Document:

EX-10.51 Warrant Clarification Agreement

 

Exhibit 10.51

WARRANT CLARIFICATION AGREEMENT

     This Warrant Clarification Agreement (this “Agreement”), dated as of September 30,
2007, between 180 Connect Inc., a Delaware corporation (f/k/a Ad.Venture Partners, Inc., a Delaware
corporation) (the “Company”) and Continental Stock Transfer & Trust Company, a New York Corporation
(“Continental Stock Transfer & Trust Company”), is to the Warrant Agreement, dated as of August 25,
2005 (the “Warrant Agreement”), by and between Ad.Venture Partners, Inc. and Continental
Stock Transfer & Trust Company.

     WHEREAS, Section 3.3(ii) of the Warrant Agreement provides that the Company shall not be
obligated to deliver any securities pursuant to the exercise of a warrant unless a registration
statement under the Securities Act of 1933, as amended (the “Securities Act”), with respect
to the common stock is effective.

     WHEREAS, as a result of certain questions that have arisen regarding the accounting treatment
applicable to the warrants, the parties hereto deem it necessary and desirable to amend the Warrant
Agreement to clarify that the registered holders do not have the right, and never had the right, to
receive a net cash settlement in the event the Company does not maintain a current prospectus
relating to the common stock issuable upon exercise of the warrants at the time such warrants are
exercisable.

     NOW, THEREFORE, in consideration of the mutual agreements contained herein and other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and intending
to be legally bound hereby, the parties hereto agree to amend the Warrant Agreement as set forth
herein.

     1. Warrant Agreement.

          (a) For the avoidance of doubt, the Warrant Agreement is hereby amended by adding the
following as Section 3.5 to the Warrant Agreement:

     “Furthermore, if the Company is unable to deliver any securities pursuant to the
exercise of a Warrant as a result of the foregoing situations, the Company will have no
obligation, under any circumstance, to pay such registered holder any cash or other
consideration or otherwise “net cash settle” the Warrant.”

          (b) The Warrant Agreement is hereby further amended by deleting Section 9.2 in its entirety
and replacing it with the following:

     “9.2. Notices. Any notice, statement or demand authorized by this Warrant
Agreement to be given or made by the Warrant Agent or by the holder of any Warrant to or on
the Company shall be sufficiently given when so delivered if by hand or overnight delivery
or if sent by certified mail or private courier service within five days after deposit of
such notice, postage prepaid, addressed (until another address is filed in writing by the
Company with the Warrant Agent), as follows:

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180 Connect Inc.

6501 East Belleview Avenue

Suite 50

Englewood, CO 80111

Attn : Chairman

     Any notice, statement or demand authorized by this Agreement to be given or made by the
holder of any Warrant or by the Company to or on the Warrant Agent shall be sufficiently
given when so delivered if by hand or overnight delivery or if sent by certified mail or
private courier service within five days after deposit of such notice, postage prepaid,
addressed (until another address is filed in writing by the Warrant Agent with the Company),
as follows:

Continental Stock Transfer & Trust Company

17 Battery Place

New York, New York 10004

Attn : Compliance Department

with a copy in each case to:

McDermott Will & Emery

340 Madison Avenue

New York, New York 10173

Attn : Mark Selinger, Esq.

     2. Miscellaneous.

          (a) Governing Law. The validity, interpretation, and performance of this Agreement
and of the Warrants shall be governed in all respects by the laws of the State of New York, without
giving effect to conflicts of law principles that would result in the application of the
substantive laws of another jurisdiction. The Company hereby agrees that any action, proceeding or
claim against it arising out of or relating in any way to this Agreement shall be brought and
enforced in the courts of the State of New York or the United States District Court for the
Southern District of New York, and irrevocably submits to such jurisdiction, which jurisdiction
shall be exclusive. The Company hereby waives any objection to such exclusive jurisdiction and
that such courts represent an inconvenient forum. Any such process or summons to be served upon
the Company may be served by transmitting a copy thereof by registered or certified mail, return
receipt requested, postage prepaid, addressed to it at the address set forth in Section 9.2 of the
Warrant Agreement. Such mailing shall be deemed personal service and shall be legal and binding
upon the Company in any action, proceeding or claim.

          (b) Binding Effect. This Agreement shall be binding upon and inure to the benefit of
the parties hereto and to their respective heirs, legal representatives, successors and assigns.

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          (c) Entire Agreement. This Agreement sets forth the entire agreement and
understanding between the parties as to the subject matter thereof and merges and supersedes all
prior discussions, agreements and understandings of any and every nature among them. Except as
set forth in this Agreement, provisions of the Warrant Agreement which are not inconsistent with
this Agreement shall remain in full force and effect. This Agreement may be executed in
counterparts.

          (d) Severability. This Agreement shall be deemed severable, and the invalidity or
unenforceability of any term or provision hereof shall not affect the validity or enforceability of
this Agreement or of any other term or provision hereof. Furthermore, in lieu of any such invalid
or unenforceable term or provision, the parties hereto intend that there shall be added as part of
this Agreement a provision as similar in terms to such invalid or unenforceable provision as may be
possible and be valid and enforceable.

[signature page follows]

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     IN WITNESS WHEREOF, the parties hereto have executed this Warrant Clarification Agreement as
of the date first written above.

	 	 	 	 	 
	 	180 CONNECT INC.

 	 
	 	By:  	 	 
	 	 	Name: 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	CONTINENTAL STOCK TRANSFER & TRUST COMPANY

 	 
	 	By:  	 	 
	 	 	Name: 	 
	 	 	Title:  	 	 
	 

4Ex-10.1

 

Exhibit
10.1

NACCO INDUSTRIES, INC.

2008 ANNUAL INCENTIVE COMPENSATION PLAN

1. Purpose of the Plan

     The purpose of the NACCO Industries, Inc. 2008 Annual Incentive Compensation Plan (the “Plan”)
is to further the profits and growth of NACCO Industries, Inc. (the “Company”) by enabling the
Company to attract and retain key employees of the Company by offering annual incentive
compensation to those key employees who will be in a position to help the Company to meet its
financial and business objectives.

2. Definitions

     (a) “Award” means cash paid to a Participant under the Plan for the Award Term in an amount
determined in accordance with Section 4. A Participant’s Award shall be equal to the sum of his
40% Award and his 60% Award, as further described in Section 4.

     (b) “Award Term” means the period from January 1, 2008 through December 31, 2008.

     (c) “60% Base Amount” means for any Participant a dollar amount, which shall be equal to the
salary midpoint for the Salary Points assigned to the Participant by the Committee for the Award
Term multiplied by 60% of the short-term incentive compensation target percent for those Salary
Points. Attached hereto as Exhibit A is a schedule listing the 60% Base Amount for each
Participant for the Award Term.

     (d) “40% Base Amount” means for any Participant a dollar amount, which shall be equal to the
salary midpoint for the Salary Points assigned to the Participant by the Committee for the Award
Term multiplied by 40% of the short-term incentive compensation target percent for those Salary
Points. Attached hereto as Exhibit B is a schedule listing the 40% Base Amount for each
Participant for the Award Term. Where applicable, the 40% Base Amount and the 60% Base Amount
shall be referred to herein collectively as the “Base Amount(s).”

     (e) “Committee” means the Compensation Committee of the Company’s Board of Directors or any
other committee appointed by the Company’s Board of Directors to administer this Plan in accordance
with Section 3, so long as any such committee consists of not less than two directors of the
Company and so long as each member of the Committee is not an employee of the Company or any of its
subsidiaries.

     (f) “Participant” means any person who is classified by the Company as a salaried employee,
who in the judgment of the Committee occupies a key position in which his efforts may significantly
contribute to the profits or growth of the Company; provided, however, that the Committee may
select any employee who is expected to contribute, or who has contributed, significantly to the
Company’s profitability to participate in the Plan and receive an Award hereunder; and further
provided, however, that following the end of the Award Term the Committee may make one or more
discretionary Awards to employees of the Company who were not previously designated as
Participants. Directors of the Company who are also employees of the Company are eligible to
participate in the Plan. Employees of the Company’s subsidiaries shall not be eligible to
participate in the Plan. The Committee shall have the power to add Participants at any later date
in the Award Term if individuals subsequently become eligible to participate in the Plan. Each
Participant shall be notified that he is eligible to receive a 60% Award and or a 40% Award for the
Award Term and the amount of his Base Amounts. If a Participant receives a change in Salary
Points, salary midpoint and/or short-term incentive compensation target percent, such change and
any resulting change in his Base Amount(s) will be reflected on an amended Exhibit A or
Exhibit B, as applicable. Unless otherwise determined by the Committee, a Participant must
be both employed by the Company and a Participant on December 31 of the Award Term, and the amount
of any

 

 

Award to a Participant who was not also employed by the Company and a Participant on the
first day of the Award Term shall be not more than the pro-rated amount based upon the number of
days actually employed by the Company in the Award Term. Attached hereto as Exhibit A  is
a schedule listing the Participants eligible for a 60% Award for the
Award Term and attached hereto as Exhibit B is a schedule listing the Participants
eligible for a 40% Award for the Award Term.

     (g) “Salary Points” means the salary points assigned to a Participant by the Committee
pursuant to the Hay salary point system, or any successor salary point system adopted by the
Committee.

     (h) “Supplemental Plan” means the NACCO Industries, Inc. Supplemental Annual Incentive
Compensation Plan.

3. Administration

     This Plan shall be administered by the Committee. The Committee shall have complete authority
to interpret all provisions of this Plan consistent with law, to prescribe the form of any
instrument evidencing any Award granted or paid under this Plan, to adopt, amend and rescind
general and special rules and regulations for its administration, and to make all other
determinations necessary or advisable for the administration of this Plan. A majority of the
Committee shall constitute a quorum, and the action of members of the Committee present at any
meeting at which a quorum is present or acts unanimously approved in writing, shall be the act of
the Committee. All acts and decisions of the Committee with respect to any questions arising in
connection with the administration and interpretation of this Plan, including the severability of
any or all of the provisions hereof, shall be conclusive, final and binding upon the Company and
all present and former Participants, all other employees of the Company, and their respective
descendants, successors and assigns. No member of the Committee shall be liable for any such act
or decision made in good faith.

4. Awards

     The Committee may, from time to time and upon such conditions as it may determine, authorize
Awards for Participants, which Awards shall be not inconsistent with, and shall be subject to all
of the requirements of, the following provisions:

     (a) Performance Targets. The Committee shall determine performance target
descriptions, weightings and targets for the Award Term. The targets applicable to the 60% Awards
shall be attached hereto as Exhibit C and the targets for the 40% Awards shall be attached
hereto as Exhibit D. The Committee shall have the power to add, delete and amend target
descriptions, weightings and targets during or after the Award Term, which shall be reflected on an
amended Exhibit C or Exhibit D, as applicable. No performance targets used in this
Plan which are applicable to a Participant hereunder shall be used in the Supplemental Plan in the
same year for such Participant.

     (b) 60% Awards. Following the end of the Award Term, the Committee shall compare the
actual performance against the performance targets for each of the performance target descriptions
in Exhibit C which are applicable to the 60% Awards. Based thereupon, the Committee shall
determine the total payout percentage under the Plan for the 60% Awards (the “60% Payout
Percentage”). The Committee shall then determine the 60% Award for each Participant, which shall
be equal to the Participant’s 60% Base Amount, multiplied by the 60% Payout Percentage, and further
adjusted by such other factors, including an individual performance factor for each Participant, as
the Committee shall determine are appropriate; provided, however, that no 60% Award may be made to
any Participant which exceeds 150% of his 60% Base Amount.

     (c) 40% Awards. The amount of the 40% Awards shall be determined in accordance with
the provisions of Exhibit D hereto.

 

 

     (d) Payment Provisions. Promptly following the approval of the final Awards, the
Company shall pay the amount of such Awards to the Participants in cash, subject to all
withholdings and deductions pursuant to Section 5; provided, however, that (i) no Award shall be
payable to a Participant except as determined by the Committee and (ii) all Awards shall be paid
during the period from January 1st through March 15th after the close of the
Award Term.

5. Withholding Taxes

     Any Award paid to a Participant under this Plan, shall be subject to all applicable federal,
state and local income tax, social security and other standard withholdings and deductions.

6. Amendment and Termination

     The Committee may alter or amend this Plan (including the Exhibits hereto) from time to time
or terminate it in its entirety; provided, however, that no such action shall, without the consent
of a Participant, affect the rights in an outstanding Award of such Participant.

7. General Provisions

     (a) No Right of Employment. Neither the adoption or operation of this Plan, nor any
document describing or referring to this Plan, or any part thereof, shall confer upon any employee
any right to continue in the employ of the Company, or shall in any way affect the right and power
of the Company to terminate the employment of any employee at any time with or without assigning a
reason therefor to the same extent as the Company might have done if this Plan had not been
adopted.

     (b) Governing Law. The provisions of this Plan shall be governed by and construed in
accordance with the laws of the State of Delaware.

     (c) Miscellaneous. Headings are given to the sections of this Plan solely as a
convenience to facilitate reference. Such headings, numbering and paragraphing shall not in any
case be deemed in any way material or relevant to the construction of this Plan or any provisions
thereof. The use of the masculine gender shall also include within its meaning the feminine. The
use of the singular shall also include within its meaning the plural, and vice versa.

     (d) American Jobs Creation Act. It is intended that this Plan be exempt from the
requirements of Section 409A of the Internal Revenue Code, as enacted by the American Jobs Creation
Act, and the Plan shall be interpreted and administered in a manner to give effect to such intent.

     (e) Limitation on Rights of Participants; No trust. No trust has been created by the
Company for the payment of Awards granted under this Plan; nor have the Participants been granted
any lien on any assets of the Company to secure payment of such benefits. This Plan represents
only an unfunded, unsecured promise to pay by the Company, and the Participants hereunder are
unsecured creditors of the Company.

     (f) Payment to Guardian. If an Award is payable to a minor, to a person declared
incompetent or to a person incapable of handling the disposition of his property, the Committee may
direct payment of such Award to the guardian, legal representative or person having the care and
custody of such minor, incompetent or person. The Committee may require such proof of
incompetency, minority, incapacity or guardianship as it may deem appropriate prior to the
distribution of such Award. Such distribution shall completely discharge the Company from all
liability with respect to such Award.

8. Effective Date

     This Plan shall become effective as of January 1, 2008.

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