Document:

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                                                                   Exhibit 10.16

                KEY EMPLOYEE EMPLOYMENT AGREEMENT

        THIS KEY EMPLOYEE EMPLOYMENT AGREEMENT ("Agreement") executed as of the
21st Day of June, 1999, by and between ADVANCED SWITCHING COMMUNICATIONS, INC.,
a Delaware corporation ("Employer") and Harry J. D'Andrea ("Employee"), an
individual resident of Potomac, Maryland.

                             W I T N E S S E T H:

     WHEREAS, the Employee is the Chief Financial Officer and Employer and
Employee shall each benefit in a significant way if the Employer retains or
continues to retain the services of Employee for the future and accordingly the
parties hereto have determined it to be in their mutual best interest to enter
into this Employment Agreement; and

     NOW, THEREFORE, in consideration of the covenants and conditions
hereinafter stated, and intending to be legally bound, the parties hereto agree
as follows:

        1.      EMPLOYMENT: Employer hereby employs Employee and Employee hereby
accepts employment upon the terms and conditions set forth herein.

        2.      TERM: Subject to the provisions for termination as hereinafter
provided, the term of this Agreement shall begin on the date set forth above and
shall continue for a period of three (3) years unless sooner terminated as
herein provided.

        3.      COMPENSATION:

        a.      BASE SALARY: For services rendered by Employee under this
Agreement, the Employer shall pay to the Employee base salary at the rate of
$150,000.00 per year, payable in semi monthly installments or more frequently
according to the policies of the Employer. Said salary is subject to annual
adjustments as approved by the Board of Directors of Employer, or the Chief
Executive Officer of Employer.

        b.      BONUSES: Employee shall receive such bonuses as may be
determined by the Board of Directors of Employer or the Chief Executive Officer
of Employer.

        c.      EXPENSES: In addition to base salary and bonuses, Employer shall
reimburse Employee for all necessary business expenses incurred by him in the
performance of his duties, including, without limitation, expenses for travel,
meals, entertainment and other miscellaneous business expenses. Employee shall
submit to Employer written itemized expense accountings and

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such additional substantiation and justification as Employer may reasonably
request.

        d.      OTHER EMPLOYEE BENEFITS. Employee shall be provided with such
other benefits as are made available to other Employees of the Employer,
including but not limited to, medical and permanent disability insurance.

        4.      DUTIES; EXTENT OF SERVICES: Employee is engaged for the purpose
of (i) performing services Chief Financial Officer, and shall train the
Employer's other employees (as applicable). Employee shall have such other
duties as shall be assigned by the board of directors or Chief Executive Officer
of Employer. Employee shall devote full time and attention, and best efforts, to
the performance of the duties described hereunder. Key Employee acknowledges
that the discharge of the duties of Employee may require Employee to work, from
time to time, at reasonable hours on weekends or evenings and accordingly
Employee agrees not to undertake any part time work responsibilities without the
prior written approval of Employer and Employee agrees that this is a reasonable
restriction.

        5.      WORKING FACILITIES: The Employee shall be furnished with
appropriate working facilities and tools necessary for the proper performance of
his duties.

        6.      SPECIAL COVENANTS REGARDING WORK PRODUCT AND INTELLECTUAL
PROPERTY.

     a. In consideration of the salary or wages received by Employee and as a
condition upon, and part of the consideration for, the employment or continued
employment of Employee, but without limitation upon Employer's right to
terminate the Employee's employment, Employee hereby assigns and transfers to
Employer, and agrees that Employer shall be the owner of all inventions,
discoveries, drawings, computer software, algorithms, improvements and devices
heretofore or hereafter conceived, including intellectual property rights such
as patents and copyrights (hereinafter referred to as "work product") developed
or made by Employee, either alone or with others, in whole or in part during
Employee's employment by Employer, which are useful in, or directly or
indirectly related to Employer's business or which relate to, or are conceived,
developed or made in the course of, Employee's employment or which are developed
or made from, or by reason of knowledge gained from, such employment. Employer
shall have the right to use work product as described hereinabove, whether
original or derivative, in any manner whatsoever, and Employee acknowledges that
all work product described hereinabove shall be considered as "work made for
hire"

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belonging to the Employer.

     b. Employee hereby agrees to disclose promptly and in writing to any
officers or representatives designated by Employer all work product heretofore
or hereafter conceived or made by Employee alone or with others during
Employee's employment to which Employer is entitled as above provided and agrees
not to disclose such work product except as required by his employment, without
the express consent of the Employer. Employee further agrees that during his
employment by Employer and at any time thereafter, he will, upon the request of
Employer, execute proper assignments to Employer of any and all such work
product to which Employer is entitled as above provided, and will execute all
papers and perform all other lawful acts which Employer may deem necessary or
advisable for the preparation, prosecution, procurement and maintenance of
trademark, copyright and/or patent applications and trademarks, copyrights
and/or patents of the United States of America and foreign countries for such
work product to which Employer is entitled as above provided, and will execute
any and all proper documents as shall be required or necessary to vest title in
Employer to such work product and all trademark, copyright, and patent
applications and trademarks, copyrights and patents pertaining thereto. It is
understood that all expenses in connection with such trademarks, copyrights, and
patents and all applications related thereto shall be borne by Employer, but
Employer shall be under no obligation to protect by trademark, copyright,
patent, or otherwise any such work product except at its own discretion and to
such extent as Employer shall deem desirable. Employee shall not be entitled to
any additional compensation, other than his regular salary or wages and his
participation in an employee benefit plan, if any, of the Employer, for any
services rendered by Employee as herein provided during the term of his
employment. Employee shall be entitled to reimbursement for reasonable expenses
incurred in connection with employment hereunder, provided, however, that any
expense in excess of $100.00 shall be subject to the prior written consent of
the board of directors.

     c. Notwithstanding the foregoing, the provisions of this agreement do not
apply to an invention for which no equipment, supplies, facility, or trade
secret information of the Employer was used and which was developed entirely on
the Employee's own time, unless (a) the invention is useful in, or directly or
indirectly related to (i) Employer's business or relates to, or is conceived,
developed or made in the course of, Employee's employment or is developed or
made from, or by reason of knowledge gained from, such employment, or (ii) to
the Employer's actual or demonstrably anticipated research or development, or
(b) the invention or rendering results from any work performed by the Employee
for the Employer.

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        7.      RESTRICTIVE COVENANTS/PROTECTION OF PROPRIETARY INFORMATION:

     a. The parties hereto recognize that Employee's knowledge and skill are a
material factor in inducing the Employer to enter into this Agreement. Further,
in the course of his employment, and because of the nature of his
responsibilities, Employee will acquire valuable and confidential information
and trade secrets with regard to the Employer's business operation, including,
but not limited to, Employer's existing and contemplated services and products,
documentation, technical data, business and financial methods and practices,
plans, pricing, lists of Employer's customers and prospective customers, methods
of obtaining customers, financial and operational data of Employer's present and
prospective customers, and the particular business requirements of the
Employer's present and prospective customers. In addition, Employee may develop
on behalf of the Employer, a personal acquaintance with some of the Employer's
customers and prospective customers. As a consequence, Employee will occupy a
position of trust and confidence with respect to the Employer's affairs and its
services. In view of the foregoing, and in consideration of the remuneration
paid and to be paid to the Employee, Employee agrees that it is reasonable and
necessary for the protection of the good will and business of the Employer that
the Employee make the covenants contained in subparagraphs b., c., and d. below
regarding the conduct of Employee during and after his employment relationship
with the Employer, and that the Employer will suffer irreparable injury if
Employee engages in conduct prohibited thereby.

     b. Employee covenants and agrees that for a period of twenty four (24)
months from the termination of his employment for any reason whatsoever, or the
from the expiration of the term, (the "Non-Compete Period"), he will not
directly or indirectly, as principal, agent, owner, joint venturer, investor,
employee, or consultant, develop software or related hardware, or assist others
to develop software or related hardware, which is in competition with the
Employer, with functionality similar to the functionality of any software
product(s) developed or under development by Employer, anywhere in the world
(the "Non-Compete Zone"). "Develop software products or related hardware" shall
mean design, create, general or detailed functional or technical specifications
for, create or write code for, enhance, debug or otherwise modify code for, or
otherwise participate in the creation or modification of software product(s) or
hardware related thereto. Employee agrees that the Employer is engaged in the
development of certain internet technology which is capable of application on a
worldwide basis and, accordingly, the above restriction is reasonable and will
not prohibit Employee from obtaining employment at the date of termination of
this Agreement.

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     c. Employee further covenants and agrees that during the Non-Compete
Period, he shall not, directly or indirectly, (i) induce or attempt to induce,
or aid others in inducing, an employee of Employer or its affiliates to leave
the employ of Employer or its affiliates, or in any way interfere with the
relationship between Employer or its affiliates and an employee thereof, or (ii)
in any way interfere with the relationship between Employer or its affiliates
and any customer, supplier, licensee or other business relation of Employer or
its affiliates.

     d. Employee agrees that any and all of the Employer's confidential and
proprietary information, which includes the matters contained above, including
all intellectual property rights therein, shall be and shall remain the sole and
exclusive property of the Employer. While in the employ of the Employer, or at
any time thereafter, Employee will not, without the express written consent of
the Employer, directly or indirectly, communicate or divulge to or use for the
benefit of himself or any other person, firm, association or corporation, any of
the Employer's trade secrets or confidential information, including, by way of
illustration, the matters contained in subparagraph a. above, or which were
communicated to or otherwise learned of or acquired by Employee in the course of
his employment with the Employer, except that Employee may disclose such matters
to the extent that disclosure is required, (i) in the course of his employment
with Employer or (ii) by a court or governmental agency of competent
jurisdiction without proof of specific damages. Employee will not use such trade
secrets or confidential information in any way or in any capacity other than as
an employee of the Employer and to further the interest of the Employer.

        8.      VACATION: Employee shall be entitled to receive such paid
vacation during each year of this Agreement, while employed full time as the
Employer shall approve from time to time. Vacation shall be taken at such time
or times as will not unreasonably hinder or interfere with Employee's
representation of the Employer's customers or the business or operations of
Employer.

        9.      DISABILITY: Employee's disability and/or sick leave shall be
covered by the usual and customary policies and procedures of the Employer.

        10.     TERMINATION:

        a.      WITH CAUSE: Employer may, at any time, terminate this Agreement
with cause, with no further obligations to

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Employee. With cause shall include:

     i. The Employee's conviction of, or plea of guilty or nolo contendere to, a
felony or a crime of falsehood or involving moral turpitude, or fraud or other
act or acts of dishonesty on the Employee's part;

     ii. The failure of Employee to perform his duties to the Employer or the
failure of Employee to comply with the reasonable directions of the board of
directors or Chief Executive Officer of Employer;

     iii. The determination of the Board of directors in the exercise of its
reasonable judgement that the Employee has committed an act that negatively
affects the Employer's business or reputation or indicates alcohol or drug abuse
by Employee that adversely affects his performance hereunder;

     iv. Direct or indirect competition with the Employer; and/or

     v. A material breach by Employee of the terms of this Agreement or that
certain Key Employee Stock Purchase Agreement between Employer and Employee.

     If the Employee's Employment is terminated with cause, Employee shall be
entitled to receive accrued Base Salary.

        b.      WITHOUT CAUSE: Without cause, the Employee may terminate this
Agreement upon two (2) weeks written notice to the Employer. In such event,
Employee shall continue to render his services up to the date of termination.
Without cause, the Employer may terminate this agreement at any time with two
(2) weeks written notice to Employee upon the consent of the Board of Directors.
Termination without cause by Employee shall mean the voluntary termination of
the Agreement by Employee. In such event, Employee, if requested by the
Employer, shall continue to render his services and shall be paid his regular
compensation, including any declared but unpaid bonuses, up to the date of
termination.

        11.     WARRANTIES OF EMPLOYEE: As a material consideration in the
employment of Employee, Employee hereby confirms representations previously made
to Employer that he or she is free to enter into this employment arrangement
with Employer and hereby warrants that the obligations contained herein do not
conflict with any other agreement with any previous employer or independent
contracting party.

        12.     REMEDIES:

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        (a)     In the event of a breach or threatened breach of this Agreement
by Employee, Employer shall be entitled, in addition to all other remedies
otherwise available to Employer, to an injunction, enjoining and restraining
such breach or threatened or intended breach, and the Employee hereby consents
to the issuance thereof forthwith in any court of competent jurisdiction without
proof of specific damages.

        (b)     In the event that either party shall enforce any part of this
Agreement through legal proceedings and the other shall have been in default
hereof, such defaulting party agrees to pay to nondefaulting party any costs and
attorneys' fees reasonably incurred in connection therewith.

        13.     CUMULATIVE RIGHTS: All of the rights and remedies of the parties
hereto shall be cumulative with, and in addition to, any other rights, remedies
or causes of action allowed by law and shall not exclude any other rights or
remedies available to either of the parties hereto.

        14.     NOTICES: Any notice required or permitted to be given under this
Agreement shall be sufficient if in writing, and if sent by certified mail,
return receipt requested, to his residence in the case of the Employee, or to
the principal office in the case of the Employer.

        15.     WAIVER OF BREACH: The waiver by either party of a breach of any
provision of this Agreement by the other party shall not operate or be construed
as a waiver of any subsequent breach by such party.

        16.     GOVERNING LAW AND VENUE: The validity of this Agreement, the
construction and enforcement of its terms, and the interpretation of the rights
and duties of the parties shall be governed by the laws of the Commonwealth of
Virginia, and the venue for disputes related thereto will be the United States
District Court for the Eastern District of Virginia or the Circuit Court of
Fairfax County.

        17.     SEVERABILITY: In the event any one or more of the provisions of
this Agreement shall for any reason be held to be invalid, illegal or
unenforceable, the remaining provisions of this Agreement shall be unimpaired,
and shall continue in full force and effect.

        18.     ASSIGNMENT: The rights and obligations of the Employee under
this Agreement are not assignable. The rights and obligations of the Employer
under this Agreement inure to the benefit and shall be binding upon the
successors and assigns of the Employer.

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        19.     SURVIVAL OF PROVISIONS: The provisions of this Agreement set
forth in paragraphs 6,7 and 11 hereof, and Employee's representations and
warranties contained herein, shall survive termination of employment.

        20.     ENTIRE AGREEMENT: This instrument contains the entire agreement
of the parties with respect to employment of Employee. It may not be changed
orally, but only by agreement in writing, signed by the party against whom
enforcement of any such waiver, change, modification, extension or discharge is
sought.

        21.     ADVICE OF COUNSEL AND CONSTRUCTION. The parties acknowledge that
this Agreement was drafted by counsel to the Employer who represented its
interests and not Employee. All parties to this Agreement have been represented
by counsel or have had the opportunity to be so represented. Accordingly the
rule of construction of contract language against the drafting party is hereby
waived by all parties.

     IN WITNESS WHEREOF, the parties have executed this agreement on the day and
year first above written.

                                   EMPLOYER:
                                   ADVANCED SWITCHING COMMUNICATIONS, INC.
                                      a Delaware corporation

                                   By: /s/ ASGHAR D. MOSTATA

                                   Name:  Asghar D. Mostata
                                        ----------------------------------
                                   Title: President & CEO
                                         ---------------------------------

                                   EMPLOYEE:
                                            /s/ HARRY J. D'ANDREA
                                            ------------------------------

                                   Name:  Harry J. D'Andrea
                                        ----------------------------------

                                       8<PAGE>   1
                                                                  Exhibit 10.16A

                   KEY EMPLOYEE EMPLOYMENT AGREEMENT ADDENDUM

This ADDENDUM to the KEY EMPLOYEE EMPLOYMENT AGREEMENT (executed on June 21,
1999) ("Agreement") entered into this ______ day of February, 2001 by and
between ADVANCED SWITCHING COMMUNICATIONS, INC., a Delaware corporation
("Employer") and Harry D'Andrea ("Employee"), an individual resident of Potomac,
MD is effective as of the 31st day of December 2000.

SECTION 3 e is hereby added as follows:

STOCK OPTIONS: A new hire stock option grant of 180,000 shares of ASC's common
stock is awarded with Board approval subject to the Second 1998 Nonqualified
Stock Option Plan. The vesting period for the options is 45,000 (25%) shares on
June 21, 2000 which is the 1-year anniversary of the effective date of the
grant, 45,000 (25%) shares on June 21, 2001, 45,000 (25%) shares on June 21,
2002, and the remaining 45,000 (25%) shares on June 21, 2003 provided the
employee is employed on these dates. In case of Change of Control as described
within the Stock Option Plan, all remaining options will fully vest.

SECTION 10 b is amended as follows:

b.       WITHOUT CAUSE: Without cause, the Employee may terminate this Agreement
upon two (2) weeks written notice to the Employer. In such event, Employee shall
continue to render his services up to the date of termination. Without cause,
the Employer may terminate this agreement at any time by paying one year's base
salary. Termination without cause by Employee shall mean the voluntary
termination of the Agreement by Employee. In such event, Employee, if requested
by the Employer, shall continue to render his services and shall be paid his
regular compensation, including any declared but unpaid bonuses, up to the date
of termination.

SECTION 10 c is hereby added as follows:

c.       CONSTRUCTIVE DISMISSAL: If one of the following events occur during
Employee's employment, then Employee may resign his ASC employment as being
constructively dismissed and receive payment of one year's base salary.

                  1.       If Employee is demoted from the position of Chief
                           Financial Officer (which title may be changed)
                           without his consent.

                  2.       If Employee's duties are materially reduced or the
                           level of his job responsibilities is materially
                           reduced without his consent.

                  3.       If Employee's base salary is reduced.

The remainder of the KEY EMPLOYEE EMPLOYMENT AGREEMENT dated June 21, 1999 will
remain in full force and effect. In WITNESS WHEREOF, the parties have executed
this Agreement on the day and year first above written.

EMPLOYER:                                  EMPLOYEE:
ASC, INC.
BY:  _______________________               BY:      _____________________

Title: _____________________

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                         EXECUTIVE SEPARATION AGREEMENT

         This Executive Separation Agreement (the Agreement) is entered into
this 15th day of March, 2001, between Advanced Switching Communications, Inc.
("ASC") and Lisa Adams (the "Executive") (sometimes collectively referred to as
the "Parties").

         WHEREAS:

         A.       Executive was employed by ASC as a Sr. Vice President of Sales
and by mutual agreement, Executive's employment with ASC shall be deemed
terminated effective as of March 15, 2001 through Executive's resignation of
employment.

         B.       Company and Executive now desire to resolve all disputes,
claims or charges that may exist between them in any way relating to or arising
out of Executive's hire, employment, remuneration or termination from ASC, in
accordance with the terms and conditions set forth herein.

                                    AGREEMENT

         Now, therefore, in consideration of the mutual promises, conditions and
covenants set forth below, the parties hereto agree as follows:

1        Executive's Termination of Employment

         1.1      By virtue of ASC waiving the required two week notice period
                  for resignation of employment, Executive hereby acknowledges
                  that her employment with ASC shall be deemed terminated
                  effective as of March 15, 2001 and she is providing a
                  resignation letter simultaneously with the execution of this
                  Agreement (the Termination Date).

2        Separation Payments

         2.1      ASC shall provide Executive with separation payments equal to
                  her base pay less statutory withholdings on ASC's normal
                  payroll schedule until September 15, 2001, (the Separation
                  Payments) once this agreement is irrevocable.

         2.2      Vacation pay accrued but not taken by Executive as of the
                  Termination Date shall be paid to Executive following March
                  15, 2001.

         2.3      The Separation Payment shall be paid by check made payable to
                  Executive and shall be mailed to Executive at 6521 NW 39th
                  Terrace, Boca Raton, FL 33496 unless ASC is otherwise notified
                  in writing.

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3        Medical Insurance and Other Benefits

         3.1      Executive acknowledges that, subject to her rights under the
                  CONSOLIDATED OMNIBUS BUDGET RECONCILIATION ACT (COBRA), she
                  may continue to remain covered under ASC's medical and dental
                  insurance plans at her own expense for up to eighteen (18)
                  months. During the six month period from March 15, 2001
                  through September 15, 2001 that ASC is providing separation
                  payments as described in article 2.1 above, ASC
                  contemporaneously will underwrite the costs of Executive's
                  COBRA coverage if she elects to continue her health insurance
                  coverage under COBRA.

         3.2      As of the termination date, Executive's vested options as of
                  March 15, 2001 for 125,000 shares of company common stock
                  shall be exercisable in accordance with Exhibit A attached
                  hereto. All other options previously granted to employee shall
                  expire and terminate on the Termination Date.

         3.3      ASC is willing to reimburse you for reasonable business
                  expenses incurred by you on behalf of the company within 14
                  days after they have been submitted as long as they have been
                  submitted within 30 days of your termination date and are
                  submitted in accordance with company policy including, any
                  appropriate documentation that may reasonably be requested by
                  the company.

4        No Other Amounts Owed

         4.1      The payments and items provided for in articles 2 and 3 above
                  shall constitute the entire, maximum, and only financial or
                  other obligation of ASC to Executive under this Agreement or
                  otherwise.

         4.2      Executive expressly acknowledges and agrees that the payments
                  provided for in this Agreement are in lieu of and exceed any
                  other compensation or payments to which she may be entitled by
                  virtue of her employment with and/or termination from ASC.

5        No Admission

         5.1      Neither the payment of the above-referenced amounts, nor the
                  execution or performance of any terms of this Agreement shall
                  constitute or be construed as an admission of any liability
                  whatsoever by ASC to Executive.

6        Employment Reference and Nondisparagement

         6.1      If ASC receives any inquiries from prospective future
                  employers of Executive, ASC shall confirm only dates of
                  employment and position held.

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         6.2      ASC, through the officers named below, and Executive will not
                  orally or in writing defame, criticize or willfully disparage,
                  or in any manner undermine the reputation of the other, and in
                  the case of ASC, includes any subsidiary or affiliated
                  corporation of ASC itself, or any employee, officer or
                  director of the Company or any subsidiary or affiliate of the
                  Company, except as required by compulsion of law to truthfully
                  testify. A disparaging statement is any communication, oral or
                  written, which is intended, or would tend, to cause the
                  recipient of the communication to question the business
                  condition, quality of products and services, legal compliance,
                  integrity, competence, fairness or good character of ASC or
                  the person to whom the communication relates. The ASC officers
                  bound by this provision are Harry D'Andrea, Asghar Mostafa,
                  Larry Kraft, Robert Stewart, Jim Loehndorf, Ron Westernik,
                  Jeffrey Range, Glen Hunt, Alex Dobson, and Tom Ma.

7        Release

         7.1      For the valuable consideration set out in this Agreement, the
                  receipt and adequacy of which are hereby acknowledged, and
                  except as specifically set forth in paragraph 7.5 below:

                  7.1.1    Executive, on behalf of herself, and each of her
                           heirs, executors, administrators, successors and
                           assigns, does hereby release and forever discharge
                           ASC, and any of its parent companies, subsidiaries,
                           affiliates, divisions, predecessors, successors,
                           agents, representatives, officers, directors,
                           employees, shareholders, heirs, assigns, past and
                           present, and their attorneys, and all persons acting
                           by, through, under or in concert with them or any of
                           them (the ASC Releasees), of and from any and all
                           manner of action or actions, cause or causes of
                           action, in law or in equity for indemnity or
                           otherwise, suits, grievances, arbitrations,
                           complaints, debts, liens, contracts, agreements,
                           promises, liabilities, claims, demands, damages,
                           losses, costs, or expenses, of any nature whatsoever,
                           known or unknown, fixed or contingent (hereinafter
                           called Claims), which the Executive now has or may
                           hereafter have against the ASC Releasees, by reason
                           of any matter, cause or thing whatsoever occurring or
                           existing up to and inclusive of the Effective Date of
                           this Agreement, including but not limited to those
                           claims arising out of:

                           7.1.1.1  the contract of employment between Executive
                                    and ASC;

                           7.1.1.2  the termination of the contract of
                                    employment between Executive and ASC;

                           7.1.1.3  Executive's loss of position, status, future
                                    job opportunity, or reputation;

                           7.1.1.4  losses related to the timing of Executive's
                                    conclusion of employment or the manner in
                                    which it was effected;

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                           7.1.1.5  the loss of benefits, benefits eligibility,
                                    or benefits insurance coverage previously
                                    provided to Executive by ASC or available to
                                    Executive in connection with her employment
                                    with ASC , including but not limited to
                                    benefits, benefits eligibility or benefits
                                    insurance coverage relating to or arising
                                    from the following matters: medical fees,
                                    charges, or expenses; extended health fees,
                                    charges, or expenses; dental fees, charges,
                                    or expenses; sick pay or sick leave; life
                                    insurance (including life insurance
                                    conversion privileges); 401(k)
                                    contributions; pension contributions or
                                    benefits; short term disability; long term
                                    disability; the Stock Option Plan; and any
                                    other type of loss or damages.

         7.2      Without limiting the generality of the foregoing, the Claims
                  released herein include any Claims arising out of, based upon
                  or in any way related to:

                  7.2.1    any property, contract or tort claims, including
                           wrongful discharge, breach of employment contract,
                           breach of the covenant of good faith and fair
                           dealing, retaliation, intentional or negligent
                           infliction of emotional distress, tortious
                           interference with existing or prospective economic
                           advantage, negligence, misrepresentation, breach of
                           privacy, defamation, loss of consortium, breach of
                           fiduciary duty, violation of public policy or any
                           other common law claim of any kind;

                  7.2.2    any violation or alleged violation of Title VII of
                           the CIVIL RIGHTS ACT OF 1964, as amended, the AGE
                           DISCRIMINATION IN EMPLOYMENT ACT, as amended, the
                           OLDER WORKERS BENEFIT PROTECTION ACT OF 1990, the
                           EQUAL PAY ACT, as amended, the FAIR LABOR STANDARDS
                           ACT, the EMPLOYEE RETIREMENT INCOME SECURITY ACT, the
                           AMERICANS WITH DISABILITIES ACT, the CALIFORNIA FAIR
                           EMPLOYMENT AND HOUSING ACT, the CALIFORNIA LABOR
                           CODE, the CALIFORNIA UNEMPLOYMENT INSURANCE ACT, the
                           CALIFORNIA WORKERS COMPENSATION ACT, the CIVIL RIGHTS
                           ACT OF 1866, the CONSOLIDATED OMNIBUS BUDGET
                           RECONCILIATION ACT, CALIFORNIA LABOR CODE SECTION
                           1102.5, the CALIFORNIA FAMILY RIGHTS ACT, OR the
                           FAMILY AND MEDICAL LEAVE ACT OF 1993;

                  7.2.3    any claims for severance pay, bonus, sick leave,
                           vacation or holiday pay, life insurance, health,
                           disability or medical insurance or any other fringe
                           benefit; and

                  7.2.4    any claim relating to or arising under any other
                           local, state or federal statute or principle of
                           common law (whether in contract or in tort) governing
                           the employment of individuals, discrimination in
                           employment and/or the payment of wages or benefits.

         7.3      IN ACCORDANCE WITH THE OLDER WORKERS BENEFIT PROTECTION ACT OF
                  1990, EXECUTIVE SHOULD BE AWARE OF THE FOLLOWING:

                  7.3.1    You have the right to consult with an attorney before
                           signing this Agreement;

                  7.3.2    You have twenty-one (21) days to consider this
                           Agreement; and

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                  7.3.3    You have seven (7) days after signing this Agreement
                           to revoke this Agreement, and this Agreement shall
                           not be effective until that revocation period has
                           expired. ASC reserves the right to withdraw this
                           Agreement prior to its acceptance by you.

                  Executive agrees that if she signs this Agreement but then
                  chooses to revoke this Agreement pursuant to subparagraph
                  7..3.3 above, this Agreement and all of its terms shall
                  immediately terminate including payments thereunder.

         7.4      Executive acknowledges that she has been advised of and is
                  familiar with the provisions of the CALIFORNIA CIVIL CODE
                  SECTION 1542 which provides as follows:

                  A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR
                  DOES NOT KNOW OR SUSPECT TO EXIST IN HER FAVOR AT THE TIME OF
                  EXECUTING THE RELEASE, WHICH IF KNOWN BY HER MUST HAVE
                  MATERIALLY AFFECTED HER SETTLEMENT WITH THE DEBTOR.

                  Executive, being aware of said Code section, hereby expressly
                  waives any rights she may have thereunder, as well as under
                  any other statutes or common law principles of similar effect.

         7.5      Notwithstanding anything to the contrary set forth above, the
                  Parties expressly acknowledge and agree that the releases
                  contained in this article 7 are not intended to apply to:

                  7.5.1    the obligations and representations of the Parties
                           set forth in this Agreement;

                  7.5.2    Executive's rights, if any, to indemnity pursuant to
                           CALIFORNIA LABOR CODE 2802 and/or the CALIFORNIA
                           CORPORATIONS CODE 317.

         7.6      Executive represents and warrants that there has been and
                  there shall be no assignment or other transfer of any interest
                  in any claim that she may have against ASC Releasees, or any
                  of them.

         7.7      ASC agrees to release Executive from any and all civil claims
                  arising out of or in the course of her employment with ASC
                  with the exception of a release of claims constituting
                  criminal conduct. ASC further acknowledges that Executive's
                  only post-employment restrictions are contained within this
                  Executive Separation Agreement and that all restrictive
                  covenants and agreements not to compete previously agreed to
                  by parties (including those set forth in Section 7(b) of the
                  September 22, 2000 Employment Agreement between the parties)
                  are hereby cancelled and unenforceable.

         7.8      The Parties agree that if any of them hereafter commences,
                  joins in, or in any manner seeks relief against any of their
                  respective releases through any suit arising out of, based
                  upon, or relating to any of the Claims releases hereunder or
                  in any manner asserts against their respective Releasees, or
                  any of them, any of the claims released hereunder, then that
                  party shall pay in addition to any other damages caused
                  thereby, all attorneys' fees and costs incurred by the
                  affected Releasees in defending or otherwise responding to
                  said suit or claim.

                                       5
<PAGE>   7

8        Solicitation of Employees

         8.1      Executive shall not under any circumstances solicit any
                  employees of ASC, its subsidiaries, affiliates, divisions,
                  predecessors, successors, agents, or representatives, to leave
                  their employment for a period of twenty-four (24) months after
                  the Termination Date.

         8.2      Executive shall not:

                  8.2.1    solicit or otherwise encourage any employee or former
                           employee of ASC, it subsidiaries, affiliates,
                           divisions, predecessors, successors, agents, or
                           representatives, to file or assert any claim, charge
                           or litigation against ASC, its subsidiaries,
                           affiliates, divisions, predecessors, successors,
                           agents, or representatives, in any way relating to
                           their employment; or

                  8.2.2    voluntarily cooperate or otherwise offer assistance
                           of any kind to any employee or former employee of
                           ASC, its subsidiaries, affiliates, divisions,
                           predecessors, successors, agents, or representatives,
                           in the employees' or former employee's filing or
                           prosecution of any claim, charge or litigation
                           against ASC, its subsidiaries, affiliates, divisions,
                           predecessors, successors, agents, or representatives,
                           in any way relating to their employment, unless
                           compelled to do so by law.

9        Confidential Business Information and Tangible Property

         9.1      Executive shall hold in strictest confidence and not disclose,
                  directly or indirectly, to any person, firm or corporation,
                  without the express prior written consent of ASC, any trade
                  secrets or any confidential business information, including,
                  but not limited to, corporate planning, production,
                  distribution or marketing processes; manufacturing techniques;
                  customer lists or customer leads; marketing information or
                  procedures; development work; work in process; financial
                  statements or notes, schedules or supporting financial data;
                  or any other secret or confidential matter relating to the
                  products, sales or business of company, its subsidiaries,
                  affiliates, divisions, predecessors, successors, agents, or
                  representatives. Trade Secrets include information not
                  generally known to the public regarding ASC's engineering
                  capabilities, products, designs and prototypes in development.

         9.2      Executive agrees that within ten (10) days after the signing
                  of this Agreement she shall deliver to ASC and shall not keep
                  in her possession or deliver to anyone else, any and all
                  company credit cards, notes, memoranda, specifications,
                  financial statements, customer lists, product surveys, data,
                  documents, other material containing or disclosing any of the
                  matters referred to in paragraph 9.1 above and all other items
                  of ASC property in her possession.

         9.3      Executive acknowledges that any breach of the provisions of
                  this article 9 by her shall cause irreparable injury to ASC,
                  for which the available remedies at law shall not be adequate.
                  Accordingly, in the event of any such breach or threatened
                  breach of any provision of this article in addition to any
                  other remedy provided by law or in equity, ASC

                                       6
<PAGE>   8

                  shall be entitled to appropriate injunctive relief, in any
                  court of competent jurisdiction, restraining Executive from
                  any such actual or threatened breach of this article.
                  Executive stipulates to the entry against Executive of any
                  such temporary, preliminary or permanent injunction and agrees
                  not to resist ASC's application for such equitable relief,
                  except on the grounds that the acts or omissions alleged by
                  ASC did not violate any of the provisions of this article.

10       Confidentiality

         10.1     In addition to the confidentiality provisions of article 9,
                  Executive shall keep confidential and not disclose any of the
                  terms of this Agreement to any person whatsoever (including,
                  but not limited to, any current or former employees of ASC
                  except her attorneys, tax advisors, immediate family and
                  significant other) unless required to do so by law.

11       Miscellaneous

         11.1     This Agreement shall be governed by the law of the
                  Commonwealth of Virginia, Company's principal place of
                  business, without giving effect to Virginia's conflict of
                  laws. The parties hereto agree that the proper venue for any
                  dispute shall be the Fairfax County Circuit Court or the
                  United States District Court for the Eastern District of
                  Virginia, Alexandria Division and in the event that there is
                  no other manner of service hereby appoint the Secretary of the
                  Commonwealth of Virginia.

         11.2     This Agreement shall not be subject to attack on the ground
                  that any or all of the legal theories or factual assumptions
                  used for negotiating purposes are for any reason inaccurate or
                  inappropriate.

         11.3     This Agreement represents the sole and entire agreement among
                  the Parties and supersedes all prior agreements, negotiations,
                  and discussions between the Parties hereto and/or their
                  representatives. Any amendment to this Agreement must be in
                  writing specifically referring to this Agreement and signed by
                  duly authorized representatives of all of the Parties hereto.

         11.4     The Parties agree that the language of this Agreement shall
                  not be construed for or against any particular party.

         11.5     The provisions of this Agreement are severable. If any
                  provision is held to be invalid or unenforceable, it shall not
                  affect the validity or enforceability of any other provision.

         11.6     Executive acknowledges and agrees that (i) ASC has advised her
                  of her right to consult an attorney before signing this
                  Agreement, (ii) she has consulted an attorney to the extent
                  she deems advisable, (iii) she fully understands the
                  provisions of this Agreement and their effect, and (iv) she is
                  signing this Agreement voluntarily and free from duress.

         11.7     All monetary sums in this Agreement are in United States
                  currency.

         11.8     This Agreement may be executed in one or more counterparts,
                  each of which is deemed an original, and all of which
                  constitute one instrument.

         11.9     This Agreement shall be considered executed and delivered when
                  either:

                                       7
<PAGE>   9

                  11.9.1   an originally executed copy has been delivered to
                           each party; or

                  11.9.2   when a facsimile of the Agreement evidencing this
                           signatures of all the Parties has been transmitted by
                           facsimile to each party and each party has
                           acknowledged receipt by return facsimile.

         11.10    The Effective Date of this Agreement shall be that date which
                  is seven (7) days after the date on which Executive signs this
                  Agreement, provided that Executive has not exercised her right
                  to revoke this Agreement pursuant to subparagraph 7.3.3 above.

         Witness our signatures and seals as of the date written below.

Advanced Switching Communications,              Employee
Inc.

By:_____________________________(SEAL)              ______________________(SEAL)
Title:                                              Lisa Adams

Date:_______________________________                Date: ______________________

                                       8
<PAGE>   10
                                                                       EXHIBIT A

                     ADVANCED SWITCHING COMMUNICATIONS, INC.
                        NOTICE OF GRANT OF STOCK OPTIONS
                                    ADDENDUM

<TABLE>
<S>                                         <C>
Name of Participant:                        Lisa Adams
Address of the Participant:                 6321 NW 39th Terrace, Boca Raton, FL  33496
Non-Qualified Stock Option Grant No:        00000300
Date of Grant:                              September 25, 2000
Total Number of Shares Granted:             500,000
</TABLE>

Effective in accordance with the date your Executive Separation Agreement become
irrevocable, your stock grant No. 300, dated October 10, 2000 and referenced
above is amended such that you may exercise your vested options (125,000) at the
granted exercise price of $13.00 for up to six months after termination of your
employment on March 15, 2001. Therefore, all your unvested options will expire
upon termination of employment on March 15, 2001 and your vested options will
expire and all rights thereunder shall terminate on September 15, 2001 to the
extent they have not been exercised. All other provisions of the Advanced
Switching Communications, Inc. 2000 Stock Incentive Plan ("Plan") remain
unchanged and continue in full force and effect.

This amendment is made by the authority and with the approval of the Committee
appointed by the Board of Directors charged with administering the Plan.

By your signature and Advanced Switching Communications, Inc.'s signature by its
agent below, you agree that this option amendment and the initial option grant
are governed by the terms and conditions of Advanced Switching Communication's
2000 Stock Incentive Plan. Optionee represents that she is familiar with the
terms and conditions of the Grant Agreement and accepts the option and option
amendment subject to all the terms and conditions thereof. Optionee agrees to
accept as binding, conclusive and final all decisions or interpretations of the
Board of Directors of Advanced Switching Communications, Inc. upon any questions
arising under this agreement.

----------------------------------------------------------------

-------------------------------------------   -------------------
For Advanced Switching Communications, Inc.       Date

-----------------------------------------     -------------------
Optionee                                           Date

                                       9

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