Document:

Exhibit
      10.2

     

    SEVERANCE
      PROTECTION AGREEMENT

     

    THIS
      AGREEMENT,
      made as
      of the 1st
      day of
      May 2006, by and between the Company (as hereinafter defined) and Robert R.
      Nielsen (the “Executive”)

     

    WITNESSETH:

     

    WHEREAS,
      the
      Board
      of Directors of the Company (the “Board”)
      recognizes that the possibility of a Change in Control (as hereinafter defined)
      exists and that the threat or the occurrence of a Change in Control can result
      in significant distractions of its key management personnel because of the
      uncertainties inherent in such a situation;

     

    WHEREAS,
      the
      Board
      has determined that it is essential and in the best interest of the Company
      and
      its stockholders to retain the services of the Executive in the event of a
      threat or the occurrence of a Change in Control and to ensure his continued
      dedication and efforts in such event without undue concern for his personal
      financial and employment security; and

     

    WHEREAS,
      the
      Executive is the Executive Vice President, General Counsel and Secretary of
      the
      Company and in order to induce the Executive to remain in the employ of the
      Company, particularly in the event of a threat or the occurrence of a Change
      in
      Control, the Company desires to enter into this Agreement with the Executive
      to
      provide the Executive with certain benefits if his employment is terminated
      as a
      result of, or in connection with, a Change in Control;

     

    NOW,
      THEREFORE, in
      consideration of the respective agreements of the parties contained herein,
      it
      is hereby agreed as follows:

     

    1.  Term
      of Agreement. This
      Agreement shall be effective as of May 1, 2006, and shall continue in effect
      until December 31, 2008; provided, however, that commencing on January 1, 2009,
      and on each January 1 thereafter, the term of this Agreement shall automatically
      be extended for one year, subject however, to termination as provided in the
      last sentence of this Section 1; and provided further, however, that the term
      of
      this Agreement shall not expire prior to the later of (i) the expiration of
      36
      months after the occurrence of a Change in Control during the term of this
      Agreement, or (ii) until such time as all benefits to be provided for hereunder
      have been provided in full. Except as otherwise provided herein, this Agreement
      and the rights and obligations of each party hereunder shall terminate if the
      Executive or the Company terminates the Executive’s employment prior to the
      occurrence of a Change in Control.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      2.  Definitions.

       

      2.1.  Accrued
        Compensation.
        For
        purposes of this Agreement, “Accrued
        Compensation”
shall
        mean any and all amounts or rights earned, accrued or vested through the
        Termination Date (as hereinafter defined) but not paid as of the Termination
        Date, including (i) base salary, (ii) reimbursement for reasonable and necessary
        expenses incurred by the Executive on behalf of the Company during the period
        ending on the Termination Date, (iii) vacation pay, (iv) bonuses, incentive
        compensation (other than the Pro Rata Bonus (as hereinafter defined)), and
        such
        other benefits as may be provided in Executive’s employment agreement with the
        Company.

    

     

    2.2.  Cause. For
      purposes of this Agreement, a termination of employment is for “Cause”
if
      the
      Executive (a) has disregarded a direct, material order of the Board, the
      substance of which order is (i) a proper duty of the Executive under the terms
      of his employment agreement, (ii)
      permitted by law, and (iii) otherwise permitted by his employment agreement,
      which disregard continues after 15 days’ opportunity and failure to cure, or (b)
      has been convicted of a felony or any crime involving moral
      turpitude.

     

    2.3.  Change
      in Control. For
      purposes of this Agreement, a “Change
      in Control”
shall
      mean any of the following events:

     

    (a)  An
      acquisition (other than directly from the Company) of any voting securities
      of
      the Company (the “Voting
      Securities”)
      by any
“Person”
(as
      the
      term person is used for purposes of Section 13(d) or 14(d) of the Securities
      Exchange Act of 1934) immediately after which such Person has “Beneficial
      Ownership”
(within
      the meaning of Rule 13d-3 promulgated under the Securities Exchange Act of
      1934)
      of 20% or more of the combined voting power of the Company’s then outstanding
      Voting Securities or, in the case of Glencore International AG and its
      affiliates (collectively, “Glencore”),
      Beneficial Ownership of 50% or more of such Voting Securities; provided,
      however, that in determining whether a Change in Control has occurred, Voting
      Securities which are acquired by any Person other than Glencore in a Non-Control
      Acquisition (as hereinafter defined) shall not constitute an acquisition which
      would cause a Change in Control.
      A
      “Non-Control
      Acquisition”
shall
      mean an acquisition by (1) an employee benefit plan (or a trust forming a part
      thereof) maintained by (x) the Company or (y) any corporation or other Person
      of
      which a majority of its voting power or its equity securities or equity interest
      is owned directly or indirectly by the Company (a “Subsidiary”), (2)
      the
      Company or any Subsidiary, or (3) any Person in connection with a Non-Control
      Transaction (as hereinafter defined);

     

    (b)  The
      individuals who, as of the date hereof, are members of the Board (the
“Incumbent
      Board”),
      cease
      for any reason to constitute at least two-thirds of the Board; provided,
      however, that if the election, or nomination for election by the Company’s
      stockholders, of any new director was approved by a vote of at least two-thirds
      of the Incumbent Board, such new director shall, for purposes of this Agreement,
      be considered a member of the Incumbent Board; provided further, however, that
      no individual shall be considered a member of the Incumbent Board if such
      individual initially assumed office as a result of either an actual or
      threatened “Election
      Contest”
(as
      described in Rule 14a-11 promulgated under the Securities Exchange Act of 1934)
      or other actual or threatened solicitation of proxies or consents by or on
      behalf of a Person other than the Board (a “Proxy
      Contest”)
      including by reason of any agreement intended to avoid or settle any Election
      Contest or Proxy Contest; or

    
      
        
        

      

      
        -2-

        
          

        

      

      
        
        

      

    

     

    (c)  Approval
      by stockholders of the Company of:

     

    (1)  A
      merger,
      consolidation or reorganization involving the Company, unless

     

    
      (i)  the
        stockholders of the Company, immediately before such merger, consolidation
        or
        reorganization, own, directly or indirectly immediately following such merger,
        consolidation or reorganization, at least 70% of the combined voting power
        of
        the outstanding voting securities of the corporation resulting from such
        merger
        or consolidation or reorganization (the “Surviving
        Corporation”)
        in
        substantially the same proportion as their ownership of the Voting Securities
        immediately before such merger, consolidation or reorganization,

       

      (ii)  the
        individuals who were members of the Incumbent Board immediately prior to
        the
        execution of the agreement providing for such merger, consolidation or
        reorganization constitute at least two-thirds of the members of the board
        of
        directors of the Surviving Corporation, and

       

    

    (iii)  no
      Person
      (other than the Company, any Subsidiary, any employee benefit plan (or any
      trust
      forming a part thereof) maintained by the Company, the Surviving Corporation
      or
      any Subsidiary, or any Person who, immediately prior to such merger,
      consolidation or reorganization, had Beneficial Ownership of 15% or more of
      the
      then outstanding Voting Securities) has Beneficial Ownership of 15% or more
      of
      the combined voting power of the Surviving Corporation’s then outstanding voting
      securities (a transaction described in clauses (i) through (iii) above shall
      herein be referred to as a “Non-Control
      Transaction”);

     

    (2)  A
      complete liquidation or dissolution of the Company; or

     

    (3)  An
      agreement for the sale or other disposition of all or substantially all of
      the
      assets of the Company to any Person (other than a transfer to
      a    Subsidiary).

     

    Notwithstanding
      the foregoing, a Change in Control shall not be deemed to occur solely because
      any Person (the “Subject
      Person”)
      acquired Beneficial Ownership of more than the permitted amount of the
      outstanding Voting Securities as a result of the acquisition of Voting
      Securities by the Company which, by reducing the number of Voting Securities
      outstanding, increases the proportional number of shares Beneficially Owned
      by
      the Subject Person; provided that if a Change in Control would occur (but for
      the operation of this sentence) as a result of the acquisition of Voting
      Securities by the Company, and after such share acquisition by the Company,
      the
      Subject Person becomes the Beneficial Owner of any additional Voting Securities
      which increases the percentage of the then outstanding Voting Securities
      beneficially owned by the Subject Person, then a Change in Control shall
      occur.

    
      
        
        

      

      
        -3-

        
          

        

      

      
        
        

      

    

     

    (d)  Notwithstanding
      anything contained in this Agreement to the contrary, if the Executive’s
      employment is terminated prior to a Change in Control and the Executive
      reasonably demonstrates that such termination (i) was at the request of a third
      party who had indicated an intention or taken steps reasonably calculated to
      effect a Change in Control and who effectuates a Change in Control (a
“Third
      Party”)
      or
      (ii) otherwise occurred in connection with, or in anticipation of, a Change
      in
      Control which actually occurs, then for all purposes of this Agreement, the
      date
      of a Change in Control with respect to the Executive shall mean the date
      immediately prior to the date of such termination of the Executive’s
      employment.

     

    2.4.  Company. For
      purposes of this Agreement, the “Company”
shall
      mean Century Aluminum Company, a Delaware corporation, and shall include its
      Successors and Assigns (as hereinafter defined).
      As
      used
      in this Agreement, the term “affiliates” shall include any company controlled
      by, controlling, or under common control with, the Company.

     

    2.5.  Disability. For
      purposes of this Agreement, “Disability”
shall
      mean a physical or mental infirmity which impairs the Executive’s ability to
      substantially perform his duties with the Company for a period of 180
      consecutive days, and the Executive has not returned to his full time employment
      prior to the Termination Date as stated in the Notice of Termination (as
      hereinafter defined).

     

    2.6.  Good
      Reason.

     

    (a)  For
      purposes of this Agreement, “Good
      Reason”
shall
      mean the occurrence after a Change in Control of any of the events or conditions
      described in subsections (1) through (9) hereof:

     

    (1)  a
      change
      in the Executive’s status, title, position or responsibilities (including
      reporting responsibilities) which, in the Executive’s reasonable judgment,
      represents an adverse change from his status, title, position or
      responsibilities as in effect at any time within one year preceding the date
      of
      a Change in Control or at any time thereafter; the assignment to the Executive
      of any duties or responsibilities which, in the Executive’s reasonable judgment,
      are inconsistent with his status, title, position or responsibilities as in
      effect at any time within one year preceding the date of a Change in Control
      or
      at any time thereafter; or any removal of the Executive from or failure to
      reappoint or reelect him to any of such offices or positions, except in
      connection with the termination of his employment for Disability, Cause, as
      a
      result of his death or by the Executive other than for Good Reason;

     

    (2)  a
      reduction in the Executive’s base salary or the failure of the Company to (i)
      pay to the Executive an annual bonus in cash at least equal to the annual bonus
      paid to the Executive for the most recently completed fiscal year prior to
      the
      Change in Control, such bonus to be paid no later than the end of the third
      month of the fiscal year next following the fiscal year for which the annual
      bonus is awarded, unless the Executive shall elect to defer the receipt of
      such
      annual bonus, (ii) increase the Executive’s base salary, annual bonus and any
      other incentive compensation, including performance shares and options,
      consistent with the Company’s practice prior to the Change in Control or, if
      greater, as the same may be increased from time to time for other key executive
      officers of the Company and its affiliated companies, or (iii) pay to the
      Executive any compensation or benefits to which he is entitled within five
      days
      of the date due;

     

    
      
        
          
          

        

        
          -4-

          
            

          

        

        
          
          

        

      

    

     

    (3)  the
      Company’s requiring the Executive to be based at any place outside a 30-mile
      radius from the Company’s offices where he was based prior to the Change in
      Control, except for reasonably required travel on the Company’s business which
      is not materially greater than such travel requirements prior to the Change
      in
      Control;

     

    (4)  the
      failure by the Company to (A) continue in effect (without reduction in benefit
      level and/or reward opportunities) any material compensation or employee benefit
      plan (including, without limitation, long-term disability, medical, dental,
      life
      insurance, flexible spending account, pre-tax insurance premiums, vacation
      pay,
      pension and profit-sharing) in which the Executive was participating at any
      time
      within one year preceding the date of a Change in Control or at any time
      thereafter, unless such plans are replaced with plans that provide substantially
      equivalent compensation or benefits to the Executive, (B) provide the Executive
      with compensation and benefits, in the aggregate, at least equal (in terms
      of
      benefit levels and/or reward opportunities) to those provided for under each
      other employee benefit plan, program and practice in which the Executive was
      participating at any time within one year preceding the date of a Change in
      Control or at any time thereafter, or (C) permit the Executive to participate
      in
      any or all incentive, savings, retirement plans and benefit plans, fringe
      benefits, practices, policies and programs applicable generally to other key
      executives of the Company and its affiliated companies;

     

    (5)  the
      insolvency or the filing (by any party, including the Company) of a petition
      for
      bankruptcy of the Company, which petition is not dismissed within 60
      days;

     

    (6)  any
      material breach by the Company of any provision of this Agreement;

     

    (7)  any
      purported termination of the Executive’s employment for Cause by the Company
      which does not comply with the terms of Section 2.2;

     

    (8)  the
      disposition of all, or substantially all, of the assets of the Company;
      or

     

    (9)  the
      failure of the Company to obtain an agreement, satisfactory to the Executive,
      from any Successors and Assigns to assume and agree to perform this Agreement,
      as contemplated in Section 6 hereof.

    
      
        
        

      

      
        -5-

        
          

        

      

      
        
        

      

    

     

    (b)  Any
      event
      or condition described in Section 2.6(a) (1) through (9) above which occurs
      prior to a Change in Control but which the Executive reasonably demonstrates
      (1)
      was at the request of a Third Party, or (2) otherwise arose in connection with,
      or in anticipation of, a Change in Control which actually occurs, shall
      constitute Good Reason for purposes of this Agreement notwithstanding that
      it
      occurred prior to the Change in Control.

     

    2.7.  Highest
      Annual Bonus. For
      purposes of this Agreement, “Highest
      Annual Bonus”
shall
      mean an amount equal to the highest bonus or bonuses paid or payable to the
      Executive in any of the five most recently completed fiscal years prior to
      the
      Change in Control (or such shorter period that the Executive has been
      employed).

     

    2.8.  Highest
      Base Salary. For
      purposes of this Agreement, “Highest
      Base Salary”
shall
      mean the Executive’s annual base salary at the highest rate in effect during the
      five-year period (or such shorter period that the Executive has been employed)
      prior to the Change in Control, and shall include all amounts of his base salary
      that are deferred under the qualified and non-qualified employee benefit plans
      of the Company or any other agreement or arrangement.

     

    2.9.  Notice
      of Termination. For
      purposes of this Agreement, following a Change in Control, “Notice
      of Termination”
shall
      mean a written notice of termination from the Company of the Executive’s
      employment which indicates the specific termination provision in this Agreement
      relied upon and which sets forth in reasonable detail the facts and
      circumstances claimed to provide a basis for termination of the Executive’s
      employment under the provision so indicated.
      The
      Notice of Termination shall also specify the relevant Termination
      Date.

     

    2.10.  Pro
      Rata Bonus. For
      purposes of this Agreement, “Pro
      Rata Bonus”
shall
      mean an amount equal to the Highest Annual Bonus multiplied by a fraction,
      the
      numerator of which is the number of days elapsed in the fiscal year through
      the
      Termination Date and the denominator of which is 365.

     

    2.11.  Successors
      and Assigns. For
      purposes of this Agreement, “Successors
      and Assigns”
shall
      mean a corporation or other entity acquiring all or substantially all the assets
      and business of the Company (including this Agreement) whether by operation
      of
      law or otherwise.

     

    2.12.  Termination
      Date. For
      purposes of this Agreement, “Termination
      Date”
shall
      mean in the case of the Executive’s death, his date of death, in the case of the
      Executive’s resignation for any reason, the last day of his employment, and in
      all other cases, the date specified in the Notice of Termination; provided,
      however, that if the Executive’s employment is terminated by the Company for
      Cause or due to Disability, the date specified in the Notice of Termination
      shall be at least 30 days after the date the Notice of Termination is given
      to
      the Executive, provided, that in the case of Disability the Executive shall
      not
      have returned to the full-time performance of his duties during such period
      of
      at least 30 days.

    
      
        
        

      

      
        -6-

        
          

        

      

      
        
        

      

    

    3.  Termination
      of Employment.

     

    3.1.  If,
      during the term of this Agreement, the Executive’s employment with the Company
      shall be terminated within 36 months following a Change in Control, the
      Executive shall be entitled to the following compensation and
      benefits:

     

    (a)  If
      the
      Executive’s employment with the Company shall be terminated (1) by the Company
      for Cause or Disability, (2) by reason of the Executive’s death, or (3) by the
      Executive other than for Good Reason, the Company shall pay to the Executive
      the
      Accrued Compensation and, if such termination is other than by the Company
      for
      Cause, a Pro Rata Bonus.

     

    (b)  If
      the
      Executive’s employment with the Company shall be terminated by reason of the
      Executive’s death or disability, the Executive, or his beneficiaries or personal
      representatives, as the case may be, shall be entitled to receive the greater
      of
      those amounts described in Section 3.1(a) above or such other compensation
      and
      benefits as may be provided for in his employment and other agreements for
      termination of employment under similar circumstances.

     

    (c)  If
      the
      Executive’s employment with the Company shall be terminated for any reason other
      than as specified in Section 3.1(a), the Executive shall be entitled to the
      following:

     

    (i)  the
      Company shall pay the Executive all Accrued Compensation and a Pro Rata
      Bonus;

     

    (ii)  the
      Company shall pay the Executive as severance pay and in lieu of any further
      compensation for periods subsequent to the Termination Date, in a single payment
      an amount in cash equal to three times the sum of (A) the Highest Base Salary
      and (B) the Highest Annual Bonus, in each case calculated to include amounts
      deferred under the Company’s qualified and non-qualified plans;

     

    (iii)  for
      a
      period of 36 months after the Termination Date (the “Continuation
      Period”),
      the
      Company shall, at its expense, provide to the Executive and his dependents
      and
      beneficiaries comparable employee benefits provided (x) to the Executive at
      any
      time during the one year period prior to the Change in Control or at any time
      thereafter or (y) to other similarly situated executives who continue in the
      employ of the Company during the Continuation Period, including, but not limited
      to, long-term disability, medical, dental, life insurance, and pre-tax insurance
      premiums.

     

    
      
        
        

      

      
        -7-

        
          

        

      

      
        
        

      

    

    The
      coverage and benefits (including deductibles and costs) provided in this Section
      3.1(c)(iii) during the Continuation Period shall be no less favorable to the
      Executive and his dependents and beneficiaries than the most favorable of such
      coverage and benefits during any of the periods referred to in clauses (x)
      and
      (y) above.
      The
      Company’s obligation hereunder
      with respect to the foregoing benefits shall be limited to the extent that
      the
      Executive obtains any such benefits pursuant to a subsequent employer’s benefit
      plans, in which case the Company may reduce the coverage of any benefits it
      is
      required to provide the Executive hereunder as long as the aggregate coverage
      and benefits of the combined benefit plans is no less favorable to the Executive
      than the coverage and benefits required to be provided hereunder.
      This
      subsection (iii) shall not be interpreted so as to limit any benefits to which
      the Executive, his dependents or beneficiaries may be entitled under any of
      the
      Company’s employee benefit plans, programs or practices following the
      Executive’s termination of employment, including, without limitation, retiree
      medical and life insurance benefits;

     

    (iv)  the
      Company shall credit the Executive for pension purposes with three years of
      service beyond the Termination Date and shall pay to the Executive in a single
      payment an amount in cash equal to the excess of (A) the Recalculated Retirement
      Benefit (as provided in this Section 3.1(c)(iv)) had (w) the Executive remained
      employed by the Company for the additional three complete years of credited
      service, (x) his annual compensation during such period been equal to the
      Highest Base Salary and the Highest Annual Bonus, (y) the benefit accrual
      formulas of each retirement plan remained no less advantageous to the Executive
      than those in effect immediately preceding the date on which a Change in Control
      occurred and the Company made employer contributions to each defined
      contribution plan in which the Executive was a participant at the Termination
      Date in an amount equal to the amount of such contribution for the plan year
      immediately preceding the Termination Date, and (z) he been fully (100%) vested
      in his benefit under each retirement plan in which the Executive was a
      participant, over (B) the lump sum actuarial equivalent of the aggregate
      retirement benefit the Executive is actually entitled to receive under such
      retirement plans.
      For
      purposes of this subsection (iv), the “Recalculated
      Retirement Benefit”
shall
      mean the lump sum actuarial equivalent of the aggregate retirement benefit
      the
      Executive would have been entitled to receive under the Company’s qualified
      pension plan (the “Qualified
      Plan”).
      For
      purposes of this subsection (iv), the “actuarial equivalent” shall be determined
      in accordance with the actuarial assumptions used for the calculation of
      benefits under the Qualified Plan as applied prior to the Termination Date
      in
      accordance with such plans’ past practices; and

     

    (v)  (A)
      the
      restrictions on any outstanding incentive awards (including restricted stock
      and
      performance share units) granted to the Executive under the 1996 Stock Incentive
      Plan, as amended from time to time, or under any other incentive plan or
      arrangement shall lapse and such incentive awards shall become 100% vested
      and
      all stock options granted to the Executive shall become immediately exercisable
      and shall become 100% vested (and restrictions on any stock issued upon exercise
      of stock options shall lapse), and Section 6.B of the
      1996
      Stock Incentive Plan Implementation Guidelines notwithstanding, all performance
      shares awarded to the Executive pursuant to the Guidelines shall be valued
      at
      100% as though the Company had achieved its target for each respective Plan
      Period, and an equal number of shares of common stock shall be awarded to the
      Executive, and (B) the Executive shall have the right to require the Company
      to
      purchase, for cash, any shares of unrestricted stock or shares purchased upon
      exercise of any options or received pursuant to a performance share award at
      a
      price equal to the fair market value of such shares on the date of purchase
      by
      the Company.

    
      
        
        

      

      
        -8-

        
          

        

      

      
        
        

      

    

     

    (d)  The
      amounts provided for in Sections 3.1(a), 3.1(c)(i), 3.1(c)(ii) and 3.1(c)(iv)
      shall be paid in a single lump sum cash payment within five days after the
      Executive’s Termination Date (or earlier, if required by applicable law).
      Notwithstanding the foregoing, all payments made to the Executive shall be
      paid
      in conformance with Section 409A of the Internal Revenue Code of 1986, as
      amended (the “Code”)

     

    (e)  The
      Executive shall not be required to mitigate the amount of any payment provided
      for in this Agreement by seeking other employment or otherwise and no such
      payment shall be offset or reduced by the amount of any compensation or benefits
      provided to the Executive in any subsequent employment except as provided in
      Section 3.1(c)(iii).
      Notwithstanding
      the foregoing, the Executive agrees that during the Continuation Period, he
      shall not (i) solicit any employees of the Company to leave the Company’s employ
      to work for any company with which the Executive is employed, or (ii) employ
      any
      employee who is employed by the Company at any time during the Continuation
      Period.
      A
      breach
      of either of the foregoing covenants will result in the Executive forfeiting
      any
      further benefits to which he is entitled pursuant to Section 3.1(c)(iii),
      although the Executive shall not be required to return any payments to the
      Company that have been made to the Executive prior to the date of such
      breach.

     

    3.2.  (a)
      Except as otherwise provided in Section 3.1(b), the severance pay and benefits
      provided for in this Section 3 shall be in lieu of any other severance or
      termination pay to which the Executive may be entitled under any employment
      agreement or any Company severance or termination plan, program, practice or
      arrangement.

     

    (b)  The
      Executive’s entitlement to any other compensation benefits shall be determined
      in accordance with the Company’s employee benefit plans and other applicable
      programs, policies and practices then in effect.

     

    (c)  Notwithstanding
      anything to the contrary in this Agreement, if the Executive is terminated
      by
      the Company after the occurrence of a Change in Control and is subsequently
      rehired by the Company at any time thereafter, the Executive shall not be
      entitled to any further benefits under Section 3.1(c)(iii) of this Agreement
      although the Executive shall not be required to return any payments to the
      Company which have been made to the Executive prior to the date the Executive
      is
      rehired.

    
      
        
        

      

      
        -9-

        
          

        

      

      
        
        

      

    

    4.  Notice
      of Termination. Following
      a Change in Control, any purported termination of the Executive’s employment by
      the Company shall be communicated by Notice of Termination to the Executive.
      For
      purposes of this Agreement, no such purported termination shall be effective
      without such Notice of Termination.

     

    5.  Excise
      Tax Payments.

     

    (a)  If
      any
      payment or benefit (within the meaning of Section 280G(b)(2) of the Code) to
      the
      Executive or for his benefit paid or payable or distributed or distributable
      pursuant to the terms of this Agreement or otherwise in connection with, or
      arising out of, his employment with the Company or a change in ownership or
      effective control of the Company or of a substantial portion of its assets
      (each
      a “Payment”
and
      collectively, the “Payments”),
      would
      be subject to the excise tax imposed by Section 4999 of the Code or any interest
      or penalties are incurred by the Executive with respect to such excise tax
      (such
      excise tax, together with any such interest and penalties, are hereinafter
      collectively referred to as the “Excise
      Tax”),
      then
      the Executive will be entitled to receive an additional payment (a “Gross-Up
      Payment”),
      such
      that the net amount retained by the Executive, after deduction and/or payment
      of
      any Excise Tax on the Payments and the Gross-Up Payment and any federal, state
      and local income tax on the Gross-Up Payment (including any interest or
      penalties, other than interest and penalties imposed by reason of the
      Executive’s failure to file timely a tax return or pay taxes shown due on his
      return, imposed with respect to such taxes), shall be equal to the
      Payments.

     

    (b)  An
      initial determination as to whether a Gross-Up Payment is required pursuant
      to
      this Agreement and the amount of such Gross-Up Payment shall be made at the
      Company’s expense by an accounting firm selected by the Company and reasonably
      acceptable to the Executive which is designated as one of the four largest
      accounting firms in the United States (the “Accounting
      Firm”).
      The
      Accounting Firm shall provide its determination (the “Determination”),
      together with detailed supporting calculations and documentation to the Company
      and the Executive within five days of the Termination Date if applicable, or
      such other time as requested by the Executive (provided the Executive reasonably
      believes that any of the Payments may be subject to the Excise Tax) and if
      the
      Accounting Firm determines that no Excise Tax is payable by the Executive as
      provided in Section 5(a) above, it shall furnish the Executive with an opinion
      reasonably acceptable to the Executive to such effect. Within ten days of the
      delivery of the Determination to the Executive, the Executive shall have the
      right to dispute the Determination (the “Dispute”).
      The
      Gross-Up Payment, if any, as determined pursuant to this Paragraph 5(b) shall
      be
      paid by the Company to the Executive within five days of the receipt of the
      Accounting Firm’s determination. The existence of the Dispute shall not in any
      way affect the Executive’s right to receive the Gross-Up Payment in accordance
      with the Determination. Upon the final resolution of a Dispute, the Company
      shall promptly pay to the Executive any additional amount required by such
      resolution. If there is no Dispute, the Determination shall be binding, final
      and conclusive upon the Company and the Executive subject to the application
      of
      Section 5(c) below.

    
      
        
        

      

      
        -10-

        
          

        

      

      
        
        

      

    

    (c)  As
      a
      result of the uncertainty in the application of Sections 4999 and 280G of the
      Code, it is possible that a Gross-Up Payment (or a portion thereof) will be
      paid
      which should not have been paid (an “Excess
      Payment”)
      or a
      Gross-Up Payment (or a portion thereof) which should have been paid will not
      have been paid (an “Underpayment”).
      An
      Underpayment shall be deemed to have occurred (i) upon notice (formal or
      informal) to the Executive from any governmental taxing authority that the
      Executive’s tax liability (whether in respect of the Executive’s current taxable
      year or in respect of any prior taxable year) may be increased by reason of
      the
      imposition of the Excise Tax on a Payment or Payments with respect to which
      the
      Company has failed to make a sufficient Gross-Up Payment, (ii) upon a
      determination by a court, (iii) by reason of a determination by the Company
      (which shall include the position taken by the Company, together with its
      consolidated group, on its federal income tax return) or (iv) upon the
      resolution of the Dispute to the Executive’s satisfaction. If an Underpayment
      occurs, the Executive shall promptly notify the Company and the Company shall
      promptly, but in any event, at least five days prior to the date on which the
      applicable government taxing authority has requested payment, pay to the
      Executive an additional Gross-Up Payment equal to the amount of the Underpayment
      plus any interest and penalties (other than interest and penalties imposed
      by
      reason of the Executive’s failure to file timely a tax return or pay taxes shown
      due on the Executive’s return) imposed on the Underpayment. An Excess Payment
      shall be deemed to have occurred upon a Final Determination (as hereinafter
      defined) that the Excise Tax shall not be imposed upon a Payment or Payments
      (or
      portion thereof) with respect to which the Executive had previously received
      a
      Gross-Up Payment. A “Final
      Determination”
shall
      be deemed to have occurred when the Executive has received from the applicable
      government taxing authority a refund of taxes or other reduction in the
      Executive’s tax liability by reason of the Excess Payment and upon either (x)
      the date a determination is made by, or an agreement is entered into with, the
      applicable governmental taxing authority which finally and conclusively binds
      the Executive and such taxing authority, or if a claim is brought before a
      court
      of competent jurisdiction, the date upon which a final determination has been
      made by such court and either all appeals have been taken and finally resolved
      or the time for all appeals has expired or (y) the statute of limitations with
      respect to the Executive’s applicable tax return has expired. If an Excess
      Payment is determined to have been made, the amount of the Excess Payment shall
      be treated as a loan by the Company to the Executive and the Executive shall
      pay
      to the Company on demand (but not less than 10 days after the determination
      of
      such Excess Payment and written notice has been delivered to the Executive)
      the
      amount of the Excess Payment plus interest at an annual rate equal to the
      Applicable Federal Rate provided for in Section 1274(d) of the Code from the
      date the Gross-Up Payment (to which the Excess Payment relates) was paid to
      the
      Executive until the date of repayment to the Company.

     

    (d)  Notwithstanding
      anything contained in this Agreement to the contrary, if, according to the
      Determination, an Excise Tax will be imposed on any Payment or Payments, the
      Company shall pay to the applicable government taxing authorities as Excise
      Tax
      withholding, the amount of the Excise Tax that the Company has actually withheld
      from the Payment or Payments.

    
      
        
        

      

      
        -11-

        
          

        

      

      
        
        

      

    

     

    6.  Successors’
      Binding Agreement.

     

    (a)  This
      Agreement shall be binding upon and shall inure to the benefit of the Company,
      its Successors and Assigns and the Company shall require any Successors and
      Assigns to expressly assume and agree to perform this Agreement in the same
      manner and to the same extent that the Company would be required to perform
      it
      if no such succession or assignment had taken place.

     

    (b)  Neither
      this Agreement nor any right or interest hereunder shall be assignable or
      transferable by the Executive, his beneficiaries or legal representatives,
      except by will or by the laws of descent and distribution. This Agreement shall
      inure to the benefit of and be enforceable by the Executive’s legal personal
      representative.

     

    7.  Fees
      and Expenses. The
      Company shall pay all legal fees and related expenses (including the costs
      of
      experts, evidence and counsel) incurred by the Executive as they become due
      as a
      result of (a) the Executive’s termination of employment (including all such fees
      and expenses, if any, incurred in contesting or disputing any such termination
      of employment), and (b) the Executive seeking to obtain or enforce any right
      or
      benefit provided by this Agreement (including, but not limited to, any such
      fees
      and expenses incurred in connection with the Dispute and any other matter
      arising under Section 5, including the existence and amount of any Excess
      Payment or Underpayment and issues with respect to the Gross-Up Payment, whether
      as a result of any applicable government taxing authority proceeding, audit
      or
      otherwise, or by any other plan or arrangement maintained by the Company under
      which the Executive is or may be entitled to receive benefits); provided,
      however, that any such action by the Executive is commenced in good faith and
      for good reason; provided, however, that the circumstances set forth in clauses
      (a) and (b) (other than as a result of the Executive’s termination of employment
      under circumstances described in Section 2.3(d)) occurred on or after a Change
      in Control and that no such amounts shall be due and payable by the Company
      after December 31 of the second calendar year following the calendar year in
      which the Executive’s termination of employment occurred.

     

    8.  Notices. For
      the
      purposes of this Agreement, notices and all other communications provided for
      in
      the Agreement (including the Notice of Termination) shall be in writing and
      shall be deemed to have been duly given when personally delivered or sent by
      certified mail, return receipt requested, postage prepaid, addressed to the
      respective addresses for the parties set forth on Exhibit
      A
      hereto
      or to any other addresses as the respective parties may designate by notice
      delivered pursuant to this Section 8; provided that all notices to the Company
      shall be directed to the attention of the Board with a copy to the Secretary
      of
      the Company.
      All
      notices and communications shall be deemed to have been received on the date
      of
      delivery thereof or on the third business day after the mailing thereof, except
      that notice of change of address shall be effective only upon
      receipt.

     

    9.  Non-Exclusivity
      of Rights. Except
      as
      otherwise provided in Section 3.2(a), nothing in this Agreement shall prevent
      or
      limit the Executive’s continuing or future participation in any benefit, bonus,
      incentive or other plan or program provided by the Company
      and for which the Executive may qualify, nor shall anything herein limit or
      reduce such rights as the Executive may have under any other agreements with
      the
      Company.
      Amounts
      which are vested benefits or which the Executive is otherwise entitled to
      receive under any plan or program of the Company shall be payable in accordance
      with such plan or program, except as explicitly modified by this
      Agreement.

    
      
        
        

      

      
        -12-

        
          

        

      

      
        
        

      

    

     

    10.  Settlement
      of Claims. The
      Company’s obligation to make the payments provided for in this Agreement and
      otherwise to perform its obligations hereunder shall not be affected by any
      circumstances, including, without limitation, any set-off, counterclaim,
      recoupment, defense or other right which the Company may have against the
      Executive or others.

     

    11.  Modification,
      Waiver and Miscellaneous. No
      provision of this Agreement may be modified, waived or discharged unless such
      waiver, modification or discharge is agreed to in writing and signed by the
      Executive and the Company.
      No
      waiver
      by either party hereto at any time of any breach by the other party hereto
      of,
      or compliance with, any condition or provision of this Agreement to be performed
      by such other party shall be deemed a waiver of similar or dissimilar provisions
      or conditions at the same or at any prior or subsequent time.
      No
      agreement or representations, oral or otherwise, express or implied, with
      respect to the subject matter hereof have been made by either party which are
      not expressly set forth in this Agreement.

     

    12.  Governing
      Law and Jurisdiction. This
      Agreement shall be governed by and construed and enforced in accordance with
      the
      laws of the State of Delaware without giving effect to the conflict of laws
      principles thereof. Any claims arising under or related to this Agreement shall
      be settled by binding arbitration pursuant to the rules of the American
      Arbitration Association or such other rules as to which the parties may agree.
      The arbitration shall take place in San Francisco, California, within 30 days
      following service of notice of such dispute by one party on the other. The
      arbitration shall be conducted before a panel of three arbitrators, one to
      be
      selected by each of the parties and the third to be selected by the other two.
      The panel of arbitrators shall have no authority to order a modification or
      amendment of this Agreement. The parties agree to abide by all awards rendered
      in such proceedings. Such awards shall be final and binding on all parties,
      and
      may be filed with the clerk of one or more courts, state or federal, having
      jurisdiction over the party against whom such award is rendered or such party’s
      property as a basis of judgment and of the issuance of execution for its
      collection.

     

    13.  Severability.
       The
      provisions of this Agreement shall be deemed severable and the invalidity or
      unenforceability of any provision shall not affect the validity or
      enforceability of the other provisions hereof.

     

    14.  Entire
      Agreement. Except
      as
      otherwise provided below, this Agreement constitutes the entire agreement
      between the parties hereto and supersedes all prior agreements, if any,
      understandings and arrangements, oral or written, between the parties hereto
      with respect to the subject matter hereof.
      If
      the
      Executive and the Company have also entered into an employment agreement, and
      there is an inconsistency between the terms of this Agreement and the terms
      of
      such employment agreement, then the Agreement which provides terms most
      favorable to the Executive shall govern.

    
      
        
        

      

      
        -13-

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF, the
      Company has caused this Agreement to be executed by its duly authorized officer
      and the Executive has executed this Agreement as of the day and year first
      above
      written.

     

    
      
        	CENTURY
                ALUMINUM COMPANY	 	ROBERT
                R. NIELSEN
	 	 	 
	
                By: 

              	/s/ Logan
                W. Kruger	 	
                By: 

              	 /s/
                Robert R. Nielsen
	
                Name: 

              	LOGAN W.
                KRUGER	 	
                Name: 

              	ROBERT R.
                NIELSEN
	
                Title: 

              	PRESIDENT
                AND CHIEF
                EXECUTIVE
                OFFICER	 	
                Title: 

              	EXECUTIVE

      

    

     

    
      
        
        

      

      
        -14-

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      A

     

    If
      to the
      Company:

    at
      its
      principal executive offices

     

    If
      to the
      Executive:

     

    _________________________

     

    _________________________

     

    _________________________Employment
      Agreement

    Net
      Perceptions, Inc., with Nigel P. Ekern

    

    

    This
      Employment Agreement
      (the
      "Agreement"), dated as of January 1, 2006, is entered into between Net
      Perceptions, Inc.,
      a
      Delaware corporation (the "Company") and Nigel
      P. Ekern
      (the
      "Employee").

    

    WITNESSETH:

    

    Whereas,
      the
      Company desires to employ the Employee and to be assured of his services on
      the
      terms and conditions hereinafter set forth; and

    

    Whereas,
      the
      Employee is willing to accept such employment on such terms and
      conditions.

    

    Now,
      Therefore,
      in
      consideration of the mutual covenants and agreements set forth in this
      Agreement, the Company and the Employee hereby agree as follows:

    

    1. Employment.
      The
      Company hereby employs the Employee on the terms set forth below, and the
      Employee accepts such employment, upon the terms and subject to the conditions
      set forth in this Agreement.

    

    2. Term.
      The
      term of this Agreement shall commence as of January 1, 2006 (the "Commencement
      Date") and continue until termination by the Company or the Employee by delivery
      of written notice of termination (the date of such termination being the
      "Expiration Date"), or until otherwise terminated pursuant to the provisions
      of
      Section 10 hereof, whichever first occurs (the "Term").

    

    3. Duties.
      (a)
      During the Term of this Agreement, the Employee shall serve as the Chief
      Administrative Officer and Secretary of the Company, or in such other executive
      capacity as may be assigned to him, and shall perform all duties commensurate
      with his position and as may be assigned to him by the Executive Chairman of
      the
      Company or such other person(s) as may be designated by the Board of Directors
      of the Company. The Employee shall devote as much time as is necessary to
      perform his duties hereunder and shall use his best efforts, skills and
      abilities to promote the interests of the Company and to diligently and
      competently perform the duties of his position. The Employee’s performance shall
      be subject to annual review.

    

    (b) The
      Employee shall report to the Executive Chairman of the Company or such other
      person(s) as may be designated by the Board of Directors of the Company and
      shall at all times keep the such persons promptly and fully informed (in writing
      if so requested) of his conduct of the business or affairs of the Company,
      and
      provide such explanations of his conduct as may be required.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (c) The
      Employee’s duties shall be performed at the Corporation’s offices in Stamford,
      Connecticut. The Employee shall travel to other locations as may be necessary
      for Employee to perform his duties.

    

    4. Compensation
      and Benefits.
      (a)
      During the term of this Agreement, the Company shall pay to the Employee, and
      the Employee shall accept from the Company, as compensation for the performance
      of services under this Agreement and the Employee's observance and performance
      of all of the provisions hereof, a salary of $75,000 per year (the "Base
      Compensation"). The Employee's salary shall be payable in accordance with the
      normal payroll practices of the Company and shall be subject to withholding
      for
      applicable taxes and other amounts. In addition to the Base Compensation, the
      Employee may, in the sole and absolute discretion of the Board of Directors
      of
      the Company, be entitled to performance bonuses which may be based upon a
      variety of factors, including the Employee’s performance and the achievement of
      Company goals, all as determined in the sole and absolute discretion of the
      Board of Directors of the Company.

    

    (b) During
      the term of this Agreement, the Employee shall be entitled to participate in
      or
      benefit from, in accordance with the eligibility and other provisions thereof,
      the Company's medical insurance and other fringe benefit plans or policies
      as
      the Company may make available to, or have in effect for, its personnel with
      commensurate duties from time to time. The Company retains the right to
      terminate or alter any such plans or policies from time to time. The Employee
      shall also be entitled to four weeks paid vacation each year, sick leave and
      other similar benefits in accordance with policies of the Company from time
      to
      time in effect for personnel with commensurate duties.

    

    (c) The
      Employee shall also be entitled to participate, at the sole and absolute
      discretion of the Board of Directors of the Company, in the Company's incentive
      stock option plan. Such participation shall be based upon, among other things,
      the Employee's performance and the Company's performance. In addition, the
      Employee may be entitled, during the term of this Agreement, to receive such
      additional options, at such exercise prices and other terms, and/or to
      participate in such other bonus plans, whether during the term of this Agreement
      or upon termination pursuant to Section 10 hereof, as the Board of Directors
      of
      the Company may, in its sole and absolute discretion, determine. 

    

    5. Reimbursement
      of Business Expenses.
      During
      the term of this Agreement, upon submission of proper invoices, receipts or
      other supporting documentation satisfactory to the Company and in specific
      accordance with such guidelines as may be established from time to time by
      the
      Company’s Board of Directors, the Employee shall be reimbursed by the Company
      for all reasonable business expenses actually and necessarily incurred by the
      Employee on behalf of the Company in connection with the performance of services
      under this Agreement.

    

    6. Representation
      of Employee; Restrictions on Sale.
      (a) The
      Employee represents and warrants that he is not party to, or bound by, any
      agreement or commitment, or subject to any restriction, including but not
      limited to agreements related to previous employment containing confidentiality
      or noncompete covenants, which in the future may have a possibility of adversely
      affecting the business of the Company or the performance by the Employee of
      his
      duties under this Agreement. 

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    (b) The
      Employee further covenants and agrees that he will not sell, transfer, assign,
      pledge or otherwise dispose of any shares of capital stock or securities
      convertible into capital stock of the Company granted pursuant to any stock
      incentive or similar plan of the Company until the Expiration Date and such
      restrictions on dispositions shall apply upon a termination of this Agreement
      for cause as described in Section 10(c) hereof; provided, however, that the
      restrictions with respect to such dispositions as set forth in this sentence
      shall not apply to the Employee in the event of a termination of this Agreement
      pursuant to Sections 10(a), 10(b) or 10(d) hereof. With respect to any shares
      of
      capital stock or securities convertible into capital stock of the Company that
      are owned by Employee other than those granted to Employee pursuant to this
      Agreement, the Employee shall give to the Company's Executive Chairman or such
      other designated member of the Board of Directors of the Company five business
      days advance written notice of any intent to sell such securities. Such
      restrictions on disposition may also be waived from time to time in the sole
      and
      absolute discretion of the Company’s Board of Directors. Notwithstanding the
      foregoing, Employee shall, to the extent permitted under applicable law, rule
      or
      regulation, be permitted to transfer shares of capital stock or securities
      convertible into capital stock of the Company to his immediate family members
      or
      trusts for the benefit of his immediate family members for estate planning
      purposes; provided that any such transferees shall be subject to the
      restrictions applicable to Employee set forth herein.

    

    7. Confidentiality.
      For
      purposes of this Section 7, all references to the Company shall be deemed to
      include all of the Company's affiliates and subsidiaries.

    

    (a) Confidential
      Information.
      The
      Employee acknowledges that as a result of his employment with the Company,
      the
      Employee has and will continue to have knowledge of, and access to, proprietary
      and confidential information of the Company, including, without limitation,
      inventions, trade secrets, technical information, know-how, plans,
      specifications, methods of operations, financial and marketing information,
      information with respect to business and product development, including, without
      limitation, acquisitions and new lines of business, and the identity of
      customers and suppliers (collectively, the "Confidential Information"), and
      that
      such information, even though it may be contributed, developed or acquired
      by
      the Employee, constitutes valuable, special and unique assets of the Company
      developed at great expense which are the exclusive property of the Company.
      Accordingly, the Employee shall not, at any time, either during or subsequent
      to
      the Term of this Agreement, use (whether for personal gain or otherwise),
      reveal, report, publish, transfer or otherwise disclose to any person,
      corporation or other entity, any of the Confidential Information without the
      prior written consent of the Company, except (i) to responsible officers and
      employees of the Company and other responsible persons who are in a contractual
      or fiduciary relationship with the Company and who have a need for such
      information for purposes in the best interests of the Company, (ii) for such
      information which is or becomes of general public knowledge from authorized
      sources other than the Employee, and (iii) for such disclosure as is required
      by
      law or legal process and then only with as much prior written notice to the
      Company as is practical under the circumstances and only to the extent required
      by such law or legal process. The Employee acknowledges that the Company would
      not enter into this Agreement without the assurance that all such Confidential
      Information will be used for the exclusive benefit of the Company.

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    (b) Return
      of Confidential Information.
      Upon
      the termination of Employee's employment with the Company, the Employee shall
      promptly deliver to the Company all drawings, manuals, letters, notes,
      notebooks, reports and copies thereof and all other materials relating to the
      Company's business, including without limitation any materials incorporating
      Confidential Information, which are in the Employee's possession or
      control.

    

    (c) Inventions,
      etc.
      The
      Employee will promptly disclose to the Company all designs, processes,
      inventions, improvements, discoveries and other information related to the
      business of the Company (collectively "developments") conceived, developed
      or
      acquired by him alone or with others during the term of this Agreement, whether
      or not conceived during regular working hours, through the use of Company time,
      material or facilities or otherwise. All such developments shall be the sole
      and
      exclusive property of the Company, and upon request the Employee shall deliver
      to the Company all drawings, models and other data and records relating to
      such
      developments. In the event any such developments shall be deemed by the Company
      to be patentable or copyrightable, the Employee shall, at the expense of the
      Company, assist the Company in obtaining any patents or copyrights thereon
      and
      execute all documents and do all other things necessary or proper to obtain
      letters patent and copyrights and to vest the Company with full title
      thereto.

    

    8. Non-competition.
      For
      purposes of this Section 8, all references to the Company shall be deemed to
      include all of the Company's affiliates and subsidiaries. The Employee will
      not
      utilize his special knowledge of the business operations of the Company and
      his
      relationships with customers, suppliers of the Company and others to compete
      with the Company. During the Term of this Agreement and for a period of two
      (2)
      years after the Expiration Date, the Employee shall not engage, directly or
      indirectly, or have an interest, directly or indirectly, anywhere in the United
      States of America or any other geographic area where the Company does business
      or in which its products or services are marketed, alone or in association
      with
      others, as principal, officer, agent, employee, director, partner or stockholder
      (except with respect to his employment by the Company), or through the
      investment of capital, lending of money or property, rendering of services
      or
      otherwise, in any business competitive with or substantially similar to that
      engaged in by the Company during the Term of this Agreement, or any line of
      business or acquisition that the Company either (i) contemplates entering
      into, whether or not actually entered into, or (ii) has obtained due
      diligence or other information on during Employee’s employment with the Company
      (it being understood hereby, that the ownership by the Employee of five percent
      (5%) or less of the stock of any company listed on a national securities
      exchange shall not be deemed a violation of this Section 8 and it being further
      understood that nothing herein shall prevent the Employee from engaging in
      the
      business of investing, reinvesting, or trading in securities or other financial
      instruments). During the same period, the Employee shall not, and shall not
      permit any of his employees, agents or others under his control to, directly
      or
      indirectly, on behalf of himself or any other person, (i) call upon, accept
      competitive business from, or solicit the competitive business of any person
      who
      is, or who had been at any time during the preceding two (2) years, a customer
      of the Company or any successor to the business of the Company, or otherwise
      divert or attempt to divert any business from the Company or any such successor,
      or (ii) directly or indirectly recruit or otherwise solicit or induce any
      person who is an employee of, or otherwise engaged by, the Company or any
      successor to the business of the Company to terminate his or her employment
      or
      other relationship with the Company or such successor, or hire any person who
      has left the employ of the Company or any such successor during the preceding
      two (2) years. The Employee shall not at any time, directly or indirectly,
      use
      or purport to authorize any person to use any name, mark, logo, trade dress
      or
      other identifying words or images which are the same as or similar to those
      used
      at any time by the Company in connection with any product or service, whether
      or
      not such use would be in a business competitive with that of the Company. Any
      breach or violation by the Employee of the provisions of this Section 8 shall
      toll the running of any time periods set forth in this Section 8 for the
      duration of any such breach or violation.

    

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    9. Remedies.
      The
      restrictions set forth in Sections 7 and 8 are considered by the parties to
      be
      fair and reasonable. The Employee acknowledges that the restrictions contained
      in Section 7 and 8 will not prevent him from earning a livelihood. The Employee
      further acknowledges that the Company would be irreparably harmed and that
      monetary damages would not provide an adequate remedy in the event of a breach
      of the provisions of Sections 7 or 8. Accordingly, the Employee agrees that,
      in
      addition to any other remedies available to the Company, the Company
      (i) shall be entitled to specific performance, injunction, and other
      equitable relief to secure the enforcement of such provisions and
      (ii) shall not be required to post bond in connection with seeking any such
      equitable remedies. If any provisions of Sections 7, 8, or 9 relating to the
      time period, scope of activities or geographic area of restrictions is declared
      by a court of competent jurisdiction to exceed the maximum permissible time
      period, scope of activities or geographic area, the maximum time period, scope
      of activities or geographic area, as the case may be, shall be reduced to the
      maximum which such court deems enforceable. If any provisions of Sections 7,
      8,
      or 9 other than those described in the preceding sentence are adjudicated to
      be
      invalid or unenforceable, the invalid or unenforceable provisions shall be
      deemed amended (with respect only to the jurisdiction in which adjudication
      is
      made) in such manner as to render them enforceable and to effectuate as nearly
      as possible the original intentions and agreement of the parties.

    

    10. Termination.
      This
      Agreement may be terminated prior to the expiration of the Term set forth in
      Section 2 upon the occurrence of any of the events set forth in, and subject
      to
      the terms of, this Section 10.

    

    (a) Death.
      This
      Agreement will terminate immediately and automatically upon the death of the
      Employee. If this Agreement is terminated on account of the death of the
      Employee, then the Employee's estate shall be entitled to receive accrued Base
      Compensation through the date of such termination, and the Employee and the
      Employee’s estate shall have no further entitlement to Base Compensation, bonus,
      or benefits from the Company following the effective date of such
      termination.

    

    (b) Disability.
      This
      Agreement may be terminated at the Company's option, immediately upon notice
      to
      the Employee, if the Employee shall suffer a permanent disability. For the
      purposes of this Agreement, the term "permanent disability" shall mean the
      Employee's inability to perform his duties under this Agreement for a period
      of
      sixty (60) consecutive days or for an aggregate of ninety (90) days, whether
      or
      not consecutive, in any twelve (12) month period, due to illness, accident
      or
      any other physical or mental incapacity, as reasonably determined by the Board
      of Directors of the Company. In the event that a dispute arises with respect
      to
      the disability of the Employee, the parties shall each select a physician
      licensed to practice in the State of Connecticut to make such a determination.
      If the two (2) physicians selected cannot agree on a determination, they will
      mutually select a third physician and the decision of the majority of the three
      (3) physicians will be binding. If this Agreement is terminated on account
      of
      the permanent disability of the Employee, then the Employee shall be entitled
      to
      receive accrued Base Compensation through the date of such termination, and
      the
      Employee shall have no further entitlement to Base Compensation, bonus, or
      benefits from the Company following the effective date of such
      termination.

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    (c) Cause.
      This
      Agreement may be terminated at the Company's option, immediately upon notice
      to
      the Employee, and solely with respect to clauses (i) and (iii) below, after
      the
      expiration of a 10-day cure period after written notice thereof to the Employee,
      upon: (i) breach by the Employee of any material provision of this
      Agreement; (ii) gross negligence or willful misconduct of the Employee in
      connection with the performance of his duties under this Agreement;
      (iii) Employee's failure to perform any reasonable directive of the
      Executive Chairman or the Board of Directors of the Company; (iv) fraud,
      criminal conduct, dishonesty or embezzlement by the Employee; or
      (v) Employee's misappropriation for personal use of any assets (having in
      excess of nominal value) or business opportunities of the Company. If this
      Agreement is terminated by the Company for cause, then the Employee shall be
      entitled to receive accrued Base Compensation through the date of such
      termination, and the Employee shall have no further entitlement to Base
      Compensation, bonus, or benefits from the Company following the effective date
      of such termination.

    

    (d) Without
      Cause.
      This
      Agreement may be terminated, other than upon a Change in Control, at any time
      by
      the Company without cause immediately upon giving written notice to the Employee
      of such termination. In such event, Company shall pay to the Employee his Base
      Compensation in accordance with the normal payroll practices of the Company
      through the 12-month anniversary of the date of termination.

    

    (e) Change
      in Control.
      (i)
      This Agreement may be terminated by the Company upon the effectiveness of a
      Change in Control. If this Agreement is terminated by the Company upon a Change
      in Control, then the Employee shall be entitled to receive accrued Base
      Compensation through the date of such termination, and the Employee shall have
      no further entitlement to Base Compensation, bonus, or benefits from the Company
      following the effective date of such termination.

    

    (ii) As
      used
      herein, “Change in Control” shall mean any of the following:

    

    (A) The
      date
      any entity or person other than Warren Kanders or his affiliates shall have
      become the beneficial owner of, or shall have obtained voting control over,
      fifty percent (50%) or more of the outstanding Common Stock of the Company;
      

    

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    (B) The
      date
      there shall have been a change in a majority of the Board of Directors of the
      Company within a 12-month period (not including any period prior to the
      execution of this Agreement) unless the nomination for election by the Company’s
      stockholders of each new director was approved by the vote of a majority of
      the
      directors then still in office who were in office at the beginning of the
      12-month period;

    

    (C)
       The
      date
      the Company consummates (x) a merger or consolidation of the Company with or
      into another corporation, in which the Company is not the continuing or
      surviving corporation or pursuant to which any shares of Common Stock of the
      Company would be converted into cash, securities or other property of another
      corporation, other than (i) a merger or consolidation of the Company in which
      holders of Common Stock immediately prior to such merger or consolidation have
      the same proportionate ownership of Common Stock of the surviving corporation
      immediately after such merger or consolidation as immediately before such merger
      or consolidation and (ii) a merger or consolidation of the Company in which
      holders of Common Stock immediately prior to such merger or consolidation
      continue to own at least a majority of the combined voting securities of the
      Company (or the surviving entity) outstanding immediately after such merger
      or
      consolidation, or (y) the sale or other disposition of all or substantially
      all
      of the assets of the Company.

    

    (f) By
      the
      Employee. This
      Agreement may be terminated at the Employee's option upon thirty (30) days’
notice to the Company. If this Agreement is terminated by the Employee, then
      the
      Employee shall be entitled to receive accrued Base Compensation through the
      date
      of such termination, and the Employee shall have no further entitlement to
      Base
      Compensation, bonus, or benefits from the Company following the effective date
      of such termination.

    

    (g) Other
      Actions Upon Termination.
      (i)
      Upon the termination or expiration of this Agreement, the Employee shall be
      deemed to have immediately resigned as an officer and director of the Company
      (if he then holds such offices). The Employee shall take such other actions
      and
      execute such other documents or instruments as may be required or advisable
      to
      document and confirm his resignation and ensure its effectiveness.

    

    (ii) The
      Employee shall not at any time following the termination or expiration of this
      Agreement make any public statements relating to the Company or any of its
      subsidiaries or affiliates or such entities' directors, officers or executives,
      except as required by law or legal process or in connection with litigation
      commenced to enforce the terms of this Agreement.

    

    (h) No
      Other Liabilities.
      Upon
      the termination or expiration of this Agreement, the Company shall have no
      liability except as specifically set forth in this Section 10.

    

    11. Tax
      Effect.
      If the
      compensation payable under this Agreement, either alone or together with other
      payments to the Employee from the Company or one of its subsidiaries would
      constitute a “parachute payment” (as defined in Section 280G of the Internal
      Revenue Code of 1986, as amended (the “Code”)), such severance compensation may
      be reduced to the largest amount as will result in no portion of the severance
      compensation payments hereunder being subject to the excise tax imposed by
      Section 4999 of the Code or being disallowed as deductions to the Company under
      Section 280G of the Code. The determination of whether any reduction shall
      be
      made in the severance compensation payments hereunder pursuant to the foregoing
      provision shall be made jointly by the Employee and the Company. The Employee
      shall be liable for the payment of income and excise taxes, if any, applicable
      to him on such severance compensation.

    

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    12. Miscellaneous.
      

    

    (a) Survival.
      The
      provisions of Sections 7, 8, and 9 shall survive the termination of this
      Agreement.

    

    (b) Entire
      Agreement.
      This
      Agreement sets forth the entire understanding of the parties and merges and
      supersedes any prior or contemporaneous agreements between the parties
      pertaining to the subject matter hereof.

    

    (c) Modification.
      This
      Agreement may not be modified or terminated orally, and no modification or
      waiver of any of the provisions hereof shall be binding unless in writing and
      signed by the party against whom the same is sought to be enforced.

    

    (d) Waiver.
      Failure
      of a party to enforce one or more of the provisions of this Agreement or to
      require at any time performance of any of the obligations hereof shall not
      be
      construed to be a waiver of such provisions by such party nor to in any way
      affect the validity of this Agreement or such party's right thereafter to
      enforce any provision of this Agreement, nor to preclude such party from taking
      any other action at any time which it would legally be entitled to
      take.

    

    (e) Successors
      and Assigns.
      Neither
      party shall have the right to assign this Agreement, or any rights or
      obligations hereunder, without the consent of the other party; provided,
      however, that upon the sale of all or substantially all of the assets, business
      and goodwill of the Company to another company, or upon the merger or
      consolidation of the Company with another company, this Agreement shall inure
      to
      the benefit of, and be binding upon, both Employee and the company purchasing
      such assets, business and goodwill, or surviving such merger or consolidation,
      as the case may be, in the same manner and to the same extent as though such
      other company were the Company; and provided, further, that the Company shall
      have the right to assign this Agreement to any affiliate or subsidiary of the
      Company. Subject to the foregoing, this Agreement shall inure to the benefit
      of,
      and be binding upon, the parties hereto and their legal representatives, heirs,
      successors and permitted assigns.

    

    (f) Communications.
      All
      notices, requests, demands and other communications under this Agreement shall
      be in writing and shall be deemed to have been given at the time personally
      delivered or when mailed in any United States post office enclosed in a
      registered or certified postage prepaid envelope and addressed to the addresses
      set forth below, or to such other address as any party may specify by notice
      to
      the other party; provided, however, that any notice of change of address shall
      be effective only upon receipt.

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

       

    

    
      	
              To
                the Company:

            	
              Net
                Perceptions, Inc.

            
	 	
              One
                Landmark Square

            
	 	
              Stamford,
                Connecticut 06901

            
	 	
              Attention:
                Warren B. Kanders, Executive Chairman

            
	 	 
	
              With
                a copy to:

            	
              
                Kane
                  Kessler, P.C.

              

            
	 	
              1350
                Avenue of the Americas

            
	 	
              New
                York, New York 10019

            
	 	
              Attention:
                Robert L. Lawrence, Esq.

            
	 	 
	
              To
                the Employee:

            	
              
                Nigel
                  P. Ekern

              

            
	 	
              741
                Hollow Tree Ridge Road

            
	
               

            	
              Darien,
                CT 06820

            
	 	 

    

    (g) Severability.
      If any
      provision of this Agreement is held to be invalid or unenforceable by a court
      of
      competent jurisdiction, such invalidity or unenforceability shall not affect
      the
      validity and enforceability of the other provisions of this Agreement and the
      provision held to be invalid or unenforceable shall be enforced as nearly as
      possible according to its original terms and intent to eliminate such invalidity
      or unenforceability.

    

    (h) Jurisdiction;
      Venue.
      This
      Agreement shall be subject to the exclusive jurisdiction of the courts located
      in New York County, New York. Any breach of any provisions of this Agreement
      shall be deemed to be a breach occurring in the State of New York by virtue
      of a
      failure to perform an act required to be performed in the State of New York,
      and
      the parties irrevocably and expressly agree to submit to the jurisdiction of
      the
      courts located in New York County, New York for the purpose of resolving any
      disputes among them relating to this Agreement or the transactions contemplated
      by this Agreement and waive any objections on the grounds of forum non
      conveniens or otherwise. The parties hereto agree to service of process by
      certified or registered United States mail, postage prepaid, addressed to the
      party in question.

    

    (i) Governing
      Law.
      This
      Agreement is made and executed and shall be governed by the laws of the State
      of
      New York, without regard to the conflicts of law principles
      thereof.

    

    (j) No
      Third-Party Beneficiaries.
      Each of
      the provisions of this Agreement is for the sole and exclusive benefit of the
      parties hereto and shall not be deemed for the benefit of any other person
      or
      entity.

    [Signature
      page follows:]

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    In
      Witness Whereof,
      each of
      the parties hereto has duly executed this Employment Agreement as of the date
      set forth above.

    
 

    
      	 	 Net Perceptions,
              Inc.
	 	 
	 	 
	 	
              By:   
   

            
	 	
               Warren
                B. Kanders, Executive
                Chairman

            
	 	 
	 	                                                                  
	 	 Nigel P.
              Ekern

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00103-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00103-of-00352.parquet"}]]