Document:

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                                                                    EXHIBIT 10.3

                              EMPLOYMENT AGREEMENT

      This Employment Agreement (the "Agreement") is entered into by and between
Mannatech Incorporated (the "Company"), and Bettina Simon (the "Employee"). 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 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 terms and
conditions contained in this Agreement.

      1.2 Office and Duties. The Employee shall serve the Company as Senior
Vice-President and General Counsel, with the authority, duties and
responsibilities customarily incident to such office. The Employee shall perform
such other services commensurate with her position as may from time to time be
assigned to the Employee by the Chief Executive Officer (the "CEO") of the
Company. Further, the Employee's actions shall at all times be subject to the
direction of the CEO of the Company.

      1.3 Performance. During the term of 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 her duties hereunder in a manner that will
faithfully and diligently further the business and interests of the Company. The
Employee shall comply with the employee policies or written manuals of the
Company, as they exist from time to time as applicable generally to the
Company's employees. 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 under this Agreement.

      1.4 Place of Work. The Employee shall perform services under this
Agreement at the Company's principal office in Coppell, Texas, and at such other
place or places as the Employee and the Company shall mutually agree. In
addition, the Employee understands and agrees that she may be required to travel
in connection with the performance of her duties.

      1.5 Directors' and Officers' Liability Insurance. The Company will provide
the Employee with officers' and directors' liability insurance covering acts or
omissions by the Employee in the performance of her duties to the Company under
this Agreement as an officer and, if she serves as such, as a director of the
Company.

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                                   SECTION 2.
                               TERM AND SEVERANCE

      2.1 Term. Employment will commence on October 1, 2001. There is no
specific term of employment under this Agreement. The Employee is employed
at-will, which means that either the Company or the Employee can end the
employment relationship at any time, with or without reason or notice.

      2.2 Severance. If the Company terminates the employment relationship
without cause, the Employee will be eligible to receive a severance payment of
at least three (3) months salary. In the event the current Chief Executive
Officer should terminate his employment with the Company for any reason
whatsoever, the severance amount due to Employee will automatically extend to a
minimum of six (6) months salary. Any severance amounts paid will be based upon
Employee's current salary at the time employment ends and will be paid in equal
installments and in accordance with the normal payroll policies of the Company,
less applicable taxes. For purposes of severance payments only, "cause" shall
mean the Employee's (1) conviction of, or a plea of no contest to, or deferred
adjudication for any felony or misdemeanor that causes harm or embarrassment to
the Company, in the reasonable judgment of the Board of Directors; (2) substance
abuse or use of illegal drugs that impairs that Employee's performance or that
causes harm or embarrassment to the Company; (3) habitual absenteeism, tardiness
or failure to meet performance standards set by the CEO or the Board of
Directors for job performance and results of operation; (4) commission of any
act of fraud, dishonesty, illegality or theft in the course of employment; (5)
any disciplinary action, pertaining to the Employee's law license, including but
not limited to reprimand, suspension, probation or disbarment according to the
rules of disciplinary conduct of the State Bar of Texas; or (6) breach of
Sections 4, 5, 6 or 8 of this Agreement or any fiduciary duty of an officer as a
fiduciary in respect of her duties for the Company as principal.

                                   SECTION 3.
                           COMPENSATION FOR EMPLOYMENT

      3.1 Base Salary. The base annual compensation of the Employee for all of
her employment services to the Company under this Agreement shall be $200,000,
which the Company shall pay to the Employee in equal installments and in
accordance with the normal payroll policies of the Company. The base annual
compensation may be increased at the sole discretion of the Board of Directors
of the Company. The Employee will not be eligible to participate in the Annual
Bonus Plan as defined in paragraph 3.2 for fiscal year 2001.

      3.2 Annual Bonus. For each fiscal year after 2001, the Employee shall be
eligible to receive an annual bonus in accordance with the then approved
executive bonus plan as determined by the CEO of the Company in his sole
discretion and/or in accordance with any criteria established by the Board of
Directors, and subject to the approval and consent of its Compensation
Committee. The Employee acknowledges that any annual bonus is discretionary,
with the sole discretion whether

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to pay a bonus and, if so, in what amount, resting with the Board of Directors
of the Company, and subject to the approval of its Compensation Committee.
Further, the Employee must remain employed by the Company at the time the bonus
is paid, in order to be eligible to receive the annual bonus.

      3.3 Award of Options. Employee shall be awarded stock options under the
Company's 2000 Stock Option Plan of 50,000 at fair market value to be awarded as
of the first date of service of the Employee, subject to the approval of the
Option Committee of the Board of Directors.

      3.4 Payment and Reimbursement of Expenses. During the Term, the Company
shall pay or reimburse the Employee for all reasonable travel and other expenses
incurred by the Employee in performing her obligations under this Agreement in
accordance with the policies and procedures of the Company, provided that the
Employee properly accounts for such expenses in accordance with the regular
policies of the Company.

      3.5 Other Benefits. During the Term, the Employee shall be entitled to
participate in or receive benefits under any plan or arrangement made available
by the Company to its employees (including any medical, dental, short-term and
long-term disability, life insurance and 401(k) programs), subject to and on a
basis consistent with the terms, conditions and overall administration of such
plans and arrangements. Any such plan or arrangement shall be revocable and
subject to termination or amendment at any time. The Employee will also be
eligible to participate in the Executive vehicle program and will be provided a
vehicle under the lease program with a lease value (at a cost no greater than
$1,000.00 per month), auto liability insurance coverage (comprehensive,
collision and liability) paid by the Company and all routine and necessary
repairs paid for by the Company or reimbursed to Employee subject to approval by
the Chief Financial Officer. During the Employee's employment, the Company shall
also pay annual dues, as they are incurred for the maintenance of professional
licensure and/or membership in the American Bar Association, the Texas State Bar
and the Dallas Bar Association. The Company shall likewise pay for up to 30
hours of continuing legal education annually, subject to prior approval of the
CEO.

      3.6 Vacation. During each year of the Term and in accordance with the
regular policies of the Company, the Employee shall be entitled to three (3)
weeks of vacation, during which her compensation hereunder shall be paid in
full. Such vacation shall be fully vested upon execution of this Agreement and
taken at times consistent with the effective discharge of the Employee's duties.

                                   SECTION 4.
                            CONFIDENTIAL INFORMATION

      4.1 Confidential Information. Employee specifically agrees that Employee
will not at any time, during or after Employee's employment by Company, in any
manner, either directly or indirectly, use, divulge, disclose, or communicate to
any person, firm, or corporation, any confidential information of any kind,
nature, or description concerning any matters affecting or

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relating to the business of Company (hereinafter referred to as "Confidential
Information").

      4.2 Confidential Information includes but is not limited to: Company
genealogies (being the information held by Company related to its Associates,
including without limitation its relationship with each of its Associates, the
sponsoring of each Associate, the Associate's upline and downline, charts, data
reports and other materials, historical purchasing information for each
Associate), proprietary product information which may from time-to-time be made
known to Employee, the names, buying habits, or practices of any of Company's
customers or Associates; Company's marketing methods and related data; the names
of Company's vendors or suppliers; costs of materials; costs of its Products
generally, the prices Company obtains or has obtained or at which it sells or
has sold its Products or services; manufacturing and sales costs; lists or other
written records used in Company's business; compensation paid to it Associates
and Employees and other terms of employment thereof; manufacturing processes;
scientific studies or analyses other than those published for use by the Company
for the benefit of its Associates, details of training methods, new products or
new uses for old products, merchandising or sales techniques, contracts and
licenses, business systems, computer programs, or any other confidential
information of, about, or concerning the business of Company; its manner of
operation or other confidential data of any kind, nature or description.

      4.3 Employee agrees that all equipment, notebooks, documents, memoranda,
reports, notes, files, sample books, correspondence, lists, other written and
graphic records, and the like, affecting or relating to the business of Company,
which Employee shall prepare, use, construct, possess, control or otherwise come
into the Employee's possession while employed by Company concerning any process,
apparatus or products manufactured, sold, used, developed, investigated or
considered by Company concerning the Confidential Information or concerning any
other business or activity of the Corporation shall remain at all times the
property of Company and shall be delivered to Company upon termination of
employment with Company for any reason or at any time upon request.

      4.4 Employee agrees that, during the term of employment with Company or
upon termination thereof, and if requested by Company to do so, the Employee
will sign an appropriate list of any and all Confidential Information of Company
of which the Employee has knowledge or about which the Employee has acquired
information.

      4.5 The Employee agrees to only use the Confidential Information for
Company business and shall return copies of any such information to Company
forthwith upon termination of employment for whatever reason.

      4.6 From time-to-time during the term of this Agreement, additional
Confidential Information may be developed, obtained and otherwise made known to
Employee. Employee specifically agrees that all such additional Confidential
Information shall be embraced within the terms of this Agreement.

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      4.7 The Parties agree that, as between them, all Confidential Information
is important, material, trade secret, highly sensitive and valuable to Company's
business and its goodwill and is transmitted to the Employee in strictest
confidence. Company's legitimate business interests require the non-disclosure
thereof to (among other things) Company's competitors. The Confidential
Information would not be delivered or made available to Employee absent these
provisions of Section 4 of this Agreement.

      4.8 The Parties agree that Company shall suffer irreparable harm in the
event its Confidential Information is disseminated in a manner in contravention
of its interests. Company therefore reserves the right to seek injunctive relief
or any other remedy available at law to protect its Confidential Information.

      4.9 The Employee shall not during the term of the Agreement or for a
period of three (3) years thereafter take or encourage any action the purpose or
effect of which would be to circumvent, breach, interfere with or diminish the
value or benefit of Company's Confidential Information and, without prejudice to
the generality of the foregoing, the Employee shall not directly or indirectly
contract, solicit, entice, sponsor or accept any of Company's Associates into,
or in any way promote to any such Associates opportunities in marketing programs
of any direct sales company other than Company.

      4.10 If any Confidential Information or other matter described in this
Agreement is sought by legal process, Employee will promptly notify Company and
will cooperate with Company in preserving its confidentiality.

                                   SECTION 5.
             OWNERSHIP OF INFORMATION, INVENTIONS AND ORIGINAL WORK

      5.1 Ownership Of Information, Inventions And Original Work. Employee
agrees that any creative works, discoveries, designs, software, computer
programs, inventions, improvements, modifications, enhancements, know-how,
formulation, concept or idea which is conceived, created or developed by
Employee, either alone or with others (collectively referred to as "Work
Product") is the exclusive property of the Company if either:

            a.    it was conceived or developed in any part on Company time;

            b.    any equipment, facilities, materials or Confidential
                  Information of the Company was used in its conception or
                  development; or

            c.    it either: (i) relates, at the time of conception or reduction
                  to practice, to the Company's business or to an actual or
                  demonstrably anticipated research or development project of
                  the Company, or (ii) results from any work performed by
                  Employee for the Company.

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With respect to any such Work Product, Employee agrees as follows:

            a.    Employee shall promptly disclose the Work Product to the
                  Company;

            b.    Employee agrees to assign, and hereby does assign, all
                  proprietary rights to such Work Product to the Company without
                  further compensation;

            c.    Employee agrees not to file any patent or copyright
                  applications related to such Work Product except with the
                  written consent of the Board;

            d.    Employee agrees to assist the Company in obtaining any patent
                  or copyright on such Work Product, and to provide such
                  documentation and assistance as is necessary to the Company to
                  obtain such patent or copyright; and

            e.    Employee shall maintain adequate written records of such Work
                  Product, in such a format as may be specified by the Company.
                  Such records will be available to and remain the sole property
                  of the Company at all times.

      Any Work Product disclosed by Employee within one (1) year following the
termination of employment from the Company shall be deemed to be owned by the
Company under the terms of this Agreement, unless proved by the Employee to have
been conceived after such termination.

                                   SECTION 6.
                              RESTRICTIVE COVENANTS

      6.1 Restrictive Covenants. Employee acknowledges that in order to
effectuate the promise to hold Confidential Information in trust for the
Company, it is necessary to enter into the following restrictive covenants.
Without the prior written consent of the Company, Employee shall not, during
employment at the Company or for a period of one (1) year following the
termination of employment:

            a.    Solicit, induce or attempt to solicit or induce, on behalf of
                  herself or any other person or entity, any employee of the
                  Company to terminate their employment with the Company;

            b.    Solicit business from, attempt to do business with, or do
                  business with any person or entity that was a customer/client
                  of the Company during Employee's employment with the Company,
                  if such business is in the scope of services or products
                  provided by the Company. The geographic area for

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                  purposes of this restriction is the area where the
                  customer/client is located and/or does business.

            For a period of ninety (90) days following termination of
            employment, Employee shall not:

            c.    Engage in or performed services for a competing business. For
                  purposes of this Agreement, "Competing Business" is one whose
                  primary business is the sale of nutritional supplements or
                  which provides the same or substantially similar products and
                  services as those provided by the Company during Employee's
                  employment, including but not limited to providers of
                  nutritional supplements. The geographic area for purposes of
                  this restriction is the area(s) within a 50 mile radius of any
                  Company office in existence during Employee's employment with
                  the Company; or

            d.    Have any indirect or direct financial interest in a competing
                  business; provided, however, that the ownership by Employee of
                  any stock listed on any national securities exchange of any
                  corporation conducting a competing business shall not be
                  deemed a violation of this Agreement if the aggregate amount
                  of such stock owned by Employee does not exceed one percent
                  (1%) of the total outstanding stock of such corporation.

      6.2 The foregoing covenants not to compete shall not be held invalid or
unenforceable because of the scope or the territory or actions subject thereto
or restricted thereby, or the period of time within which such Agreement is
operative; but award or decree in arbitration or any judgment of a court of
competent jurisdiction, as the case may be, may define the maximum territory and
actions subject thereto and restricted by this Article 6 and the period of time
during which the Agreement is enforceable. Any alleged breach of other
provisions of this Agreement asserted by the Employee shall not be a defense for
the Employee to claims arising from Company's enforcement of the provisions of
this paragraph. Should the Employee violate the non-competition covenants of
this Article 6, then the period of time for these covenants shall automatically
be extended for the period of time from which the Employee began such violation
until the Employee permanently ceases such violation.

                                   SECTION 7.
                                    REMEDIES

      7.1 Remedies. In the event of a breach of this Agreement by Employee, the
Company shall be entitled to all appropriate equitable and legal relief,
including, but not limited to: (a) injunction to enforce this Agreement or
prevent conduct in violation of this Agreement; (b) damages incurred by the
Company as a result of the breach; and (c) attorneys' fees and costs incurred by
the Company in enforcing the terms of this Agreement. Additionally, any period
or periods of breach of

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paragraph 6 of this Agreement shall not count toward the one (1) year
restriction, but shall instead be added to the one (1) year restrictive period.

                                   SECTION 8.
                           REPRESENTATION BY EMPLOYEE

      8.1 Representation by Employee. Employee hereby represents and warrants to
the Company that the execution of this Agreement by Employee and Employee's
performance of her duties hereunder will not conflict with, cause a default
under, or give any party a right to damages under any other agreement to which
Employee is a party or is bound.

                                   SECTION 9.
                                     GENERAL

      9.1 Governing Law. This Agreement shall be governed by and construed under
the laws of the State of Texas or, at the Company's sole option, by the laws of
the state or states where this Agreement may be at issue in any litigation
involving the Company. Venue of any litigation arising from this Agreement shall
be in a court of competent jurisdiction in Dallas County, Texas.

      9.2 Binding Effect. All of the terms and provisions of this Agreement
shall be binding upon and inure to the benefit and be enforceable by the
respective heirs, representatives, successors (including any successor as a
result of a merger or similar reorganization) and assigns of the parties hereto,
except that the duties and responsibilities of the Employee hereunder are of a
personal nature and shall not be assignable in whole or in part by the Employee,
and the Company may not assign its rights, duties, or responsibilities without
the consent of the Employee. This Agreement is subject to the approval of the
Company's Board of Directors and its Compensation and Option Committees,
respectively.

      9.3 Notices. All notices required to be given under this Agreement shall
be in writing and shall be deemed to have been given and received when
personally delivered, or when mailed by registered or certified mail, postage
prepaid, return receipt requested, or when sent by overnight delivery service,
addressed as follows:

            If to the Employee:     Bettina Simon
                                    8718 Autumn Oaks Drive
                                    Dallas, Texas 75243

            If to the Employer:     Robert M. Henry
                                    Chief Executive Officer
                                    Mannatech Incorporated
                                    600 S. Royal Lane
                                    Suite 200
                                    Coppell, Texas 75019

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Such addresses may be changed from time to time by written notice to the other
party.

      9.4 Entire Agreement; Modification. This Agreement constitutes the entire
agreement of the parties hereto with respect to the subject matter hereof, and
supersedes all other agreements (oral or written) with respect to the subject
matter hereof. This Agreement may not be modified or amended in any way except
in writing by the parties hereto.

      9.5 Duration. Notwithstanding the termination of Employee's employment by
the Company, this Agreement shall continue to bind the parties for so long as
any obligations remain under the terms of this Agreement.

      9.6 Waiver. No waiver of any breach of this Agreement shall be construed
to be a waiver as to succeeding breaches.

      9.7 Severability. In the event any court of competent jurisdiction holds
any provision of this Agreement to be invalid, the remaining provisions shall
not be affected or invalidated and shall remain in full force and effect.

      9.8 Subsidiaries. Wherever the term Company is referred to in this
Agreement, it shall include all subsidiaries of the Company even where the term
"subsidiaries" is not explicitly stated in connection with such reference, as
such subsidiaries may exist from time to time.

      IN WITNESS WHEREOF, the parties hereto, intending to be legally bound,
have duly executed this Agreement as of the day and year first written above.

                                            EMPLOYEE:

                                        /s/ Bettina Simon
                                        ----------------------------------------
                                            Bettina Simon

                                            Date: September 14, 2001
                                                 -------------------------------

                                            MANNATECH, INCORPORATED

                                            By: /s/ Robert M. Henry
                                                --------------------------------
                                                    Robert M. Henry
                                                    Chief Executive Officer

                                            Date: September 14, 2001
                                                 -------------------------------

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                                                                    EXHIBIT 10.4

                               September 10, 2001

JETT
59-340 Olahama Road
Kamuela, Hawaii 96743

RE: Follow-Up Agreement to Letter of Intent dated July 12, 2001

Dear Jett:

      This letter shall set forth our understanding going forward concerning the
Letter Agreement submitted to you dated November 1, 1999 and the
above-referenced Letter of Intent pertaining to the payment obligation of $2.8
million, as indicated and attached hereto as Exhibits "A" and "B", respectively
and both of which are fully integrated and incorporated by reference herein.

      As of September 1, 2001, Mannatech will have paid to you the final monthly
payment of $50,000 for a total of $1.2 million. Mannatech has agreed to pay to
you the balance of $1.6 million ("Balance") through royalty payments on two
audiotapes, the content of which will be comprised of material that has been
reviewed by Mannatech legal counsel to ensure compliance with all governmental
laws, rules and regulations in each of the countries in which the audiotapes are
contemplated to be sold (both tapes shall hereinafter be referred to as the
"Tape"). The audiotapes shall be in two formats, one such format to be included
in Associate Business Packs and the other in Associate Consumer/Product Packs.

      You agree to fully cooperate with Mannatech's SeniorVice President of
Marketing (or his designee) in the development and any subsequent revisions of
this Tape, as may be required from time-to-time. The Tape will be included in
each Associate Sign-up kit ("Kit") and the equivalent in each country of
operation in which the Tape is included in the Kits). Mannatech shall pay to you
a royalty of $5.00 for each Kit sold (of which the Tape is included) until such
time as the Balance is paid in full. On a monthly basis, commencing on the month
following inclusion of the Tape, Mannatech shall compute the total royalties
earned by you and, on making that determination, shall remit promptly the
royalty payment and a copy of the royalty statement thirty (30) days after the
computation date and on the same date at the end of each month throughout the
term of this Agreement, to you or your appointed agent. If you, for any reason,
object to any royalty statement submitted by Mannatech, you shall set forth the
objection in writing and submit it to the Chief Financial Officer within thirty
(30) days from the date of the statement. Any objection you may have to any
royalty statement shall be deemed waived unless it is transmitted in accordance
with the terms of this paragraph. Royalties will not be paid on those Tapes
retained by Mannatech for promotional or internal usage.

      Mannatech has previously reviewed and approved materials that you have
produced for sale through third-party vendors. Mannatech will likewise afford to
you the opportunity to sell the following promotional materials through its
Internet storefront, the sales price, royalties and proceeds of which to be
determined at a later date and governed by a separate written agreement, but in
any event, the agreed proceeds from those Internet storefront sales shall be
applied against the Balance:

      Jett's Millionaire University (MT approval Number: MT99004A)
      Jett's Millionaire University Handbook (MT approval Number: MT99004B)

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(collectively, "Pre-Approved Materials"). Mannatech will likewise consider
inclusion of other promotional sales materials that you have produced, pending
review and approval of the content in accordance with Mannatech's current
policies and procedures pertaining to third-party vendors and production of
promotional materials. Notwithstanding the foregoing, the provisions of this
paragraph shall not apply if sales of MT99004A and MT99004B should cause you to
breach any prior agreement you may have with a third-party for sales of the
same.

      Mannatech will continue to support your efforts to build a Mannatech
business in Japan and will reimburse you for reasonable expenses incurred
subject to the following criteria:

      a.    Trips to Japan should be pre-approved by the President of
            International Operations or the Chief Executive Officer;
      b.    Expense reimbursement will include round trip business class airfare
            plus meals and lodging expenses, not to exceed $ 250.00 per day;
      c.    All expenses must be documented and submitted for reimbursement
            within a reasonable period of time after trips are completed; and
      d.    Expense reimbursement as contemplated in this paragraph shall cease
            on December 31, 2001.

      Mannatech shall use its best efforts to arrange a convenient time and
location for the production of the Tape as outlined herein. The Parties agree
that time is of the essence as to the production of the Tape and in any event,
the Tape must be produced for inclusion in the Kits during the first quarter of
fiscal year 2002. The Parties agree to fully cooperate in good faith to ensure
the content of the tape is mutually agreeable as outlined herein.

      We expect and you agree that the respective tradename(s), trademarks,
copyrights, marketing plans, identity and related information regarding
Associates and any information relating to the management/operations of
Mannatech ("Confidential Information") is the sole property and trade secret of
Mannatech. The Confidential Information shall not be used, sold, disclosed or
assigned by you for any purpose. Upon termination of this Agreement, you agree
to return to Mannatech all written materials, software,
customer/member/representative lists and other information that contains
Confidential Information and you further agree not to use such Confidential
Information. You agree that Mannatech will suffer irreparable harm in the event
its Confidential Information is disclosed to third-parties for which damages
would be inadequate. In the event of breach or threatened breach of this
Section, Mannatech will be entitled to an injunction restraining you from
disclosing, in whole or in part, any Confidential Information to any person,
firm, Company, association or other entity to whom Mannatech's Confidential
Information, in whole or in part, has been disclosed or threatened to be
disclosed. Nothing contained herein will be construed as limiting Mannatech
from, or prohibiting Mannatech from, pursuing any other remedies available to it
for such breach, or threatened breach, including recovery of damages. This
section shall survive the termination of this agreement.

      While you are associated with Mannatech or any of its subsidiaries and for
a period of one year thereafter ("One Year Period") or a shorter period with the
written consent of Mannatech), after you shall cease to be associated with
Mannatech for any reason, you agree not to, directly or indirectly, own an
interest in, operate, join, control or participate in, or be connected as an
officer, employee, agent, independent contractor, partner, shareholder, or
principal of any corporation, partnership, proprietorship, firm, association,
person or other entity producing, designing, providing, soliciting orders for,
selling, distributing, or marketing products, goods, equipment, or services of
any other multi-level marketing or direct selling company any

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country in which Mannatech conducts business, nor shall you develop any products
or goods during such One Year Period which compete with the goods and products
of Mannatech

      You agree that the foregoing covenants not to compete shall not be held
invalid or unenforceable because of the scope or the territory or actions
subject thereto or restricted thereby, or the period of time within which such
Agreement is operative; but award or decree in arbitration or any judgment of a
court of competent jurisdiction, as the case may be, may define the maximum
territory and actions subject thereto and restricted by this provision and the
period of time during which the Agreement is enforceable. Any alleged breach of
other provisions of this Agreement asserted by you shall not be a defense for
you to claims arising from Mannatech's enforcement of the provisions of this
paragraph or alternatively, that you have agreed to the broadest restrictive
covenants against competition by you with Mannatech during the One Year Period,
as may construed by a court of competent jurisdiction. Should you violate the
non-competition provision, then the period of time for these covenants shall
automatically be extended for the period of time from which you began such
violation until you permanently cease such violation.

      Mannatech expects and you further agree that once the Balance has been
paid in full or in the event that you breach any provision herein for any reason
whatsoever, Mannatech's payment obligations as described hereunder shall
automatically cease and Mannatech shall be under no obligation to continue to
include the Tape and/or offer for sale any of the Pre-approved Materials as
contemplated hereby.

      This Letter Agreement embodies and constitutes the entire understanding
between Mannatech and yourself with respect to the transactions contemplated
herein, and all prior or contemporaneous agreements, understandings,
representations and statements (oral or written) of any nature whatsoever,
including agreements for additional compensation, benefits and stock are fully
integrated and merged into this Letter Agreement. The foregoing notwithstanding,
nothing in this Letter Agreement shall be deemed to alter or amend the
obligations created under any Associate Agreement, which creates an Associate
position in the Mannatech downline of which you are a party.

      You agree that this Agreement is entered in and under the laws of the
State of Texas and is to be enforced and shall be interpreted under the laws of
the State of Texas. You further agree that any dispute concerning this
Agreement, the obligations or alleged breach of this Agreement, and any other
claim, dispute or other difference which may arise between Mannatech and
yourself regarding this Agreement shall be resolved exclusively by binding
arbitration pursuant to the Commercial Arbitration Rules of the American
Arbitration Association, which arbitration, if necessary, shall be in Dallas,
Texas. You further agree that exclusive jurisdiction and venue to enforce the
arbitration provisions of this agreement shall be in a state or federal court of
appropriate jurisdiction in Dallas County, Texas. You additionally consent to
personal jurisdiction in Dallas County, Texas, for any action to enforce
arbitration including any further rules provided for emergency or extraordinary
relief, as to this Letter Agreement.

      From time-to-time, as our relationship evolves, we may reach other
requirements, undertakings or provisions which require additional documentation,
and which may either supplement or amend this letter. Such supplements and
amendments shall be binding Mannatech and you only to the extent that they are
included in a writing signed by both parties.

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      The offer as set forth herein shall expire and be automatically revoked
and cancelled unless Mannatech received an executed original of this Agreement
on or before 5:00 p.m. CST, September 25, 2001.

      Very Truly Yours,
      Mannatech, Inc.

      By:  Robert M. Henry
           ---------------------------------
           Robert M. Henry
      Its: Chief Executive Officer

AGREED AS OF THE 20th DAY OF SEPTEMBER, 2001
                 ----

/s/ Jett
---------------------------------
JETT

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                                 ATTACHMENT "A"
                           FIRST CONSULTANCY AGREEMENT

                           Effective November 1, 1999

JETT
59-340 Olahama Road
Kamuela, Hawaii 96743

RE: Letter of Understanding Regarding Consultancy

Dear Jett:

      First, under the terms and conditions stated in this letter, let me
confirm to you your engagement as a consultant and corporate spokesperson
concerning the products and business of Mannatech(TM) Incorporated ("Mannatech")
and its wholly owned subsidiary, Mannatech Japan Incorporated ("MJI")
collectively, the "Corporation". Your engagement, as in the instance of many of
our consultants, is simply at the will of the parties, subject to thirty (30)
days notice in writing by either party of termination but subject to the
continuing payment obligation by Mannatech as outlined in the third paragraph
(up to a total of $2,800,000.00). Both the Corporation and yourself agree to be
governed by all policies and procedures as attached hereto as "Exhibit A -
Policies & Procedures" and including such additional policies & procedures as
may be furnished to you from time-to-time as applicable to representatives of
the Corporation and respecting the presentation of the products, the science and
the results of taking the products, the business and marketing plan and
applicable national or local law(s) in Japan and in any of other countries in
which the performance of this agreement occurs. We welcome you in this role, and
look forward to the exciting developments for our company and the many people
using our products and participating in the Compensation Plan, that your
expertise will undoubtedly bring.

      The second purpose of this letter is to outline the financial and legal
terms of your engagement as a consultant for the Corporation.

      The Corporation has agreed to pay to you for the first twelve (12) months
of this agreement the monthly sum of $50,000.00 for your services as a
consultant and spokesperson for the Corporation, which amount will be remitted
to you in monthly installments of $50,000.00 on the first day of each month
during which this agreement is in effect and your services are rendered to the
Corporation. The Corporation has further agreed to pay to

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you during the secondary term of this agreement, months 13-24 $50,0000 per month
in addition to commissions derived from the sales of packs or royalties from
certain promotional materials ("Promotional Materials") sold by the Corporation
under terms and with content as the parties shall agree, ("Commissions"). In any
event, such Commissions shall be paid until a total compensation from all
sources reaches $2,800,000.00, or until termination by either party, whichever
occurs first. You agree that you are and will continue to be during the
effective period of this agreement, an independent contractor for federal income
tax and all other purposes, and will, accordingly, file, remit and pay all
required amounts attributable to your income as an independent contractor to any
and all taxing authorities, as required.

      The Corporation will likewise pay the reasonable cost of any travel and
incidental expenses for travel undertaken in pursuit of your consultancy. The
advance approval for travel, and subsequent reimbursement of expenses shall be
made through the Chief Operations Officer - International or myself. All such
approved travel shall be coordinated through the corporate travel department.
The Corporation reserves the right to indicate certain facilities and/or
specific vendors to be utilized by you in furtherance of your duties and
obligations as specified herein.

      It is our intention that you, working with others that the Corporation
shall employ or retain on a contract basis, may work with others during the
period in which the Corporation prepares for its official entre into Japan
("Prelaunch") and the period thereafter in which the Corporation is officially
open and conducting business ("Post Launch").

      During the Prelaunch period, we expect and you agree to use your best
efforts to:

      1.    Motivate Mannatech leadership and rank and file Independent
            Associates (collectively, "Associates") related to the prospects for
            downline expansion into Japan;
      2.    Continue to identify interested, experienced multilevel marketers
            and other recruitment prospects in Japan;
      3.    Advise the Corporation's marketing team on issues, as requested,
            including the development of culturally appropriate marketing
            materials and corporate information; and
      4.    Develop specialized materials for recruitment, training and
            motivational use in Japan.
      5.    Such other activities as you and the Corporation shall agree.

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      During the Post Launch period, we expect and you agree to use your best
efforts to:

      1.    Continue all of the duties and obligations as heretofore described;
      2.    Continue to recruit and renew motivation of interested individuals,
            particularly high-level recruitment;
      3.    Speak and train at Corporation-sponsored meetings and
            Associate-sponsored meetings (collectively, "Events")as held from
            time-to-time in Japan; Lend your expertise to the Corporation
            regarding recommended approaches and elimination of barriers to
            entry into the Japanese marketplace; and
      4.    Represent the Corporation in marketing from the Associate level with
            Japan.
      5.    Such other activities as you and the Corporation shall agree.

      You agree to submit all materials ("Materials") prepared in advance of
personal appearances ("Appearance") at Events and to training by Mannatech
personnel and any department included thereof, including but not limited to
Regulatory and Compliance Training prior to the presentation of Materials at any
Appearance or Event. Such training to include instructions and requirements
related to educational and opportunity meeting guidelines for Japan. All
Materials shall be submitted to Mannatech for review and approval at least one
week prior to any scheduled Appearance or Event. Changes required by Mannatech
must be integrated and implemented in all Materials prior to presentation at the
Event. You further agree to promote only those promotional materials to
Independent Associates and prospects that have been pre-approved by Mannatech.
The requirements of this paragraph shall embrace all training support products
("Training Products") created by you, for profit or otherwise and sold through a
third-party vendor ("Vendor") or through the Corporation's Promotional Materials
progam.

      We expect and you agree that the respective tradename(s), trademarks,
copyrights, marketing plans, identity and related information regarding
Associates and any information relating to the management/operations of the
Corporation ("Confidential Information") is the sole property and trade secret
of the Corporation. The Confidential Information shall not be used, sold,
disclosed or assigned by you for any purpose. Upon termination of this
Agreement, you agree to return to the Corporation all written materials,
software, customer/member/representative lists and other information that
contains Confidential Information and you further agree not to use such
Confidential Information. You agree that the Corporation will suffer irreparable
harm in the event its Confidential Information is disclosed to third-parties for
which damages would

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be inadequate. In the event of breach or threatened breach of this Section, the
Corporation will be entitled to an injunction restraining you from disclosing,
in whole or in part, any Confidential Information to any person, firm, Company,
association or other entity to whom the Corporation's Confidential Information,
in whole or in part, has been disclosed or threatened to be disclosed. Nothing
contained herein will be construed as limiting the Corporation from, or
prohibiting the Corporation from, pursuing any other remedies available to it
for such breach, or threatened breach, including recovery of damages. This
section shall survive the termination of this agreement.

      While you are associated with the Corporation or any of its subsidiaries
and for a period of one year thereafter ("One Year Period") or a shorter period
with the written consent of the Corporation), after you shall cease to be
associated with Mannatech for any reason, you agree not to, directly or
indirectly, own an interest in, operate, join, control or participate in, or be
connected as an officer, employee, agent, independent contractor, partner,
shareholder, or principal of any corporation, partnership, proprietorship, firm,
association, person or other entity producing, designing, providing, soliciting
orders for, selling, distributing, or marketing products, goods, equipment, or
services that directly or indirectly compete with the Corporation's products or
its business in any country in which the Corporation conducts business, nor
shall you develop any products or goods during such One Year Period which
compete with the goods and products of the Corporation

      You agree that the foregoing covenants not to compete shall not be held
invalid or unenforceable because of the scope or the territory or actions
subject thereto or restricted thereby, or the period of time within which such
Agreement is operative; but award or decree in arbitration or any judgement of a
court of competent jurisdiction, as the case may be, may define the maximum
territory and actions subject thereto and restricted by this provision and the
period of time during which the Agreement is enforceable. Any alleged breach of
other provisions of this Agreement asserted by you shall not be a defense for
you to claims arising from the Corporation's enforcement of the provisions of
this paragraph or alternatively, that you have agreed to the broadest
restrictive covenants against competition by you with the Corporation during the
One Year Period, as may construed by a court of competent jurisdiction. Should
you violate the non-competition provision, then the period of time for these
covenants shall automatically be extended for the period of time from which you
began such violation until you permanently cease such violation.

      We expect and you agree to use best efforts to promote Mannatech and
assist Mannatech's existing leadership as they

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<PAGE>

expand into the Japanese market by conducting meetings, training sessions and
support focusing on the areas of productivity, personal and leadership
development. You further agree to refrain from making disparaging comments
and/or behavior toward the Corporation, its executives, employees, Independent
Associates and/or its proprietary products in any manner during the term of this
agreement and thereafter after the agreement terminates, for any reason, and
further agree to conduct yourself in accordance with the national and local laws
and regulations of Japan or wherever your appearance takes place. You agree to
act in a manner, which shall not be in contravention of any directives from the
Corporation and/or its representatives and in a manner consistent with favorable
advancement and promotion of the Corporation and its products. This covenant
shall survive the termination of this agreement.

      We expect, and you agree, that you shall not, at any time during this
consultancy, without the prior written consent of Samuel Caster, President,
either alone or jointly with or as agent, director, manager, consultant,
employee or partner of any other person, firm, company or organization, directly
or indirectly be engaged or concerned in any business or activity which competes
directly with any business carried on by the Corporation and distributed by
direct selling methods, including multi-level marketing. Further, you agree that
in relation to any business carried on by the Corporation, you shall not
canvass, solicit, or endeavor to take away from the Corporation the business or
custom of any person, firm, company or organization who or which was, during the
term of this agreement, a customer, client or Independent Associate of the
Corporation.

      You agree that this agreement is strictly confidential. In the event that
this agreement is made public or discussed with Associates or others who are not
a party hereto, the Corporation reserves the right to enjoin such action as may
be permitted by law. You acknowledge and agree that this confidentiality
provision was material to Mannatech's willingness to enter this agreement and
provide the funds being paid to you by Mannatech hereunder.

      This agreement supersedes all prior oral and written agreements between
the Corporation and you of any and every nature whatsoever, including agreements
for additional compensation, benefits and stock except as embodied in this
agreement and as set forth in any Mannatech Associate Agreement to which you or
any entity with which you are affiliated is a party (including the Associate
Policies and Procedures from time-to-time in effect, which are incorporated into
such Agreement(s) by reference,).

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      You agree that this Agreement is entered in and under the laws of the
State of Texas and is to be enforced and shall be interpreted under the laws of
the State of Texas. Each party hereto further agrees that any dispute concerning
this Agreement, the obligations or alleged breach of this Agreement, and any
other claim, dispute or other difference which may arise between any of them
regarding this Agreement shall be resolved exclusively by binding arbitration
pursuant to the Commercial Arbitration Rules of the American Arbitration
Association, which arbitration, if necessary, shall be in Dallas, Texas. The
parties further agree that exclusive jurisdiction and venue to enforce the
arbitration provisions of this agreement shall be in a state or federal court of
appropriate jurisdiction in Dallas County, Texas. Each party consents to
personal jurisdiction in Dallas County, Texas, for any action to enforce
arbitration including any further rules provided for emergency or extraordinary
relief, as to this agreement.

      From time-to-time, as our relationship evolves, we may reach other
requirements, undertakings or provisions which require additional documentation,
and which may either supplement or amend this letter. Such supplements and
amendments shall be binding on the Corporation and you only to the extent that
they are included in a writing signed by both parties.

      If the foregoing terms and conditions are agreeable to you, please execute
and return a duplicate of the original of the letter, such to constitute the
agreement between us.

                                        Very Truly Yours,
                                        MANNATECH INCORPORATED

                                        Charles E. Fioretti
                                        Chairman and Chief Executive Officer

ACCEPTED AND AGREED:

_________________________________
Jett

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                                   Exhibit "B"
                                  July 12, 2001

JETT
59-340 Olahama Road
Kamuela, Hawaii 96743

RE: Letter of Intent regarding Consultancy Agreement dated November 1, 1999

Dear Jett:

Subsequent to our telephone conversation of 7/11/2001, I want to confirm that
Mannatech, Inc. is prepared to honor the terms and conditions contained in the
"Letter of understanding regarding Consultancy" dated November 1, 1999 (as
attached hereto as Attachment "A" - "First Consultancy Agreement"), provided you
agree to sign a new Consultancy Agreement Letter which shall include these
amendments:

      1.    Mannatech will make two more payments of $50,000 each corresponding
            to installment #23 on August 1, 2001 and installment #24 on
            September 1, 2001 to complete the total amount of $1.2 million as
            agreed upon in the First Consultancy Agreement.

      2.    Mannatech will continue to support your efforts to build a Mannatech
            business in Japan and will reimburse you for reasonable expenses
            incurred in Japan subject to the following criteria:

            a.    Trips to Japan should be pre-approved by the Mannatech
                  President of International Operations or the CEO.
            b.    Expense reimbursement will include round trip business class
                  airfare plus meals and lodging expenses for up to $250.00 per
                  day
            c.    All expenses should be documented and submitted for
                  reimbursement within a reasonable period of time after trips
                  are completed.
            d.    Expense reimbursement will end December 31, 2001.

      3.    The balance owed of the original $2.8 million payment obligation
            (that being $1.6 million) indicated in the First Consultancy
            Agreement will be paid as follows:

            a.    Mannatech will incorporate in the Mannatech Associate Sign-up
                  Kit ("Kit"), not later than the second quarter 2002, a series
                  of training audiotapes produced by Jett ("Audiotape"). Each
                  Kit sold by Mannatech will generate a royalty of approximately
                  $5.00 per Kit.
            b.    Royalties will be paid to you on a monthly basis after
                  computing the total amount of kits sold during that particular
                  month and in accordance with Mannatech's standard royalty
                  payment procedures. Royalties will be paid only on those
                  Audiotapes contained in the Kit and will not be paid on
<PAGE>

                  those Audiotapes retained by Mannatech for promotional or
                  internal purposes.
            c.    The payment will continue on a monthly basis until the $1.6
                  million is paid in its entirely, unless and until we reach a
                  subsequent written agreement pertaining to this payment
                  obligation.

      4.    You understand that as a public corporation Mannatech was required
            to disclose the First Consultancy Agreement (see Mannatech 1999
            annual report). Therefore, any other payment arrangement different
            to that indicated in this Agreement will require Mannatech to make a
            public disclosure through SEC filings; thus creating a difficult
            situation vis-a-vis other top leaders in the company as this will be
            perceived as a new agreement with you.

            Please let me know if you have any questions regarding the above
      terms and conditions. If you are agreeable to these I will immediately
      instruct our legal department to prepare a new Agreement Letter.

      Sincerely yours,

      C. Armando Contreras
      President of International Operations

      Cc: Bob Henry, CEO
          Sam Caster, Co-chairman
          Terry Persinger, President
          Steven Fenstemacher, CFO

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