Document:

SEVENTH AMENDED AND RESTATED REVOLVING CREDIT NOTE
               --------------------------------------------------

$4,000,000.00     DALLAS,  TEXAS     TO  BE  EFFECTIVE  AS  OF  MARCH  28,  2004

     FOR  VALUE  RECEIVED,  the  undersigned,  PIZZA  INN,  INC.,  a  Missouri
corporation (the "Borrower"), hereby promises to pay to the order of WELLS FARGO
                  --------
BANK (TEXAS), NATIONAL ASSOCIATION, a national banking association (the "Bank"),
                                                                         ----
at  its  office  located  at 1445 Ross Avenue, Dallas, Texas 75265, on or before
October  1,  2005,  in  lawful  money  of  the  United  States of America and in
immediately  available  funds,  the  principal  sum  of  Four Million and No/100
Dollars  ($4,000,000.00)  or  such  lesser  amount  as shall equal the aggregate
unpaid  principal  amount of the Existing Loans and any additional Advances made
by  the  Bank to the Borrower under Article II of the Loan Agreement referred to
below,  and  to pay interest on the amount of each such Advance, at such office,
in  like  money and funds, for the period commencing on the date of such Advance
until  such  Advance  shall  be  paid in full, at the rates per annum and on the
dates  provided  in  the  Loan  Agreement  (as  hereinafter  defined).

     The  Borrower  hereby  authorizes  the  Bank  to  record in Bank's internal
records the amount and Type of Advances made to the Borrower by the Bank and all
Continuations,  Conversions,  and  payments  of  principal  in  respect  of such
Advances,  which  records shall, in the absence of manifest error, be conclusive
as  to the outstanding principal amount of all such Advances; provided, however,
that  the  failure  to  make  such  notation with respect to any such Advance or
payment  shall  not  limit  or  otherwise affect the obligations of the Borrower
under  the  Loan  Agreement  or  this  Note.

     This  Note  is  the  Seventh  Amended  and  Restated  Revolving Credit Note
referred  to  in  the  First  Amendment  to  the Third Amended and Restated Loan
Agreement dated as of the date hereof, between the Borrower and the Bank (as the
same may be amended, modified, or supplemented from time to time, being referred
to  herein  as  the  "Loan Agreement"), and evidences the Existing Loans and all
                      --------------
additional  Advances  made by the Bank pursuant to Article II thereof.  The Loan
Agreement,  among  other  things,  contains  provisions  for acceleration of the
maturity  of  this Note upon the happening of certain stated events and also for
prepayments  of  Advances  prior to the maturity of this Note upon the terms and
conditions specified in the Loan Agreement.  Capitalized terms used in this Note
and  not  otherwise defined herein have the respective meanings assigned to them
in  the  Loan  Agreement.

     Notwithstanding  anything to the contrary contained herein, no provision of
this  Note  shall  require  the  payment or permit the collection of interest in
excess of the Maximum Rate.  If any excess of interest in such respect is herein
provided  for,  or  shall  be  adjudicated  to  be  so provided, in this Note or
otherwise  in  connection  with  this  loan  transaction, the provisions of this
paragraph  shall  govern and prevail, and neither the Borrower nor the sureties,
guarantors,  successors or assigns of the Borrower shall be obligated to pay the
excess  amount  of  such  interest,  or  any  other excess sum paid for the use,
forbearance  or  detention  of  sums  loaned pursuant hereto.  If for any reason
interest  in  excess  of  the  Maximum Rate shall be deemed charged, required or
permitted  by  any  court  of  competent  jurisdiction, any such excess shall be
applied as a payment and reduction of the principal of indebtedness evidenced by
this  Note;  and,  if  the  principal  amount  hereof has been paid in full, any
remaining  excess  shall  forthwith  be  paid  to  the Borrower.  In determining
whether  or  not  the  interest  paid  or  payable exceeds the Maximum Rate, the
Borrower  and  the  Bank  shall,  to the extent permitted by applicable law, (i)
characterize  any  non-principal  payment  as an expense, fee, or premium rather
than  as  interest,  (ii) exclude voluntary prepayments and the effects thereof,
and  (iii) amortize, prorate, allocate, and spread in equal or unequal parts the
total  amount  of  interest  throughout  the  entire  contemplated  term  of the
indebtedness  evidenced  by  this  Note so that the interest for the entire term
does  not  exceed  the  Maximum  Rate.

     This Note shall be governed by and construed in accordance with the laws of
the  State  of  Texas  and  the applicable laws of the United States of America.
This  Note  is  performable  in  Dallas  County,  Texas.

     This  Note  is  given  in  renewal,  extension and modification of, but not
extinguishment  or novation of, the indebtedness evidenced by that certain Sixth
Amended  and  Restated  Revolving  Credit  Note dated as of January 22, 2003 but
effective  as  of  December  29,  2002,  in  the  original  principal  amount of
$7,000,000  executed  by  the  Borrower  and  payable  to the order of the Bank.

     The  Borrower  and  each  surety, guarantor, endorser, and other party ever
liable  for  payment  of  any  sums  of  money  payable on this Note jointly and
severally  waive  notice,  presentment,  demand  for payment, protest, notice of
protest and non-payment or dishonor, notice of acceleration, notice of intent to
accelerate,  notice of intent to demand, diligence in collecting, grace, and all
other  formalities of any kind, and consent to all extensions without notice for
any  period  or  periods of time and partial payments, before or after maturity,
and  any  impairment of any collateral securing this Note, all without prejudice
to the holder.  The holder shall similarly have the right to deal in any way, at
any  time, with one or more of the foregoing parties without notice to any other
party,  and to grant any such party any extensions of time for payment of any of
said  indebtedness,  or  to  release or substitute part or all of the collateral
securing  this  Note,  or  to  grant  any  other  indulgences  or  forbearances
whatsoever,  without  notice to any other party and without in any way affecting
the  personal  liability  of  any  party  hereunder.

                              PIZZA  INN,  INC.

                              By:  /s/Ronald W. Parker
                              Name: Ronald W. Parker
                              Title:President and Chief Executive OfficerMr

 

March 12, 2004

 

Mr. Michael Nestor

5401 Leytonstone Court 

Oak Ridge, North Carolina  27310

Dear Michael:

This letter is an offer of certain terms and conditions relating to your separation from employment with Alpharma Inc. (the "Company").  This letter will supercede the terms and conditions of any prior arrangements, written or oral, relating to your employment.

1.       You shall cease to be an employee of the Company effective March 12, 2004 (your "Termination Date").

2.       Subject to the terms of this letter:

(a)   The Company shall pay you your full salary (at your present annual rate of $385,000.00) plus all fringe benefits through your Termination Date.  Additionally, you will be paid for all accrued but unused vacation time through your Termination Date.  All payments required by this subparagraph shall be subject to standard tax withholding and other deductions. 

(b)   Your Severance will commence on March 13, 2004 and end on September 12, 2005 (the "Severance Period").

(c)   You will receive salary continuation during your Severance Period at an annual rate of  $385,000.00 ($577,500.00 total).  In addition, for the full Severance Period, you will receive an aggregate of $433,125 in Incentive Awards pursuant to the Company's Executive Bonus Plan, as well as an aggregate of $42,900 in Executive Allowance.  All payments required by this subparagraph shall be paid consistent with the Company's normal payroll procedures over the term of the Severance Period, and shall be subject to standard tax withholding and other deductions.

(d)   In accordance with the terms of the Alpharma Inc. Stock Option Plan, you have thirty (30) days from March 12, 2004 to exercise any stock options that are vested as of March 12, 2004.  If you do not exercise your options within such thirty (30) day period, they will expire.  Any outstanding stock options that are not vested as of March 12, 2004 shall be forfeited.  You recognize that the Plan's "cashless exercise" feature, since it involves the sale of shares, can only be used when you are not in possession of material, nonpublic information concerning the Company.  You are also aware that your obligation to file an SEC Form 4 in connection with any purchase or sale of Alpharma shares extends for six (6) months after the Termination Date.

(e)   Your status as an active employee in any pension, savings or other retirement plan of the Company in which you presently are a participant shall terminate on your Termination Date and you shall not be entitled to any further vesting or credit for service thereunder after such date.  All rights under such plans, which are vested as of your Termination Date, shall remain unaffected by this letter.

(f)   You shall be entitled to the following health and welfare benefits, in the form and in the amounts applicable to you on the date hereof, during your Severance Period:

Medical Plan - Health, Dental, Prescription and Vision

Life Insurance

Dependent Life Insurance

Accidental Death and Dismemberment Insurance

Payments for all contributory benefits will be deducted from your Severance payments, in an amount equal to the then-current regular employee contribution rates.  Except as specifically set forth in this letter, no other fringe benefits shall be provided during the Severance Period.  Any plan changes or changes in employee contribution amounts during the Severance Period shall be applicable to you to the same extent as such changes would have been applicable had you remained an employee during such period.

(g)   You will be offered continued health benefits as provided by "COBRA", commencing at the end of the Severance Period, upon the terms and conditions then available to other terminated employees of the Company.

3.      As soon as practical after the Termination Date, you will return to the Company all Company property including, but not limited to, files and records (in any and all media), computers and related equipment, cellular telephones and keys.

4.      In consideration of the promises of the Company in paragraph 2 above and otherwise herein, and in accordance with the terms of the Alpharma Inc. Severance Plan, you hereby release each of the Company, its predecessors, successors and its past, present and future operating companies, divisions, subsidiaries, affiliates and business units, and its and their affiliates, officers, directors and employees (collectively the "Alpharma Group" or the "Releasees") from any and all claims, demands, causes of action, damages, expenses and liabilities, whether now known or unknown, which you now or may later have against the Releasees which relate in any way to your employment by the Company, or your separation from employment with the Company, or any other matter otherwise arising on or prior to the date of your execution of this letter (each, a "Claim").  This includes, without in any way limiting the generality of the foregoing language, any and all Claims under Title VII of the Civil Rights Act of 1964, as amended, the Americans with Disabilities Act of 1990, the Civil Rights Act of 1991, the Reconstruction Era Civil Rights Act, as amended, the Family and Medical Leave Act of 1993, the Family Leave Act, the Worker Adjustment and Retraining Notification Act, the Employee Retirement Income Security Act of 1974, as amended, the Fair Labor Standards Act, the Age Discrimination in Employment Act, the Conscientious Employee Protection Act, the New Jersey Law Against Discrimination, the Equal Pay Act, the United States Constitution, the Constitution of the State of New Jersey, and/or any and all other local, state, or federal statute, law, order, rule, regulation or ordinance (including but not limited to those relating to labor, employment, benefits, or wages), and/or any and all contract or tort Claims.

5.      In signing this letter, you represent that you have not filed any Claim against the Releasees and hereby covenant not to file any such Claim.  You further agree that, in the event any Claim is brought by a governmental agency, this letter shall serve as a complete defense to such Claim.

6.      You agree not to disclose or use in any manner any information regarding the Company or its businesses, products, operations, technology or plans unless and until such information shall have become generally known to the public or other than as a result of any disclosure or other action by you.  You shall reasonably cooperate with the Company with respect to future developments on any matters in which you were involved during your employment; it being understood that this commitment is not intended to require a substantial amount of your time nor to unreasonably interfere with your future employment activities.  Also enclosed for your records is a copy of the Confidentiality Agreement that you signed with the Company.  Please keep in mind that the terms of this agreement are still in effect after your employment with the Company has ended.  We specifically remind you that, pursuant to the terms of the Confidentiality Agreement, you have agreed not to disclose or use in any manner any information regarding the Company or its affiliates and their businesses, products, operations, technology or plans unless and until such information shall have become generally known to the public other than as a result of any disclosure or other action by you.  You must consider the terms of this letter offered to you herein as confidential information covered by the Confidentiality Agreement, and therefore not disclose either to third parties, including other current and former employees of the Company.

7.      You agree, that for the period of eighteen (18) months after the date of this letter, you will not hire, offer employment to, facilitate the hiring of, or otherwise assist in finding employment (whether as an employee, independent contractor or other agency capacity) for any person who is, as of the date of this letter, an employee of the Company or any of its affiliates.  This restriction shall include, without limitation, a prohibition against you providing to a third party organization the name of, or other information with respect to, any employee of the Company or any affiliate in connection with a potential employment opening.  

You and the Company agree not to take any action to disparage or otherwise bring into question the business reputation, abilities or capabilities of the other, including your agreement to forebear in such activities with or in connection with customers of the Company and the Company's agreement to present your cessation of employment as a result of organization restructuring.

8.      The Company will pay for certain outplacement services, which have been arranged with Drake Beam Morin, to assist you in obtaining further employment.  The scope and timing of these services shall be in accordance with the arrangement between the Company and Drake Beam Morin, and no further services or changes to the scope of the services so arranged by the Company will be reimbursed by the Company.  The Company shall not be responsible for any of your personal expenses associated with obtaining outplacement.  Please contact Lisa Richter in the Company's Human Resources Department at (908) 659-2306 to schedule such outplacement services.

9.      This letter contains the entire agreement between you and the Company with respect to the subject matter hereof and supersedes all prior arrangements or understandings, written or oral.  You acknowledge that neither the Company, nor the Alpharma Group, has made any warranties, promises or representations of any kind upon which you have relied in executing this letter except as specifically set forth herein.

10.     You acknowledge that you have read this letter carefully and understand all of its terms.  You understand that you have the right to obtain, and you acknowledge that you have obtained, legal counsel, at your own expense, prior to signing this letter and that you have been provided with reasonable time to obtain and consider such counsel.  You also understand that this letter shall not be effective or enforceable and no payments shall be due hereunder until both (a) you sign and return the enclosed copy of this letter to George Rose, Executive Vice President - Human Resources & Communications, in the Fort Lee office, and (b) seven (7) business days after the date you return a signed copy of this letter has expired without you or your counsel giving written notice that you are revoking your acceptance of this letter.  This letter is open for acceptance by you for twenty-one (21) days - until the close of business on April 2, 2004. 

Very truly yours,

Alpharma Inc.

 

By:  /s/ George P. Rose

George P. Rose, Executive Vice President,

Human Resources and Communications

The undersigned agrees to all of the terms and conditions of this letter, including without limitation, the Release contained herein:

/s/ Michael J. Nestor

Michael Nestor

Date:  3/16/04

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00066-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00066-of-00352.parquet"}]]