Document:

To:   R. Dean Wolfe
From: Brian Keck and Tom Cody
Date: July 20, 2005

You currently have an employment agreement and a change in control severance
agreement (hereinafter "CIC agreement").  Federated and May would like you to
stay and help with the transition following the date of the merger.  We want
you to have some specific assurances concerning your CIC agreement.  The
following assurances are premised on the assumption that the merger between
Federated and May occurs as expected.

First, Federated and May will honor your employment agreement and your CIC
agreement.  Those agreements will remain in effect in accordance with their
terms.  Equally important, we believe that after the change in control, there
will be a significant adverse alteration in the nature or status of your
responsibilities so that we agree that Good Reason under your CIC agreement
will be deemed to have occurred whenever your employment subsequently
terminates (without cause, as defined in the CIC agreement).  Voluntary
termination will not be deemed to be cause, provided that at such time, there
are no grounds on which the Company could terminate your employment for cause,
as defined in the CIC agreement.

However, Federated and May want you to agree to stay through a release date, to
help in the transition.

- Your release date would be thirty days after the date of the merger
  (hereinafter "Release Date").

- You would help in the transition in your current position as Executive Vice
  President of Acquisitions and Real Estate of May by providing the transition
  services requested by May or Federated.

We think that your willingness to work through the Release Date will help the
people you work with, the people who report to you and the ongoing business.

In exchange for your agreement to work on the transition until the Release
Date, we want to give you the following additional assurances.

Before the Release Date,

  - you and Federated may agree to regular, full-time employment, on terms
    acceptable to you, or

  - you and Federated may agree to extend the transition period on terms
    acceptable to you, or

  - if neither of those two events occurs, your employment will terminate no
    later than the Release Date and you will be paid all amounts payable under
    the CIC arrangements and the other benefits you accrue through your Release
    Date or termination date as outlined below.

During the transition period,

  - your base pay will not be less than your base pay in effect prior to the
    change in control and your bonus opportunity and benefits (excluding annual
    equity grants) will be consistent with those provided to you before the
    change in control (subject to applicable plan limits and provisions in the
    merger agreement).

  - you will continue to participate in, and your service and compensation will
    count under, all of May's benefit plans, including the retirement plan,
    SRP, and PSP.

  - If you work through the Release Date, your bonus for each full and partial
    year during the transition period will be the higher of target or actual.
    In the case of a partial year, your bonus will be calculated based on the
    Portion of the year preceding your Release Date or termination date, as
    applicable.  This bonus will be coordinated with any bonus payments made
    pursuant to the Merger Agreement so that no duplication of bonus payment
    occurs.

Termination before the Release Date:

  - If May or Federated terminates your employment involuntarily (without
    cause, as defined in the CIC agreement) before the Release Date, we will
    give you at least 30 days advance notice in writing, and

    - we will pay you the salary and bonus (at the higher of target or actual)
      through your Release Date,

    - your service through the Release Date will count for purposes of the SRP,
      retirement plan and PSP, and

    - we will pay you all amounts payable under the CIC agreement as of your
      termination date.

  - If you voluntarily quit after March 1, 2006 and before your then-current
    Release Date, and give us at least 30 days notice in writing, provided that
    at such time there are no grounds on which the Company could terminate your
    employment for cause, as defined in the CIC agreement,

    - we will pay your salary and actual bonus, if any is owed through your
      voluntary termination date,

    - your service through your voluntary termination date will count for
      purposes of the SRP, the retirement plan and the PSP, and

    - we will pay you all amounts payable under the CIC agreement as of your
      voluntary termination date.

  - If you die during the time you are providing transition services hereunder
    but before the Release Date, your CIC agreement and death benefits under
    your life insurance arrangements will become payable and you will be paid a
    bonus at the higher of target or actual through the date of death.

  - If you become disabled and entitled to long-term disability benefits under
    May's long-term disability plan during the time you are providing
    transition services hereunder but before the Release Date, your CIC
    agreement and long-term disability benefits under May's long-term
    disability plan will become payable and you will be paid a bonus at the
    higher of target or actual through the date of eligibility for long term
    disability benefits.

  - If we terminate your employment involuntarily with cause, as defined in the
    CIC agreement, you will not receive any payments under the CIC agreement or
    pursuant to this letter.

We know that there are still several matters to be worked out in the future,
and some that could change.  We are still working on ways that we may be able
to understand the potential impact of excise taxes and alternatives we may
have.  In addition, we anticipate that the IRS will issue guidance about new
"deferred compensation" rules, which may drive us to change some features in
order to minimize adverse tax consequences for you.  For example, to permit you
to avoid certain tax penalties under the deferred compensation rules, we may
propose (subject to your consent) that payments to you be delayed for six (6)
months following a termination of your employment, if you are a "key employee"
under the tax regulations.  In any event, you will be responsible for the tax
consequences of all payments and benefits that are provided to you.

Furthermore, if you and Federated ultimately agree to a regular, full-time
position, we would expect to reflect that in a formal, detailed agreement.
Until then, you may rely on the assurances in this letter.

Please sign the enclosed copy of this letter to indicate your agreement to
provide the transition services on the basis described above.

The May Department Stores Company         Federated Department Stores, Inc.

/s/ Brian L. Keck                         /s/ Thomas G. Cody
Brian L. Keck                             Thomas G. Cody

Agreed to:

/s/ R. Dean Wolfe / 8-29-05Exhibit 10.1(b)

         Schedule of Secured Convertible Note (new financing) Issued by
              NCT Group, Inc. to Carole Salkind on August 24, 2005

                                                                     Conversion
        Issue Date           Due Date           Principal              Price
      -------------      --------------      ---------------       -------------
        08/24/05            02/24/06          $  300,000             $ 0.008Exhibit 10.2(b)

          Schedule of Secured Convertible Note (refinancing) Issued by
              NCT Group, Inc. to Carole Salkind on August 24, 2005

                                                                     Conversion
        Issue Date           Due Date           Principal              Price
      -------------      --------------      ---------------       -------------
        08/24/05            02/24/06         $  979,259.94            $ 0.008Exhibit 10.3(b)

                  Schedule of Warrant (new financing) Issued by
              NCT Group, Inc. to Carole Salkind on August 24, 2005

                         Expiration           Exercise           Shares
       Grant Date            Date               Price            Granted
       ----------        -----------        -----------        -----------
        08/24/05           08/24/10           $ 0.008           10,000,000Exhibit 10.4(b)

                   Schedule of Warrant (refinancing) Issued by
              NCT Group, Inc. to Carole Salkind on August 24, 2005

                         Expiration           Exercise           Shares
       Grant Date            Date               Price            Granted
       ----------       ------------         ----------        -----------
        08/24/05          08/24/10            $ 0.008           16,250,000ACCESSION AGREEMENT dated as of August 30, 2005, between FEDERATED RETAIL HOLDINGS, INC

EXHIBIT 10.1

ACCESSION AGREEMENT dated as of August 30, 2005, between FEDERATED RETAIL HOLDINGS, INC. and JPMORGAN CHASE BANK, N.A., as Paying Agent.

        Reference is made to the Credit Agreement dated as of July 18, 2005 (as amended, supplemented or otherwise modified from time to time, the "Credit Agreement"), among Federated Department Stores, Inc. ("FDSI"), Federated Retail Holdings, Inc. (the "Borrower"), the Lenders party thereto, JPMorgan Chase Bank, N.A. and Bank of America, N.A., as Administrative Agents and JPMorgan Chase Bank, N.A., as Paying Agent.  Capitalized terms used herein and not otherwise defined herein shall have the meanings assigned to such terms in the Credit Agreement.  The Lenders have agreed to extend credit to the Borrower subject to the terms and conditions set forth in the Credit Agreement.  The obligations of the Lenders to extend such credit are conditioned upon, among other things, the execution and delivery of this Agreement.  Accordingly, the parties hereto agree as follows:

           
SECTION 1. The Borrower by its signature below hereby accedes to the Credit Agreement and the Guarantee Agreement and shall hereafter have the rights and obligations of the Borrower thereunder with the same force and effect as if it had executed and delivered counterparts thereof and agrees to all the terms and provisions of the Credit Agreement and the Guarantee Agreement applicable to it as the Borrower thereunder.  The Borrower hereby represents and warrants that the representations and warranties made by it as the Borrower under the Credit Agreement are true and correct on and as of the date hereof.

           
SECTION 2. This Agreement may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single contract.  Delivery of an executed signature page to this Agreement by facsimile transmission shall be as effective as delivery of a manually signed counterpart of this Agreement.  This Agreement shall become effective when the Paying Agent shall have received a counterpart of this Agreement that bears the signature of the Borrower and the Paying Agent has executed a counterpart hereof.

           
SECTION 3. The Credit Agreement and the Guarantee Agreement shall remain in full force and effect.

           
SECTION 4. This Agreement shall be governed by, and construed in accordance with, the laws of the State of New York.

           
SECTION 5. All communications and notices hereunder shall be in writing and given as provided in Section 9.01 of the Credit Agreement.

 

        IN WITNESS WHEREOF, the Borrower and the Paying Agent have duly executed this Agreement as of the day and year first above written.

	
FEDERATED RETAIL HOLDINGS, INC.,

	 
	
By  /s/  Brian M. Szames

	
Name:  Brian M. Szames

	
Title:  Vice President and Treasurer

 

	
JPMORGAN CHASE BANK, N.A.,

	
as Paying Agent

	 
	
By:  /s/ Barry Bergman

	
Name:  Barry Bergman

	
Title: Managing Director

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