Document:

Form of Thirteenth Supplemental  Indenture

 Exhibit 4.3 
  
 VIRGINIA ELECTRIC AND POWER COMPANY 
 Issuer 
  
 AND 
  
 JPMORGAN CHASE BANK, N.A. 
 (formerly known as The Chase Manhattan Bank) 
 Trustee 
  

  
 Thirteenth Supplemental Indenture 
  
 Dated as of January 1, 2006 
  

  
 $ 550,000,000 
  
 2006 Series B 6.0% Senior Notes 
  
 Due 2036 

 TABLE OF CONTENTS* 
  

					
	ARTICLE I	  	 
	 2006 SERIES B 6.0% SENIOR NOTES DUE 2036
  
	  	 
			
	SECTION 101.	 	Establishment	  	1
	SECTION 102.	 	Definitions	  	2
	SECTION 103.	 	Payment of Principal and Interest	  	4
	SECTION 104.	 	Denominations	  	5
	SECTION 105.	 	Global Securities	  	5
	SECTION 106.	 	Redemption.	  	6
	SECTION 107.	 	Sinking Fund	  	6
	SECTION 108.	 	Additional Interest	  	6
	SECTION 109.	 	Paying Agent	  	7
		
	ARTICLE II	  	 
	 MISCELLANEOUS PROVISIONS
  
	  	 
	SECTION 201.	 	Recitals by Company	  	7
	SECTION 202.	 	Ratification and Incorporation of Original Indenture	  	7
	SECTION 203.	 	Executed in Counterparts	  	7
	SECTION 204.	 	Assignment	  	7

  

	*	This Table of Contents does not constitute part of the Indenture or have any bearing upon the interpretation of any of its terms and provisions.

 THIS THIRTEENTH SUPPLEMENTAL INDENTURE is made as of the first day of January, 2006, by and between
VIRGINIA ELECTRIC AND POWER COMPANY, a Virginia corporation, having its principal office at 701 East Cary Street, Richmond, Virginia 23219 (the “Company”), and JPMORGAN CHASE BANK, N.A. (formerly known as The Chase Manhattan Bank), a
national banking association, as Trustee (herein called the “Trustee”). 
  
 W I T N E S S E T H: 
  
 WHEREAS,
the Company has heretofore entered into a Senior Indenture, dated as of June 1, 1998 (the “Original Indenture”), as heretofore supplemented and amended, with the Trustee; 
  
 WHEREAS, the Original Indenture is incorporated herein by this reference and the Original Indenture, as heretofore
supplemented and amended and as further supplemented by this Thirteenth Supplemental Indenture, is herein called the “Indenture”; 
  
 WHEREAS, under the Original Indenture, a new series of Securities may at any time be established in accordance with the provisions of the Original
Indenture and the terms of such series may be described by a supplemental indenture executed by the Company and the Trustee; 
  
 WHEREAS, the Company proposes to create under the Indenture a series of Securities; 
  
 WHEREAS, additional Securities of other series hereafter established, except as may be limited in the Original Indenture as
at the time supplemented and modified, may be issued from time to time pursuant to the Indenture as at the time supplemented and modified; and 
  
 WHEREAS, all conditions necessary to authorize the execution and delivery of this Thirteenth Supplemental Indenture and to make it a valid and binding
obligation of the Company have been done or performed. 
  
 NOW,
THEREFORE, in consideration of the agreements and obligations set forth herein and for other good and valuable consideration, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows: 
  
 ARTICLE I 
 2006 SERIES B 6.0% SENIOR NOTES DUE 2036 
  
 SECTION 101. Establishment. There is hereby established a new series of Securities to be issued under the Indenture, to be designated as the
Company’s 2006 Series B 6.0% Senior Notes Due 2036, (the “Series B Senior Notes”). 
  
 There are to be initially authenticated and delivered $550,000,000 principal amount of Series B Senior Notes, and such principal amount of the Series B
Senior Notes may be increased from time to time pursuant to Section 301 of the Indenture. All Series B Senior Notes need not be issued at the same time and such series may be reopened at any time, without the consent of any Holder, for
issuances of additional Series B Senior Notes. Any such additional Series B 

 Senior Notes will have the same interest rate, maturity and other terms as those initially issued. Further Series B
Senior Notes may also be authenticated and delivered as provided by Sections 304, 305, 306, 906 and 1106 of the Original Indenture. 
  
 The Series B Senior Notes shall be issued in definitive fully registered form without coupons, in substantially the form set out in Exhibit A
hereto. The entire initially issued principal amount of the Series B Senior Notes shall initially be evidenced by one or more certificates issued to Cede & Co., as nominee for The Depository Trust Company. 
  
 The form of the Trustee’s Certificate of Authentication for the Series B
Senior Notes shall be in substantially the form set forth in Exhibit B hereto. 
  
 Each Series B Senior Note shall be dated the date of authentication thereof and shall bear interest from the date of original issuance thereof or from the most recent Interest Payment Date to which interest has been
paid or duly provided for. 
  
 SECTION 102. Definitions.
The following defined terms used herein shall, unless the context otherwise requires, have the meanings specified below. Capitalized terms used herein for which no definition is provided herein shall have the meanings set forth in the Original
Indenture. 
  
 “Adjusted Treasury Rate” means, with
respect to any Redemption Date: (i) the yield, under the heading which represents the average for the immediately preceding week, appearing in the most recently published statistical release designated “H.15(519)” or any successor
publication which is published weekly by the Board of Governors of the Federal Reserve System and which establishes yields on actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant
Maturities,” for the maturity corresponding to the Comparable Treasury Issue (if no maturity is within three months before or after the Remaining Life, yields for the two published maturities most closely corresponding to the Comparable
Treasury Issue shall be determined and the Adjusted Treasury Rate shall be interpolated or extrapolated from such yields on a straight line basis, rounding to the nearest month); or (ii) if such release (or any successor release) is not
published during the week preceding the calculation date or does not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue, calculated using a price for the Comparable Treasury
Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 
  
 “Business Day” means a day other than (i) a Saturday or a Sunday, (ii) a day on which banks in New York, New York are authorized or
obligated by law or executive order to remain closed or (iii) a day on which the Corporate Trust Office is closed for business. 
  
 “Comparable Treasury Issue” means the United States Treasury security selected by an Independent Investment Banker as having a maturity
comparable to the remaining term of the Series B Senior Notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable
maturity to the remaining term of such Series B Senior Notes. 
  

 2 

 “Comparable Treasury Price” means (i) the average of the Reference Treasury Dealer
Quotations for any Redemption Date, after excluding the highest and lowest Reference Treasury Dealer Quotations, or (ii) if the Independent Investment Banker obtains fewer than five such Reference Treasury Dealer Quotations, the average of all
such quotations. 
  
 “Independent Investment Banker”
means J.P. Morgan Securities Inc., Lehman Brothers Inc. or Merrill Lynch, Pierce, Fenner & Smith Incorporated and their respective successors as selected by the Company, or if none of such firms is willing or able to serve as such, an
independent investment and banking institution of national standing appointed by the Company. 
  
 “Interest Payment Dates” means January 15 and July 15 of each year, commencing on July 15, 2006. 
  
 “Optional Redemption Price” has the meaning specified in Section 106. 
  
 “Original Issue Date” means January 13, 2006. 
  
 “Outstanding,” when used with respect to the Series B Senior Notes, means, as of the date of determination, all
Series B Senior Notes, theretofore authenticated and delivered under the Indenture, except: 
  
 (i) Series B Senior Notes theretofore canceled by the Trustee or delivered to the Trustee for cancellation; 
  
 (ii) Series B Senior Notes for whose payment at Maturity the necessary amount of money or money’s worth has been theretofore deposited (other than
pursuant to Section 1303 of the Original Indenture) with the Trustee or any Paying Agent (other than the Company) in trust or set aside and segregated in trust by the Company (if the Company shall act as its own Paying Agent) for the Holders of
such Series B Senior Notes; provided that, if such Series B Senior Notes are to be redeemed, notice of such redemption has been duly given pursuant to the Original Indenture or provision therefor satisfactory to the Trustee has been made;

  
 (iii) Series B Senior Notes with respect to which the Company
has effected Defeasance pursuant to Section 1302 of the Original Indenture; and 
  
 (iv) Series B Senior Notes that have been paid pursuant to Section 306 of the Original Indenture or in exchange for or in lieu of which other Series B Senior Notes have been authenticated and delivered pursuant
to the Indenture, other than any such Series B Senior Notes in respect of which there shall have been presented to the Trustee proof satisfactory to it that such Series B Senior Notes are held by a bona fide purchaser in whose hands such Series B
Senior Notes are valid obligations of the Company; provided, however, that in determining whether the Holders of the requisite principal amount of Outstanding Series B Senior Notes have given, made or taken any request, demand, authorization,
direction, notice, consent or waiver or other action hereunder as of any date, Series B Senior Notes owned by the Company or any other obligor upon the Series B Senior Notes or any Affiliate of the Company or such other obligor shall be disregarded
and deemed not to be Outstanding, except that, in determining whether the Trustee shall be protected in making any such determination or relying upon any such request, 
  

 3 

 demand, authorization, direction, notice, consent, waiver or other action only Series B Senior Notes which the Trustee
actually knows to be so owned shall be so disregarded. Series B Senior Notes so owned which shall have been pledged in good faith may be regarded as Outstanding if the pledgee establishes to the satisfaction of the Trustee (A) the
pledgee’s right so to act with respect to such Series B Senior Notes and (B) that the pledgee is not the Company or any other obligor upon the Series B Senior Notes or an Affiliate of the Company or such other obligor. 
  
 “Reference Treasury Dealer” means: (i) J.P. Morgan Securities
Inc., Lehman Brothers Inc. or Merrill Lynch, Pierce, Fenner & Smith Incorporated and their respective successors as selected by the Company; provided that, if any such firm or its successors ceases to be a primary U.S. Government securities
dealer in the United States (a “Primary Treasury Dealer”), the Company shall substitute another Primary Treasury Dealer; and (ii) up to four other Primary Treasury Dealers selected by the Company. 
  
 “Reference Treasury Dealer Quotations” means, with respect to each
Reference Treasury Dealer and any Redemption Date, the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted
in writing to the Independent Investment Banker at 5:00 p.m., New York City time, on the third Business Day preceding such Redemption Date. 
  
 “Regular Record Date” means, with respect to each Interest Payment Date, the close of business on the Business Day preceding such Interest
Payment Date; provided, that with respect to Series B Senior Notes that are not represented by one or more Global Securities, the Regular Record Date shall be the close of business on the 15th calendar day (whether or not a Business Day) preceding such Interest Payment Date. 
  
 “Remaining Life” means the remaining term of the Series B Senior Notes. 
  
 “Stated Maturity” means January 15, 2036. 
  
 SECTION 103. Payment of Principal and Interest. The principal of the
Series B Senior Notes shall be due at the Stated Maturity (unless earlier redeemed). The unpaid principal amount of the Series B Senior Notes shall bear interest at the rate of 6.0% per annum until paid or duly provided for, such interest to
accrue from the Original Issue Date or from the most recent Interest Payment Date to which interest has been paid or duly provided for. Interest shall be paid semi-annually in arrears on each Interest Payment Date to the Person in whose name the
Series B Senior Notes are registered on the Regular Record Date for such Interest Payment Date; provided that interest payable at the Stated Maturity of principal or on a Redemption Date as provided herein will be paid to the Person to whom
principal is payable. Any such interest that is not so punctually paid or duly provided for will forthwith cease to be payable to the Holders on such Regular Record Date and may either be paid to the Person or Persons in whose name the Series B
Senior Notes are registered at the close of business on a Special Record Date for the payment of such defaulted interest to be fixed by the Trustee (in accordance with Section 307 of the Original Indenture), notice whereof shall be given to
Holders of the Series B Senior Notes not less than ten (10) days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the requirements of any securities exchange, if any, on which the Series
B Senior Notes may be listed, and upon such notice as may be required by any such exchange, all as more fully provided in the Original Indenture. 
  

 4 

 Payments of interest on the Series B Senior Notes will include interest accrued to but excluding the
respective Interest Payment Dates. Interest payments for the Series B Senior Notes shall be computed and paid on the basis of a 360-day year of twelve 30-day months. In the event that any date on which interest is payable on the Series B Senior
Notes is not a Business Day, then payment of the interest payable on such date will be made on the next succeeding day that is a Business Day (and without any interest or payment in respect of any such delay), in each case with the same force and
effect as if made on the date the payment was originally payable. 
  
 Payment of the principal and interest on the Series B Senior Notes shall be made at the office of the Paying Agent in such currency of the United States of America as at the time of payment is legal tender for payment of public and private
debts, with any such payment that is due at the Stated Maturity of any Series B Senior Notes or on a Redemption Date being made upon surrender of such Series B Senior Notes to the Paying Agent. Payments of interest (including interest on any
Interest Payment Date) will be made, subject to such surrender where applicable, at the option of the Company, (i) by check mailed to the address of the Person entitled thereto as such address shall appear in the Security Register or
(ii) by wire transfer at such place and to such account at a banking institution in the United States as may be designated in writing to the Trustee at least sixteen (16) days prior to the date for payment by the Person entitled thereto.
In the event that any date on which principal and interest is payable on the Series B Senior Notes is not a Business Day, then payment of the principal and interest payable on such date will be made on the next succeeding day that is a Business Day
(and without any interest or payment in respect of any such delay), in each case with the same force and effect as if made on the date the payment was originally payable. 
  
 SECTION 104. Denominations. The Series B Senior Notes may be issued in denominations of $1,000, or any integral
multiple thereof. 
  
 SECTION 105. Global Securities. The
Series B Senior Notes will be issued initially in the form of one or more Global Securities registered in the name of the Depositary (which shall be The Depository Trust Company) or its nominee. Except under the limited circumstances described
below, Series B Senior Notes represented by such Global Securities will not be exchangeable for, and will not otherwise be issuable as, Series B Senior Notes in definitive form. The Global Securities described above may not be transferred except by
the Depositary to a nominee of the Depositary or by a nominee of the Depositary to the Depositary or another nominee of the Depositary or to a successor Depositary or its nominee. 
  
 Owners of beneficial interests in such a Global Security will not be considered the Holders thereof for any purpose under
the Indenture, and no Global Security representing a Series B Senior Note shall be exchangeable, except for another Global Security of like denomination and tenor to be registered in the name of the Depositary or its nominee or to a successor
Depositary or its nominee or except as described below. The rights of Holders of such Global Security shall be exercised only through the Depositary. 
  

 5 

 A Global Security shall be exchangeable for Series B Senior Notes registered in the names of persons
other than the Depositary or its nominee only if (i) the Depositary notifies the Company that it is unwilling or unable to continue as a Depositary for such Global Security and no successor Depositary shall have been appointed by the Company
within 90 days of receipt by the Company of such notification, or if at any time the Depositary ceases to be a clearing agency registered under the Exchange Act at a time when the Depositary is required to be so registered to act as such Depositary
and no successor Depositary shall have been appointed by the Company within 90 days after it becomes aware of such cessation, or (ii) the Company in its sole discretion and subject to the procedures of the Depositary determines that such Global
Security shall be so exchangeable. Any Global Security that is exchangeable pursuant to the preceding sentence shall be exchangeable for Series B Senior Notes registered in such names as the Depositary shall direct. 
  
 SECTION 106. Redemption. The Series B Senior Notes are redeemable, in
whole or in part, at any time, and at the option of the Company, at a Redemption Price (“Optional Redemption Price”) equal to the greater of: 
  
 (i) 100% of the principal amount of Series B Senior Notes then Outstanding to be so redeemed, or 
  
 (ii) the sum of the present values of the remaining scheduled payments of
principal and interest thereon (not including any portion of such payments of interest accrued as of the Redemption Date) discounted to the Redemption Date on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the
Adjusted Treasury Rate, plus 25 basis points, as calculated by an Independent Investment Banker, 
  
 plus, in either of the above cases, accrued and unpaid interest thereon to the Redemption Date. 
  
 The Adjusted Treasury Rate shall be calculated on the third Business Day
preceding the Redemption Date. 
  
 Notwithstanding
Section 1104 of the Original Indenture, (x) notice of redemption under this Section 106 shall with respect to the Series B Senior Notes be given by first-class mail, postage prepaid, mailed not less than 20 nor more than 60 days prior
to the Redemption Date, to each Holder of Series B Senior Notes to be redeemed, at his address appearing in the Security Register, and (y) the notice of such redemption need not set forth the Redemption Price but only the manner of calculation
thereof. The Company shall notify the Trustee of the Redemption Price promptly after the calculation thereof and the Trustee shall have no responsibility for such calculation. 
  
 SECTION 107. Sinking Fund. The Series B Senior Notes shall not have a sinking fund. 
  
 SECTION 108. Additional Interest. Any principal of and installment of
interest on the Series B Senior Notes that is overdue shall bear interest at the rate of 6.0% (to the extent that the payment of such interest shall be legally enforceable), from the dates such amounts are due until they are paid or made available
for payment, and such interest shall be payable on demand. 
  

 6 

 SECTION 109. Paying Agent. The Trustee shall initially serve as Paying Agent with respect to the
Series B Senior Notes, with the Place of Payment initially being the Corporate Trust Office of the Trustee. 
  
 ARTICLE II 
 MISCELLANEOUS PROVISIONS 
  
 SECTION 201. Recitals by Company. The recitals in this Thirteenth
Supplemental Indenture are made by the Company only and not by the Trustee, and all of the provisions contained in the Original Indenture in respect of the rights, privileges, immunities, powers and duties of the Trustee shall be applicable in
respect of the Series B Senior Notes and of this Thirteenth Supplemental Indenture as fully and with like effect as if set forth herein in full. 
  
 SECTION 202. Ratification and Incorporation of Original Indenture. As supplemented hereby, the Original Indenture is in all respects ratified and
confirmed, and the Original Indenture and this Thirteenth Supplemental Indenture shall be read, taken and construed as one and the same instrument. 
  
 SECTION 203. Executed in Counterparts. This Thirteenth Supplemental Indenture may be executed in several counterparts, each of which shall be
deemed to be an original, and such counterparts shall together constitute but one and the same instrument. 
  
 SECTION 204. Assignment. The Company shall have the right at all times to assign any of its rights or obligations under the Indenture with respect
to the Series B Senior Notes to a direct or indirect wholly-owned subsidiary of the Company; provided that, in the event of any such assignment, the Company shall remain fully liable for the performance of all such obligations. The Indenture may
also be assigned by the Company in connection with a transaction described in Article Eight of the Original Indenture. 
  

 7 

 IN WITNESS WHEREOF, each party hereto has caused this instrument to be signed in its name and behalf by
its duly authorized officer, all as of the day and year first above written. 
  

			
	VIRGINIA ELECTRIC AND POWER COMPANY
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	JPMORGAN CHASE BANK, N.A. (FORMERLY KNOWN AS THE CHASE MANHATTAN BANK), as Trustee
		
	By:	 	  

	Name:	 	  

	Title:	 	  

  

 8 

 EXHIBIT A 
  

FORM OF 
 2006 SERIES B 6.0% SENIOR
NOTE 
 DUE 2036 
  
 [UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) TO THE ISSUER
OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF [CEDE & CO.] OR SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY AND ANY
PAYMENT IS MADE TO [CEDE & CO.], ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, [CEDE & CO.,] HAS AN INTEREST HEREIN.]** 
  
 [THIS SERIES B SENIOR NOTE IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY
OR A NOMINEE THEREOF. THIS SERIES B SENIOR NOTE MAY NOT BE EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS SERIES B SENIOR NOTE IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH
DEPOSITARY OR A NOMINEE THEREOF, EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.]** 
  

  
 VIRGINIA ELECTRIC AND 
 POWER COMPANY 
  

  
 $                     
 2006 SERIES B 6.0% SENIOR NOTE 
 DUE 2036 
  

			
	No. R-	 	CUSIP No. 927804 FA 7

  
 Virginia Electric and
Power Company, a corporation duly organized and existing under the laws of Virginia (herein called the “Company,” which term includes any successor Person under the Indenture hereinafter referred to), for value received, hereby promises to
pay to [Cede & Co.] **, or registered assigns (the “Holder”), the principal
sum of             Dollars ($            ) on January 15, 2036 and to pay interest thereon from
January 13, 2006 or from the most recent Interest Payment Date to which interest has been paid or duly provided for, semi-annually in arrears on 

	**	Insert in Global Securities. 

 January 15, and July 15 of each year, commencing on July 15, 2006, at the rate of 6.0% per annum,
until the principal hereof is paid or made available for payment, provided that any principal, and any such installment of interest, that is overdue shall bear interest at the rate of 6.0% per annum (to the extent that the payment of such
interest shall be legally enforceable), from the dates such amounts are due until they are paid or made available for payment, and such interest shall be payable on demand. The interest so payable, and punctually paid or duly provided for, on any
Interest Payment Date will, as provided in such Indenture, be paid to the Person in whose name this Series B Senior Note (or one or more Predecessor Securities) is registered at the close of business on the Regular Record Date for such interest,
which shall be the close of business on the Business Day preceding such Interest Payment Date; provided, that with respect to Series B Senior Notes that are not represented by one or more Global Securities, the Regular Record Date shall be
the close of business on the 15th calendar day (whether or not a Business Day) preceding such Interest Payment Date,
provided, that interest payable at the Stated Maturity of principal or on a Redemption Date will be paid to the Person to whom principal is payable. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to
the Holder on such Regular Record Date and may either be paid to the Person in whose name this Series B Senior Note (or one or more Predecessor Securities) is registered at the close of business on a Special Record Date for the payment of such
Defaulted Interest to be fixed by the Trustee, notice whereof shall be given to Holders of Series B Senior Notes not less than 10 days prior to such Special Record Date, or be paid at any time in any other lawful manner not inconsistent with the
requirements of any securities exchange on which the Series B Senior Notes may be listed, and upon such notice as may be required by such exchange, all as more fully provided in said Indenture. 
  
 Payments of interest on the Series B Senior Notes will include interest
accrued to but excluding the respective Interest Payment Dates. Interest payments for the Series B Senior Notes shall be computed and paid on the basis of a 360-day year of twelve 30-day months. In the event that any date on which interest is
payable on the Series B Senior Notes is not a Business Day, then payment of the interest payable on such date will be made on the next succeeding day that is a Business Day (and without any interest or payment in respect of any such delay), in each
case with the same force and effect as if made on the date the payment was originally payable. 
  
 Payment of the principal of and premium, if any, and interest on this Series B Senior Note will be made at the office of the Paying Agent, in the Borough of Manhattan, City and State of New York, in such coin or
currency of the United States of America as at the time of payment is legal tender for payment of public and private debts, with any such payment that is due at the Stated Maturity of any Series B Senior Note or upon redemption being made upon
surrender of such Series B Senior Note to such office or agency; provided, however, that at the option of the Company payment of interest, subject to such surrender where applicable, may be made (i) by check mailed to the address of the Person
entitled thereto as such address shall appear in the Security Register or (ii) by wire transfer at such place and to such account at a banking institution in the United States as may be designated in writing to the Trustee at least sixteen
(16) days prior to the date for payment by the Person entitled thereto. 
  
 Reference is hereby made to the further provisions of this Series B Senior Note set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as if set forth at this place.

  

 2 

 Unless the certificate of authentication hereon has been executed by the Trustee referred to on the
reverse hereof by manual signature, this Series B Senior Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose. 
  
 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 
  

					
	 Dated:
	 	 Virginia Electric and Power Company

			
	 	 	 By:
	 	  

	 	 	 Name:
	 	  

	 	 	 Title:
	 	  

  
 (SEAL) 
 Attest: 

			
	  

	 Name:
	 	  

	 [Assistant] Corporate Secretary

  

 3 

 [REVERSE OF SERIES B 6.0% SENIOR NOTE] 
  
 This Security is one of a duly authorized issue of securities of the Company
(herein called the “Securities”), issued and to be issued in one or more series under an Indenture, dated as of June 1, 1998, as heretofore supplemented and amended and as further supplemented by a Thirteenth Supplemental Indenture
dated as of January 1, 2006 (collectively, as amended or supplemented from time to time, herein called the “Indenture,” which term shall have the meaning assigned to it in such instrument), between the Company and JPMorgan Chase Bank,
N. A. (formerly known as The Chase Manhattan Bank), as Trustee (herein called the “Trustee,” which term includes any successor trustee under the Indenture), and reference is hereby made to the Indenture for a statement of the respective
rights, limitations of rights, duties and immunities thereunder of the Company, the Trustee and the Holders of the Securities and of the terms upon which the Securities are, and are to be, authenticated and delivered. This Security is one of the
series designated on the face hereof (the “Series B Senior Notes”) which is unlimited in aggregate principal amount. 
  
 The Series B Senior Notes are redeemable, in whole or in part, at any time in the manner and with the effect provided in the Indenture. 
  
 If an Event of Default with respect to Series B Senior Notes shall occur and
be continuing, the principal of the Series B Senior Notes may be declared due and payable in the manner and with the effect provided in the Indenture. 
  
 The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations of the
Company and the rights of the Holders of the Securities of each series to be affected under the Indenture at any time by the Company and the Trustee with the consent of the Holders of a majority in principal amount of the Securities at the time
Outstanding of each series to be affected. The Indenture also contains provisions permitting the Holders of specified percentages in principal amount of the Securities of each series at the time Outstanding, on behalf of the Holders of all
Securities of such series, to waive certain past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder of this Series B Senior Note shall be conclusive and binding upon such Holder and upon all future Holders
of this Series B Senior Note and of any Series B Senior Note issued upon the registration of transfer hereof or in exchange therefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Series B Senior Note.

  
 As provided in and subject to the provisions of the Indenture,
the Holder of this Series B Senior Note shall not have the right to institute any proceeding with respect to the Indenture or for the appointment of a receiver or trustee or for any other remedy thereunder, unless such Holder shall have previously
given the Trustee written notice of a continuing Event of Default with respect to the Series B Senior Notes, the Holders of not less than a majority in principal amount of the Series B Senior Notes at the time Outstanding shall have made written
request to the Trustee to institute proceedings in respect of such Event of Default as Trustee and offered the Trustee reasonable indemnity, and the Trustee shall not have received from the Holders of a majority in principal amount of Series B
Senior Notes at the time Outstanding a direction inconsistent with such request, and shall have failed to institute any such proceeding for 60 days after receipt of such notice, request and offer of indemnity. The foregoing shall not apply to any
suit instituted by the Holder of this Series B Senior Note for the enforcement of any payment of principal hereof or premium, if any, or interest hereon on or after the respective due dates expressed or provided for herein. 
  

 4 

 No reference herein to the Indenture and no provision of this Series B Senior Note or of the Indenture
shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of, premium, if any, and interest on this Series B Senior Note at the times, place and rate, and in the coin or currency, herein
prescribed. 
  
 As provided in the Indenture and subject to
certain limitations therein set forth, the transfer of this Series B Senior Note is registrable in the Security Register, upon surrender of this Series B Senior Note for registration of transfer at the office or agency of the Company in any place
where the principal of, premium, if any, and interest on this Series B Senior Note are payable, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Company and the Security Registrar duly executed by, the
Holder hereof or his attorney duly authorized in writing, and thereupon one or more new Series B Senior Notes and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the designated transferee or
transferees. 
  
 The Series B Senior Notes are issuable only in
registered form without coupons in denominations of $1,000 and any integral multiple thereof. As provided in the Indenture and subject to certain limitations therein set forth, Series B Senior Notes are exchangeable for a like aggregate principal
amount of Series B Senior Notes having the same Stated Maturity and of like tenor of any authorized denominations as requested by the Holder upon surrender of the Series B Senior Note or Series B Senior Notes to be exchanged at the office or agency
of the Company. 
  
 No service charge shall be made for any such
registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection therewith. 
  
 Prior to due presentment of this Series B Senior Note for registration of transfer, the Company, the Trustee and any agent
of the Company or the Trustee may treat the Person in whose name this Security is registered as the owner hereof for all purposes, whether or not this Series B Senior Note be overdue, and neither the Company, the Trustee nor any such agent shall be
affected by notice to the contrary. 
  
 All terms used in this
Series B Senior Note that are defined in the Indenture shall have the meanings assigned to them in the Indenture. 
  

 5 

 ABBREVIATIONS 
  
 The following abbreviations, when used in the inscription on the face of this instrument, shall be construed as though they were written out in full according to
applicable laws or regulations: 
  

					
	TEN COM -	 	as tenants in common	 	 
			
	TEN ENT -	 	as tenants by the entireties	 	 
		
	JT TEN -	 	as joint tenants with rights of survivorship and not as tenants in common
			
	UNIF GIFT MIN ACT -	 	  

	 	Custodian for
	 	 	(Cust)	 	 
			
	 	 	  

	 	 
	 	 	(Minor)	 	 
			
	 	 	Under Uniform Gifts to Minors Act of	 	 
			
	 	 	  

	 	 
	 	 	(State)	 	 

  
 Additional abbreviations may also be used though not on the above list. 
  
  
 ___________________________________________________________ 
  

 6 

 FOR VALUE RECEIVED, the undersigned hereby sell(s) and transfer(s) unto 
  
 _________________________________________________________________________________________________________. 
  
 (please insert Social Security or other identifying number of assignee) 
  
 _________________________________________________________________________________________________________. 
  
 _________________________________________________________________________________________________________. 
  
 _________________________________________________________________________________________________________. 
  
 PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING POSTAL ZIP CODE OF ASSIGNEE 
  

the within Series B Senior Note and all rights thereunder, hereby irrevocably constituting and appointing 
  
 _________________________________________________________________________________________________________. 
  
 _________________________________________________________________________________________________________. 
  
 _________________________________________________________________________________________________________. 
  
  
  
 _________________________________________________________________________________________________________. 
  
 _________________________________________________________________________________________________________. 
  
 _________________________________________________________________________________________________________. 
  
 agent to transfer said Series B Senior Note on the books of the Company, with full power of
substitution in the premises. 
  
 Dated:
                         ,          
  

	
	  

  
 NOTICE: The signature to this
assignment must correspond with the name as written upon the face of the within instrument in every particular without alteration or enlargement, or any change whatever. 
  

 7 

 EXHIBIT B 
 CERTIFICATE OF AUTHENTICATION 
  
 This is one of the Securities of the series designated therein referred to in the within-mentioned Indenture. 
  

			
	 JPMORGAN CHASE BANK, N.A.

	(formerly known as The Chase Manhattan Bank), as Trustee
		
	 By:
	 	  

	 	 	 Authorized OfficerEmployment , Nondisclosure and Non-Compete Agreement dated June 1, 2004

 EXHIBIT 10(am) 
  
 EMPLOYMENT, NONDISCLOSURE AND NON-COMPETE AGREEMENT 
  
 EMPLOYMENT, NONDISCLOSURE AND NON-COMPETE AGREEMENT
(“Agreement”) made and entered into as of this 1st day of June 2004 by and between RICHARDSON ELECTRONICS, LTD., a Delaware corporation with its principal place of business located at 40W267 Keslinger Road, P.O. Box 393, LaFox, IL
60147-0393 (the “Employer”), and DAVID J. GILMARTIN, an individual whose current residence address is 437 S. Hawthorne, Elmhurst, IL 60126 (“Employee”). 
  
 RECITALS 
  
 WHEREAS, the Employer desires to employ Employee upon the terms and conditions stated herein; and 
  
 WHEREAS, Employee desires to be so employed by the Employer at the
salary and benefits provided for herein; and 
  
 WHEREAS,
Employee acknowledges and understands that during the course of his employment, Employee has and will become familiar with certain confidential information of the Employer which provides Employer with a competitive advantage in the marketplace in
which it competes, is exceptionally valuable to the Employer, and is vital to the success of the Employer’s business; and 
  
 WHEREAS, the Employer and Employee desire to protect such confidential information from disclosure to third parties or its use to the detriment of
the Employer; and 
  
 WHEREAS, the Employee acknowledges
that the likelihood of disclosure of such confidential information would be substantially reduced, and that legitimate business interests of the Employer would be protected, if Employee refrains from competing with the Employer and from soliciting
its customers and employees during and following the term of the Agreement, and Employee is willing to covenant that he will refrain from such actions. 
  
 NOW THEREFORE, in consideration of the promises and of the mutual covenants and agreements hereinafter set forth, the parties hereto acknowledge
and agree as follows: 
  
 ARTICLE ONE 
  
 NATURE AND TERM OF EMPLOYMENT 
  
 1.01 Employment. The Employer hereby agrees to employ Employee and
Employee hereby accepts employment as the Employer’s Vice President and Assistant Corporation Counsel and such other positions as agreed upon by the parties. 
  
 1.02 Term of Employment. Employee’s employment pursuant to this Agreement shall commence on July 1, 2004 or
such other date, sooner or later, as the parties may agree and, subject to the other provisions of this Agreement, the term of such employment (the “Employment Term”) shall continue indefinitely on an “at will” basis. 

 
 1.03 Duties. Employee shall perform such duties and
responsibilities in connection with the Company’s Legal Department as may be assigned by the General Counsel, or such other person as the Employer may designate from time to time and Employee will adhere to the policies and procedures of the
Employer, including, without limitation, its Code of Conduct, and will follow the supervision and direction of Employer’s General Counsel or such other person as the Employer may designate from time to time in the performance of such duties and
responsibilities. Employee agrees to devote his full working time, attention and energies to the diligent and satisfactory performance of his duties hereunder and to developing and improving the business and best interests of the Company. Employee
will use all reasonable efforts to promote and protect the good name of the Company and will comply with all of his obligations, undertakings, promises, covenants and agreements as set forth in this Agreement. Employee will not, during the
Employment Term or during any period during which Employee is receiving payments pursuant to Article 2 and/or Section 5.04, engage in any activity 

  

 1 

 
which would have, or reasonably be expected to have, an adverse affect on the Employer’s reputation, goodwill or business relationships or which would
result, or reasonably be expected to result, in economic harm to the Employer. 
  
 ARTICLE TWO 
  
 COMPENSATION AND BENEFITS 
  
 For all services to be
rendered by Employee in any capacity hereunder (including as an officer, director, committee member or otherwise of the Employer or any parent or subsidiary thereof or any division of any thereof) on behalf of the Employer, the Employer agrees to
pay Employee so long as he is employed hereunder, and the Employee agrees to accept, the compensation set forth below. 
  
 2.01 Base Salary. During the term of Employee’s employment hereunder, the Employer shall pay to Employee an annual base salary (“Base
Salary”) at the rate of One Hundred Seventy Thousand and 00/100 Dollars ($170,000.00), payable in installments as are customary under the Employer’s payroll practices from time to time. The Employer at its sole discretion may, but is not
required to, review and adjust the Employee’s Base Salary from year to year; provided, however, that, except as may be expressly consented otherwise in writing by Employee, Employer may not decrease Employee’s Base Salary. No additional
compensation shall be payable to Employee by reason of the number of hours worked or by reason of hours worked on Saturdays, Sundays, holidays or otherwise. 
  
 2.02 Incentive Plan. During the term of the Employee’s employment hereunder, the Employee shall be a participant in the Corporate Bonus Plan,
as modified from time to time (the “Annual Incentive Plan”) and paid a bonus (“Bonus”) pursuant thereto. The Employee’s “target bonus percentage” for purposes of the Annual Incentive Plan shall be twenty-five
percent (25%). Such Bonus shall be determined and paid strictly in accordance with the Annual Incentive Plan as modified or reduced by Employer at its discretion, and for any partial fiscal year the Bonus shall be computed and paid only for the
portion of the fiscal year Employee is employed hereunder. 
  
 2.03 Auto Allowance. During the term of the Employee’s employment hereunder, the Employee shall be paid an auto allowance in accordance with Employer’s auto allowance plan for corporate executives as modified from time to
time. 
  
 2.04 Initial Stock Award and Future Option. On
the commencement date of Employee’s employment under this agreement he will be granted a Stock Award under Employer’s Incentive Compensation Plan for 1,405 shares that will vest in five equal annual installments over five years beginning
one year from the grant date. Employee will participate in the Employer’s Performance Based Management Stock Option Plan for Fiscal Year 2005 under the Employer’s Incentive Compensation Plan with a target base number of shares of 5,000. It
is contemplated that if Employee becomes the Employer’s General Counsel he will the participate in such Performance Based management Stock Option Plan, if and as it then may exist, at a share level that is commensurate with other executive
staff participants at the vice president level. 
  
 2.05 Other
Benefits. Employer will provide Employee such benefits (other than bonus, auto allowance, severance and cash incentive compensation benefits) as are generally provided by the Employer to its other employees, including but not limited to,
health/major medical insurance, dental insurance, disability insurance, life insurance, sick days and other employee benefits (collectively “Other Benefits”), all in accordance with the terms and conditions of the applicable Other Benefits
Plans as in effect from time to time. Nothing in this Agreement shall require the Employer to maintain any benefit plan, nor prohibit the Employer from modifying any such plan as it sees fit from time to time. It is only intended that Employee shall
be entitled to participate in any such plan offered for which he may qualify under the terms of any such plan as it may from time to time exist, in accordance with the terms thereof. 
  
 2.06 Disability. Any compensation Employee receives under any disability benefit plan provided by Employer during any
period of disability, injury or illness shall be in lieu of the compensation which Employee would otherwise receive under Article Two during such period of disability, injury or sickness. 
  
 2.07 Withholding. All salary, bonus and other payments described in this Agreement shall be subject to 

  

 2 

 
withholding for federal, state or local taxes, amounts withheld under applicable benefit policies or programs, and any other amounts that may be required to
be withheld by law, judicial order or otherwise. 
  
 ARTICLE
THREE 
  
 CONFIDENTIAL INFORMATION

 RECORDS AND 
 REPUTATION 
  
 3.01 Definition of
Confidential Information. For purposes of this Agreement, the term “Confidential Information” shall mean all of the following materials and information (whether or not reduced to writing and whether or not patentable) to which Employee
receives or has received access or develops or has developed in whole or in part as a direct or indirect result of his employment with Employer or through the use of any of Employer’s facilities or resources: 
  

	 	(1)	Marketing techniques, practices, methods, plans, systems, processes, purchasing information, price lists, pricing policies, quoting procedures, financial information, customer
names, contacts and requirements, customer information and data, product information, supplier names, contacts and capabilities, supplier information and data, and other materials or information relating to the manner in which Employer, its
customers and/or suppliers do business; 

  

	 	(2)	Discoveries, concepts and ideas, whether patentable or not, or copyrightable or not, including without limitation the nature and results of research and development activities,
processes, formulas, techniques, “know-how,” designs, drawings and specifications; 

  

	 	(3)	Any other materials or information related to the business or activities of Employer which are not generally known to others engaged in similar businesses or activities or which
could not be gathered or obtained without significant expenditure of time, effort and money; and 

  

	 	(4)	All inventions and ideas that are derived from or relate to Employee’s access to or knowledge of any of the above enumerated materials and information.

  
 The Confidential Information shall not include any materials or
information of the types specified above to the extent that such materials or information are publicly known or generally utilized by others engaged in the same business or activities in the course of which Employer utilized, developed or otherwise
acquired such information or materials and which Employee has gathered or obtained (other than on behalf of the Employer) after termination of his employment with the Employer from such other public sources by his own expenditure of significant
time, effort and money after termination of his employment with the Employer. Failure to mark any of the Confidential Information as confidential shall not affect its status as part of the Confidential Information under the terms of this Agreement.

  
 3.02 Ownership of Confidential Information. Employee
agrees that the Confidential Information is and shall at all times remain the sole and exclusive property of Employer. Employee agrees immediately to disclose to Employer all Confidential Information developed in whole or part by him during the term
of his employment with Employer and to assign to Employer any right, title or interest he may have in such Confidential Information. 
  
 Without limiting the generality of the foregoing, every invention, improvement, product, process, apparatus, or design which Employee may take, make, devise or conceive,
individually or jointly with others, during the period of his employment by the Employer, whether during business hours or otherwise, which relates in any manner to the business of the Employer either now or at any time during the period of his
employment), or which may be related to the Employer in connection with its business (hereinafter collectively referred to as “Invention”) shall belong to and be the exclusive property of the Employer and Employee will make full and prompt
disclosure to the Employer of every Invention. Employee will assign to the Employer, or its nominee, every Invention and Employee will execute all assignments and other instruments or documents and do all other things necessary and proper to confirm
the Employer’s right and title in and to every Invention; and Employee will perform all proper acts within his power necessary or desired by the Employer 

  

 3 

 
to obtain letters patent in the name of the Employer (at the Employer’s expense) for every Invention in whatever countries the Employer may desire,
without payment by the Employer to Employee of any royalty, license fee, price or additional compensation. 
  
 3.03. Non Disclosure of Confidential Information. Except as required in the faithful performance of Employee’s duties hereunder (or as
required by law), during the term of his employment with Employer and for a period after the termination of such employment until the Confidential Information no longer meets the definition set forth above of Confidential Information with respect to
Employee, Employee agrees not to directly or indirectly reveal, report, publish, disseminate, disclose or transfer any of the Confidential Information to any person or entity, or utilize for himself or any other person or entity any of the
Confidential Information for any purpose (including, without limitation, in the solicitation of existing Employer customers or suppliers), except in the course of performing duties assigned to him by Employer. Employee further agrees to use his best
endeavors to prevent the use for himself or others, or dissemination, publication, revealing, reporting or disclosure of, any Confidential Information. 
  
 3.04 Protection of Reputation. Employee agrees that he will at no time, either during his employment with the Employer or at any time after
termination of such employment, engage in conduct which injures, harms, corrupts, demeans, defames, disparages, libels, slanders, destroys or diminishes in any way the reputation or goodwill of the Employer, its subsidiaries, or their respective
shareholders, directors, officers, employees, or agents, or the services provided by the Employer or the products sold by the Employer, or its other properties or assets, including, without limitation, its computer systems hardware and software and
its data or the integrity and accuracy thereof. 
  
 3.05
Records and Use of Employer Facilities. All notes, data, reference materials, memoranda and records, including, without limitation, data on the Employer’s computer system, computer reports, products, customers and suppliers lists and
copies of invoices, in any way relating to any of the Confidential Information or Employer’s business (in whatever form existing, including, without limit, electronic) shall belong exclusively to Employer, and Employee agrees to maintain them
in a manner so as to secure their confidentiality and to turn over to Employer all copies of such materials (in whole or in part) in his possession or control at the request of Employer or, in the absence of such a request, upon the termination of
Employee’s employment with Employer. Upon termination of Employee’s employment with Employer, Employee shall immediately refrain from seeking access to Employer’s (a) telephonic voice mail, E-mail or message systems,
(b) computer system and (c) computer data bases and software. The foregoing shall not prohibit Employee from using Employer’s public Internet (not intranet) site. 
  
 ARTICLE FOUR 
  
 NON-COMPETE AND NON-SOLICITATION COVENANTS 
  
 4.01 Non-Competition and Non-Solicitation. Employee acknowledges that it may be very difficult for him to avoid using or disclosing the
Confidential Information in violation of Article Three above in the event that he is employed by any person or entity other than the Employer in a capacity similar or related to the capacity in which he is employed by the Employer. Accordingly,
Employee agrees that he will not, during the term of employment with Employer and for a period of one (1) year after the termination of such employment, irrespective of the time, manner or cause of such termination, directly or indirectly
(whether or not for compensation or profit): 
  

	 	(1)	Engage in any business or enterprise the nature of any part of which is competitive with any part of that of the Employer (a “Prohibited Business”); provided that,
performing services solely as legal counsel for a “Prohibited Business” shall not considered a violation of Section 4.01; or 

  

	 	(2)	Participate as an officer, director, creditor, promoter, proprietor, associate, agent, employee, partner, consultant, legal counsel, sales representative or otherwise, or promote or
assist, financially or otherwise, or directly or indirectly own any interest in any person or entity involved in any Prohibited Business; or 

  

	 	(3)	 Canvas, call upon, solicit, entice, persuade, induce, respond to, or otherwise deal with, directly or indirectly, any individual or entity which, during
Employee’s term of employment with the Employer, 

  

 4 

	 	 
was or is a customer or supplier, or proposed customer or supplier, of the Employer whom Employee called upon or dealt with, or whose account Employee
supervised, for any of the following purposes: 

  

	 	(a)	to purchase (with respect to customers) or to sell (with respect to suppliers) products of the types or kinds sold by the Employer or which could be substituted for (including, but
not limited to, rebuilt products), or which serve the same purpose or function as, products sold by the Employer (all of which products are herein sometimes referred to, jointly and severally, as “Prohibited Products”), or

  

	 	(b)	to request or advise any such customer or supplier to withdraw, curtail or cancel its business with the Employer; or 

  

	 	(4)	For himself or for or through any other individual or entity call upon, solicit, entice, persuade, induce or offer any individual who, during Employee’s term of employment with
the Employer, was an employee or sales representative or distributor of the Employer, employment by, or representation as sales agent or distributor for, any one other than the Employer, or request or advise any such employee or sales agent or
distributor to cease employment with or representation of the Employer, and Employee shall not approach, respond to, or otherwise deal with any such employee or sales representative or distributor of Employer for any such purpose, or authorize or
knowingly cooperate with the taking of any such actions by any other individual or entity. 

  
 4.02 Obligation Independent. Each obligation of each subparagraph and provision of Section 4.01 shall be independent of any obligation under
any other subparagraph or provision hereof or thereof. 
  
 4.03
Public Stock. Nothing in Section 4.01, however, shall prohibit Employee from owning (directly or indirectly through a parent, spouse, child or other relative or person living in the same household with Employee or any of the foregoing),
as a passive investment, up to 1% of the issued and outstanding shares of any class of stock of any publicly traded company. 
  
 4.04 Business Limitation. If, at the termination of Employee’s employment and for the entire period of twelve (12) months prior thereto
his duties and responsibilities are limited by the Employer so that he is specifically assigned to, or responsible for, one or more divisions, subsidiaries or business units of the Employer, then subparagraphs (1) through (3) of
Section 4.01 shall apply only to any business which competes with the business of such divisions, subsidiaries or business units. 
  
 4.05 Area Limitation. If at the termination of Employee’s employment and for the entire period of twelve (12) months prior thereto he or
he has responsibility for only a designated geographic area, then subparagraphs (1) through (3) of Section 4.01 shall apply only within such area. 
  
 ARTICLE FIVE 
  
 TERMINATION 
  
 5.01 Termination of Employee for Cause. The Employer shall have the right to terminate Employee’s employment at any time for
“cause.” Prior to such termination, the Employer shall provide Employee with written notification of any and all allegations constituting “cause” and the Employee shall be given five (5) working days after receipt of such
written notification to respond to those allegations in writing. Upon receipt of the Employee’s response, the Employer shall meet with the Employee to discuss the allegations. 
  
 For purposes hereof, “cause” shall mean (i) an act or acts of personal dishonesty taken by the Employee and
intended to result in personal enrichment of the Employee, (ii) material violations by the Employee of the Employee’s obligations or duties under, or any terms of, this Agreement, which are not remedied in a reasonable period (not to
exceed ten (10) days) after receipt of written notice thereof from the Employer, (iii) any violation by the Employee of any of the provisions of Articles Three or Four, or (iv) Employee being charged, indicted or convicted (by trial,
guilty or no contest 

  

 5 

 
plea or otherwise) of (a) a felony, (b) any other crime involving moral turpitude, or (c) any violation of law which would impair the ability
of the Employer or any affiliate to obtain any license or authority to do any business deemed necessary or desirable for the conduct of its actual or proposed business. 
  
 5.02 Termination of Employee Because of Employee’s Disability, Injury or Illness. The Employer shall have the
right to terminate Employee’s employment if Employee is unable to perform the duties assigned to him by the Employer because of Employee’s disability, injury or illness, provided however, such inability must have existed for a total of one
hundred eighty (180) consecutive days before such termination can be made effective. Any compensation Employee receives under any disability benefit plan provided by Employer during any period of disability, injury or illness shall be in lieu
of the compensation which Employee would otherwise receive under Article Two during such period of disability, injury or sickness. 
  
 5.03 Termination as a Result of Employee’s Death. The obligations of the Employer to Employee pursuant to this Agreement shall automatically
terminate upon Employee’s death. 
  
 5.04 Termination of
Employee for any Other Reason. The Employer shall have the right to terminate Employee’s employment at any time at will for any reason upon (a) six months prior written notice to Employee if the notice of termination is given to
Employee prior to or on July 1, 2005, or (b) one year prior written notice to Employee if the notice of termination is given to Employee after July 1, 2005. 
  
 5.05 Termination by Employee. Subject to the provisions of Articles Three and Four above, Employee may terminate his
employment by the Employer at any time by written notice to Employer. 
  
 5.06 Compensation on Termination. If Employee’s employment is terminated under Sections 5.01, 5.02 or 5.03 above, the Employer’s obligation to pay Employee’s Base Salary, Auto Allowance and Bonus pursuant to the Annual
Incentive Plan shall cease on the date on which the termination of employment occurs and shall be prorated and accrued to the date of termination. Employer’s obligations and Employee’s rights with respect to Stock Awards, Options and Other
Benefits shall be governed by the provisions of the plans under which they are granted. 
  
 If Employee’s employment is terminated under Section 5.04 (a) the Employer shall be obligated to continue to pay to Employee his then current Base Salary accrued up to and including the date on which
Executive’s employment is so terminated, (b) the Employer shall continue to pay Auto Allowance and Bonus, in accordance with the terms of the Annual Incentive Plan under which it is them being paid, accrued up to and including the date on
which Employee’s employment is so terminated, and (c) Employer’s obligations and Employee’s rights with respect to Stock Awards, Options and Other Benefits shall be governed by the provisions of the plans under which they are
granted and paid or provided to the date on which Employee’s employment is so terminated. 
  
 If Employee’s employment is terminated under Section 5.05, subject to its rights as specified in Section 1.02, (a) the Employer shall be obligated to continue to pay to Employee his then current
Base Salary accrued up to and including the date on which Executive’s employment is so terminated, (b) the Employer shall continue to pay Auto Allowance and Bonus, in accordance with the terms of the Annual Incentive Plan under which it is
them being paid, accrued up to and including the date notice of termination is given under such Section, and (c) Employer’s obligations and Employee’s rights with respect to Stock Awards, Options and Other Benefits shall be governed
by the provisions of the plans under which they are granted and paid or provided to the date on which Employee’s employment is so terminated. 
  
 ARTICLE SIX 
  
 REMEDIES 
  
 6.01 Employee acknowledges that the restrictions contained in this Agreement will not prevent him from obtaining such other gainful employment he may
desire to obtain or cause him any undue hardship and are reasonable and necessary in order to protect the legitimate interests of employer and that violation thereof would result in irreparable injury to Employer. Employee therefor acknowledges and
agrees that in the event of a breach or threatened breach by Employee of the provisions of Article Three or Article Four or Section 1.03, Employer shall be entitled to seek an 

  

 6 

 
injunction restraining Employee from such breach or threatened breach and Employee shall lose all rights to receive any payments under Section 5.04.
Nothing herein shall be construed as prohibiting or limiting Employer from pursuing any other remedies available to Employer for such breach or threatened breach; the rights hereinabove mentioned being in addition to and not in substitution of such
other rights and remedies. The period of restriction specified in Article Four shall abate during the time of any violation thereof, and the portion of such period remaining at the commencement of the violation shall not begin to run until the
violation is cured. If Employer is unsuccessful on the merits of such action, the restriction shall terminate upon termination of such action. 
  
 6.02 Survival. The provisions of this Article Six and of Articles Three and Four shall survive the termination or expiration of this Agreement.

  
 ARTICLE SEVEN 
  
 MISCELLANEOUS 
  
 7.01 Assignment. Employee and Employer acknowledge and agree that the
covenants, terms and provisions contained in this Agreement constitute a personal employment contract and the rights and obligations of the parties thereunder cannot be transferred, sold, assigned, pledged or hypothecated, excepting that the rights
and obligations of the Employer under this Agreement may be assigned or transferred pursuant to a sale of the business, merger, consolidation, share exchange, sale of substantially all of the Employer’s assets or of the business unit or
division for which Employee is performing services, or other reorganization described in Section 368 of the Code, or through liquidation, dissolution or otherwise, whether or not the Employer is the continuing entity, provided that the
assignee, or transferee is the successor to all or substantially all of the assets of the Employer or of the business unit or division for which Employee is performing services and such assignee or transferee assumes the rights and duties of the
Employer, if any, as contained in this Agreement, either contractually or as a matter of law. 
  
 7.02 Severability. Should any of Employee’s obligations under this Agreement or the application of the terms or provisions of this Agreement to any person or circumstances, to any extent, be found illegal,
invalid or unenforceable in any respect, such illegality, invalidity or unenforceability shall not affect the other provisions of this Agreement, all of which shall remain enforceable in accordance with their terms, or the application of such terms
or provisions to persons or circumstances other than those to which it is held illegal, invalid or unenforceable. Despite the preceding sentence, should any of Employee’s obligations under this Agreement be found illegal, invalid or
unenforceable because it is too broad with respect to duration, geographical or other scope, or subject matter, such obligation shall be deemed and construed to be reduced to the maximum duration, geographical or other scope, and subject matter
allowable under applicable law. 
  
 The covenants of Employee in
Articles Three and Four and each subparagraph of Section 4.01 are of the essence of this Agreement; they shall be construed as independent of any other provision of this Agreement; and the existence of any claim or cause of action of Employee
against the Employer, whether predicated on the Agreement or otherwise shall not constitute a defense to enforcement by the Employer of any of these covenants. The covenants of Employee shall be applicable irrespective of whether termination of
employment hereunder shall be by the Employer or by Employee, whether voluntary or involuntary, or whether for cause or without cause. 
  
 7.03 Notices. Any notice, request or other communication required to be given pursuant to the provisions hereof shall be in writing and shall be
deemed to have been given when delivered in person or three (3) days after being deposited in the United States mail, certified or registered, postage prepaid, return receipt requested and addressed to the party at its or his last known
addresses. The address of any party may be changed by notice in writing to the other parties duly served in accordance herewith. 
  
 7.04 Waiver. The waiver by the Employer or Employee of any breach of any term or condition of this Agreement shall not be deemed to constitute the
waiver of any other breach of the same or any other term or condition hereof. Failure by any party to claim any breach or violation of any provision of this Agreement shall not constitute a precedent or be construed as a waiver of any subsequent
breaches hereof. 
  

 7 

 7.05 Continuing Obligation. The obligations, duties and liabilities of Employee pursuant to
Articles Three and Four of this Agreement are continuing, absolute and unconditional and shall remain in full force and effect as provided herein and survive the termination of this Agreement. 
  
 7.06 No Conflicting Obligations or Use. Employer does not desire to
acquire from Employee any secret or confidential know-how or information which he may have acquired from others nor does it wish to cause a breach of any non compete or similar agreement to which Employee may be subject. Employee represents and
warrants that (i) other than for this Agreement, he is not subject to or bound by any confidentiality agreement or non disclosure or non compete agreement or any other agreement having a similar intent, effect or purpose, and (ii) he is
free to use and divulge to Employer, without any obligation to or violation of any right of others, any and all information, data, plans, ideas, concepts, practices or techniques which he will use, describe, demonstrate, divulge, or in any other
manner make known to Employer during the performance of services. 
  
 7.07 Attorneys Fees. In the event that Employee has been found to have violated any of the terms of Articles Three or Four of this Agreement either after a preliminary injunction hearing or a trial on the merits or otherwise,
Employee shall pay to the Employer the Employer’s costs and expenses, including attorneys fees, in enforcing the terms of Articles Three or Four of this Agreement. In the event that Employee has been found to not to have violated any of the
terms of Articles Three or Four of this Agreement either after a preliminary injunction hearing or a trial on the merits or otherwise, Employer shall pay to the Employee the Employee’s costs and expenses, including attorneys fees, in defending
the action. 
  
 7.08 Advise New Employers. During
Employee’s employment with the Employer and for one (1) year thereafter, Employee will communicate the contents of Articles Three and Four to any individual or entity which Employee intends to be employed by, associated with, or represent
which is engaged in a business which is competitive to the business of Employer. 
  
 7.09 Captions. The captions of Articles and Sections this Agreement are inserted for convenience only and are not to be construed as forming a part of this Agreement. 
  
 EMPLOYEE ACKNOWLEDGES THAT HE HAS READ AND FULLY UNDERSTANDS EACH AND
EVERY PROVISION OF THE FOREGOING AND DOES HEREBY ACCEPT AND AGREE TO THE SAME. 
  
 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above. 
  

					
	 EMPLOYEE
	  	EMPLOYER
	 	  	 	  	 
	 	  	 	  	 
	
	  	By:	  	

	 	  	Title:	  	

  

 8 

 EXHIBIT A 
  

ANNUAL INCENTIVE PLAN 
  

 9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00096-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00096-of-00352.parquet"}]]