Document:

Supplemental Indenture

 Exhibit 4.1 
 CREDENCE SYSTEMS CORPORATION, the Company 
 LTX CORPORATION, the Parent 
 and 
 THE BANK OF NEW YORK MELLON TRUST
COMPANY, N.A., 
 Trustee 
  
  
 SUPPLEMENTAL INDENTURE

 Dated as of August 29, 2008 
 To 
 INDENTURE 
 Dated
as of December 20, 2006 
  
  
 Relating to 
 Credence Systems Corporation

 3.5% Convertible Senior Subordinated Notes due 2010 

 SUPPLEMENTAL INDENTURE 
 This SUPPLEMENTAL INDENTURE, dated as of the 29th day of August, 2008, is by and among CREDENCE SYSTEMS CORPORATION, a Delaware corporation (the
“Company”), LTX CORPORATION, a Massachusetts corporation (the “Parent”), and THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A. (formerly THE BANK OF NEW YORK TRUST COMPANY, N.A.), as trustee under the Indenture referred to below
(the “Trustee”). 
 WITNESSETH: 
 WHEREAS, the Company and the Trustee have heretofore entered into that certain Indenture dated as of December 20, 2006 (as amended, modified and supplemented from time to time, the “Indenture”),
providing for the issuance of an initial principal amount of $122,500,000 of 3.5% Convertible Senior Subordinated Notes due 2010 (the “Convertible Notes”); 
 WHEREAS, the Company, Zoo Merger Corporation, a Delaware corporation (“Merger Sub”), and the Parent have entered into an Agreement and Plan of Merger dated as of June 20, 2008 (the “Merger
Agreement”), pursuant to which Merger Sub will merge with and into the Company (the “Merger”), and as a result of which the Company will be a direct wholly-owned subsidiary of the Parent; 
 WHEREAS, pursuant to the Merger Agreement, each share of the Company’s common stock outstanding immediately prior to the effective time of
the Merger (the “Effective Time”) will be converted into the right to receive 0.6129 of a share of common stock of the Parent; 
 WHEREAS, concurrently with the Merger, the name of the Parent will be changed to “LTX-Credence Corporation”; 
 WHEREAS, when the Company is party to a share exchange such as that contemplated by the Merger, Section 4.06 of the Indenture requires the Company and the Trustee to amend the Indenture to change the circumstances under which
the Holders may require the Company to repurchase the Convertible Notes following a Designated Event; 
 WHEREAS, Section 5.01 of
the Indenture permits the Company to merge with another corporation provided certain conditions are satisfied; 
 WHEREAS,
Section 12.06 of the Indenture provides that if there occurs a consolidation, merger, share exchange or combination of the Company with another person as a result of which holders of the Company’s common stock shall receive stock in
exchange for such common stock, then the Company and the Trustee shall execute a supplemental indenture providing that the Convertible Notes shall be convertible into the kind and amount of shares of stock receivable upon such share exchange by a
holder of a number of shares of common stock issuable upon conversion of the Convertible Notes immediately prior to such share exchange; 
 WHEREAS, Section 9.01 of the Indenture authorizes the Company and the Trustee to amend the Indenture pursuant to Sections 4.06 and 12.06 thereof without the consent of the Holders; 
  

 1 

 WHEREAS, the Company and the Parent desire to execute a supplemental indenture that complies with
Section 9.01 of the Indenture; 
 WHEREAS, all acts and things necessary to make this Supplemental Indenture a valid and binding
agreement for the purposes and objects herein expressed have been duly done and performed, and the execution of this Supplemental Indenture has been in all respects, duly authorized; and 
 WHEREAS, the foregoing recitals are made as representations or statements of fact by the Company and not by the Trustee; 
 NOW, THEREFORE, in consideration of the premises and of other good and valuable consideration, the receipt of which is hereby acknowledged, the
Company hereby covenants and agrees with the Trustee, for the equal and proportionate benefit of the respective holders from time to time of the Convertible Notes, as follows: 
 ARTICLE I 
 AMENDMENTS TO THE INDENTURE 
 Section 1.1 On the terms and subject to the conditions set forth herein, the Indenture is amended as follows: 
 (a) The following defined terms in Section 1.01 of the Indenture [Definitions] are hereby amended and restated to read in their respective entirety
as follows: 
 “‘Board of Directors’ means the Board of Directors of the Parent or any authorized committee of
the Board of Directors.” 
 “‘Change of Control’ means the occurrence of one or more of the following
events: (a) any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act) is or becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Exchange Act) of
shares representing more than 50% of the combined voting power of the then outstanding Voting Stock of the Parent, (b) the Parent consolidates with or merges into any other corporation, any other corporation merges into the Parent, or the
Parent effects a share exchange, and, in the case of any such transaction, the outstanding Common Stock of the Parent is reclassified into or exchanged for any other property or securities, unless the shareholders of the Parent immediately before
such transaction own, directly or indirectly immediately following such transaction, at least a majority of the combined voting power of the then outstanding Voting Stock of the corporation resulting from such transaction in substantially the same
respective proportions as their ownership of the Voting Stock of the Parent immediately before such transaction, (c) the Parent, or the Parent and its subsidiaries taken as a whole, sells, assigns, conveys, transfers or leases all or
substantially all assets of the Parent, or of the Parent and its subsidiaries taken as a whole, as applicable (other than to one or more wholly-owned subsidiaries of the Parent), (d) any time the Continuing Directors do not constitute a
majority of the 

  

 2 

 
Board of Directors of the Parent (or, if applicable, a successor corporation to the Parent), or (e) the Parent undertakes a liquidation, dissolution or
winding up; provided, however, that a Change of Control under (a), (b) and (c) above shall not be deemed to have occurred if at least 95% of the consideration (excluding cash payments for fractional shares) in the transaction
or transactions constituting the Change of Control consists of shares of common stock that are, or upon issuance will be, traded on the New York Stock Exchange or listed on the Nasdaq Global Select Market.” 
 “‘Common Stock’ means any stock of any class of the Parent which has no preference in respect of dividends or of amounts
payable in the event of any voluntary or involuntary liquidation, dissolution or winding up of the Parent and which is not subject to redemption by the Parent. Subject to the provisions of Section 12.06, however, shares issuable on conversion
of Convertible Notes shall include only shares of the class designated as Common Stock of the Parent at the effective time of the Merger or shares of any class or classes resulting from any reclassification or reclassifications thereof and which
have no preference in respect of dividends or of amounts payable in the event of any voluntary or involuntary liquidation, dissolution or winding up of the Parent and which are not subject to redemption by the Parent; provided,
however, that if at any time there shall be more than one such resulting class, the shares of each such class then so issuable shall be substantially in the proportion which the total number of shares of such class resulting from all such
reclassifications bears to the total number of shares of all such classes resulting from all such reclassifications.” 
 “‘Opinion of Counsel’ means a written opinion from legal counsel who may be an employee of or counsel to the Parent or the Company except to the extent otherwise indicated in this Indenture.” 
 “‘Volume Weighted Average Price’ per share of Common Stock on any Trading Day means such price as displayed on Bloomberg
(or any successor service) page “LTXX EQUITY VAP” in respect of the period from 9:30 a.m. to 4:00 p.m., New York City time, on such Trading Day; or, if such price is not available, the Volume Weighted Average Price means the market value
per share of Common Stock on such day as determined by a nationally recognized independent investment banking firm retained for this purpose by the Parent.” 
 (b) The following definitions are hereby inserted into Section 1.1 of the Indenture [Definitions] in their respective alphabetical order: 
 “‘Merger’ means the merger of Zoo Merger Corporation, a Delaware corporation (“Merger Sub”), with and into the
Company pursuant to the Agreement and Plan of Merger dated as of June 20, 2008 by and among the Company, the Parent and Merger Sub, pursuant to which the Company will become a direct wholly-owned subsidiary of the Parent.” 
  

 3 

 “‘Officer of Parent’ means the Chairman of the Board, the Chief Executive
Officer, the President, the Chief Financial Officer, the Chief Accounting Officer, any Executive Vice President, Senior Vice President or Vice President (whether or not designated by a number or numbers or word or words before or after the title
“Vice President”), the Treasurer, the Secretary, any Assistant Treasurer or any Assistant Secretary of the Parent.” 
 “‘Parent’ means LTX Corporation, a Massachusetts corporation, until the consummation of the Merger, and from and after the consummation of the Merger, means LTX-Credence Corporation, a Massachusetts corporation.”

 “‘Parent Officers’ Certificate’ means a certificate signed by two Officers of Parent, one of whom is
the Chairman of the Board, the Chief Executive Officer, the President, the Chief Financial Officer, the Treasurer or the Controller of the Parent.” 
 (c) All references in the Indenture to “Common Stock of the Company” are hereby amended and restated to read “Common Stock of the Parent” and all references in the Indenture to “the
Company’s Common Stock” are hereby amended and restated to read “the Parent’s Common Stock”. 
 (d)
Section 4.10 of the Indenture [Reports] is hereby amended and restated to read in its entirety as follows: 
 “SECTION 4.10. Reports. If at any time the Parent is not subject to Section 13 or 15(d) of the Exchange Act, upon the request of a holder of a Convertible Note, the Parent will promptly furnish or cause to be furnished to
such holder or to a prospective purchaser of such Convertible Note designated by such holder, as the case may be, the information, if any, required to be delivered by it pursuant to Rule 144A(d)(4) under the Securities Act to permit compliance with
Rule 144A in connection with the resale of such Convertible Note; provided, however, that the Parent shall not be required to furnish such information in connection with any request made on or after the date which is two years from the later of the
date such Convertible Note was last acquired from the Company or an “affiliate” of the Company.” 
 (e) Clause (b), (e),
(j) and (n) of Section 7.02 of the Indenture [Rights of the Trustee] each is hereby amended and restated to read in its entirety as set forth in the corresponding paragraph below: 
 “(b) Any request, direction, order or demand of the Company mentioned herein shall be sufficiently evidenced by an Officers’
Certificate or Parent Officers’ Certificate (unless other evidence in respect thereof is herein specifically prescribed). In addition, before the Trustee acts or refrains from acting, it may require an Officers’ Certificate, a Parent
Officers’ Certificate, an Opinion of Counsel or any or all of the foregoing. Whenever the Indenture requires that the Company deliver an Officers’ Certificate, upon request from the 

  

 4 

 
Trustee, the Parent shall also provide a Parent Officers’ Certificate corresponding to the requirement of the Officers’ Certificate. The Trustee
shall not be liable for any action it takes or omits to take in good faith in reliance on any such Officers’ Certificate, Parent Officers’ Certificate or Opinion of Counsel. The Trustee may consult with counsel and the advice of such
counsel or any Opinion of Counsel shall be full and complete authorization and protection from liability in respect of any action taken, suffered or omitted by it hereunder in good faith and in reliance thereon.” 
 “(e) Unless otherwise specifically provided in this Indenture, any demand, request, direction or notice from the Company shall be
sufficient if signed by an Officer of the Company. Unless otherwise specifically provided in this Indenture, any demand, request, direction or notice from the Parent shall be sufficient if signed by an Officer of the Parent.” 
 “(j) The Trustee shall not be responsible for the computation of any adjustment to the Conversion Price or for any determination as
to whether an adjustment is required and shall not be deemed to have knowledge of any adjustment unless and until it shall have received the notice from the Parent contemplated by Section 12.05(j).” 
 “(n) The Trustee may request that the Company deliver an Officers’ Certificate setting forth the names of individuals and/or
titles of officers authorized at such time to take specified actions on behalf of the Company pursuant to this Indenture, which Officers’ Certificate may be signed by any person authorized to sign an Officers’ Certificate, including any
person specified as so authorized in any such certificate previously delivered and not superseded. The Trustee may request that the Parent deliver a Parent Officers’ Certificate setting forth the names of individuals and/or titles of officers
authorized at such time to take specified actions on behalf of the Parent pursuant to this Indenture, which Parent Officers’ Certificate may be signed by any person authorized to sign a Parent Officers’ Certificate, including any person
specified as so authorized in any such certificate previously delivered and not superseded.” 
 (f) The last two paragraphs of
Section 10.05 of the Indenture [Statements Required in Certificate or Opinion] are hereby amended and restated in their entirety to read as follows: 
 “Any Officers’ Certificate or Parent Officers’ Certificate may be based, insofar as it relates to legal matters, upon an Opinion of Counsel, unless such Officer or Officer of Parent, as applicable,
knows that the opinion with respect to the matters upon which his or her certificate may be based as aforesaid is erroneous. Any Opinion of Counsel may be based, insofar as it relates to factual matters, upon certificates, statements or opinions of,
or representations by an officer or officers of the Company or the Parent, as applicable, or other persons or firms deemed appropriate by such counsel, unless such counsel knows that the certificates, statements or opinions or representations with
respect to the matters upon which his or her opinion may be based as aforesaid are erroneous. 
  

 5 

 Any Officers’ Certificate or statement, Parent Officers’ Certificate or
statement, or Opinion of Counsel may be based, insofar as it relates to accounting matters, upon a certificate or opinion of or representation by an accountant (who may be an employee of the Company or the Parent), or firm of accountants, unless
such Officer, Officer of Parent or counsel, as the case may be, knows that the certificate or opinion or representation with respect to the accounting matters upon which his or her certificate, statement or opinion may be based as aforesaid is
erroneous.” 
 (g) Section 10.02 of the Indenture [Notices] is hereby amended to add the following at the end of such Section:

 “All notices required to be delivered by the Company under this Indenture may be delivered by the Parent. Any notice
required to be delivered to the Company under this Indenture also shall be delivered to the Parent at its address as stated in Section 10.10.” 
 (h) Section 10.10 of the Indenture [Other Provisions] is hereby amended to add the following at the end of such Section: 
 The Parent’s address is: 
 LTX-Credence Corporation 
 825 University Avenue 
 Norwood, Massachusetts 02062 
 Attention: Chief Financial Officer 
 Facsimile: (781) 329-8836 
 Telephone: (781) 461-1000 
 (i) As required by Section 4.06 of the Indenture, based on the final
exchange ratio in the Merger of 0.6129 shares of common stock of the Parent for each share of common stock of the Company, Section 12.01(h) of the Indenture is hereby amended and restated to read in its entirety as follows: 
 “(h) If there shall have occurred a Designated Event (or an event that would have been a Designated Event but for the existence of
the proviso in the definition of Change of Control) (other than a Change of Control where 10% or more of the fair market value of the consideration for the Common Stock (as determined by the Board of Directors, whose determination shall be
conclusive evidence of such fair market value) in the corporation transaction consists of (i) cash (not including cash payments for fractional shares), (ii) other property or (iii) securities that are not traded or scheduled to be
traded immediately following such transaction on a U.S. national securities exchange or the Nasdaq National Market), then the Conversion Rate per $1,000 principal amount of Convertible Notes otherwise in effect in respect of Convertible Notes for
which a conversion notice is received by the Conversion Agent during the period beginning 15 Trading Days before the date announced by the Company as the anticipated Designated Event Date and ending at the close of business on the Trading Day
immediately preceding the Designated Event Payment Date shall be increased by the amount, if any, 

  

 6 

 
determined by reference to the table below, based on the Designated Event Date and the Stock Price of such Designated Event; provided that if the Stock Price
or Designated Event Date are not set forth on the table: (i) if the actual Stock Price on the Designated Event Date is between two Stock Prices on the table or the actual Designated Event Date is between two Designated Event Dates on the table,
the amount of the Conversion Rate adjustment will be determined by a straight-line interpolation between the adjustment amounts set forth for the two Stock Prices and the two Designated Event Dates on the table based on a 365-day year, as
applicable, (ii) if the Stock Price on the Designated Event Date exceeds $32.63 per share, subject to adjustment as set forth herein, no adjustment to the applicable Conversion Rate will be made, and (iii) if the Stock Price on the
Designated Event Date is less than $8.60 per share, subject to adjustment as set forth herein, no adjustment to the applicable Conversion Rate will be made. If holders of the Common Stock receive only cash in the Designated Event, the Stock Price
shall be the cash amount paid per share of the Common Stock in connection with the Designated Event. Otherwise, the Stock Price shall be equal to the Volume Weighted Average Price of the Common Stock for each of the 10 Trading Days immediately
preceding, but not including, the applicable Designated Event Date. 
 The following table shows the amount, if any, by which
the applicable Conversion Rate will increase for each Stock Price and Designated Event Effective Date set forth below: 
 Make Whole
Premium Upon a Designated Event 
 (Increase in Applicable Conversion Rate) 
  

							
	 Stock Price on
 Effective Date
	  	May 15,
2008	  	May 15,
2009	  	May 15,
2010
	 8.60
	  	37.3	  	37.3	  	37.3
	 10.61
	  	23.5	  	22.1	  	20.0
	 13.05
	  	13.9	  	11.6	  	2.3
	 15.50
	  	8.3	  	6.1	  	0.0
	 17.95
	  	5.3	  	3.2	  	0.0
	 20.39
	  	3.6	  	1.8	  	0.0
	 22.84
	  	3.2	  	1.7	  	0.0
	 25.29
	  	2.9	  	1.5	  	0.0
	 27.74
	  	2.6	  	1.3	  	0.0
	 30.18
	  	2.4	  	1.2	  	0.0
	 32.63
	  	2.2	  	1.2	  	0.0

 The Stock Prices set forth in the first column of the table above will be adjusted
as of any date on which the Conversion Rate of the Convertible Notes is adjusted. The adjusted Stock Prices will equal the Stock Prices applicable immediately prior to such adjustment multiplied by a fraction, the numerator of which is the
Conversion Rate immediately prior to the adjustment giving rise to the Stock Price adjustment and the denominator of which is the Conversion Rate as so adjusted. The Conversion Rate 

  

 7 

 
adjustment amounts set forth in the table above will be adjusted in the same manner as the Conversion Rate as set forth in Section 12.05 hereof, other
than as a result of an adjustment of the Conversion Rate by virtue of the provisions of this Section 12.01(h). 
 Notwithstanding the foregoing, in no event will the conversion rate exceed 111.59421 per $1,000 principal amount of Convertible Notes, other than on account of proportional adjustments to the Conversion Rate in the manner set forth in
Section 12.05 below.” 
 (j) Each reference to “the Company” in Sections 12.01(a)(3), 12.01(a)(4) and 12.01(b) of the
Indenture [Right to Convert], Section 12.05 of the Indenture [Adjustment of Conversion Price], Section 12.06 of the Indenture [Effect of Reclassification, Consolidation, Merger or Sale], Section 12.08 of the Indenture [Reservation of
Shares; Shares to Be Fully Paid; Listing of Common Stock], Section 12.10 of the Indenture [Notice to Holders Prior to Certain Actions] and Section 12.11(c) of the Indenture [Restriction on Common Stock Issuable Upon Conversion] is hereby
amended to refer to “the Parent”. 
 (k) The reference to “the Company’s Board of Directors” in
Section 12.12(c) of the Indenture [Payment of Cash in Lieu of Common Stock] is hereby amended to refer to “the Board of Directors”. 
 Section 1.2 Upon the consummation of the Merger and without any action on the part of the holder of any Convertible Note, each $1,000 principal amount of Convertible Notes shall be convertible subject to and in accordance with
the provisions of Article XII of the Indenture into shares of Common Stock, at a Conversion Price per share of $13.46, such Conversion Price being subject to subsequent adjustment after the effective time of the Merger in accordance with the
provisions of Article XII of the Indenture. 
 ARTICLE II 
 CONDITION TO EFFECTIVENESS 
 Section 2.1 This Supplemental Indenture shall become
effective concurrently with the consummation of the Merger and shall be automatically null and void if and in the event that the Merger shall not have been consummated on or before September 3, 2008; provided, however, that any amendment to the
Indenture made hereby required by Section 4.06 of the Indenture shall not be effective with respect to any Designated Event occurring on or prior to the date of the consummation of the Merger. The Company will promptly notify the Trustee of the
consummation of the Merger and the effectiveness of this Supplemental Indenture. 
 ARTICLE III 
 MISCELLANEOUS PROVISIONS 
 Section 3.1 The internal laws of the State of New York shall govern this Supplemental Indenture, without regard to the conflict of laws provisions thereof. 
  

 8 

 Section 3.2 The terms defined in Section 1.1 (except as herein otherwise expressly
provided or unless the context otherwise requires) for all purposes of this Supplemental Indenture shall have the respective meanings specified in Section 1.1. All other terms used in this Supplemental Indenture which are defined in the
Indenture, the Trust Indenture Act, or which are by reference therein defined in the Securities Act (except as herein otherwise expressly provided or unless the context otherwise requires) shall have the meanings assigned to such terms in the
Indenture, the Trust Indenture Act, and in said Securities Act, as in force at the date of the execution of this Supplemental Indenture. The words “herein,” “hereof’ and “hereunder,” and words of similar import refer to
this Supplemental Indenture as a whole and not to any particular Article, Section or other Subsection. The terms defined in Section 1.1 of this Supplemental Indenture include the plural as well as the singular. 
 Section 3.3 Nothing in this Supplemental Indenture, expressed or implied, shall give or be construed to give any person, firm or corporation,
other than the parties hereto and their successors hereunder, and the holders of the Convertible Notes, any legal or equitable right, remedy or claim under or in respect to this Supplemental Indenture, or under any covenant, condition or provision
herein contained; all such covenants, conditions and provisions being for the sole benefit of the parties hereto and their successors hereunder and the holders of the Convertible Notes. 
 Section 3.4 The Trustee accepts the amendment of the Indenture effected by this Supplemental Indenture and agrees to execute the trust
created by the Indenture as hereby amended, but only upon the terms and conditions set forth in the Indenture, including the terms and provisions defining and limiting the liabilities and responsibilities of the Trustee, which terms and provisions
shall in like manner define and limit its liabilities and responsibilities in the performance of the trust created by the Indenture as hereby amended. 
 Section 3.5 After the consummation of the Merger, any Convertible Notes authenticated and delivered in substitution for, or in lieu of, Convertible Notes then outstanding and all Convertible Notes
presented or delivered to the Trustee on and after the Effective Time for such purpose shall be either restated to give the effect to the Supplemental Indenture or, in lieu thereof, shall bear a legend substantially as follows: 
 The consideration received upon conversion of the principal amount of this Convertible Note shall be determined with reference to shares of the Common
Stock, without par value per share, of LTX-Credence Corporation, at a Conversion Price per share of $13.46 as of the consummation of the Merger, such Conversion Price being subject to certain adjustments as set forth in the Indenture. Reference
herein to “Common Stock of the Company” or the “Company’s Common Stock” shall be deemed to be to the Common Stock of LTX-Credence Corporation. The Indenture, dated as of December 20, 2006, referred to in this Note has
been amended by a Supplemental Indenture dated as of August 29, 2008 to provide for such convertibility. Reference is hereby made to Supplemental Indenture, copies of which are on file with 

  

 9 

 
Credence Systems Corporation and LTX-Credence Corporation, for a statement of the amendments therein made. 
 Nothing contained in this Supplemental Indenture shall require the holder of any Convertible Note to submit or exchange such Convertible Note prior to
the consummation of the Merger in order to obtain the benefits of any provisions hereunder. 
 The Company agrees to provide for the
reproduction of the above legend on the Convertible Notes without materially obscuring the text of the Convertible Notes. 
 Anything herein
contained to the contrary notwithstanding, the Trustee shall not at any time be under any responsibility to acquire or cause any Convertible Note now or hereafter outstanding to be presented or delivered to it for any purpose provided for in this
Section 3.5. 
 Section 3.6 Except as expressly supplemented by this Supplemental Indenture, the Indenture, the Convertible
Notes issued thereunder and the charge and obligation created thereby are in all respects ratified and confirmed and all of the rights, remedies, terms, conditions, covenants and agreements of the Indenture and the Convertible Notes issued
thereunder shall remain in full force and effect. 
 Section 3.7 If any provision of this Supplemental Indenture limits,
qualifies or conflicts with (a) another provision of this Supplemental Indenture, or (b) any provision of the Indenture, which is required to be included by any of the provisions of Section 310 to 317, inclusive, of the Trust
Indenture Act, such required provision shall control. 
 Section 3.8 The recitals contained in this Supplemental Indenture shall
be taken as statements of the Company, and the Trustee assumes no responsibility for their correctness. The Trustee makes no representations as to the validity or sufficiency of this Supplemental Indenture. 
 Section 3.9 This Supplemental Indenture may be executed in any number of counterparts, each of which shall be an original; but such
counterparts shall together constitute but one and the same instrument. 
 [Signatures on next page] 
  

 10 

 IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed, and
their respective corporate seals to be hereunto affixed and attested, all as of the day and year first above written. 
  

			
	CREDENCE SYSTEMS CORPORATION
		
	By:	 	 /s/    Lavi A. Lev

	Name:	 	Lavi A. Lev
	Title:	 	President & CEO
	
	LTX CORPORATION
		
	By:	 	 /s/    David G. Tacelli

	Name:	 	David G. Tacelli
	Title:	 	President & CEO
	
	THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A., as Trustee
		
	By:	 	 /s/    Teresa Petta

	Name:	 	Teresa Petta
	Title:	 	Vice PresidentEmployment Agreement

 Exhibit 10.1 
 EMPLOYMENT AGREEMENT 
 This Employment Agreement (this “Agreement”) is entered into by and
between Mannatech, Incorporated (the “Company”) and Terri Maxwell (the “Employee”), and has an effective date of August 28, 2008, (“Effective Date”). The Company desires to employ the Employee, and the Employee
desires to be employed by the Company. Therefore, in consideration of the mutual promises and agreements contained herein, the Company and the Employee (collectively, the “Parties”) hereby agree as follows: 
 SECTION 1. 
 EMPLOYMENT 

 1.1. Employment. The Company hereby employs the Employee, and the Employee hereby accepts employment by the Company, for the
period and upon the other terms and conditions contained in this Agreement. 
 1.2. Office and Duties. The Employee shall serve
as Senior Vice President and Chief Marketing Officer of the Company, with the authority, duties and responsibilities described herein and those customarily incident to such office. The Employee shall report directly to the Chief Executive Officer of
the Company (the “CEO”) and shall perform such other services, duties and responsibilities commensurate with Employee’s position as may from time to time be assigned to Employee by the CEO or the Board of Directors of the Company (the
“Board”). 
 1.3. Performance. During Employee’s employment under this Agreement, the Employee shall devote on a
full-time basis all of her time, energy, skill and best efforts to the performance of Employee’s duties hereunder in a manner that will faithfully and diligently further the business and interests of the Company. However, so long as those
activities do not interfere with the performance of Employees duties hereunder, the Employee may engage in (i) civic, charitable, and professional or trade activities, (ii) activities incidental to the matters listed on Exhibit A. The
Employee shall comply with the employee policies and written manuals of the Company that are applicable generally to executive employees of the Company, as they exist and/or are modified from time to time. In the event of conflict or inconsistency
between this Agreement and the employee policies and written manuals of the Company, the terms of this Agreement shall govern. Except as specifically contemplated herein, the Employee shall not work either on a part-time or independent contractor
basis for any other business or enterprise during the Term of Employment. 
 1.4. Place of Work. The Employee shall perform
services under this Agreement at the Company’s principal office in the City of Coppell, Dallas County, Texas, and at such other place or places as the Employee’s duties and responsibilities may require. The Employee understands and agrees
that Employee may be required to travel in connection with the performance of her duties. 
  

 Page 1 of 20 

 1.5. Directors’ and Officers’ Liability Insurance. To the extent that the Company
maintains one or more policies of directors’ and officers’ liability insurance during the Employee’s employment under this Agreement (the “D&O Policies”), then the Company will provide the Employee coverage under the
D&O Policies for acts or omissions by the Employee in the performance of her duties to the Company under this Agreement as an officer of the Company. 
 1.6. Indemnity. As of the Effective Date, the Company shall defend, indemnify and hold harmless the Employee against all claims, actions, lawsuits, judgments, penalties, fines, settlements and reasonable
expenses that are filed, pursued, or otherwise sought by third parties, as applicable, in any proceeding resulting from the performance of the Employee’s duties to the Company under this Agreement. 
 1.7. Exclusive Employment. Without limiting Section 1.3 hereof, during the term of employment, the Employee will not, without the
prior written consent of the Board: 
 a. serve as a spokesman, representative, employee, consultant, agent, officer, or member of any board
of directors (or any similar governing body) for any for-profit business other than the Company; 
 b. serve as a spokesman, representative,
employee, owner, consultant, agent, officer, or member of any board of directors (or any similar governing body) for any business which is a supplier to the Company or which competes with the Company, in each case whether directly or indirectly;

 c. own any equity or economic interest in any company that competes directly or indirectly with the Company, except that this does not
preclude ownership of less than 5% of the outstanding equity securities of any public reporting company; or 
 d. promote or endorse at
Company business functions any other organization(s) with which Employee may be associated or affiliated. 
 SECTION 2. 
 EMPLOYMENT TERM 
 2.1.
Term. The term of the Employee’s employment under this Agreement commences on the Effective Date and shall continue through two (2) years, unless terminated earlier by either Party by the Company or Employee giving at least
30 days’ prior written notice of termination, for any or no reason, to the other Party (“Notice of Early Termination”) or unless terminated earlier in accordance with Section 8 hereof. If a Notice of Early Termination is given in
accordance with the preceding sentence, then (a) the term of employment under this Agreement will continue until the expiration of the notice period specified in the Notice of Early 

  

 Page 2 of 20 

 
Termination, and (b) the Company may instruct the Employee not to come into the Company’s offices or to attend any of the Company’s business
functions through the last date of employment, and the Employee’s following such instruction will not constitute Cause for termination or otherwise impair the Employee’s rights hereunder. If the Agreement is not terminated by either Party
as provided for herein, it will renew for successive one (1) year terms, unless either Party gives the other at least thirty (30) days’ prior written notice of its intent not to renew. 
 SECTION 3. 
 COMPENSATION FOR
EMPLOYMENT 
 3.1. Base Salary. The base salary of the Employee for all of Employee’s services, duties and
responsibilities to the Company and all of Employee’s agreements and covenants with or to the Company under this Agreement shall be at the annual rate of $320,000, which the Company shall pay to the Employee in equal installments in accordance
with its normal payroll policies. 
 a. Employee’s performance and salary shall be reviewed by the CEO and the Compensation Committee
annually in accordance with the Company’s annual performance review process. 
 b. Employee’s Base Salary for any partial year will
be prorated based upon the number of days elapsed in such year. Employee’s pay may be raised by the Company from time to time as the Company deems appropriate in its sole discretion, by way of an addendum or other documentation, without
otherwise effecting this Agreement. Notwithstanding any pay increase, the employment of Employee shall be construed as continuing under this Agreement. 
 3.2. Annual Bonus. During Employee’s employment under this Agreement, the Employee is also eligible to participate in the Company’s annual executive bonus program (the “Executive Bonus
Program”). The opportunity to earn a bonus and the amount of any bonus compensation under the Executive Bonus Program will be determined in accordance with criteria established by the Board or the Compensation Committee, which will comply with
the requirements of Section 409A of the Internal Revenue Code, unless the payment of the bonus is exempt as not constituting a deferral of income. The Employee acknowledges that any bonus compensation under the Bonus Program will be
discretionary, with the sole discretion resting with the Board or the Compensation Committee. Further, unless otherwise determined by the Compensation Committee, the Employee must remain employed by the Company at the time the bonus is paid in order
to be eligible to receive the bonus. 
 3.3. Payment and Reimbursement of Work-Related Expenses. During Employee’s
employment under this Agreement, the Company shall pay or reimburse the Employee, in accordance with the applicable policies and procedures of the Company, for all reasonable travel and other reasonable expenses incurred by the Employee in
performing her obligations under this Agreement, provided that the Employee properly accounts for such expenses in accordance with the regular policies of the Company. 
  

 Page 3 of 20 

 3.4. Relocation Allowance. In the event it is necessary for Employee to relocate
residences, the Company shall pay the Employee’s actual relocation expenses, or Mannatech shall enlist the services of the MI Group or any other bonded and insured relocation service provider, such at Mannatech’s discretion. All expenses
must be pre-approved before being incurred. 
 3.5. Health Insurance/401(k). During Employee’s employment under this
Agreement, the Employee shall be entitled to participate in or receive benefits under any employee-benefit plan or arrangement made available by the Company to its employees generally (including any medical, dental, short-term and long-term
disability, life insurance and 401(k) programs), subject to eligibility conditions or requirements and to the terms, conditions and overall administration of each of such plans and arrangements. Nothing in this Agreement will preclude the Company
from amending or terminating any of the benefit plans or programs applicable to Employee as long as such amendment or termination is applicable to all similarly situated employees, without otherwise effecting this Agreement. Notwithstanding any
change in benefits, the employment of Employee shall be construed as continuing under this Agreement. 
 3.6. Executive Vehicle
Program. During Employee’s employment under this Agreement, the Employee will also be eligible to participate in the Company’s executive vehicle program, subject to all of its terms, regarding a vehicle with a lease cost to the
Company no greater than that afforded to other similarly situated executive officers of the Company, with auto liability insurance coverage (comprehensive, collision and liability) for the leased vehicle paid by the Company and all routine and
necessary repairs to the leased vehicle paid for by the Company or reimbursed to the Employee, subject to approval by the Chief Financial Officer of the Company. 
 3.7. Vacation. During Employee’s employment under this Agreement, the Employee shall be entitled to 20 days of paid vacation annually, in accordance with the regular policies of the Company.

 3.8. Tax Withholding. The Company may deduct from any compensation or other amount payable to the Employee under this
Agreement social security (FICA) taxes and all federal, state, municipal, or other such taxes or governmental charges as may now be in effect or that may hereafter be enacted or required. 
 SECTION 4. 
 CONFIDENTIAL INFORMATION 
 4.1. Definition of “Confidential Information.” 
 a. “Confidential Information” means material, data, ideas, inventions, formulae, patterns, compilations, programs, devices, methods, techniques, processes, know how, plans (marketing, business, strategic,
technical or otherwise), arrangements, pricing and/or other information of or relating to the Company (as well as its customers and/or vendors) that is confidential, proprietary, and/or a trade secret (a) by its nature, (b) based on how it
is treated or designated by the Company, (c) such that its appropriation, use or disclosure would have a material adverse effect on the business or planned business of the Company, or (d) as a matter of law. All Confidential Information is
the property of the Company, the appropriation, use and/or disclosure of which is governed and restricted by this Agreement. 
  

 Page 4 of 20 

 b. Exclusions. Confidential Information does not include material, data, and/or information that
(i) the Company has voluntarily placed in the public domain; (ii) has been lawfully and independently developed and publicly disclosed by third parties; (iii) constitutes the knowledge and skills gained by Employee during the
Employment Period; or (iv) otherwise enters the public domain through lawful means; provided, however, that the unauthorized appropriation, use, or disclosure of Confidential Information by Employee, directly or indirectly, shall not affect the
protection and relief afforded by this Agreement regarding such information. 
 4.2. Provision of Confidential Information.
Irrespective of the Term of Employment, and in consideration of the Employee’s promises in Section 4.3 of this Agreement, the Company promises to immediately provide the Employee with access to Confidential Information, including (but
not limited to) the new Confidential Information that the Company is separately and concurrently providing to the Employee. The Parties stipulate and agree that Employee has never before seen or had access to the new Confidential Information
referenced herein. 
 4.3. Protection of Confidential Information. Both during and after the Employment Period, the Employee
shall not in any manner, directly or indirectly: (i) appropriate, download, print, copy, remove, use, disclose, divulge, or communicate Confidential Information to any Person, including (without limitation) originals or copies of any
Confidential Information, in any media or format, except for the Company’s benefit within the course and scope of the Employee’s employment or with the prior written consent of the CEO; or (ii) take or encourage any action which would
circumvent, interfere with or otherwise diminish the value or benefit of Confidential Information to the Company. The Employee agrees to use Employee’s best efforts and utmost diligence to protect and safeguard the Confidential Information as
prescribed in this Section 4. 
 4.4. Return and Review of Information. 
 a. Company Property. All Confidential Information and other information and property affecting or relating to the business of the Company within
the Employee’s possession, custody or control, regardless of form or format, shall remain at all times the property of the Company. 
 b. Upon Request. At any time that the Company may request, during or after the Employment Period, the Employee shall deliver to the Company all Confidential Information and other information and property affecting or relating to the
business of the Company within Employee’s possession, custody or control, regardless of form or format. Both during and after the Employment Period, the Company shall have the right of reasonable access to review, inspect, copy, and/or
confiscate any Confidential Information within the Employee’s possession, custody or control. 
  

 Page 5 of 20 

 c. Upon Termination. The Employee shall return to the Company all Confidential Information and
other information and property affecting or relating to the business of the Company within the Employee’s possession, custody or control, regardless of form or format, without the necessity of a request, forthwith upon resignation or
termination of Employee’s employment, regardless of whether the resignation or termination is voluntary, involuntary, for Cause or not for Cause. 
 4.5. Response to Third Party Requests. Upon receipt of any formal or informal request, by legal process or otherwise, seeking the Employee’s direct or indirect disclosure or production of any
Confidential Information to any Person, the Employee shall promptly and timely notify the Company and provide a description and, if applicable, hand deliver a copy of such request to the Company. The Employee irrevocably nominates and appoints the
Company, as the Employee’s true and lawful attorney-in-fact to act in the Employee’s name, place and stead to perform any act that the Employee might perform to defend and protect against any disclosure of Confidential Information.

 SECTION 5. 
 OWNERSHIP OF INFORMATION, INVENTIONS, AND ORIGINAL WORK 
 5.1. Definition of Work Product. As used in
this Agreement, the term “Work Product” means all patents and patent applications, all inventions, innovations, improvements, developments, methods, designs, analyses, drawings, reports, creative works, discoveries, software, computer
programs, modifications, enhancements, know-how, product, formula or formulations, concepts and ideas, and all similar or related information (in each case whether or not patentable), all copyrights and copyrightable works, all trade secrets,
confidential information, and all other intellectual property and intellectual property rights that (in any case above) are conceived, reduced to practice, created, developed or made by the Employee, either alone or with others, in the course of
employment with the Company (including, without limitation, any such employment before the Effective Date). 
 5.2. Ownership and
Assignment of Work Product. The Employee hereby agrees that all Work Product will be the exclusive property of the Company, and in consideration of this Agreement, without further compensation, hereby assigns, and (as necessary) agrees to
assign, to the Company all right, title, and interest to all Work Product that: (a) relates to: (i) all or any aspect of the Company Parties’ actual or anticipated business, research, and development or existing or future products or
services, or (ii) an actual or demonstrably anticipated research or development project of the Company; (b) is conceived, created, reduced to practice, developed, or made entirely or in any part: (i) during her employment or on
Company time, or (ii) using any equipment, supplies, facilities, assets, materials, information (including, without limitation, Confidential Information) or resources of any of the Company Parties (including, without limitation, any
intellectual property rights); or (c) results from any work performed by the Employee for the Company. Any creative works, discoveries, designs, software, computer programs, inventions, improvements, modifications, enhancements, know-how,
product, formula or formulation, concept or idea that the Employee has within one year following the resignation or termination of employment with the Company shall be deemed to be Work Product owned by the Company under this Section 5, unless
proved by the Employee to have been outside each of the criteria specified above in this Section 5.2. 
  

 Page 6 of 20 

 5.3. Disclosure and Cooperation. The Employee shall promptly disclose Work Product to the
CEO and perform all actions reasonably requested by the Company (whether during or after the Employment Period) to establish and confirm the ownership and proprietary interest of any of the Company Parties in any Work Product (including, without
limitation, the execution of assignments, consents, powers of attorney, applications and other instruments). The Employee agrees to assist the Company in obtaining any patent for, copyright on or other intellectual-property protection for the Work
Product, and to execute and deliver or otherwise provide such documentation and provide such other assistance as is necessary to or reasonably requested by the Company or its agents or counsel to obtain such patent, copyright, or other protection.
The Employee shall maintain adequate written records of the Work Product, in such format as may be specified by the Company, and make such records available to, as the sole property of, the Company at all times. The Employee shall not file any
patent or copyright applications related to any Work Product except with the written consent of the CEO. 
 SECTION 6. 
 NON-COMPETITION AND NON-SOLICITATION 
 6.1. Consideration. In consideration of the Confidential Information and specialized training being provided to Employee as stated in Section 4 of this Agreement, and other valuable consideration as stated in this
Agreement, including (without limitation) the business relationships, Company goodwill, customer and vendor relationships, and work experience that the Employee will have the opportunity to obtain, use and develop under this Agreement, the Employee
agrees to the restrictive covenants stated in this Section 6. 
 6.2. Acknowledgements. 
 a. Ancillary Agreement. The Employee acknowledges and agrees that the restrictive covenants contained in this Section 6 are ancillary to and
part of an otherwise enforceable agreement, such being the agreements concerning Confidential Information and other consideration as stated in this Agreement. 
 b. Valuable Information. The Employee acknowledges and agrees that the Confidential Information and specialized training provided by the Company is highly valuable to the Company and, therefore, that the
Company’s investment in the training and the protection and maintenance of the Confidential Information constitutes a legitimate interest to be protected by the Company by the restrictive covenants set forth in this Section 6. 

c. Unique Relationships with Customers and Associates. The Employee acknowledges and agrees that (i) in the highly competitive business in
which the Company is engaged, personal contact is of primary importance in securing new and retaining present Associates and Customers; (ii) the Company has a legitimate interest in maintaining its relationships with its Associates and
Customers; and (iii) it would be unfair for the Employee to solicit the business of the Company’s Associates and Customers, exploiting the personal relationships the Employee develops with the Company’s Associates and Customers by
virtue of the Employee’s employment by the Company. 
  

 Page 7 of 20 

 d. Reasonableness. The Employee acknowledges and agrees that at the time that the restrictive
covenants of this Section 6 are made, the limitations as to time, geographic scope, and activity to be restrained, as described herein, are reasonable and do not impose a greater restraint than necessary to protect the good will and other
legitimate business interests of the Company, including (without limitation) Confidential Information (including, without limitation, trade secrets), customer and vendor relationships, and goodwill. 
 e. Termination. The Employee acknowledges and agrees that Employee has carefully read this Agreement and has given careful consideration to the
restraints imposed upon Employee by this Agreement, and consents to the terms of the restrictive covenants in this Section 6 in conjunction with the provisions in this Agreement for the termination of her employment, with no expectation or
promise of employment for a substantial period of time. 
 f. Post-Termination Enforcement. The Employee acknowledges and agrees that,
based on the benefits to Employee and new consideration as recited herein, the restrictive covenants of this Section 6, as applicable according to their terms, shall remain in full force and effect even in the event of the resignation or
termination of her employment under this Agreement for any reason, whether voluntary or involuntary or with or without Cause. 
 g. Other
Employment. The Employee acknowledges and agrees that (i) in the event of the resignation or termination of Employee employment under this Agreement, Employee experiences and capabilities are such that he can obtain gainful employment
without violating this Agreement, in a business engaged in other lines and/or of a different nature, without Employee incurring undue hardship; and (ii) the enforcement of a remedy under this Section 6 by way of injunction will not prevent
the Employee from earning a livelihood. 
 6.3. Non-Competition and Non-Solicitation. 
 a. Non-Competition During Employment. During the Employment Period, the Employee shall not engage in any other business or employment which may
detract from Employee’s full performance of Employee’s duties hereunder or which competes in any manner with the Company, and the Employee shall not directly or indirectly render any services of a business, commercial or professional
nature, to any other Person without the Company’s prior written consent. Further, during employment, the Employee shall not directly or indirectly contact, solicit, entice, sponsor or accept any of the Associates into, or in any way promote to
any such Associates opportunities in marketing programs of any direct sales company or organization other than the Company. 
 b.
Non-Competition Post-Employment. During the Restricted Period, the Employee shall not directly or indirectly, on Employee’s own behalf or on the behalf of any other Person, engage in a Competing Business within the Geographic Area,
including, without limitation, owning, taking a financial interest in, managing, operating, controlling, being employed by, being associated or affiliated with, being a spokesperson for, providing services as a consultant or independent contractor
to, or participating in the ownership, management, operation or control of, any Competing Business; provided, however, that this Section 6.3b does not preclude ownership of less than 5% of the outstanding equity securities of any public
reporting company. 
  

 Page 8 of 20 

 c. Customer Non-Solicitation. During the Restricted Period, the Employee shall not in any manner,
directly or indirectly, on Employee’s own behalf or on the behalf of any other Person, induce, solicit or attempt to induce or solicit any Customer (i) to do business with a Competing Business, or (ii) to reduce, cease, restrict,
terminate or otherwise adversely alter business or business relationships with the Company for the benefit of a Competing Business, regardless of whether the Employee initiates contact for that purpose. 
 d. Employee Non-Solicitation and No-Hire. During the Restricted Period, the Employee shall not directly or indirectly, on Employee’s own
behalf or on behalf of any other Person (i) solicit, recruit, persuade, influence, or induce, or attempt to solicit, recruit, persuade, influence, or induce any Person employed or otherwise retained by the Company (including, without
limitation, any independent contractor or consultant), to cease or leave their employment or contractual or consulting relationship with the Company, regardless of whether the Employee initiates contact for such purposes, or (ii) hire, employ
or otherwise attempt to establish, for any Person, any employment, agency, consulting, independent contractor or other business relationship with any Person who is or was employed or otherwise retained by the Company (including any independent
contractor or consultant), for the benefit of a Competing Business. 
 6.4. Definitions. The following definitions are
for the purposes of this Agreement, including (without limitation) this Section 6. The scope of these definitions is in recognition of the Company-wide scope of the Employee’s responsibilities, the broad geographic scope of the
Company’s business operations throughout the entire United States of America and in certain foreign countries, and the potential ease of competing with the Company in the absence of the provisions of this Section 6. 
 a. “Competing Business” means any business operation which engages in the business of providing products and services that are the same or
substantially similar or directly competes with those that any of the Company manufactured, produced, provided, sold, and/or marketed during the Employee’s tenure with the Company, such as the direct selling business, including (without
limitation) the direct sale, network and/or multi-level marketing of dietary supplements, skin care or wellness products. 
 b.
“Customer” means (i) any Associate or other Person with whom or which the Company has had any contract any time during this Agreement or any time during the one year period immediately preceding the Effective Date, and/or
(ii) any customer, vendor, supplier, licensor or other Person in a business relationship with the Company for which the Employee or employees working under the Employee’s supervision had any direct or indirect responsibility during the
Employment Period. 
 c. “Geographic Area” means (i) those cities and states in the United States of America and foreign
countries in which the Company does business during the Employment Period; and/or (ii) the geographic area of Employee’s responsibilities during the Employment Period. 
  

 Page 9 of 20 

 d. “Restricted Period” means the Employment Period and the one year period commencing on the
Termination Date, regardless of whether the Employee’s termination from the Company is voluntary or involuntary, for Cause or not for Cause. This time period shall be extended by one day for each day that Employee is determined to be in
violation of Sections 4, 5 and/or 6 of this Agreement, as determined by a court or arbitrator of competent jurisdiction. 
 6.5.
Fiduciary Duty. The Employee acknowledges and agrees that Employee owes a fiduciary duty of loyalty, fidelity, and allegiance to act at all times in the best interests of the Company. In keeping with these duties, the Employee shall
make full disclosure to the Company of all business opportunities pertaining to the Company’s business, and shall not appropriate for Employee’s own benefit, any business opportunities concerning the subject matter of the fiduciary
relationship. 
 6.6. Survival. This Section 6 shall survive the cessation or termination of the Employee’s
employment under this Agreement, subject to the time and scope limitations set forth in this Section 6. 
 6.7.
Substitution/Revision. If, at the time of enforcement of the restrictive covenants in this Section 6, a court holds that the restrictions stated in this Section 6 are unreasonable under circumstances then existing, then the
maximum duration, scope or geographical area reasonable under such circumstances shall automatically be substituted for the stated duration, scope or geographic area and the court shall be allowed and is hereby requested to revise the restrictions
contained herein to cover the maximum duration, scope and geographic area permitted by law. The covenants contained in Sections 6.3a., 6.3b., 6.3c., and 6.3d. hereof are independent of and severable from one another. 
 6.8. Independent Covenants. All covenants contained in Section 6 of this Agreement shall be construed as agreements independent of any
other provision of this Agreement, and the existence of any claim or cause of action by Employee against Employer, whether predicated on this Agreement or otherwise, shall not constitute a defense to the enforcement by the Company of such covenants.

 SECTION 7. 
 NON-DISPARAGEMENT 
 7.1. Non-Disparagement. The Employee agrees that, both during and after the
Employment Period, the Employee will not make any statements which would constitute libel, slander or disparagement of the Company or any of its directors, officers, shareholders, or affiliates, provided however, that the terms of this
Section 7.1 shall not apply to communications between the Employee and, as applicable, the Employee’s attorneys or other Persons with whom or which communications would be subject to a claim of privilege existing under common law, statute
or rule of procedure. 
  

 Page 10 of 20 

 SECTION 8. 
 REMEDIES 
 8.1. Remedies. In the event of a breach of this Agreement by any
Party, and subject to the remaining provisions of this Section 8, the aggrieved Party shall be entitled to all appropriate equitable and legal relief, including, but not limited to: (a) an injunction to enforce this Agreement or prevent
conduct in violation of this Agreement; (b) damages incurred as a result of the breach; and (c) attorneys’ fees and costs incurred in enforcing the terms of this Agreement. 
 8.2. Arbitration. SUBJECT TO THE RIGHTS OF EITHER PARTY TO SEEK INJUNCTIVE OR OTHER EQUITABLE RELIEF IN A COURT OF EQUITY, BINDING
ARBITRATION SHALL BE THE EXCLUSIVE REMEDY FOR ANY AND ALL DISPUTES, CLAIMS, OR CONTROVERSIES BETWEEN THE PARTIES HERETO, WHETHER STATUTORY, CONTRACTUAL OR OTHERWISE, ARISING UNDER OR RELATING TO THIS AGREEMENT OR THE EMPLOYEE’S EMPLOYMENT BY OR
TERMINATION FROM THE COMPANY (INCLUDING, BUT NOT LIMITED TO, THE AMOUNT OF DAMAGES, OR THE CALCULATION OF ANY BONUS OR OTHER AMOUNT OR BENEFIT DUE) (COLLECTIVELY, “DISPUTES”). THE PARTIES EACH WAIVE THE RIGHT TO A JURY TRIAL AND WAIVE THE
RIGHT TO ADJUDICATE THEIR DISPUTES UNDER THIS AGREEMENT OUTSIDE THE ARBITRATION FORUM PROVIDED FOR IN THIS AGREEMENT, EXCEPT AS SPECIFICALLY PROVIDED IN THIS AGREEMENT. In the event either party provides a notice of arbitration of any dispute to the
other party, the parties agree to submit that dispute to a single arbitrator selected from a panel of arbitrators of JAMS located in Dallas, Texas. The arbitration will be governed by the JAMS Comprehensive Arbitration Rules and Procedures in effect
at the time the arbitration is commenced. If for any reason JAMS cannot serve as the arbitration administrator, the Company may select an alternative arbitration administrator, such as the American Arbitration Association, to serve under the terms
of this Agreement. The parties further agree to abide by and perform any award rendered by the arbitrator. 
 a. VENUE. THE PARTIES
STIPULATE AND AGREE THAT THE EXCLUSIVE VENUE OF ANY SUCH ARBITRATION PROCEEDING (AND OF ANY OTHER PROCEEDING, INCLUDING (WITHOUT LIMITATION) ANY COURT PROCEEDING, UNDER THIS AGREEMENT) SHALL BE DALLAS COUNTY, TEXAS (THE “AGREED VENUE”).

 b. Authority and Decision. The arbitrator shall have the authority to award the same damages and other relief that a court could
award. The arbitrator shall issue a reasoned award explaining the decision and any damages awarded. The arbitrator’s decision will be final and binding upon the parties and enforceable by a court of competent jurisdiction. The parties will
abide by and perform any award rendered by the arbitrator. In rendering the award, the arbitrator shall state the reasons therefore, including (without limitation) any computations of actual damages or offsets, if applicable. 
  

 Page 11 of 20 

 c. Fees and Costs. In the event of arbitration under the terms of this Agreement, the fees charged
by JAMS or other arbitration administrator and the arbitrator shall be borne by the parties as determined by the arbitrator, except for any initial registration fee, which the parties shall bear equally. Otherwise, the parties shall each bear their
own costs, expenses and attorneys’ fees incurred in arbitration; provided, however, that the prevailing party shall be entitled to recover and have awarded its attorneys’ fees, court costs, arbitration expenses, and its portion of the fees
and costs charged by JAMS or other arbitration administrator, regardless of which Party initiated the proceedings, in addition to any other relief to which it may be entitled. The determination of the “prevailing party” and the amount of
fees, costs and expenses awarded shall be in the discretion of the arbitrator and shall be based upon such evidence as the arbitrator deems appropriate, including the relief awarded as compared to the last bona fide settlement offer made by the
opposing party prior to the initiation of the arbitration proceeding, as well as any bona fide settlement offer made during the proceeding taking into account the fees, costs and expenses incurred thereafter. 
 d. Limited Scope. The following are excluded from binding arbitration under this Agreement: claims for workers’ compensation benefits or
unemployment benefits; replevin; and claims for which a binding arbitration agreement is invalid as a matter of law. 
 e. Statutes of
Limitations. All statutes of limitations that would otherwise be applicable (as well as other laws and statutes of applicability to any Dispute in issue) shall apply to any arbitration proceeding hereunder, and the arbitrator is specifically
empowered to decide any question pertaining to limitations. 
 f. Injunctive Relief. The parties hereto may seek injunctive relief in
arbitration; provided, however, that as an exception to the arbitration agreement set forth in Section 8.2 hereof, the parties, in addition to all other available remedies, shall each have the right to initiate an action in any court of
competent jurisdiction in order to request injunctive or other equitable relief regarding the terms of this Agreement. The exclusive venue of any such proceeding shall be in the Agreed Venue. The parties agree (a) to submit to the jurisdiction
of any competent court in the Agreed Venue, (b) to waive any and all defenses the Executive may have on the grounds of lack of jurisdiction of such court, and (c) that neither party shall be required to post any bond, undertaking or other
financial deposit or guarantee in seeking or obtaining such equitable relief. Evidence adduced in any such proceeding for an injunction may be used in arbitration as well. The existence of this right shall not preclude or otherwise limit the
applicability or exercise of any other rights and remedies that a party hereto may have at law or in equity. 
 SECTION 9. 

TERMINATION OF EMPLOYMENT 
 9.1. Events of Termination. In addition to termination of employment in accordance with Section 2 hereof, the Employee’s employment by the Company under this Agreement (1) shall terminate upon the death of the
Employee, and (2) may be terminated by the Company, immediately upon written notice of termination to the Employee, upon the Employee’s Disability or for Cause. In this Agreement: 
 a. “Disability” means the Employee’s becoming incapacitated by accident, sickness, or other circumstances that, in the reasonable judgment
of the Board renders or is expected to render the Employee mentally or physically incapable of performing the essential duties and services required of him hereunder, with or without reasonable accommodation, for a period of at least 90 consecutive
calendar days. 
  

 Page 12 of 20 

 b. “Cause” means any of the following: 
  

	 	i.	the Company’s determination that the Employee has neglected, failed, or refused to render the services or perform any other of her duties or obligations in or under this
Agreement (including, without limitation, because of any alcohol or drug abuse); 

  

	 	ii.	the Employee’s violation of any provision of or obligation under this Agreement; 

  

	 	iii.	the Employee’s indictment for, or entry of a plea of no contest with respect to, any crime that adversely affects or (in the Board’s reasonable judgment) may adversely
affect the Company or the utility of the Employee’s services to the Company; or 

  

	 	iv.	any other act or omission of the Employee involving fraud, theft, dishonesty, disloyalty, or illegality with respect to, or that harms or embarrasses or (in the Board’s
reasonable judgment) may harm or embarrass, the Company or any of its subsidiaries, affiliates, customers, dealers or suppliers. 

 Notwithstanding any other provision of this Agreement, if the Company gives notice of termination for Cause under clauses i. or ii. above in this Section 9.1(b), then the Employee at her sole option shall have sixty (60) days
from the date of such notice to effect a cure or resolution of the reasons giving rise to the termination (the “Employee Remedy Period”) before the termination becomes effective. If the reasons giving rise to such termination are cured or
resolved by the Employee within the Employee Remedy Period, then the termination will be deemed to be without Cause for the purposes of this Agreement, unless it is withdrawn by the Company by the end of the Employee Remedy Period. 
 c. “Good Reason” means any of the following: 
  

	 	i.	the Company’s denial of compensation due and owing to Employee under this Agreement, where such denial is by any means, including but not limited to a material act or omission
of fraud, theft, or dishonesty in the Company’s accounting practices or otherwise; 

  

 Page 13 of 20 

	 	ii.	the requirement by the Company that Employee be based anywhere other than Dallas County, Texas, except for travel incident to the Company’s business; 

 

	 	iii.	the Company’s demotion of the Employee in title or pay, or the Company’s removal of a material portion of the Employee’s significant duties or responsibilities
pursuant to this Agreement, without the Employee’s consent; or 

  

	 	iv.	the Company’s material breach of this Agreement. 

 Notwithstanding
any other provision of this Agreement, if the Employee gives notice of resignation for Good Reason under clauses i., ii., iii., or iv. above in this Section 9.1(c), then the Company at its sole option shall have sixty (60) days from the
date of such notice to effect a cure or resolution of the reasons giving rise to the resignation (the “Company Remedy Period”), before the resignation becomes effective. If the reasons giving rise to such resignation are cured or resolved
by the Company within the Company Remedy Period, then the resignation will be deemed to be without Good Reason for the purposes of this Agreement, unless it is withdrawn by the Employee by the end of the Company Remedy Period. 
 9.2. Non-Renewal. In the event the Company gives notice to the Employee that it will terminate this Agreement at the expiration of the
initial two (2) year term, then the Agreement will automatically terminate at the end of the two-year term. 
 9.3.
Severance. 
 a. Nothing contained in this Agreement shall be construed as impacting the right of the Company to terminate the
Employee’s employment with the Company. 
 b. Unless Employee resigns without Good Reason, or is terminated by the Company for Cause or
due to the death of the Employee, the Employee shall continue to receive her base salary as set forth in Section 3 of this Agreement through the end of her initial two (2) year term or for twelve (12) months from Employee’s last
date of employment, whichever is longer (the “Termination Date”). 
 c. Any amount owed to Employee under this paragraph will be
paid in regular installments on the usual and customary pay dates of the Company. 
 9.4. Release. As a condition to the
receipt of any Severance payment under paragraph 9.3 of this Agreement, Employee shall be required to execute a release, in the form established by the Company, releasing Company and Company’s shareholders, partners, officers, directors,
employees, and agents from any and all claims and from any and all causes of any kind or character, including, but not limited to, all claims or causes of action arising out of the employee’s employment with the Company, the termination of such
employment, or any actions or omissions occurring during such employment, and the performance of Employee’s and Company’s obligations hereunder. 
  

 Page 14 of 20 

 9.5. Effects of Termination. Paragraph 9.3 notwithstanding, upon any cessation or
termination of employment under this Agreement, all further rights of the Employee to employment and compensation and benefits from the Company under this Agreement will cease, except that the Company shall pay the Employee the following:

 a. Any amount of base salary earned by, but not yet paid to, the Employee through the last date of the Employment Period; 
 b. Any annual bonus, or portion thereof, that is earned by, but not yet paid to, the Employee through the Termination Date; 
 c. All reimbursable expenses due, but not paid, to the Employee as of the Termination Date in accordance with Section 3.4 hereof; 
 d. All benefits (or an amount equivalent thereto) that have been earned by or vested in, and are payable to, the Employee under, and subject to the terms
of, the employee-benefit plans or arrangements of the Company in which the Employee participated through the Termination Date in accordance with Section 3.5 hereof; and 
 Any amount due under clause b. above in this Section 9.5 shall be paid in the same manner and on the same date as would have occurred if the Employee’s employment under this Agreement had not ceased. Any
amount due under clause d. above in this Section 9.5 shall be paid in accordance with the terms of the employee-benefit plans or arrangements under which such amounts are due to the Employee. Any amounts due under clause c. of this
Section 9.5 shall be paid in accordance with the terms of the Company’s policies, practices, and procedures regarding reimbursable expenses. Except as modified in paragraph 9.3 hereof for the payment of such amounts when due, the
Company shall have no further obligation or liability under this Agreement for any other compensation, payment, or benefit to the Employee. The stock option agreements between the Parties and the plan shall govern the Employee’s outstanding
stock options upon or after cessation or termination of employment. Also, upon cessation or termination of employment hereunder (unless the Employee continues otherwise to be employed by the Company), the Employee (1) shall return to the
Company the leased vehicle provided for the Employee’s use in accordance with Section 3.6 hereof, and (2) shall resign or shall be deemed to have resigned from any position as an officer or director, or both, of any subsidiary or
affiliate of the Company. 
 9.6. Post-employment Cooperation. Upon and for a period of six (6) months after the
Termination Date, the Employee will cooperate fully with the Company in connection with (a) any matter related to the Company’s business and activities, by being available at mutually agreeable times, in person or by telephone, and without
any unreasonable interference with Employee’s other activities, to provide such information as may from time to time be requested by the Company regarding various matters in which Employee was involved during Employee’s employment with the
Company, and (b) any and all pending or future litigation or administrative claims, investigations, or proceedings involving the Company, including (without limitation) Employee’s meeting with the Company’s counsel and advisors at
reasonable times upon their request, and providing testimony (in court or at depositions) that is truthful, and complete in accordance with information known to him. For all activities required of Employee under this Section 9.4, Employee shall
be compensated at Employee’s then hourly rate, except to the extent prohibited by law. 
  

 Page 15 of 20 

 SECTION 10. 
 MEDIA NON-DISCLOSURE 
 10.1. Media Nondisclosure. The Employee agrees that, both
during and after the Employment Period, except as may be authorized in writing by the Company, the Employee will not directly or indirectly disclose or release to the Media any information concerning or relating to any aspect of the Employee’s
employment or cessation or termination of Employee’s employment with the Company and/or any aspect of any Dispute that is the subject of this Agreement. For the purposes of this Agreement, “Media” includes, without limitation, any
news organization, station, publication, show, website, web log (blog), bulletin board, chat room and/or program (past, present and/or future), whether published through the means of print, radio, television and/or the Internet or otherwise, and any
member, representative, agent and/or employee of the same. 
 SECTION 11. 
 REPRESENTATION BY EMPLOYEE 
 11.1. No Conflict. The
Employee hereby represents and warrants to the Company that Employee’s execution of this Agreement and Employee’s performance of Employee’s duties and obligations hereunder will not conflict with, cause a default under, or give any
party a right to damages under any other agreement or obligation to which the Employee is a party or is bound. 
 SECTION 12.

 GENERAL 
 12.1. Governing Law. This Agreement shall be governed by, and enforced and construed under, the laws of the State of Texas, except to the extent preempted by federal law. 
 12.2. Binding Effect; Assignment. All of the terms and provisions of this Agreement shall be binding upon, inure to the benefit of, and be
enforceable by the respective heirs, representatives, successors (including, without limitation, any successor as a result of a merger or similar reorganization) and assigns of the Parties, except that the Employee’s rights, benefits, duties
and responsibilities hereunder are of a personal nature and shall not be assignable in whole or in part by the Employee. 
 12.3.
Notices. All notices required or permitted to be given under this Agreement shall be in writing and shall be deemed to have been given and received (a) when personally delivered or delivered by same-day courier, (b) on the
third business day after mailing by registered or certified mail, postage prepaid, return receipt requested, or (c) upon delivery when sent by prepaid overnight delivery service, in any case addressed as follows: 
  

 Page 16 of 20 

					
		 	If to the Employee:	 	 Terri Maxwell
 6850 Sonoma

		 		 	Irving, Texas 75039
			
		 	If to the Company:	 	General Counsel
		 		 	Mannatech Incorporated
		 		 	600 S. Royal Lane, Suite 200
		 		 	Coppell, TX 75019

 A Party’s address may be changed from time to time by written notice to the other Party in accordance with
this Section 12.3. 
 12.4. Prior Agreements Superseded. This Agreement supersedes all prior agreements between the
Parties of any and every nature whatsoever, including (without limitation) agreements for additional compensation or benefits. All such prior agreements are null and void. 
 12.5. Duration. Notwithstanding the cessation or termination of Employee’s employment under this Agreement, this Agreement shall
continue to bind the Parties for so long as any obligations remain under the terms of this Agreement. 
 12.6. Amendment;
Waiver. No amendment to or modification of this Agreement, or waiver of any term, provision, or condition of this Agreement, will be binding upon a Party unless the amendment, modification, or waiver is in writing and signed by the
Party to be bound. Any waiver by a Party of a breach or violation of any provision of this Agreement by the other Party shall not be deemed a waiver of any other provision or of any subsequent breach or violation. 
 12.7. Enforcement and Severability. The Parties intend all provisions of this Agreement to be enforced to the fullest extent permitted by
law. Accordingly, should a court of competent jurisdiction determine that the scope of any provision of this Agreement is too broad to be enforced as written, the Parties intend for the court to reform the provision to such narrower scope as it
determines to be reasonable and enforceable. If, however, any provision of this Agreement is held to be illegal, invalid, or unenforceable, the provision shall be severed, this Agreement shall be construed and enforced as if such illegal, invalid,
or unenforceable provision were never a part of it, and the remaining provisions shall remain in full force and effect. 
 12.8.
Subsidiaries Included. Wherever the “Company” is referred to in this Agreement, it shall include all subsidiaries of the Company as they may exist from time to time, even where the term “subsidiaries” is not
explicitly stated in connection with such reference. 
 12.9. Certain Defined Terms; Headings. As used in this Agreement:

 a. “business day” means any Monday through Friday other than any such weekday on which the executive offices of the Company are
closed. 
  

 Page 17 of 20 

 b. “Employment Period” means the term of Employee’s employment under this Agreement, from
the Effective Date through the last date of Employee’s work for the Company under this Agreement, regardless of whether the termination is voluntary, involuntary, for Cause, or not for Cause. 
 c. “herein,” “hereof,” “hereunder,” and similar terms are references to this Agreement as a whole and not to any particular
provision of this Agreement. 
 d. “Person” means an individual, an independent contractor, a sole proprietor, a partnership, a
limited liability company, a corporation, an association, a joint stock company, a trust, a joint venture, an unincorporated organization, a governmental entity, court, department, agency or political subdivision, or other individual, business, or
governmental entity, as applicable. 
 In addition, the use herein of “annual” or “monthly” (or similar terms) to indicate a measurement
period shall not itself be deemed to grant rights to Employee for employment or compensation for such period. The Section and other descriptive headings in this Agreement are only for convenience of reference and are not to be used to construe or
interpret this Agreement or any of its provisions. 
 12.10. Employee Acknowledgment. The Employee affirms and attests, by
signing this Agreement, that the Employee has read this Agreement before signing it and that the Employee fully understands its purposes, terms, and provisions, which the Employee hereby expressly acknowledges to be reasonable in all respects. The
Employee further acknowledges receipt of one copy of this Agreement. 
 12.11. Section 409A Compliance. It is the
intention of the Company and the Employee that this Agreement not result in unfavorable tax consequences to the Employee under Section 409A of the Code. The Company and the Employee acknowledge that only limited guidance has been issued by the
Internal Revenue Service with respect to the application of Code Section 409A to certain arrangements, such as this Agreement. It is expected by the Company and the Employee that the Internal Revenue Service will provide further guidance
regarding the interpretation and application of Section 409A of the Code in connection with finalizing its recently proposed regulations. The Company and the Employee acknowledge further that the full effect of Section 409A of the Code on
potential payments pursuant to this Agreement cannot be determined at the time that the Company and the Employee are entering into this Agreement. The Company and the Employee agree to work together in good faith in an effort to comply with
Section 409A of the Code including, if necessary, amending the Agreement based on further guidance issued by the Internal Revenue Service from time to time, provided that neither party shall be required to assume an economic burden beyond what
is already required by this Agreement. 
  

 Page 18 of 20 

 IN WITNESS WHEREOF, the Parties, intending to be legally bound, have duly entered into this
Agreement as of the Effective Date. 
  

			
	EMPLOYEE:
	
	 /s/ Terri Maxwell

	Terri Maxwell
	
	MANNATECH, INCORPORATED
		
	By:	 	 /s/ Wayne Badovinus

		 	Wayne Badovinus, President and CEO

  

 Page 19 of 20 

 EXHIBIT A 
 Preparation, sale
and distribution of two books regarding leadership and personal development. 
 Responsibilities relating to the sale of Latimark and availability for
limited post-closing transitional matters. 
  

 Page 20 of 20

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00147-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00147-of-00352.parquet"}]]