Document:

Second Amendment To Credit Agreement dated as of June 27, 2003

 Exhibit 10.1 
  
 SECOND AMENDMENT TO 
 CREDIT AGREEMENT 
  
 THIS SECOND AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), dated as of June 27, 2003, is by and among FISHER BROADCASTING COMPANY (the “Borrower”), certain Subsidiaries of the Borrower (the
“Guarantors”), the Lenders that agree to the terms hereof and WACHOVIA BANK, NATIONAL ASSOCIATION (successor to First Union National Bank) (“Wachovia”), in its capacity as Administrative Agent for the Lenders
(in such capacity, the “Administrative Agent”), BANK OF AMERICA, N.A. and THE BANK OF NEW YORK, as co-syndication agents for the Lenders hereunder (in such capacity, the “Co-Syndication Agents”), and
NATIONAL CITY BANK, as documentation agent for the Lenders hereunder (in such capacity, the “Documentation Agent”). Capitalized terms used herein without definition shall have the meanings given to them in that certain Credit
Agreement described below. 
  
 W I T N E S S E T H 
  
 WHEREAS, the Borrower, the Guarantors, the Lenders party thereto, the
Administrative Agent, the Co-Syndication Agents and the Documentation Agent have entered into that certain Credit Agreement dated as of March 21, 2002 (as previously amended or modified and as further amended, modified, supplemented or restated from
time to time, the “Credit Agreement”); 
  
 WHEREAS, the Borrower has requested certain amendments to the Credit Agreement; and 
  
 WHEREAS, the Required Lenders have agreed to such amendments subject to the terms and conditions set forth herein. 

 NOW, THEREFORE, in consideration of the agreements hereinafter set forth, and for other good and valuable
consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows: 
  
 ARTICLE I 
 AMENDMENTS TO CREDIT AGREEMENT 
  
 1.1 Amendment to Pricing Grid. The pricing grid set
forth in the definition of “Applicable Percentage” in Section 1.1 of the Credit Agreement is hereby amended and restated in its entirety to read as follows: 
  

	 Level

	  	 Leverage Ratio

	  	Alternate Base Rate
Margin for
Revolving Loans and
Tranche A Term
Loans

	 	 	 LIBOR Rate Margin
 for Revolving
Loans, Tranche A
Term Loans and
Letter of Credit Fee

	 	 	 Alternate Base
Rate Margin
for
 Tranche B
Term Loans

	 	 	 LIBOR Rate
Margin
 for Tranche B
Term Loans

	 	 	Commitment
Fee

	 
	 I
	  	> 6.0 to 1.0	  	3.00	%	 	4.25	%	 	3.50	%	 	4.75	%	 	0.625	%
	 II
	  	> 5.5 to 1.0 but < 6.0 to 1.0	  	2.75	%	 	4.00	%	 	3.25	%	 	4.50	%	 	0.625	%
	 III
	  	> 5.0 to 1.0 but < 5.5 to 1.0	  	2.75	%	 	4.00	%	 	3.25	%	 	4.50	%	 	0.625	%
	 IV
	  	> 4.5 to 1.0 but < 5.0 to 1.0	  	2.00	%	 	3.25	%	 	3.25	%	 	4.50	%	 	0.500	%
	 V
	  	> 4.0 to 1.0 but < 4.5 to 1.0	  	1.75	%	 	3.00	%	 	3.25	%	 	4.50	%	 	0.500	%
	 VI
	  	> 3.5 to 1.0 but < 4.0 to 1.0	  	1.50	%	 	2.75	%	 	3.25	%	 	4.50	%	 	0.500	%
	 VII
	  	> 3.0 to 1.0 but < 3.5 to 1.0	  	1.25	%	 	2.50	%	 	3.25	%	 	4.50	%	 	0.375	%
	 VIII
	  	> 2.5 to 1.0 but < 3.0 to 1.0	  	1.00	%	 	2.25	%	 	2.75	%	 	4.00	%	 	0.375	%
	 IX
	  	< 2.5 to 1.0	  	0.75	%	 	2.00	%	 	2.75	%	 	4.00	%	 	0.375	%

  
 The Credit Parties and
the Lenders acknowledge and agree that the foregoing modifications to the pricing grid will become effective on the Second Amendment Effective Date and the amended interest rate levels set forth in such pricing grid shall apply to all Loans
outstanding as of such date as well as any Loan made after such date. 
  
 1.2 Amendment to Definition of Consolidated EBITDA. The definition of “Consolidated EBITDA” in Section 1.1 of the Credit Agreement is hereby amended and restated in its entirety to read as follows: 
  
 “Consolidated EBITDA” shall mean, as of
any date of determination for the four quarter period ending on such date, (i) Consolidated Net Income for such period plus (ii) the sum of the following to the extent deducted in calculating Consolidated Net Income: (A) Consolidated Interest
Expense for such period, (B) tax expense (including, without limitation, any federal, state, local and foreign income, value added and similar taxes) of the Borrower and its Subsidiaries for such period and (C) depreciation, amortization (including
Programming Amortization Expense) and other non-cash charges for such period minus (iii) Programming Cash Payments minus (iv) Upfront Radio Broadcasting Payments for such period; provided that, for purposes of calculating
Consolidated EBITDA, South West Oregon Television Broadcast Corporation, the owner of the KPIC-TV license, shall be considered a Subsidiary of the Borrower and 50% of each of the foregoing components of Consolidated EBITDA (e.g. Consolidated Net
Income) with respect to South West Oregon Television Broadcast Corporation shall be included in such calculation for the applicable period. The applicable period shall be for the four consecutive quarters ending as of the date of computation.

  

 2 

 1.3 New Definition of Planned Property Sales. A new definition of
“Planned Property Sales” is hereby added to Section 1.1 of the Credit Agreement in the appropriate alphabetical order to read as follows: 
  
 “Planned Property Sales” shall mean the sales of property and assets permitted by Section 6.5(a)(iv) and Section
6.5(a)(viii). 
  
 1.4 Amendment to Definition of Program
Contracts. The definition of “Program Contracts” in Section 1.1 of the Credit Agreement is hereby amended and restated in its entirety to read as follows: 
  
 “Program Contracts” shall mean (a) all contracts for television, film and Programs, (b)
all music and related audio rights with respect to television, film and Programs and (c) all syndicated television series exhibition rights and other similar television or film rights acquired under license agreements. 
  
 1.5 New Definition of Second Amendment Effective
Date. A new definition of “Second Amendment Effective Date” is hereby added to Section 1.1 of the Credit Agreement in the appropriate alphabetical order to read as follows: 
  
 “Second Amendment Effective Date” shall
mean June 27, 2003. 
  
 1.6 New Definition of Upfront
Radio Broadcasting Payments. A new definition of “Upfront Radio Broadcasting Payments” is hereby added to Section 1.1 of the Credit Agreement in the appropriate alphabetical order to read as follows: 
  
 “Upfront Radio Broadcasting Payments”
shall mean, for any period commencing on or after the Second Amendment Effective Date, the aggregate cash payments actually made by the Borrower and its Subsidiaries on a Consolidated basis during such period in connection with the acquisition of
radio broadcasting rights and other similar audio rights, excluding radio broadcasting programming costs that shall be expensed in the twelve month period following the date such radio broadcasting rights or other similar audio rights are acquired.

  
 1.7 Treatment of Planned Property
Sales. The third paragraph of Section 1.3 of the Credit Agreement is hereby amended and restated in its entirety to read as follows: 
  
 For purposes of computing the financial covenants set forth in Section 5.9 for any applicable test period, any Permitted Acquisition or
permitted sale of assets (including a stock sale, but excluding any Planned Property Sale for computation of the Fixed Charge Coverage Ratio and Interest Coverage Ratio) that was consummated during such period shall have been deemed to have taken
place as of the first day of such applicable test period. 
  

 3 

 1.8 Additional Second Amendment Fee. A new subsection (e) is hereby added to
Section 2.6 of the Credit Agreement to read as follows: 
  
 (e) Additional Second Amendment Fee. If a Planned Property Sale is not consummated by September 30, 2003, the Borrower agrees to pay to the Administrative Agent, on behalf of each of the Lenders that
executed the Second Amendment to this Agreement by the deadline set forth in Section 2.1 thereof, an additional amendment fee equal to 0.10% of the sum of such Lender’s Revolving Commitment as of the Second Amendment Effective Date plus such
Lender’s outstanding Term Loans as of the Second Amendment Effective Date, such fee to be due and payable on October 1, 2003. 
  
 1.9 Amendment to Leverage Ratio. Section 5.9(a) of the Credit Agreement is hereby amended and restated in its entirety to read as
follows: 
  
 Section 5.9 Financial Covenants.

  
 (a) Leverage Ratio. At all
times, the Leverage Ratio during the following periods shall be less than or equal to the ratios corresponding to such periods: 
  

	 Period

	  	Maximum Ratio

	 Second Amendment Effective Date through
 December 30, 2003
	  	 6.15 to 1.0

	 December 31, 2003 through June 29, 2004
	  	4.75 to 1.0
	 June 30, 2004 through September 29, 2004
	  	4.50 to 1.0
	 September 30, 2004 through December 30, 2004
	  	4.00 to 1.0
	 December 31, 2004 and thereafter
	  	3.00 to 1.0

  
 ;provided,
however, upon the consummation of any one Planned Property Sale, the foregoing Leverage Ratio levels shall be reduced as follows (and the following required Leverage Ratio levels shall remain in effect until the earlier to occur of (i)
consummation of both Planned Property Sales and (ii) the latest Maturity Date): 
  

	 Period

	  	Maximum Ratio

	 Second Amendment Effective Date through
June 29, 2004
	  	4.75 to 1.0
	 June 30, 2004 through September 29, 2004
	  	4.50 to 1.0
	 September 30, 2004 through December 30, 2004
	  	4.00 to 1.0
	December 31, 2004 and thereafter	  	3.00 to 1.0

  
 ;provided
further, however, upon the consummation of both Planned Property Sales, the foregoing Leverage Ratio levels shall be reduced as follows: 
  

	 Period

	  	Maximum Ratio

	 Second Amendment Effective Date through
December 30, 2003
	  	4.00 to 1.0
	 December 31, 2003 through June 29, 2004
	  	3.50 to 1.0
	 June 30, 2004 and thereafter
	  	3.00 to 1.0

  

 4 

 1.10 Amendment to Asset Sale Negative Covenant. Section 6.5(a) of the Credit
Agreement is hereby amended and restated in its entirety to read as follows: 
  
 Section 6.5 Consolidation, Merger, Sale or Purchase of Assets, etc. 
  
 No Credit Party shall: 
  
 (a) dissolve, liquidate or wind up its affairs, sell, transfer, lease or otherwise dispose of its property or assets or agree to do so
at a future time except the following, without duplication, shall be expressly permitted: 
  
 (i) Specified Sales; 
  
 (ii) the disposition of property or assets as a result of a Recovery Event to the extent the net proceeds therefrom are used to repay
Loans pursuant to Section 2.8(b) or repair or replace damaged property or to purchase or otherwise acquire new assets or property, provided that such purchase or acquisition is consummated within 270 days of such receipt; 
  
 (iii) the sale, lease or transfer of property or assets
from a Credit Party to another Credit Party (including the liquidation or consolidation of any Credit Party (other than the Borrower) into another Credit Party); 
  
 (iv) the sale of the Television Stations WFXG-TV in Augusta, Georgia and WXTX-TV located in Columbus,
Georgia for a cash purchase price of approximately $40,000,000; 
  
 (v) the contribution of certain assets by the Television Station KIDK-TV in Idaho Falls, Idaho to a joint venture (or similar entity or arrangement) with the American Broadcasting Company, Inc. affiliate located in
Idaho Falls, Idaho on terms acceptable to the Administrative Agent; provided that the Administrative Agent, on behalf of the Lenders, shall be granted a security interest in, or Lien on, the equity or contractual interests held by the Credit
Parties in such joint venture (or similar entity or arrangement) on terms acceptable to the Administrative Agent; 
  

 5 

 (vi) the sale of two (2) parcels of real property in Coos Bay, Oregon following the
relocation of Station KCBY to its new studio; 
  
 (vii) the sale of approximately 38 acres of real property located in Lane County, Oregon and the fixtures located thereon for a cash purchase price of approximately $110,000; and 
  
 (viii) the sale of substantially all of the assets used
in operating the radio broadcast stations KWJJ-FM and KOTK(AM) in Portland, Oregon for a cash purchase price of approximately $44,000,000, including the station licenses, certain tangible assets, customary agreements used in operating the stations
and the real property on which the KOTK(AM) tower is located; provided that 100% of the Net Cash Proceeds from such sale shall be applied to prepay the Loans in accordance with the terms of Section 2.8(b)(iii) and (vii) without giving effect
to any reinvestment right of the Credit Parties contained in Section 2.8(b)(iii); 
  
 provided, that, (A) with respect to clauses (i) and (ii) above (other than Specified Sales consisting of trade-ins of vehicles or equipment), at least 75% of the consideration received therefor by the
applicable Credit Party shall be in the form of cash or Cash Equivalents and (B) with respect to clauses (iv) and (viii) above, (1) 100% of the consideration received therefor by the applicable Credit Party shall be in the form of cash or Cash
Equivalents and (2) the Borrower shall deliver to the Administrative Agent, prior to the consummation of any such sale of assets, a certificate of a Responsible Officer certifying that no Default or Event of Default will exist both before and after
giving to such sale of assets; or 
  
 ARTICLE II 
 CONDITIONS TO EFFECTIVENESS 
  
 2.1 Closing Conditions. 
  
 This Amendment shall become effective as of the Second Amendment Effective Date upon satisfaction of the following conditions (in form and substance
reasonably acceptable to the Administrative Agent): 
  
 (a) Executed Amendment. Receipt by the Administrative Agent of a copy of this Amendment duly executed by each of the Credit Parties and the Required Lenders. 
  
 (b) Resolutions. Receipt by the Administrative Agent of copies of resolutions of the Board of
Directors of each of the Credit Parties approving and adopting this Amendment, the transactions contemplated herein and authorizing execution and delivery hereof, certified by a secretary or assistant secretary of such Credit Party to be true and
correct and in force and effect as of the date hereof. 
  

 6 

 (c) Incumbency Certificate. Receipt by the Administrative Agent of an incumbency
certificate with respect to each of the Credit Parties. 
  
 (d) Legal Opinion. Receipt by the Administrative Agent of an opinion from counsel to the Credit Parties relating to this Amendment and the transactions contemplated herein, in form and substance satisfactory to the Administrative
Agent, addressed to the Administrative Agent and the Lenders and dated as of the date hereof. 
  
 (e) Fees. (i) Receipt by the Administrative Agent, on behalf of each Lender that executes this Amendment by 5:00 p.m. (EST) on June
26, 2003, of an amendment fee equal to 0.15% of the sum of such Lender’s Revolving Commitment plus such Lender’s outstanding Term Loans; and (ii) receipt by the Administrative Agent of all fees and expenses of the Administrative Agent in
connection with the preparation, execution and delivery of this Amendment, including, without limitation, the fees and expenses of Moore & Van Allen PLLC. 
  

ARTICLE III 
 MISCELLANEOUS 
  
 3.1 Amended Terms. The term “Credit Agreement” as
used in each of the Credit Documents shall hereafter mean the Credit Agreement as amended by this Amendment. Except as specifically amended hereby or otherwise agreed, the Credit Agreement is hereby ratified and confirmed and shall remain in full
force and effect according to its terms. 
  
 3.2
Representations and Warranties of Credit Parties. Each of the Credit Parties represents and warrants as follows: 
  
 (a) It has taken all necessary action to authorize the execution, delivery and performance of this Amendment. 
  
 (b) This Amendment has been duly executed and delivered by
such Person and constitutes such Person’s legal, valid and binding obligations, enforceable in accordance with its terms, except as such enforceability may be subject to (i) bankruptcy, insolvency, reorganization, fraudulent conveyance or
transfer, moratorium or similar laws affecting creditors’ rights generally and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding at law or in equity). 
  
 (c) No consent, approval, authorization or order of, or
filing, registration or qualification with, any court or governmental authority or third party is required in connection with the execution, delivery or performance by such Person of this Amendment. 
  

 7 

 (d) The representations and warranties set forth in Article III of the Credit Agreement
are true and correct in all material respects as of the date hereof (except for those which expressly relate to an earlier date). 
  
 3.3 Acknowledgment of Guarantors. The Guarantors acknowledge and consent to all of the terms and conditions of this Amendment and agree that
this Amendment and all documents executed in connection herewith do not operate to reduce or discharge the Guarantors’ obligations under the Credit Documents. 
  
 3.4 Credit Document. This Amendment shall constitute a Credit Document under the terms of the Credit
Agreement. 
  
 3.5 Entirety. This Amendment and the
other Credit Documents embody the entire agreement between the parties hereto and supersede all prior agreements and understandings, oral or written, if any, relating to the subject matter hereof. 
  
 3.6 Counterparts; Telecopy. This Amendment may be executed in
any number of counterparts, each of which when so executed and delivered shall be an original, but all of which shall constitute one and the same instrument. Delivery of an executed counterpart to this Amendment by telecopy shall be effective as an
original and shall constitute a representation that an original will be delivered. 
  
 3.7 General Release. In consideration of the Required Lenders entering into this Amendment, the Credit Parties hereby release the Administrative Agent, the Lenders, and the Administrative Agent’s
and the Lenders’ respective officers, employees, representatives, agents, counsel and directors from any and all actions, causes of action, claims, demands, damages and liabilities of whatever kind or nature, in law or in equity, now known or
unknown, suspected or unsuspected to the extent that any of the foregoing arises from any action or failure to act under the Credit Agreement on or prior to the date hereof. 
  
 3.8 GOVERNING LAW. THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AMENDMENT SHALL BE
GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK. 
  
 3.9 Consent to Jurisdiction; Service of Process; Waiver of Jury Trial. The jurisdiction, services of process and waiver of jury trial
provisions set forth in Sections 9.14 and 9.17 of the Credit Agreement are hereby incorporated by reference, mutatis mutandis. 
  

 8 

 IN WITNESS WHEREOF the Borrower, the Guarantors and the Required Lenders have caused this Amendment to be
duly executed on the date first above written. 
  

	 BORROWER:
	 	 	 	 FISHER BROADCASTING COMPANY
 a Washington corporation

					
	 	 	 	 	 	 	By:	 	     /s/    DAVID D. HILLARD
        

	 	 	 	 	 	 	 	 	 Name: David D. Hillard
 Title: Assistant
Secretary

  

	 GUARANTORS:
	 	 	 	 FISHER RADIO REGIONAL GROUP INC.,
 a Washington corporation

			
	 	 	 	 	 FISHER BROADCASTING-PORTLAND RADIO, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-SEATTLE RADIO, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-PORTLAND TV, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-SEATTLE TV, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-S.E. IDAHO TV, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-IDAHO TV, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-GEORGIA, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-OREGON TV, L.L.C.,
 a Delaware limited liability company

			
	 	 	 	 	 FISHER BROADCASTING-WASHINGTON TV, L.L.C.,
 a Delaware limited liability company

  

	 	 	 	 	 
					
	 	 	 	 	 	 	By:	 	     /s/    DAVID D. HILLARD
      

	 	 	 	 	 	 	 	 	 Name: David D. Hillard
 Title: Assistant
Secretary

  

 9 

 ADMINISTRATIVE AGENT  
 AND LENDERS: 
  
 WACHOVIA BANK, NATIONAL ASSOCIATION 
 as Administrative Agent and as a Lender 
  
 By:    /s/  Franklin M.
Wessinger                 
 Name:
Franklin M. Wessinger 
 Title: Managing Director 
  
 BANK OF AMERICA, N.A 
 As Co-Syndication Agent and as Lender 
  
 By:    /s/  Mark N.
Crawford                         
 Name: Mark N. Crawford 
 Title: Senior Vice President 
  

 10Employment Agreement

 Exhibit 10.1 
  
 EMPLOYMENT AGREEMENT 
  
 THIS EMPLOYMENT AGREEMENT (the “Agreement”) by and between Optio Software, Inc. (“Company”), and C. Wayne Cape (“You”
or “Your”) (collectively referred to as the “Parties”), is entered into and effective as of the 1st of August, 2003 (the “Effective Date”).1 
  
 WHEREAS, the Company is engaged in the Business; 
  
 WHEREAS, You have been acting as President and Chief Executive Officer of the Company since February 1, 2003 and have been compensated pursuant to the Transition Services Agreement dated August 1, 2001 between the
Parties (the “Transition Agreement”) which has now expired; 
  
 WHEREAS, the Parties desire to enter into an Employment Agreement to document Your services after the Effective Date, upon the terms and conditions set forth herein; 
  
 WHEREAS, Your position is a position of trust and responsibility with access to Confidential Information, Trade Secrets, and
information concerning employees and customers of the Company; 
  
 WHEREAS, the Trade Secrets and Confidential Information, and the relationship between the Company and each of its employees and customers are valuable assets of the Company and may not be converted to Your own use; 
  
 WHEREAS, the Company has agreed to employ You in exchange for Your compliance
with the terms of this Agreement; 
  
 NOW, THEREFORE, in
consideration of the mutual covenants and agreements set forth herein, it is agreed: 
  

	 	1.	 	Employment and Duties. 

  
 A. Company shall continue to employ You as Chief Executive Officer, President and Chairman of the Board in accordance with the terms and
conditions set forth in this Agreement. You accept such continued employment on the terms set forth herein. You shall report to the Board of Directors of the Company. 
  
 B. You shall have such duties as set forth on Exhibit B (“Duties”) and as may
otherwise be assigned to You by the Board of Directors from time to time. 

	1	 	Unless otherwise indicated, all capitalized terms used in this Agreement are defined in the “Definitions” section attached as Exhibit A.
Exhibit A is incorporated by reference and is included in the Definition of “Agreement.” 

 C. You agree to devote all necessary working time required of Your position, to devote
Your best efforts, skill, and energies to promote and advance the business and/or interests of the Company, and to fully perform Your obligations under this Agreement. During Your employment, You shall not render services to any other entity,
regardless of whether You receive compensation, without the prior written consent of the Company. You may, however, (i) engage in community, charitable, and educational activities, (ii) manage Your personal investments, and (iii) with the prior
written consent of the Company, serve on corporate boards or committees, provided that such activities do not conflict or interfere with the performance of Your obligations under this Agreement or conflict with the interests of the Company.

  
 D. As an officer of the Company, You owe a
duty of care and loyalty to the Company, as well as a duty to perform Your Duties in a manner that is in the best interests of the Company. 
  
 E. You agree to comply with the policies and procedures of the Company as may be adopted and changed from time to time, including those
described in the Company’s employee handbook. Material changes to policies and procedures may be made from time to time by the Board of Directors. If this Agreement conflicts with such policies or procedures, this Agreement will control.

  

	 	2.	 	Compensation. 

  
 A. Base Salary. During the term of this Agreement, Company shall pay to You a base salary of $270,000 per year, increased as set
forth below (“Base Salary”), subject to all applicable withholdings. Your Base Salary shall be increased on the anniversary of the Effective Date in an amount equal to the product of the Base Salary (as previously increased) and the
percentage increase, if any, of the Consumer Price Index for All Urban Consumers, Region South, published by the U.S. Bureau of Labor Statistics over the prior year’s Consumer Price Index for All Urban Consumers, Region South, published by the
U.S. Bureau of Labor Statistics. In addition, Your Base Salary may be adjusted annually at the discretion of the Board of Directors, however these adjustments may only be increases and not decreases. Your Base Salary shall be paid to You in
accordance with the Company’s normal payroll practices. 
  
 B. Bonus. During the term of this Agreement, You will receive an annual bonus if Your performance and the Company’s performance meets certain criteria established from year to year by the Company’s
Board of Directors (the “Bonus”). You will not receive any Bonus if, due to termination For Cause, You are not employed on the last day of the year for which the Bonus is to be paid, otherwise the Bonus is to be prorated. The Bonus will be
subject to all applicable withholdings and will be paid in accordance with the Company’s Annual Bonus Incentive Plan. In the event of a Change of Control, the Company and Your individual performance targets for the Annual Bonus Incentive Plan
shall be deemed to be met in full for the remainder plan year in which the Change of Control occurs. Payment of such bonus shall be made to You on the earlier of (i) Your termination pursuant to Section 5C hereof, or (ii) in accordance with the
payment schedule set forth in the bonus plan. 
  

 -2- 

 C. Executive Benefits. You shall be entitled to participate in all benefit plans
as shall be in effect for all executive level personnel or applicable generally to employees of the Company from time to time, subject to the terms and conditions of such plans and programs. 
  
 3. Term. This Agreement shall continue until terminated by either
Party in accordance with Section 4 hereof. 
  
 In the event of a
Change of Control, Your rights thereafter under this Agreement shall become permanent, are not terminable, and cannot be affected by any corporate action without Your consent, except as is provided for in Section 4 of this Agreement with respect to
death or normal retirement, termination by the Company For Cause, or Your disability. The previous sentence shall not restrict the Company’s right to terminate this Agreement as provided in the first paragraph of this Section 3, subject to
Section 4 below. 
  
 4. Termination. This Agreement may be
terminated upon the occurrence of any of the following events: 
  
 A. Your death, however prorating of bonus (to the extent earned by You prior to Your death) would transfer to Your estate; 
  
 B. Your disability; “Disability” means the inability of the Executive, due to the condition of the Executive’s physical,
mental or emotional health, to regularly and satisfactorily perform the duties of the Executive’s responsibilities as an executive of the Company or its subsidiaries for a continuous period in excess of three months. If the existence of the
Executive’s Disability shall be disputed by either party, the determination by a physician duly licensed to practice medicine that such Disability exists shall be necessary to establish such Disability, unless the Executive refuses to submit to
appropriate examinations at the request of the Board, in which case the determination of the Board in good faith and after the requisite period of Disability shall be conclusive as to whether such Disability exists; 
  
 C. Mutual written agreement between You and the Company at
any time to terminate this Agreement; 
  
 D.
For Cause, as defined below,: 
  
 1. Your
material breach of this agreement, provided that, if such breach is curable, You shall be entitled to written notice and a thirty (30) day opportunity to cure such breach; 
  
 2. Any act or omission by You which is, or is likely to be, materially injurious to the Company or the
business reputation of the Company; 
  
 3. Your
dishonesty, fraud, malfeasance, gross negligence or misconduct in the performance of Your duties or otherwise having an adverse affect on the Company; 
  

 -3- 

 4. Your continued failure to satisfactorily perform Your duties under this Agreement, to
follow the direction (consistent with Your duties) of the Board of Directors, or to follow the policies, procedures, and rules of the Company, after notice and a thirty (30) day opportunity to cure; 
  
 5. Your arrest, indictment for, or conviction of, or Your
entry of a plea of guilty or no contest to, a felony or crime involving moral turpitude; or 
  
 6. Your resignation for other than Good Reason or failure to perform services under this Agreement. 
  
 E. Your resignation for Good Reason which shall exist if the
Company, without Your written consent, (i) takes any action which is inconsistent with, or results in the reduction of, Your then current title, duties or responsibilities, (ii) reduces Your then current Base Salary, (iii) reduces the benefits to
which You are entitled on the Effective Date, unless a similar reduction is made for other executive employees; (iv) requires You to relocate more than seventy-five (75) miles from the location of the Company’s offices on the Effective Date, or
(v) enters into a Change of Control transaction and the successor corporation, if it is not the Company, does not assume (by law or contract) the obligations of the Company hereunder. Good Reason shall not include any isolated, insubstantial or
inadvertent action that (i) is not taken in bad faith, and (ii) is remedied by the Company within thirty (30) days of receiving notice by You of such action. 
  

F. Upon giving You ninety (90) days written notice, termination of employment by the Company at any time for any reason not defined in
subsections A-E above. 
  

	 	5.	 	Post Termination Payment Obligations. 

  
 A. If this Agreement terminates for any of the reasons set forth in subsections 4A, 4C or 4D of this Agreement, then You shall be entitled
to receive Your Base Salary through the termination date (as increased by any raises) and thereafter the Company shall have no further obligations under this Agreement, including, but not limited to, the obligation to pay You any portion of the
Bonus under Section 2B, but You shall continue to be bound by Sections 8A, 8B and 8C, and all other post-termination obligations contained in this Agreement. 
  

B. Except as otherwise provided in subsection 5C, if applicable, if this Agreement terminates for any of the reasons set forth in
subsections 4E or 4F of this Agreement, then the Company shall pay You a separation payment equal to twelve (12) months base salary in effect as of the date of termination (subject to increase pursuant to Section 3, including increases after the
date of termination), payable over a period of twelve (12) months in accordance with the Company’s normal payroll practices, any prorated Bonus payments (to the extent earned by You prior to the date of Your termination). If this Agreement
terminates for the reason set forth in subsection 4B of this Agreement by reason of an injury which occurs in the course of the performance of Your duties for the Company, then the Company shall pay You a separation payment equal to twelve (12)
months base salary in effect as of the date of termination, less the monthly 
  

 -4- 

 amount that you are entitled to receive under any and all long-term and short-term disability insurance
policies, payable over a period of twelve (12) months in accordance with the Company’s normal payroll practices. 
  
 C. If, within twelve (12) months following a Change of Control: 
  
 1. the Company or the successor entity to the Company terminates Your employment in the manner described in
subsection 4F of this Agreement; or 
  
 2. You
terminate your employment pursuant to subsection 4E of this Agreement, then 
  
 (i) You shall receive a separation payment equal to twelve (12) months Base Salary in effect as of the Date of Termination, payable over a period of twelve (12) months in accordance with the Company’s normal
payroll practices (or at the election of the Company, payable as a lump sum payment); 
  
 (ii) the Company shall maintain in full force and effect and pay all related expenses for the continued benefit of You and Your
dependants until the earlier of twelve (12) months following Your termination, or the date You accept other employment and obtain, the equivalent of all life, disability, accident, health insurance and other employee benefit plans, programs,
benefits or arrangements in which You were entitled to participate immediately prior to such date provided that Your continued participation is possible under the general terms and provisions of such plans and programs. No deduction for any expenses
related to the benefits described in this section shall be made from Your Base Salary during the period after termination for which You are eligible for such benefits. In the event that Your participation in any such plan or program is barred, the
Company shall arrange to provide You with benefits substantially similar to those which You were entitled to receive under such plans and programs immediately prior to Your termination, provided that any reduction of benefits which constituted a
basis for Your termination of employment for Good Reason shall not be taken into account for purposes of determining Your continued benefits under this subsection; 
  
 (iii) You shall receive the cash bonus amount earned by You as though You and the Company met the
performance objectives required by the Board of Directors for payment of such bonus amount for the remainder of the plan year following the Change of Control. 
  

D. You currently hold options to purchase 3,000,000 shares of the Company’s common stock (“Cape Options”). Cape Options
to purchase 2,000,000 shares were issued pursuant to the Company’s Stock Incentive Plan (“Plan Options”) and Cape Options to purchase 1,000,000 shares were issued outside the Company’s Stock Incentive Plan (“Non-Plan
Options”). If your employment terminates pursuant to Section 4A, 4B, 
  

 -5- 

 4C, 4E or 4F (including, but not limited to, after or in connection with a Change in Control), the Plan
Options shall be exercisable for one (1) year following the date of termination. If Your employment terminates pursuant to Section 4D (including, but not limited to, after or in connection with a Change of Control), the Plan Options shall be
exercisable for ninety (90) days following the date of termination. Notwithstanding anything herein to the contrary or without respect to the nature of termination, the Non-Plan Options have no expiration date, in accordance with their terms. If the
Company terminates Your employment in the manner described in subsection 4E or 4F of this Agreement, then vesting of any unvested options shall be accelerated so that such options shall be immediately exercisable in full in accordance with the terms
and conditions of the Stock Option Certificate. 
  
 E. The Company’s obligation to make the separation payments as set forth herein shall be conditioned upon Your: 
  
 1. Execution of a Separation and Release Agreement in a form prepared by the Company whereby You release the Company from any and all
liability and claims of any kind; and 
  
 2.
Compliance with the restrictive covenants (Sections 8A, 8B and 8C) and all post-termination obligations contained in this Agreement. 
  
 The Company’s obligation to make the separation payments set forth in this Section 5 shall terminate immediately upon any breach by You of any
post-termination obligations to which You are subject. 
  
 6.
Set-Off. If You have any outstanding obligations to the Company at the time this Agreement terminates for any reason, You acknowledge that the Company is authorized to deduct any amounts owed to the Company from Your final paycheck and/or
from any amounts that would otherwise be due to You under Section 5 above. 
  
 7. Books and Records. You agree that all files, documents, records, customer lists, books and other materials which come into Your use or possession during the term of this Agreement and which are in any way
related to the Company’s business shall at all times remain the property of the Company, and that upon request by Company or upon the termination of this Agreement for any reason, You shall immediately surrender to Company all such property and
copies thereof. 
  
 8. Restrictive Covenants. You
acknowledge that the restrictions contained in this Section 8 are reasonable and necessary to protect the legitimate business interests of the Company, and will not impair or infringe upon Your right to work or earn a living after Your employment
with the Company ends. 
  
 A. Trade Secrets
and Confidential Information. You represent and warrant that: (i) You are not subject to any agreement that would prevent You from performing Your duties for the Company or otherwise complying with this Agreement, and (ii) You are not subject to
or in breach of any non-disclosure agreement, including any agreement concerning trade secrets or confidential information owned by any other party. 
  

 -6- 

 You agree that You will not: (i) use, disclose, or reverse engineer the Trade Secrets or
the Confidential Information, except as authorized by the Company; (ii) during Your employment with the Company, use, disclose, or reverse engineer (a) any confidential information or trade secrets of any former employer or third party, or (b) any
works of authorship developed in whole or in part by You during any former employment or for any other party, unless authorized in writing by the former employer or third party; or (iii) upon Your resignation or termination (a) retain Trade Secrets
or Confidential Information, including any copies existing in any form (including electronic form), which are in Your possession or control, or (b) destroy, delete, or alter the Trade Secrets or Confidential Information without the Company’s
consent. 
  
 The obligations under this Section
8A shall: (i) with regard to the Trade Secrets, remain in effect as long as the information constitutes a trade secret under applicable law, and (ii) with regard to the Confidential Information, remain in effect during the Restricted Period.

  
 B. Non-Solicitation of Customers.
During the Restricted Period, You will not solicit any Customer of the Company for the purpose of providing any goods or services competitive with the Business. The restrictions set forth in this Section 8B apply only to the Customers with whom You
had Contact. 
  
 C. Non-Recruit of
Employees. During the Restricted Period, You will not, directly or indirectly, solicit, recruit or induce any Employee to (a) terminate his or her employment relationship with the Company or (b) work for any other person or entity engaged in the
Business. 
  
 9. Work Product. Your employment duties may
include inventing in areas directly or indirectly related to the business of the Company or to a line of business that the Company may reasonably be interested in pursuing. All Work Product shall constitute work made for hire. If (i) any of the Work
Product may not be considered work made for hire, or (ii) ownership of all right, title, and interest to the legal rights in and to the Work Product will not vest exclusively in the Company, then, without further consideration, You assign all
presently-existing Work Product to the Company, and agree to assign, and automatically assign, all future Work Product to the Company. 
  
 The Company will have the right to obtain and hold in its own name copyrights, patents, design registrations, proprietary database rights, trademarks,
rights of publicity, and any other protection available in the Work Product. At the Company’s request, You agree to perform, during or after Your employment with the Company, any acts to transfer, perfect and defend the Company’s ownership
of the Work Product, including, but not limited to: (i) executing all documents (including a formal assignment to the Company) necessary for filing an application or registration for protection of the Work Product (an “Application”), (ii)
explaining the nature of the Work Product to persons designated by the Company, (iii) reviewing Applications and other related papers, or (iv) providing any other assistance reasonably required for the orderly prosecution of Applications.

  

 -7- 

 You agree to provide the Company with a written description of any Work Product in which You are involved
(solely or jointly with others) and the circumstances surrounding the creation of such Work Product. 
  
 10. License. You grant to the Company an irrevocable, nonexclusive, worldwide, royalty-free license to: (i) make, use, sell, copy, perform,
display, distribute, or otherwise utilize copies of the Licensed Materials, (ii) prepare, use and distribute derivative works based upon the Licensed Materials, and (ii) authorize others to do the same. You shall notify the Company in writing of any
Licensed Materials You deliver to the Company. 
  
 11.
Release. You consent to the Company’s use of Your image, likeness, voice, or other characteristics in the Company’s products or services. You release the Company from any claims which You have or may have for right of publicity,
copyright infringement, or any other causes of action arising out of the use, distribution, adaptation, reproduction, broadcast, or exhibition of such characteristics. 
  
 12. Post-Employment Disclosure. During the Restricted Period, you will disclose that you have covenants (and the
nature of those covenants) to persons and/or entities to whom You provide goods and services. If, during the Restricted Period, You provide services to another person or entity which provides goods or services competitive with the goods or services
provided by the Company You shall provide the Company with such person or entity’s name, Your job title, and a description of the services You will provide. 
  
 13. Injunctive Relief. You agree that if You breach Sections 8, 9, 10 and/or 11 of this Agreement: (i) the Company
would suffer irreparable harm; (ii) it would be difficult to determine damages, and money damages alone would be an inadequate remedy for the injuries suffered by the Company, and (iii) if the Company seeks injunctive relief to enforce this
Agreement, You will waive and will not (a) assert any defense that the Company has an adequate remedy at law with respect to the breach, or (b) require that the Company submit proof of the economic value of any Trade Secret or Confidential
Information. Nothing contained in this Agreement shall limit the Company’s right to any other remedies at law or in equity. 
  
 14. Severability. The provisions of this Agreement are severable. If any provision is determined to be invalid, illegal, or unenforceable, in whole
or in part, the remaining provisions and any partially enforceable provisions shall remain in full force and effect. 
  
 15. Attorneys’ Fees. In the event of litigation relating to this Agreement, the prevailing party shall be entitled to recover attorneys’
fees and costs of litigation in addition to all other remedies available at law or in equity. 
  
 16. Arbitration With Respect to Certain Matters. The parties agree to submit to arbitration, in accordance with these provisions, any claim or controversy arising from or related to the alleged breach of this
Agreement, provided that claims or disputes of the types described in Section 13 above shall not be subject to this Section 16. The parties further agree that, other than with respect to claims or disputes of the types described in Section 13 above,
the arbitration process agreed upon herein shall be the exclusive means for resolving all disputes made subject to arbitration herein, but that no arbitrator shall have authority to expand the scope of these 
  

 -8- 

 arbitration provisions. Any arbitration hereunder shall be conducted under the Model Employment Procedures of the
American Arbitration Association (AAA) and the parties agree that the Federal Arbitration Act shall govern the proceedings. Either party may invoke arbitration procedures herein by written notice for arbitration containing a statement of the matter
to be arbitrated. The parties shall then have fourteen (14) days in which they may identify a mutually agreeable, neutral arbitrator. After the fourteen (14) day period has expired, the parties shall prepare and submit to the AAA a joint submission,
with each party to contribute half of the appropriate administrative fee. In the event the parties cannot agree upon a neutral arbitrator within fourteen (14) days after written notice for arbitration is received, their joint submission to the AAA
shall request a panel of nine arbitrators who are practicing attorneys with professional experience in the field of employment law, and the parties shall attempt to select an arbitrator from the panel according to AAA procedures. Unless otherwise
agreed by the parties, the arbitration hearing shall take place in Atlanta, Georgia at a place designated by the AAA. All arbitration procedures hereunder shall be confidential. The arbitrator shall have authority to include all or any portion of
costs of such arbitration in an award. The arbitrator shall not have the power or authority to award indirect, special, incidental, consequential, exemplary, or punitive damages. The arbitrator may include equitable relief. Any arbitration awarded
shall be accompanied by a written statement containing a summary of the issues in controversy, a description of the award, and an explanation of the reasons for the award. It is understood and agreed by the parties that their agreements herein
concerning arbitration do not otherwise alter the terms and conditions of employee’s employment as provided by this agreement. 
  
 17. Waiver. Any Party’s failure to enforce any provision of this Agreement shall not act as a waiver of that or any other provision. Any
Party’s waiver of any breach of this Agreement shall not act as a waiver of any other breach. 
  
 18. Entire Agreement. This Agreement, including Exhibits A and B which are incorporated by reference, constitutes the entire agreement between the
Parties concerning the subject matter of this Agreement. This Agreement supersedes any prior communications, agreements or understandings, whether oral or written, between the Parties relating to the subject matter of this Agreement. Other than
terms of this Agreement, no other representation, promise or agreement has been made with You to cause You to sign this Agreement. 
  
 19. Amendments. This Agreement may not be amended or modified except in writing signed by both Parties. 
  
 20. Survival; Successors and Assigns. This Agreement shall be
assignable to, and shall inure to the benefit of, the Company’s successors and assigns, including, without limitation, successors through merger, name change, consolidation, or sale of a majority of the Company’s stock or assets, and shall
be binding upon You. A Change of Control shall not affect the terms of this Agreement. As used in this Agreement, “Company” shall mean the Company as hereinbefore defined and any successor to its business and/or assets as aforesaid or
otherwise. You shall not have the right to assign Your rights or obligations under this Agreement. The covenants contained in Sections 8A, 8B and 8C of this Agreement shall survive cessation of Your employment with the Company, regardless of the
reason for cessation of Your employment and regardless of who causes the cessation. 
  

 -9- 

 21. Governing Law. The laws of the State of Georgia shall govern this Agreement. If Georgia’s
conflict of law rules would apply another state’s laws, the Parties agree that Georgia law shall still govern. 
  
 22. No Strict Construction. If there is a dispute about the language of this Agreement, the fact that one Party drafted the Agreement shall not be
used in its interpretation. 
  
 23. Notice. Whenever any
notice is required, it shall be given in writing addressed as follows: 
  
 To Company: 
  
 Optio Software, Inc. 
 3015 Windward Plaza 
 Windward Fairways II

 Alpharetta, Georgia 30005 
 Attn: Board of Directors 
  
 To Executive: 
  
 C. Wayne Cape 
 9010 Nesbitt Ferry Road 
 Unit 17 

Alpharetta, Georgia 30022 
  
 Notice shall be deemed given and effective three (3) days after the deposit in the U.S. mail of a writing addressed as above and sent first class mail,
certified, return receipt requested, or when actually received. Either Party may change the address for notice by notifying the other party of such change in accordance with this Section. 
  
 24. Consent to Jurisdiction and Venue. You agree that any claim arising out of or relating to this Agreement shall be
(i) brought in the Superior Court of Fulton County, Georgia, or (ii) brought in or removed to the United States District Court for the Northern District of Georgia, Atlanta Division. You consent to the personal jurisdiction of the courts identified
above. You waive (i) any objection to jurisdiction or venue, or (ii) any defense claiming lack of jurisdiction or improper venue, in any action brought in such courts. 
  
 25. AFFIRMATION. YOU ACKNOWLEDGE THAT YOU HAVE CAREFULLY READ THIS AGREEMENT, YOU KNOW AND UNDERSTAND ITS TERMS AND
CONDITIONS, AND YOU HAVE HAD THE OPPORTUNITY TO ASK THE COMPANY ANY QUESTIONS YOU MAY HAVE HAD PRIOR TO SIGNING THIS AGREEMENT. 
  

 -10- 

 IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the day and year first above written.

  

	OPTIO SOFTWARE, INC.:
		
	 By:
	 	 /s/    CAROLINE BEMBRY

	 Its:
	 	Chief Financial Officer

  

		
	By:	 	 /s/    C. WAYNE CAPE

	 	 	C. Wayne Cape

  

 -11- 

 EXHIBIT A 
 DEFINITIONS 
  
 A.
“Business” shall mean the business of (i) developing and providing software that enables a business to integrate and present information to its customers, suppliers, partners, and employees through various types of media (including, but
not limited to, print, Internet, e-mail and fax) by customizing, delivering and exchanging information over a computer network (the “Software”), and (ii) providing the implementation, training, and consulting services that support the
Software. 
  
 B. “Change of Control” shall mean either
of the following: (i) the acquisition, directly or indirectly after the date of this Agreement, in one series of related transactions, of 45% or more of the Company’s common stock by any “person” as that term is defined in Section
13(d)(3) of the Securities Exchange Act of 1934, as amended excluding any acquisitions in capital raising transactions; (ii) the consummation of a merger, consolidation, share exchange or similar transaction of the Company with any other
corporation, entity or group, as a result of which the holders of the voting capital stock of the Company as a group would receive less than 45% of the voting capital stock of the surviving or resulting corporation, or (iii) the consummation of an
agreement providing for the sale or transfer (other than as security for obligations of the Company) of substantially all the assets of the Company, provided that none of the transactions described in subsections (i), (ii) or (iii) shall include a
transaction or series of transactions with an entity which is controlled, directly or indirectly, after the transaction, by the Company or another entity in which the shareholders of the Company immediately prior to such transaction control,
directly or indirectly, at least 45% of the outstanding voting securities (including any entity which as a result of such transaction owns the Company or all or substantially all of the Company’s assets either directly or through one or more
subsidiaries). 
  
 C. “Company” means Optio Software,
Inc., its parents, subsidiaries, affiliates and all related companies, as well as their respective officers, directors, shareholders, employees, agents and any other representatives. 
  
 D. “Confidential Information” means information of the Company, to the extent not considered a Trade Secret under
applicable law, that (i) relates to the business of the Company, (ii) possesses an element of value to the Company, (iii) is not generally known to the Company’s competitors, and (iv) would damage the Company if disclosed. Confidential
Information includes, but is not limited to, (i) future business plans, (ii) the composition, description, schematic or design of products, future products or equipment of the Company, (iii) communication systems, audio systems, system designs and
related documentation, (iv) advertising or marketing plans, (v) information regarding independent contractors, employees, clients and customers of the Company, and (vi) 
  

 -12- 

 information concerning the Company’s financial structure and methods and procedures of operation. Confidential
Information shall not include any information that (i) is or becomes generally available to the public other than as a result of an unauthorized disclosure, (ii) has been independently developed and disclosed by others without violating this
Agreement or the legal rights of any party, or (iii) otherwise enters the public domain through lawful means. 
  
 E. “Contact” means any interaction between You and a Customer which (i) takes place in an effort to establish, maintain, and/or further a
business relationship on behalf of the Company and (ii) occurs during the last year of Your employment with the Company (or during Your employment if employed less than a year). 
  
 F. “Customer” means any person or entity to whom the Company has sold its products or services, or solicited to
sell its products or services. 
  
 G. “Employee” means
any person who (i) is employed by the Company at the time Your employment with the Company ends, (ii) was employed by the Company during the last year of Your employment with the Company (or during Your employment if employed less than a year), or
(iii) is employed by the Company during the Restricted Period. 
  
 H. “Licensed Materials” means any materials that You utilize for the benefit of the Company, or deliver to the Company or the Company’s customers, which (i) do not constitute Work Product, (ii) are created by You or of which
You are otherwise in lawful possession, and (iii) You may lawfully utilize for the benefit of, or distribute to, the Company or the Company’s customers. 
  
 I. “Restricted Period” means the time period during Your employment with the Company, and for one year after Your employment with the Company
ends. 
  
 J. “Trade Secrets” means information of the
Company, and its licensors, suppliers, clients and customers, without regard to form, including, but not limited to, technical or nontechnical data, a formula, a pattern, a compilation, a program, a device, a method, a technique, a drawing, a
process, financial data, financial plans, product plans, or a list of actual or potential customers or suppliers which is not commonly known by or available to the public and which information (i) derives economic value, actual or potential, from
not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use, and (ii) is the subject of efforts that are reasonable under the circumstances to maintain
its secrecy. 
  
 K. “Work Product” means (a) any data,
databases, materials, documentation, computer programs, inventions (whether or not patentable), designs, and/or works of authorship, including but not limited to, discoveries, ideas, concepts, properties, 
  

 -13- 

 formulas, compositions, methods, programs, procedures, systems, techniques, products, improvements, innovations,
writings, pictures, audio, video, images of You, and artistic works, and (b) any subject matter protected under patent, copyright, proprietary database, trademark, trade secret, rights of publicity, confidential information, or other property
rights, including all worldwide rights therein, that is or was conceived, created or developed in whole or in part by You while employed by the Company and that either (i) is created within the scope of Your employment, (ii) is based on, results
from, or is suggested by any work performed within the scope of Your employment and is directly or indirectly related to the business of the Company or a line of business that the Company may reasonably be interested in pursuing, (iii) has been or
will be paid for by the Company, or (iv) was created or improved in whole or in part by using the Company’s time, resources, data, facilities, or equipment. 
  

 -14- 

 EXHIBIT B 
  

CHIEF EXECUTIVE OFFICER AND PRESIDENT 
  
 Position Responsibilities: 
  
 Develop the company’s business and product strategy and carry it through full implementation. 
  
 Work closely with the Board of Directors in reviewing the market place
strategy and evaluating new growth opportunities and acquisition targets. 
  
 Lead, manage and direct business on a day-to-day basis worldwide with full responsibility and accountability for vision, processes, growth, profitability and effectively implementing business plans. 
  
 Serve as an officer and/or director of the Company’s subsidiaries as
requested by the Company. 
  
 Ensure that Company assets are
utilized to the maximum. 
  
 Establish strong connection with
potential partners, customers, industry experts, trade analysts, financial analysts and investment bankers. 
  
 Increase organizational intensity, establish individual and team goals and accountability, while creating an environment, which rewards and promotes a
commitment to excellence and winning. 
  
 Begin to assume a
prominent industry profile through participation in a variety of public and industry-oriented forums to understand the competitive environment and opportunities for future growth. 
  
 Perform periodic performance and compensation reviews for the management team. Retain proper documentation for all
review/counseling sessions. 
  
 Schedule quarterly Board meetings
as authorized by the Board. Prepare an agenda and circulate it to all members of Board. Arrange for minutes to be taken, distributed and filed. 
  
 Review financial and statistical reports for presentation to the Board. 
  
 Maintain direct/indirect approval of all Company expenditures. Approve and sign accounts payable and payroll checks within
the established financial guidelines. 
  
 In conjunction with
legal counsel, assure appropriateness of all legal contracts for Company. 
  

 -15- 

 Interface with Company’s accounting, insurance, legal firms, pension advisors and consultants as
required. 
  
 Perform other duties as requested by the Board of
Directors to ensure the smooth operation and goal attainment for Company. 
  

 -16-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00056-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00056-of-00352.parquet"}]]