Document:

indemnif.htm

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    DARLING
INTERNATIONAL INC.

     

    INDEMNIFICATION
AGREEMENT

     

     

     

    This
Indemnification Agreement (“Agreement”) is made
as of ______________, 200__ by and between Darling International Inc., a
Delaware corporation (the “Company”), and
______________ (“Indemnitee”).

     

    RECITALS

     

    WHEREAS,
highly competent persons have become more reluctant to serve publicly-held
corporations as directors, officers or in other capacities unless they are
provided with adequate protection through insurance or adequate indemnification
against inordinate risks of claims and actions against them arising out of their
service to and activities on behalf of the corporation;

     

    WHEREAS,
the Board of Directors of the Company (the “Board”) has
determined that, in order to attract and retain qualified individuals, the
Company will attempt to maintain on an ongoing basis, at its sole expense,
liability insurance to protect persons serving the Company and its subsidiaries
from certain liabilities.  At the same time, directors, officers, and
other persons in service to corporations or business enterprises are being
increasingly subjected to expensive and time-consuming litigation relating to,
among other things, matters that traditionally would have been brought only
against the Company or business enterprise itself;

     

    WHEREAS,
the uncertainties relating to such insurance and to indemnification have
increased the difficulty of attracting and retaining such persons;

     

    WHEREAS,
the Board has determined that the increased difficulty in attracting and
retaining such persons is detrimental to the best interests of the Company’s
stockholders and that the Company should act to assure such persons that there
will be increased certainty of such protection in the future;

     

    WHEREAS,
it is reasonable, prudent and necessary for the Company contractually to
obligate itself to indemnify, and to advance expenses on behalf of, such persons
to the fullest extent permitted by applicable law so that they will serve or
continue to serve the Company free from undue concern that they will not be so
indemnified;

     

    WHEREAS,
this Agreement is a supplement to and in furtherance of the Bylaws of the
Company (as amended, the “Bylaws”) and the
Certificate of Incorporation of the Company (as amended, the “Certificate of
Incorporation”) and any resolutions adopted pursuant thereto, and shall
not be deemed a substitute therefor, nor to diminish or abrogate any rights of
Indemnitee thereunder; and

     

    WHEREAS,
the Certificate of Incorporation and Bylaws provide that the Company will
indemnify its directors and officers to the fullest extent permitted by law and
will advance expenses in connection therewith, and Indemnitee’s willingness to
serve as a director and/or officer of the Company is based in part on
Indemnitee’s reliance on such provisions; and

     

    
      

      
        
          
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    WHEREAS,
in recognition of Indemnitee’s need for substantial protection against personal
liability in order to enhance Indemnitee’s continued service to the Company in
an effective manner, and Indemnitee’s reliance on the aforesaid provisions of
the Certificate of Incorporation and Bylaws, and in part to provide Indemnitee
with specific contractual assurance that the protection promised by such
provisions will be available to Indemnitee (regardless of, among other things,
any amendment to or revocation of such provisions or any change in the
composition of the Company’s Board of Directors or any acquisition or business
combination transaction relating to the Company), the Company wishes to provide
in this Agreement for the indemnification of and the advancement of expenses to
Indemnitee as set forth in this Agreement, and, to the extent insurance is
maintained, for the continued coverage of Indemnitee under the Company’s
directors’ and officers’ liability insurance policies;

     

     

    NOW,
THEREFORE, in consideration of the promises and the covenants contained herein,
the Company and Indemnitee do hereby covenant and agree as follows:

     

     

    Section
1. Services to the
Company.  Indemnitee agrees to serve as [a director][an
officer] of the Company.  Indemnitee may, at any time and for any
reason, resign from such position (subject to any other contractual obligation
or any obligation imposed by operation of law), in which event the Company shall
have no obligation under this Agreement to continue to employ Indemnitee in such
position.  This Agreement shall not be deemed an employment contract
between the Company (or any of its subsidiaries or any Enterprise) and
Indemnitee.  Indemnitee specifically acknowledges that Indemnitee’s
service to the Company (or any of its subsidiaries or any Enterprise), if any,
is at will, and the Indemnitee may be discharged at any time for any reason,
with or without cause, except as may be otherwise provided in any written
employment contract between Indemnitee and the Company (or any of its
subsidiaries or any Enterprise), other applicable formal severance policies or
contracts duly adopted by the Board, or by the Certificate of Incorporation, the
Bylaws and the General Corporation Law of the State of Delaware (the “DGCL”).  The
foregoing notwithstanding, this Agreement shall continue in force after
Indemnitee has ceased to serve as [a director][an officer] of the
Company.

     

     

    Section
2. Definitions.   As
used in this Agreement:

     

    (a) A “Change in Control”
shall be deemed to occur upon the earliest to occur after the date of this
Agreement of any of the following events:

     

    i. any
person or group, within the meaning of Section 13(d) of the Securities Exchange
Act of 1934 or the Securities and Exchange Commission Rules thereunder
(collectively the “Control Rules”),
becoming a “beneficial owner” (as defined in the Control Rules) of more than 50%
of the total voting power of the Company’s outstanding capital stock entitled to
elect directors;

     

    ii. a
majority of the members of the Board are not either (x) members of the Board who
held such position as of the date of the commencement of Indemnitee’s employment
with the Company or election to the Board, as applicable, or (y) nominated or
elected by a majority of the members of the Board described in clause (x);
and

    
      

      
        
          
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    iii. the
consolidation of the Company with, or merger with or into any person or any
person being consolidated with, or merger with or into the Company, pursuant to
a transaction in which any of the outstanding voting capital stock of the
Company is converted into or exchanged for cash, securities or other
property.

     

    (b) “Corporate Status”
describes the status of a person who is or was a director, officer, employee or
agent of the Company or of any other corporation, limited liability company,
partnership or joint venture, trust, employee benefit plan or other enterprise
which such person is or was serving at the request of the Company.

     

    (c) “Disinterested
Director” means a director of the Company who is not and was not a party
to the Proceeding in respect of which indemnification is sought by
Indemnitee.

     

    (d) “Enterprise” shall
mean the Company and any other corporation, limited liability company,
partnership, joint venture, trust, employee benefit plan or other enterprise
which Indemnitee is or was serving at the request of the Company as a director,
officer, employee or agent.

     

    (e) “Exchange Act” shall
mean the Securities Exchange Act of 1934, as amended.

     

    (f) “Expenses” shall
include all reasonable attorneys’ fees, retainers, court costs, transcript
costs, fees of experts, witness fees, travel expenses, duplicating costs,
printing and binding costs, telephone charges, postage, delivery service fees,
and all other disbursements or expenses of the types customarily incurred in
connection with prosecuting, defending, preparing to prosecute or defend,
investigating, being or preparing to be a witness in, or otherwise participating
in, a Proceeding.  Expenses also shall include (i) Expenses incurred
in connection with any appeal resulting from any Proceeding, including, without
limitation, the premium, security for, and other costs relating to any cost
bond, supersedeas bond, or other appeal bond or its equivalent, and (ii) for
purposes of Section
13(d) only, Expenses incurred by Indemnitee in connection with the
interpretation, enforcement or defense of Indemnitee’s rights under this
Agreement, by litigation or otherwise.  Expenses, however, shall not
include amounts paid in settlement by Indemnitee or the amount of judgments or
fines against Indemnitee.

     

    (g) “Independent Counsel”
means a law firm, or a member of a law firm, that is experienced in matters of
corporation law and neither presently is, nor in the past five (5) years has
been, retained to represent:  (i) the Company or Indemnitee in any
matter material to either such party (other than with respect to matters
concerning the Indemnitee under this Agreement, or of other indemnitees under
similar indemnification agreements), or (ii) any other party to the Proceeding
giving rise to a claim for indemnification hereunder.  Notwithstanding
the foregoing, the term “Independent Counsel” shall not include any person who,
under the applicable standards of professional conduct then prevailing, would
have a conflict of interest in representing either the Company or Indemnitee in
an action to determine Indemnitee’s rights under this Agreement.  The
Company agrees to pay the reasonable fees and expenses of the Independent
Counsel referred to above and to fully indemnify such counsel against any and
all Expenses, claims, liabilities and damages arising out of or relating to this
Agreement or its engagement pursuant hereto.

    
      

      
        
          
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    (h) The term
“Proceeding”
shall include any threatened, pending or completed action, suit, demand,
arbitration, alternate dispute resolution mechanism, investigation, inquiry,
administrative hearing or any other actual, threatened or completed proceeding,
whether brought in the right of the Company or otherwise and whether of a civil,
criminal, administrative, legislative, or investigative nature, including any
appeal therefrom, in which Indemnitee was, is or could or will be involved as a
party, potential party, non-party witness or otherwise by reason of the fact
that Indemnitee is or was a director, officer or employee of the Company, by
reason of any action taken by [him][her] or of any action on [his][her] part
while acting as director, officer or employee of the Company, or by reason of
the fact that [he][she] is or was serving at the request of the Company as a
director, officer, employee or agent of another corporation, limited liability
company, partnership, joint venture, trust or other enterprise, in each case
whether or not serving in such capacity at the time any liability or expense is
incurred for which indemnification, reimbursement, or advancement of expenses
can be provided under this Agreement; provided, however, the above
shall not include any such action or proceeding initiated by Indemnitee to
enforce [his][her] rights under this Agreement.

     

    (i) References
to “other
enterprise” shall include, without limitation, employee benefit plans;
references to “fines” shall include
any excise tax assessed with respect to any employee benefit plan; references to
“serving at the
request of the Company” shall include any service as a director, officer,
employee or agent of the Company which imposes duties on, or involves services
by, such director, officer, employee or agent with respect to an employee
benefit plan, its participants or beneficiaries; and a person who acted in good
faith and in a manner [he][she] reasonably believed to be in or not opposed to
the best interests of the participants and beneficiaries of an employee benefit
plan shall be deemed to have acted in manner “not opposed to the best
interests of the Company” as referred to in this Agreement.

     

     

    Section
3. Indemnity in Third-Party
Proceedings.  The Company shall indemnify Indemnitee in
accordance with the provisions of this Section 3 if
Indemnitee is, or is threatened to be made, a party to or a participant in any
Proceeding, other than a Proceeding by or in the right of the Company to procure
a judgment in its favor.  Pursuant to this Section 3, Indemnitee
shall be indemnified to the fullest extent permitted by applicable law against
all Expenses, judgments, fines and amounts paid in settlement (including,
without limitation, all interest, assessments and other charges paid or payable
in connection with or in respect of any of the foregoing) actually and
reasonably incurred by Indemnitee or on [his][her] behalf in connection with
such Proceeding or any claim, issue or matter therein, if Indemnitee acted in
good faith and in a manner [he][she] reasonably believed to be in or not opposed
to the best interests of the Company and, in the case of a criminal proceeding
had no reasonable cause to believe that [his][her] conduct was
unlawful.

     

     

    Section
4. Indemnity in Proceedings by
or in the Right of the Company.   The Company shall
indemnify Indemnitee in accordance with the provisions of this Section 4 if
Indemnitee is, or is threatened to be made, a party to or a participant in any
Proceeding by or in the right of the Company to procure a judgment in its
favor.  Pursuant to this Section 4, Indemnitee
shall be indemnified to the fullest extent permitted by applicable law against
all Expenses actually and reasonably incurred by [him][her] or on [his][her]
behalf in connection with such Proceeding or any claim, issue or matter therein,
if Indemnitee acted in good faith and in a manner [he][she] reasonably believed
to be in or not opposed to the best interests of the Company.  No
indemnification for Expenses shall be made under this Section 4 in respect
of any claim, issue or matter as to which Indemnitee shall have been finally
adjudged by a court to be liable to the Company, unless and only to the extent
that the Delaware Court of Chancery or any court in which the Proceeding was
brought shall determine upon application that, despite the adjudication of
liability but in view of all the circumstances of the case, Indemnitee is fairly
and reasonably entitled to indemnification.

    
      

      
        
          
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    Section
5. Indemnification for Expenses
of a Party Who Is Wholly or Partly Successful. Notwithstanding any other
provisions of this Agreement, to the fullest extent permitted by applicable law
and to the extent that Indemnitee is a party to (or a participant in) and is
successful, on the merits or otherwise, in any Proceeding or in defense of any
claim, issue or matter therein, in whole or in part, the Company shall indemnify
Indemnitee against all Expenses actually and reasonably incurred by [him][her]
in connection therewith.  If Indemnitee is not wholly successful in
such Proceeding but is successful, on the merits or otherwise, as to one or more
but less than all claims, issues or matters in such Proceeding, the Company
shall indemnify Indemnitee against all Expenses actually and reasonably incurred
by [him][her] or on [his][her] behalf in connection with each successfully
resolved claim, issue or matter.  If the Indemnitee is not wholly
successful in such Proceeding, the Company also shall indemnify Indemnitee
against all Expenses reasonably incurred in connection with a claim, issue or
matter related to any claim, issue, or matter on which the Indemnitee was
successful.  For purposes of this Section and without limitation, the
termination of any claim, issue or matter in such a Proceeding by dismissal,
with or without prejudice, shall be deemed to be a successful result as to such
claim, issue or matter.

     

     

    Section
6. Indemnification for Expenses
of a Witness.  Notwithstanding any other provision of this
Agreement, to the fullest extent permitted by applicable law and to the extent
that Indemnitee is, by reason of [his][her] Corporate Status, a witness in any
Proceeding to which Indemnitee is not a party, [he][she] shall be indemnified
against all Expenses actually and reasonably incurred by [him][her] or on
[his][her] behalf in connection therewith.

     

     

    Section
7. Additional
Indemnification.   Notwithstanding any other provision of
this Agreement, the Company hereby agrees to indemnify the Indemnitee to the
fullest extent permitted by law, notwithstanding that such indemnification is
not specifically authorized by the other provisions of this Agreement, the
Certificate of Incorporation, the Bylaws or by statute.  In the event
of any change, after the date of this Agreement, in any applicable law, statute,
or rule which expands the right of a Delaware corporation to indemnify its
directors or officers, such changes shall be deemed to be within the purview of
Indemnitee’s rights and the Company’s obligations under this
Agreement.  In the event of any change in any applicable law, statute
or rule which narrows the right of a Delaware corporation to indemnify its
directors or officers, such changes, to the extent not otherwise required by
such law, statute or rule to be applied to this Agreement shall have no effect
on this Agreement or the parties’ rights and obligations hereunder.

    
      

      
        
          
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    Section
8. Exclusions.   Notwithstanding
any provision in this Agreement, the Company shall not be obligated under this
Agreement to make any indemnity in connection with any claim made against
Indemnitee:

     

    (a) for which
payment has actually been made to or on behalf of Indemnitee under any insurance
policy or other indemnity provision, except with respect to any excess beyond
the amount paid under any insurance policy or other indemnity provision;
or

     

    (b) for (i)
an accounting of profits made from the purchase and sale (or sale and purchase)
by Indemnitee of securities of the Company within the meaning of Section 16(b)
of the Exchange Act or similar provisions of state statutory law or common law,
or (ii) any reimbursement of the Company by the Indemnitee of any bonus or other
incentive-based or equity-based compensation or of any profits realized by the
Indemnitee from the sale of securities of the Company, as required in each case
under the Exchange Act (including any such reimbursements that arise from an
accounting restatement of the Company pursuant to Section 304 of the
Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley Act”),
or the payment to the Company of profits arising from the purchase and sale by
Indemnitee of securities in violation of Section 306 of the Sarbanes-Oxley Act),
or

     

    (c) except as
provided in Section
13(d) of this Agreement, in connection with any Proceeding (or any part
of any Proceeding) initiated by Indemnitee, including any Proceeding (or any
part of any Proceeding) initiated by Indemnitee against the Company or its
directors, officers, employees or other indemnitees, unless (i) the Board
authorized the Proceeding (or any part of any Proceeding) prior to its
initiation or (ii) the Company provides the indemnification, in its sole
discretion, pursuant to the powers vested in the Company under applicable
law;

     

    (d) for any
Expenses incurred by Indemnitee with respect to any proceeding initiated by
Indemnitee to enforce or interpret this Agreement, if a court of competent
jurisdiction determines that each of the material assertions made by Indemnitee
in such proceeding was either frivolous or not made in good faith;
or

     

    (e) with
respect to which a final decision by a court having jurisdiction in the matter
shall determine that Indemnitee has committed fraud on the Company.

     

     

    Section
9. Advances of
Expenses.   The Company shall advance, to the extent not
prohibited by law, the Expenses incurred by Indemnitee in connection with any
Proceeding, and such advancement shall be made within ten (10) days after the
receipt by the Company of a statement or statements requesting such advances
from time to time, whether prior to or after final disposition of any
Proceeding.  Advances shall be unsecured and interest
free.  Advances shall include any and all reasonable Expenses incurred
pursuing an action to enforce this right of advancement, including Expenses
incurred preparing and forwarding statements to the Company to support the
advances claimed.  The Indemnitee shall qualify for advances upon the
execution and delivery to the Company of this Agreement, which shall constitute
an undertaking providing that the Indemnitee undertakes to repay the advance to
the extent that it is ultimately determined that Indemnitee is not entitled to
be indemnified by the Company.  This Section 9 shall not
apply to any claim made by Indemnitee for which indemnity is excluded pursuant
to Section
8.

    
      

      
        
          
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    Section
10. Procedure for Notification
and Defense of Claim.

     

    (a) Indemnitee
shall notify the Company in writing of any matter with respect to which
Indemnitee intends to seek indemnification or advancement of Expenses hereunder
as soon as reasonably practicable following the receipt by Indemnitee of written
notice thereof.  The written notification to the Company shall include
a description of the nature of the Proceeding and the facts underlying the
Proceeding.  To obtain indemnification under this Agreement,
Indemnitee shall submit to the Company a written request, including therein or
therewith such documentation and information as is reasonably available to
Indemnitee and is reasonably necessary to determine whether and to what extent
Indemnitee is entitled to indemnification following the final disposition of
such action, suit or proceeding.  The omission by Indemnitee to notify
the Company hereunder will not relieve the Company from any liability which it
may have to Indemnitee hereunder or otherwise, and any delay in so notifying the
Company shall not constitute a waiver by Indemnitee of any rights under this
Agreement.  Notice to the Company shall be directed to the General
Counsel of the Company and shall be given in accordance with the provisions of
Section 20
below.

     

    (b) The
Company will be entitled to participate in the Proceeding at its own
expense.

     

    Section
11. Procedure upon Application
for Indemnification.

     

    (a) Upon
written request by Indemnitee for indemnification pursuant to Section 10(a), a
determination, if required by applicable law, with respect to Indemnitee’s
entitlement thereto shall be made in the specific case: (i) if a Change in
Control shall have occurred, by Independent Counsel in a written opinion to the
Board, a copy of which shall be delivered to Indemnitee; or (ii) if a Change in
Control shall not have occurred, (A) by a majority vote of the Disinterested
Directors, even though less than a quorum of the Board, (B) by a committee of
Disinterested Directors designated by a majority vote of the Disinterested
Directors, even though less than a quorum of the Board, or (C) if there are no
such Disinterested Directors or, if such Disinterested Directors so direct, by
Independent Counsel in a written opinion to the Board, a copy of which shall be
delivered to Indemnitee  and, if it is so determined that Indemnitee
is entitled to indemnification, payment to Indemnitee shall be made within ten
(10) days after such determination.  Indemnitee shall cooperate with
the person, persons or entity making such determination with respect to
Indemnitee’s entitlement to indemnification, including providing to such person,
persons or entity upon reasonable advance request any documentation or
information which is not privileged or otherwise protected from disclosure and
which is reasonably available to Indemnitee and reasonably necessary to such
determination.  Any costs or Expenses (including attorneys’ fees and
disbursements) incurred by Indemnitee in so cooperating with the person, persons
or entity making such determination shall be borne by the Company (irrespective
of the determination as to Indemnitee’s entitlement to indemnification) and the
Company hereby indemnifies and agrees to hold Indemnitee harmless
therefrom.

    
      

      
        
          
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    (b) In the
event the determination of entitlement to indemnification is to be made by
Independent Counsel pursuant to Section 11(a), the
Independent Counsel shall be selected as provided in this Section 11(b).  If
a Change in Control shall not have occurred, the Independent Counsel shall be
selected by the Board, and the Company shall give written notice to Indemnitee
advising [him][her] of the identity of the Independent Counsel so
selected.  If a Change in Control shall have occurred, the Independent
Counsel shall be selected by Indemnitee (unless Indemnitee shall request that
such selection be made by the Board, in which event the preceding sentence shall
apply), and Indemnitee shall give written notice to the Company advising it of
the identity of the Independent Counsel so selected.  In either event,
Indemnitee or the Company, as the case may be, may, within ten (10) days after
such written notice of selection shall have been given, deliver to the Company
or to Indemnitee, as the case may be, a written objection to such selection;
provided, however, that such
objection may be asserted only on the ground that the Independent Counsel so
selected does not meet the requirements of “Independent Counsel” as defined in
Section 2,
and the objection shall set forth with particularity the factual basis of such
assertion.  Absent a proper and timely objection, the person so
selected shall act as Independent Counsel.  If such written objection
is so made and substantiated, the Independent Counsel so selected may not serve
as Independent Counsel unless and until such objection is withdrawn or a court
has determined that such objection is without merit.  If, within
twenty (20) days after the later of submission by Indemnitee of a written
request for indemnification pursuant to Section 10(a)
and the final disposition of the Proceeding, no Independent Counsel shall have
been selected and not objected to, either the Company or Indemnitee may petition
a court of competent jurisdiction for resolution of any objection which shall
have been made by the Company or Indemnitee to the other’s selection of
Independent Counsel and/or for the appointment as Independent Counsel of a
person selected by the Court or by such other person as the Court shall
designate, and the person with respect to whom all objections are so resolved or
the person so appointed shall act as Independent Counsel under Section 11(a).  Upon
the due commencement of any judicial proceeding or arbitration pursuant to Section 13(a),
Independent Counsel shall be discharged and relieved of any further
responsibility in such capacity (subject to the applicable standards of
professional conduct then prevailing).

     

     

    Section
12. Presumptions and Effect of
Certain Proceedings.

     

    (a) In making
a determination with respect to entitlement to indemnification hereunder, the
person or persons or entity making such determination shall, to the fullest
extent not prohibited by law, presume that Indemnitee is entitled to
indemnification under this Agreement if Indemnitee has submitted a request for
indemnification in accordance with Section 10(a),
and the Company shall, to the fullest extent not prohibited by law, have the
burden of proof to overcome that presumption in connection with the making by
any person, persons or entity of any determination contrary to that
presumption.  Neither the failure of the Company (including by its
directors or independent legal counsel) to have made a determination prior to
the commencement of any action to enforce this Agreement that indemnification is
proper in the circumstances because Indemnitee has met the applicable standard
of conduct, nor an actual determination by the Company (including by its
directors or independent legal counsel) that Indemnitee has not met such
applicable standard of conduct, shall be a defense to the action or create a
presumption that Indemnitee has not met the applicable standard of
conduct.

     

    (b) Subject
to Section
13(e), if the person, persons or entity empowered or selected under Section 11 to
determine whether Indemnitee is entitled to indemnification shall not have made
a determination within sixty (60) days after receipt by the Company of the
request therefor, the requisite determination of entitlement to indemnification
shall, to the fullest extent not prohibited by law, be deemed to have been made
and Indemnitee shall be entitled to such indemnification, absent (i) a
misstatement by Indemnitee of a material fact, or an omission of a material fact
necessary to make Indemnitee’s statement not materially misleading, in
connection with the request for indemnification, or (ii) a prohibition of such
indemnification under applicable law; provided, however, that such
60-day period may be extended for a reasonable time, not to exceed an additional
thirty (30) days, if the person, persons or entity making the determination with
respect to entitlement to indemnification in good faith requires such additional
time for the obtaining or evaluating of documentation and/or information
relating thereto; and provided, further, that the
foregoing provisions of this Section 12(b) shall
not apply if the determination of entitlement to indemnification is to be made
by Independent Counsel pursuant to Section
11(a).

     

    
      

      
        
          
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    (c) The
termination of any Proceeding or of any claim, issue or matter therein, by
judgment, order, settlement or conviction, or upon a plea of nolo contendere or its
equivalent, shall not (except as otherwise expressly provided in this Agreement)
of itself adversely affect the right of Indemnitee to indemnification or create
a presumption that Indemnitee did not act in good faith and in a manner which
[he][she] reasonably believed to be in or not opposed to the best interests of
the Company or, with respect to any criminal Proceeding, that Indemnitee had
reasonable cause to believe that [his][her] conduct was unlawful.

     

    (d) Reliance as Safe
Harbor.  For purposes of any determination of good faith,
Indemnitee shall be deemed to have acted in good faith if Indemnitee’s action is
based on the records or books of account of the Enterprise, including financial
statements, or on information supplied to Indemnitee by the officers of the
Enterprise in the course of their duties, or on the advice of legal counsel for
the Enterprise or on information or records given or reports made to the
Enterprise by an independent certified public accountant or by an appraiser or
other expert selected with reasonable care by the Enterprise.  The
provisions of this Section 12(d) shall
not be deemed to be exclusive or to limit in any way the other circumstances in
which the Indemnitee may be deemed to have met the applicable standard of
conduct set forth in this Agreement.

     

    (e) Actions of
Others.  The knowledge and/or actions, or failure to act, of
any director, officer, employee or agent of the Enterprise shall not be imputed
to Indemnitee for purposes of determining the right to indemnification under
this Agreement.

     

     

    Section
13. Remedies of
Indemnitee.

     

    (a) Subject
to Section
13(e), in the event that (i) a determination is made pursuant to Section 11 that
Indemnitee is not entitled to indemnification under this Agreement, (ii)
advancement of Expenses is not timely made pursuant to Section 9, (iii)
no determination of entitlement to indemnification shall have been made pursuant
to Section
11(a) within ninety (90) days after receipt by the Company of the request
for indemnification, (iv) payment of indemnification is not made pursuant to
Sections 5
or 6 or the
last sentence of Section 11(a) within
ten (10) days after receipt by the Company of a written request therefor, (v)
payment of indemnification pursuant to Sections 3, 4 or 7 is not made within
ten (10) days after a determination has been made that Indemnitee is entitled to
indemnification, or (vi) in the event that the Company or any other person takes
or threatens to take any action to declare this Agreement void or unenforceable,
or institutes any litigation or other action or Proceeding designed to deny, or
to recover from, the Indemnitee the benefits provided or intended to be provided
to the Indemnitee hereunder, Indemnitee shall be entitled to an adjudication by
a court of [his][her] entitlement to such indemnification or advancement of
Expenses.  Alternatively, Indemnitee, at [his][her] option, may seek
an award in arbitration to be conducted by a single arbitrator pursuant to the
Commercial Arbitration Rules of the American Arbitration
Association.  Indemnitee shall commence such proceeding seeking an
adjudication or an award in arbitration within one hundred eighty (180) days
following the date on which Indemnitee first has the right to commence such
proceeding pursuant to this Section 13(a); provided, however, that the
foregoing clause shall not apply in respect of a proceeding brought by
Indemnitee to enforce [his][her] rights under Section 5.  The
Company shall not oppose Indemnitee’s right to seek any such adjudication or
award in arbitration.

    

    
      
        
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9

          

        

         

      

      
         

        
          

        

      

      
         

      

    

     

    (b) In the
event that a determination shall have been made pursuant to Section 11(a)
that Indemnitee is not entitled to indemnification, any judicial proceeding or
arbitration commenced pursuant to this Section 13 shall
be conducted in all respects as a de novo trial, or
arbitration, on the merits and Indemnitee shall not be prejudiced by reason of
that adverse determination.  In any judicial proceeding or arbitration
commenced pursuant to this Section 13, the
Company shall have the burden of proving Indemnitee is not entitled to
indemnification or advancement of Expenses, as the case may be.

     

    (c) If a
determination shall have been made pursuant to Section 11(a)
that Indemnitee is entitled to indemnification, the Company shall be bound by
such determination in any judicial proceeding or arbitration commenced pursuant
to this Section 13,
absent (i) a misstatement by Indemnitee of a material fact, or an omission of a
material fact necessary to make Indemnitee’s statement not materially
misleading, in connection with the request for indemnification, or (ii) a
prohibition against such indemnification under applicable law.

     

    (d) The
Company shall, to the fullest extent not prohibited by law, be precluded from
asserting in any judicial proceeding or arbitration commenced pursuant to this
Section 13 that
the procedures and presumptions of this Agreement are not valid, binding and
enforceable and shall stipulate in any such court or before any such arbitrator
that the Company is bound by all the provisions of this Agreement.  It
is the intent of the Company that the Indemnitee not be required to incur legal
fees or other Expenses associated with the interpretation, enforcement or
defense of Indemnitee’s rights under this Agreement by litigation or otherwise
because the cost and expense thereof would substantially detract from the
benefits intended to be extended to the Indemnitee hereunder.  The
Company shall indemnify Indemnitee against any and all Expenses and, if
requested by Indemnitee, shall (within ten (10) days after receipt by the
Company of a written request therefor) advance, to the extent not prohibited by
law, such Expenses to Indemnitee, which are incurred by Indemnitee in connection
with any action brought by Indemnitee for indemnification or advance of Expenses
from the Company under this Agreement or under any directors’ and officers’
liability insurance policies maintained by the Company, regardless of whether
Indemnitee ultimately is determined to be entitled to such indemnification,
advancement of Expenses or insurance recovery, as the case may be.

     

    (e) Notwithstanding
anything in this Agreement to the contrary, no determination as to entitlement
to indemnification under this Agreement shall be required to be made prior to
the final disposition of the Proceeding.

    
      

      
        
          
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10

            

          

           

        

        
           

          
            

          

        

        
           

        

      

    Section
14. Non-exclusivity; Survival of
Rights; Insurance; Subrogation.

     

    (a) The
rights of indemnification and to receive advancement of Expenses as provided by
this Agreement shall not be deemed exclusive of any other rights to which
Indemnitee may at any time be entitled under applicable law, the Certificate of
Incorporation, the Bylaws, any agreement, a vote of stockholders or a resolution
of directors, or otherwise (collectively, the “Other Indemnity
Provisions”).  No amendment, alteration or repeal of this Agreement or
of any provision hereof shall limit or restrict any right of Indemnitee under
this Agreement in respect of any action taken or omitted by such Indemnitee in
[his][her] Corporate Status prior to such amendment, alteration or
repeal.  No right or remedy herein conferred is intended to be
exclusive of any other right or remedy, and every other right and remedy shall
be cumulative and in addition to every other right and remedy given hereunder or
now or hereafter existing at law or in equity or otherwise.  For
purposes of greater clarity, (a) to the extent that
the Indemnitee otherwise would have any greater right to indemnification under
any Other Indemnity Provision, the Indemnitee will be deemed to have such
greater right hereunder and (b) to the extent that
any change is made to any Other Indemnity Provision that permits any greater
right to indemnification than that provided under this Agreement as of the date
hereof, the Indemnitee will be deemed to have such greater right
hereunder.  The assertion or employment of any right or remedy
hereunder, or otherwise, shall not prevent the concurrent assertion or
employment of any other right or remedy.

     

    (b) To the
extent that the Company maintains an insurance policy or policies providing
liability insurance for directors, officers, employees, or agents of the Company
or of any other corporation, partnership, joint venture, trust, employee benefit
plan or other enterprise which such person serves at the request of the Company,
Indemnitee shall be covered by such policy or policies in accordance with its or
their terms to the maximum extent of the coverage available for any such
director, officer, employee or agent under such policy or
policies.  If, at the time of the receipt of a notice of a claim
pursuant to the terms hereof, the Company has director and officer liability
insurance in effect, the Company shall give prompt notice of the commencement of
such proceeding to the insurers in accordance with the procedures set forth in
the respective policies.  The Company shall thereafter take all
necessary or desirable action to cause such insurers to pay, on behalf of the
Indemnitee, all amounts payable as a result of such proceeding in accordance
with the terms of such policies.

     

    (c) In the
event of any payment under this Agreement, the Company shall be subrogated to
the extent of such payment to all of the rights of recovery of Indemnitee, who
shall execute all papers required and take all action necessary to secure such
rights, including execution of such documents as are necessary to enable the
Company to bring suit to enforce such rights.

     

    (d) The
Company shall not be liable under this Agreement to make any payment of amounts
otherwise indemnifiable hereunder (or for which advancement is provided
hereunder) if and to the extent that Indemnitee has otherwise actually received
such payment under any insurance policy, contract, agreement or
otherwise.

     

    (e) The
Company’s obligation to indemnify or advance Expenses hereunder to Indemnitee
who is or was serving at the request of the Company as a director, officer,
employee or agent of any other corporation, limited liability company,
partnership, joint venture, trust, employee benefit plan or other enterprise
shall be reduced by any amount Indemnitee has actually received as
indemnification or advancement of Expenses from such other corporation, limited
liability company, partnership, joint venture, trust, employee benefit plan or
other enterprise.

    

    
      
        
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11

          

        

         

      

      
         

        
          

        

      

      
         

      

    

     

    Section
15. Duration of Agreement;
Successors.  This Agreement shall continue until and terminate
upon the later of: (a) ten (10) years after the date that Indemnitee shall have
ceased to serve as [an officer][a director] of the Company or (b) upon the final
disposition or termination of any Proceeding then pending in respect of which
Indemnitee is granted rights of indemnification or advancement of Expenses
hereunder and of any proceeding commenced by Indemnitee pursuant to Section 13
relating thereto.  The Company will require any successor (whether
direct or indirect, by purchase of stock or assets, merger, consolidation,
reorganization or otherwise) to all or substantially all of the business or
assets of the Company, by agreement in form and substance satisfactory to the
Indemnitee and [his] [her] counsel, expressly to assume and agree to perform
this Agreement in the same manner and to the same extent that the Company would
be required to perform if no such succession had taken place.  This
Agreement shall be binding upon the Company and any successor to the Company,
including, without limitation, any person acquiring directly or indirectly all
or substantially all of the business or assets of the Company, whether by
purchase, merger, consolidation, reorganization or otherwise (and such successor
will thereafter be deemed the “Company” for purposes of this Agreement), but
will not otherwise be assignable, transferable or delegatable by the Company,
and shall inure to the benefit of Indemnitee and [his][her] heirs, executors and
administrators.

     

     

    Section
16. Severability.  If
any provision or provisions of this Agreement shall be held to be invalid,
illegal or unenforceable for any reason whatsoever: (a) the validity, legality
and enforceability of the remaining provisions of this Agreement (including
without limitation, each portion of any Section of this Agreement containing any
such provision held to be invalid, illegal or unenforceable, that is not itself
invalid, illegal or unenforceable) shall not in any way be affected or impaired
thereby and shall remain enforceable to the fullest extent permitted by law; (b)
such provision or provisions shall be deemed reformed to the extent necessary to
conform to applicable law and to give the maximum effect to the intent of the
parties hereto; and (c) to the fullest extent possible, the provisions of this
Agreement (including, without limitation, each portion of any Section of this
Agreement containing any such provision held to be invalid, illegal or
unenforceable, that is not itself invalid, illegal or unenforceable) shall be
construed so as to give effect to the intent manifested thereby.

     

     

    Section
17. Enforcement.

     

    (a) The
Company expressly confirms and agrees that it has entered into this Agreement
and assumed the obligations imposed on it hereby in order to induce Indemnitee
to serve as [an officer][a director] of the Company, and the Company
acknowledges that Indemnitee is relying upon this Agreement in serving as [an
officer][a director] of the Company.

     

    (b) This
Agreement constitutes the entire agreement between the parties hereto with
respect to the subject matter hereof and supersedes all prior agreements and
understandings, oral, written and implied, between the parties hereto with
respect to the subject matter hereof; provided, however, that this
Agreement is a supplement to and in furtherance of the Certificate of
Incorporation, the Bylaws and applicable law, and shall not be deemed a
substitute therefor, nor to diminish or abrogate any rights of Indemnitee
thereunder.

    
      

      
        
          
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12

            

          

           

        

        
           

          
            

          

        

        
           

        

      

    Section
18. Modification and
Waiver.  No supplement, modification or amendment of this
Agreement shall be binding unless executed in writing by the parties
hereto.  No waiver of any of the provisions of this Agreement shall be
deemed or shall constitute a waiver of any other provisions of this Agreement
nor shall any waiver constitute a continuing waiver.

     

     

    Section
19. Notice by
Indemnitee.  Indemnitee agrees promptly to notify the Company
in writing upon being served with any summons, citation, subpoena, complaint,
indictment, information or other document relating to any Proceeding or matter
which may be subject to indemnification or advancement of Expenses covered
hereunder.  The failure of Indemnitee to so notify the Company shall
not relieve the Company of any obligation which it may have to the Indemnitee
under this Agreement or otherwise.

     

     

    Section
20. Notices. All notices, requests,
demands and other communications under this Agreement shall be in writing and
shall be deemed to have been duly given if (a) delivered by hand to the party to
whom said notice or other communication shall have been directed,
(b) mailed by certified or registered mail with postage prepaid, on the
third business day after the date on which it is so mailed, (c) mailed by
reputable overnight courier to the party to whom said notice or other
communication shall have been directed or (d) sent by facsimile transmission,
with receipt of confirmation that such transmission has been
received:

    (a) If to
Indemnitee, at the address indicated on the signature page of this Agreement, or
such other address as Indemnitee shall provide to the Company.

     

    (b) If to the
Company to 251 O’Connor Ridge Blvd., Suite 300, Irving, Texas 75038, Facsimile
No.: (972) 281-4475, Attn: General Counsel, or to any other address as may have
been furnished to Indemnitee by the Company.

     

     

    Section
21. Contribution.  To
the fullest extent permissible under applicable law, if the indemnification
provided for in this Agreement is unavailable to Indemnitee for any reason
whatsoever, the Company, in lieu of indemnifying Indemnitee, shall contribute to
the amount incurred by Indemnitee, whether for judgments, fines, penalties,
excise taxes, amounts paid or to be paid in settlement and/or for Expenses, in
connection with any claim relating to an indemnifiable event under this
Agreement, in such proportion as is deemed fair and reasonable in light of all
of the circumstances of such Proceeding in order to reflect (i) the relative
benefits received by the Company and Indemnitee as a result of the event(s)
and/or transaction(s) giving cause to such Proceeding; and/or (ii) the relative
fault of the Company (and its directors, officers, employees and agents) and
Indemnitee in connection with such event(s) and/or transaction(s).

     

     

    Section
22. Applicable Law and Consent
to Jurisdiction.  This Agreement and the legal relations among
the parties shall be governed by, and construed and enforced in accordance with,
the laws of the State of Delaware.  Except with respect to any
arbitration commenced by Indemnitee pursuant to Section 13(a), the
Company and Indemnitee hereby irrevocably and unconditionally (i) agree that any
action or proceeding arising out of or in connection with this Agreement shall
be brought only in the Chancery Court of the State of Delaware (the “Delaware Court”), and
not in any other state or federal court in the United States of America or any
court in any other country, (ii) consent to submit to the exclusive jurisdiction
of the Delaware Court for purposes of any action or proceeding arising out of or
in connection with this Agreement, (iii) waive any objection to the laying of
venue of any such action or proceeding in the Delaware Court, and (iv) waive,
and agree not to plead or to make, any claim that any such action or proceeding
brought in the Delaware Court has been brought in an improper or inconvenient
forum.

    

    
      
        
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    Section
23. Waiver of Jury
Trial.  Each Party acknowledges and agrees that any controversy
that may arise under this Agreement is likely to involve complicated and
difficult issues, and therefore it hereby irrevocably and unconditionally waives
any right it may have to a trial by jury in respect of any litigation directly
or indirectly arising out of or relating to this Agreement, or the breach,
termination or validity of this Agreement, or the transactions contemplated by
this Agreement.  Each Party certifies and acknowledges that (a) no representative,
agent or attorney of any other party has represented, expressly or otherwise,
that such other party would not, in the event of litigation, seek to enforce the
foregoing waiver, (b) it understands and
has considered the implications of this waiver, (c) it makes this
waiver voluntarily, and (d) it has been
induced to enter into this Agreement by, among other things, the mutual waivers
and certifications contained in this Section 23.

     

    Section
24. Identical
Counterparts.  This Agreement may be executed in two or more
counterparts, each of which shall for all purposes be deemed to be an original
but all of which together shall constitute one and the same
Agreement.  Only one such counterpart signed by the party against whom
enforceability is sought needs to be produced to evidence the existence of this
Agreement.

     

    Section
25. Miscellaneous.  The
headings of the paragraphs of this Agreement are inserted for convenience only
and shall not be deemed to constitute part of this Agreement or to affect the
construction thereof.

     

    

     

    [The
Remainder of this Page Is Intentionally Left Blank.]

     

    

    
      
        
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    IN
WITNESS WHEREOF, the parties have caused this Agreement to be signed as of the
day and year first above written.

     

    

     

                                                                                                               DARLING INTERNATIONAL
INC.

    

                            
By:      ____________________________                                                    

                                         Name: 
____________________________

                             Title: 
_____________________________

     

    

    
       

                                                                                                                 INDEMNITEE

      

                              
By:       ____________________________                                                     

                                           Name: 
____________________________

       

                               Address:
__________________________

                                                                       

    

    

     

    

     

    

    
      
        
          Page
15Exhibit 10.93

 

Exhibit 10.93

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

Originally Effective March 12, 2003

First Amendment Effective January 1, 2004

Amendment and Restatement Effective May 17, 2006

Second Amendment and Restatement Effective March 1, 2007

     THIS EMPLOYMENT AGREEMENT (the “Agreement”) is made by and between Gen-Probe
Incorporated, a Delaware corporation with offices at 10210 Genetic Center Drive, San Diego,
California 92121 (“Gen-Probe”), and Henry L. Nordhoff (the “Executive”).

     The parties hereto agree as follows:

	1.	 	Amendment and Restatement of Employment Agreement. The Employment Agreement between
Gen-Probe and Executive dated March 12, 2003, as previously amended as of January 1, 2004 and
May 17, 2006, is hereby amended and restated as set forth herein as of March 1, 2007 (the
“Amendment Effective Date”).

	2.	 	Term of Employment. This Agreement shall be immediately effective. This Agreement,
and Executive’s employment hereunder, shall be for a term of three years from May 17, 2006,
provided, however, that Gen-Probe’s obligations pursuant to Sections 8(c) and 9 of this
Agreement shall be for an indefinite term. At any time during the term of this Agreement,
either party may terminate this Agreement, and Executive’s employment, in accordance with the
provision of Sections 7 and 8 of this Agreement.

	3.	 	Position and Duties. The Executive shall serve as President and Chief Executive
Officer of Gen-Probe, and shall have commensurate responsibilities and authority. The Board
of Directors may from time to time particularly specify the Executive’s duties and authority.
The Executive shall not engage in or perform duties for any other persons or entities that
interfere with the performance of his duties hereunder, provided that the Executive may
continue to serve on the boards of directors and boards of trustees on which he served on
March 12, 2003. Any outside board of director positions accepted by the Executive after March
12, 2003 will be subject to approval by the Board of Directors of Gen-Probe.
	 
	4.	 	Salary, Bonus and Benefits.

	 	(a)	 	Salary. During the period of Executive’s employment, Gen-Probe shall
pay Executive an annual base salary of $645,000.00. This base salary may be increased
by the Compensation Committee of the Board, subject to the terms of this Agreement and
consistent with the Executive’s performance and Gen-Probe’s policy regarding
adjustments in officer compensation established from time to time by the Compensation
Committee. The base salary shall not be decreased during the term of this Agreement.

 

 

	 	(b)	 	Bonus. In addition, at the discretion of the Compensation Committee, the
Executive will be awarded incentive compensation, in the form of a cash bonus for
each fiscal year during his employment, based upon performance. Executive’s target
bonus shall be seventy-five percent (75%) of his base salary; however, the actual
bonus shall be set at the discretion of the Compensation Committee.
	 
	 	(c)	 	Stock Options/Restricted Stock. In addition, Executive may be awarded
stock options, restricted stock awards and other equity compensation awards by
Gen-Probe’s Compensation Committee, with such terms and conditions as the Compensation
Committee may determine in its sole discretion.
	 
	 	(d)	 	Life Insurance. Gen-Probe will obtain and pay for a term life
insurance policy providing for payment of $1,000,000 in benefits to the Executive’s
designated beneficiaries should the Executive die during the term of this Agreement.
(This policy shall be in addition to any coverage provide by Gen-Probe’s group life
insurance plan pursuant to subsection (g), below.)
	 
	 	(e)	 	Disability Insurance. Gen-Probe will obtain and pay for a long-term
disability insurance policy providing for payment at a rate of no less than $200,000
per annum to Executive should Executive suffer a long-term disability during the term
of this Agreement. (This policy shall be in addition to any coverage provide by
Gen-Probe’s group disability insurance plan pursuant to subsection (g), below.)
	 
	 	(f)	 	AD& D Insurance. Gen-Probe will obtain and pay for an AD&D insurance
policy providing for a benefit to Executive (or his beneficiaries) of $400,000
(airplane) or $200,000 (automobile or walking) should Executive suffer accidental death
or accidental disability during the term of this Agreement.
	 
	 	(g)	 	Other Benefits. The Executive shall be entitled to participate in the
employee benefit programs (including but not limited to medical, dental, life and
disability insurance, 401K retirement plan, and vacation program), as adopted and
maintained by Gen-Probe. The Executive may receive such other and additional benefits
as the Compensation Committee or Board may determine from time to time in its sole
discretion.

	5.	 	Expense Reimbursement. The Executive shall be entitled to receive prompt
reimbursement for all reasonable and customary expenses incurred by him in performing services
hereunder, including all expenses of travel and living expenses while away from home on
business or at the request of, and in the service of Gen-Probe; provided, that such expenses
are incurred and accounted for in accordance with the policies and procedures established by
Gen-Probe.

	6.	 	Indemnification. Gen-Probe shall indemnify the Executive to the maximum extent
permitted by law, by the by-laws of Gen-Probe and by the Indemnification Agreement dated
August 19, 2002, between the Executive and Gen-Probe, as it may be amended (the
“Indemnification Agreement”), if the Executive is made a party, or threatened to be made

2

 

a party, to any threatened or pending legal action, suit or proceeding, whether civil,
criminal, administrative or investigative, by reason of the fact that the Executive is or
was an officer, director or employee of Gen-Probe or any subsidiary or affiliate thereof, in
which capacity the Executive is or was serving at Gen-Probe’s request, against reasonable
expenses (including reasonable attorneys’ fees), judgments, fines and settlement payments
incurred by him in connection with such action, suit or proceeding.

	7.	 	Termination. The Executive may terminate his employment hereunder at any time, with
or without Good Reason (as defined below) upon written notice to Gen-Probe. If Executive
contends that Good Reason exists for his termination, such notice shall specifically and
expressly state the grounds which he contends constitute Good Reason. Gen-Probe may terminate
the Executive’s employment hereunder at any time, subject to the terms of this Agreement, with
or without Cause (as defined below) upon written notice to the Executive. If this Agreement
is terminated, all compensation and benefits other than severance benefits described in
Section 8 below, to the extent applicable, shall immediately cease, except that the Executive
will be entitled, through the date of termination, to payment of his salary and benefits under
Gen-Probe benefit programs and plans in accordance with their terms.
	 
	 	 	As used in this Agreement, “Good Reason” shall mean any of the following events that are not
consented to by the Executive: (i) the removal of the Executive from his position as the
Chief Executive Officer of Gen-Probe; (ii) a substantial and material diminution in the
Executive’s duties and responsibilities hereunder; (iii) a reduction of the Executive’s base
salary or target bonus percentage; (iv) the location of the Executive’s assignment on behalf
of Gen-Probe is moved to a location more than 30 miles from its present location; (v) the
failure of Gen-Probe to obtain a satisfactory agreement from any successor to Gen-Probe to
assume and agree to perform this Agreement; or (vi) a material breach by Gen-Probe of its
obligations under this Agreement after notice in writing from the Executive and a reasonable
opportunity for Gen-Probe to cure or substantially mitigate any material adverse effect of
such breach. The Executive’s consent to any event which would otherwise constitute Good
Reason shall be conclusively presumed if the Executive does not exercise his rights to
terminate this Agreement for Good Reason under this section within six (6) months of notice
of the event.
	 
	 	 	As used in this Agreement, “Cause” shall mean any of the following events: (i) any act of
gross or willful misconduct, fraud, misappropriation, dishonesty, embezzlement or similar
conduct on the part of Executive; (ii) the Executive’s conviction of a felony or any crime
involving moral turpitude (which conviction, due to the passage of time or otherwise, is not
subject to further appeal); (iii) the Executive’s misuse or abuse of alcohol, drugs or
controlled substances and failure to seek and comply with appropriate treatment; (iv)
willful and continued failure by the Executive to substantially perform his duties under
this Agreement (other than any failure resulting from disability or from termination by the
Executive for Good Reason) as determined by a majority of the Board after written demand
from the Board of Directors for substantial performance is delivered to the Executive, and
the Executive fails to resume substantial performance of his duties on a continuous basis
within 30 days of such notice; (v) the death of the Executive; or

3

 

(vi) the Executive becoming disabled such that he is not able to perform his usual duties
for Gen-Probe for a period in excess of six (6) consecutive calendar months.

	8.	 	Severance Benefits in Certain Events. If Gen-Probe terminates the Executive’s
employment for reasons other than Cause, or if the Executive terminates his employment for
Good Reason, the Executive shall be entitled to receive the following severance benefits:

	 	(a)	 	Salary. The Executive shall continue to receive his base salary, at
the rate in effect at the time of his termination of employment, in monthly
installments commencing the first day of the first month following termination and
continuing for an aggregate period of twenty-four (24) months (the “Salary Continuation
Period”); provided, however, that if termination under this Section 8 occurs in
connection with a Change in Control, then the Executive shall receive a single lump sum
payment, payable within 10 days of termination, equal to thirty-six (36) months’ base
salary. For purposes of this Agreement, “Change in Control” shall have the meaning set
forth on Attachment “1” to this Agreement (hereby incorporated by reference). For
purposes of this Agreement, a termination shall be “in connection with” a Change in
Control if termination occurs within the period six (6) months prior to or eighteen
(18) months after a Change in Control.
	 
	 	 	 	Notwithstanding anything to the contrary set forth herein, the provisions of this
paragraph shall control if Executive’s employment terminates within the period six
(6) months prior to a Change in Control. Any lump sum payment contemplated by this
Section 8(a) shall be made within 10 days of the Change in Control and shall be in
lieu of, and not in addition to, payments that would otherwise be made to Executive
over the remainder of the Salary Continuation Period. Additionally, any payments
that would otherwise be made to Executive over the remaining portion of the Salary
Continuation Period following the Change in Control shall accelerate as of the date
of the Change in Control only if such Change in Control is a change in the ownership
or effective control of the Company, or in the ownership of a substantial portion of
the assets of the Company, in each case for purposes of Section 409A(a)(2)(A)(v) of
the Internal Revenue Code and the regulations and other guidance thereunder. Any
lump sum payment contemplated by this Section 8(a) shall be reduced by an amount
equal to the aggregate Salary Continuation Period payments already made to
Executive, if any. It is the intent of this paragraph to structure the Executive’s
severance benefit payments so that any lump sum payment of the Executive’s severance
that may occur in connection with a Change in Control shall not result in the
payments being subject to Section 409A(a)(1) of the Internal Revenue Code.
	 
	 	(b)	 	Bonus. The Executive shall be entitled to receive a pro rata portion
of the target bonus provided in Section 4(b) for the year in which his employment
terminates. The Executive shall also be entitled to receive, in addition to the salary
payment described in Section 8(a), above, an amount equal to two times the Executive’s
targeted level bonus in the year of the termination; provided, however, that if
termination under this Section 8 occurs in connection with a Change in Control,

4

 

	 	 	 	then the Executive shall be entitled to receive an amount equal to three times the
Executive’s targeted level bonus in the year of the termination. The amount payable
hereunder shall be paid in the same manner as and on the same schedule as the salary
compensation paid under subsection (a) above.
	 
	 	(c)	 	Health Care Insurance. Continued health care coverage under
Gen-Probe’s medical plan will be provided, without charge, to the Executive and his
eligible dependents until the earlier of (i) Executive’s sixty-fifth (65th)
birthday or (ii) the first date that the Executive is covered under another employer’s
health benefit program providing substantially the same or better benefit options to
the Executive without exclusion for any pre-existing medical condition. The period of
time medical coverage continues under this Agreement will be counted as coverage time
under COBRA. Such coverage may be provided at Gen-Probe’s option either by payment
directly to Gen-Probe’s health insurance carrier, through Gen-Probe’s own employee
medical expense plan if Gen-Probe is self-insured, or through reimbursement of
Executive’s COBRA premiums upon submission of reasonable substantiation. After
Executive reaches age 65, Gen-Probe will provide up to $10,000.00 per year in medical
reimbursement to cover medical expenses incurred but not covered by either Medicare
Part A and B or Medicare Supplemental Insurance. The Executive is expected to carry
Supplemental Medicare Insurance and to comply with the Insurance Plan restrictions to
maximize coverage.
	 
	 	 	 	Reimbursement payments made pursuant to this Section 8(c) shall be made in the same
calendar year in which the expense is incurred or, if later, by the fifteenth day of
the third calendar month following the date the expense was incurred. No
reimbursement payments shall be made unless the Executive provides a professional
bill, receipt or other written documentation acceptable to Gen-Probe that sets forth
the charge for the service rendered and the date of service.
	 
	 	(d)	 	Life Insurance. During the Salary Continuation Period, Gen-Probe will
pay the premium for continued life insurance coverage, if any, that the Executive may
have elected under Gen-Probe’s Life Insurance and Supplemental Life Insurance plan,
subject to payment by the Executive of the portion of such premium not contributed by
Gen-Probe under such plan.
	 
	 	(e)	 	[Intentionally Omitted.]
	 
	 	(f)	 	Outplacement Services. Gen-Probe agrees to provide Executive with
outplacement services during the first six months of the Salary Continuation Period at
a level not lower than the services provided to senior officers of Gen-Probe prior to
the March 12, 2003.
	 
	 	(g)	 	Tax Matters. All compensation described in this Agreement will be
subject to Gen-Probe’s collection of all applicable federal, state and local income and
employment withholding taxes.

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	 	(h)	 	Release of Claims. Gen-Probe’s obligation to make the payments and
provide the benefits hereunder shall be conditioned upon Executive’s execution of a
release of all claims that he then may have other than claims under Section 6 or the
Indemnification Agreement, in standard form and content. The release shall be mutual
and shall also be signed on behalf of Gen-Probe.
	 
	 	(i)	 	Section 409A of the Internal Revenue Code and Specified Employees. If
Gen-Probe determines that any of the severance benefits payable to the Executive
pursuant to this Section 8 fail to satisfy the distribution requirement of Section
409A(a)(2)(A) of the Internal Revenue Code as a result of Section 409A(a)(2)(B)(i) of
the Internal Revenue Code which applies to specified employees of publicly traded
companies, the payment of such benefit shall be accelerated to the minimum extent
necessary so that the benefit is not subject to the provisions of Section 409A(a)(1) of
the Internal Revenue Code. (It is the intention of the preceding sentence to apply the
short-term deferral provisions of Section 409A of the Internal Revenue Code, and the
regulations and other guidance thereunder, to the severance benefits payments, and the
payment schedule as revised after the application of the preceding sentence shall be
referred to as the “Revised Payment Schedule.”) However, if there is no Revised
Payment Schedule that would avoid the application of Section 409A(a)(1) of the Internal
Revenue Code, the payment of such benefits shall not be paid pursuant to a Revised
Payment Schedule and instead shall be delayed to the minimum extent necessary (e.g.,
payments to which Executive would otherwise be entitled during the first six months
following separation from service shall accumulate and be paid at the expiration of
such period, unless a permitted distribution event occurs during such period) so that
such benefits are not subject to the provisions of Section 409A(a)(1) of the Internal
Revenue Code. The Board may attach conditions to or adjust the amounts paid pursuant
to this Section 8 to preserve, as closely as possible, the economic consequences that
would have applied in the absence of this Section 8; provided, however, that no such
condition or adjustment shall result in the payments being subject to Section
409A(a)(1) of the Internal Revenue Code

	9.	 	Health Care Cost Reimbursement After Retirement. After Executive (i) ceases full
time employment with Gen-Probe and (ii) reaches age 65, Gen-Probe will provide up to
$10,000.00 per year in medical reimbursement to cover medical expenses incurred but not
covered by either Medicare Part A and B or Medicare Supplemental Insurance. The Executive is
expected to carry Supplemental Medicare Insurance and to comply with the Insurance Plan
restrictions to maximize coverage.
	 
	 	 	Reimbursement payments made pursuant to this Section 9 shall be made in the same calendar
year in which the expense is incurred or, if later, by the fifteenth day of the third
calendar month following the date the expense was incurred. No reimbursement payments shall
be made unless the Executive provides a professional bill, receipt or other written
documentation acceptable to Gen-Probe that sets forth the charge for the service rendered
and the date of service. Additionally, all payments made pursuant to this

6

 

	 	 	Section 9 are subject to Gen-Probe’s collection of any applicable federal, state and local
income and employment withholding taxes.
	 
	10.	 	Excise Tax on Parachute Payments.

	 	(a)	 	Gross-Up Payment. If it is determined that any payment or distribution
of any type to the Executive or for his benefit by Gen-Probe, any of its affiliates,
any person who acquires ownership or effective control of Gen-Probe or ownership of a
substantial portion of Gen-Probe’s assets (within the meaning of section 280G of the
Internal Revenue Code of 1986, as amended (the “Code”), and the regulations thereunder)
or any affiliate of such person, whether paid or payable or distributed or
distributable pursuant to the terms of this Agreement or otherwise (the “Total
Payments”), would be subject to the excise tax imposed by section 4999 of the Code or
any interest or penalties with respect to such excise tax (such excise tax and any such
interest or penalties are collectively referred to as the “Excise Tax”), then the
Executive shall be entitled to receive an additional payment (a “Gross-Up Payment”) in
an amount calculated to ensure that after the Executive pays all taxes (and any
interest or penalties imposed with respect to such taxes), including any Excise Tax,
imposed upon the Gross-Up Payment, the Executive retains an amount of the Gross-Up
Payment equal to the Excise Tax imposed upon the Total Payments.
	 
	 	(b)	 	Determination by Accountant. All determinations and calculations
required to be made under this Section 10 shall be made by an independent accounting
firm selected by the Executive from among the largest four (4) accounting firms in the
United States (the “Accounting Firm”). The Accounting Firm shall provide its
determination (the “Determination”), together with detailed supporting calculations
regarding the amount of any Gross-Up Payment and any other relevant matter, to the
Executive and Gen-Probe within five (5) days after the Executive or Gen-Probe made a
request (if the Executive reasonably believes that any of the Total Payments may be
subject to the Excise Tax). If the Accounting Firm determines that no Excise Tax is
payable by the Executive, it shall furnish the Executive with a written statement that
it has concluded that no Excise Tax is payable (including the reasons therefor) and
that the Executive has substantial authority not to report any Excise Tax on his
federal income tax return. If a Gross-Up Payment is determined to be payable, it shall
be paid to the Executive within five (5) days after the Determination has been
delivered to him or Gen-Probe. Any determination by the Accounting Firm shall be
binding upon Gen-Probe and the Executive, absent manifest error.
	 
	 	(c)	 	Over- and Underpayments. As a result of uncertainty in the application
of section 4999 of the Code at the time of the initial determination by the Accounting
Firm hereunder, it is possible that Gross-Up Payments not made by Gen-Probe should have
been made (“Underpayment”) or that Gross-Up Payments will have been made by Gen-Probe
that should not have been made (“Overpayment”). In either event, the Accounting Firm
shall determine the amount of the Underpayment or Overpayment that has occurred. In
the case of an

7

 

	 	 	 	Underpayment, Gen-Probe shall promptly pay the amount of such Underpayment to the
Executive or for his benefit. In the case of an Overpayment, the Executive shall,
at the direction and expense of Gen-Probe, take such steps as are reasonably
necessary (including the filing of returns and claims for refund), follow reasonable
instructions from, and procedures established by, Gen-Probe, and otherwise
reasonably cooperate with Gen-Probe to correct such Overpayment, provided, however,
that (i) the Executive shall in no event be obligated to return to Gen-Probe an
amount greater than the net after-tax portion of the Overpayment that the Executive
has retained or has recovered as a refund from the applicable taxing authorities and
(ii) this provision shall be interpreted in a manner consistent with the intent of
Subsection (a) above, which is to make the Executive whole, on an after-tax basis,
from the application of the Excise Tax, it being understood that the correction of
an Overpayment may result in the Executive’s repaying to Gen-Probe an amount that is
less than the Overpayment.
	 
	 	(d)	 	Limitation on Parachute Payments. Any other provision of this Section
10 notwithstanding, if the Excise Tax could be avoided by reducing the Total Payments
by $10,000 or less, then the Total Payments shall be reduced to the extent necessary to
avoid the Excise Tax and no Gross-Up Payment shall be made. If the Accounting Firm
determines that the Total Payments are to be reduced under the preceding sentence, then
Gen-Probe shall promptly give the Executive notice to that effect and a copy of the
detailed calculation thereof. The Executive may then elect, in his sole discretion,
which and how much of the Total Payments are to be eliminated or reduced (as long as
after such election no Excise Tax shall be payable), and the Executive shall advise
Gen-Probe in writing of his election within ten (10) days of receipt of notice. If the
Executive make no such election within such ten (10)-day period, then Gen-Probe may
elect which and how much of the Total Payments are to be eliminated or reduced (as long
as after such election no Excise Tax shall be payable), and it shall notify the
Executive promptly of such election.

	11.	 	Miscellaneous.

	 	(a)	 	Arbitration. Executive and Gen-Probe agree that any and all claims or
disputes that in any way relate to or arise out of Executive’s employment with
Gen-Probe or the termination of such employment (including but not limited to claims
under this Agreement or any other contract, tort claims, and statutory claims of
employment discrimination, retaliation or harassment) shall be resolved exclusively
through final and binding arbitration in San Diego, California. Executive and
Gen-Probe waive any rights to a jury trial in connection with such claims or disputes.
The costs of the arbitration, including the fees of the arbitrator, shall be borne
exclusively by Gen-Probe. Any such arbitration shall take place in San Diego,
California and shall be conducted by a single neutral arbitrator who shall be a retired
federal or state judge, to be appointed by the American Arbitration Association (“AAA”)
in accordance with AAA rules. The applicable procedural rules of AAA shall govern the
arbitration. The arbitrator’s decision shall be delivered in writing and shall
disclose the essential findings and

8

 

	 	 	 	conclusion on which the arbitrator’s decision is based. The parties shall be
permitted to conduct adequate discovery to allow for a full and fair exploration of
the issues in dispute in the arbitration proceeding. The arbitrator may grant any
relief which otherwise would have been available to the parties in a court
proceeding. The decision and award of the arbitrator shall be final and binding,
and judgment upon the arbitrator’s award may be entered by any court of competent
jurisdiction.
	 
	 	(b)	 	Governing Law. This Agreement shall be construed and enforced in
accordance with and be governed by the laws of the State of California.
	 
	 	(c)	 	Entire Agreement. This Agreement and the Indemnification Agreement set
forth the entire agreement and understanding between the Executive and Gen-Probe on the
subject matter hereof, and supersede any other negotiations, agreements,
understandings, oral agreements, representations and past or future practices, whether
written or oral, on the subject matter hereof. No provision of this Agreement may be
amended, supplemented, modified, cancelled, or discharged unless such amendment,
supplement, modification, cancellation or discharge is agreed to, in writing, signed by
the Executive and a duly authorized officer of Gen-Probe (other than the Executive);
and no provisions hereof may be waived, except in writing, so signed by or on behalf of
the party granting such waiver.
	 
	 	(d)	 	Validity. The invalidity or unenforceability of any provision or
provisions of this Agreement shall not affect the validity or enforceability of any
other provision of this Agreement, which shall remain in full force and effect.
	 
	 	(e)	 	Notices. For the purposes of this Agreement, notices, demands and all
other communications provided for in this Agreement shall be in writing and shall be
deemed to have duly given when personally delivered or mailed by United States
certified or registered mail, return receipt requested, postage prepaid, addressed as
follows:

If to the Executive:

Henry L. Nordhoff

251 Ocean View Avenue

Del Mar, California 92014

If to Gen-Probe:

Vice President, Human Resources

Gen-Probe Incorporated

10210 Genetic Center Drive

San Diego, California 92121

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With a copy to:

General Counsel

Gen-Probe Incorporated

10210 Genetic Center Drive

San Diego, California 92121

	 	(f)	 	Successors. Gen-Probe will require any successor (whether direct or
indirect, by purchase, merger, consolidation or otherwise) to all or substantially all
the business and/or assets of Gen-Probe, by agreement in form and substance
satisfactory to the Executive, expressly to assume and agree to perform this Agreement
in the same manner and to the same extent that Gen-Probe would be required to perform
it if no such succession had taken place. This Agreement and all rights under the
Agreement shall be binding upon and shall inure to the benefit of and be enforceable by
the party’s personal or legal representatives, executors, administrators, heirs, and
successors.
	 
	 	(g)	 	No Right to Continued Employment. Nothing herein shall be construed as
giving the Executive any rights to continued employment with Gen-Probe, and Gen-Probe
shall continue to have the right to terminate the Executive’s employment at any time,
with or without cause, subject to the provisions of this Agreement.

     In witness whereof, the parties have executed this Agreement.

	 	 	 	 	 
	Executive:	 	Gen-Probe Incorporated:
	 
	 	 	 	 
	          /s/ Henry L. Nordhoff

	 	By
	 	                    /s/ Diana De Walt
	 

	 	 	 	 
	Henry L. Nordhoff

	 	 	 	                    Diana De Walt
	 

	 	 	 	Vice President, Human Resources
	 
	 	 	 	 
	 

	 	By
	 	                    /s/ R. William Bowen
	 

	 	 	 	 
	 

	 	 	 	                    R. William Bowen
	 

	 	 	 	Vice President and General Counsel

10

 

ATTACHMENT “1”

DEFINITION OF “CHANGE IN CONTROL”

     Change in Control.

“Change in Control” shall mean a change in ownership or control of Gen-Probe effected through any
of the following transactions:

     (a) any person or related group of persons (other than Gen-Probe or a person that, prior to
such transaction, directly or indirectly controls, is controlled by, or is under common control
with, Gen-Probe) directly or indirectly acquires beneficial ownership (within the meaning of Rule
13d-3 under the Exchange Act) of securities possessing more than fifty percent (50%) of the total
combined voting power of Gen-Probe’s outstanding securities by means of any transaction or series
of transactions; or

     (b) there is a change in the composition of the Board over a period of thirty-six (36)
consecutive months (or less) such that a majority of the Board members (rounded up to the nearest
whole number) ceases, by reason of one or more proxy contests for the election of Board members, to
be comprised of individuals who either (i) have been Board members continuously since the beginning
of such period or (ii) have been elected or nominated for election as Board members during such
period by at least a majority of the Board members described in clause (i) who were still in office
at the time such election or nomination was approved by the Board; or

     (c) the stockholders of Gen-Probe approve a merger or consolidation of Gen-Probe with any
other corporation (or other entity), other than a merger or consolidation which would result in the
voting securities of Gen-Probe outstanding immediately prior thereto continuing to represent
(either by remaining outstanding or by being converted into voting securities of the surviving
entity or another entity) more than 66-2/3% of the combined voting power of the voting securities
of Gen-Probe or such surviving entity outstanding immediately after such merger or consolidation;
provided, however, that a merger or consolidation effected to implement a
recapitalization of Gen-Probe (or similar transaction) in which no person acquires more than 25% of
the combined voting power of Gen-Probe’s then outstanding voting securities shall not constitute a
Change in Control; or

     (d) the stockholders of Gen-Probe approve a plan of complete liquidation of Gen-Probe or an
agreement for the sale or disposition by Gen-Probe of all or substantially all of Gen-Probe’s
assets.

11

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