Document:

exv10w2

 

Exhibit 10.2

VOTING AGREEMENT

BY AND AMONG

THE TORONTO-DOMINION BANK,

THE PARTIES LISTED

ON SCHEDULE A HERETO

AND

(SOLELY FOR PURPOSES OF SECTIONS 4.5 AND 5.2 HEREOF)

AMERITRADE HOLDING CORPORATION

DATED AS OF JUNE 22, 2005

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Page	 
	ARTICLE I	 	General	 	 	1	 
	 
	 	 	1.1.	 	 	Defined Terms	 	 	1	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE II	 	VOTING	 	 	4	 
	 
	 	 	2.1.	 	 	Agreement to Vote	 	 	4	 
	 
	 	 	2.2.	 	 	No Inconsistent Agreements	 	 	5	 
	 
	 	 	2.3.	 	 	Proxy	 	 	5	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE III	 	REPRESENTATIONS AND WARRANTIES	 	 	6	 
	 
	 	 	3.1.	 	 	Representations and Warranties of the Stockholders	 	 	6	 
	 
	 	 	3.2.	 	 	Representations and Warranties of TD	 	 	8	 
	 
	 	 	 	 	 	 	 	 	 	 
	ARTICLE IV	 	OTHER COVENANTS	 	 	9	 
	 
	 	 	4.1.	 	 	Prohibition on Transfers, Other Actions	 	 	9	 
	 
	 	 	4.2.	 	 	Stock Dividends, etc.	 	 	9	 
	 
	 	 	4.3.	 	 	No Solicitation	 	 	9	 
	 
	 	 	4.4.	 	 	Notice of Acquisitions, Proposals Regarding Prohibited Transactions	 	 	10	 
	 
	 	 	4.5.	 	 	Waiver of Conflicts, Rights Under Existing Stockholders Agreement;	 	 	 	 
	 
	 	 	 	 	 	Termination of Existing Stockholders Agreement	 	 	10	 
	 
	 	 	4.6.	 	 	Waiver of Right to Consent to Director Indemnification Agreements and	 	 	 	 
	 
	 	 	 	 	 	Investor Information Rights Agreements	 	 	11	 
	ARTICLE V	 	MISCELLANEOUS	 	 	11	 
	 
	 	 	5.1.	 	 	Termination	 	 	11	 
	 
	 	 	5.2.	 	 	Legends; Stop Transfer Order	 	 	11	 
	 
	 	 	5.3.	 	 	No Ownership Interest	 	 	12	 
	 
	 	 	5.4.	 	 	Notices	 	 	12	 
	 
	 	 	5.5.	 	 	Interpretation	 	 	13	 
	 
	 	 	5.6.	 	 	Counterparts	 	 	14	 
	 
	 	 	5.7.	 	 	Entire Agreement	 	 	14	 
	 
	 	 	5.8.	 	 	Governing Law; Consent to Jurisdiction; Waiver of Jury Trial	 	 	14	 
	 
	 	 	5.9.	 	 	Amendment; Waiver	 	 	15	 
	 
	 	 	5.10.	 	 	Remedies	 	 	15	 
	 
	 	 	5.11.	 	 	Severability	 	 	15	 
	 
	 	 	5.12.	 	 	Successors and Assigns; Third Party Beneficiaries	 	 	15	 
	 
	 	 	5.13.	 	 	Obligations Several	 	 	16	 
	 
	 	 	 	 	 	 	 	 	 	 
	Schedule A:	 	Stockholders	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	Exhibit A:	 	Form of Joinder Agreement	 	 	 	 

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INDEX OF DEFINED TERMS

	 	 	 	 	 
	 	 	Page	 
	Acquisition Proposal
	 	 	2	 
	Additional Proposal
	 	 	2	 
	Affiliate
	 	 	2	 
	Agreement
	 	 	1	 
	Ameritrade
	 	 	1	 
	Ameritrade Restated Bylaws
	 	 	2	 
	Ameritrade Restated Charter
	 	 	2	 
	Ameritrade Stock Issuance
	 	 	2	 
	Ameritrade Stockholders’ Meeting
	 	 	2	 
	Beneficial Ownership
	 	 	2	 
	Beneficially Own
	 	 	2	 
	Beneficially Owned
	 	 	2	 
	Closing
	 	 	2	 
	Closing Date
	 	 	2	 
	Common Stock
	 	 	1	 
	Control
	 	 	2	 
	Covered Shares
	 	 	3	 
	Encumbrance
	 	 	3	 
	Existing Shares
	 	 	3	 
	Existing Stockholders Agreement
	 	 	3	 
	Family Member
	 	 	3	 
	Governmental Authority
	 	 	3	 
	Joinder Agreement
	 	 	3	 
	Litigation
	 	 	14	 
	New Stockholders Agreement
	 	 	9	 
	Permitted Hedge
	 	 	3	 
	Permitted Pledge
	 	 	3	 
	Permitted Transfer
	 	 	4	 
	Person
	 	 	4	 
	Private Equity Investors
	 	 	1	 
	R Parties
	 	 	1	 
	Record Date
	 	 	4	 
	Representatives
	 	 	4	 
	Share Purchase
	 	 	4	 
	Share Purchase Agreement
	 	 	1	 
	SLP Investors
	 	 	1	 
	Stockholder
	 	 	1	 
	Stockholders
	 	 	1	 
	Subsidiary
	 	 	4	 
	TA Investors
	 	 	1	 
	TD
	 	 	1	 
	Transaction Agreements
	 	 	4	 
	Transfer
	 	 	4	 
	Waterhouse
	 	 	1	 

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VOTING AGREEMENT

          VOTING AGREEMENT, dated as of June 22, 2005 (this “Agreement”), by and among The
Toronto-Dominion Bank, a Canadian chartered bank (“TD”), the individuals and entities set
forth on Schedule A hereto under the heading “R Parties” (collectively, the “R Parties”),
the entities set forth on Schedule A hereto under the heading “TA Entities” (collectively, the
“TA Investors”), the entities set forth on Schedule A hereto under the heading “SLP
Entities” (collectively, the “SLP Investors” and, together with the TA Investors, the
“Private Equity Investors”) (each of the R Parties, each of the TA Investors, and each of
the SLP Investors, a “Stockholder”, and collectively, the “Stockholders”), and,
solely for the purposes of Sections 4.5 and 5.2 hereof, Ameritrade Holding Corporation, a Delaware
corporation (“Ameritrade”).

W I T N E S S E T H:

          WHEREAS, concurrently with the execution of this Agreement, Ameritrade and TD are entering
into an Agreement of Sale and Purchase, dated as of the date hereof (as amended, supplemented,
restated or otherwise modified from time to time, the “Share Purchase Agreement”) pursuant
to which, among other things, Ameritrade shall purchase from TD all of the capital stock of TD
Waterhouse Group, Inc., a Delaware corporation and a wholly-owned subsidiary of TD
(“Waterhouse”), and TD will receive, in consideration for its shares of Waterhouse capital
stock, shares of the common stock, par value $0.01 per share, of Ameritrade (the “Common
Stock”).

          WHEREAS, as of the date hereof, (i) the R Parties are the record and beneficial owners, in the
aggregate, of 105,718,442 shares of Common Stock, (ii) the TA Investors are the record and beneficial
owners, in the aggregate, of 18,967,767 shares of Common Stock, and (iii) the SLP Investors are the record
and beneficial owners, in the aggregate, of 11,466,209 shares of Common Stock.

          WHEREAS, as a condition and inducement to TD entering into the Share Purchase Agreement, TD
has required that the Stockholders agree, and the Stockholders have agreed, to enter into this
agreement and abide by the covenants and obligations with respect to the Covered Shares (as
hereinafter defined) set forth herein.

          NOW THEREFORE, in consideration of the foregoing and the mutual representations, warranties,
covenants and agreements herein contained, and intending to be legally bound hereby, the parties
hereto agree as follows:

ARTICLE I

GENERAL

     1.1.   Defined Terms. The following capitalized terms, as used in this Agreement,
shall have the meanings set forth below. Capitalized terms used but not otherwise defined herein
shall have the meanings ascribed thereto in the Share Purchase Agreement.

 

 

          “Acquisition Proposal” has the meaning set forth in the Share Purchase Agreement.

          “Additional Proposal” has the meaning set forth in the Share Purchase Agreement.

          “Affiliate” means, with respect to any Person, any other Person that directly, or
indirectly through one or more intermediaries, controls, is controlled by or is under common
control with, such specified Person; provided, however, that solely for purposes of
this Agreement, notwithstanding anything to the contrary set forth herein, neither Ameritrade nor
any of its Subsidiaries shall be deemed to be an Affiliate of any Stockholder, nor shall any
Stockholder be deemed to be an Affiliate of Ameritrade.

          “Ameritrade Restated Bylaws” has the meaning set forth in the Share Purchase
Agreement.

          “Ameritrade Restated Charter” has the meaning set forth in the Share Purchase
Agreement.

          “Ameritrade Stock Issuance” has the meaning set forth in the Share Purchase Agreement.

          “Ameritrade Stockholders’ Meeting ” has the meaning set forth in the Share Purchase
Agreement.

          “Beneficial Ownership” by a Person of any securities includes ownership by any Person
who, directly or indirectly, through any contract, arrangement, understanding, relationship or
otherwise, has or shares (i) voting power which includes the power to vote, or to direct the voting
of, such security; and/or (ii) investment power which includes the power to dispose, or to direct
the disposition, of such security; and shall otherwise be interpreted in accordance with the term
“beneficial ownership” as defined in Rule 13d-3 adopted by the Securities and Exchange Commission
under the Securities Exchange Act of 1934, as amended; provided that for purposes of
determining Beneficial Ownership, a Person shall be deemed to be the Beneficial Owner of any
securities which may be acquired by such Person pursuant to any agreement, arrangement or
understanding or upon the exercise of conversion rights, exchange rights, warrants or options, or
otherwise (irrespective of whether the right to acquire such securities is exercisable immediately
or only after the passage of time, including the passage of time in excess of 60 days, the
satisfaction of any conditions, the
occurrence of any event or any combination of the foregoing). The terms “Beneficially
Own” and “Beneficially Owned” shall have a correlative meaning.

          “Closing” has the meaning set forth in the Share Purchase Agreement.

          “Closing Date” has the meaning set forth in the Share Purchase Agreement.

          “control” (including the terms “controlled by” and “under common control
with”), with respect to the relationship between or among two or more Persons, means the
possession, directly or indirectly, of the power to direct or cause the direction of the affairs or

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management of a Person, whether through the ownership of voting securities, as trustee or executor,
by contract or any other means.

          “Covered Shares” means, with respect to each Stockholder, such Stockholder’s Existing
Shares, together with any shares of Common Stock or other voting capital stock of Ameritrade and
any securities convertible into or exercisable or exchangeable for shares of Common Stock or other
voting capital stock of Ameritrade, in each case that such Stockholder acquires Beneficial
Ownership of on or after the date hereof and prior to the Record Date.

          “Encumbrance” means any security interest, pledge, mortgage, lien (statutory or
other), charge, option to purchase, lease or other right to acquire any interest or any claim,
restriction, covenant, title defect, hypothecation, assignment, deposit arrangement or other
encumbrance of any kind or any preference, priority or other security agreement or preferential
arrangement of any kind or nature whatsoever (including any conditional sale or other title
retention agreement).

          “Existing Shares” means, with respect to each Stockholder, the number of shares of
Common Stock Beneficially Owned (and except as may be set forth on Schedule A hereto, owned of
record) by such Stockholder, as set forth opposite such Stockholder’s name on Schedule A hereto.

          “Existing Stockholders Agreement” means the Stockholders Agreement, dated as of April
6, 2002, by and among Ameritrade, the Ricketts Holders and the Datek Holders (as such terms are
defined therein).

          “Family Member” means, with respect to any natural Person, (i) a spouse, descendent,
or any other person related by blood, adoption or marriage to such Person or such Person’s spouse,
(ii) any trust, family partnership or limited liability company whose beneficiaries consist of such
Person and/or such Person’s spouse and/or any Person related by blood, marriage or adoption to such
Person or such Person’s spouse, and (iii) the estate or heirs of such Person.

          “Governmental Authority” has the meaning set forth in the Share Purchase Agreement.

          “Joinder Agreement” means an agreement in the form set forth in Exhibit A.

          “Permitted Hedge” means an equity derivative contract, including a prepaid or other
forward sale of securities, or other agreement to transfer an interest in Covered Shares, between a
Stockholder and a counterparty, provided that such counterparty executes and delivers to TD
a Joinder Agreement with respect to the securities which are the subject of such equity derivative
contract or other agreement; provided, further, in the case of any Permitted Hedge involving a Transfer to the Ricketts
Grandchildren Trust, that such Transfer is not part of a plan to avoid the provisions of Section
2.3 with respect to the Transferring party.

          “Permitted Pledge” means a bona fide pledge of securities, provided that the
Stockholder pledging such securities retains sole voting power with respect to the securities
subject to such pledge, and provided, further, that the pledgee of any such
securities executes and delivers to TD a Joinder Agreement with respect to the securities which are
the subject of such pledge.

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          “Permitted Transfer” means (i) a Transfer by a Stockholder who is a natural Person to
a Family Member of such Stockholder, provided that such transferee executes and delivers to
TD a Joinder Agreement with respect to the securities subject to such Transfer, provided, further, in the case of a Transfer to the Ricketts Grandchildren Trust, that such
Transfer is not part of a plan to avoid the provisions of Section 2.3 with respect to the
Transferring party; (ii) a Permitted
Pledge or (iii) a Permitted Hedge.

          “Person” means any individual, corporation, limited liability company, limited or
general partnership, joint venture, association, joint-stock company, trust, unincorporated
organization, government or any agency or political subdivision thereof or any other entity, or any
Group comprised of two or more of the foregoing.

          “Record Date” means the date fixed as the record date for the Ameritrade Stockholders’
Meeting and used for the purpose of mailing the SEC Proxy Statement, whether or not a subsequent
record date is established for such meeting.

          “Representatives” means the officers, directors, employees, agents, advisors and
Affiliates of a Person.

          “Share Purchase” means the purchase by Ameritrade of all of the outstanding capital
stock of Waterhouse pursuant to the Share Purchase Agreement.

          “Subsidiary” means, with respect to any Person, any corporation or other organization,
whether incorporated or unincorporated, (i) of which such Person or any other Subsidiary of such
Person is a general partner (excluding partnerships, the general partnership interests of which
held by such Person or any Subsidiary of such Person do not have a majority of the voting interests
in such partnership), or (ii) at least a majority of the securities or other interests of which
having by their terms ordinary voting power to elect a majority of the board of directors or others
performing similar functions with respect to such corporation or other organization is directly or
indirectly owned or controlled by such Person or by any one or more of its Subsidiaries, or by such
Person and one or more of its Subsidiaries.

          “Transaction Agreements” has the meaning set forth in the Share Purchase Agreement.

          “Transfer” means, directly or indirectly, to sell, transfer, assign, pledge, encumber,
hypothecate or similarly dispose of (by merger, by testamentary disposition, by operation of law or
otherwise), either voluntarily or involuntarily, or to enter into any contract, option or other
arrangement or understanding with respect to the sale, transfer, assignment, pledge, encumbrance,
hypothecation or similar disposition of (by merger, by testamentary disposition, by operation of
law or otherwise).

ARTICLE II

VOTING

     2.1.   Agreement to Vote. Each Stockholder hereby agrees that during the term of this
Agreement, at the Ameritrade Stockholders Meeting or any other meeting of the stockholders of

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Ameritrade, however called, including any adjournment or postponement thereof, or in connection
with any written consent of the stockholders of Ameritrade, such Stockholder shall, in each case to
the fullest extent that such Stockholder’s Covered Shares are entitled to vote thereon or consent
thereto, provided that a Change in Ameritrade Recommendation has not been effected:

          (a) appear at each such meeting or otherwise cause such Stockholder’s Covered Shares to be
counted as present thereat for purposes of calculating a quorum; and

          (b) vote (or cause to be voted), in person or by proxy, or deliver (or cause to be delivered)
a written consent covering, all of such Stockholder’s Covered Shares (i) in favor of the approval
of the Ameritrade Stock Issuance, the Ameritrade Restated Charter and any Additional Proposals and
if applicable, the election of directors designated in accordance with Section 5.13 of the Share
Purchase Agreement; (ii) against any action or agreement that such Stockholder believes would
result in a breach of any covenant, representation or warranty or any other obligation or agreement
of Ameritrade contained in the Share Purchase Agreement or any Transaction Agreement, or of any
Stockholder contained in this Agreement; and (iii) against any Acquisition Proposal or any other
action, agreement or transaction that is intended, or that such Stockholder believes is reasonably
likely, to materially impede, interfere with, delay, postpone, discourage or materially and
adversely affect the transactions contemplated by the Share Purchase Agreement, the Transaction
Agreements or this Agreement or the performance by such Stockholder of its obligations under this
Agreement, including: (A) any extraordinary corporate transaction, such as a merger, consolidation
or other business combination involving Ameritrade or its Subsidiaries (other than the Share
Purchase); (B) a sale, lease or transfer of a material amount of assets of Ameritrade or any of its
Subsidiaries or a reorganization, recapitalization or liquidation of Ameritrade or any of its
Subsidiaries; (C) an election of new members to the board of directors of Ameritrade, except as
provided in Section 5.13 of the Share Purchase Agreement or as required or permitted by the
Existing Stockholders Agreement; or (D) any material change in the present capitalization or
dividend policy of Ameritrade or any amendment or other change to Ameritrade’s certificate of
incorporation or bylaws other than those changes or amendments
contemplated by the Share Purchase Agreement, the Ameritrade Restated Charter and the
Ameritrade Restated Bylaws.

     2.2.   No Inconsistent Agreements. Each Stockholder hereby covenants and agrees that,
except for this Agreement and, in the case of clause (a) only, the Existing Stockholders Agreement,
such Stockholder (a) has not entered into, and shall not enter into at any time while this
Agreement remains in effect, any voting agreement or voting trust with respect to such
Stockholder’s Covered Shares that is inconsistent with the terms hereof and (b) has not granted,
and shall not grant at any time while this Agreement remains in effect, any proxy, or any consent
or power of attorney that is inconsistent with the terms hereof, in each case with respect to such
Stockholder’s Covered Shares.

     2.3.  
Proxy. Each Stockholder (other than the Ricketts Grandchildren
Trust) hereby irrevocably appoints as its proxy and
attorney-in-fact, W. Edmund Clark, J. David Livingston and Christopher A. Montague, in their
respective capacities as officers of TD, and any individual who shall hereafter succeed to any such
officer of TD, and any other Person designated in writing by TD, each of them individually, with
full power of substitution, to vote or execute written consents with respect to such Stockholder’s

5

 

Covered Shares in accordance with Section 2.1 hereof during the term of this Agreement,
provided that such proxy may only be exercised if such Stockholder fails to comply with the terms
of Section 2.1 and if no Change in Ameritrade Recommendation has occurred. This proxy is coupled
with an interest and shall be irrevocable during the term of this Agreement (except upon the earlier
occurrence of a Change in Ameritrade Recommendation, in which case it shall be automatically revoked), and each Stockholder will take such further
action or execute such other instruments as may be necessary to effectuate the intent of this proxy
and hereby revokes any proxy previously granted by such Stockholder with respect to such
Stockholder’s Covered Shares. The foregoing proxy is subject to, and shall only become effective
upon, TD having received all necessary regulatory approvals and consents, if any, required under
applicable law to exercise the voting powers granted by such proxy, as shall be determined in good
faith by TD. TD may terminate this proxy with respect to any Stockholder at any time at its sole
election by written notice provided to such Stockholder.

ARTICLE III

REPRESENTATIONS AND WARRANTIES

     3.1.   Representations and Warranties of the Stockholders. Each Stockholder hereby
represents and warrants to TD as follows:

          (a) Organization; Authorization; Validity of Agreement; Necessary Action. Such
Stockholder, if it is a legal entity, is duly organized under the laws of its respective
jurisdiction of organization and is validly existing and in good standing under the laws of such
jurisdiction. Such Stockholder has full power and authority to execute and deliver this Agreement,
to perform its obligations hereunder and to consummate the transactions contemplated hereby. The
execution and delivery by such Stockholder, if it is a legal entity, of this Agreement, the
performance by it of its obligations hereunder and the consummation by it of the transactions
contemplated hereby have been duly and validly authorized by such Stockholder and no other actions
or proceedings on the part of such Stockholder or any general or limited partner or stockholder
thereof are necessary to authorize the execution and delivery by it of this Agreement, the
performance by it of its obligations hereunder or the consummation by it of the transactions
contemplated hereby. If such Stockholder is an individual, such Stockholder has the legal capacity
and all requisite power and authority to enter into this Agreement, to perform its obligations
hereunder and to consummate the transactions contemplated hereby. This Agreement has been duly
executed and delivered by each Stockholder and, assuming this Agreement constitutes a valid and
binding obligation of TD, constitutes a valid and binding obligation of such Stockholder,
enforceable against it in accordance with its terms, except as enforcement may be limited by
general principles of equity whether applied in a court of law or a court of equity and by
bankruptcy, insolvency and similar laws affecting creditors’ rights and remedies generally.

          (b) Ownership. Such Stockholder’s Existing Shares are, and all of such Stockholder’s
Covered Shares owned from the date hereof through and on the Record Date will be, Beneficially
Owned and owned of record by such Stockholder, except to the extent such Covered Shares are
Transferred after the date hereof pursuant to a Permitted Transfer. Such Stockholder has good and
marketable title to such Stockholder’s Existing Shares, free and clear of any Encumbrances (other
than any Permitted Pledges and except as described in Schedule A

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hereto). As of the date hereof, such Stockholder’s Existing Shares constitute all of the
shares of Common Stock Beneficially Owned or owned of record by such Stockholder. Such Stockholder
has and will have at all times, through the date on which the Ameritrade Required Votes and any
Additional Votes (each as defined in the Share Purchase Agreement) are received (or, solely in the
case of clause (ii), through the Record Date) (i) sole voting power and sole power to issue
instructions with respect to the matters set forth in Article II hereof (in each case, if and to
the extent the Record Date is the record date for the Ameritrade Stockholders’ Meeting and such
Existing Shares or Covered Shares are entitled to vote), (ii) sole power of disposition and (iii)
sole power to agree to all of the matters set forth in this Agreement, in each case with respect to
all of such Stockholder’s Existing Shares and with respect to all of the Covered Shares owned by
such Stockholder at all times through the Record Date, except to the extent such Covered Shares are
Transferred after the date hereof pursuant to a Permitted Transfer.

          (c) No Violation. The execution and delivery of this Agreement by such Stockholder
does not, and the performance by such Stockholder of its obligations under this Agreement will not,
(i) conflict with or violate the certificate of incorporation, bylaws, limited partnership
agreement, limited liability company agreement, trust declaration or similar instrument or other
comparable governing documents, as applicable, of such Stockholder, (ii) conflict with or violate
any law, ordinance or regulation of any Governmental Authority applicable to such Stockholder or by
which any of its assets or properties is bound, or (iii) conflict with, result in any breach of or
constitute a default (or an event that with notice or lapse of time or both would become a default)
under, or give to others any rights of termination, amendment, acceleration or cancellation of, or
result in the creation of any Encumbrance on the properties or assets of such Stockholder pursuant
to, any note, bond, mortgage, indenture, contract, agreement, lease, license, permit, franchise or
other instrument or obligation to which such Stockholder is a party or by which such Stockholder or
any of its assets or properties is bound, except for any of the foregoing as could not reasonably
be expected, either individually or in the aggregate, to materially impair the ability of such
Stockholder to perform its obligations hereunder or to consummate the transactions contemplated
hereby on a timely basis.

          (d) Consents and Approvals. The execution and delivery of this Agreement by such
Stockholder does not, and the performance by such Stockholder of its obligations under this
Agreement and the consummation by it of the transactions contemplated hereby will not, require such
Stockholder to obtain any consent, approval, authorization or permit of, or to make any filing with
or notification to, any Governmental Authority.

          (e) Absence of Litigation. Except for the litigation described on Schedule 3.1(e)
hereto, there is no suit, action, investigation or proceeding pending or, to the knowledge of such
Stockholder, threatened against or affecting such Stockholder or any of its Affiliates before or by
any Governmental Authority that could reasonably be expected to materially impair the ability of
such Stockholder to perform its obligations hereunder or to consummate the transactions
contemplated hereby on a timely basis.

          (f) Absence of Agreements with Ameritrade. Except for (i) the Existing Stockholders
Agreement, (ii) the Registration Rights Agreement dated July 26, 2002, (iii) in the case of J. Joe
Ricketts, the Employment Agreement, dated October 1, 2001 between J. Joe Ricketts and Ameritrade,
as amended by the Amendment to Employment Agreement, dated

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August 5, 2004, between such parties, (iv) in the case of the SLP Investors, nondisclosure
agreement(s) between Ameritrade, on the one hand, and one or more SLP Investors or one or more
Affiliates of an SLP Investor, on the other hand, (v) securities brokerage agreements entered into
with Ameritrade and its Subsidiaries in the ordinary course of their brokerage business, (vi)
indemnification agreements between Ameritrade, on the one hand, and persons who have served as
designees of the SLP Investors or TA Investors on the board of directors of Ameritrade, on the
other hand, (vii) agreements between Ameritrade, on the one hand, and one or more portfolio
companies of the SLP Investors or the TA Investors, on the other hand and (viii) information rights
agreements between Ameritrade, on the one hand, and one or more of the SLP Investors or the TA
Investors, on the other hand, there are no existing agreements or arrangements between such
Stockholder or any of its Affiliates, on one hand, and Ameritrade or any of its Subsidiaries, on
the other hand.

     3.2.   Representations and Warranties of TD. TD hereby represents and warrants to
each of the Stockholders as follows:

          (a) Organization; Authorization; Validity of Agreement; Necessary Action. TD is duly
organized and validly existing as a bank under the laws of Canada. TD has full corporate power and
authority to execute and deliver this Agreement, to perform its obligations hereunder and to
consummate the transactions contemplated hereby. The execution and delivery by TD of this
Agreement, the performance by it of its obligations hereunder and the consummation by it of the
transactions contemplated hereby have been duly and validly authorized by TD and no other corporate
actions or proceedings on the part of TD are necessary to authorize the execution and delivery by
it of this Agreement, the performance by it of its obligations hereunder and the consummation by it
of the transactions contemplated hereby. This Agreement has been duly executed and delivered by TD
and, assuming this Agreement constitutes a valid and binding obligation of the Stockholders,
constitutes a valid and binding obligation of TD, enforceable against it in accordance with its
terms, except as enforcement may be limited by general principles of equity whether applied in a
court of law or a court of equity and by bankruptcy, insolvency and similar laws affecting
creditors’ rights and remedies generally.

          (b) No Violation. The execution and delivery of this Agreement by TD does not, and
the performance by TD of its obligations under this Agreement will not, (i) conflict with or
violate the charter or bylaws of TD, (ii) conflict with or violate any law, ordinance or regulation
of any Governmental Authority applicable to TD or by which any of its assets or properties is
bound, or (iii) conflict with, result in any breach of or constitute a default (or an event that
with notice or lapse of time or both would become a default) under, or give to others any rights of
termination, amendment, acceleration or cancellation of, or result in the creation of any
Encumbrance on the properties or assets of TD pursuant to, any note, bond, mortgage, indenture,
contract, agreement, lease, license, permit, franchise or other instrument or obligation to which
TD is a party or by which TD or any of its assets or properties is bound, except for any of the
foregoing as could not reasonably be expected, either individually or in the aggregate, to
materially impair the ability of TD to perform its obligations hereunder or to consummate the
transactions contemplated hereby on a timely basis.

8

 

          (c) Consents and Approvals. The execution and delivery of this Agreement by TD does
not, and the performance by TD of its obligations under this Agreement will not, require TD to
obtain any consent, approval, authorization or permit of, or to make any filing with or
notification to, any Governmental Authority except as may be contemplated by the Share Purchase
Agreement.

          (d) Absence of Litigation. There is no suit, action, investigation or proceeding
pending or, to the knowledge of TD, threatened against or affecting TD or any of its Affiliates
before or by any Governmental Authority that could reasonably be expected to materially impair the
ability of TD to perform its obligations hereunder or to consummate the transactions contemplated
hereby on a timely basis.

ARTICLE IV

OTHER COVENANTS

     4.1.   Prohibition on Transfers, Other Actions(a) . Each Stockholder hereby agrees
not to (i) Transfer any of such Stockholder’s Covered Shares or any interest therein prior to the
Record Date, unless such Transfer is a Permitted Transfer; (ii) enter into any agreement,
arrangement or understanding with any Person, or take any other action, that violates or conflicts
with or would reasonably be expected to violate or conflict with, or result in or give rise to a
violation of or conflict with, such Stockholder’s representations, warranties, covenants and
obligations under this Agreement; or (iii) take any action that would have a reasonable possibility
of restricting or otherwise adversely affecting, in any material respect, such Stockholder’s legal
power, authority and right to comply with and perform such Stockholder’s covenants and obligations
under this Agreement.

     4.2.   Stock Dividends, etc. In the event of a stock split, stock dividend or
distribution, or any change in Common Stock by reason of any split-up, reverse stock split,
recapitalization, combination, reclassification, exchange of shares or the like, the terms
“Existing Shares” and “Covered Shares” shall be deemed to refer to and include such shares as well
as all such stock dividends and distributions and any securities into which or for which any or all
of such shares may be changed or exchanged or which are received in such transaction.

     4.3.   No Solicitation. Each Stockholder hereby agrees that during the term of this
Agreement it shall not, and shall not permit any of its Representatives to, directly or indirectly,
(a) take any of the actions specified in clauses (i)-(vi) of Section 5.4(a) of the Share Purchase
Agreement, (b) agree to release, or release, any Person from any obligation under any existing
standstill agreement or arrangement relating to Ameritrade, or (c) except following a Change in

9

 

Ameritrade Recommendation, participate in, directly or indirectly, a “solicitation” of
“proxies” (as such terms are used in the rules of the U.S. Securities and Exchange Commission) or
powers of attorney or similar rights to vote, or seek to advise or influence any Person with
respect to the voting of, any shares of Common Stock in connection with any vote or other action on
any matter, other than to recommend that stockholders of Ameritrade vote in favor of the Ameritrade
Stock Issuance, the Ameritrade Restated Charter and any Additional Proposal and as otherwise
expressly provided in this Agreement. Each Stockholder agrees immediately to cease and cause to be
terminated any activities, discussions or negotiations with any parties conducted before the date
of this Agreement with any Persons other than TD with respect to any possible Acquisition Proposal
and will take the necessary steps to inform its Representatives of the obligations undertaken by
such Stockholder pursuant to Section 4.1 and this Section 4.3. Nothing contained in this Section
4.3 shall prevent a Stockholder or any Representative of a Stockholder who is a member of the board
of directors of Ameritrade from discharging his or her fiduciary duties solely in his or her
capacity as a director of Ameritrade, nor shall anything contained in this Section 4.3 prevent a
Stockholder or its Representatives from negotiating the terms of a stockholders agreement or
similar agreement, or otherwise participating in negotiations together with Ameritrade, in
connection with an Acquisition Proposal as to which Ameritrade’s board of directors has made the
determination contemplated by the final sentence of Section 5.4(a) of the Share Purchase Agreement
and is then pursuing negotiations or discussions with the Person making such Acquisition Proposal.

     4.4.   Notice of Acquisitions, Proposals Regarding Prohibited Transactions. Each
Stockholder hereby agrees to notify TD promptly in writing of (i) the number of any additional
shares of Common Stock or other securities of Ameritrade of which such Stockholder acquires
Beneficial Ownership on or after the date hereof, and (ii) any Permitted Transfers of such
Stockholder’s Covered Shares or any interest therein. Each Stockholder will comply with the
provisions of the second sentence of Section 5.4(c) of the Share Purchase Agreement as if it were
Ameritrade.

     4.5.   Waiver of Conflicts, Rights Under Existing Stockholders Agreement; Termination of
Existing Stockholders Agreement. To the extent that any provision of this Agreement, the Share
Purchase Agreement or the other Transaction Agreements (as defined in the Share Purchase Agreement)
could be deemed to conflict or be inconsistent with the Existing Stockholders Agreement, Ameritrade
and each Stockholder hereby waive any such conflict and any claim for breach resulting therefrom
and consent to the entering into of this Agreement by each other party to this Agreement who is a
party to the Existing Stockholders Agreement. Ameritrade and each Stockholder hereby waive any
rights it may have as a result of the entering into of this Agreement by Ameritrade and each other
party to this Agreement that is a party to the Existing Stockholders Agreement. Ameritrade and
each Stockholder agree that, immediately prior to the Closing, the Existing Stockholders Agreement
shall terminate and be of no further force or effect. None of Ameritrade or any Stockholder shall,
prior to the Closing, agree to any amendment, modification or termination of the Existing
Stockholders Agreement or any waiver of any provision thereof or rights thereunder, except in any
such case as expressly provided in this Agreement, or as otherwise consented to in writing by TD
(such consent not to be unreasonably withheld or delayed).

10

 

     4.6.   Waiver of Right to Consent to Director Indemnification Agreements and Investor
Information Rights Agreements. TD hereby waives its right under the Share Purchase Agreement
to consent to agreements that may be entered into between (a) Ameritrade and one or more directors
designated by the SLP Investors or the TA Investors with respect to indemnification and insurance
matters that will be on customary terms and include mandatory indemnification and a six-year D&O
insurance tail and (b) Ameritrade and one or more SLP Investors or TA Investors with respect to
venture capital operating company information rights that will be on customary terms.

ARTICLE V

MISCELLANEOUS

     5.1.   Termination. Except as otherwise expressly provided herein, this Agreement
shall terminate and be of no further force or effect upon the earlier to occur of (i) the Closing
and (ii) the date of termination of the Share Purchase Agreement, except that Section 4.5 hereof
shall survive any such termination that occurs as a result of the Closing having occurred. Nothing
in this Section 5.1 shall relieve or otherwise limit any party of liability for willful breach of
this Agreement.

     5.2.   Legends; Stop Transfer Order.

          (a) In furtherance of this Agreement, each Stockholder hereby authorizes and instructs
Ameritrade to instruct its transfer agent to enter a stop transfer order with respect to all of
such Stockholder’s Covered Shares for the period from the date hereof through the earlier of the
Record Date or the date this Agreement is terminated in accordance with Section 5.1. Ameritrade
agrees that as promptly as practicable after the date of this Agreement it shall give such stop
transfer instructions to the transfer agent for the Common Stock.

          (b) In the event that a Stockholder intends to undertake a Permitted Transfer of such
Stockholder’s Covered Shares prior to the Record Date, such Stockholder shall provide notice
thereof to Ameritrade and shall authorize and instruct Ameritrade to instruct its transfer agent to
(i) lift the stop transfer order in order to effect such Permitted Transfer and (ii) re-enter the
stop transfer order upon completion of the Permitted Transfer. Ameritrade agrees that as promptly
as practical after the receipt of such notice of a contemplated Permitted Transfer together with a
duly executed copy of the applicable Joinder Agreement, it shall instruct the transfer agent for
the Common Stock to (x) lift such stop transfer order with respect to such Stockholder’s Covered
Shares in order to effect such Permitted Transfer and (y) re-enter the stop transfer order upon
completion of the Permitted Transfer; provided that Ameritrade shall not permit such
Transfer to be registered by the transfer agent or such stop transfer restrictions to be lifted if
TD has not received such duly executed copy of the applicable Joinder Agreement (to the extent one
is required by this Agreement) or if Ameritrade or TD otherwise determines that the Transfer to be
effected by such Stockholder is not a Permitted Transfer.

          (c) Each certificate representing Covered Shares issued after the date of this Agreement and
prior to the earlier of the Record Date or termination of this Agreement shall bear the following
legend on the face thereof:

11

 

          “THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON VOTING,
TRANSFER AND CERTAIN OTHER LIMITATIONS SET FORTH IN THAT CERTAIN VOTING AGREEMENT DATED AS OF JUNE
22, 2005, AMONG THE TORONTO-DOMINION BANK, THE STOCKHOLDERS LISTED ON SCHEDULE A THERETO, AND,
SOLELY FOR THE PURPOSES OF SECTIONS 4.5 AND 5.2 THEREOF, AMERITRADE HOLDING CORPORATION, AS THE
SAME MAY BE AMENDED FROM TIME TO TIME (THE “AGREEMENT”), COPIES OF WHICH AGREEMENT ARE ON FILE AT
THE PRINCIPAL OFFICE OF AMERITRADE HOLDING CORPORATION.”

          (d) Upon
the request of a Stockholder, Ameritrade shall promptly (and in any
event within three business days) remove all legends related to the Existing Stockholders Agreement
on any certificate representing shares of Voting Securities
Beneficially Owned by such Stockholder if (i) such Voting Securities have been Transferred or (ii) the Closing Date has
occurred. Upon the request of an SLP Investor or TA Investor, Ameritrade shall promptly (and in
any event within three business days) remove all legends related to compliance with securities laws
on any certificate representing shares of Voting Securities Beneficially Owned by such SLP Investor
or TA Investor if (i) in the opinion of counsel reasonably acceptable to Ameritrade (which may be
Ropes & Gray, LLP), such shares are eligible for sale pursuant to Rule 144(k) under the Securities
Act of 1933, as amended, or (ii) such shares have been effectively registered under the Securities
Act of 1933, as amended, or transferred pursuant to Rule 144 thereunder. Ameritrade will use
commercially reasonable efforts to cooperate with any request from an SLP Investor or TA Investor
that it confirm in advance of a proposed Transfer its willingness to remove applicable legends.

     5.3.   No Ownership Interest. Nothing contained in this Agreement shall be deemed to
vest in TD any direct or indirect ownership or incidence of ownership of or with respect to any
Covered Shares. All rights, ownership and economic benefits of and relating to the Covered Shares
shall remain vested in and belong to the applicable Stockholder, and TD shall have no authority to
manage, direct, superintend, restrict, regulate, govern, or administer any of the policies or
operations of Ameritrade or exercise any power or authority to direct any Stockholder in the voting
of any of the Covered Shares, except as otherwise provided herein.

     5.4.   Notices. All notices and other communications hereunder shall be in writing
and shall be deemed given if delivered personally, telecopied (upon telephonic confirmation of
receipt), on the first Business Day following the date of dispatch if delivered by a recognized
next day courier service or on the third Business Day following the date of mailing if delivered by
registered or certified mail, return receipt requested, post prepaid. All notices hereunder shall
be delivered as set forth below, or pursuant to such other instructions as may be designated in
writing by the party to receive such notice:

          (a) if to TD to:

                    TD Tower, 66 Wellington Street West

                    Toronto, Ontario M5K 1A2

                    Attention: General Counsel

                    Fax: (416) 308-1943

12

 

               with a copy to:

                    Simpson Thacher & Bartlett LLP

                    425 Lexington Avenue

                    New York, New York 10017

                    Fax: (212) 455-2502

                    Attention: Lee Meyerson

          (b) if to Ameritrade (for purposes of Section 4.5 and 5.2) to:

                    4211 South 102nd Street

                    Omaha, Nebraska 68127

                    Attention: Chief Executive Officer

                    Fax: (402) 827-8806

                    and

                    6940 Columbia Gateway Drive, Suite 200

                    Columbia, Maryland 21046

                    Attention: General Counsel

                    Fax:

          with a copy to:

                    Wilson Sonsini Goodrich & Rosati

                    650 Page Mill Road

                    Palo Alto, California 94304

                    Attention: Larry W. Sonsini

                    Fax: (650) 493-6811

          (c) if to (i) any R Party, (ii) any TA Investor or (iii) any SLP Investor, to the R Party
Representative, the TA Representative or the SLP Representative, respectively, identified on
Schedule A hereto at the address set forth below its name on Schedule A hereto.

     5.5.   Interpretation. The words “hereof,” “herein” and “hereunder” and words of
similar import when used in this Agreement shall refer to this Agreement as a whole and not to any
particular provision of this Agreement, and Section references are to this Agreement unless
otherwise specified. Whenever the words “include,” “includes” or “including” are used in this
Agreement, they shall be deemed to be followed by the words “without limitation.” The meanings
given to terms defined herein shall be equally applicable to both the singular and plural forms of
such terms. The table of contents and headings contained in this Agreement are for reference
purposes only and shall not affect in any way the meaning or interpretation of this Agreement.

13

 

     5.6.   Counterparts. This Agreement may be executed by facsimile, and in separate
counterparts each of which shall be an original and all of which taken together shall constitute
one and the same agreement.

     5.7.   Entire Agreement. Except as otherwise expressly set forth herein, this
Agreement and, to the extent a Stockholder is a party thereto, the other Transaction Agreements
(and, to the extent referenced herein, the Share Purchase Agreement), together with the several
agreements and other documents and instruments to the extent referred to herein or therein, embody
the complete agreement and understanding among the parties hereto with respect to the subject
matter hereof and supersede and preempt any prior understandings, agreements or representations by
or among the parties, written and oral, that may have related to the subject matter hereof in any
way.

     5.8.   Governing Law; Consent to Jurisdiction; Waiver of Jury Trial.

          (a) This Agreement shall be governed by and construed in accordance with the laws of the State
of Delaware without giving effect to the principles of conflicts of law. Each of the parties
hereto hereby irrevocably and unconditionally consents to submit to the exclusive jurisdiction of
the Court of Chancery of the State of Delaware or, if under applicable law exclusive jurisdiction
over the Litigation (as defined below) lies with the courts of the United States, any court of the
United States located in the State of Delaware, for any action, suit, proceeding or investigation
in any court or before any Governmental Authority (“Litigation”) arising out of or relating
to this Agreement and the transactions contemplated hereby. Each of the parties hereto hereby
irrevocably and unconditionally waives, and agrees not to assert, by way of motion, as a defense,
counterclaim or otherwise, in any such Litigation, the defense of sovereign immunity, any claim
that it is not personally subject to the jurisdiction of the aforesaid courts for any reason, other
than the failure to serve process in accordance with this Section 5.8, that it or its property is
exempt or immune from jurisdiction of any such court or from any legal process commenced in such
courts (whether through service of notice, attachment prior to judgment, attachment in aid of
execution of judgment, execution of judgment or otherwise), and to the fullest extent permitted by
applicable law, that the Litigation in any such court is brought in an inconvenient forum, that the
venue of such Litigation is improper, or that this Agreement, or the subject matter hereof, may not
be enforced in or by such courts and further irrevocably waives, to the fullest extent permitted by
applicable law, the benefit of any defense that would hinder, fetter or delay the levy, execution
or collection of any amount to which the party is entitled pursuant to the final judgment of any
court having jurisdiction. Each of the parties irrevocably and unconditionally waives, to the
fullest extent permitted by applicable law, any and all rights to trial by jury in connection with
any Litigation arising out of or relating to this Agreement or the transactions contemplated
hereby.

          (b) Each of the parties hereto irrevocably consents to the service of process out of any of
the aforementioned courts in any such Litigation by the mailing of copies thereof by registered
mail, postage prepaid, to such party at its address set forth in this Agreement, such service of
process to be effective upon acknowledgment of receipt of such registered mail.

          (c) Each of the parties hereto expressly acknowledges that the foregoing waivers are intended
to be irrevocable under the laws of the State of Delaware and of the United

14

 

States of America; provided that consent by the parties to jurisdiction and service contained
in this Section 5.8 is solely for the purpose referred to in this Section 5.8 and shall not be
deemed to be a general submission to said courts or in the State of Delaware other than for such
purpose.

     5.9.   Amendment; Waiver. This Agreement may not be amended except by an instrument
in writing signed by each of (i) TD and (ii) on the other hand, (x) with respect to an amendment
affecting the R Parties, R Parties holding at least a majority of the Covered Shares then owned of
record by the R Parties, in the aggregate, (y) with respect to an amendment affecting the SLP
Investors, SLP Investors holding at least a majority of the Covered Shares then owned of record by
the SLP Investors, in the aggregate and (z) with respect to an amendment affecting the TA
Investors, holding at least a majority of the Covered Shares then owned of record by the TA
Investors, in the aggregate. Each party may waive any right of such party hereunder by an
instrument in writing signed by such party and delivered to TD, the R Party Representative, the TA
Representative and the SLP Representative.

     5.10.   Remedies. (a) Each party hereto acknowledges that monetary damages would not
be an adequate remedy in the event that any covenant or agreement in this Agreement is not
performed in accordance with its terms, and it is therefore agreed that, in addition to and without
limiting any other remedy or right it may have, the non-breaching party will have the right to an
injunction, temporary restraining order or other equitable relief in any court of competent
jurisdiction enjoining any such breach and enforcing specifically the terms and provisions hereof.
Each party hereto agrees not to oppose the granting of such relief in the event a court determines
that such a breach has occurred, and to waive any requirement for the securing or posting of any
bond in connection with such remedy.

          (b) All rights, powers and remedies provided under this Agreement or otherwise available in
respect hereof at law or in equity shall be cumulative and not alternative, and the exercise or
beginning of the exercise of any thereof by any party shall not preclude the simultaneous or later
exercise of any other such right, power or remedy by such party.

     5.11.   Severability. Any term or provision of this Agreement which is determined by
a court of competent jurisdiction to be invalid or unenforceable in any jurisdiction shall, as to
that jurisdiction, be ineffective to the extent of such invalidity or unenforceability without
rendering invalid or unenforceable the remaining terms and provisions of this Agreement or
affecting the validity or enforceability of any of the terms or provisions of this Agreement in any
other jurisdiction, and if any provision of this Agreement is determined to be so broad as to be
unenforceable, the provision shall be interpreted to be only so broad as is enforceable, in all
cases so long as neither the economic nor legal substance of the transactions contemplated hereby
is affected in any manner materially adverse to any party or its stockholders. Upon any such
determination, the parties shall negotiate in good faith in an effort to agree upon a suitable and
equitable substitute provision to effect the original intent of the parties.

     5.12.   Successors and Assigns; Third Party Beneficiaries. Neither this Agreement nor
any of the rights or obligations of any party under this Agreement shall be assigned, in whole or
in part (by operation of law or otherwise), by any party without the prior written consent of the
other parties hereto. Subject to the foregoing, this Agreement shall bind and inure to the benefit
of and be enforceable by the parties hereto and their respective successors and permitted assigns.

15

 

Nothing in this Agreement, express or implied, is intended to confer on any Person other than
the parties hereto or their respective successors and permitted assigns any rights, remedies,
obligations or liabilities under or by reason of this Agreement.

     5.13.   Obligations Several

          The representations, warranties and covenants of each of the R Parties (collectively), the
SLP Investors (collectively) and the TA Investors (collectively) are several and not joint. None
of the R Parties, the SLP Investors or the TA Investors shall be responsible for breaches of this
Agreement by Stockholders who are members of such other groups.

[Remainder of this page intentionally left blank]

16

 

          IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be signed (where
applicable, by their respective officers or other authorized Person thereunto duly authorized) as
of the date first written above.

	 	 	 	 	 
	 	 	THE TORONTO-DOMINION BANK
	 
	 	 	 	 
	 

	 	By:	 	/s/ David Livingston
	 

	 	 	 	 
	 	 	Name: David
Livingston
	 	 	Title: Executive
Vice President, Corporate Development
	 
	 	 	 	 
	 	 	AMERITRADE HOLDING CORPORATION
	 	 	(solely for purposes of Section 4.5 and 5.2)
	 
	 	 	 	 
	 

	 	By:	 	/s/ Joseph H. Moglia
	 

	 	 	 	 
	 	 	Name: Joseph H.
Moglia
	 	 	Title: Chief
Executive Officer

 

 

	 	 	 	 	 
	 	R PARTIES:

 	 
	 	/s/  J. Joe Ricketts
 	 
	 	J. Joe Ricketts 	 
	 	 	 
	 

	 	 	 	 	 
	 	 	 
	 	                                              /s/ Marlene M. Ricketts
 	 
	 	Marlene M. Ricketts 	 
	 	 	 
	 

	 	 	 	 	 
	 	MARLENE M. RICKETTS 1994 DYNASTY TRUST

 	 
	 	By:  	/s/ J. Joe Ricketts
 	 
	 	 	J. Joe Ricketts, Trustee 	 
	 	 	 	 
	 

	 	 	 	 	 
	 	J. JOE RICKETTS 1994 DYNASTY TRUST

 	 
	 	By:  	/s/ Marlene M. Ricketts
 	 
	 	 	Marlene M. Ricketts, Trustee 	 
	 	 	 	 
	 

	 	 	 	 	 
	 	RICKETTS GRANDCHILDREN TRUST

 	 
	 	By:  	 	 
	 	 	First National Bank of Omaha, Trustee 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

	 	 	 	 	 	 	 	 	 	 	 
	 
	 	TA INVESTORS:	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	TA/ADVENT VIII, L.P.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	By:	 	TA Associates VIII, LLC,	 	 

	 
	 	 	 	its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	TA Associates, Inc.,	 	 

	 
	 	 	 	 	 	its Manager	 	 

	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ Thomas P. Alber
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 	Thomas P. Alber
	 

	 	 	 	 	 	Title:
	 	Chief Financial Officer

	 	 	 	 	 	 	 	 	 	 	 
	 
	 	TA EXECUTIVES FUND, LLC	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	By:	 	TA Associates, Inc.,	 	 

	 
	 	 	 	its Manager	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	/s/ Thomas P. Alber	 	 

	 
	 	 	 	 	 	 	 	 

	 
	 	 	 	 	 	Name: Thomas P. Alber	 	 

	 
	 	 	 	 	 	Title: Chief Financial Officer	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	TA INVESTORS, LLC	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	By:	 	TA Associates, Inc.,	 	 

	 
	 	 	 	its Manager	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	/s/ Thomas P. Alber	 	 

	 
	 	 	 	 	 	 	 	 

	 
	 	 	 	 	 	Name: Thomas P. Alber	 	 

	 
	 	 	 	 	 	Title: Chief Financial Officer	 	 

 

 

	 	 	 	 	 	 	 	 	 	 	 
	 
	 	TA ATLANTIC & PACIFIC IV, L.P.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	By:	 	TA Associates AP IV Partners, L.P.,	 	 

	 
	 	 	 	its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	TA Associates, Inc.,	 	 

	 
	 	 	 	 	 	its Manager	 	 

	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ Thomas P. Alber
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Name: Thomas P. Alber
	 

	 	 	 	 	 	 	 	Title: Chief Financial Officer
	 
	 	 	 	 	 	 	 	 
	 
	 	TA IX, L.P.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	By:	 	TA Associates IX, LLC,	 	 

	 
	 	 	 	its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	TA Associates, Inc.,	 	 

	 
	 	 	 	 	 	its Manager	 	 

	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ Thomas P. Alber
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Name: Thomas P. Alber
	 

	 	 	 	 	 	 	 	Title: Chief Financial Officer
	 
	 	 	 	 	 	 	 	 
	 
	 	ADVENT ATLANTIC & PACIFIC III, L.P.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	By:	 	TA Associates AAP III Partners, L.P.,	 	 

	 
	 	 	 	its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	TA Associates, Inc., its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ Thomas P. Alber
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Name: Thomas P. Alber
	 

	 	 	 	 	 	 	 	Title: Chief Financial Officer

 

 

	 	 	 	 	 	 	 	 	 	 	 
	 
	 	SLP INVESTORS:	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	SILVER LAKE PARTNERS, L.P.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	Silver Lake Technology Associates,	 	 

	 
	 	 	 	 	 	L.L.C., its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	/s/ Alan K. Austin	 	 

	 
	 	 	 	 	 	 	 	 

	 
	 	 	 	 	 	Name: Alan K. Austin	 	 

	 
	 	 	 	 	 	Title: Managing Director and Chief	 	 

	 
	 	 	 	 	 	Operating Officer	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	SILVER LAKE INVESTORS, L.P.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	Silver Lake Technology Associates,	 	 

	 
	 	 	 	 	 	L.L.C., its General Partner	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	/s/ Alan K. Austin	 	 

	 
	 	 	 	 	 	 	 	 

	 
	 	 	 	 	 	Name: Alan K. Austin	 	 

	 
	 	 	 	 	 	Title: Managing Director and Chief	 	 

	 
	 	 	 	 	 	Operating Officer	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	SILVER LAKE TECHNOLOGY INVESTORS, L.L.C.	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	Silver Lake Technology Management,	 	 

	 
	 	 	 	 	 	L.L.C., its Managing Member	 	 

	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	By:	 	/s/ Alan K. Austin	 	 

	 
	 	 	 	 	 	 	 	 

	 
	 	 	 	 	 	Name: Alan K. Austin	 	 

	 
	 	 	 	 	 	Title: Managing Director and Chief	 	 

	 
	 	 	 	 	 	Operating Officer	 	 

 

 

EXHIBIT A

Form of Joinder Agreement

          The undersigned hereby agrees, effective as of the date hereof, to become a party to that
certain Voting Agreement, dated as of June 22, 2005, by and among The Toronto-Dominion Bank, a
Canadian chartered bank, the parties listed on Schedule A thereto and, solely for purposes of
Sections 4.5 and 5.2 thereof, Ameritrade Holding Corporation (“Ameritrade”) (the “Voting
Agreement”). By executing this Joinder Agreement, the undersigned hereby agrees to be, and
shall be, deemed a “Stockholder” for all purposes of the Voting Agreement, entitled to the rights
and subject to the obligations thereunder with respect to the Covered Shares acquired from
                                         but not with respect to any other shares of Common Stock or other voting capital
stock of Ameritrade or securities convertible into or exercisable or exchangeable for shares of
Common Stock or other voting capital stock of Ameritrade that may be owned by the undersigned
(including without limitation the voting obligations set forth in Article II thereof and the
restrictions on transfer set forth in Article IV thereof with respect to such Covered Shares), and
hereby makes those representations and warranties of a Stockholder as set forth in Section 3.1 of
the Voting Agreement (other than 3.1(f)), in each case with respect to the Covered Shares of the
undersigned.

          The address and facsimile number to which notices may be sent to the undersigned is as
follows:

	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	 

	 	Facsimile No.:	 	 	 	 
	 

	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	 
	No. of Covered Shares	 	 	 	 	 	 
	Beneficially Owned:	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:	 	 
	Date:<PAGE>
                                                                    EXHIBIT 10.1

                              EMPLOYMENT AGREEMENT

         THIS EMPLOYMENT AGREEMENT (the "Agreement") is made and entered into as
of the 22nd day of June, 2005 by and between CHROMCRAFT REVINGTON, INC. (the
"Company"), a Delaware corporation headquartered in Delphi, Indiana, and
BENJAMIN M. ANDERSON-RAY (the "Executive"), currently a resident of the State of
Georgia,

                              W I T N E S S E T H:
                              -------------------

         WHEREAS, the Company desires to employ the Executive as its Chairman
and Chief Executive Officer, and the Executive desires to be employed by the
Company as its Chairman and Chief Executive Officer, in accordance with the
provisions of this Agreement; and

         WHEREAS, in addition to the employment provisions contained herein, the
Company and the Executive have agreed to certain restrictions, covenants,
agreements and severance payments, as set forth in this Agreement.

         NOW, THEREFORE, in consideration of the foregoing premises, the
respective covenants, agreements and obligations contained herein, the
employment of the Executive by the Company and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
Company and the Executive hereby agree as follows:

         Section 1. Employment; Term. (a) Employment. Unless the Executive's
employment with the Company is terminated earlier as provided in this Agreement,
the Company hereby agrees to employ the Executive, and the Executive hereby
agrees to be employed by the Company, during the Term (as hereinafter defined),
on a full-time basis in accordance with the provisions of this Agreement.

         (b) Term. Unless terminated earlier as provided in this Agreement, the
initial term of the Executive's employment with the Company shall begin on June
20, 2005 and shall end on June 20, 2010 (the "Initial Term"). Upon the
expiration of the Initial Term, this Agreement, and the Executive's employment
hereunder, shall thereafter be automatically extended upon the same terms and
conditions as set forth herein for successive one-year terms (each, a "Renewal
Term"), unless (i) the Executive's employment with the Company has been
terminated during the Initial Term or during any Renewal Term, as the case may
be, in accordance with Section 4 hereof or (ii) either the Company or the
Executive provides to the other a written notice not less than one hundred
eighty (180) days prior to the end of the Initial Term or any Renewal Term, as
the case may be, that a Renewal Term shall not occur (the "Non-Renewal Notice").
The Initial Term and the Renewal Term may be referred to in this Agreement
individually or collectively as the "Term."

          If either party provides the Non-Renewal Notice to the other party,
then the Executive's employment with the Company shall terminate on the last day
of the Initial Term or the applicable Renewal Term, as the case may be, and such
termination shall not constitute a

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termination (whether with or without Cause or with or without Good Reason) of
employment by the Company or by the Executive pursuant to Section 4 hereof, but
shall be deemed to be, and shall have the effect of, a mutual termination of the
Executive's employment with the Company.

         Section 2. Position; Duties; Responsibilities.

         (a) During the Term, the Executive:

                  (i)      shall serve as the Chairman of the Board (subject to
                           the Executive's appointment to this position within
                           the 45-day period specified in Section 2(b) hereof)
                           and Chief Executive Officer of the Company;

                  (ii)     shall have such authority, duties and
                           responsibilities as the Board of Directors of the
                           Company (the "Board of Directors") may from time to
                           time prescribe that are consistent with the
                           Executive's position as the Chief Executive Officer
                           of the Company;

                  (iii)    shall perform diligently and faithfully, and shall
                           use his best efforts in the performance of, his
                           duties and responsibilities under this Agreement; and

                  (iv)     shall devote all of his working time, attention,
                           energies and skills to his duties and
                           responsibilities under this Agreement and to the
                           furtherance of the business and interests of the
                           Company and its subsidiaries or affiliates; provided,
                           however, that the Executive shall be permitted to
                           manage his own personal investments so long as such
                           investment activities do not affect the Executive's
                           performance of his duties and responsibilities for
                           the Company and do not adversely affect the
                           reputation of the Company; and provided further,
                           however, that the Executive shall be permitted to
                           engage in civic and charitable activities and to
                           serve on boards of directors of other for-profit and
                           non-profit entities so long as such civic and
                           charitable activities and board positions do not
                           affect the Executive's performance of his duties and
                           responsibilities for the Company, do not adversely
                           affect the reputation of the Company and have been
                           approved in advance by resolution of the Board of
                           Directors or a committee thereof.

         (b) Within forty-five (45) days following the Executive's first day of
employment with the Company, the Board of Directors shall appoint the Executive
as a director of the Company and shall elect the Executive as Chairman of the
Board. The Board of Directors shall nominate the Executive as one of its
director nominees to be considered for election at each annual meeting of
stockholders of the Company during such period of time that the Executive is
serving as the Company's Chief Executive Officer. If the Executive's employment
with the Company is terminated, the Executive shall immediately resign as a
director, as Chairman of the Board, as Chief Executive Officer and from all
other offices and positions with the Company and any of its subsidiaries or
affiliates.

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         (c) The Executive represents to the Company that he is not a party to
or bound by any non-competition or other agreement that would prevent or limit
him from serving as a director or officer of the Company or from performing any
of his duties and responsibilities under this Agreement.

         Section 3. Compensation and Employee Benefits.

         (a) Base Salary. During the Term, for all services rendered to or on
behalf of the Company and its subsidiaries or affiliates by the Executive in all
capacities, the Company shall pay to the Executive an annual base salary equal
to Three Hundred Seventy-Five Thousand Dollars ($375,000) per fiscal year (the
"Base Salary"), as may be increased in accordance with this Section. During the
Term and at approximately annual intervals after the end of each fiscal year of
the Company in accordance with the Company's historical practices, the Board of
Directors or a committee thereof shall review the Executive's Base Salary and
shall, after such annual review, determine whether an increase to the Base
Salary shall be made. If such an increase is approved, the increased salary
shall become the applicable Base Salary under this Agreement. The Base Salary
shall be paid to the Executive in accordance with the Company's usual and
customary payroll practices applicable to its employees generally and shall be
pro-rated for any partial year of employment (including, but not limited to, the
fiscal year ending December 31, 2005) based upon the length of time that the
Executive is employed by the Company during any such partial fiscal year.

         The Executive shall not receive any additional fees or compensation,
other than his Base Salary, for his service on the Board of Directors or any
committee of the Board of Directors, or for his service as a director or officer
of any subsidiary or affiliate of the Company, nor shall the Executive
participate in the Directors' Stock Option Plan of the Company or any other plan
available only to directors who are not also employees of the Company.

         (b) Sign-on Bonus. The Company shall pay to the Executive a one-time
cash sign-on bonus of One Hundred Fifty Thousand Dollars ($150,000), one-half of
which shall be payable within one (1) week of the first day of the Term with the
remaining balance payable on the one-year anniversary of the date of this
Agreement; provided, however, that the Executive shall immediately repay to the
Company that portion of the sign-on bonus paid to him on the first day of the
Term and, in addition, the Company shall have no obligation to pay the remaining
balance of the sign-on bonus if, prior to such one-year anniversary, (i) the
Company terminates the Executive's employment for Cause (as hereinafter
defined), or (ii) the Executive terminates his employment with the Company
without Good Reason (as hereinafter defined). In the event of a Disability (as
hereinafter defined) or the death of the Executive prior to such one-year
anniversary, the Company shall pay the remaining $75,000 balance of the sign-on
bonus to the Executive or to his estate, as the case may be, on the one-year
anniversary of the date of this Agreement. The sign-on bonus is a special bonus
and is not granted or earned under the STIP (as hereinafter defined).

         (c) Incentive Compensation. During the Term, the Executive shall be
entitled to participate in all incentive compensation plans and programs
generally available to executive officers of the Company and its subsidiaries as
are currently in effect and as may hereafter be

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amended from time to time, or as may hereafter be established, subject to the
terms and conditions of such plans and programs. As of the date of this
Agreement, the incentive compensation plans available to the Executive are the
Company's Short Term Executive Incentive Plan, as currently in effect and as may
hereafter be amended from time to time (the "STIP"), and the Company's Long Term
Executive Incentive Plan and the Company's 1992 Stock Option Plan, both as
currently in effect and as may hereafter be amended from time to time
(collectively, the "LTIP"). For purposes of this Agreement, (i) the STIP shall
also include any additional or replacement short-term incentive compensation
plan that the Company may adopt subsequent to the date of this Agreement in
which the Executive is eligible to participate, and (ii) the LTIP shall also
include any restricted stock and any additional or replacement long-term
incentive compensation plan that the Company may adopt subsequent to the date of
this Agreement in which the Executive is eligible to participate.

         The Executive's award under the STIP for 2005 shall be a cash bonus of
One Hundred Seventy-Five Thousand Dollars ($175,000), which shall be earned if
the performance factor established by the Board of Directors is achieved by the
Executive by December 31, 2005 and which shall be paid in accordance with the
historical practices of the Company and, in any event, not later than March 15,
2006. For the fiscal year ending December 31, 2006 and each subsequent fiscal
year during the Term, the "target" award rate for the Executive under the STIP
shall be 100% of his Base Salary. For the 2006 and subsequent fiscal years, the
performance factors under the STIP shall be mutually agreed upon between the
Board of Directors and the Executive.

         The Executive understands and acknowledges that the Compensation
Committee of the Board of Directors is currently reviewing the LTIP (including
the performance factors and the type of compensation payable under the LTIP for
the 2005-2007 and subsequent performance periods consistent with the Company's
strategic plan), that the Compensation Committee may replace the cash component
of awards under the LTIP with equity-based awards and that the Compensation
Committee may use only restricted stock or other equity-based compensation as
awards under the LTIP. Notwithstanding the foregoing, for the 2005-2007
performance period under the LTIP, the Compensation Committee shall grant to the
Executive an award of Forty Two Thousand (42,000) shares of restricted common
stock of the Company under the LTIP, and the award shall vest and be payable to
the Executive upon achievement of all performance factors for the 2005-07
performance period in accordance with the LTIP. Prior to the restricted common
stock becoming fully vested, the Executive shall not have the right to vote, to
receive dividends or distributions on or to enjoy any other rights of ownership
of such stock.

         (d) Employee Benefit Plans. During the Term, the Executive shall be
entitled to participate in all employee benefit plans and programs generally
available to executive officers of the Company and its subsidiaries as are
currently in effect and as may hereafter be amended from time to time, or as may
hereafter be established, subject to the terms and conditions of such plans and
programs. During the Term, the Company shall reimburse the Executive for the
employee-paid portion of the premiums relating to the Executive and his spouse
under the Company's group health insurance plan, subject to their eligibility to
participate in such plan.

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         (e) Other Policies. All other matters relating to the employment of the
Executive by the Company not specifically addressed in this Agreement or in the
plans and programs referenced in this Section (including, but not limited to,
vacation, sick and other paid time off), shall be subject to the employee
handbooks, rules, policies, procedures, corporate governance guidelines and
codes of conduct and ethics of the Company as are currently in effect or as may
hereafter be in effect from time to time. Notwithstanding the foregoing, the
Executive shall be entitled to receive paid vacation of not less than
twenty-five (25) days per fiscal year during the Term, which shall be pro-rated
for any partial year of employment based upon the length of time that the
Executive is employed by the Company during any such partial fiscal year.

         (f) Automobile Allowance. During the Term, the Company shall provide to
the Executive an automobile allowance of One Thousand Five Hundred Dollars
($1,500) per month. The Executive shall pay for his own insurance, maintenance,
fuel, license plates and other costs relating to this automobile.

         (g) Relocation Expenses. In connection with the relocation of the
Executive and his spouse, the Company shall pay:

                  (i)      Reasonable temporary housing expenses of the
                           Executive at or near the Company's headquarters
                           location until the earlier of the Executive's
                           purchase of a home at or near such location or
                           December 31, 2006;

                  (ii)     Reasonable travel expenses of the Executive between
                           his home in Atlanta, Georgia and the Company's
                           headquarters location until the earlier of the
                           Executive's purchase of a home at or near the
                           Company's headquarters location or December 31, 2006,
                           provided, however, that until the earlier of such
                           events occurs, the Company shall pay such reasonable
                           travel expenses of the Executive only for up to (A)
                           four (4) roundtrips per month in the event his spouse
                           is living primarily in Atlanta, Georgia, or (B) two
                           (2) roundtrips per month in the event his spouse is
                           living at or near the Company's headquarters location
                           and the closing on the sale of the Executive's home
                           in Atlanta, Georgia has not occurred;

                  (iii)    Reasonable moving expenses of the Executive in
                           connection with the relocation of the Executive and
                           his spouse to or near the Company's headquarters
                           location;

                  (iv)     Reasonable real estate brokerage commission and
                           reasonable attorneys' fees incurred by the Executive
                           relating to the sale of his existing home in Atlanta,
                           Georgia; and

                  (v)      Reasonable closing costs (but not any points) and
                           reasonable attorneys' fees incurred by the Executive
                           relating to the purchase of his home at or near the
                           Company's headquarters location.

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         The Executive shall be entitled to receive an additional payment from
the Company attributable to any income and employment taxes payable by the
Executive as a result of receiving any of the payments specified in the forgoing
provisions of this Section 3(g) (the "Gross-Up Payment") in an amount such that,
after payment by the Executive of any income and employment taxes imposed upon
the Gross-Up Payment, the Executive shall retain an amount of the Gross-Up
Payment equal to such taxes.

         (h) Taxes and Other Amounts. Except as provided otherwise in Section
3(g) hereof, all taxes (other than the Company's portion of FICA taxes) on the
Executive's Base Salary and on all other amounts payable to the Executive
pursuant to this Agreement or any plan or program of the Company shall be paid
by the Executive and, if applicable, withheld by the Company. The Company shall
be entitled to withhold from the Base Salary and all other amounts payable to
the Executive pursuant to this Agreement or any plan or program (i) applicable
income, employment, FICA, Medicare and other taxes required by law, and (ii)
such amounts authorized by the Executive.

         (i) Expense Reimbursements. The Company shall reimburse the Executive
for all reasonable out-of-pocket expenses incurred by the Executive related to
the performance of his duties and responsibilities for the Company. Without
limiting the foregoing, the Company shall pay or reimburse the Executive for all
reasonable expenses incurred by or for the Executive for his membership in
relevant trade and professional associations, executive education and
subscriptions; provided, however, that the Board of Directors reserves the right
to approve such expenses. The Executive shall comply with the Company's standard
expense reimbursement policies and procedures in effect from time to time.

         (j) Insurance and Indemnification. At all times during the Term, the
Company shall provide to the Executive the same coverage that it provides to its
other directors and officers under the Company's directors and officers
liability insurance policy as is currently in effect or as may hereafter be in
effect from time to time. At all times during the Term, the Company shall
indemnify the Executive with respect to claims brought by Persons other than the
Company against the Executive arising from the Executive's service as an
employee, officer or director of the Company in accordance with the Certificate
of Incorporation of the Company as is currently in effect or as may hereafter be
amended from time to time.

         (k) Acknowledgment by the Executive. Notwithstanding anything in this
Agreement to the contrary, the Executive understands, acknowledges and agrees
that the Company may, in its sole discretion, amend, modify, replace, freeze,
suspend or terminate any or all of the Company's incentive compensation,
employee benefit, retirement and other plans and programs from time to time in
the future, other than (i) the STIP award for 2005 and the LTIP award for the
2005-2007 performance period, as both are described in Section 3(c) hereof, and
(ii) reimbursement for the Executive's premiums under the Company's group health
insurance plan at the regular employee contribution rate and as expressly
provided in this Agreement.

         Section 4. Termination of Employment.

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         Subject to the respective continuing obligations of the Company and the
Executive set forth in this Agreement, the Executive's employment with the
Company may be terminated during the Term in any of the following ways:

         (a) Termination by the Company for Cause. The Company, upon written
notice to the Executive, may terminate the Executive's employment with the
Company immediately for Cause (except as otherwise expressly provided herein
with respect to the Executive's limited right to cure). For purposes of this
Agreement, "Cause" is defined as any of the following:

                  (i)      any refusal by the Executive to follow the directions
                           of the Board of Directors so long as such directions
                           are consistent with the Executive's position as the
                           Chief Executive Officer of the Company; or

                  (ii)     any gross negligence by the Executive (or by any
                           executive officer of the Company or any of its
                           subsidiaries or affiliates with the knowledge of the
                           Executive and where the Executive allows or fails to
                           prevent such gross negligence by such officer) in
                           managing the business or affairs of the Company and
                           its subsidiaries or affiliates; or

                  (iii)    any dishonesty, fraud, theft or embezzlement by the
                           Executive (or by any executive officer of the Company
                           or any of its subsidiaries or affiliates with the
                           knowledge of the Executive and where the Executive
                           allows or fails to prevent such dishonesty, fraud,
                           theft or embezzlement by such officer) upon or
                           against the Company or any of its subsidiaries or
                           affiliates or any customer of the Company or any of
                           its subsidiaries or affiliates; or

                  (iv)     any conviction of, or the entering of any plea of
                           guilty or nolo contendere by, the Executive for any
                           felony; or

                  (v)      any intentional or negligent violation by the
                           Executive (or by any executive officer of the Company
                           or any of its subsidiaries or affiliates with the
                           knowledge of the Executive and where the Executive
                           allows or fails to prevent such violation by such
                           officer) of any law, statute, rule, regulation or
                           governmental requirement that has or will have a
                           significant adverse effect on the Company or any of
                           its subsidiaries or affiliates; or

                  (vi)     any material noncompliance by the Executive (or by
                           any executive officer of the Company or any of its
                           subsidiaries or affiliates with the knowledge of the
                           Executive and where the Executive allows or fails to
                           prevent such noncompliance by such officer) with any
                           provision of any employee handbook, code of business
                           conduct and ethics or corporate governance guidelines
                           of the Company as are currently in effect or as may
                           hereafter be in effect from time to time; or

                  (vii)    any breach by the Executive of any provision of this
                           Agreement.

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         (b) Termination by the Company Without Cause. The Company, upon not
less than thirty (30) days' prior written notice to the Executive, may terminate
the Executive's employment with the Company without Cause.

         (c) Termination by the Executive for Good Reason. The Executive, upon
written notice to the Company, may terminate his employment with the Company
immediately (except as otherwise expressly provided herein with respect to the
Company's limited right to cure) for Good Reason. For purposes of this
Agreement, "Good Reason" is defined as any of the following:

                  (i)      any assignment to the Executive of any duties or
                           responsibilities that are inconsistent with the
                           Executive's position as Chief Executive Officer of
                           the Company; or

                  (ii)     any breach by the Company of any provision of this
                           Agreement; or

                  (iii)    any relocation of the Company's headquarters to a
                           location more than one hundred (100) miles from its
                           location on the date of this Agreement so long as (A)
                           the Executive shall have previously relocated his
                           principal residence to Indiana, and (B) the Board of
                           Directors shall have approved a relocation of the
                           Company's headquarters without the concurrence of the
                           Executive.

         (d) Termination by the Executive Without Good Reason. The Executive,
upon not less than thirty (30) days' prior written notice to the Company, may
terminate his employment with the Company without Good Reason.

         (e) Termination in the Event of Death or Disability. The Executive's
employment with the Company shall terminate immediately upon the death of the
Executive. The Executive's employment with the Company may be terminated
immediately by the Company in the event of the occurrence of a Disability of the
Executive. For purposes of this Agreement, a "Disability" shall be defined as an
illness or a physical or mental disability or incapacity of the Executive such
that the Executive has not been able to perform his duties and responsibilities
under this Agreement (as reasonably determined by the Company) for a period of
at least ninety (90) consecutive days, including, but not limited to, any
diagnosis of the Executive relating to alcoholism or unlawful drug, chemical or
substance abuse or addiction. A Disability shall be evidenced by signed, written
opinions of at least two (2) independent, qualified medical doctors selected by
the Board of Directors and paid for by the Company. The Executive hereby agrees
to make himself promptly available for examination by such medical doctors upon
request by the Board of Directors and consents to provide the results of such
examination and any diagnosis to the Company promptly.

         (f) Termination by the Executive in the Event of a Change in Control.
Following a Change in Control (as hereinafter defined), the Executive, upon not
less than thirty (30) days' prior written notice to the Company, may terminate
his employment with the Company during the twelve (12) month period immediately
following a Change in Control.

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         For purposes of this Agreement, a "Change in Control" shall mean a
transaction or series of related transactions pursuant to which (i) at least
fifty-one percent (51%) of the outstanding shares of common stock of the
Company, on a fully diluted basis, shall subsequent to the date of this
Agreement be owned by any Person (as hereinafter defined) unrelated to or
unaffiliated with the Company, (ii) the Company merges into or with,
consolidates with or effects any plan of share exchange or other combination
with any Person unrelated to or unaffiliated with the Company, or (iii) the
Company disposes of all or substantially all of its assets other than in the
ordinary course of business.

         For purposes of the definition of "Change in Control," (y) a Person
shall not include the Chromcraft Revington, Inc. Employee Stock Ownership Plan
Trust which forms a part of the Chromcraft Revington, Inc. Employee Stock
Ownership Plan (collectively, the "ESOP"), or any other employee benefit plan
sponsored by the Company, or any subsidiary or affiliate of the Company, and (z)
the outstanding shares of common stock of the Company, on a fully diluted basis,
shall include all shares owned by the ESOP, whether allocated or unallocated to
the accounts of participants.

         (g) Notice of Termination; Last Day of Employment. Other than in the
event of death, any termination of the Executive's employment with the Company
as contemplated by this Section 4, shall be communicated by a written "Notice of
Termination" by the terminating party to the other party hereto. Any Notice of
Termination shall indicate the specific provisions of this Agreement relied upon
and, if applicable, shall set forth in reasonable detail the facts and
circumstances claimed to provide a basis for such termination. For purposes of
this Agreement, the "Date of the Termination Notice" shall be the first to occur
of the following: (i) the date of the Non-Renewal Notice, (ii) the date of the
Notice of Termination, or (iii) the date of the written notice under Section
4(h) hereof with respect to those items for which either party has a right to
cure but only if the party entitled to cure has not fully corrected and cured in
accordance with Section 4(h).

         The last day of the Executive's employment with the Company (whether
upon termination of the Executive's employment during or following the Term,
upon the death of the Executive, upon the occurrence of a Disability of the
Executive or upon the expiration of the Initial Term or any Renewal Term) shall
be referred to in this Agreement as the "Last Day of Employment."

         (h) Limited Right to Cure by the Company and the Executive.

                  (i)      In the event that the Company desires to terminate
                           the Executive's employment for Cause pursuant to
                           Sections 4(a)(i), 4(a)(vi) or 4(a)(vii) hereof, the
                           Company shall first deliver to the Executive a
                           written notice which shall (A) indicate the specific
                           provisions of this Agreement relied upon for such
                           termination, (B) set forth in reasonable detail the
                           facts and circumstances claimed to provide the
                           grounds for such termination, and (C) describe the
                           steps, actions, events or other items that must be
                           taken, completed or followed by the Executive to
                           correct or cure the grounds for

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                           such termination. The Executive shall then have
                           thirty (30) days following the effective date of such
                           notice to fully correct and cure the grounds for the
                           termination of his employment to the reasonable
                           satisfaction of the Board of Directors. If the
                           Executive does not fully correct and cure such
                           grounds within such thirty (30) day period, then the
                           Company shall have the right to terminate the
                           Executive's employment with the Company immediately
                           for Cause upon delivering to the Executive a Notice
                           of Termination, and the Executive shall have no
                           further cure period with respect thereto.
                           Notwithstanding the foregoing and regardless of the
                           grounds for the termination, the Executive shall be
                           entitled to so correct and cure only one (1) time
                           during the Term.

                  (ii)     In the event that the Executive desires to terminate
                           his employment with the Company for Good Reason
                           pursuant to Section 4(c) hereof, the Executive shall
                           first deliver to the Company a written notice which
                           shall (A) indicate the specific provisions of this
                           Agreement relied upon for such termination, (B) set
                           forth in reasonable detail the facts and
                           circumstances claimed to provide the grounds for such
                           termination, and (C) describe the steps, actions,
                           events or other items that must be taken, completed
                           or followed by the Company to correct or cure the
                           grounds for such termination. The Company shall then
                           have thirty (30) days following the effective date of
                           such notice to fully correct and cure the grounds for
                           the termination by the Executive of his employment.
                           If the Company does not fully correct and cure such
                           grounds within such thirty (30) day period, then the
                           Executive shall have the right to terminate his
                           employment with the Company immediately upon
                           delivering to the Company a Notice of Termination,
                           and the Company shall have no further cure period
                           with respect thereto. Notwithstanding the foregoing
                           and regardless of the grounds for the termination,
                           the Company shall be entitled to so correct and cure
                           only one (1) time during the Term.

         Section 5. Payment Upon Termination of Employment. Upon the termination
of the Executive's employment with the Company by virtue of either the Company
or the Executive providing to the other the Non-Renewal Notice contemplated by
Section 1(b) hereof or upon the termination of the Executive's employment with
the Company pursuant to Section 4 hereof, the Executive shall receive, subject
to Section 5(g), the following in accordance with the appropriate subsection
below:

         (a) Termination by the Company for Cause or by the Executive Without
Good Reason. Upon the termination of the Executive's employment by the Company
for Cause pursuant to Section 4(a) hereof or by the Executive without Good
Reason pursuant to Section 4(d) hereof, the Company shall pay to the Executive
(i) that portion of his Base Salary earned through the Last Day of Employment,
(ii) an amount, payable in a lump sum, equal to the Executive's monthly Base
Salary for three (3) months, which the Executive agrees shall constitute
adequate consideration for his covenants and agreements set forth in Section 6
(Non-Disclosure, etc.), Section 7 (Non-Competition), Section 8
(Non-Solicitation) and Section 9

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(Intellectual Property) of this Agreement, (iii) all amounts that have become
fully vested and properly payable on or before the Last Day of Employment under
all retirement plans sponsored by the Company in accordance with the provisions
of such plans, and (iv) all other amounts that are properly payable to the
Executive by the Company that have not been paid to him on or before the Last
Day of Employment.

         In addition, unless expressly provided otherwise in the STIP or the
LTIP or in a written agreement between the Company and the Executive relating to
awards under the STIP or the LTIP (an "Award Agreement"), all awards granted to
the Executive under the STIP and the LTIP that have become fully vested,
exercisable or earned on or before the Date of the Termination Notice, (y) in
the event of a termination of the Executive's employment by the Company for
Cause, shall be forfeited or shall not be exercisable or paid, as the case may
be, as of and following the Date of the Termination Notice, and (z) in the event
of a termination of the Executive's employment by the Executive without Good
Reason, shall be distributed or paid to the Executive within, or shall be
exercisable by the Executive for, as the case may be, sixty (60) days following
the Last Day of Employment, unless expressly provided otherwise in the STIP or
the LTIP or in the applicable Award Agreement(s). All awards granted to the
Executive under the STIP and the LTIP that have not become fully vested,
exercisable or earned on or before the Date of the Termination Notice shall be
forfeited or shall not be exercisable, distributed or paid, as the case may be,
as of and following the Date of the Termination Notice, unless expressly
provided otherwise in the STIP or the LTIP or in the applicable Award
Agreement(s).

         (b) Termination by the Company Without Cause or by the Executive For
Good Reason. Upon the termination of the Executive's employment by the Company
without Cause pursuant to Section 4(b) hereof or by the Executive for Good
Reason pursuant to Section 4(c) hereof, the Company shall pay to the Executive
(i) that portion of his Base Salary earned through the Last Day of Employment,
(ii) if the Last Day of Employment is on or prior to December 31 2006, an amount
(payable in twelve (12) equal monthly installments) equal to Five Hundred Fifty
Thousand Dollars ($550,000), or if the Last Day of Employment is subsequent to
December 31, 2006, an amount (payable in twenty-four (24) equal monthly
installments) equal to the sum of (A) two (2) times the Executive's Base Salary
and (B) two (2) times the average of the awards paid to the Executive under the
STIP in the two (2) fiscal years of the Company ended immediately preceding the
Last Day of Employment (but in no event greater than two (2) times the average
of the "target" award amounts under the STIP for such two (2) year period),
(iii) all amounts that have become fully vested and properly payable on or
before the Last Day of Employment under all retirement plans sponsored by the
Company in accordance with the provisions of such plans, and (iv) all other
amounts that are properly payable to the Executive by the Company that have not
been paid to him on or before the Last Day of Employment.

         In addition, all awards granted to the Executive under the STIP and the
LTIP that have become fully vested, exercisable or earned on or before the Last
Day of Employment shall be distributed or paid to the Executive within, or shall
be exercisable by the Executive for, as the case may be, sixty (60) days
following the Last Day of Employment, unless expressly provided otherwise in the
STIP or the LTIP or in the applicable Award Agreement(s). With respect to the
awards granted to the Executive under the STIP and the LTIP that have not become
fully vested, exercisable or earned on or before the Last Day of Employment,
one-half (1/2) of such awards

                                       11

<PAGE>

(but in no event greater than one-half (1/2) of the "target" award amounts
under the STIP and the LTIP for the applicable years) shall become vested,
exercisable or earned on the day immediately following the Last Day of
Employment and shall be distributed or paid to the Executive within, or shall be
exercisable by the Executive for, as the case may be, sixty (60) days following
the Last Day of Employment, unless expressly provided otherwise in the STIP or
the LTIP or in the applicable Award Agreement(s). The remaining one-half (1/2)
of such awards shall be forfeited or shall not be exercisable, distributed or
paid, as the case may be, as of and following the Last Day of Employment.

         If the Executive elects to continue coverage under the Company's group
health insurance plan for himself and/or his spouse under the Consolidated
Omnibus Budget Reconciliation Act of 1986, as amended ("COBRA"), the Company
shall reimburse the Executive for the premiums paid by the Executive associated
with such continued coverage until the earlier of (I) the end of the Executive's
entitlement to continued coverage under the Company's group health insurance
plan under COBRA, or (II) the date on which the Executive becomes covered by a
health plan sponsored by another employer.

         (c) Termination Upon Death of the Executive. Upon the death of the
Executive, the Company shall pay to the Executive's estate (i) that portion of
the Executive's Base Salary earned through the date of his death, (ii) all
amounts that have become fully vested on or before the Last Day of Employment
under all retirement plans of the Company in accordance with the provisions of
such plans, and (iii) all other amounts that are properly payable to the
Executive by the Company that have not been paid to him on or before the Last
Day of Employment.

         In addition, all awards granted to the Executive under the STIP and the
LTIP that have become fully vested, exercisable or earned on or before the Last
Day of Employment shall be distributed or paid to the Executive's estate within,
or shall be exercisable by the Executive's estate for, as the case may be, one
(1) year following the date of the Executive's death, unless expressly provided
otherwise in the STIP or the LTIP or in the applicable Award Agreement(s). All
awards granted to the Executive under the STIP and the LTIP that have not become
fully vested, exercisable or earned on or before the Last Day of Employment
shall continue to vest, or to become exercisable or payable, as the case may be,
in accordance with the appropriate schedule regarding vesting, exercisability or
payment established at the time of the grant of the award (but in no event
greater than the "target" award amounts under the STIP and the LTIP for the
applicable years) and shall be distributed or paid to the Executive's estate
within, or shall be exercisable by the Executive's estate for, as the case may
be, thirty (30) days following the date that such award becomes fully vested,
exercisable or earned, unless expressly provided otherwise in the STIP or the
LTIP or in the applicable Award Agreement(s).

         (d) Termination Upon a Disability. Upon the termination of the
Executive's employment by the Company upon the occurrence of a Disability
pursuant to Section 4(e) hereof, the Company shall pay to the Executive (i) that
portion of the Executive's Base Salary earned through the Last Day of
Employment, (ii) all amounts that have fully vested as of the Last Day of
Employment under all retirement plans of the Company in accordance with the
provisions of such plans, and (iii) all other amounts that are properly payable
to the Executive by the Company that have not been paid to him on or before the
Last Day of Employment.

                                       12

<PAGE>

         In addition, all awards granted to the Executive under the STIP and the
LTIP that have become fully vested, exercisable or earned on or before the Last
Day of Employment shall be distributed or paid to the Executive within, or shall
be exercisable by the Executive for, as the case may be, one (1) year following
the Last Day of Employment, unless expressly provided otherwise in the STIP or
the LTIP or in the applicable Award Agreement(s). All awards granted to the
Executive under the STIP and the LTIP that have not become fully vested,
exercisable or earned on or before the Last Day of Employment shall continue to
vest, or to become exercisable or paid, as the case may be, in accordance with
the appropriate schedule regarding vesting, exercisability or payment
established at the time of the grant of the award (but in no event greater than
the "target" award amounts under the STIP and the LTIP for the applicable years)
and shall be distributed or paid to the Executive within, or shall be
exercisable by the Executive for, as the case may be, thirty (30) days following
the date that such award becomes fully vested, exercisable or earned, as the
case may be, unless expressly provided otherwise in the STIP or the LTIP or in
the applicable Award Agreement(s).

         (e) Termination by the Executive Upon a Change in Control. Upon the
termination of the Executive's employment by the Executive following the
occurrence of a Change in Control pursuant to Section 4(f) hereof, the Company
shall pay to the Executive (i) that portion of his Base Salary earned through
the Last Day of Employment, (ii) an amount (payable in twenty-four (24) equal
monthly installments) equal to the sum of (A) two (2) times the Executive's Base
Salary and (B) two (2) times the average of the awards paid to the Executive
under the STIP in the two (2) fiscal years of the Company ended immediately
preceding the Last Day of Employment (but in no event greater than two (2) times
the average of the "target" award amounts under the STIP for such two (2) year
period), (iii) all amounts that have become fully vested on or before the Last
Day of Employment under all retirement plans of the Company in accordance with
the provisions of such plans, and (iv) all other amounts that are properly
payable to the Executive by the Company that have not been paid to him on or
before the Last Day of Employment.

         In addition, all awards granted to the Executive under the STIP and the
LTIP that have become fully vested, exercisable or earned on or before the Last
Day of Employment shall be distributed or paid to the Executive within, or shall
be exercisable by the Executive for, as the case may be, sixty (60) days
following the Last Day of Employment, unless expressly provided otherwise in the
STIP or the LTIP or in the applicable Award Agreement(s). With respect to the
awards granted to the Executive under the STIP and the LTIP that have not become
fully vested, exercisable or earned on or before the Last Day of Employment, all
of such awards (but in no event greater than the "target" award amounts under
the STIP and the LTIP for the applicable years) shall become fully vested,
exercisable or earned on the day immediately following the Last Day of
Employment and shall be distributed or paid to the Executive within, or shall be
exercisable by the Executive for, as the case may be, sixty (60) days following
the Last Day of Employment, unless expressly provided otherwise in the STIP or
the LTIP or in the applicable Award Agreement(s).

         If the Executive elects to continue coverage under the Company's group
health insurance plan for himself and/or his spouse under COBRA, the Company
shall reimburse the Executive

                                       13

<PAGE>

for the premiums paid by the Executive associated with such continued coverage
until the earlier of (I) the end of the Executive's entitlement to continued
coverage under the Company's group health insurance plan under COBRA, or (II)
the date on which the Executive becomes covered by a health plan sponsored by
another employer.

         (f) Non-Renewal Pursuant to Section 1(b) of this Agreement. If the
Company provides the Non-Renewal Notice to the Executive, the Company shall pay
to the Executive (i) that portion of his Base Salary earned through the Last Day
of Employment, (ii) an amount (payable in twenty-four (24) equal monthly
installments) equal to the sum of (A) two (2) times the Executive's Base Salary
and (B) two (2) times the average of the awards paid to the Executive under the
STIP in the two (2) fiscal years of the Company ended immediately preceding the
Last Day of Employment (but in no event greater than two (2) times the average
of the "target" award amounts under the STIP for such two (2) year period),
(iii) all amounts that have become fully vested and properly payable on or
before the Last Day of Employment under all retirement plans sponsored by the
Company in accordance with the provisions of such plans, and (iv) all other
amounts that are properly payable to the Executive by the Company that have not
been paid to him on or before the Last Day of Employment. If the Executive
provides the Non-Renewal Notice to the Company, the Company shall pay to the
Executive (w) that portion of his Base Salary earned through the Last Day of
Employment, (x) an amount (payable in twelve (12) equal monthly installments)
equal to the sum of (A) the Executive's Base Salary and (B) the average of the
awards paid to the Executive under the STIP in the two (2) fiscal years of the
Company ended immediately preceding the Last Day of Employment (but in no event
greater than the average of the "target" award amounts under the STIP for such
two (2) year period), (y) all amounts that have become fully vested and properly
payable on or before the Last Day of Employment under all retirement plans
sponsored by the Company in accordance with the provisions of such plans, and
(z) all other amounts that are properly payable to the Executive by the Company
that have not been paid to him on or before the Last Day of Employment.

         In addition, all awards granted to the Executive under the STIP and the
LTIP that have become fully vested, exercisable or earned on or before the Last
Day of Employment shall be distributed or paid to the Executive within, or shall
be exercisable by the Executive for, as the case may be, sixty (60) days
following the Last Day of Employment, unless expressly provided otherwise in the
STIP or the LTIP or in the applicable Award Agreement(s). Unless expressly
provided otherwise in the STIP or the LTIP or in the applicable Award
Agreement(s), all awards granted to the Executive under the STIP and the LTIP
that have not become fully vested, exercisable or earned on or before the Last
Day of Employment, (I) in the event the Company provides the Non-Renewal Notice
to the Executive, shall continue to vest, or to become exercisable or paid, as
the case may be, in accordance with the appropriate schedule regarding vesting,
exercisability or payment established at the time of the grant of the award (but
in no event greater than the "target" award amounts under the STIP and the LTIP
for the applicable years) and shall be distributed or paid to the Executive
within, or shall be exercisable by the Executive for, as the case may be, thirty
(30) days following the date that such award becomes fully vested, exercisable
or earned, as the case may be, and (II) in the event the Executive provides the
Non-Renewal Notice to the Company, shall be forfeited or shall not be
exercisable, distributed or paid, as the case may be, as of and following the
Last Day of Employment.

                                       14

<PAGE>

         If the Company provides the Non-Renewal Notice to the Executive and if
the Executive elects to continue coverage under the Company's group health
insurance plan for himself and/or his spouse under COBRA, the Company shall
reimburse the Executive for the premiums paid by the Executive associated with
such continued coverage until the earlier of (i) the end of the Executive's
entitlement to continued coverage under the Company's group health insurance
plan under COBRA, or (ii) the date on which the Executive becomes covered by a
health plan sponsored by another employer.

         (g) Certain Limitations. The Company's obligation to pay any amount to
the Executive under this Section 5 shall terminate immediately without
reinstatement of any obligation of the Company to resume paying the Executive
hereunder if the Executive breaches any of the provisions of this Agreement. In
addition, the Executive waives any right to, and agrees not to file any claim
for, unemployment compensation in the event of any termination of his employment
with the Company.

         Notwithstanding any other provision of this Section 5, if the Company
becomes obligated to make monthly payments to the Executive pursuant to this
Section 5 (the "Monthly Severance Payments") over a period of time which is
twelve (12) months or longer (the "Severance Period") and the Executive obtains
an employee or similar position with another Person during or prior to the
Severance Period, then the Monthly Severance Payments shall terminate or be
reduced as set forth in this paragraph. For purposes of this paragraph, the "New
Monthly Compensation" shall mean the monthly base salary or monthly consulting
fee associated with the Executive's new position with another Person. In the
event that the New Monthly Compensation is equal to or greater than the
Executive's monthly Base Salary on the Last Day of Employment, then the
Company's obligation to pay additional Monthly Severance Payments shall
immediately terminate. In the event that the New Monthly Compensation is less
than the Executive's monthly Base Salary on the Last Day of Employment, then the
Monthly Severance Payments shall, for the remainder of the Severance Period, be
reduced such that they shall equal solely the amount by which the Executive's
monthly Base Salary on the Last Day of Employment exceeds the New Monthly
Compensation.

         If the Monthly Severance Payments have been terminated or reduced in
accordance with the foregoing paragraph, then the portion of the Monthly
Severance Payments that are based upon any average of awards under the STIP
shall terminate at the same time. Once the Company's obligation to pay Monthly
Severance Payments has been terminated or reduced as provided in the foregoing
paragraph, such obligation shall not thereafter be reinstated or increased, in
whole or in part. The Executive shall promptly provide written notice to the
Company of his new position with another Person, which shall include an adequate
confirmation of his New Monthly Compensation. The Executive shall not have any
duty to mitigate the amount of the Monthly Severance Payments and shall not do
any act or thing relating to his compensation from his new position with another
Person to circumvent, diminish or prevent the operation of the foregoing
paragraph.

         The Executive hereby agrees that the Monthly Severance Payments
constitute adequate consideration for his covenants and agreements set forth in
Section 6 (Non-Disclosure, etc.), Section 7 (Non-Competition), Section 8
(Non-Solicitation) and Section 9 (Intellectual Property)

                                       15

<PAGE>

of this Agreement. The Executive further agrees that any termination or
reduction of the Monthly Severance Payments in accordance with this Section 5(g)
shall not affect in any manner the Executive's covenants and agreements in
Section 6 (Non-Disclosure, etc.), Section 7 (Non-Competition), Section 8
(Non-Solicitation) and Section 9 (Intellectual Property) of this Agreement.

         Section 6. Non-Disclosure; Return of Confidential Information and Other
Property.

         (a) Confidential Information; Non-Disclosure. At all times while the
Executive is employed by the Company and at all times thereafter, the Executive
shall not (i) directly or indirectly disclose, provide or discuss any
Confidential Information with or to any Person other than those directors,
officers, employees, representatives and agents of the Company and any of its
subsidiaries or affiliates who need to know such Confidential Information for a
proper corporate purpose, and (ii) directly or indirectly use any Confidential
Information (A) to compete against the Company or any of its subsidiaries or
affiliates, or (B) for the Executive's own benefit or for the benefit of any
Person other than the Company or any of its subsidiaries or affiliates. The
Executive agrees that all Confidential Information is and at all times shall
remain the property of the Company or any of its subsidiaries or affiliates, as
applicable.

         For purposes of this Agreement, the term "Confidential Information"
means

                  (i)      any and all materials, records, data, documents,
                           lists, writings and information (whether in writing,
                           printed, verbal, electronic, computerized, on disk or
                           otherwise) (A) relating or referring in any manner to
                           the business, operations, affairs, financial
                           condition, results of operation, assets, liabilities,
                           sales, revenues, income, estimates, projections,
                           budgets, policies, strategies, techniques, methods,
                           products, developments, suppliers, vendors,
                           relationships and/or customers of the Company or any
                           of its subsidiaries or affiliates that are
                           confidential, proprietary or not otherwise publicly
                           available, in any event not through a breach of this
                           Agreement, or (B) that the Company or any of its
                           subsidiaries or affiliates has deemed confidential,
                           proprietary or nonpublic;

                  (ii)     any and all trade secrets of the Company or any of
                           its subsidiaries or affiliates; and

                  (iii)    any and all copies, summaries, analyses and extracts
                           which relate or refer to or reflect any of the items
                           set forth in (i) or (ii) above.

         (b) Return of Confidential Information and Other Property. The
Executive covenants and agrees (i) to return promptly to the Company all
Confidential Information that is still in the Executive's possession or control
on the Last Day of Employment (including, but not limited to, any Confidential
Information contained on the Executive's personal or home computer), and (ii) to
return promptly to the Company, at the Company's headquarters, all vehicles,
equipment, computers, credit cards and other property of the Company that are
still in the Executive's

                                       16

<PAGE>

possession or control on the Last Day of Employment, and to cease using any of
the foregoing as of the Last Day of Employment.

         Section 7. Non-Competition.

         (a) The Executive hereby understands, acknowledges and agrees that he
has not been employed in the furniture manufacturing industry prior to the date
of this Agreement and that, by virtue of his position as Chief Executive Officer
of the Company, the Executive will have advantageous familiarity and personal
contacts with the suppliers, vendors and customers, wherever located, of the
Company and its subsidiaries or affiliates and will have advantageous
familiarity with the Confidential Information and the business, operations,
affairs and strategy of the Company and its subsidiaries or affiliates.
Accordingly, at all times while the Executive is employed by the Company and for
a period of two (2) years following his Last Day of Employment, the Executive
shall not, in any location within the United States of America, directly or
indirectly, or individually or together with any other Person, as owner,
shareholder, investor, member, partner, proprietor, principal, director,
officer, employee, manager, agent, representative, independent contractor,
consultant or otherwise:

                  (i)      engage in or assist another Person in engaging in, or
                           use or permit his name to be used in connection with,
                           any business, operation or activity which competes
                           with any business, operation or activity conducted or
                           proposed to be conducted by the Company or any of its
                           subsidiaries or affiliates (or which is in the same
                           or a similar line of business as the Company or any
                           of its subsidiaries or affiliates) at any time during
                           the Executive's employment with the Company; or

                  (ii)     engage in or assist another Person in engaging in, or
                           use or permit his name to be used in connection with,
                           any business, operation or activity which competes
                           with any business, operation or activity conducted by
                           the Company or any of its subsidiaries or affiliates
                           (or which is in the same or a similar line of
                           business as the Company or any of its subsidiaries or
                           affiliates) at any time during such two (2) year
                           period following his Last Day of Employment; or

                  (iii)    finance, join, operate or control any business,
                           operation or activity which competes with any
                           business, operation or activity conducted or proposed
                           to be conducted by the Company or any of its
                           subsidiaries or affiliates (or which is in the same
                           or a similar line of business as the Company or any
                           of its subsidiaries or affiliates) at any time during
                           the Executive's employment with the Company; or

                  (iv)     finance, join, operate or control any business,
                           operation or activity which competes with any
                           business, operation or activity conducted by the
                           Company or any of its subsidiaries or affiliates (or
                           which is in the same or a similar line of business as
                           the Company or any of its subsidiaries or

                                       17

<PAGE>

                           affiliates) at any time during such two (2) year
                           period following his Last Day of Employment; or

                  (v)      offer or provide employment, hire or engage (whether
                           on a full-time, part-time or consulting basis or
                           otherwise) any individual who has been an employee of
                           the Company or any of its subsidiaries or
                           affiliates within one (1) year prior to such offer,
                           hiring or engagement.

         Provided, however, that this Section 7(a) shall not prohibit the
Executive from owning up to one percent (1%) of the outstanding shares of
capital stock of any company or other entity which files reports or other
information with the U.S. Securities and Exchange Commission.

         (b) The Executive acknowledges the nationwide scope of the business of
the Company and its subsidiaries or affiliates. Nevertheless, if the foregoing
provisions of Section 7(a) are found to be unenforceable by a court of competent
jurisdiction because such provisions are not sufficiently limited to specific
geographic areas, then the restrictions contained in Section 7(a) upon the
Executive may be limited to the geographic areas consisting of one hundred (100)
miles from each city, town, village, municipality or other location in the
United States of America in which the Company or any of its subsidiaries or
affiliates maintains an office, manufacturing facility, warehouse or showroom on
his Last Day of Employment.

         Notwithstanding the foregoing, in the event that any provision of this
Section 7 is found by a court of competent jurisdiction to exceed the time,
geographic or other restrictions permitted by applicable law in any
jurisdiction, then such court shall have the power to reduce, limit or reform
(but not to increase or make greater) such provision to make it enforceable to
the maximum extent permitted by law, and such provision shall then be
enforceable against the Executive in its reduced, limited or reformed manner;
provided, however, that a provision shall be enforceable in its reduced, limited
or reformed manner only in the particular jurisdiction in which a court of
competent jurisdiction makes such determination. In addition, the Company and
the Executive agree that the provisions of this Section 7 shall be severable in
accordance with Section 13(e) hereof.

         Section 8. Non-Solicitation.

         The Executive hereby understands, acknowledges and agrees that he has
not been employed in the furniture manufacturing industry prior to the date of
this Agreement and that, by virtue of his position as the Chief Executive
Officer of the Company, the Executive will have advantageous familiarity and
personal contacts with the suppliers, vendors and customers, wherever located,
of the Company and its subsidiaries or affiliates and will have advantageous
familiarity with the Confidential Information and the business, operations,
affairs and strategy of the Company and its subsidiaries or affiliates.
Accordingly, at all times while the Executive is employed by the Company and for
a period of two (2) years following his Last Day of Employment, the Executive
shall not, directly or indirectly, or individually or together with any other
Person, as owner, shareholder, investor, member, partner, proprietor, principal,
director, officer, employee, manager, agent, representative, independent
contractor, consultant or otherwise:

                                       18

<PAGE>

         (a) solicit in any manner, seek to obtain or service any business of
any Person who is or was a customer or an active prospective customer of the
Company or any of its subsidiaries or affiliates at any time during the
Executive's employment with the Company, where the solicitation is for the
purpose of offering products or services competitive with those sold or offered
by the Company at any time during the Executive's employment with the Company;
or

         (b) request or advise any customers, suppliers, vendors or others doing
business with the Company or any of its subsidiaries or affiliates at any time
during the Executive's employment with the Company to terminate, reduce, limit
or change their business or relationship with the Company or any of its
subsidiaries or affiliates; or

         (c) request or advise any customers, suppliers, vendors or others doing
business with the Company or any of its subsidiaries or affiliates at any time
during such two (2) year period following his Last Day of Employment to
terminate, reduce, limit or change their business or relationship with the
Company or any of its subsidiaries or affiliates; or

         (d) induce, request or attempt to influence any employee of the Company
or any of its subsidiaries or affiliates at any time during the Executive's
employment with the Company or during such two (2) year period following the
Last Day of Employment to terminate his or her employment with the Company or
any of its subsidiaries or affiliates.

         Notwithstanding the foregoing, in the event that any provision of this
Section 8 is found by a court of competent jurisdiction to exceed the time or
other restrictions permitted by applicable law in any jurisdiction, then such
court shall have the power to reduce, limit or reform (but not to increase or
make greater) such provision to make it enforceable to the maximum extent
permitted by law, and such provision shall then be enforceable against the
Executive in its reduced, limited or reformed manner; provided, however, that a
provision shall be enforceable in its reduced, limited or reformed manner only
in the particular jurisdiction in which a court of competent jurisdiction makes
such determination. In addition, the Company and the Executive agree that the
provisions of this Section 8 shall be severable in accordance with Section 13(e)
hereof.

         Section 9. Intellectual Property. The Executive understands,
acknowledges and agrees that each and every invention, discovery, improvement,
device, design, apparatus, practice, process, method, technique or product
(whether patentable or copyrightable or not) made, developed, perfected,
devised, conceived, worked on or first reduced to practice by the Executive,
either solely or in collaboration with others, during the period of the
Executive's employment with the Company (whether or not during regular working
hours) relating, directly or indirectly, to the business, operations, affairs,
products, practices, techniques or methods of the Company or any of its
subsidiaries or affiliates (the "Developments") is and shall be the property of
the Company or its subsidiaries or affiliates, as applicable. The Executive
hereby assigns and agrees to assign to the Company or its subsidiaries or
affiliates, as applicable, any and all of the Executive's right, title and
interest in and to any and all Developments and hereby forever and
unconditionally releases and relinquishes any and all rights that he may have
with respect to any and all of the Developments.

                                       19

<PAGE>

         Section 10. Periods of Noncompliance and Reasonableness of Periods. The
restrictions and covenants contained in Sections 7 and 8 of this Agreement shall
be deemed not to run during all periods of noncompliance, the intention of the
parties hereto being to have such restrictions and covenants apply during the
full periods specified in Sections 7 and 8 of this Agreement. The Company and
the Executive understand, acknowledge and agree that the restrictions and
covenants contained in Section 7 and Section 8 of this Agreement are reasonable
in view of the Executive's positions as the Chief Executive Officer of the
Company and the nature of the business in which the Company and its subsidiaries
and affiliates are engaged.

         The Company's obligation to pay the amounts payable to the Executive
pursuant to this Agreement shall immediately terminate without reinstatement of
any obligation to resume paying the Executive under this Agreement in the event
that the Executive breaches any of the provisions of Sections 6, 7, 8 or 9
hereof. Notwithstanding any such termination of the Company's obligation to pay,
(a) the covenants of the Executive set forth in Sections 6, 7, 8 and 9 hereof
shall continue in full force and effect and be binding upon the Executive, (b)
the Company shall be entitled to the remedies specified in Section 12 hereof,
and (c) the Company shall be entitled to its damages, costs and expenses
(including, without limitation, reasonable attorneys fees and expenses)
resulting from or relating to the Executive's breach of any of the provisions of
Sections 6, 7, 8 or 9 hereof.

         Section 11. Survival of Certain Provisions. Upon any termination of the
Executive's employment with the Company at or prior to the expiration of the
Term, both the Company and the Executive hereby agree that Sections 1, 2, 3 and
4 of this Agreement shall terminate and be of no force or effect (except for the
definitions of terms specified in such sections) and that Sections 5, 6, 7, 8,
9, 10, 11, 12 and 13 hereof shall continue to be in full force and effect and
binding upon the Company or the Executive, as the case may be, in accordance
with the respective provisions of such Sections. Upon any termination of the
Executive's employment with the Company following the expiration of the Term,
both the Company and the Executive hereby agree that Sections 1, 2, 3, 4 and 5
of this Agreement shall terminate and be of no further force or effect (except
for the definitions of terms specified in such sections) and that Sections 6, 7,
8, 9, 10, 11, 12 and 13 hereof shall continue to be in full force and effect and
binding upon the Company or the Executive, as the case may be, in accordance
with the respective provisions of such Sections.

         Section 12. Remedies. The Executive agrees that the Company will suffer
irreparable damage and injury and will not have an adequate remedy at law in the
event of any actual, threatened or attempted breach by the Executive of any
provision of Sections 6, 7, 8 or 9. Accordingly, in the event of a breach or a
threatened or attempted breach by the Executive of any provision of Sections 6,
7, 8 or 9, in addition to all other remedies to which the Company is entitled at
law, in equity or otherwise, the Company shall be entitled to a temporary
restraining order and a permanent injunction or a decree of specific performance
of any provision of Sections 6, 7, 8 or 9. The parties agree that a bond posted
by the Company in the amount of One Thousand Dollars ($1,000) shall be adequate
and appropriate in connection with such restraining order or injunction and that
actual damages need not be proved by the Company prior to it being entitled to
obtain such restraining order, injunction or specific performance. The foregoing

                                       20

<PAGE>
remedies shall not be deemed to be the exclusive rights or remedies of the
Company for any breach of or noncompliance with this Agreement by the Executive
but shall be in addition to all other rights and remedies available to the
Company at law, in equity or otherwise.

         Section 13. Miscellaneous.

         (a) Binding Effect; Assignment. This Agreement shall be binding upon
and inure to the benefit of the Company and the Executive and their respective
heirs, executors, representatives, successors and assigns; provided, however
that neither party may assign this Agreement without the prior written consent
of the other party hereto except that the Company may, without the consent of
the Executive, assign this Agreement in connection with any merger,
consolidation, share exchange, combination, sale of stock or assets or similar
transaction involving the Company or any transaction or series of transaction
constituting a Change in Control.

         (b) Waiver. Either party hereto may, by a writing signed by the waiving
party, waive the performance by the other party of any of the covenants or
agreements to be performed by such other party under this Agreement. The waiver
by either party hereto of a breach of or noncompliance with any provision of
this Agreement shall not operate or be construed as a continuing waiver or a
waiver of any other or subsequent breach or noncompliance hereunder. The failure
or delay of either party at any time to insist upon the strict performance of
any provision of this Agreement or to enforce its rights or remedies under this
Agreement shall not be construed as a waiver or relinquishment of the right to
insist upon strict performance of such provision, or to pursue any of its rights
or remedies for any breach hereof, at a future time.

         (c) Amendment. This Agreement may be amended, modified or supplemented
only by a written agreement executed by all of the parties hereto.

         (d) Headings. The headings in this Agreement have been inserted solely
for ease of reference and shall not be considered in the interpretation or
construction of this Agreement.

         (e) Severability. In case any one or more of the provisions (or any
portion thereof) contained herein shall, for any reason, be held to be invalid,
illegal or unenforceable in any respect, such invalidity, illegality or
unenforceability shall not affect any other provision of this Agreement, but
this Agreement shall be construed as if such invalid, illegal or unenforceable
provision or provisions (or portion thereof) had never been contained herein;
provided, however, if any provision of Section 7 or 8 of this Agreement shall be
determined by a court of competent jurisdiction to be unenforceable because of
the provision's scope, duration, geographic restriction or other factor, then
such provision shall be considered divisible and the court making such
determination shall have the power to reduce or limit (but not increase or make
greater) such scope, duration, geographic restriction or other factor or to
reform (but not increase or make greater) such provision to make it enforceable
to the maximum extent permitted by law, and such provision shall then be
enforceable against the appropriate party hereto in its reformed, reduced or
limited form; provided further, however, that a provision shall be enforceable
in its reformed, reduced or limited form only in the particular jurisdiction in
which a court of competent jurisdiction makes such determination.

                                       21

<PAGE>

         (f) Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall be an original, but such counterparts shall
together constitute one and the same agreement.

         (g) Construction. This Agreement shall be deemed to have been drafted
by both parties hereto. This Agreement shall be construed in accordance with the
fair meaning of its provisions and its language shall not be strictly construed
against, nor shall ambiguities be resolved against, any party.

         (h) Review and Consultation. The Executive hereby acknowledges and
agrees that he (i) has read this Agreement in its entirety prior to executing
it, (ii) understands the provisions, effects and restrictions of this Agreement,
and (iii) has consulted with such of his own attorneys, accountants and
financial and other advisors as he has deemed appropriate in connection with his
execution of this Agreement. THE EXECUTIVE HEREBY UNDERSTANDS, ACKNOWLEDGES AND
AGREES THAT HE HAS NOT RECEIVED ANY ADVICE, COUNSEL OR RECOMMENDATION WITH
RESPECT TO THIS AGREEMENT FROM ANY DIRECTOR OR EMPLOYEE OF, OR ANY ATTORNEY,
ACCOUNTANT OR ADVISOR FOR, THE COMPANY.

         (i) Entire Agreement. This Agreement, and the plans, programs,
policies, procedures, rules and agreements referenced herein, constitute the
entire understanding and agreement between the parties hereto relating to the
subject matter hereof and supersede all other prior understandings, commitments,
representations, negotiations, contracts and agreements, whether oral or
written, between the parties hereto relating to the matters contemplated hereby.

         (j) Certain References. Whenever in this Agreement a singular word is
used, it also shall include the plural wherever required by the context and
vice-versa. All references to the masculine, feminine or neuter genders herein
shall include any other gender, as the context requires. Unless expressly
provided otherwise, all references in this Agreement to days shall mean
calendar, not business, days.

         (k) Governing Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of Indiana, without reference to any
choice of law provisions, principles or rules thereof (whether of the State of
Indiana or any other jurisdiction) that would cause the application of any laws
of any jurisdiction other than the State of Indiana.

         (l) Notices. All notices, requests and other communications hereunder
shall be in writing (which shall include facsimile communication) and shall be
deemed to have been duly given if (i) delivered by hand; (ii) sent by certified
United States Mail, return receipt requested, first class postage pre-paid;
(iii) sent by overnight delivery service; or (iv) sent by facsimile transmission
if such fax is confirmed immediately thereafter by also mailing a copy of such
notice, request or other communication by regular (not certified or registered)
United States Mail, first class postage pre-paid, as follows:

                                       22

<PAGE>

      If to the Company:                     Chromcraft Revington, Inc.
                                             Attention: Board of Directors
                                             1100 North Washington Street
                                             Delphi, Indiana 46923
                                             Telephone: (765) 564-3500
                                             Facsimile: (765) 564-6673

      With a copy to (which                  Krieg DeVault LLP
      shall not constitute notice):          Attention: Nicholas J. Chulos, Esq.
                                             One Indiana Square, Suite 2800
                                             Indianapolis, Indiana 46204
                                             Telephone: (317) 636-4341
                                             Facsimile: (317) 636-1507

      If to the Executive:                   Benjamin M. Anderson-Ray
                                             500 Glengate Cove
                                             Atlanta, Georgia 30328
                                             Telephone: (765) 564-3500
                                             Facsimile: (765) 564-6673

      With a copy to (which                  McKenna Long & Aldridge LLP
      shall not constitute notice):          Attention: R. Daniel Beale, Esq.
                                             303 Peachtree Street, Suite 5300
                                             Atlanta, Georgia 30308
                                             Telephone: (404) 527-4000
                                             Facsimile: (404) 527-4198

or to such other address or facsimile number as either party hereto may have
furnished to the other in writing in accordance herewith. The Executive shall
promptly provide any changes to his address, telephone number and facsimile
number to the Company.

         All such notices, requests and other communications shall be effective
(i) if delivered by hand, when delivered; (ii) if sent by mail in the manner
provided herein, two (2) business days after deposit with the United States
Postal Service; (iii) if sent by overnight delivery service, on the next
business day after deposit with such service; or (iv) if sent by facsimile
transmission, on the date indicated on the fax confirmation page of the sender
if such fax also is confirmed by mail in the manner provided herein.

         (m) Jurisdiction and Venue. The parties hereto hereby agree that all
demands, claims, actions, causes of action, suits, proceedings and litigation
between or among the parties relating to this Agreement, shall be filed, tried
and litigated only in a federal or state court located in the State of Indiana.
In connection with the foregoing, the parties hereto irrevocably consent to the
jurisdiction and venue of such court and expressly waive any claims or defenses
of lack of jurisdiction of or proper venue by such court.

                                       23

<PAGE>

         (n) Recitals. The recitals, premises and "Whereas" clauses contained on
page 1 of this Agreement are expressly incorporated into and made a part of this
Agreement.

         (o) Definition of Person. For purposes of this Agreement, the term
"Person" shall mean any natural person, proprietorship, partnership,
corporation, limited liability company, organization, firm, business, joint
venture, association, trust or other entity and any government agency, body or
authority.

         (p) Reimbursement of Certain Attorney's Fees. Upon the execution of
this Agreement by both parties and the presentation by the Executive of a
request for reimbursement, the Company shall promptly reimburse the Executive
for his attorney's fees incurred in reviewing and negotiating this Agreement, up
to a maximum of Ten Thousand Dollars ($10,000).

                                      * * *

                                       24

<PAGE>

         IN WITNESS WHEREOF, the Company and the Executive have made, entered
into, executed and delivered this Agreement as of the day and year first above
written.

                              /s/ Benjamin M. Anderson-Ray
                              --------------------------------------------
                              Benjamin M. Anderson-Ray

                              CHROMCRAFT REVINGTON, INC.

                              By: /s/ Frank T. Kane
                                  ----------------------------------------
                                  Frank T. Kane
                                  Vice President-Finance

                                       25

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