Document:

exv10w9w2

Exhibit 10.9.2

MCJUNKIN RED MAN HOLDING CORPORATION

NONQUALIFIED STOCK OPTION AGREEMENT

     THIS AGREEMENT (this “Agreement”), is made effective as of [________, 200__] (the
“Date of Grant”), between McJunkin Red Man Holding Corporation, a Delaware corporation (the
“Company”), PVF Holdings LLC, a Delaware limited liability company (“PVF Holdings
LLC”) (solely for purposes of Section 15 hereof), and [__________] (the “Participant”).

R E C I T A L S:

     WHEREAS, the Company has adopted the McJ Holding Corporation 2007 Stock Option Plan (the
“Plan”), which Plan is incorporated herein by reference and made a part of this Agreement.
Capitalized terms not otherwise defined herein shall have the meanings given thereto in the Plan;
and

     WHEREAS, the Committee has determined that it would be in the best interests of the Company
and its shareholders to grant an Option to the Participant pursuant to the Plan and the terms set
forth herein.

     NOW THEREFORE, in consideration of the Participant’s services and of the mutual covenants
hereinafter set forth, the parties agree as follows:

     1. Grant of the Option. The Company hereby grants to the Participant the right and
option (the “Option”) to purchase, on the terms and conditions hereinafter set forth, all
or any part of an aggregate of [__________] Shares, subject to adjustment as set forth in the Plan.
The Option Price shall be $ [__________] USD, which the Company and the Participant agree is
not less than the Fair Market Value of the Shares as of the date hereof.

     2. Vesting; Period of Exercise.

          (a) Subject to the earlier termination or cancellation of the Option as set forth herein, the
Option shall vest and become exercisable as follows:

               (i) Prior to the second (2nd) anniversary of the Date of Grant, no portion of the
Option shall vest or be exercisable;

               (ii) On and after the second (2nd) anniversary of the Date of Grant, the Option
shall vest and be exercisable with respect to an aggregate of one-fourth (1/4) of the Shares
originally subject to the Option, provided that the Participant’s Employment with the Company or
any of its Affiliates has not terminated as of such anniversary;

               (iii) On and after the third (3rd) anniversary of the Date of Grant, the Option
shall vest and be exercisable with respect to an aggregate of one-half (1/2) of the Shares
originally subject to the Option, provided that the Participant’s Employment with the Company or
any of its Affiliates has not terminated as of such anniversary;

 

 

               (iv) On and after the fourth (4th) anniversary of the Date of Grant, the Option
shall vest and be exercisable with respect to an aggregate of three-fourths (3/4) of the Shares
originally subject to the Option, provided that the Participant’s Employment with the Company or
any of its Affiliates has not terminated as of such anniversary; and

               (v) On and after the fifth (5th) anniversary of the Date of Grant, the Option shall
vest and be exercisable with respect to an aggregate of one hundred percent of the Shares
originally subject to the Option provided, that the Participant’s Employment with the Company or
any of its Affiliates has not terminated as of such anniversary.

               (vi) Notwithstanding the foregoing, in the event of (x) the Participant’s death or Disability
or (y) the occurrence of a Transaction, the Option shall, to the extent not then vested,
automatically become fully vested and exercisable.

The portion of the Option which has become vested and exercisable as described herein is
hereinafter referred to as the “Vested Portion.”

          (b) If the Participant’s Employment is terminated by the Company or an Affiliate for Cause,
the Option shall, whether or not vested, be automatically canceled without payment of consideration
therefor.

          (c) If the Participant’s Employment with the Company or any of its Affiliates terminates for
any reason other than (x) Cause or (y) the Participant’s death or Disability, the Option shall, to
the extent not previously vested, be automatically canceled by the Company without payment of
consideration therefor, and the Vested Portion of the Option shall remain exercisable for the
period set forth in Section 2(d).

          (d) Subject to the provisions of the Plan and this Agreement, the Participant may exercise all
or any part of the Vested Portion of the Option at any time prior to the earliest to occur of (i)
the ten-year anniversary of the Date of Grant and (ii) 90 days following the date of the
Participant’s termination of Employment (other than a termination of Employment due to the
Participant’s death or Disability).

          (e) Notwithstanding the foregoing, upon termination of Employment due to the Participant’s
death or Disability, the Participant may exercise all or any part of the Vested Portion of the
Option at any time prior to the earliest to occur of (i) the ten-year anniversary of the Date of
Grant and (ii) twenty-four months following such termination of Employment.

          3. Method of Exercise.

          (a) The Vested Portion of the Option may be exercised by delivering to the Company at its
principal office written notice of intent so to exercise. Such notice shall specify the number of
Shares for which the Option is being exercised (the “Purchased Shares”) and shall be
accompanied by payment in full of the Option Price in cash or by check or wire transfer;
provided, however, that with the written consent of the Committee (which consent
may be withheld for any or no reason), payment of such aggregate exercise price may instead be
made, in whole or in part, by (A) the delivery to the Company of a certificate or certificates

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representing Shares having a Fair Market Value on the date of exercise equal to the aggregate
exercise price, duly endorsed or accompanied by a duly executed stock power, which delivery
effectively transfers to the Company good and valid title to such shares, free and clear of any
pledge, commitment, lien, claim or other encumbrance (such shares to be valued on the basis of the
aggregate Fair Market Value thereof on the date of such exercise), or (B) by a reduction in the
number of Purchased Shares to be issued upon such exercise having a Fair Market Value on the date
of exercise equal to the aggregate exercise price in respect of the Purchased Shares, provided that
the Company is not then prohibited from purchasing or acquiring such Shares. The Participant shall
not have any rights to dividends or other rights of a stockholder with respect to Shares subject to
the Option until the Participant has given written notice of exercise of the Option, paid in full
for such Shares and, if applicable, has satisfied any other conditions imposed by the Committee or
pursuant to the Plan or this Agreement.

          (b) Notwithstanding any other provision of the Plan or this Agreement to the contrary, the
Option may not be exercised prior to the completion of any registration or qualification of the
Option or the Shares under applicable state and federal securities or other laws, or under any
ruling or regulation of any governmental body or national securities exchange (collectively, the
“Legal Requirements”) that the Committee shall in its sole discretion determine to be
necessary or advisable, unless an exemption to such registration or qualification is available and
satisfied. The Committee may establish additional procedures as it deems necessary or desirable in
connection with the exercise of the Option or the issuance of any Shares upon such exercise to
comply with any Legal Requirements. Such procedures may include but are not limited to the
establishment of limited periods during which the Option may be exercised or that following receipt
of the notice of exercise and prior to the completion of the exercise, the Participant will be
required to affirm the exercise of the Option following receipt of any disclosure deemed necessary
or desirable by the Committee.

          (c) Upon the Company’s determination that the Option has been validly exercised as to any of
the Shares, the Company shall issue certificates in the Participant’s name for such Shares. Such
certificates will be held by the Company on behalf of the Participant until such time as the Shares
represented by such certificates are transferred as permitted by the Stockholders Agreement.

          (d) In the event of the Participant’s death or Disability, the Option shall remain exercisable
by the Participant’s executor or administrator, or the person or persons to whom the Participant’s
rights under this Agreement shall pass by will or by the laws of descent and distribution as the
case may be, for the period set forth in Section 2(e) (and the term “Participant” shall be deemed
to include such heir or legatee). Any such heir or legatee of the Participant shall take rights
herein granted subject to the terms and conditions hereof.

          (e) In consideration of the grant of this Option, the Participant agrees that, as a condition
to the exercise of any option to purchase Shares (whether this Option or any other option), the
Participant shall, with respect to such Shares, have become a party to the Stockholders Agreement.

     4. No Right to Continued Employment. The granting of the Option evidenced hereby and
this Agreement shall impose no obligation on the Company or any Affiliate to

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continue the Employment of the Participant and shall not lessen or affect the Company’s or its
Affiliates’ right to terminate the Employment of such Participant.

     5. Legend on Certificates. The certificates representing the Shares purchased by
exercise of the Option shall be subject to such stop transfer orders and other restrictions as the
Committee may deem advisable under the Plan or the rules, regulations, and other requirements of
the Securities and Exchange Commission, any stock exchange upon which such Shares are listed, and
any applicable federal or state laws, and the Committee may cause a legend or legends to be put on
any such certificates to make appropriate reference to such restrictions.

     6. Transferability. Unless otherwise determined by the Committee, the Option may not
be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by the
Participant otherwise than by will or by the laws of descent and distribution, and any such
purported assignment, alienation, pledge, attachment, sale, transfer or encumbrance shall be void
and unenforceable against the Company or any Affiliate; provided, that the designation of a
beneficiary shall not constitute an assignment, alienation, pledge, attachment, sale, transfer or
encumbrance. No such permitted transfer of the Option to heirs or legatees of the Participant
shall be effective to bind the Company unless the Committee shall have been furnished with written
notice thereof and a copy of such evidence as the Committee may deem necessary to establish the
validity of the transfer and the acceptance by the transferee or transferees of the terms and
conditions hereof. During the Participant’s lifetime, the Option is exercisable only by the
Participant.

     7. Withholding. The Participant shall be required to pay to the Company or any
Affiliate, and the Company shall have the right and is hereby authorized to withhold, any
applicable withholding taxes in respect of the Option, its exercise or any payment or transfer
under, or with respect to, the Option and to take such other action as may be necessary in the
opinion of the Committee to satisfy all obligations for the payment of such withholding taxes. The
Participant shall be solely responsible for the payment of all taxes relating to the payment or
provision of any amounts or benefits hereunder.

     8. Securities Laws. Upon the acquisition of any Shares pursuant to the exercise of
the Option, the Participant will make or enter into such written representations, warranties and
agreements as the Committee may reasonably request in order to comply with applicable securities
laws or with this Agreement.

     9. Successors in Interest. This Agreement shall inure to the benefit of and be
binding upon any successor to the Company. This Agreement shall inure to the benefit of the
Participant’s legal representatives. All obligations imposed upon the Participant and all rights
granted to the Company under this Agreement shall be binding upon the Participant’s heirs,
executors, administrators and successors.

     10. Resolution of Disputes. Any dispute or disagreement which may arise under, or as
a result of, or in any way relate to, the interpretation, construction or application of this
Agreement shall be determined by the Board. Any determination made hereunder shall be final,
binding and conclusive on the Participant, the Participant’s heirs, executors, administrators and
successors, and the Company and its subsidiaries for all purposes.

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     11. Notices. Any notice necessary under this Agreement shall be addressed to the
Company in care of its Secretary at the principal executive office of the Company and to the
Participant at the address appearing in the personnel records of the Company for the Participant or
to either party hereto at such other address as either party may hereafter designate in writing to
the other. Any such notice shall be deemed effective upon receipt thereof by the addressee.

     12. Choice of Law. This Agreement shall be governed by and construed in accordance
with the laws of the state of New York, without regard to principles of conflicts of laws.

     13. Option Subject to Plan. By entering into this Agreement, the Participant agrees
and acknowledges that the Participant has received and read a copy of the Plan. The Option is
subject to the Plan. The terms and provisions of the Plan, as it may be amended from time to time,
are hereby incorporated herein by reference. In the event of a conflict between any term or
provision contained herein and a term or provision of the Plan, the applicable terms and provisions
of the Plan, as applicable, will govern and prevail.

     14. Accredited Investor Status Representation of Participant. Please check the box
next to any of the following statements that apply:

	o	 	Your individual net worth, or joint net worth with your spouse, as of the date hereof, exceeds $1,000,000;
	 
	o	 	You had individual income in excess of $200,000 in each of the two most recent years, or joint income with your spouse in excess of $300,000 in each of those years, and have a
reasonable expectation of reaching the same income level in the current year; or
	 
	o 	 	None of the statements above apply.

     15. Adoption of Stockholders Agreement. The parties hereto agree that, upon the grant
of the Option hereunder, the Participant shall be made a party to the Management Stockholders
Agreement among PVF LLC (formerly known as McJ Holding LLC), the Company, and the other parties
thereto (the “Stockholders Agreement”) as an “Executive” (as defined in the Stockholders
Agreement) with the rights and obligations of holders of “Stock” (as defined in the Stockholders
Agreement) and the Participant hereby agrees to become a party to the Stockholders Agreement and to
be bound by, and subject to, all of the representations, covenants, terms and conditions of the
Stockholders Agreement that are applicable to an Executive with such rights and obligations.
Execution and delivery of this Agreement by the Participant shall also constitute execution and
delivery by the Participant of the Stockholders Agreement, without further action of any party. A
copy of the Stockholders Agreement is attached hereto as Exhibit A. In addition to the
representations and warranties in the Stockholders Agreement that Participant makes as an
Executive, the Participant represents and warrants to the Company that (a) the Participant has
carefully reviewed the Stockholders Agreement and has also reviewed all other documents the
Participant deems necessary or desirable in order for the Participant to become a party to the
Stockholders Agreement (by executing this Agreement); (b) the Participant has been granted the
opportunity to ask questions of, and receive answers from, representatives of the Company
concerning the Stockholders

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Agreement and the terms and conditions thereof that the Participant deems necessary; and (c)
this Agreement (and by executing this Agreement, the Stockholders Agreement) has been duly executed
and delivered by Participant and constitutes a valid and binding agreement of Participant
enforceable against the Participant in accordance with its terms and the terms of the Stockholders
Agreement.

     16. Complete Agreement. The Plan and this Agreement shall constitute the entire
agreement between the parties with respect to the Option.

     17. Signature in Counterparts. This Agreement may be signed in counterparts, each of
which shall be an original, with the same effect as if the signatures thereto and hereto were upon
the same instrument.

[signature page follows]

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

	 	 	 	 	 
	 	MCJUNKIN RED MAN HOLDING CORPORATION

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	PVF HOLDINGS LLC (for purposes of Section 15 only)

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	PARTICIPANT

 	 
	 	By:  	 	 
	 	 	Name:exv10w10w1

Exhibit 10.10.1

EMPLOYMENT AGREEMENT

          EMPLOYMENT AGREEMENT, dated as of September 10, 2009 (this “Agreement”), by and
between Transmark Fcx Limited, a company incorporated in England (Company Registration Number
03471259) (the “Employer”), and Neil Philip Wagstaff (the “Executive”) (each of the
Employer and the Executive a “Party” and, collectively, the “Parties”).

          WHEREAS, pursuant to the Stock Purchase Agreement, dated as of September 10, 2009 (the
“Stock Purchase Agreement”), by and among Transmark FCX Group B.V., Buyer (as defined in
the Stock Purchase Agreement), PVF Holdings LLC and the shareholders listed on Schedule 1 thereto,
Buyer will acquire all of the issued and outstanding capital stock of Transmark FCX Group B.V. on
the Closing Date (as defined in the Stock Purchase Agreement);

          WHEREAS, on May 1, 2000, the Employer (formerly known as Transmark Heaton Valves Limited) and
the Executive entered into a Service Agreement (the “Previous Agreement”); and

          WHEREAS, the Previous Agreement is hereby superseded by this Agreement, which reflects the
terms and conditions of the Executive’s employment with the Employer as of the Effective Date (as
defined below).

          NOW, THEREFORE, in consideration of the mutual covenants contained herein and other valid
consideration, the sufficiency of which is acknowledged, the Parties agree as follows:

	1.	 	Employment

	 	1.1.	 	Term. The Employer agrees to employ the Executive, and the Executive
agrees to be employed by the Employer pursuant to this Agreement, for a period
commencing on the Closing Date (such date, the “Effective Date”) and ending on
the earlier of (i) the fifth (5th) anniversary of the Effective Date and
(ii) the termination of the Executive’s employment in accordance with Section 3 hereof
(the “Term”).
	 
	 	1.2.	 	Duties. During the Term, and excluding any periods of vacation and
sick leave to which the Executive is entitled, the Executive shall hold the title of
Executive Vice President of McJunkin Red Man Holding Corporation, a Delaware
corporation (“Holdco”) and such other positions as an officer or director of
the Employer, PVF Holdings LLC, a Delaware limited liability company (“PVF”),
or their respective subsidiaries (the Employer, PVF and each of their subsidiaries,
shall be referred to as the “Group”) as the Executive and the Chief Executive
Officer of McJunkin Red Man Corporation, a Delaware corporation, (the “CEO”),
or such other person designated by the CEO (the “CEO’s Designee”), shall
mutually agree from time to time. From the Effective Date through December 31, 2010,
the Executive shall also retain the title of Chief Executive Office of the Employer.
The Executive shall perform such duties, functions and responsibilities commensurate
with the Executive’s positions as reasonably directed by the CEO or the CEO’s Designee.

 

 

	 	1.3.	 	Exclusivity. During the Term, the Executive shall devote his full time
and attention to the business and affairs of the Group, shall faithfully serve the
Group, and shall in all material respects conform to and comply with the lawful and
reasonable directions and instructions given to him by the CEO or the CEO’s Designee,
consistent with Section 1.2 hereof. During the Term, the Executive shall use his best
efforts to promote and serve the interests of the Group and shall not engage in any
other business activity, whether or not such activity shall be engaged in for pecuniary
profit, except that the Executive may sit on the boards of other companies with the
consent of the CEO or the CEO’s Designee, which shall not be unreasonably withheld.
	 
	 	1.4.	 	Compliance with Group Policies and Restrictions on Interests. During
the Term, the Executive (i) shall comply with Group policies in force from time to time
including those in relation to the disclosure of interests and (ii) shall not, directly
or indirectly, own, manage, operate, join, control, be employed by, or participate in
the ownership, management, operation or control of, or be connected in any manner with,
including, without limitation, holding any position as a stockholder, director,
officer, consultant, independent contractor, employee, partner, or investor in, any
Restricted Enterprise (as defined in Section 8.4); provided, that in no event shall
ownership of one percent (1%) or less of the outstanding securities of any class of any
issuer whose securities are registered under the United States Securities Exchange Act
of 1934, as amended (the “Exchange Act”), or traded on the London Stock
Exchange or any other internationally recognized stock exchange, standing alone, be
prohibited by this Section 1.4 so long as the Executive does not have, or exercise, any
rights to manage or operate the business of such issuer other than rights as a
stockholder thereof.

	2.	 	Compensation

	 	2.1.	 	Salary. As compensation for the performance of the Executive’s
services hereunder, during the Term, the Employer shall pay to the Executive a salary
at an annual rate of £212,500 (the “Base Salary”), payable in monthly
instalments on or about the last Thursday of each month. The Base Salary shall be
reviewed annually and may be adjusted upward by the Board of Directors of Holdco (the
“Board”) (or a committee thereof), in its discretion, based on competitive data
and the Executive’s performance. No increase in Base Salary shall limit or reduce any
other right or obligation to the Executive under this Agreement and the Base Salary
shall not be reduced at any time (including after any such increase).
	 
	 	2.2.	 	Annual Bonus. Beginning with the fiscal year that commences on January
1, 2010, for each completed fiscal year during the Term, the Executive shall be
eligible to receive additional cash incentive compensation pursuant to the annual bonus
plan of Holdco in effect at such time (the “Annual Bonus”). The target Annual
Bonus shall be one hundred percent (100%) of the Executive’s Base Salary as in effect
at the beginning of such fiscal year with the actual Annual Bonus to be based upon such
individual and/or Employer and/or Group performance criteria established for each such
fiscal year by the Board. In respect

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	 	 	 	of fiscal year 2009, the Executive shall be entitled to receive a bonus on the basis
determined by the Employer prior to the Effective Time and as set forth in
Exhibit A.

	 	2.3.	 	Equity. The Executive shall be granted stock options to purchase
shares of common stock of Holdco as determined by the Board from time to time, with the
terms of such stock options to be determined by the Board in its discretion.
	 
	 	2.4.	 	Employee Benefits. From the Effective Date through December 31, 2011,
the Executive shall participate in the same employee benefit plans and programs in
which he participates as of the Effective Date. Thereafter during the Term, the
Executive shall be eligible to participate in such health and other group insurance and
other employee benefit plans and programs of the Employer as in effect from time to
time on a substantially similar basis as other senior executives of Holdco.
	 
	 	2.5.	 	Vacation. During the Term, the Executive shall be entitled to paid
vacation in accordance with the Employer’s vacation policy as in effect from time to
time. Notwithstanding the foregoing, the Executive shall be entitled to all statutory
and other customary holidays in England and Wales, and to twenty five (25) days holiday
per calendar year to be taken at such times as may be approved by the CEO or the CEO’s
Designee. Such entitlement shall accrue from day to day. No more than five (5) days
of holiday to which the Executive was entitled in the previous year but which he did
not take during such previous year may be carried forward to any subsequent year
without the consent of the CEO or the CEO’s Designee. If the Executive has on the
termination of his employment hereunder, howsoever caused, any unused holiday
entitlement, he shall be entitled to payment in lieu thereof. If, on termination, he
has taken holiday in excess of such entitlement, there shall be deducted from any final
payment due to him a sum in respect of each such day taken. For the purpose of this
section, the formula for calculating any payment or repayment will be 1/260 of the
Executive’s basic annual salary for each relevant holiday day.
	 
	 	2.6.	 	Business Expenses. The Employer shall pay or reimburse the Executive
for all commercially reasonable business out-of-pocket expenses that the Executive
incurs during the Term in performing his duties under this Agreement upon presentation
of documentation and in accordance with the expense reimbursement policy of the
Employer as approved by the CEO or the CEO’s Designee and in effect from time to time.

	3.	 	Termination of Employment

	 	3.1.	 	Generally. The Employer may terminate the Executive’s employment for
any reason during the Term, and the Executive may voluntarily terminate his employment
for any reason during the Term, in each case (other than a termination by the Employer
for Cause (as defined in Section 8.1)) at any time upon not less than thirty (30) days’
notice to the other Party or in the case of notice to be given by the Employer, such
longer period as may be required to be

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	 	 	 	given under the provisions of the Employment Rights Act 1996. Upon the termination
of the Executive’s employment with the Employer for any reason, the Executive shall
be entitled to any Base Salary earned but unpaid through the date of termination,
any earned but unpaid Annual Bonus for completed fiscal years, any unreimbursed
expenses in accordance with Section 2.6 hereof and, to the extent not theretofore
paid or provided, any other amounts or benefits required to be paid or provided
under any plan, program, policy or practice or other contract or agreement of the
Employer and its affiliates through the date of termination of employment
(collectively, the “Accrued Amounts”).

	 	3.2.	 	Certain Terminations

	 	a)	 	Termination by the Employer other than for Cause or
Disability; Termination by the Executive for Good Reason. If the
Executive’s employment is terminated during the Term by the Employer other than
for Cause or Disability (as defined in Section 8.2), or by the Executive for
Good Reason (as defined in Section 8.3), the Executive shall be entitled to:
(i) the Accrued Amounts, (ii) a pro-rata bonus for the fiscal year of
termination, based on actual performance through the end of the applicable
fiscal year and the number of days that have elapsed in the fiscal year through
the date of termination (a “Pro-Rata Bonus”), (iii) payment of an
amount equal to the sum of one-twelfth (1/12) of Base Salary and one-twelfth
(1/12) of the target Annual Bonus each month for eighteen (18) months following
termination (the “Severance Payments”) and (iv) continuation of private
medical benefits on the same terms as active senior executives for eighteen
(18) months following termination (“Medical Continuation”). The
Severance Payments and Medical Continuation shall be reduced by any period of
notice given to the Executive that exceeds thirty (30) days where that
additional period of notice is served by the Executive. The Employer’s
obligations to make the Severance Payments and to provide Medical Continuation
shall be conditioned on: (i) the Executive’s continued compliance with his
obligations under Section 4 of this Agreement and (ii) the Executive’s
execution, delivery and non-revocation of a valid and enforceable general
release of claims (the “Release”) in substantially the form attached
hereto as Exhibit B. In the event that the Executive breaches any of
the covenants set forth in Section 4 of this Agreement, the Executive shall
immediately return to the Employer any portion of the Severance Payments that
have been paid to the Executive pursuant to this Section 3.2(a), and the
Medical Continuation shall immediately terminate. Subject to Section 3.2(c),
the Employer will commence payment of the Severance Payments as soon as
practicable following the effectiveness of the Release. Any Pro-Rata Bonus will
be paid at the time Holdco ordinarily pays incentive bonuses to its executives
with respect to the fiscal year in which the termination occurs.

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	 	b)	 	Termination upon Death or Disability. If the
Executive’s employment is terminated due to the Executive’s death or
Disability, the Executive (or the Executive’s estate, if applicable) will
receive (i) the Accrued Amounts, and (ii) a Pro-Rata Bonus.
	 
	 	c)	 	Exclusive Remedy. The foregoing payments upon
termination of the Executive’s employment shall constitute the exclusive
severance payments due the Executive upon a termination of his employment under
this Agreement.

	 	3.3.	 	Resignation from All Positions. Upon the termination of the
Executive’s employment with the Employer for any reason, the Executive shall be deemed
to have resigned, as of the date of such termination, from all positions he then holds
as an officer, director, employee and member of the Board (and any committee thereof)
and the board of directors (and any committee thereof) of any member of the Group or
from any officer or directorship which he holds by virtue of the employment. The
Executive shall cooperate with the Employer in effecting any removal or resignation and
shall execute any document or do anything which is necessary to give effect thereto.
By entering into this Agreement the Executive irrevocably appoints the Employer as his
attorney to act on his behalf to execute any document or do anything in his name
necessary to effect his resignation in accordance with this Section 3.3. If there is
any doubt as to whether such execution (or other thing) has been carried out within the
authority conferred by this Section 3.3 a certificate in writing (signed by any
director of the Employer) will be sufficient to prove that the act or thing falls
within that authority.
	 
	 	3.4.	 	Cooperation. Following the termination of the Executive’s employment
with the Employer for any reason, the Executive agrees to reasonably cooperate with the
Group upon reasonable request of the CEO or the CEO’s Designee and to be reasonably
available to the Group with respect to matters arising out of the Executive’s services
to the Employer and other members of the Group. The Employer shall pay the Executive a
reasonable fee for any such services and promptly reimburse the Executive for expenses
reasonably incurred in connection with such matters.

	4.	 	Unauthorized Disclosure; Non-Competition; Non-Solicitation; Interference with Business
Relationships; Proprietary Rights

	 	4.1.	 	Unauthorized Disclosure. The Executive agrees and understands that in
the Executive’s position with the Employer, the Executive will be exposed to and will
receive information relating to the confidential affairs of the Group, including,
without limitation, technical information, intellectual property, business and
marketing plans, strategies, customer information, software, other information
concerning the products, promotions, development, financing, expansion plans, business
policies and practices of the Employer and other members of the Group and other forms
of information considered by the Group to be confidential or in the nature of trade
secrets (including, without limitation, ideas, research and

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	 	 	 	development, know-how, formulas, technical data, designs, drawings, specifications,
customer and supplier lists, pricing and cost information and business and marketing
plans and proposals) (collectively, the “Confidential Information”). The
Executive agrees that at all times during the Executive’s employment with the
Employer and thereafter, the Executive shall not disclose such Confidential
Information, either directly or indirectly, to any individual, corporation,
partnership, limited liability company, association, trust or other entity or
organization, including a government or political subdivision or an agency or
instrumentality thereof (each a “Person”) other than in connection with the
Executive’s employment with the Employer without the prior written consent of the
Employer and shall not use or attempt to use any such information in any manner
other than in connection with his employment with the Employer, unless required by
law to disclose such information, in which case the Executive shall provide the
Employer with written notice of such requirement as far in advance of such
anticipated disclosure as possible. This confidentiality covenant has no temporal,
geographical or territorial restriction.

	 	 	 	No provision of this Section 4.1 shall prevent the Executive from making a protected
disclosure in accordance with the provisions of the Employment Rights Act 1996.
	 
	 	 	 	Upon termination of the Executive’s employment with the Employer, the Executive
shall promptly supply to the Employer all property, keys, notes, memoranda,
writings, lists, files, reports, customer lists, correspondence, tapes, disks,
cards, surveys, maps, logs, machines, technical data and any other tangible product
or document which has been produced by, received by or otherwise submitted to the
Executive during the Executive’s employment with the Employer, and any copies
thereof in his (or capable of being reduced to his) possession; provided, however,
that the Executive may retain his full rolodex or similar address and telephone
directories.
	 
	 	4.2.	 	Non-Competition. By and in consideration of the Employer entering into
this Agreement and the payments made and the benefits provided hereunder, and in
further consideration of the Executive’s exposure to the Confidential Information of
the Employer and other members of the Group, the Executive agrees that the Executive
shall not for eighteen (18) months after termination of his employment (the
“Restriction Period”), directly or indirectly, own, manage, operate, join,
control, be employed by, or participate in the ownership, management, operation or
control of, or be connected in any manner with, including, without limitation, holding
any position as a stockholder, director, officer, consultant, independent contractor,
employee, partner, or investor in, any Restricted Enterprise (as defined in Section
8.5); provided, that in no event shall ownership of one percent (1%) or less of the
outstanding securities of any class of any issuer whose securities are registered under
the Exchange Act or traded on the London Stock Exchange or any other internationally
recognized stock exchange, standing alone, be prohibited by this Section 4.2, so long
as the Executive does not have, or exercise, any rights to manage or operate the
business of such issuer other than rights as a stockholder

6

 

	 	 	 	thereof. During the Restriction Period, upon request of the Employer, the Executive
shall notify the Employer of the Executive’s then-current employment status.

	 	4.3.	 	Non-Solicitation of Employees. During the Restriction Period, the
Executive shall not directly or indirectly contact, induce or solicit (or assist any
Person to contact, induce or solicit) for employment any person who is, or within
twelve (12) months prior to the date of such solicitation was, an employee or
consultant of the Employer or any other member of the Group where such employee or
consultant was a person who immediately prior to the end of the Executive’s employment
(the “Termination Date”) or in the six (6) months prior thereto reported
directly to the Executive or to a person who reported directly to the Executive or with
whom the Executive worked closely at any time during the period of six (6) months prior
to the Termination Date.
	 
	 	4.4.	 	Interference with Business Relationships. During the Restriction
Period the Executive shall not directly or indirectly contact, induce or solicit (or
assist any Person to contact, induce or solicit) any customer or client of the Employer
or any other member of the Group, in respect of whom the Executive had access to
confidential information or with whose custom or business the Executive or employees
reporting to him were personally concerned, to terminate its relationship or otherwise
cease doing business in whole or in part with the Employer or its subsidiaries or
affiliates, or directly or indirectly interfere with (or assist any Person to interfere
with) any material relationship between the Employer or any other member of the Group
and any of its or their customers or clients so as to cause harm to the Employer or the
relevant member of the Group.
	 
	 	4.5.	 	Intellectual Property Rights.

	 	a)	 	The Executive may make or create Intellectual Property Rights
(as defined in Section 8.4) in the course of his duties performed pursuant to
the Agreement and he agrees that he has a special obligation to further the
interests of the Employer and those of other members of the Group in relation
to their business in this respect.
	 
	 	b)	 	Where the Executive makes or creates any Intellectual Property
Rights which may be of benefit to the Employer or any other member of the
Group, he shall inform the Employer in writing and such Intellectual Property
Rights shall be owned absolutely by the Employer to the extent permitted by
law. The Executive shall enter into all documents and do all things necessary
to ensure such ownership. The Executive waives all moral rights therein.
	 
	 	c)	 	Rights and obligations under this Section 4.5 will continue
after the termination of this Agreement in respect of all Intellectual Property
Rights made or obtained during the Executive’s employment with the Employer and
will be binding on the personal representatives of the Executive.

7

 

	 	d)	 	The Executive agrees that he will not by his acts or omissions
do anything which would or might prejudice the rights of the Employer under
this Section 4.5.
	 
	 	e)	 	By entering into this Agreement the Executive irrevocably
appoints the Employer to act on his behalf to execute any document and do
anything in his name for the purpose of giving the Employer (or its nominee)
the full benefit of the provisions of this Section 4.5 or the Employer’s
entitlement under statute. If there is any doubt as to whether such execution
(or other thing) has been carried out within the authority conferred by this
Section 4.5, a certificate in writing (signed by any director or the secretary
of the Employer) will be sufficient to prove that the act or thing falls within
that authority.

	 	4.6.	 	Confidentiality of Agreement. Other than with respect to information
required to be disclosed by applicable law, the Parties agree not to disclose the terms
of this Agreement to any Person; provided that the Executive may disclose this
Agreement and/or any of its terms to the Executive’s immediate family, financial
advisors and attorneys, so long as the Executive instructs every such Person to whom
the Executive makes such disclosure not to disclose the terms of this Agreement
further.
	 
	 	4.7.	 	Remedies. The Executive agrees that any breach of the terms of this
Section 4 would result in irreparable injury and damage to the Employer for which the
Employer would have no adequate remedy at law; the Executive therefore also agrees that
in the event of said breach or any threat of breach, the Employer shall be entitled to
an immediate injunction and restraining order to prevent such breach and/or threatened
breach and/or continued breach by the Executive and/or any and all Persons acting for
and/or with the Executive, without having to prove damages, in addition to any other
remedies to which the Employer may be entitled at law or in equity, including, without
limitation, the obligation of the Executive to return any Severance Payments made by
the Employer to the Executive. The terms of this Section 4.7 shall not prevent the
Employer from pursuing any other available remedies for any breach or threatened breach
hereof, including, without limitation, the recovery of damages from the Executive. The
Executive and the Employer further agree that the provisions of the covenants contained
in this Section 4 are reasonable and necessary to protect the businesses of the
Employer and its affiliates because of the Executive’s access to Confidential
Information and his material participation in the operation of such businesses.

	5.	 	Representation. The Executive and the Employer each represents and warrants that (i)
he or it is not subject to any contract, arrangement, policy or understanding, or to any
statute, governmental rule or regulation, that in any way limits his or its ability to enter
into and fully perform his or its obligations under this Agreement and (ii) he or it is not
otherwise unable to enter into and fully perform his or its obligations under this Agreement.

8

 

	6.	 	Non-Disparagement. From and after the Effective Date and following termination of
the Executive’s employment with the Employer, the Executive agrees not to make any statement
(other than statements made in connection with carrying out his responsibilities for the
Employer and its subsidiaries and affiliates) that is intended to become public, or that
should reasonably be expected to become public, and that criticizes, ridicules, disparages or
is otherwise derogatory of the Employer or any of its subsidiaries, affiliates, employees,
officers, directors or stockholders.
	 
	7.	 	Withholding and Deductions. The Employer will withhold from any amounts payable
under this Agreement such deductions as it is required to make pursuant to any applicable law
or regulation and any amount which the Executive owes to the Employer or any other member of
the Group and the Executive hereby consents to such deduction.
	 
	8.	 	Definitions. For purposes of this Agreement, the following terms shall have the
following meanings:

	 	8.1.	 	“Cause” shall mean the Executive’s (i) continuing failure, for more
than ten (10) days after the Employer’s written notice to the Executive thereof, to
perform such duties as are reasonably requested by the Employer; (ii) failure to
observe material policies generally applicable to officers or employees of the Employer
unless such failure is capable of being cured and is cured within ten (10) days of the
Executive receiving written notice of such failure; (iii) failure to cooperate with any
internal investigation of the Employer or any other member of the Group; (iv)
commission of any act of fraud, theft or financial dishonesty with respect to the
Employer or any other member of the Group or being charged with or convicted of any
arrestable criminal offence (other than an offence under road traffic legislation for
which a fine or non-custodial penalty is imposed); or (v) material violation of the
provisions of this Agreement unless such violation is capable of being cured and is
cured within ten (10) days of the Executive receiving written notice of such violation.
	 
	 	8.2.	 	“Disability” shall mean the Executive is entitled to receive long-term
disability benefits under the long-term disability plan of the Employer or its
affiliates in which Executive participates, or, if there is no such plan, the
Executive’s inability, due to physical or mental ill health, to perform the essential
functions of the Executive’s job, with or without a reasonable accommodation, for 180
days during any 365-day period irrespective of whether such days are consecutive.
	 
	 	8.3.	 	“Good Reason” shall mean (i) a material and adverse change in the
Executive’s duties or responsibilities; (ii) a reduction in the Executive’s Base Salary
or target Annual Bonus; or (iii) breach by the Employer of any material provision of
this Agreement; provided, that the Executive must give notice of termination for Good
Reason within sixty (60) days of the occurrence of the first event giving rise to Good
Reason.
	 
	 	8.4.	 	“Intellectual Property Rights” means patents, copyrights, database
rights, registered and unregistered design rights, utility models, trade marks, and any

9

 

	 	 	 	other intellectual property rights throughout the world, applications for
registration of any of the same, confidential information and knowhow, whether in
each case registered or unregistered.

	 	8.5.	 	“Restricted Enterprise” shall mean any Person that is actively engaged
in any geographic area in any business which is either (i) in competition with the
business of the Employer or any other member of the Group or (ii) proposed to be
conducted by the Employer or any other member of the Group in their respective business
plans as in effect at that time.

	9.	 	Miscellaneous.

	 	9.1.	 	Indemnification. The Employer shall indemnify the Executive to the
fullest extent provided under the Employer’s Articles of Association. The Employer and
other members of the Group shall also maintain director and officer liability insurance
in such amounts and subject to such limitations as the CEO, CEO’s Designee or Board
shall, in good faith, deem appropriate for coverage of directors and officers of the
Employer and Group.
	 
	 	9.2.	 	Amendments and Waivers. This Agreement and any of the provisions
hereof may be amended, waived (either generally or in a particular instance and either
retroactively or prospectively), modified or supplemented, in whole or in part, only by
written agreement signed by the Parties; provided, that, the observance of any
provision of this Agreement may be waived in writing by the Party that will lose the
benefit of such provision as a result of such waiver. The waiver by any Party of a
breach of any provision of this Agreement shall not operate or be construed as a
further or continuing waiver of such breach or as a waiver of any other or subsequent
breach, except as otherwise explicitly provided for in such waiver. Except as
otherwise expressly provided herein, no failure on the part of any Party to exercise,
and no delay in exercising, any right, power or remedy hereunder, or otherwise
available in respect hereof at law or in equity, shall operate as a waiver thereof, nor
shall any single or partial exercise of such right, power or remedy by such Party
preclude any other or further exercise thereof or the exercise of any other right,
power or remedy.
	 
	 	9.3.	 	Assignment; No Third-Party Beneficiaries. This Agreement, and the
Executive’s rights and obligations hereunder, may not be assigned by the Executive, and
any purported assignment by the Executive in violation hereof shall be null and void.
To the extent permitted by law, no person other than the Parties and other members of
the Group shall have the right to enforce any term of this Agreement under the
Contracts (Rights of Third Parties) Act 1999 although this does not affect any other
right or remedy of any third party which exists or is available other than under that
Act.
	 
	 	9.4.	 	UK Statutory Information. Exhibit C to this Agreement contains the
information required to be given for the purposes of the Employment Rights Act 1996.

10

 

	 	9.5.	 	Data Protection Act 1998. For the purposes of the Data Protection Act
1998 (the “DPA”) the Executive gives his consent to the holding, processing and
disclosure of personal data (including sensitive data within the meaning of the DPA)
provided by the Executive to the Employer and Group for all purposes relating to the
performance of this Agreement including, but not limited to:

	 	a)	 	administering and maintaining personnel records;
	 
	 	b)	 	administering and maintaining personnel records;
	 
	 	c)	 	paying and reviewing salary and other remuneration and
benefits;
	 
	 	d)	 	providing and administering benefits (including if relevant,
pension, life assurance, permanent health insurance and medical insurance);
	 
	 	e)	 	undertaking performance appraisals and reviews;
	 
	 	f)	 	maintaining sickness and other absence records;
	 
	 	g)	 	taking decisions as to the Executive’s fitness for work;
	 
	 	h)	 	providing references and information to future employers, and
if necessary, governmental and quasi-governmental bodies for social security
and other purposes, the Inland Revenue and the Contributions Agency;
	 
	 	i)	 	providing information to future purchasers of the Employer or
of the business in which the Executive works; and
	 
	 	j)	 	transferring information concerning the Executive to a country
or territory outside the European Economic Area.

	 	 	 	The Executive will comply with the Employer’s policies on data protection matters.
	 
	 	9.6.	 	Notices. Unless otherwise provided herein, all notices, requests,
demands, claims and other communications provided for under the terms of this Agreement
shall be in writing. Any notice, request, demand, claim or other communication
hereunder shall be sent by (i) personal delivery (including receipted courier service)
or overnight delivery service, (ii) facsimile during normal business hours, with
confirmation of receipt, to the number indicated, (iii) reputable commercial overnight
delivery service courier or (iv) registered or certified mail, return receipt
requested, postage prepaid and addressed to the intended recipient as set forth below:

	 	 	 

	If to the Employer:

	 	Transmark Fcx Limited
	 

	 	Heaton House
	 

	 	Riverside Drive
	 

	 	Cleckheaton
	 

	 	West Yorkshire BD19 4DH

11

 

	 	 	 

	copy to:

	 	McJunkin Red Man Holding Corporation
	 

	 	8023 E. 63rd Place
	 

	 	Tulsa, OK 74133
	 

	 	Attention: General Counsel
	 

	 	Facsimile: 001 866-815-5063
	 
	 	 
	 
	 	 
	 

	 	          and
	 
	 	 
	 
	 	 
	 

	 	Fried, Frank, Harris, Shriver & Jacobson LLP
	 

	 	One New York Plaza
	 

	 	New York, NY 10004
	 

	 	Attention: Robert C. Schwenkel, Esq.
	 

	 	Facsimile: 001 212-859-4000
	 
	 	 
	 
	 	 
	 
	 	 
	If to the Executive:

	 	at his principal office at the Employer
	 

	 	(during the Term), and at all times to his
	 

	 	principal residence as reflected in the records
	 

	 	of the Employer.

	 	 	 	All such notices, requests, consents and other communications shall be deemed to
have been given when received. Either Party may change its facsimile number or its
address to which notices, requests, demands, claims and other communications
hereunder are to be delivered by giving the other Party notice in the manner then
set forth.
	 
	 	9.7.	 	Governing Law. This Agreement shall be construed and enforced in
accordance with, and the rights and obligations of the Parties shall be governed by,
the laws of England.
	 
	 	9.8.	 	Power of Attorney. The Executive hereby appoints the Employer to act as
his attorney with authority in his name and on his behalf to execute any deed or
instrument and generally to use his name for the purposes set out in Sections 3.3 and
4.5. The Executive hereby declares that this power of attorney is given to secure his
obligations under Sections 3.3 and 4.5 of this Agreement and shall be irrevocable in
accordance with Section 4 of the Powers of Attorney Act 1971.
	 
	 	9.9.	 	Severability. Whenever possible, each provision or portion of any
provision of this Agreement, including those contained in Section 4 hereof, will be
interpreted in such manner as to be effective and valid under applicable law but the
invalidity or unenforceability of any provision or portion of any provision of this
Agreement in any jurisdiction shall not affect the validity or enforceability of the
remainder of this Agreement in that jurisdiction or the validity or enforceability of
this

12

 

	 	 	 	Agreement, including that provision or portion of any provision, in any other
jurisdiction. In addition, should a court or arbitrator determine that any
provision or portion of any provision of this Agreement, including those contained
in Section 4 hereof, is not reasonable or valid, either in period of time,
geographical area, or otherwise, the Parties agree that such provision should be
interpreted and enforced to the maximum extent which such court or arbitrator deems
reasonable or valid.

	 	9.10.	 	Entire Agreement. From and after the Effective Date this Agreement
shall constitute the entire agreement between the Parties, and supersede all prior
representations, agreements and understandings (including any prior course of
dealings), both written and oral, between the Parties with respect to the subject
matter hereof.
	 
	 	9.11.	 	Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall be deemed an original, but all such counterparts
shall together constitute one and the same instrument.
	 
	 	9.12.	 	Binding Effect. This Agreement shall inure to the benefit of, and be
binding on, the successors of each of the Parties, including, without limitation, the
Executive’s heirs and the personal representatives of the Executive’s estate and any
successor to all or substantially all of the business and/or assets of the Employer.
	 
	 	9.13.	 	General Interpretive Principles. The name assigned this Agreement and
headings of the sections, paragraphs, subparagraphs, clauses and subclauses of this
Agreement are for convenience of reference only and shall not in any way affect the
meaning or interpretation of any of the provisions hereof. Words of inclusion shall
not be construed as terms of limitation herein, so that references to “include,”
“includes” and “including” shall not be limiting and shall be regarded as references to
non-exclusive and non-characterizing illustrations.
	 
	 	9.14.	 	Mitigation. Notwithstanding any other provision of this Agreement,
(i) the Executive will have no obligation to mitigate damages for any breach or
termination of this Agreement by the Employer, whether by seeking employment or
otherwise and (ii) the amount of any payment or benefit due the Executive after the
date of such breach or termination will not be reduced or offset by any payment or
benefit that the Executive may receive from any other source.

[signature page follows]

13

 

          IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written
above.

	 	 	 	 	 	 	 	 	 	 	 

	 	 	TRANSMARK FCX LIMITED	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	By:	 	/s/ G.P. Krans	 	 
	 	 	 	 	 	 	 
	 	 	 	 	Name: G.P. Krans	 	 
	 	 	 	 	Title: Authorized Representative	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	Executed as a Deed	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	EXECUTIVE	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	/s/ Neil Philip Wagstaff	 	 
	 	 	 	 	 
	 	 	Neil Philip Wagstaff	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	in the presence of	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	/s/ W.A. Harrison	 	 
	 	 	 	 	 
	 	 	Witness signature	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	Name:	W.A. Harrison	 	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	Occupation:	 	Solicitor

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