Document:

QuickLinks
 -- Click here to rapidly navigate through this document
  

 
 

Exhibit 10.108    
  

 
 

PERFORMANCE AND RETENTION INCENTIVE AGREEMENT    
  

        This agreement ("Agreement") is entered into effective as of August 1, 2002, by and between Thomas R. McDaniel, an individual ("TRM"), and Edison Mission
Energy, a Delaware corporation ("EME"). 

 
 

RECITALS    
  

        A.    TRM
has recently commenced duties as Chief Executive Officer of EME while continuing his responsibilities as Chief Executive Officer of Edison Capital ("EC"), and EME
recognizes that TRM has been asked to assume a highly unusual and particularly demanding role in a challenging period for both companies. 

        B.    EME
is facing critical business challenges over a multi-year period and it is in the best interest of EME to provide TRM with incentives that will encourage
his retention through that period and achievement of EME corporate goals and objectives. 

 
 

AGREEMENT    
  

        NOW, THEREFORE, in consideration of TRM's valuable services to EME and of other good and valuable consideration, the receipt of which is hereby acknowledged, the
parties hereto agree as follows: 

        1.    Purpose.
In lieu of TRM's participation in the Executive Incentive Compensation Plan during the Performance Period, this Agreement establishes a performance and retention
incentive for TRM as hereinafter described. 

        2.    Definitions.
When capitalized herein, the following terms are defined as indicated: 

        "Board"
means the Board of Directors of EME. 

        "Code"
means the Internal Revenue Code of 1986, as amended. 

        "Committee"
means the Edison International Compensation and Executive Personnel Committee. 

        "EIX"
means Edison International. 

        "EIX
Company" means a corporation 100% of the voting common stock of which is owned (directly or indirectly) by EIX. 

        "Executive
Payroll" means the payroll comprised of positions classified by EIX as being in the executive compensation bands. 

        "Performance
Period" is the three-year period commencing January 1, 2002 and ending December 31, 2004. 

        "SCE"
means Southern California Edison Company. 

        Other
capitalized terms are defined in the text below. 

        3.    Award
Eligibility. To be eligible for an incentive award under this Agreement, TRM must have been employed by EME, EC or another EIX Company for the entire Performance
Period. Notwithstanding the foregoing, a partial award may be paid in the discretion of the Board and the Committee if TRM dies or becomes totally disabled during the Performance Period while employed
by an EIX Company, or if TRM's employment by an EIX Company is terminated for reasons other than fraud or other misconduct, and he does not then remain as an employee of another EIX Company. If 

1

 

the Board and the Committee elect to make a partial award, the award computation described in Section 6 shall be truncated as deemed appropriate in the discretion of the Board and Committee to
determine such award. 

        4.    Performance
Units. An unfunded Performance Unit account will be established for TRM and such account will be credited on the effective date with 116,454 EIX Performance
Units ("Target Award"). To acknowledge and reflect the fact that TRM's position at EME and/or EC may change during the Performance Period, the Target Award shall be subject to adjustment as follows: 

	(a)
	for
each full month during the Performance Period after July 31,2002, in which TRM serves as CEO or President of EME, and is not on the Executive Payroll of EC, the Target
Award will be increased by 809 Performance Units; and

	(b)
	for
each full month during the Performance Period in which TRM is not on the Executive Payroll of EME, the Target Award will be reduced by 4,016 Performance Units. 

        The
number of Performance Units adjusted in accordance with the preceding sentence is referred to herein as the "Adjusted Target Award." Exhibit A contains illustrations of how
adjustments would be made in two hypothetical situations. 

        5.    Dividend
Equivalents. An unfunded dividend equivalents account will be established for TRM. This account will be credited with the amount of dividends that would have
been paid on the number of shares of EIX common stock equivalent to TRM's Target Award for each quarter thereafter during the Performance Period in which a dividend is declared on EIX common stock.
The Dividend Equivalents will be credited on the ex-dividend date and will accumulate in this account without interest until payment. Dividend equivalents to be paid will be reduced or
increased to the amount that would have been accumulated and paid on the Final Performance Award Units determined pursuant to Section 6. 

        6.    Award
Determination. The final EIX Performance Unit award level will be determined during the first quarter of the year following the end of the Performance Period. With
input from the Board, the Committee will review the performance of EME over the Performance Period, guided by the level of
achievement of the corporate goals and objectives established from time-to-time by the Board. With input from the Board, the Committee will also consider TRM's individual
performance as CEO, President or in other executive capacities at EME during the Performance Period. The Committee and the Board may take into consideration any factors they deem relevant to their
evaluation of the performance of EME and TRM. The Adjusted Target Award will then be multiplied by a performance factor to be determined in the discretion of the Committee (as described above) ranging
from 0 to 2. The resulting number of EIX Performance Units (the "Final Performance Award Units") will be the basis of TRM's final award payment. 

        7.    Approval
and Payment. The incentive award and accumulated dividend equivalents will be paid to TRM as soon as practicable, but not later than 60 days following
approval by the Committee and Board of the performance factor and the Final Performance Award Units as provided in Section 6. The value to be paid for each Performance Unit will be based on the
average of the closing prices of EIX common stock during the last 60 business days of 2004. Payment will be made in cash except to the extent TRM has previously elected to defer payment of some or all
of the payment as a special award under the terms of the EIX Executive Deferred Compensation Plan, or to the extent the Committee elects to defer payment of some or all of the award; provided,
however, that the Committee may not elect such deferral unless EME then has a Standard & Poor's investment grade credit rating of at least BBB+, or its equivalent Moody's rating, or unless
payment of the deferred award is guaranteed by EIX. Awards made will be subject to any income or payroll tax withholding or other deductions as may be required by Federal, State or local law. 

2

 

        The
award payable to TRM under this Agreement shall constitute an unsecured general obligation of EME, and no special fund or trust will be created, nor will any notes or securities be
issued with respect to any award. Notwithstanding any other provision in this Agreement, the maximum award payable shall be $4,000,000, adjusted as follows: 

        (a)  For
each full month during the Performance Period after July 31,2002, in which TRM serves as CEO or President of EME, and is not on the Executive Payroll of EC,
the maximum award payable will be increased by $27,778. 

        (b)  For
each full month during the Performance Period in which TRM is not on the Executive Payroll of EME, the maximum award payable will be reduced by $137,931. 

        8.    Effect
on Other Plans. Any award under this Agreement will not be considered to be salary or other compensation for the purpose of computing benefits to which TRM may be
entitled under any plan or arrangement for the benefit of employees of EIX or any of its affiliates if such plan or arrangement is a plan qualified under Section 401(a) of the Code and is a
trust exempt from Federal income tax under Section 501(a) of the Code, including but not limited to the SCE Retirement Plan and the SCE Stock Savings Plus Plan. 

        Solely
for the purposes of the allocation described in this sentence, one-third of TRM's payment under this Agreement shall be allocated and considered as being the EME
portion of the incentive award component used in calculations for purposes of the SCE Executive Retirement Plan, or any other nonqualified executive compensation benefit plan or program of EIX or any
of its affiliates in which TRM participates for each year during the Performance Period. If the award is truncated, a proportionate adjustment will be made to the amount recognized by such plans. 

        9.    Modifications
and Adjustments. In order to ensure the incentive features of this Agreement, avoid distortion in its operation and compensate for or reflect extraordinary
changes which may have occurred during the Performance Period, the Board, with the concurrence of the Committee, may make adjustments to the terms and conditions of this Agreement before, during or
after the end of the Performance Period to the extent it determines appropriate in its sole discretion. 

        If
the outstanding shares of EIX common stock are increased, decreased, or exchanged for a different number or kind of shares or other securities, or if additional shares or new or
different shares or other securities are distributed with respect to such shares of common stock or other securities, through merger, consolidation, sale of all or substantially all of the property of
EIX, reorganization, recapitalization, reclassification, stock dividend, stock split, reverse stock split or other distribution with respect to such shares of common stock or other securities, an
appropriate and proportionate adjustment in the terms of the Agreement shall be made by the Board and the Committee. 

        In
the event that EME is liquidated; all or substantially all of EME's assets are sold in one or a series of related transactions; or another transaction occurs, the result of which is
that EIX no longer directly or indirectly controls more than fifty percent of the combined voting power of the voting securities of EME (or the surviving entity) outstanding immediately after such
liquidation, sale or other transaction, a partial award may be paid in the discretion of the Board and the Committee. If the Board and the Committee elect to make a partial award, the award
computation described in Section 6 shall be truncated as deemed appropriate in the discretion of the Board and Committee to determine such award. 

        10.  Successors
and Assigns. This Agreement shall be binding upon and inure to the benefit of the heirs, legal representatives, successors and assigns of EME and TRM.
Notwithstanding the foregoing, any right to receive payment hereunder is hereby expressly declared to be personal, nonassignable and nontransferable, except by will, intestacy, or as otherwise
required by law, and in the event of any attempted assignment, alienation or transfer of such rights contrary to the provisions hereof, EME shall have no further liability for payments hereunder. 

3

 

        11.  Beneficiaries.
Any award approved following the death of TRM will be made to TRM's most recently designated beneficiary or beneficiaries under the EIX Equity
Compensation Plan. If no beneficiary has been designated by TRM, or if no beneficiary survives TRM, or if a designated beneficiary should die after surviving TRM but before the award has been paid,
any award approved will be paid in a lump-sum payment to TRM's estate as soon as practicable. 

        12.  Capacity.
If any person entitled to payments under this Agreement is incapacitated and unable to use such payments in his or her own best interest, EME may direct that
payments (or any portion) be made to that person's legal guardian or conservator, or that person's spouse, as an alternative to the payment to the person unable to use the payments. Court-appointed
guardianship or conservatorship may be required by EME before payment is made. EME shall have no obligation to supervise the use of such payments. 

        13.  No
Right of Employment. Nothing contained herein shall be construed as conferring upon TRM the right to continue in the employ of EME (or any other EIX Company) as an
officer or in any other capacity. 

        14.  Severability
and Controlling Law. The various provisions of this Agreement are severable in their entirety. Any determination of invalidity or unenforceability of any
one provision will have no effect on the continuing force and effect of the remaining provisions. This Agreement shall be governed by the laws of the State of California. 

        IN
WITNESS WHEREOF, TRM and the undersigned duly authorized officer of EME have executed this Agreement on this 23rd day of December 2002, in the City of Irvine, State of
California. 

	THOMAS R. McDANIEL	 	EDISON MISSION ENERGY
	

/s/  THOMAS R. MCDANIEL      
	
 	

BY:	

/s/  JENENE J. WILSON      

4

 
 
 

EXHIBIT A    

TARGET AWARD ADJUSTMENT ILLUSTRATIONS  

        The following are illustrations of adjustment calculations pursuant to Sections 4 and 7 (assume referenced employment terminations are at company's request, not
for misconduct or fraud). 

Hypothetical A:  

        TRM continues as EME's CEO through 2004; but he ceases to be CEO of EC on 12-31-03, when his employment by EC also terminates. 

	Adjustment to EME Target Award	 	 
	 	 	12 months × 809 units =	 	9,708 units	 	 
	 	 	116,454 units + 9,708 =	 	126,162 units =	 	Final EME Performance Award Units
	

Adjustment to EME Maximum Award Payment	
 	

 
	 	 	12 months × $27,778 =	 	$333,336	 	 
	 	 	$4,000,000 + $333,336 =	 	$4,333,336 =	 	Maximum EME Award Payment

Hypothetical B:  

        TRM remains as EME's CEO until 12-31-03, when his employment at EME ends. TRM continues as CEO of EC through the end of 2004. 

	Adjustment to EME Target Award	 	 
	 	 	12 months × 4,016 units =	 	48,192 units	 	 
	 	 	116,454 units - 48,192 units =	 	68,262 units =	 	Final EC Performance Award Units
	

Adjustment to EME Maximum Award Payment	
 	

 
	 	 	12 months × $137,931 =	 	$1,655,172	 	 
	 	 	$4,000,000 - $1,655,172 =	 	$2,344,828 =	 	Maximum EME Award Payment

5

QuickLinks

Exhibit 10.108

PERFORMANCE AND RETENTION INCENTIVE AGREEMENT

RECITALS

AGREEMENT

EXHIBIT A<Page>

                                                                   EXHIBIT 10(n)

                          WAIVER, CONSENT AND AMENDMENT

                                                               February 14, 2003
COMPUTER HORIZONS CORP.
49 Old Bloomfield Avenue
Mountain Lakes, NJ 07046

Gentlemen:

We refer to the Financing Agreement between us, dated as of July 31, 2001 as the
same may be amended from time to time (herein the "Financing Agreement").
Capitalized terms used herein and defined in the Financing Agreement shall have
the meanings set forth therein unless otherwise specifically defined herein.

I.   You have advised us that your collections for the month of October, 2002
were $19,900,000 and for the month of November, 2002 were $18,167,000. Section
7, Paragraph 7.10(c) of the Financing Agreement requires minimum collections of
$20,000,000 during each month.

This letter is to confirm our agreement that, solely with respect to said months
the foregoing collections shall not be deemed by CIT to be Defaults and/or
Events of Default under the Financing Agreement. The parties hereto have further
agreed to amend the terms and provisions of the Section 7, Paragraph 7.10(c) of
the Financing Agreement, as amended hereby.

II.  You have advised us that you intend to establish an account or accounts
with J.P. Morgan Chase Bank and/or its affiliates for the deposit of certain of
your cash and the investment thereof in financial instruments (herein the
"Pledged Account"). We hereby consent to your doing the foregoing provided that
you take all actions and execute all documents and agreements (including but not
limited to a Pledge Agreement, Account Control Agreement and UCC financing
statement) requested by us to grant to us, and continue in our favor, a first
and exclusive lien upon and security interest in such Pledged Account, all in
form and substance satisfactory to us.

<Page>

III. In addition, effective immediately, the Financing Agreement shall be, and
hereby is, amended as follows:

(a)  Section 7, Paragraph 7.10(a)(i) and (ii) of the Financing Agreement shall
     be, and hereby is, deleted in its entirety and the following shall be
     inserted in lieu thereof:

     "(a) The Company shall maintain $5,000,000 in Availability at all times, as
          evidenced by a Borrowing Base certificate delivered by the Company to
          the Agent from time to time hereunder, but in no event less frequently
          than weekly. It is understood that such requirement contemplates that
          all debts and obligations of the Company are current, and that all
          payables are being handled in the normal course of the Company's
          business and consistent with its past practices.

(b)  Section 7, Paragraph 7.10(c) of the Financing Agreement shall be, and
     hereby is, amended in its entirety to read as follows:

     "(c) Obtain minimum Average Monthly Collections of $15,000,000 for each
          month. "Average Monthly Collections" shall mean the average monthly
          amount of the Collections of the Company's Accounts (excluding any
          amounts due or received from any of the Company's affiliates)
          calculated as a monthly average for the three (3) month period ending
          on the last day of each month."

(c)  Section 7, Paragraph 7.10(d) of the Financing Agreement shall be amended in
     its entirety to read as follows:

     "(d) The Company shall maintain at all times not less than $20,000,000 in
          the aggregate of cash, cash equivalents and short term Permitted
          Investments (as determined in accordance with GAAP) as reflected on
          its monthly Consolidated Balance Sheet and other financial statements
          to be delivered to Agent pursuant to Section 7, Paragraph 7.8 of this
          Financing Agreement, provided that all of the Company's cash which is
          not reasonably anticipated to be required for the Company's normal
          working capital requirements shall be deposited and maintained in
          those certain accounts of the Company maintained by J.P. Morgan Chase
          Bank and/or its affiliates which are pledged to the Agent and are
          subject to Account Control Agreements in favor of the Agent, all in
          form and substance satisfactory to the Agent."

<Page>

(d)  The definition of "Borrowing Base" as set forth in Section 1 of the
     Financing Agreement shall be, and hereby is, amended by the addition
     thereto at the end thereof just prior to the period at the end thereof of
     the following phrase:

          "plus (iii) the Additional Availability Reserve"

(e)  The following Definition of "Additional Availability Reserve" shall be, and
     hereby is, added to Section 1 of the Financing Agreement in the proper
     alphabetical order:

          "ADDITIONAL AVAILABILITY RESERVE shall mean an amount determined by
          the Agent equal to one pay cycle or half of the monthly payroll and
          payroll tax obligations of the Company."

(f)  The definition of "Line of Credit Fee" as set forth in Section 1 of the
     Financing Agreement shall be, and hereby is, amended in its entirety to
     read as follows:

          "LINE OF CREDIT FEE shall: (a) mean the fee due the Agent at the end
          of each month for the Line of Credit, and (b) be determined by
          multiplying the difference between (i) (x) $20,000,000 for any month
          during which there have been no borrowings and no outstanding
          Revolving Loans or other Obligations and (y) at all other times, the
          Revolving Line of Credit, and (ii) the sum, for said month of (x) the
          average daily balance of Revolving Loans plus (y) the average daily
          balance of Letters of Credit outstanding for said month by 0.375% per
          annum for the number of days in said month."

     The effectiveness of all of the foregoing waivers and amendments shall be,
and hereby is, subject to the fulfillment to CIT's satisfaction of the
Conditions Precedent. The "Conditions Precedent" shall mean each of the
following:

     (A)  The Company taking all actions (including, without limitation, the
          execution and delivery to us of all documentation) requested by us to
          perfect the Agent's lien upon the Pledged Account as provided above;
          and

     (B)  The Guarantors signing the confirmation below.

In consideration of (i) our execution of this Waiver, Consent and Amendment
Letter you agree to pay us an Accommodation Fee of $25,000 and (ii) the
preparation of this agreement by our in-house legal department you agree to pay
us a Documentation Fee of $300.00. Such fees shall be due and payable in full on
the date hereof and may, at our option, be charged to your Revolving Loan
Account on the due date thereof. You further agree to pay all Out-of-Pocket
Expenses incurred in connection with this Waiver, Consent and Amendment
Agreement and the transactions contemplated hereby, all of which may (at our
option) be charged to your Revolving Loan Account.

<Page>

Except to the extent set forth herein, no other waiver of, or change in any of
the terms, provisions or conditions of the Financing Agreement is intended or
implied. This agreement shall not constitute a waiver of any other existing
Defaults or Events of Default under the Financing Agreement (whether or not we
have knowledge thereof), and shall not constitute a waiver of any future
Defaults or Events of Default whatsoever.

If the foregoing is in accordance with your understanding of our agreement,
kindly so indicate by signing and returning the enclosed copy of this letter. In
addition, we have asked the Guarantor(s) to sign below the confirm that the
foregoing waivers shall not affect, modify or diminish the Guarantor(s)
obligations under any instruments of Guaranty and/or any related pledge or
security agreements executed in favor of CIT.

                                               Very truly yours,

                                               THE CIT GROUP/BUSINESS
                                               CREDIT, INC., AS AGENT AND LENDER

                                               By: Scot Weisberg
                                                   -----------------------------
                                               Title: Assistant Vice President

Read and Agreed to:

COMPUTER HORIZONS CORP.                        CHIMES, INC.

By: William J. Murphy                          By: William J. Murphy
    --------------------------------               -----------------------------
Title: EVP & CFO                               Title: DIRECTOR

COMPUTER HORIZONS (CANADA) CORP.               HORIZONS ENTERPRISES INC.

By: William J. Murphy                          By: William J. Murphy
    --------------------------------               -----------------------------
Title: Director                                Title: Director

STRATEGIC OUTSOURCING SERVICES, INC.           G. TRIAD DEVELOPMENT CORP.

By: William J. Murphy                          By:William J. Murphy
    --------------------------------              ------------------------------
Title: Director                                Title: Director

<Page>

INTEGRATED COMPUTER MANAGEMENT, INC.           PRINCETON SOFTECH INC.

By: William J. Murphy                          By: William J. Murphy
    --------------------------------               -----------------------------
Title: Director                                Title: Director

<Page>

                                                               February 13, 2003

COMPUTER HORIZONS CORP.
49 Old Bloomfield Avenue
Mountain Lakes, NJ 07046

Gentlemen:

We refer to the Financing Agreement between us, dated as of July 31, 2001 as the
same may be amended from time to time (herein the "Financing Agreement").
Capitalized terms used herein and defined in the Financing Agreement shall have
the meanings set forth therein unless otherwise specifically defined herein.

I.   You have advised us that you have made loans or advances to certain of your
affiliates in an aggregate approximate amount of $10,000,000 for the period from
July 31, 2001 to December 31, 2002. Section 7, Paragraph 7.9(g) of the Financing
Agreement permits loans of up to $100,000 in any fiscal year.

This letter is to confirm our agreement that, solely with respect to said fiscal
period the foregoing loans and advances shall not be deemed by CIT to be
Defaults and/or Events of Default under the Financing Agreement. The parties
hereto have further agreed to amend the terms and provisions of the covenant
referred to above, as set forth in the Financing Agreement, as amended hereby.

II.  You have advised us that you have entered into a certain Contribution
Agreement and Limited Liability Company Agreement, dated as of October 1, 2002,
between Computer Horizons Corp. ("CHC") its affiliate CHC Healthcare Solutions,
LLC ("CHCHS") and ZAC Consulting, LLC as seller ("ZAC") (herein the
"Contribution Agreement"), pursuant to which the ZAC and CHC, and certain of it
affiliates including CHCHS have agreed to contribute certain assets to CHCHS as
described more fully in Exhibit A annexed hereto (herein the "Contributed
Assets"), for assumption of certain Liabilities by CHC and contribution of
assets as set forth above.

This letter is to confirm our consent to the Contribution of Assets pursuant to
the Contribution Agreement, and to confirm our agreement to the release of our
lien on the Contributed Assets, provided that:

     1.   The total cash contribution and loans net of expenses does
          not exceed $1,100,000 as of the date hereof, provided that,
          the membership

                                        1
<Page>

          interests of CHCHS held by CHC or any of its affiliates
          shall be pledged to CIT within 20 days of the date hereof
          and provided further that, CHC shall cause any membership
          interest in CHCHS held by ZAC and which are unencumbered or
          otherwise pledged or transferred to be pledged to CIT, all
          on term and conditions reasonably satisfactory to CIT.

     2.   CHC shall be deliver to CIT (i) executed copies of the
          Contribution Agreement and the other documents executed in
          conjunction therewith, and (ii) a balance sheet of CHC
          giving effect to the Contribution of Assets contemplated
          hereunder, certified by a financial officer of CHC, in form
          reasonably satisfactory to CIT. The Contribution of the
          Assets shall be consummated substantially in accordance with
          the terms and provisions of the Contribution Agreement.

     3.   The parties hereto have agreed that, irrespective of CIT
          consent to the Contribution of Assets contemplated hereby;
          CHCHS shall not be a party to or a Borrower under the
          Financing Agreement, and its Accounts shall not be deemed
          Eligible Accounts for purposes of calculating Availability
          on making Revolving Loans based on CHC's Borrowing Base.

     4.   You agree to reimburse us for any reasonable Out-of-Pocket
          Expenses incurred by us in connection with this consent and
          release. All such amounts may, at our option, be charged to
          your Revolving Loan Account under the Financing Agreement.

Upon your fulfilling the above conditions to CIT's satisfaction, CIT will
execute and deliver a such UCC partial release financing statements as may be
reasonably required to release its liens upon and security interest in CHC's
Contributed Assets.

III. In addition, effective immediately, the Financing Agreement shall be, and
hereby is, amended as follows:

(a)  Section 7, Paragraph 7.9(g) of the Financing Agreement is hereby deleted
     and the following is hereby substituted in lieu thereof:

     (g)  Make any advance or loan to, or any investment in (excluding Permitted
          Investments), any firm, entity, person or corporation, or purchase or
          acquire all or substantially all of the stock or assets of any entity,
          person or corporation, or pay any management, consulting or other
          similar fees to any person, corporation or other entity affiliated
          with the Company, except that the Company may (i) make loans and
          advances to its consolidated subsidiaries or affiliated companies in
          the ordinary course of its business and/or make equity investments in
          such consolidated subsidiaries or affiliated companies, provided that
          the aggregate amount of such

                                        2
<Page>

          loans, advances and investments shall not exceed (x) $5,000,000 during
          the period from July 1, 2003 through and including December 31, 2003
          and (y) $5,000,000 during any calendar year thereafter, and (ii)
          purchase or acquire the assets or stock of any entity provided that
          the aggregate price of such acquisitions shall not exceed (x)
          $2,500,000 during the period from July 1, 2003 through and including
          December 31, 2003 and (y) $2,500,000 during any calendar year
          thereafter, provided further that after giving effect to any such
          loan, advance, equity investment or acquisition no Default or Event of
          Default has occurred or would occur as a result thereof.

(b)  Section 7, Paragraph 7.10(a)(i) of the Financing Agreement (Minimum
Availability Covenant) shall be, and hereby is, amended by increasing the dollar
amount set forth therein from "$15,000,000" to "17,500,000".

(c)  Section 7, Paragraph 7.10 of the Financing Agreement shall be further
amended by the addition thereto of the following new subparagraph "(d)":

     "(d) The Company shall maintain at all times not less than $17,500,000 in
     the aggregate of cash and cash equivalents (as determined in accordance
     with GAAP) as reflected on its monthly Consolidated Balance Sheet and other
     financial statements to be delivered to Agent pursuant to Section 7,
     Paragraph 7.8 of this Financing Agreement."

(d)  The Company acknowledges and agrees that the Accounts due from CHCHS shall
be excluded from Eligible Accounts Receivable under the Financing Agreement and
shall be broken out in a separate aging and included as a separate ineligible
line item for Borrowing Base reporting called "HIPAA Receivable".

The effectiveness of all of the foregoing waivers and amendments shall be, and
hereby is, subject to the fulfillment to CIT's satisfaction of the Conditions
Precedent. The "Conditions Precedent" shall mean each of the following:

     (A)  CHC taking all action (including, without limitation, the execution
          and delivery to us of all documentation) requested by us to perfect
          CIT's lien upon CHC's membership interests in CHCHS, including
          execution of a Pledge Agreement in form and substance satisfactory to
          CIT within twenty (20) days of the days hereof; and

     (B)  The Guarantors signing the confirmation below.

In consideration of (i) our execution of this Waiver and Amendment Letter you
agree to pay us an Accommodation Fee of $5,000.00 and (ii) the preparation of
this agreement by our in-house legal department you agree to pay us a
Documentation Fee of $300.00. Such fees shall be due and payable in full on the
date hereof and may, at our option, be charged to your Revolving Loan Account on
the due date thereof. You further agree to pay all Out-of-Pocket Expenses
incurred in connection with this Waiver and Amendment Agreement and the
transactions contemplated hereby all of which may (at our option) be charged to
your Revolving Loan Account.

                                        3
<Page>

Except to the extent set forth herein, no other waiver of, or change in any of
the terms, provisions or conditions of the Financing Agreement is intended or
implied. This agreement shall not constitute a waiver of any other existing
Defaults or Events of Default under the Financing Agreement (whether or not we
have knowledge thereof), and shall not constitute a waiver of any future
Defaults or Events of Default whatsoever.

                                        4
<Page>

If the foregoing is in accordance with your understanding of our agreement,
kindly so indicate by signing and returning the enclosed copy of this letter. In
addition, we have asked the Guarantor(s) to sign below to confirm that the
foregoing waivers shall not affect, modify or diminish the Guarantor(s)
obligations under any instruments of Guaranty and/or any related pledge or
security agreements executed in favor of CIT.

                                             Very truly yours,

                                             THE CIT GROUP/BUSINESS CREDIT, INC.

                                             By: Scot Weisberg
                                                --------------------------------
                                             Title: Assistant Vice President

Read and Agreed to:

COMPUTER HORIZONS CORP.

By: William J. Murphy
    --------------------------------
Title: EVP & CFO

Read and Agreed to:

COMPUTER HORIZONS (CANADA) CORP.             CHIMES, INC.

By  William J. Murphy                        By  William J. Murphy
    --------------------------------             -------------------------------
Title: Director                              Title: Director

STRATEGIC OUTSOURCING
SERVICES, INC.                               HORIZON ENTERPRISES INC.

By  William J. Murphy                        By  William J. Murphy
    --------------------------------             -------------------------------
Title: Director                              Title: Director

INTEGRATED COMPUTER
MANAGEMENT, INC.                             C. TRIAD DEVELOPMENT CORP.

By  William J. Murphy                        By  William J. Murphy
    --------------------------------             -------------------------------
Title: Director                              Title: Director

PRICETON SOFTECH INC.

By  William J. Murphy
    --------------------------------
Title: Director

                                        5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00049-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00049-of-00352.parquet"}]]