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CONFIDENTIAL TREATMENT REQUESTED  

***
Certain portions of this exhibit were omitted and marked with "***". Copies of this exhibit containing the omitted information have been filed separately with the Securities and Exchange
Commission pursuant to the Company's Application for Confidential Treatment under Rule 24b-2 under the Securities Exchange Act of 1934. 

 
 

Exhibit 10.1    
    

SUPPLY AGREEMENT  

        This agreement is entered into on June 30, 2003, between: 

        HUNTSMAN HOLLAND BV (hereinafter referred to as "Huntsman"), having its registered office at Merseyweg 10, NL-3197 KG Botlek RT,
Rozenburg, The Netherlands; and 

        HAM LLC (hereinafter referred to as "Customer"), having its registered office at 500 Huntsman Way, Salt Lake City, UT 84108 

        Conditions Precedent:    this agreement will only become effective upon the consummation of the proposed acquisition of the
Vantico Group of Companies by Matlin Patterson. 

        Huntsman
and Customer have agreed subject to the Conditions Precedent above on the following terms and conditions for the sale and supply of certain products by Huntsman (seller) to
Customer (buyer). 

        Products:    JEFFAMINES® including those listed in the Price/Price Review clause of this agreement. 

        Material Safety Data Sheets (MSDS):    Attached hereto in Annex 1. 

        Specifications:    As attached hereto in Annex 2. 

        Duration:    From the date of consummation of the proposed acquisition of the Vantico Group of Companies by Matlin Patterson
until *** ("Initial Duration"). Thereafter this Agreement shall automatically continue for successive periods of one calendar year, unless either party terminates this Agreement by giving at least six
(6) months written notice prior to the end of the Initial Duration or, thereafter, prior to the end of the then current calendar year. 

***
Portions of this paragraph have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

        Quantity—Huntsman's Maximum Supply Obligation:    *** te per calendar year in total for the various grades listed in
the Price/Price Review clause of this agreement. Quantities for the remaining part of 2003 after the start date of the Initial Duration shall be calculated from this on a pro-rata basis. 

***
Portions of this paragraph have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

        Quantity—Customer's Minimum Purchase Obligation:    *** te per calendar year in total for the various grades listed
in the Price/Price Review clause of this agreement. Quantities for the remaining part of 2003 after the start date of the Initial Duration shall be calculated from this on a pro-rata
basis. In the event that Customer's total annual requirement for Product falls below the minimum obligation to purchase, Customer will not be obligated to purchase from Huntsman quantities in excess
of those required. 

***
Portions of this paragraph have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

 

Forecasting: 

        Annual
Forecast: For the year 2003, Customer expects its requirements for the products to be *** te in total for the various grades listed in the Price/Price Review clause of this
agreement. Requirements for the remaining part of 2003 after the start date of the Initial Duration shall be calculated from this on a pro-rata basis. Customer will provide to Huntsman an
annual forecast for each calendar year following 2003 during the fourth quarter of the preceding calendar year. 

***
Portions of this paragraph have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

        Rolling
Forecast: The Customer shall provide Huntsman with a rolling three month forecast of the quantities required by Customer location and grade. The first month of this forecast
shall be regarded as a binding commitment. 

        Quality:    Huntsman warrants that the products supplied to Customer hereunder shall meet the attached specifications.
Otherwise, Huntsman makes no other warranty, whether express or implied, including warranties of merchantability or fitness for any particular purpose or otherwise. 

        Price/Price Review:    Prices for the year 2003 are as follows and subject to the price matching clause below: 

        Drum
pricing is also valid for grouped products. 

	GRADE
	 	PRICE (EURO/TE)

	D 230	 	Bulk (min 24-25 T)	 	*** DDP European Locations
	 	 	IBC full truck delivered	 	***
	DRUMS	 	 
	D 230	 	Min. 10 T lots	 	***
	 	 	Min. 5 T lots	 	***
	D 400	 	Min. 10 T lots	 	***
	 	 	Min. 5 T lots	 	***
	D 2000	 	Min. 10 T lots	 	***
	 	 	Min. 5 T lots	 	***
	T 403	 	Min. 10 T lots	 	***
	 	 	Min. 5 T lots	 	***
	Acc. 399	 	Min. 10 T lots	 	***
	 	 	Min. 5 T lots	 	***

***
Portions of this table have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

        For
each subsequent calendar year, the price will be mutually agreed during the fourth quarter of the preceding calendar year. 

        Payment Term:    End of the month of invoice. 

	GRADE
	 	VOLUME (LBS)
	 	PRICE (USD/LB)

	RUBINATE 1820	 	***	 	***
	RUBINATE 2020	 	***	 	***
	RUBINATE 3050	 	***	 	***
	RUBINATE 5005	 	***	 	***

***
Portions of this table have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

2

 

        For
each subsequent calendar year, prices will be mutually agreed during the fourth quarter of the preceding calendar year. 

        Payment Term:    End of the month of invoice. 

        Delivery Terms:    Delivered Duty Paid (DDP—Incoterms 2000) to any customer site. 

Shipment—Minimum Packaging: 

        Parties
shall from time to time separately agree on required transportation, product handling and ordering procedures. 

        Other Terms:    Other ordering, quality control, transportation, product handling and other supply chain formalities will be
separately agreed between the parties from time to time. In addition, Huntsman's General Terms and Conditions of Sale ("GT&C") shall apply. In case of deviation between these GT&C and the terms of
this Agreement, the latter shall prevail. 

        Applicable Law—Jurisdiction:    Dutch law—Courts of Rotterdam, The Netherlands. 

        The
parties have caused this Agreement to be executed in two (2) originals by their duly authorized and empowered representatives and each party acknowledges having receiving its
original. 

	
Huntsman Holland BV	
 	
Huntsman Advanced Materials LLC
	

by:  /s/  M.J. VAN DE MEER      
 Name:  MJ van de Meer

Title:    Managing Director

Date: 30 June 2003	
 	

by:  /s/  JOHN R. HESKETT      
 Name:  John R. Heskett

Title:    Vice President

Date: June 30, 2003

Annex 1: Material Safety Data Sheets 

Annex 2: Specifications of Products 

3

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CONFIDENTIAL TREATMENT REQUESTED  

***
Certain portions of this exhibit were omitted and marked with "***". Copies of this exhibit containing the omitted information have been filed separately with the Securities and Exchange
Commission pursuant to the Company's Application for Confidential Treatment under Rule 24b-2 under the Securities Exchange Act of 1934. 

 
 

Exhibit 10.2    
    

SERVICE LEVEL AGREEMENT  

        This Agreement is entered into between Huntsman International LLC, a company organised and existing under the laws of Delaware, USA and Huntsman (Europe) BVBA, a
company organized and existing under the laws of Belgium (together with their subsidiaries, hereinafter called "Huntsman"), and Huntsman Advanced Materials LLC and each of its subsidiaries
(collectively ("HAM"). 

        WHEREAS,
Huntsman and HAM constitute an international group of enterprises controlled by Huntsman Holdings LLC and Huntsman Group, Inc.; 

        WHEREAS,
HAM has a need for advice and assistance in the areas of, among others, planning and asset management, human resources and labor relations ("HR"), environmental, health and
safety ("EHS"), finance, legal matters, tax and treasury, information technology ("IT"), purchasing accommodations, communications and public affairs (collectively the "Services"); 

        WHEREAS,
Huntsman is staffed with highly experienced personnel and has therefore been selected to provide and coordinate Services to HAM, by drawing on its own resources as well as on
those available from third parties; 

        WHEREAS,
HAM is staffed with highly experienced personnel and may be in the future selected to provide Services to Huntsman, by drawing on its own resources as well as those available
from third parties; 

        WHEREAS,
this Agreement is being entered into for the benefit of both Huntsman and HAM; 

        WHEREAS,
Huntsman is willing to render Services to HAM and HAM desires to use such Services; 

        WHEREAS,
HAM is willing to render Services to Huntsman and Huntsman may desire to use such Services; 

        WHEREAS,
Huntsman and HAM desire to share in both the costs and benefits of any such Services rendered; 

        NOW
THEREFORE, in consideration of the premises and mutual covenants hereinafter contained, the parties hereby mutually agree as follows: 

	1.
	Engagement

	1.1.
	As
of the effective date of this Agreement, HAM engages Huntsman to render Services as described more fully in Section 2. below to commence as soon as practicable and to
continue as required by HAM throughout the term of this Agreement. HAM hereby requests Huntsman to perform these Services on a continuing basis without any further specific request.

	1.2.
	Huntsman
shall provide to HAM, at a time consistent with the budget process of the parties hereto, a budget of costs proposed to be incurred pursuant to this Agreement for that
calendar year. 

 

	2.
	Services

During
the term of this Agreement, subject to the terms and conditions stated herein, Huntsman will perform, or cause to be performed by qualified and authorized advisors, the following services for
the benefit of HAM. 

	2.1.
	In
the area of planning and asset management, Huntsman will provide:

	a)
	industry
economic analysis;

	b)
	advice
and assistance in the analysis of viability and financial alternatives for acquisition and other business development opportunities;

	c)
	information
and assistance in evaluating potential acquisition candidates;

	d)
	information
and assistance in the development of acquisition criteria;

	e)
	assistance
in negotiation of acquisitions and divestitures;

	f)
	information
and assistance in developing joint venture opportunities; and

	g)
	information
and assistance in developing normal plant security.

	2.2.
	In
the area of human resources and labor relations, Huntsman will provide:

	a)
	supervision
and assistance in development of benefit programs, administering expatriate employee programs and other personnel matters;

	b)
	advice
and assistance in human resources activities including succession planning, senior staffing, out-placement counseling, processing of grievances, suggestion awards,
management awards, management training and development, organizational development, consultation on total quality management, implementation of ISO-9000 standards performance management,
employee relations, change management and employee communications; and

	c)
	advice
and assistance concerning pension plans, welfare benefit plans, plans relating to health care, life insurance and disability, compensation plans, fringe benefits, labor
evaluation systems, local human resource policy, severance, retirement and relocation costs.

	2.3.
	In
the areas of tax, treasury and internal audit Huntsman will provide:

	a)
	advice
and assistance in establishing and maintaining short and long term credit facilities;

	b)
	advice
and assistance in maintaining and supporting foreign exchange management capability;

	c)
	review
of cash management practices to ensure optimum utilization of funds, including support in dealing with local banking establishments;

	d)
	purchase,
allocation and coordination of claims under global insurance policies;

	e)
	advice
and assistance in connection with loss prevention, risk management, legal risk, insurance matters, trends and changes in policies;

	f)
	advice
and assistance concerning taxation matters including development of tax planning opportunities, compliance with local country tax filing responsibilities, and general
consultations;

	g)
	technical
assistance in accounting issues and inventory management;

	h)
	review
of investment decisions and financial policies; 

2

 

	i)
	advice
and assistance in issuing accounting policies and procedures;

	j)
	advice
and assistance in financial control systems auditing including preparation of reports and results, discussion of results with business group management; and

	k)
	reviews
of administrative and internal controls in the accounting, financial and operating areas, reports of findings and recommendations to improve the quality of control systems and
the integrity of the financial information reported, based on the following guidelines and objectives:

	i)
	to
verify that accounting and administrative procedures are in place to ensure the physical custody and safety of corporate assets and the integrity of financial
transactions and reporting;

	ii)
	to
ensure that corporate resources are utilized with economy, efficiency and timeliness;

	iii)
	to
determine compliance with laws and regulations and company policies and procedures;

	iv)
	to
ensure that the activities of the organization are consistent with the established goals and objectives of the board of directors; and

	v)
	to
identify potential areas of risk and exposure to the organization.

	2.4.
	In
the area of legal matters, Huntsman will provide advice and assistance concerning legal matters, including preparation and review of legal documents, applications, renewals and
compliance with local legal requirements for patents, trademarks, licenses, technology exchange agreements, litigation matters, legal or business structure changes, general consultations, sale or
purchase of assets, acquisition, reorganization and mergers.

	2.5.
	In
the area of communications and public affairs, Huntsman will undertake internal and external communication on behalf of HAM and its management team, will support HAM by managing
the content on its intranet and internet service, provide regular news service, letters from senior manager, advice on ongoing communications, sourcing external suppliers, change management
communications support, marketing communications report, public affairs and financial communications support, customer and supplier communication support and media relations. Huntsman will also supply
communications training, crisis communications training and media training. Huntsman will also assist the HAM management ream in creating a culture of open and honest communication throughout the
business, in line with that adopted by Huntsman's business.

	2.6.
	In
the area of finance, accounting and IT matters Huntsman will:

	a)
	Advise
and plan the development and design of efficient cost effective management information systems, including planning, hardware and software, communication procedures and
organisation. Manage the implementation and operation of management information systems, including timetables, data content and formats, monitoring and control. Provide management information systems
to the business community, including development, training and support. Manage the development and cost efficient running of the ERP system, data warehouse, the WAN and the office environment.

	b)
	Provide
the development and design of new finance and IT organisation and processes to deliver a more cost effective organisation. Manage the implementation and operation of new
structures, including single entity operation in Europe, leveraging the use of existing HAM and Huntsman structures and resources worldwide, management of major contracts. 

3

 

	c)
	Provide
internal Huntsman corporate reporting, including operation of the TM1 database.

	d)
	Provide
and operate the HAM global financial consolidation system, including preparation of SEC filings, setting timetables, data format and content, issuing of accounting policies and
procedures, monitoring and control processes.

	e)
	Operate
forecasting and budgeting procedures, provide cost control.

	f)
	Operate
transfer pricing policies and processes.

	g)
	Manage
HAM's finance and IT compliance with relevant external and corporate standards and policies, including requirements of the Sarbanes Oxley Act.

	h)
	Assist
line management of HAM's finance and IT organisation in support of the above. Manage HR related issues, organisational development, people/career development, succession
planning, recruitment, etc. Leadership of HAM's IT strategies, tactics and policies.

	2.7.
	In
the area of EHS matters Huntsman will provide:

	a)
	Supervision
and assistance in development of EHS programs, administering implementation of global EHS standards, the development and execution of compliance auditing processes, and
management/resolution of EHS audit findings.

	b)
	Advice
and assistance in EHS activities including crisis management planning, EHS statistics reporting and incident notification, administration of security of sites and personnel,
risk management processes, EHS management training and development, EHS organizational development, consultation on development of Responsible Care Management Systems, and

	c)
	Advice
and assistance concerning HAM's merger and acquisition due-diligence activities, regulatory advocacy, medical/industrial hygiene program development, review of EHS/risk
management capital expenditures, transportation/distribution incident response systems, and product stewardship processes and associated training.

	2.8.
	In
the area of purchasing, Huntsman will:

	a)
	provide
purchasing strategies, tactics and policies;

	b)
	oversee
operational (site based) purchasing organizations;

	c)
	oversee/control
all spend through Huntsman's organisation;

	d)
	negotiate
all major spend items/contracts;

	e)
	provide
the annual purchasing and logistics budget for all variable and fixed costs as support to the business budget processes;

	f)
	provide
monthly/quarterly forecast at all agreed levels to the business and the corporate requirements;

	g)
	provide
the development of procurement processes, procedures and systems support in order to manage and control HAM's spend at all levels in the organisation; and

	h)
	oversee
HAM's purchasing and logistics' organisation compliance with corporate standards and policies.

	2.9.
	In
addition to the above Services, Huntsman agrees that Paul Hulme, Peter Bentley, Christophe Struyvelt and Mark Adams (or their successors) shall dedicate substantially all of 

4

 

their
working time to supporting HAM (the "Additional Support"). HAM agrees to reimburse Huntsman for all salaries, benefits, and out-of-pocket expenses associated with these
people. 

	3.
	Additional Services

	3.1.
	From
time to time, HAM may request additional Services hereunder, or Huntsman may request HAM to provide Services to Huntsman. Any such Services will be provided in accordance with
the terms hereof, including section 4 hereof.

	4.
	Service Fee

	4.1.
	In
consideration of the Services rendered hereunder, each party utilizing service agrees and undertakes to reimburse the other party by payment of a service fee which will be agreed
between the parties for each calendar year.

	4.2.
	The
service fee shall reflect all direct costs, and a fair and equitable allocation of all indirect costs, incurred in rendering Services, including:

	(i)
	all
cost of personnel, including salaries, wages and fringe benefits, and all out-of-pocket travel, living or other expenses incurred in
connection with the services and other related costs of personnel engaged in rendering the services;

	(ii)
	cost
of equipment; and

	(iii)
	all
overhead expenses.

	4.3.
	For
2003, the annualized indirect cost component of the service fee and the direct cost component of the Additional Support are set out in attachment A hereto.

	4.4.
	Both
parties acknowledge that the first six months after the effective date will coincide with the transition period of HAM becoming a member of the Huntsman Holdings LLC
group of businesses, and that the fee set out in this Clause may require adjustment after six months, subject to the agreement of both parties.

	4.5.
	There
shall be no profit mark-up added to the costs included in the service fee.

	4.6.
	If
the service fee is subject to withholding tax, VAT, or other levy imposed on an allocated cost, all parties will use their best efforts to minimize such taxes or to enable HAM to
obtain a refund or credit for any such tax in accordance with any relevant law or treaty.

	5.
	Payment

	5.1.
	All
service fees hereunder will be payable in twelve (12) monthly installments.

	5.2.
	Within
15 working days after the end of each calendar month, the provider of Services hereunder shall send an invoice to the other party with payment due 30 days after
date of the invoice.

	5.3.
	All
sums due under this Agreement shall be paid by an adjustment to the appropriate intercompany account, unless otherwise agreed. All sums shall be paid in United States dollars,
converted on the date of payment at the rate of exchange published by The Financial Times.

	6.
	Records and Documentation of Cost

	6.1.
	In
order to facilitate the determination of the amount of any service fees hereunder, each party hereto shall keep its books and records in sufficient detail to ascertain the costs
related to rendering the Services specified under Section 2. above. Each party's books and records shall be kept in accordance with generally accepted accounting principles and audited annually
by a certified international independent public accountant. Each party shall preserve such 

5

 

books
and records for a ten (10) year period after the calendar year to which such books and records relate. 

	6.2.
	Either
party shall be entitled to engage an independent certified public accountant to review the accounting records of the other party for purposes of verifying amounts due for
Services hereunder, and the parties shall allow access to its records for this purpose provided that such audits shall not be conducted more than once in any calendar year.

	7.
	Warranty

	7.1.
	Either
party's liability for a breach of this Agreement shall be limited to cases where the breach is directly attributable to the gross negligence or intentional misconduct of such
party or any of its employees.

	7.2.
	Either
party's liability for torts committed by itself or its employees shall be limited to cases where such party's or its employee's intentional misconduct or gross negligence is
the direct cause of the loss or damage. Either party's liability for torts committed by third parties which such party has engaged to help render services shall be limited to that amount of damages
that such party can recover from the third party.

	7.3.
	In
no case shall either party's liability hereunder exceed the amount of service fees paid by the other party for the 12 month period directly preceding the occurrence of the
events upon which the claim is based, and in no case shall either party be liable for indirect, consequential, special, or punitive damages, including without limitation lost profits.

	8.
	Term and Termination

	8.1.
	This
Agreement shall be effective as of 1 July 2003.

	8.2.
	This
Agreement shall continue in full force and effect for a period of at least seven years, unless terminated according to the provisions set out below.

	8.3.
	This
Agreement shall remain effective after the lapse of the aforementioned period of time, unless and until it is terminated by either party with 12 months written notice.

	8.4.
	If
either party shall materially breach any of the terms of this Agreement and, if the breach is capable of being remedied, fail to remedy the breach within thirty (30) days
of a written demand to remedy the same, the other party may terminate this Agreement with immediate effect. The fact that one party ceases to be directly or indirectly controlled by Huntsman
Group Inc. shall be deemed to constitute a material breach not capable of remedy.

	8.5.
	In
the event of a change of control of either party, the other party shall have the right to terminate this Agreement with 30 days notice.

	9.
	Amendments

	9.1.
	The
parties acknowledge that circumstances may change over time, and if at any time they should agree that this Agreement no longer provides for a fair balance between the interests
of all parties, they will make a good faith effort to implement such changes to this Agreement as they may deem appropriate.

	9.2.
	No
modification, amendment or waiver of this Agreement or any provision hereof shall be binding upon any party unless mutually agreed to, made in writing or confirmed in writing by
their duly authorized representatives. 

6

 

	10.
	Law

This
Agreement and the rights and obligations of the parties hereto shall be governed by and construed in accordance with the laws of the State of Utah without regard or giving effect to its
principles of conflict of laws. 

	11.
	Partial Invalidity

In
the event that any term or condition of this Agreement shall be declared invalid or otherwise unenforceable for any reason the validity of the remaining provisions shall not be affected thereby and
shall remain in full force and effect. 

	12.
	Notices

Any
payment, notice or communication ("Notice") required or permitted to be given under this Agreement shall be deemed to have been given when sent first class mail, telex or telefax or by any other
method of delivery capable of providing reasonable proof of receipt thereof and, addressed as follows: 

If
to Huntsman: 

500
Huntsman Way

Salt Lake City, Utah 84108

Attention: Chief Financial Officer 

If
to HAM: 

Everslaan
45

3078 Everberg

Belgium

Attention: Finance Director 

or
to such other address as a party shall furnish in writing to the other party. 

	13.
	Assignability

Neither
party may assign this Agreement or any right or obligation arising hereunder without the prior written consent of the other. 

	14.
	Entire Agreement

This
Agreement constitutes the entire agreement between the parties relating to its subject matter and there are no agreements or understandings between the parties other than those contained herein. 

	15.
	Waiver

Any
waiver by either party of any term or condition or default of this Agreement must be express and in writing. No such waiver shall constitute a waiver or any other or subsequent default, term, or
condition. 

7

 

        IN
WITNESS WHEREOF, the parties hereto have executed this Agreement this 30th day of June 2003. 

	

 	
 	

HUNTSMAN ADVANCED MATERIALS LLC
	

 	
 	

By:	
 	

/s/  JOHN R. HESKETT      
 Name:  John R. Heskett

Title:    Vice President
	

 	
 	

HUNTSMAN (EUROPE) BVBA
	

 	
 	

By:	
 	

/s/  ARJEN VERMEER      
 Name:  Arjen Vermeer

Title: Director
	

 	
 	

HUNTSMAN (EUROPE) BVBA
	

 	
 	

By:	
 	

/s/  LODE DE MAESSCHALCK      
 Name:  L. De Maesschalck

Title:
	

 	
 	

HUNTSMAN INTERNATIONAL LLC
	

 	
 	

By:	
 	

/s/  CURTIS C. DOWD      
 Name: Curtis C. Dowd

Title: Vice President

8

 
Attachment A to the Service Level Agreement  

Service Fee  

        The below will constitute the Service Fee as set out under Article 4.1 of the Agreement for the calendar year 2003: 

	EHS	 	$***
	

Purchasing	
 	

$***
	

Finance	
 	

$***
	

IT	
 	

$***
	

Treasury	
 	

$***
	

Communications	
 	

$***
	

Legal	
 	

$***
	

Tax	
 	

$***

	***
	Portions
of this page have been omitted pursuant to a request for confidential treatment filed separately with the Commission. 

9

QuickLinks

Exhibit 10.2

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