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DC10825.pdf -- Converted by SEC Publisher 4.2, created by BCL Technologies Inc., for SEC Filing

	
EXHIBIT 10.1

	
EMPLOYMENT AGREEMENT

     THIS IS AN EMPLOYMENT AGREEMENT (the “Agreement”), dated as of this 13th day of June, 2011 (the “Effective Date”), by and between Interline Brands, Inc., a New Jersey corporation (the “Company”), and John M. McDonald (the “Executive”).

WHEREAS, the Executive desires to be employed by the Company;

     WHEREAS, the Company considers it essential to its best interests and the best interests of its stockholders to provide for the employment of the Executive by the Company;

     WHEREAS, the Company conducts its business throughout the United States (the “Business Territory”);

     WHEREAS, the Company’s principal headquarters are located in Jacksonville, Florida, and Executive will, as a part of his duties hereunder, be based in, and report to management at, the
Company’s headquarters; and

     WHEREAS, the Executive is willing to accept and continue his employment on the terms hereinafter set forth in this Agreement;

     NOW, THEREFORE, in consideration of the promises and mutual covenants herein and for other good and valuable consideration, and intending to be legally bound hereby, the parties agree as
follows:

1. Term of Employment. The Executive’s term of employment with the 

Company under this Agreement shall begin on the Effective Date, and unless sooner terminated as hereafter provided, shall continue for one year (the “Employment Term”); provided that the Employment Term shall automatically be extended for successive one-year periods unless either party gives written notice of such party’s
intention not to extend the Employment Term not less than 60 days prior to the expiration of the then current Employment Term.

     The termination of the Executive’s employment at the end of the Employment Term or any successive one-year period thereafter on account of the Company giving notice to the Executive of its desire
not to extend the Employment Term in accordance with the provisions of this Section 1 shall be treated for all purposes as a termination without Cause pursuant to Section 10(c), and the provisions of Section 10(c) shall apply to such termination.
The termination of the Executive’s employment at the end of the Employment Term or any successive one-year period thereafter on account of the Executive giving notice to the Company of his desire not to extend the Employment Term in accordance
with the provisions of this Section 1 shall be treated for all purposes as a voluntary termination pursuant to Section 10(d), and the provisions of Section 10(d) shall apply to such termination.

	
2.      		
Position.	
	 
	 	
(a) The Executive shall serve as the Senior Vice President, Sales of the	
	 

Company. In such position, the Executive shall have such duties and authority as are customarily associated with such position and agrees to perform such duties and functions as

shall from time to time be assigned or delegated to him by the Chief Executive Officer or President and Chief Operating Officer of the Company, or their designees.

     (b) During the Employment Term, the Executive will devote substantially all of his business time and will use his reasonable best efforts to perform his duties hereunder and will not engage in any
other business, profession or occupation for compensation or otherwise which would conflict with the rendition of such services, either directly or indirectly, without the prior written consent of the Chief Executive Officer, the President and Chief
Operating Officer, or the Board of Directors (the “Board”) (or a committee thereof) of the Company.

3. Base Salary. During the Employment Term, the Company shall pay the 

Executive an annual base salary (the “Base Salary”) at the annual rate of $365,000 payable in regular installments in accordance with the Company’s
usual payroll practices. The Base Salary may, in the Company’s discretion, be upwardly adjusted.

4. Annual Bonus. With respect to each calendar year during the 

Employment Term, the Executive shall be eligible to earn an annual bonus award of up to 60% percent of the Base Salary or such higher amount as may be awarded by the Company (the “Bonus”), based upon and subject to the terms of any bonus plan established by the Chief Executive Officer, the President and Chief Operating Officer, the Board or a committee thereof, from time to
time. Payment of any Bonus that is earned shall be made as soon as practicable following the determination by the Company that such amounts have been earned, but in any event on or prior to March 15 of the year following the performance year during
which the Bonus was earned.

     5. Special Bonus. The Executive shall be entitled to receive a one-time, performance-based cash bonus of $35,000 (the
“Special Bonus”) upon achieving a 2011 sales performance target to be set by the President and Chief Operating Officer. This Special Bonus may be paid immediately upon achievement
of the performance target referenced above, and in any event will be paid on or prior to March 15, 2012.

	
6.      		
Employee Benefits and Perquisites.	
	 
	 	
(a) Benefits. During the Employment Term, the Executive shall be	
	 

eligible to participate in the Company’s employee benefit plans (including, without limitation, its health insurance and short term and long term disability insurance plans) on the same basis as those benefits are generally
made available to other executives of the Company. All of the benefits described in this Section 6(a) shall hereafter be referred to collectively as the “Benefits”.

     (b) Car Allowance. During the Employment Term, the Company shall pay the Executive an amount of $1,000 per month as an automobile
allowance.

     (c) Vacation. During the Employment Term, the Executive shall be entitled to not less than three weeks of annual vacation.

     7. Relocation Expenses and Temporary Living Expenses. The Executive shall be reimbursed for reasonable relocation expenses (the
“Relocation Expenses”) incurred by 

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the Executive in connection with his relocation to Jacksonville, Florida (e.g. moving expenses, closing costs, realtor fees, etc.), subject to such substantiation and documentation as the Company may reasonably require, and in any
event not to exceed $150,000. The Executive will also receive a tax gross-up (up to a maximum of $50,000) for any taxes that may be due on the Relocation Expenses; provided,
however, that no tax gross-up will be provided for any payment that is deemed to be income to the Executive. In the event the Executive incurs less than $150,000 in Relocation Expenses,
he will be paid the difference between the actual Relocation Expenses and $150,000 (if any), which payment will be deemed ordinary income taxable to the Executive. The Executive shall also be reimbursed for temporary living expenses for a period
of up to four months, but not to exceed a total of $25,000.

     8. Business Expenses. During the Employment Term, reasonable business expenses incurred by the Executive in the performance of his duties
hereunder shall be reimbursed by the Company in accordance with the Company’s policies on expense reimbursement, in effect from time to time.

9. Time-Based Restricted Share Units. The Executive shall receive, on the 

91st day of the Employment Term (the “Grant Date”), an award of restricted share units valued at
$350,000 as of the Grant Date with respect to the Company’s Common Stock that will be subject to forfeiture provisions and such other terms and conditions as are set forth in the restricted share unit agreement (the “Time-Based Restricted Share Unit Agreement”) to be entered into concurrently therewith by the Company and the Executive, which agreement is attached hereto as Exhibit A. These restricted share units
shall vest in four separate increments of 25% each on the second, third, fourth and fifth anniversaries of the Grant Date.

	
10.      		
Termination. Notwithstanding any other provision of this Agreement: (a) For Cause by the Company. The Employment Term and the	
	 

Executive’s employment hereunder may be terminated by the Company for “Cause.” For purposes of this Agreement, “Cause” shall mean (i) the
Executive’s gross neglect of, or willful and continued failure to substantially perform, his duties hereunder (other than as a result of total or partial incapacity due to physical or mental illness); (ii) a willful act by the Executive against
the interests of the Company or its affiliates or which causes or is intended to cause harm to the Company or its affiliates or their stockholders; (iii) the Executive’s conviction, or plea of no contest or guilty, to a felony under the laws of
the United States or any state thereof or of a lesser offense involving dishonesty, the theft of Company property or moral turpitude; or (iv) a material breach of the Agreement by the Executive which is not cured by the Executive within 20 days
(where the breach is curable) following written notice to the Executive by the Company of the nature of the breach. Upon termination of the Executive’s employment for Cause pursuant to this Section 10(a), the Executive shall be paid within 45
days of such termination, any earned or accrued and unpaid Base Salary and Benefits and Bonus through the date of termination (provided that any such Bonus shall not be payable until such
time as the Executive would have received the Bonus had his employment not terminated), and shall have no additional rights to any compensation or any other benefits under the Agreement or otherwise.

     (b) Disability or Death. The Employment Term and the Executive’s employment hereunder shall terminate upon his death or if the Executive
is unable for an 

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aggregate of six (6) months in any twelve (12) consecutive month period to perform his duties due to the Executive’s physical or mental incapacity, as reasonably determined by the Board or a committee thereof (such incapacity
is hereinafter referred to as “Disability”). Upon termination of the Executive’s employment hereunder for either Disability or death, the Executive or his estate (as the case
may be) shall be entitled to receive (i) within 45 days of such termination, any earned or accrued and unpaid Base Salary and Benefits and Bonus (provided that any such Bonus shall not be
payable until such time as the Executive would have received the Bonus had his employment not terminated) and (ii) a bonus for the calendar year in which termination occurs, equal to the bonus which the Executive would have been entitled to if he
had remained employed by the Company at the end of such calendar year, multiplied by a fraction, the numerator of which is the number of days in such calendar year that have elapsed preceding the date of death or termination of employment and the
denominator of which is 365 (a “Pro Rata Bonus”), provided
such Pro Rata Bonus shall not be payable until such time as the Executive would have received the bonus had his employment not terminated. Upon termination of the Executive’s employment due to Disability or death pursuant to this Section 10(b),
the Executive shall have no additional rights to any compensation or any other benefits under this Agreement. All other benefits, if any, due the Executive following his termination for Disability or death shall be determined in accordance with the
plans, policies and practices of the Company.

     (c) Without Cause by the Company. The Employment Term and the Executive’s employment hereunder may be terminated by the Company at any
time without “Cause.” If the Executive’s employment is terminated by the Company without “Cause” (other than by reason of Disability or death), the Executive shall be entitled to receive (i) within 45 days of such
termination, any earned or accrued and unpaid Base Salary and Benefits and Bonus (provided that any such Bonus shall not be payable until such time as the Executive would have received the
Bonus had his employment not terminated), (ii) continuation of the Executive’s Base Salary for a period of twelve (12) months from the date of termination (the “Severance
Payment”), (iii) continuation of the Executive’s (and the Executive’s dependents, if applicable) health and dental benefits on the same basis as those benefits are generally
made available to other executives of the Company to the extent permitted under the applicable health or dental plan for a period of twelve (12) months from the date of termination, and (iv) a Pro Rata Bonus payable at such time as bonuses for the
relevant year would otherwise have been paid had the Executive’s employment not been terminated. Upon termination of Executive’s employment by the Company without Cause pursuant to this Section 10(c), Executive shall have no additional
rights to any compensation or any other benefits under this Agreement. All other benefits, if any, due Executive following Executive’s termination of employment by the Company without Cause shall be determined in accordance with the plans,
policies and practices of the Company.

     (d) Voluntary Termination by Executive. The Executive shall provide the Company 30 days’ advance written notice in the event the
Executive voluntarily terminates his employment, other than for Good Reason (as hereinafter defined); provided that the Company may, in its sole discretion, terminate the Executive’s
employment prior to the expiration of the 30-day notice period. In such event and upon the expiration of such 30-day period (or such shorter time as the Company may determine), the Executive’s employment under this Agreement shall immediately
and automatically terminate, and the Executive’s rights hereunder shall be limited to receiving within 45 days of such termination date any Base Salary and Bonus earned and unpaid as of the Executive’s termination date (provided that any such 

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Bonus shall not be payable until such time as the Executive would have received the Bonus had his employment not terminated).

     (e) Termination for Good Reason. The Executive may terminate his employment hereunder for “Good Reason” at any time during the
Employment Term. For purposes of the Agreement, “Good Reason” shall mean (i) a material breach of the terms of this Agreement by the Company, (ii) the Company requiring the
Executive to move his primary place of employment more than thirty-five (35) miles from the then current place of employment, if such move materially increases his commute, or (iii) a material diminution of the Executive’s responsibilities,
provided that any of the foregoing is not cured by the Company within twenty (20) days following receipt of written notice by the Executive to the Company of the specific nature of the
breach. No termination for Good Reason shall be permitted unless the Company shall have first received written notice from the Executive describing the basis of such termination for Good Reason. A termination of the Executive’s employment for
Good Reason pursuant to this Section 10(e) shall be treated for purposes of this Agreement as a termination by the Company without Cause and the provisions of Section 10(c) relating to the payment of compensation and benefits shall apply.

     (f) Benefits/Release. In addition to any amounts which may be payable following a termination of employment pursuant to paragraphs (b)-(e) of
this Section 10, the Executive or his beneficiaries shall be entitled to receive any benefits that may be provided for under the terms of an employee benefit plan in which the Executive is participating at the time of termination. Notwithstanding
any other provision of this Agreement to the contrary, the Executive acknowledges and agrees that any and all payments, other than the payment of any earned or accrued and unpaid Base Salary, Bonus and Benefits, to which the Executive is entitled
under this Section 10 are conditioned upon and subject to the Executive’s execution of a general waiver and release, in such reasonable form as may be prepared by the Company’s attorneys, of all claims and issues arising under the
Employment Agreement or Executive’s employment with the Company, except for such matters covered by provisions of this Agreement which expressly survive the termination of this Agreement.

     (g) Except as provided in this Section 10, the Company shall have no further obligation or liability under this Agreement following a termination of employment by the Executive.

     (h) Notice of Termination. Any purported termination of employment by the Company or by the Executive shall be communicated by written notice
of termination to the other party hereto in accordance with Section 15(h) hereof.

	
11.      		
Non-Competition.	
	 
	 	
(a) The Executive acknowledges and recognizes the highly	
	 

competitive nature of the businesses of the Company and its affiliates, the valuable confidential business information in such Executive’s possession and the customer goodwill associated with the ongoing business practice of
the Company and its affiliates, and accordingly agrees as follows:

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     (i) During the Employment Term and, for a period ending on the expiration of two (2) years following the termination of the Executive’s employment (the “Restricted Period”), the Executive will not, directly or indirectly, anywhere within the Business Territory (1) engage in any business for the Executive’s own account that competes with the
business of the Company or any of its affiliates that are engaged in a business similar to the business of the Company (the “Company Affiliates”), (2) enter the employ of, or
render any services to, any person engaged in any business that competes with the business of the Company or the Company Affiliates, (3) acquire a financial interest in, or otherwise become actively involved with, any person engaged in any business
that competes with the business of the Company or the Company Affiliates, directly or indirectly, as an individual, partner, shareholder, officer, director, principal, agent, trustee or consultant, or (4) interfere with business relationships
(whether formed before or after the date of this Agreement) between the Company or the Company Affiliates and customers or suppliers of the Company or the Company Affiliates.

     (ii) Notwithstanding anything to the contrary in this Agreement, the Executive may directly or indirectly own, solely as a passive investment, securities of any person engaged in the business of the
Company or the Company Affiliates which are publicly traded on a national or regional stock exchange or on the over-the-counter market if the Executive (1) is not a controlling person of, or a member of a group which controls, such person and (2)
does not, directly or indirectly, own one percent (1%) or more of any class of securities of such person.

     (iii) During the Restricted Period, and for an additional one year after the end of the Restricted Period, the Executive will not, directly or indirectly, (1) without the written consent of the
Company, solicit or encourage any employee of the Company or the Company Affiliates to leave the employment of the Company or the Company Affiliates, or (2) without the written consent of the Company (which shall not be unreasonably withheld), hire
any such employee who has left the employment of the Company or the Company Affiliates (other than as a result of the termination of such employment by the Company or the Company Affiliates) within one year after the termination of such
employee’s employment with the Company or the Company Affiliates. Except as set forth below, this provision shall not apply to any employee of the Company (a) who replies or responds to a general solicitation or advertisement for employment by
Executive or on Executive's behalf, unless such employee was first solicited by or on behalf of Executive, or (b) was referred to Executive, directly or indirectly, by an employment agency, so long as its search was not directed or focused on such
person or the Company. Notwithstanding the foregoing sentence, in no event shall Executive, directly or indirectly, hire any Senior Company Employee (as defined below) during the Restricted Period, and for an additional one year after the end of the
Restricted Period. As used herein, a “Senior Company Employee” means any current employee of the Company, or former employee who has left the employment of the Company or the Company Affiliates (other than as a result of the termination of
such employment by the Company or the Company Affiliates) within the preceding 12 months, who: (x) reported directly to Executive while Executive was employed by the Company; (y) would be a direct report to Executive at his then current firm; or (z)
would be employed as a peer to Executive at his then current firm.

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     (iv) During the Restricted Period, the Executive will not, directly or indirectly, solicit or encourage to cease to work with the Company or the Company Affiliates any consultant then under contract
with the Company or the Company Affiliates.

     (b) It is expressly understood and agreed that although the Executive and the Company consider the restrictions contained in this Section 11 to be reasonable, if a final judicial determination is made
by a court of competent jurisdiction that the time or territory or any other restriction contained in this Agreement is an unenforceable restriction against the Executive, the provisions of this Agreement shall not be rendered void but shall be
deemed amended to apply as to such maximum time and territory and to such maximum extent as such court may judicially determine or indicate to be enforceable. Alternatively, if any court of competent jurisdiction finds that any restriction contained
in this Agreement is unenforceable, and such restriction cannot be amended so as to make it enforceable, such finding shall not affect the enforceability of any of the other restrictions contained herein.

     12. Confidentiality. The Executive will not at any time (whether during or after his employment with the Company) disclose or use for his own
benefit or purposes or the benefit or purposes of any other person, firm, partnership, joint venture, association, corporation or other business organization, entity or enterprise other than the Company and any Company Affiliate, any trade secrets,
information, data, or other confidential information relating to customers, development programs, costs, marketing, trading, investment, sales activities, promotion, credit and financial data, manufacturing processes, financing methods, plans, or
the business and affairs of the Company generally, or of any subsidiary or affiliate of the Company, provided that the foregoing shall not apply to information which is generally known to
the industry or the public other than as a result of the Executive’s breach of this covenant. The Executive agrees that upon termination of his employment with the Company for any reason, he will return to the Company immediately all memoranda,
books, papers, plans, information, letters and other data, and all copies thereof or therefrom, in any way relating to the business of the Company and its affiliates, except that he may retain personal notes, notebooks and diaries. The Executive
further agrees that he will not retain or use for his account at any time any trade names, trademark or other proprietary business designation used or owned in connection with the business of the Company or any Company Affiliate.

     13. Specific Performance. The Executive acknowledges and agrees that the Company’s remedies at law for a breach or threatened breach of
any of the provisions of Section 11 or Section 12 would be inadequate and, in recognition of this fact, the Executive agrees that, in the event of such a breach or threatened breach, in addition to any remedies at law, the Company, without posting
any bond, shall be entitled to obtain equitable relief in the form of specific performance, temporary restraining order, temporary or permanent injunction or any other equitable remedy which may then be available.

     14. Independence, Severability and Non-Exclusivity. Each of the rights and remedies set forth in this Agreement shall be independent of the
others and shall be severally enforceable and all of such rights and remedies shall be in addition to and not in lieu of any other rights and remedies available to the Company or its affiliates under the law or in equity. If any of the provisions
contained in this Agreement, including without limitation, the rights and remedies enumerated herein, is hereafter construed to be invalid or unenforceable, the same shall 

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not affect the remainder of the covenant or covenants, or rights or remedies, which shall be given full effect without regard to the invalid portions.

	
15.      		
Miscellaneous.	
	 
	 	
(a) Governing Law and Exclusive Jurisdiction. This Agreement shall	
	 

be governed by and construed in accordance with the laws of the State of Florida without regard to its conflicts of law doctrine. The parties agree that any disputes between them may be heard only in the state or federal courts in
the State of Florida, and the parties hereby consent to venue and jurisdiction in those courts.

     (b) Entire Agreement/Amendments. This Agreement contains the entire understanding of the parties with respect to the employment of the
Executive by the Company. There are no restrictions, agreements, promises, warranties, covenants or undertakings between the parties with respect to the subject matter herein other than those expressly set forth herein. This Agreement may not be
altered, modified, or amended except by written instrument signed by the parties hereto.

     (c) No Waiver. The failure of a party to insist upon strict adherence to any term of this Agreement on any occasion shall not be considered a
waiver of such party’s rights or deprive such party of the right thereafter to insist upon strict adherence to that term or any other term of this Agreement.

     (d) Severability. In the event that any one or more of the provisions of this Agreement shall be or become invalid, illegal or unenforceable
in any respect, the validity, legality and enforceability of the remaining provisions of this Agreement shall not be affected thereby.

     (e) Assignment. This Agreement shall not be assignable by the Executive. This Agreement may be assigned by the Company to a company which is
a successor in interest to substantially all of the business operations of the Company or to the financial institution(s) providing the Company’s senior credit facility. Such assignment shall become effective when the Company notifies the
Executive of such assignment or at such later date as may be specified in such notice. Upon such assignment, the rights and obligations of the Company hereunder shall become the rights and obligations of such successor company, provided that any assignee expressly assumes the obligations, rights and privileges of this Agreement.

     (f) No Mitigation. The Executive shall not be required to mitigate the amount of any payment provided for pursuant to this Agreement by
seeking other employment and, to the extent that the Executive obtains or undertakes other employment, the payment will not be reduced by the earnings of the Executive from the other employment.

     (g) Successors; Binding Agreement. This Agreement shall inure to the benefit of and be binding upon personal or legal representatives,
executors, administrators, successors, heirs, distributes, devises and legatees.

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     (h) Notice. For the purpose of this Agreement, notices and all other communications provided for in this Agreement shall be in writing and
shall be deemed to have been duly given when delivered or mailed by United States registered mail, return receipt requested, postage prepaid, addressed, in the case of the Executive, to the Executive’s address on file with the Company; all
notices to the Company shall be directed to the attention of the Chief Executive Officer. Either party may furnish an alternative notice address to the other in writing in accordance herewith, except that notice of change of address shall be
effective only upon receipt.

     (i) Withholding Taxes. The Company may withhold from any amounts payable under this Agreement such Federal, state and local taxes as may be
required to be withheld pursuant to any applicable law or regulation.

     (j) Counterparts. This Agreement may be signed in counterparts, each of which shall be an original, with the same effect as if the signatures
thereto and hereto were upon the same instrument.

	
(k)      		
Section 409A.	
	 
	 	
(i) For purposes of this Agreement, “Section 409A” means	
	 

Section 409A of the Internal Revenue Code of 1986, as amended, and the Treasury Regulations promulgated thereunder (and such other Treasury or Internal Revenue Service guidance) as in effect from time to time. The parties intend
that any amounts payable hereunder that could constitute “deferred compensation” within the meaning of Section 409A will comply with Section 409A, and this Agreement shall be administered, interpreted and construed in a manner that does
not result in the imposition of additional taxes, penalties or interest under Section 409A. In this regard, the provisions of this Section 15(k) shall only apply if, and to the extent, required to avoid the imputation of any tax, penalty or interest
pursuant to Section 409A. Notwithstanding the foregoing, the Company does not guarantee any particular tax effect, and Executive shall be solely responsible and liable for the satisfaction of all taxes, penalties and interest that may be imposed on
or for the account of the Executive in connection with this Agreement (including any taxes, penalties and interest under Section 409A), and neither the Company nor any affiliate shall have any obligation to indemnify or otherwise hold the Executive
(or any beneficiary) harmless from any or all of such taxes, penalties or interest. With respect to the time of payments of any amounts under this Agreement that are “deferred compensation” subject to Section 409A, references in this
Agreement to “termination of employment” (and substantially similar phrases) shall mean “separation from service” within the meaning of Section 409A. For purposes of Section 409A, each of the payments that may be made under this
Agreement are designated as separate payments.

     (ii) Notwithstanding anything in this Agreement to the contrary, if the Executive is a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code and is not
“disabled” within the meaning of Section 409A(a)(2)(C) of the Code, no payments under this Agreement that are “deferred compensation” subject to Section 409A shall be made to the Executive prior to the date that is six months
after the date of the Executive’s “separation from service” (as defined in Section 409A) or, if earlier, the Executive’s date of death. Following any applicable six month 

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delay, all such delayed payments will be paid in a single lump sum on the earliest date permitted under Section 409A that is also a business day.

     (iii) In addition, for a period of six months following the date of separation from service, to the extent that the Company reasonably determines that any of the benefit plan coverages as described in
Section 10(c)(iii) are “deferred compensation” and may not be exempt from U.S. federal income tax, the Executive shall in advance pay to the Company an amount equal to the stated taxable cost of such coverages for six months (and at the
end of such six-month period, the Executive shall be entitled to receive from the Company a reimbursement of the amounts paid by the Executive for such coverages), and any payments, benefits or reimbursements paid or provided to the Executive under
Section 10(c)(iii) of this Agreement shall be paid or provided as promptly as practicable, and in all events not later than the last day of the third taxable year following the taxable year in which the Executive’s separation from service
occurs.

     (iv) For the avoidance of doubt, it is intended that any indemnification payment or expense reimbursement made hereunder shall be exempt from Section 409A. Notwithstanding the foregoing, if any
indemnification payment or expense reimbursement made hereunder shall be determined to be “deferred compensation” within the meaning of Section 409A, then (i) the amount of the indemnification payment or expense reimbursement during one
taxable year shall not affect the amount of the indemnification payments or expense reimbursement during any other taxable year, (ii) the indemnification payments or expense reimbursement shall be made on or before the last day of the
Executive’s taxable year following the year in which the expense was incurred, and (iii) the right to indemnification payments or expense reimbursement hereunder shall not be subject to liquidation or exchange for another benefit.

	
[Remainder of Page Left Blank]

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

	
EXECUTIVE

	
/s/ John M. McDonald

Name: John M. McDonald

	
INTERLINE BRANDS, INC.

	
By: 
		
 		
          /s/ Michael J. Grebe 
	
	

		
		

	
	
 
		
 		
Name: 
		
 		
Michael J. Grebe 
	
	
 
		
 		
Title: 
		
 		
Chairman and Chief Executive Officer 
	

	
EXHIBIT A

	
INTERLINE BRANDS, INC.

2004 EQUITY INCENTIVE PLAN

RESTRICTED SHARE UNIT AGREEMENT

     THIS RESTRICTED SHARE UNIT AGREEMENT (the “Agreement”) is made and entered into this ___ day of 
_____________
, 2011
(hereinafter the “Date of Grant”) by and between Interline Brands, Inc. (the “Company”) and John M. McDonald
(the “Participant”).

	
R E C I T A L S:

     WHEREAS, the Company has adopted the Interline Brands, Inc. 2004 Equity Incentive Plan (the “Plan”), pursuant to which awards of
Restricted Share Units may be granted; and

     WHEREAS, the Compensation Committee of the Board of Directors of the Company (the “Committee”) has determined that it is in the
best interests of the Company and its stockholders to grant to the Participant an award of Restricted Share Units as provided herein and subject to the terms set forth herein.

     NOW THEREFORE, for and in consideration of the premises and the covenants of the parties contained in this Agreement, and for other good and valuable consideration, the receipt of which is hereby
acknowledged, the parties hereto, for themselves, their successors and assigns, hereby agree as follows:

     (i)Grant of Restricted Share Units. The Company hereby grants on the Date of Grant, to the Participant a total of 
_______
 Restricted
Share Units (the “Award”) on the terms and conditions set forth in this Agreement and as otherwise provided in the Plan. Such Restricted Share Units shall be credited to a separate
account maintained for the Participant on the books of the Company (the “Account”). On any given date, the value of each Restricted Share Unit comprising the Award shall equal the
Fair Market Value of one share of Common Stock. The Award shall vest and settle in accordance with Section 3 hereof.

     (ii)Incorporation by Reference, Etc. The provisions of the Plan are hereby incorporated herein by reference. Except as otherwise expressly
set forth herein, this Agreement shall be construed in accordance with the provisions of the Plan and any capitalized terms not otherwise defined in this Agreement shall have the definitions set forth in the Plan. The Committee shall have final
authority to interpret and construe the Plan and this Agreement and to make any and all determinations under them, and its decision shall be binding and conclusive upon the Participant and his legal representative in respect of any questions arising
under the Plan or this Agreement.

	 	
(iii)Terms and Conditions.

     (1)Vesting, Settlement and Forfeiture. Except as otherwise provided in the Plan and this Agreement, and contingent upon the
Participant’s continued employment with the Company, 25% of the Restricted Share Units shall vest on the second anniversary of the Date of Grant, 25% of the Restricted Share Units shall vest on the third anniversary of the Date of Grant, 25% of
the Restricted Share Units shall vest on the fourth anniversary of the Date of Grant and 25% of the Restricted Share Units shall vest on the fifth anniversary of the Date of Grant (each a “Service-Based Vesting
Date”). On each applicable Service-Based Vesting Date, the Company shall settle the portion of the Award that is vested on such date and shall therefore (i) issue and deliver to the Participant one share of Common
Stock for each Restricted Share Unit subject to the Award (the “RSU Shares”), with any fractional shares paid out in cash (and, upon such settlement, the Restricted Share Units
shall cease to be credited to the Account) and (ii) enter the Participant’s name as a stockholder of record with respect to the RSU Shares on the books of the Company.

     (2)Restrictions. The Award granted hereunder may not be sold, pledged or otherwise transferred (other than by will or the laws of decent and
distribution) and may not be subject to lien, garnishment, attachment or other legal process. The Participant acknowledges and agrees that, with respect to each Restricted Share Unit credited to his Account, he has no voting rights with respect to
the Company unless and until each such Restricted Share Unit is settled in RSU Shares pursuant to Section 3(a) hereof.

	 	
(3)Effect of Termination of Employment.

     A. Except as provided in subsections (ii) and (iii) of this Section 3(c), if the Participant’s employment with the Company terminates prior to the vesting of the Award, in whole or in part, any
unvested Restricted Share Units shall be forfeited without consideration to the Participant.

     B.Upon the termination of the Participant’s employment with the Company due to his death or by the Company due to his Disability, any and all unvested Restricted Share Units shall vest and be
settled in shares of Common Stock as soon as reasonably practicable following the date of termination.

     C.Upon the termination of the Participant’s employment for Retirement (as defined below), any and all unvested Restricted Share Units shall vest on the applicable dates on which they would
otherwise have vested in accordance with Section 3(a) had the Participant’s employment not so terminated, and such Restricted Share Units shall be settled in shares of Common Stock as soon as reasonably practicable (but in no event later than
30 days) following each such applicable date.

For purposes of this Agreement, Retirement shall mean the

voluntary termination of a Participant’s employment by the Company after the Participant is

fifty-five (55) years of age and has at least ten (10) years of service with the Company.

     (4)Dividends. If on any date dividends are paid on shares of Common Stock (“Shares”) underlying the Award (the “Dividend Payment Date”), then the number of Restricted Share Units credited to the Account shall, as of the Dividend Payment Date,
be increased by that number of Restricted Share Units equal to: (a) the product of (i) the number of Restricted Share Units in the Account as of the Dividend Payment Date and (ii) the per Share cash amount of such dividend (or, in the case of a
dividend payable in Shares or other property, the per Share equivalent cash value of such dividend as determined in good faith by the Committee) divided by (b) the Fair Market Value of a Share on the Dividend Payment Date. Such additional Restricted
Share Units shall also be subject to the restrictions in Section 3(b) and the other terms and conditions of this Agreement.

     (5)Taxes and Withholding. Upon the settlement of the Award in accordance with Section 3(a) hereof, the Participant shall recognize taxable
income in respect of the Award and the Company shall report such taxable income to the appropriate taxing authorities in respect of the Award as it determines to be necessary and appropriate. Upon the settlement of the Award in RSU Shares, the
Participant shall be required as a condition of such settlement to pay to the Company by check or wire transfer the amount of any income, payroll, or social tax withholding that the Company determines is required; provided that the Participant may elect to satisfy such tax withholding obligation by having the Company withhold from the settlement that number of RSU Shares having a Fair Market Value equal to the amount
of such withholding; provided, further, that the number of RSU Shares that may be so withheld by the Company shall be limited to
that number of RSU Shares having an aggregate Fair Market Value on the date of such withholding equal to the aggregate amount of the Participant’s income, payroll and social tax liabilities based upon the applicable minimum withholding
rates.

     (6)Rights as a Stockholder. Upon and following each Service-Based Vesting Date, the Participant shall be the record owner of the RSU Shares
settled upon such applicable date unless and until such shares are sold or otherwise disposed of, and as record owner shall be entitled to all rights of a common stockholder of the Company, including, without limitation, voting rights, if any, with
respect to the shares. Prior to each Service-Based Vesting Date, as applicable, the Participant shall not be deemed for any purpose to be the owner of shares of Common Stock underlying the Restricted Share Units.

     (7)Section 409A and Timing of Distributions. Notwithstanding anything to the contrary in this Agreement:

     A.If the Participant is, or at any time prior to the last date on which it is possible to become fully vested under this Agreement, may become eligible to terminate employment and qualify as a
Retirement under Section 3(c)(iv) hereof (a “Retirement Eligible Participant”), then (A) notwithstanding anything to the contrary in Section 3(e) hereof, a Change in Control shall
not be a distribution event hereunder unless such event satisfies the definition of a change in the ownership or effective control of a corporation, or a change in the ownership of a substantial portion of the assets of a corporation pursuant to
Section 409A of the Code and any Treasury Regulations promulgated thereunder; and (B) the phrase “as soon as reasonably practicable” (or words of similar import), each time it occurs in this Agreement, shall be interpreted to mean (if not
followed by a more definitive time for payment): “as soon as reasonably practicable (but in no event 

later than ninety (90) days)”; provided, that if distribution is in connection with a Change in Control, such phrase shall be interpreted to mean “immediately prior to or as soon as reasonable practicable (but in no
event later than fourteen (14) days)”.

     B.If the Participant is not a Retirement Eligible Participant, then the phrase “as soon as reasonably practicable” (or words of similar import), each time it occurs in this Agreement, shall
be interpreted to mean (if not followed by a more definitive time for payment): “as soon as reasonably practicable (but in no event later than the March 15 next occurring)”; provided, that if distribution is in connection with a Change in
Control, such phrase shall be interpreted to mean “immediately prior to or as soon as reasonable practicable (but in no event later than fourteen (14) days)”.

	 	
(iv)Miscellaneous.

     (1)General Assets. All amounts credited to the Account under this Agreement shall continue for all purposes to be part of the general assets
of the Company, Participant’s interest in the Account shall make the Participant only a general, unsecured creditor of the Company.

     (2)Notices. All notices, demands and other communications provided for or permitted hereunder shall be made in writing and shall be by
registered or certified first-class mail, return receipt requested, telecopier, courier service or personal delivery:

	 	
if to the Company:

	 	
Interline Brands, Inc.

804 East Gate Drive, Suite 100

Mt. Laurel, New Jersey 08054

Attention: Vice President, Human Resources

if to the Participant, at the Participant’s last known address on file with the Company.

All such notices, demands and other communications shall be deemed to have been duly given when delivered by hand, if personally delivered; when delivered by courier, if delivered by commercial courier service; five business days
after being deposited in the mail, postage prepaid, if mailed; and when receipt is mechanically acknowledged, if telecopied.

     (3)Severability. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any
other provision of this Agreement, and each other provision of this Agreement shall be severable and enforceable to the extent permitted by law.

     (4)No Rights to Service. Nothing contained in this Agreement shall be construed as giving the Participant any right to be retained, in any
position, as a consultant or director of the Company or its Affiliates or shall interfere with or restrict in any way the right of 

the Company or its Affiliates, which are hereby expressly reserved, to remove, terminate or discharge the Participant at any time for any reason whatsoever.

     (5)Bound by Plan. By signing this Agreement, the Participant acknowledges that he has received a copy of the Plan and has had an opportunity
to review the Plan and agrees to be bound by all the terms and provisions of the Plan.

     (6)Beneficiary. The Participant may file with the Committee a written designation of a beneficiary on such form as may be prescribed by the
Committee and may, from time to time, amend or revoke such designation. If no designated beneficiary survives the Participant, the executor or administrator of the Participant’s estate shall be deemed to be the Participant’s
beneficiary.

     (7)Successors. The terms of this Agreement shall be binding upon and inure to the benefit of the Company, its successors and assigns, and of
the Participant and the beneficiaries, executors, administrators, heirs and successors of the Participant.

     (8)Entire Agreement. This Agreement and the Plan contain the entire agreement and understanding of the parties hereto with respect to the
subject matter contained herein and supersede all prior communications, representations and negotiations in respect thereto. No change, modification or waiver of any provision of this Agreement shall be valid unless the same be in writing and signed
by the parties hereto.

     (9)Governing Law. This Agreement shall be construed and interpreted in accordance with the laws of the State of New York without regard to
principles of conflicts of law thereof, or principals of conflicts of laws of any other jurisdiction which could cause the application of the laws of any jurisdiction other than the State of New York.

     (10)Headings. The headings of the Sections hereof are provided for convenience only and are not to serve as a basis for interpretation or
construction, and shall not constitute a part, of this Agreement.

     (11)Signature in Counterparts. This Agreement may be signed in counterparts, each of which shall be an original, with the same effect as if
the signatures thereto and hereto were upon the same instrument.

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement effective as of the Date of Grant.

	
INTERLINE BRANDS, INC.

	
By: 
		
 		
 
	
	
Name: 
		
 		
Michael J. Grebe 
	
	
Title: 
		
 		
Chairman and Chief Executive Officer 
	
	
 
	
	
 
	
	
 
		
 		
  ParticipantDC10824.pdf -- Converted by SEC Publisher 4.2, created by BCL Technologies Inc., for SEC Filing

	
EXHIBIT 10.2

INTERLINE BRANDS, INC.

CHANGE IN CONTROL SEVERANCE AGREEMENT

     THIS AGREEMENT is entered into as of the 13th day of June, 2011 (the “Effective Date”) by and between INTERLINE BRANDS, INC., a
Delaware corporation (the “Company”), and John M. McDonald (“Executive”).

	
W I T N E S S E T H

     WHEREAS, the Company considers the establishment and maintenance of a sound and vital management to be essential to protecting and enhancing the best interests of the Company and its stockholders;
and

     WHEREAS, the Company recognizes that, as is the case with many publicly held corporations, the possibility of a change in control may arise and that such possibility may result in the departure or
distraction of management personnel to the detriment of the Company and its stockholders; and

     WHEREAS, the Compensation Committee of the “Board” (as defined in Section 1) has determined that it is in the best interests of the Company and its stockholders to secure Executive’s
continued services and to ensure Executive’s continued and undivided dedication to Executive’s duties in the event of any threat or occurrence of a “Change in Control” (as defined in Section 1) of the Company; and

     WHEREAS, the Compensation Committee, at a meeting held on the 6th day of May, 2011, has authorized the Company to enter into this
Agreement.

     NOW, THEREFORE, for and in consideration of the mutual covenants and agreements herein contained, the Company and Executive hereby agree as follows:

     1. Definitions. As used in this Agreement, the following terms shall have the respective meanings set forth below:

     (a) “Affiliate” means, with respect to a specified person, a person that, directly or indirectly through one or more intermediaries, controls, is controlled by, or is under common control
with, the person specified.

	
(b)      		
“Board” means the Board of Directors of the Company.	
	 
	
(c)      		
“Bonus Amount” means (i) the average of the annual bonus	
	 

earned by Executive from the Company (or its Affiliates) in respect of the last three (3) completed fiscal years of the Company or such lesser number of fiscal years for which Executive was employed by the Company and eligible to
earn an annual bonus from the Company immediately preceding Executive’s Date of Termination (annualized in the event Executive was not employed by the Company (or its Affiliates) for the whole of any such fiscal year), or (ii) if the Date of
Termination occurs before Executive has been employed for a full fiscal year, and before the date Company pays Executive Executive’s annual bonus for the fiscal year in which Executive’s employment commenced, 

Executive’s target annual bonus for the fiscal year of the Company which includes Executive’s Date of Termination.

     (d) “Cause” means (i) Executive’s conviction of, or pleading nolo contendere to, a felony, (ii) Executive’s gross neglect of Executive’s duties to the Company, (iii)
Executive’s willful misconduct in connection with the performance of Executive’s duties to the Company, which results in material and demonstrable damage to the Company or (iv) Executive’s failure to follow the lawful directions of
the Board, consistent with Executive’s position with the Company; provided, however that Executive shall not be deemed to have been terminated for Cause unless (A) written notice has been delivered to Executive setting forth the reasons for the
Company's intention to terminate Executive for Cause and (B) a period of 14 days has elapsed since delivery of such notice and, in the case of clauses (ii) and (iv) above, Executive has failed to cure the circumstances claimed to constitute Cause
within such 14-day period. For purpose of the preceding sentence, no act or failure to act by Executive shall be considered “willful” unless done or omitted to be done by Executive in bad faith and without reasonable belief that
Executive’s action or omission was in the best interests of the Company. Any act, or failure to act, based upon authority given pursuant to a resolution duly adopted by the Board, based upon the advice of counsel for the Company (or upon the
instructions of any other officer of the Company senior to Executive) shall be conclusively presumed to be done, or omitted to be done, by Executive in good faith and in the best interests of the Company. Cause shall not exist unless and until the
Company has delivered to Executive a copy of a resolution duly adopted by three-quarters (3/4) of the entire Board (excluding Executive if Executive is a Board member) at a meeting of the Board called and held for such purpose (after reasonable
notice to Executive and an opportunity for Executive, together with counsel, to be heard before the Board), finding that in the good faith opinion of the Board an event set forth in clauses (i), (ii), (iii), or (iv) has occurred and specifying the
particulars thereof in detail. The Company must notify Executive of any event constituting Cause within ninety (90) days following knowledge of any member of the Board other than Executive (if applicable) of its existence or such event shall not
constitute Cause under this Agreement.

     (e) “Change in Control” means any of the following: (i) any individual, entity or group (within the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended
(the “Exchange Act”)) (other than an Affiliate or any employee benefit plan (or any related trust) of the Company or an Affiliate of the Company), (a “Person”) becomes after the date hereof the beneficial owner of 50% or more of
either the then outstanding Stock or the combined voting power of the then outstanding voting securities of the Company entitled to vote in the election of directors; (ii) during any 24-month period individuals who, as of the Effective Date,
constitute the Board (the “Incumbent Directors”) cease for any reason to constitute at least a majority of the Board; provided that any individual who becomes a director after the Effective Date whose election, or nomination for election
by the Company’s shareholders, was approved by a vote or written consent of at least two-thirds of the directors then comprising the Incumbent Directors shall be considered as though such individual were an Incumbent Director, but excluding,
for this purpose, any such individual whose initial assumption of office is in connection with an actual or threatened

2

election contest relating to the election of the directors of the Company (as such terms are used in Rule 14a-11 under the Exchange Act); (iii) the consummation of a merger, reorganization or consolidation with respect to which
the individuals and entities who were the respective beneficial owners of the Stock and voting securities of the Company immediately before such merger, reorganization or consolidation do not, after such merger, reorganization or consolidation,
beneficially own, in substantially the same proportion as their ownership, immediately before such merger, reorganization or consolidation, directly or indirectly, more than 50% of, respectively, the then outstanding common shares and the combined
voting power of the then outstanding voting securities entitled to vote in the election of directors; or (iv) the approval by shareholders of the Company of (A) the sale or other disposition of all or substantially all of the assets of the Company
(other than to an Affiliate of the Company), or (B) the liquidation or dissolution of the Company. Moreover, in the event that payments hereunder would otherwise be considered “deferred compensation” subject to Section 409A, a Change in
Control shall not be deemed to occur unless the event giving rise to the Change in Control satisfies the definition of a change in the ownership or effective control of a corporation, or a change in the ownership of a substantial portion of the
assets of a corporation pursuant to Section 409A of the Code and any Treasury Regulations promulgated thereunder.

     Notwithstanding the foregoing, a Change in Control of the Company shall not be deemed to occur solely because any Person acquires beneficial ownership of more than 50% of the then outstanding Stock as
a result of the acquisition of the Stock by the Company which reduces the number of shares of Stock outstanding; provided, that if
after such acquisition by the Company such person becomes the beneficial owner of additional Stock that increases the percentage of outstanding Stock beneficially owned by such person, a Change in Control of the Company shall then occur.

     (f) “Code” means the Internal Revenue Code of 1986, as amended, and regulations and rulings thereunder. References to a particular section of the Code shall include references to successor
provisions.

     (g) “Date of Termination” means (1) the effective date on which Executive’s employment by the Company terminates as specified in a prior written notice by the Company or Executive, as
the case may be, to the other, delivered pursuant to Section 13 or (2) if Executive’s employment by the Company terminates by reason of death, the date of death of Executive.

     (h) “Disability” means termination of Executive’s employment by the Company due to Executive’s absence from Executive’s duties with the Company on a full-time basis for at
least one hundred eighty (180) consecutive days as a result of Executive’s incapacity due to physical or mental illness.

     (i) “Exchange Act” means the Securities Exchange Act of 1934, as amended. References to a particular section of, or rule under, the Exchange Act shall include references to successor
provisions.

3

     (j) “Good Reason” means, without Executive’s express written consent, the occurrence of any of the following events after a Change in Control:

     (i) any (A) change in the duties or responsibilities (including reporting responsibilities) of Executive that is inconsistent in any material and adverse respect with Executive’s position(s),
duties or responsibilities with the Company immediately prior to such Change in Control (including any material and adverse diminution of such duties or responsibilities); provided,
however, that Good Reason shall not be deemed to occur upon a change in duties or responsibilities (other than reporting responsibilities) that is solely and directly a result of the Company
no longer being a publicly traded entity and does not involve any other event set forth in this paragraph (j) or (B) material and adverse change in Executive’s titles or offices (including, if applicable, membership on the Board) with the
Company as in effect immediately prior to such Change in Control;

     (ii) a material breach of an employment agreement to which Executive and the Company are parties; 

     (iii) a reduction by the Company in Executive’s rate of annual base salary or target annual bonus opportunity as in effect immediately prior to such Change in Control or as the same may be
increased from time to time thereafter;

     (iv) any requirement of the Company that Executive (A) be based anywhere more than thirty-five (35) miles from the office where Executive is located at the time of the Change in Control, if such
relocation increases Executive’s commute by more than twenty (20) miles, or (B) travel on Company business to an extent substantially greater than the travel obligations of Executive immediately prior to such Change in Control;

     (v) a reduction by the Company of more than 5% in Executive’s aggregate benefits under employee benefit plans, welfare benefit plans and fringe benefit plans in which Executive is participating
immediately prior to such Change in Control, unless Executive is permitted to participate in other plans providing Executive with substantially equivalent benefits in the aggregate (at substantially equivalent cost with respect to welfare benefit
plans);

     (vi) the failure of the Company to provide Executive with paid vacation in accordance with the most favorable vacation policies of the Company and its Affiliates as in effect for Executive immediately
prior to such Change in Control, including the crediting of all service for which Executive had been credited under such vacation policies prior to the Change in Control;

     (vii) any refusal by the Company to continue to permit Executive to engage in activities not directly related to the business of the 

4

Company in which Executive was permitted to engage prior to the Change in Control;

     (viii) any purported termination of Executive’s employment which is not effectuated pursuant to Section 14 (and which will not constitute a termination hereunder); or

     (ix) the failure of the Company to obtain the assumption and, if applicable, guarantee, agreement from any successor (and parent corporation) as contemplated in Section 12(b).

An isolated, insubstantial and inadvertent action taken in good faith and which is remedied by the Company within ten (10) days after receipt of notice thereof given by Executive shall not constitute Good Reason. Executive’s
right to terminate employment for Good Reason shall not be affected by Executive’s incapacity due to mental or physical illness and Executive’s continued employment shall not constitute consent to, or a waiver of rights with respect to,
any event or condition constituting Good Reason; provided, however, that Executive must provide notice of termination of employment
for Good Reason within ninety (90) days following Executive’s knowledge of an event constituting Good Reason or such event shall not constitute a termination for Good Reason under this Agreement.

(k) “Qualifying Termination” means a termination of 

Executive’s employment (i) by the Company other than for Cause or (ii) by Executive for Good Reason. Termination of Executive’s employment on account of death or Disability shall not be treated as a Qualifying
Termination.

     (l) “Safe Harbor Amount” means the greatest pre-tax amount of “Payments” (as defined in Section 4) that could be paid to Executive without causing Executive to become liable for
any “Excise Tax” (as defined in Section 4) in connection therewith.

	
(m)      		
“SEC” means the Securities and Exchange Commission.	
	 
	
(n)      		
“Stock” means the Common Stock of the Company.	
	 
	
(o)      		
“Termination Period” means the period of time beginning	
	 

with a Change in Control and ending two (2) years following such Change in Control. Notwithstanding anything in this Agreement to the contrary, if (i) Executive’s employment is terminated prior to a Change in Control for
reasons that would have constituted a Qualifying Termination if they had occurred following a Change in Control and (ii) (A) such termination (or Good Reason event) was at the request of a third party who had indicated an intention or taken steps
reasonably calculated to effect a Change in Control and a Change in Control involving such third party (or a party competing with such third party to effectuate a Change in Control) does occur, or (B) such termination (or Good Reason event)
otherwise occurs in connection with a potential Change in Control and such Change in Control does occur, then for purposes of this Agreement, the date 

5

immediately prior to the date of such termination of employment or event constituting Good Reason shall be treated as the date of a Change in Control. For purposes of determining the timing of payments and benefits to Executive
under Section 3, the date of the actual Change in Control shall be treated as Executive’s Date of Termination under Section 1(g).

     2. Term of Agreement. This Agreement shall be effective on the date hereof and shall continue in effect until and unless the Company shall
have given one (1) years’ written notice of cancellation; provided, that, notwithstanding the delivery of any such notice,
this Agreement shall continue in effect for a period of two (2) years after a Change in Control, if such Change in Control shall have occurred during the term of this Agreement. Notwithstanding anything in this Section to the contrary, this
Agreement shall terminate if Executive or the Company terminates Executive’s employment prior to a Change in Control except as provided in the second sentence of Section 1(o).

	
3.      		
Payments Upon Termination of Employment.	
	 
	 	
(a) Qualifying Termination - Severance. If during the	
	 

Termination Period the employment of Executive shall terminate pursuant to a Qualifying Termination, then the Company shall provide to Executive, subject to the proviso to the first sentence of Section 10:

     (i) within ten (10) days following the Date of Termination, a lump-sum cash amount equal to the sum of (A) Executive’s base salary through the Date of Termination and any bonus amounts which have
become payable, to the extent not theretofore paid or deferred, (B) a pro rata portion of Executive’s annual bonus for the fiscal year in which Executive’s Date of Termination occurs in an amount equal to (1) Executive’s target annual
bonus, multiplied by (2) a fraction, the numerator of which is the number of days in the fiscal year in which the Date of Termination occurs through the Date of Termination and the denominator of which is three hundred sixty-five (365), and (C) any
accrued vacation pay, in each case to the extent not theretofore paid; plus

     (ii) within ten (10) days following the Date of Termination, a lump-sum cash amount equal to (i) one and one-half (1.5) times Executive’s highest annual rate of base salary during the 12-month
period immediately prior to Executive’s Date of Termination plus (ii) one and one-half (1.5) times Executive’s Bonus Amount, paid within ten (10) days following the Date of Termination; provided that, if necessary to avoid tax penalties
under Section 409A of the Code, the payment shall be delayed, without interest, until the first day which is at least six months following the Date of Termination.

     (b) Qualifying Termination - Benefits. If during the Termination Period the employment of Executive shall terminate pursuant to a 

Qualifying Termination, the Company shall, subject to the proviso to the first sentence of Section 10, continue to provide, for a period of eighteen (18) months following Executive’s Date of Termination, Executive (and
Executive’s dependents, if applicable) 

6

with the same level of medical and dental benefits upon substantially the same terms and conditions (including contributions required by Executive for such benefits) as existed immediately prior to Executive’s Date of
Termination (or, if more favorable to Executive, as such benefits and terms and conditions existed immediately prior to the Change in Control); provided, that, if Executive cannot continue to participate in the Company plans providing such benefits, the Company shall otherwise provide such benefits on the same after-tax basis as if continued participation
had been permitted. Notwithstanding the foregoing, in the event Executive becomes reemployed with another employer and becomes eligible to receive medical and/or dental benefits from such employer, the Company’s obligation to provide such
medical and/or dental benefits described herein shall cease.

     (c) Execution of Release. Any payments or benefits that would otherwise be payable or provided to Executive under Sections 3(a)(i)(B),
3(a)(ii) and 3(b) shall not be payable or provided unless and until the Company has received from Executive a signed release of employment-related claims against the Company, its Subsidiaries and their respective employees, officers and directors,
in a form prepared by the Company and reasonably acceptable to Executive. Executive shall execute and deliver such release to the Company within 30 days following the date of Executive’s termination of employment. Notwithstanding anything to
the contrary in this Agreement, in the event that such payments hereunder would otherwise be considered “deferred compensation” subject to Section 409A, any such payments shall not commence until the 31st day following the Date of
Termination.

     (d) Nonqualifying Termination. If during the Termination Period the employment of Executive shall terminate other than by reason of a
Qualifying Termination, then the Company shall pay to Executive within thirty (30) days following the Date of Termination, a lump-sum cash amount equal to the sum of Executive’s base salary through the Date of Termination and any bonus amounts
which have become payable, to the extent not theretofore paid or deferred, and any accrued vacation pay, to the extent not theretofore paid. The Company may make such additional payments, and provide such additional benefits, to Executive as the
Company and Executive may agree in writing, or to which Executive may be entitled under the compensation and benefit plans, policies, and arrangements of the Company.

     4. 280G Cutback. If any payment or distribution by the Company to or for the benefit of Executive, whether paid or payable or distributed or
distributable pursuant to the terms of this Agreement or otherwise pursuant to or by reason of any other agreement, policy, plan, program or arrangement or the lapse or termination of any restriction on or the vesting or exercisability of any
payment or benefit (each a “Payment”), would be subject to the excise tax imposed by Section 4999 of the Code (or any successor provision thereto) or to any similar tax imposed by state or local law (such tax or taxes are hereafter
collectively referred to as the “Excise Tax”), then the aggregate amount of Payments payable to Executive shall be reduced to the Safe Harbor Amount in accordance with the immediately following sentence; provided that such reduction shall
only be imposed if the aggregate after-tax value of the Payments retained by Executive (after giving effect to such reduction) is equal to or greater than the aggregate after-tax 

7

value (after giving effect to the Excise Tax) of the Payments to Executive without any such reduction. Any such reduction shall be made in the following order, (i) first, any future cash payments (if any) shall be reduced (if
necessary, to zero); (ii) second, any current cash payments shall be reduced (if necessary, to zero); (iii) third, all non-cash payments (other than equity or equity derivative related payments) shall be reduced (if necessary, to zero); and (iv)
fourth, all equity or equity derivative payments shall be reduced.

     5. Withholding Taxes. The Company may withhold from all payments due to Executive (or Executive’s beneficiary or estate) hereunder all
taxes which, by applicable federal, state, local or other law, the Company is required to withhold therefrom. In the case of the withholding of an Excise Tax, such withholding shall be consistent with any determination made under Section
4.

     6. Reimbursement of Expenses. If any contest or dispute shall arise under this Agreement involving termination of Executive’s employment
with the Company or involving the failure or refusal of the Company to perform fully in accordance with the terms hereof, the Company shall reimburse Executive, on a current basis, for all reasonable legal fees and expenses, if any, incurred by
Executive in connection with such contest or dispute (regardless of the result thereof); provided, however, Executive shall be
required to repay any such amounts to the Company to the extent that a court or an arbitration panel issues a final order from which no appeal can be taken, or with respect to which the time period to appeal has expired, setting forth that Executive
has not substantially prevailed on at least one material issue in dispute.

     7. Employment by Affiliates. Employment by the Company for purposes of this Agreement shall include employment by any Affiliate.

	
8.      		
Restrictive Covenants.	
	 
	 	
(a) Non-Competition and Non-Solicitation. Executive	
	 

acknowledges and recognizes the highly competitive nature of the businesses of the Company and its Affiliates, the valuable confidential business information in Executive’s possession and the customer goodwill associated with
the ongoing business practice of the Company, and accordingly agrees as follows:

     (i) For a period ending on the expiration of two years following the termination of Executive’s employment (the “Restricted
Period”), Executive will not directly or indirectly, (A) engage in any business for Executive’s own account that competes with the business of the Company, (B) enter the employ of,
or render any services to, any person engaged in any business that competes with the business of the Company, (C) acquire a financial interest in, or otherwise become actively involved with, any person engaged in any business that competes with the
business of the Company, directly or indirectly, as an individual, partner, shareholder, officer, director, principal, agent, trustee or consultant, or (D) interfere with business relationships (whether formed before or after the 

8

date of this Agreement) between the Company or any of its Affiliates that are engaged in a business similar to the business of the Company (the “Company Affiliates”) and customers or suppliers of the Company or the
Company Affiliates.

     (ii) Notwithstanding anything to the contrary in this Agreement, Executive may directly or indirectly own, solely as a passive investment, securities of any person engaged in the business of the
Company which are publicly traded on a national or regional stock exchange or on the over-the-counter market if Executive (A) is not a controlling person of, or a member of a group which controls, such person and (B) does not, directly or
indirectly, own one percent (1%) or more of any class of securities of such person.

     (iii) During the Restricted Period, and for an additional one year after the end of the Restricted Period, Executive shall not, directly or indirectly, (A) without the written consent of the Company,
solicit or encourage any employee of the Company or the Company Affiliates to leave the employment of the Company or the Company Affiliates, or (B) without the written consent of the Company (which shall not be unreasonably withheld), hire any such
employee who has left the employment of the Company or the Company Affiliates (other than as a result of the termination of such employment by the Company or the Company Affiliates) within one year after the termination of such employee’s
employment with the Company or the Company Affiliates.

     (iv) During the Restricted Period, Executive will not, directly or indirectly, solicit or encourage to cease to work with the Company or the Company Affiliates any consultant then under contract with
the Company or the Company Affiliates.

     (b) Non-Disclosure of Confidential Information. Executive will not at any time (whether during or after Executive’s employment with the
Company) disclose or use for Executive’s own benefit or purposes or the benefit or purposes of any other person, firm, partnership, joint venture, association, corporation or other business organization, entity or enterprise other than the
Company and any of its Subsidiaries or Affiliates, any trade secrets, information, data, or other confidential information relating to customers, development programs, costs, marketing, trading, investment, sales activities, promotion, credit and
financial data, manufacturing processes, financing methods, plans, or the business and affairs of the Company generally, or of any Subsidiary or Affiliate of the Company, provided,
however, that the foregoing shall not apply to information which is generally known to the industry or the public other than as a result of Executive’s breach of this covenant.
Executive agrees that upon termination of Executive’s employment with the Company for any reason, Executive will return to the Company immediately all memoranda, books, papers, plans, information, letters and other data, and all copies thereof
or therefrom, in any way relating to the business of the Company and its Affiliates, except that Executive may retain personal notes, notebooks 

9

and diaries. Executive further agrees that Executive will not retain or use for Executive’s account at any time any trade names, trademark or other proprietary business designation used or owned in connection with the
business of the Company or its Affiliates.

     (c) Non-disparagement. Executive agrees (whether during or after Executive’s employment with the Company) not to issue, circulate,
publish or utter any false or disparaging statements, remarks or rumors about the Company or the officers or directors of the Company other than to the extent reasonably necessary in order to (i) assert a bona fide claim against the Company arising
out of Executive’s employment with the Company, or (ii) respond in a truthful and appropriate manner to any legal process or give truthful and appropriate testimony in a legal or regulatory proceeding.

(d) Mutual Dependence of Covenants and Condition 

Subsequent. Executive covenants and agrees to be bound by the restrictive covenants and agreements contained in this Section 8 to the maximum extent permitted by Florida law, it being the intent
and spirit of the parties that the restrictive covenants and agreements contained in this Agreement shall be valid and enforceable in all respects, and, subject to the terms and conditions of this Agreement, Executive’s compliance with the
covenants contained in Section 8(a) is mutually dependent upon and a condition subsequent to the Company’s obligation to make the payments described in Section 3 of this Agreement and such payments shall immediately cease upon any breach of
Section 8(a). Likewise, if Executive commences any action in court or in arbitration challenging the validity of, seeking to invalidate or otherwise seeking some sort of declaration that the covenants and agreements in Section 8(a) are void,
voidable or invalid, the Company’s obligations to make the payments described in Section 3 of this Agreement shall immediately cease as of the time of the commencement of such action or proceeding. If the Company does not discover
Executive’s breach of Section 8(a) or the commencement of any such action or arbitration proceedings until after one or more payments under Section 3 have been made to Executive, Executive shall be obligated to immediately return all such
payments to the Company that were paid and received after the breach of Section 8(a).

     (e) Remedies Upon Breach. If Executive breaches the provisions of Sections 8 (a), (b) or (c), the Company shall have the right to have such
restrictive covenants specifically enforced by any court of competent jurisdiction, it being agreed that any breach of such restrictive covenants would cause irreparable injury to the Company and that money damages would not provide an adequate
remedy for such injury. Accordingly, the Company shall be entitled to injunctive relief to enforce the terms of such restrictive covenants and to restrain Executive from any violation thereof. The rights and remedies set forth in this Section 8(e)
shall be independent of all other others rights and remedies available to the Company for a breach of such restrictive covenants, and shall be severally enforceable from, in addition to, and not in lieu of, any other rights and remedies available at
law or in equity.

9. Survival. The respective obligations and benefits afforded to the 

Company and Executive as provided in Sections 3 (to the extent that payments or benefits are owed as a result of a termination of employment that occurs during the term of this Agreement), 5, 6, 12(c) and 10 shall survive the
termination of this Agreement.

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     10. Full Settlement; Resolution of Disputes. The Company’s obligation to make any payments and provide any benefits pursuant to this
Agreement and otherwise to perform its obligations hereunder shall be in lieu and in full settlement of all other severance payments to Executive under any other severance or employment agreement between Executive and the Company, and any severance
plan of the Company; provided, however, that if any such other agreement or plan would provide Executive with a greater payment or
more or longer benefits in respect of any particular item described hereunder (e.g., severance, welfare benefits), then Executive shall receive such particular item of payment and/or benefit pursuant to such other agreement or plan, in lieu of
receiving that particular item pursuant to this Agreement. The Company’s obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which the Company may have against Executive
or others. In no event shall Executive be obligated to seek other employment or take other action by way of mitigation of the amounts payable and benefits provided to Executive under any of the provisions of this Agreement and, except as provided in
Section 3(b), such amounts shall not be reduced whether or not Executive obtains other employment. The parties agree that any controversy or claim of either party hereto arising out of or in any way relating to this Agreement, or breach thereof,
shall be settled by final and binding arbitration in Jacksonville, Florida by three arbitrators in accordance with the rules of the American Arbitration Association applicable to the resolution of employment disputes, and that judgment upon any
award rendered may be entered by the prevailing party in any court having jurisdiction thereof. The Company shall bear all costs and expenses arising in connection with any arbitration proceeding pursuant to this Section.

     11. Scope of Agreement. Nothing in this Agreement shall be deemed to entitle Executive to continued employment with the Company or its
Subsidiaries, and if Executive’s employment with the Company or its Subsidiaries shall terminate prior to a Change in Control, Executive shall have no further rights under this Agreement (except as otherwise provided hereunder); provided, however, that any termination of Executive’s employment with the Company or its Subsidiaries during the Termination Period shall be
subject to all of the provisions of this Agreement.

	
12.      		
Successors; Binding Agreement.	
	 
	 	
(a) This Agreement shall not be terminated by any Change in	
	 

Control or other merger, consolidation, statutory share exchange, sale of substantially all the assets or similar form of corporate transaction involving the Company (a “Business Combination”). In the event of any
Business Combination, the provisions of this Agreement shall be binding upon the surviving corporation, and such surviving corporation shall be treated as the Company hereunder.

     (b) The Company agrees that in connection with any Business Combination, it will cause any successor entity to the Company unconditionally to assume (and for any parent entity in such Business
Combination to guarantee), by written instrument delivered to Executive (or Executive’s beneficiary or estate), all of the obligations of the Company hereunder. 

11

     (c) This Agreement shall inure to the benefit of and be enforceable by Executive’s personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and
legatees. If Executive shall die while any amounts would be payable to Executive hereunder had Executive continued to live, all such amounts, unless otherwise provided herein, shall be paid in accordance with the terms of this Agreement to such
person or persons appointed in writing by Executive to receive such amounts or, if no person is so appointed, to Executive’s estate.

     13. Notice. (a) For purposes of this Agreement, all notices and other communications required or permitted hereunder shall be in writing and
shall be by hand delivery or by registered or certified mail, return receipt requested, postage prepaid, or by nationally recognized overnight courier service, addressed as follows:

     If to Executive, to Executive’s principal residence as reflected in the records of the Company. 

	 	
If to the Company:

	
Interline Brands, Inc.

701 San Marco Boulevard, Suite 1800

Jacksonville, Florida 32207

Attn.: Chief Executive Officer

or to such other address as either party may have furnished to the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt.

     14. A written notice of Executive’s Date of Termination by the Company or Executive, as the case may be, to the other, shall (i) indicate the specific termination provision in this Agreement
relied upon, (ii) to the extent applicable, set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of Executive’s employment under the provision so indicated and (iii) specify the termination date
(which date shall be not less than fifteen (15) (thirty (30), if termination is by the Company for Disability) nor more than sixty (60) days after the giving of such notice). The failure by Executive or the Company to set forth in such notice any
fact or circumstance which contributes to a showing of Good Reason or Cause shall not waive any right of Executive or the Company hereunder or preclude Executive or the Company from asserting such fact or circumstance in enforcing Executive’s
or the Company’s rights hereunder.

     15. GOVERNING LAW; VALIDITY. THE INTERPRETATION, CONSTRUCTION AND PERFORMANCE OF THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF FLORIDA WITHOUT REGARD TO THE PRINCIPLES OF CONFLICTS OF LAWS THEREOF, OF SUCH PRINCIPLES OF ANY OTHER JURISDICTION WHICH COULD CAUSE THE APPLICATION OF THE LAWS OF ANY JURISDICTION OTHER
THAN THE STATE OF FLORIDA.

12

THE INVALIDITY OR UNENFORCEABILITY OF ANY PROVISION OF THIS AGREEMENT SHALL NOT AFFECT THE VALIDITY OR ENFORCEABILITY OF ANY OTHER PROVISION OF THIS AGREEMENT, WHICH OTHER PROVISIONS SHALL REMAIN IN FULL FORCE AND
EFFECT.

     16. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original and all of which together
shall constitute one and the same instrument.

     17. Miscellaneous. No provision of this Agreement may be modified or waived unless such modification or waiver is agreed to in writing and
signed by Executive and by a duly authorized officer of the Company. No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any condition or provision of this Agreement to be performed by such
other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. Failure by Executive or the Company to insist upon strict compliance with any provision of this Agreement or to
assert any right Executive or the Company may have hereunder, including, without limitation, the right of Executive to terminate employment for Good Reason, shall not be deemed to be a waiver of such provision or right or any other provision or
right of this Agreement. Except as otherwise specifically provided herein, the rights of, and benefits payable to, Executive, Executive’s estate or Executive’s beneficiaries pursuant to this Agreement are in addition to any rights of, or
benefits payable to, Executive, Executive’s estate or Executive’s beneficiaries under any other employee benefit plan or compensation program of the Company.

	
18.      		
Section 409A.	
	 
	 	
(a) For purposes of this Agreement, “Section 409A” means	
	 

Section 409A of the Internal Revenue Code of 1986, as amended, and the Treasury Regulations promulgated thereunder (and such other Treasury or Internal Revenue Service guidance) as in effect from time to time. The parties intend
that any amounts payable hereunder that could constitute “deferred compensation” within the meaning of Section 409A will comply with Section 409A, and this Agreement shall be administered, interpreted and construed in a manner that does
not result in the imposition of additional taxes, penalties or interest under Section 409A. In this regard, the provisions of this Section 18 shall only apply if, and to the extent, required to avoid the imputation of any tax, penalty or interest
pursuant to Section 409A. Notwithstanding the foregoing, the Company does not guarantee any particular tax effect, and Executive shall be solely responsible and liable for the satisfaction of all taxes, penalties and interest that may be imposed on
or for the account of Executive in connection with this Agreement (including any taxes, penalties and interest under Section 409A), and neither the Company nor any affiliate shall have any obligation to indemnify or otherwise hold Executive (or any
beneficiary) harmless from any or all of such taxes, penalties or interest. With respect to the time of payments of any amounts under this Agreement that are “deferred compensation” subject to Section 409A, references in this Agreement to
“termination of employment” (and substantially similar phrases) shall mean “separation from service” 

13

within the meaning of Section 409A. For purposes of Section 409A, each of the payments that may be made under this Agreement are designated as separate payments.

     (b) Notwithstanding anything in this Agreement to the contrary, if Executive is a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code and is not
“disabled” within the meaning of Section 409A(a)(2)(C) of the Code, no payments under this Agreement that are “deferred compensation” subject to Section 409A shall be made to Executive prior to the date that is six months after
the date of Executive’s “separation from service” (as defined in Section 409A) or, if earlier, Executive’s date of death. Following any applicable six month delay, all such delayed payments will be paid in a single lump sum on
the earliest date permitted under Section 409A that is also a business day.

     (c) In addition, for a period of six months following the date of separation from service, to the extent that the Company reasonably determines that any of the benefit plan coverages described in
Section 3(b) are “deferred compensation” and may not be exempt from U.S. federal income tax, Executive shall in advance pay to the Company an amount equal to the stated taxable cost of such coverages for six months (and at the end of such
six-month period, Executive shall be entitled to receive from the Company a reimbursement of the amounts paid by Executive for such coverages), and any payments, benefits or reimbursements paid or provided to Executive under Section 3(b) of this
Agreement shall be paid or provided as promptly as practicable, and in all events not later than the last day of the third taxable year following the taxable year in which the Executive’s separation from service occurs.

     (d) For the avoidance of doubt, it is intended that any expense reimbursement made hereunder shall be exempt from Section 409A. Notwithstanding the foregoing, if any expense reimbursement made
hereunder shall be determined to be “deferred compensation” within the meaning of Section 409A, then (i) the amount of the expense reimbursement during one taxable year shall not affect the amount of the expense reimbursement during any
other taxable year, (ii) the expense reimbursement shall be made as promptly as practicable but in all events on or before the last day of Executive’s taxable year following the year in which the expense was incurred, and (iii) the right to
expense reimbursement hereunder shall not be subject to liquidation or exchange for another benefit.

     (e) If the provisions of this Agreement would cause any amounts payable under Executive’s employment agreement with the Company to be treated as “deferred compensation” subject to
Section 409A, any such payments that are conditioned on Executive’s delivery of a release of claims under the terms of the Employment Agreement shall not commence until the 31st day following Executive’s termination of employment
thereunder.

     IN WITNESS WHEREOF, the Company has caused this Agreement to be executed by a duly authorized officer of the Company and Executive has executed this Agreement as of the day and year first above
written.

14

INTERLINE BRANDS, INC.

By: /s/ Michael J. Grebe Name: Michael J. Grebe Title: Chief Executive Officer

	
EXECUTIVE

     /s/ John M. McDonald John M. McDonald

15

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