Company’s commitments in Article 5 of the Severance Agreement, and intending to be legally bound, the Executive and the Company hereby agree as follows:

1. (a) The Executive does hereby REMISE, RELEASE AND FOREVER DISCHARGE the Company, its affiliates, subsidiaries and parents, and its and their respective officers, directors, employees, and agents, and its and their respective successors and assigns, heirs, executors, and administrators, as well as the current and former fiduciaries of any pension, welfare, or other benefit plans applicable to the employees or former employees of the Company, and the current and former welfare and other benefit plans sponsored by the Company (collectively, “Releasees”) from all causes of action, suits, debts, claims and demands whatsoever in law or in equity, which the Executive ever had, now has, or hereafter may have, whether known or unknown, or which the Executive’s heirs, executors, or administrators may have, by reason of any matter, cause or thing whatsoever, from the beginning of time to the date the Executive signs this Agreement, and particularly, but without limitation of the foregoing general terms, any claims arising from or relating in any way to the Executive’s employment relationship with the Company, the terms and conditions of that employment relationship, and the termination of that employment relationship, including, but not limited to, any claims arising under the Age Discrimination in Employment Act, the Older Workers Benefit Protection Act, Title VII of the Civil Rights Act of 1964, the Americans with Disabilities Act, the Worker Readjustment and Retraining Notification Act, the Consolidated Omnibus Budget Reconciliation Act, the Employee Retirement Income Security Act of 1974, the Pennsylvania Human Relations Act, and any other claims under any federal, state or local common law, statutory, or regulatory provision, now or hereafter recognized, and any claims for attorneys’ fees and costs. This Agreement is effective without regard to the legal nature of the claims raised and without regard to whether any such claims are based upon tort, equity, implied or express contract or discrimination of any sort.

(b) Although Paragraph 1(a) is intended to be a general release, it is understood and agreed that Paragraph 1(a) excludes claims related to the Executive’s right to receive the payments and benefits described in Article 5 of the Severance Agreement, as well as claims under any statute or common law that the Executive is legally barred from releasing, such as the Executive’s entitlement to vested pension benefits. Notwithstanding any other provision hereof, the Executive shall not release claims that the Executive may have against the Company for reimbursement of ordinary and necessary business expenses incurred by him during the course of his employment, claims that arise after the effective date of the Release, any rights the Executive may have to enforce Sections 5.02 of the Severance Agreement, and claims for which the Executive is entitled to be indemnified under the Company‘s charter, by-laws or under applicable law or pursuant to the Company’s directors’ and officer’s liability insurance policies.

(c) Nothing herein is intended to or shall preclude the Executive from filing a charge with any appropriate federal, state or local government agency and/or cooperating with said agency in its investigation. The Executive, however, explicitly waives any right to file a personal lawsuit or receive monetary damages that the agency may recover against the Releasees, without regard as to who brought any said complaint or charge. Employee further 

 

	
	
 

 

agrees that to the extent any relief, including monetary relief, is awarded in any such proceeding, all amounts paid as consideration under Article 5 of the Severance Agreement shall be a setoff and credit against any such award to the fullest extent permitted by law. 

(d) The Executive represents and agrees by signing below that the Executive has not been denied any leave or benefit requested, has received the appropriate pay for all hours worked for the Company, and has no known workplace injuries or occupational diseases.

(e) To the fullest extent permitted by law, the Executive represents and affirms that (i) [other than             ,] the Executive has not filed or caused to be filed on the Executive’s behalf any claim for relief against any Releasee and, to the best of the Executive’s knowledge and belief, no outstanding claims for relief have been filed or asserted against the Company or any Releasee on the Executive’s behalf; and (ii) [ other than             , ] the Executive has not reported any improper, unethical or illegal conduct or activities to any supervisor, manager, department head, human resources representative, agent or other representative of the Company, to any member of the Company’s legal or compliance departments, or to the ethics hotline, and has no knowledge of any such improper, unethical or illegal conduct or activities. The Executive agrees to promptly dismiss with prejudice all claims for relief filed before the date the Executive signs this Agreement.

2. The Company does hereby REMISE, RELEASE AND FOREVER DISCHARGE the Executive from all claims, demands or causes of action arising out of facts or occurrences prior to the date of this Agreement, but only to the extent the Company knows or reasonably should know of such facts or occurrence and only to the extent such claim, demand or cause of action relates to a violation of applicable law or the performance of the Executive’s duties with the Company; provided, however, that this release of claims shall not in any case be effective with respect to any claim by the Company alleging a breach of the Executive’s obligations under this Agreement. [Note: The Company and the Executive may, but shall not be required to mutually agree on a case-by-case basis at the time of the signing of this release to include the foregoing provision, or a substantially similar provision, to this Agreement.]

3. The Executive further agrees and recognizes that the Executive’s employment relationship with the Company has been permanently severed, that the Executive shall not seek employment with the Company or any affiliated entity at any time in the future, and that the Company has no obligation to employ the Executive in the future.

4. The Executive further agrees that the Executive will not disparage or subvert the Company, or make any statement reflecting negatively on the Releasees including, but not limited to, statements relating to the operation or management of the Company, the Executive’s employment and the termination of the Executive’s employment, irrespective of the truthfulness or falsity of such statement.

5. The Executive acknowledges that if the Executive had not executed this Agreement containing a release of all claims, the Executive would not have been entitled to the payments and benefits set forth in Article 5 of the Severance Agreement.

6.Notice of Immunity under the Economic Espionage Act of 1996, as amended by the Defend Trade Secrets Act of 2016.  Notwithstanding any other provision of this Agreement or the provisions contained in any other agreements pertaining to confidentiality that the Executive has signed, the Executive understands that the Executive will not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret that: (i) is made: (1) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and (2) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding.  If the Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, the Executive may disclose the Company’s trade secrets to the Executive’s attorney and use the trade secret information in the court proceeding if the Executive:  (i) files any document containing the trade secret under seal; and (ii) does not disclose the trade secret, except pursuant to court order. 

7. Collectively, this Agreement and the Severance Agreement contain the entire agreement between the Company and the Executive relating to the subject matter hereof. No prior or contemporaneous oral or written 

 

	
	
 

 

agreements or representations may be offered to alter the terms of this Agreement. To the extent Employee has entered into other agreements with the Company that are not in conflict with this Agreement, including, but not limited to the Severance Agreement, The ExOne Company Proprietary Information and Assignment of Inventions Agreement, the terms of this Agreement shall not supersede, but shall be in addition to such other agreements.

8. The Executive agrees not to disclose the terms of this Agreement or the Severance Agreement to anyone, except the Executive’s spouse, attorney and, as necessary, tax/financial advisor. Likewise, the Company agrees that the terms of this Agreement will not be disclosed except as may be necessary to obtain approval or authorization to fulfill its obligations hereunder or as required by law. It is expressly understood that any violation of the confidentiality obligation imposed hereunder constitutes a material breach of this Agreement.

9. The Executive represents that the Executive has returned to the Company and does not presently have in the Executive’s possession or control any records and business documents, whether on computer or hard copy, and other materials (including but not limited to computer disks and tapes, computer programs and software, office keys, correspondence, files, customer lists, technical information, customer information, pricing information, business strategies and plans, sales records and all copies thereof) (collectively, the “Corporate Records”) provided by the Company and/or its predecessors, subsidiaries or affiliates or obtained as a result of the Executive’s prior employment with the Company and/or its predecessors, subsidiaries or affiliates, or created by the Executive while employed by or rendering services to the Company and/or its predecessors, subsidiaries or affiliates. In addition, the Executive has or will promptly return in good condition any other Company owned equipment or property, including, but not limited to, automobiles, personal data assistants, facsimile machines, copy machines, pagers, credit cards, cellular telephone equipment, business cards, laptops and computers. At the Executive’s request, the Company will make reasonable arrangements to transfer cellular phone numbers and personal fax numbers to the Executive.

10. Nothing in this Agreement shall prohibit or restrict the Executive from: (i) making any disclosure of information required by law; (ii) providing information to, or testifying or otherwise assisting in any investigation or proceeding brought by, any federal regulatory or law enforcement agency or legislative body, any self-regulatory organization, or the Company’s designated legal, compliance or human resources officers; or (iii) filing, testifying, participating in or otherwise assisting in a proceeding relating to an alleged violation of any federal, state or municipal law relating to fraud, or any rule or regulation of the Securities and Exchange Commission or any self-regulatory organization.

11. The parties agree and acknowledge that the agreement by the Company described herein, and the release of any asserted or unasserted claims against the Releasees, are not and shall not be construed to be an admission of any violation of any federal, state or local statute or regulation, or of any duty owed by any of the Releasees to the Executive.

12. The Executive agrees and recognizes that should the Executive breach any of the obligations or covenants set forth in Articles 6 and 7 of the Severance Agreement, the Company will have no further obligation to provide the Executive with the consideration set forth in Article 5 of the Severance Agreement, and will have the right to seek repayment of all consideration paid up to the time of any such breach. Notwithstanding the foregoing, the Executive acknowledges that if the Executive breaches Articles 6 and 7 of the Severance Agreement, and if the Company terminates or recovers any of the payments or benefits provided under Article 5 of the Severance Agreement (as provided for in Articles 6 and 7 of the Severance Agreement), the release provided by Section 1 of this Agreement shall remain valid and enforceable.

13. The Executive further agrees that the Company shall be entitled to preliminary and permanent injunctive relief, without the necessity of proving actual damages, as well as to an equitable accounting of all earnings, profits and other benefits arising from any violations of this Agreement, which rights shall be cumulative and in addition to any other rights or remedies to which the Company may be entitled.

14. This Agreement and the obligations of the parties hereunder shall be construed, interpreted and enforced in accordance with the laws of the Commonwealth of Pennsylvania.

 

	
	
 

 

15. The Executive certifies and acknowledges as follows:

(a) That the Executive has read the terms of this Agreement, and that the Executive understands its terms and effects, including the fact that the Executive has agreed to RELEASE AND FOREVER DISCHARGE the Releasees from any legal action arising out of the Executive’s employment relationship with the Company and the termination of that employment relationship; and

(b) That the Executive has signed this Agreement voluntarily and knowingly in exchange for the consideration described herein, which the Executive acknowledges is adequate and satisfactory to him and which the Executive acknowledges is in addition to any other benefits to which the Executive is otherwise entitled; and

(c) That the Executive has been and is hereby advised in writing to consult with an attorney prior to signing this Agreement; and

(d) That the Executive does not waive rights or claims that may arise after the date this Agreement is executed; and

(e) That the Company has provided the Executive with a period of [twenty-one (21)] or [forty-five (45)] days within which to consider this Agreement, and that the Executive has signed on the date indicated below after concluding that this Agreement is satisfactory; and

(f) The Executive acknowledges that this Agreement may be revoked within seven (7) days after execution, and it shall not become effective until the expiration of such seven (7) day revocation period. In the event of a timely revocation by the Executive, this Agreement will be deemed null and void and the Company will have no obligations hereunder or under Article 5 of the Severance Agreement.

 

 

Intending to be legally bound hereby, the Executive and the Company executed the foregoing Separation of Employment and General Release Agreement this              day of             ,             .

 

			
	
 
	
 
	
 

	
                                                                                          
	
 
	
Witness:                                                                                  

	
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Witness:                                                                                  

	
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