Document:

exv10w3

 

Exhibit 10.3

SEVERANCE COMPENSATION AGREEMENT

     This Severance Compensation Agreement (this “Agreement”) dated as of July 1,
2005 is by and between LIN Television Corporation, a Delaware corporation (the “Company”) and
Vincent Sadusky (the “Executive”).

     WHEREAS the Company currently employs the Executive and has determined that the Executive’s
services are important to the stability and continuity of the management of the Company;

     WHEREAS the Company has determined that it is in its best interest to reinforce and encourage
the Executive’s continued disinterested attention and undistracted dedication to the Executive’s
duties in the potentially disturbing circumstances of a possible change in control of the Company
by providing some degree of personal financial security; and

     WHEREAS to induce the Executive to remain in the employ of the Company, the Company has
determined that it is desirable to pay the Executive the severance compensation set forth below if
the Executive’s employment with the Company terminates in one of the circumstances described below
following a change in control of the Company.

     NOW, THEREFORE, in consideration of the premises and the mutual covenants contained in this
Agreement, it is agreed upon between the Company and the Executive as follows

     1. Definitions. As used in this Agreement, the words “include” and “including,” and variations
thereof, shall not be deemed to be terms of limitation, but rather shall be deemed to be followed
by the words “without limitation.” The division of this Agreement into sections and the insertion
of headings are for convenience of reference only and shall not affect the construction or
interpretation of this Agreement. All references to “party” and “parties” shall be deemed
references to parties to this Agreement unless the context shall otherwise require. In addition to
other words and terms defined elsewhere in this Agreement, the following words and terms as used in
this Agreement shall have the following meanings:

          “Affiliate” shall mean, as to any Person, a Person that directly, or indirectly through one or
more intermediaries, controls, or is controlled by, or is under common control with, such Person.

          “Cause” shall mean:

               (i) Unsatisfactory Performance by Executive; or

 

 

               (ii) the conviction of Executive of, or the entry by Executive of a plea of nolo contendre to,
a felony; or

               (iii) the commission or engagement by Executive through willful misconduct or gross negligence
of an act or course of conduct that causes injury to the Company or is otherwise detrimental to the
Company; or

               (iii) the death of Executive; or

               (iv) any illness, injury or disability preventing Executive from performing Executive’s
duties, as they existed immediately prior to the illness or injury, on a full time basis for 120
consecutive business days; or

               (v) the sale of a business unit of the Company in which Executive was employed immediately
prior to such sale and in connection with which Executive has been offered employment with the
purchaser of such business unit on substantially the same terms under which the Executive was
employed by the Company, including severance protection, immediately prior to the consummation of
such sale.

          “Change in Control” shall mean the occurrence of any of the following events:

               (i) any sale, lease, exchange, or other transfer (in one transaction or series of related
transactions) of all or substantially all of the assets of LIN TV or the Company to any Person or
group of related Persons for purposes of Section 13(d) of the Exchange Act, other than (A) to one
or more members of the Shareholder Group or (B) solely in respect of the Company, to any
wholly-owned subsidiary of LIN TV;

               (ii) a majority of the LIN TV Board of Directors shall consist of Persons who are not
Continuing Directors;

               (iii) the acquisition by any Person or group of related Persons for purposes of Section 13(d)
of the Exchange Act (other than one or more members of the Shareholder Group or, with respect to a
transferee of shares of Class C Common Stock, par value $0.01 per share, of LIN TV, any Person
approved by an affirmative vote of no less than two-thirds of the disinterested members of the LIN
TV Board of Directors) of the power, directly or indirectly, to vote or direct the voting of
securities having more than 50% of the ordinary voting power for the election of directors of LIN
TV; or

               (iv) LIN TV shall cease, whether directly or indirectly through one or more wholly-owned
subsidiaries, to have the power to vote or direct the voting of securities having more than 50% of
the ordinary voting power for the election of directors of the Company.

          “Code” shall mean the Internal Revenue Code of 1986, as amended, and the regulations
promulgated thereunder.

 

 

          “Continuing Directors” shall mean any Person who (i) was a member of the LIN TV Board of
Directors on the date of this Agreement, (ii) is thereafter nominated for election or elected to
the LIN TV Board of Directors with the affirmative vote of a majority of the Continuing Directors
who are members of such LIN TV Board of Directors at the time of such nomination or election, or
(iii) is a member of the LIN TV Board of Directors and also a member of the Shareholder Group.

          “Date of Termination” shall mean the date on which a notice of termination is
given.

          “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.

          “Good Reason” shall mean:

                    (i) The occurrence of any of the following events:

                         (A) Executive’s annual salary is reduced to an amount that is less than the greater of (1) the
amount of annual salary in effect immediately prior to the Change in Control or (2) the highest
amount of annual salary in effect at any time thereafter;

                         (B) Executive’s target bonus opportunity is reduced to an amount that is less than the greater
of (1) the target bonus opportunity in effect immediately prior to the Change in Control or (2) the
target bonus opportunity in effect at any time thereafter;

                         (C) (1) any failure by the Company to continue in effect or provide plans or arrangements
pursuant to which the Executive will be entitled to receive grants relating to the securities of
the Company (or any parent company of the Company, including LIN TV) (including stock options,
stock appreciation rights, restricted stock or other equity based awards) of the same type as the
Executive was participating in immediately prior to the Change in Control (hereinafter referred to,
collectively and individually, as “Securities Plans”) or providing substitutes for such Securities
Plans which in the aggregate provide substantially similar economic benefits; or (2) the taking of
any action by the Company which would adversely effect the Executive’s participation in, or
benefits under, any such Securities Plan or its substitute if in the aggregate the Executive is not
provided substantially similar economic benefits; provided, however, that for these purposes, any
determination of whether Good Reason exists under (1) or (2) of this paragraph (C) because the
Executive is or is not provided substantially similar economic benefits in the aggregate will be
made with due consideration given to such Executive’s base salary, other cash compensation and any
other equity based incentive programs to which the Executive is also entitled to receive, and not
solely on the basis of whether the Executive is or is not entitled or eligible to receive equity
based incentive compensation;

 

 

                         (D) Executive’s duties, authority and responsibilities or, in the aggregate, the program of
retirement and welfare benefits offered to Executive, are materially and adversely diminished, in
comparison to the duties, authority, and responsibilities or the program of benefits, in the
aggregate, enjoyed by Executive as of the time immediately prior to a Change in Control, or
Executive is demoted from the position that he held immediately prior to such Change in Control;
provided, however, that if, subsequent to a Change in Control, the Executive maintains the same
duties, authority and responsibility that he held prior to such Change in Control, the requirement
that the Executive report to officers or the board of parent companies, shall not of itself
constitute “Good Reason” unless such officers or board take actions that materially and adversely
interfere with the business decisions of Executive with respect to those business matters otherwise
subject to his duties, authority and responsibilities;

                         (E) Executive is required to be based at a location more than fifty (50) miles from the
location where Executive was based and performed services immediately prior to the Change in
Control, or if Executive is required to substantially increase his business travel obligations in
connection with the performance of Executive’s duties to the Company;

and

                    (ii) Executive has delivered to the Company written notice of the occurrence of any event that
shall, subject to this paragraph (ii), constitute “Good Reason” under paragraph (i) above within 90
days of the date Executive first has knowledge of such event, which written notice shall set forth
the particulars of such event and the reason why Executive believes in good faith that such event
satisfies paragraph (i) of the definition of “Good Reason;” and the Company shall have failed to
cure such event within thirty (30) days of delivery of such written notice.

          “LIN TV” shall mean LIN TV Corp., a Delaware corporation.

          “LIN TV Board of Directors” shall mean the Board of Directors of LIN TV.

          “Person” or “Persons” shall mean any person or entity of any nature whatsoever, specifically
including an individual, a firm, a company, a corporation, a partnership, a trust, or other entity.

          “Shareholder Group” shall mean Hicks, Muse, Tate & Furst Incorporated, its Affiliates and
their respective employees, officers, and directors.

          “Unsatisfactory Performance” shall mean the failure of Executive to perform satisfactorily
Executive’s duties with the Company as determined by the Company.

 

 

2. Severance Compensation Trigger.

                    (a) Subject to Section 2(b) hereof, a “Severance Compensation Trigger” shall occur in the
event that during the period commencing on the date on which a Change in Control first occurs and
ending on the date thirty-six (36) months thereafter Executive’s employment is terminated as
follows:

                         (i) by the Company without Cause; or

                         (ii) by Executive for Good Reason; or

                         (iii) by the Company with Cause solely for the reason of Unsatisfactory Performance and solely
in the event that as of the Date of Termination (A) Gary R. Chapman is no longer the CEO or
president of the Company (or the successor to the business of the Company, or the senior executive
of the business unit or division in which Executive is assigned) and (B) the Company shall have
failed to do each of the following:

                              (1) delivered to Executive a written notice and demand for performance of Executive’s duties
with the Company (“Special Notice”), which Special Notice is executed by an officer of the Company
and specifically describes the manner in which Executive has not performed Executive’s duties;

                              (2) in the event that not less than ten (10) business days following the date of the foregoing
Special Notice Executive shall have delivered to the Company a written request for an opportunity
to be heard in respect of the matters set forth in such Special Notice, the Company shall have
provided such opportunity to be heard within thirty (30) days of such written request.

                    (b) Notwithstanding Section 2(a) above, a Severance Compensation Trigger shall not be deemed
to have occurred (and Executive shall not be entitled to Severance Compensation (as hereinafter
defined)) in the event that Executive’s employment is terminated on account of any voluntary
termination of employment by the Executive other than for Good Reason, including Executive’s
retirement from the Company, including the voluntary late, normal or early retirement under a
pension plan sponsored by the Company or its Affiliates, as defined in such plan.

3. Severance Compensation.

                    (a) Subject to Section 3(b) below, in the event of a Severance Compensation Trigger, the
Executive shall be entitled to be paid compensation by the Company pursuant to the terms and
subject to the conditions set forth below (“Severance Compensation”):

                         (i) In lieu of any further salary payments to the Executive for periods subsequent to the Date
of Termination, the Company shall pay to the Executive not later than the fourteenth day following
the Date of Termination a lump sum severance payment equal to the sum of:

 

 

                              (A) amount equal to three times (3x) the Executive’s annual base salary in effect on the Date
of Termination (the “Base Salary”);

                              (B) an amount equal to three times (3x):

                                   (1) the amount of the highest bonus compensation paid to the Executive with respect to the
last three complete fiscal years, and

                                   (2) the contribution, if any, paid by the Company for the benefit of the Executive to any
401(k) Plan in the last complete fiscal year.

                         (ii) The Company shall provide the Executive for a period commencing on the Date of
Termination and ending on the earlier of the third anniversary of the Date of Termination or the
Executive’s death (the “Benefits Period”), life, health, disability and accident insurance benefits
and the package of “Executive benefits” substantially similar, individually and in the aggregate,
to those which the Executive was receiving immediately prior to the Notice of Termination, or
immediately prior to a Change in Control, if greater, including without limitation, transfer of
title of a company automobile, medical, dental, vision, life and pension benefits, as if Executive
were continuing as an employee of the Company during the Benefits Period, provided, however, that
with respect to the provision of insurance benefits during the Benefits Period, Executive shall be
obligated to continue to pay that proportion of premiums paid by the Executive immediately prior to
such Notice of Termination or Change in Control, as applicable. The Company shall apply the
statutory health care continuation coverage (“COBRA”) provisions as if the Executive were a
full-time employee of the Company during the Benefits Period, with the result that (y) the
Executive’s spouse and dependents shall be eligible for continued health insurance coverage that is
in all respects equivalent to COBRA coverage (“COBRA-Equivalent Coverage”) if an event occurs
during the Benefits Period that would have been a “qualifying event” under COBRA had the Executive
been an employee of the Company, and (z) the Executive and the Executive’s spouse and dependents
shall be eligible for COBRA-Equivalent coverage at the expiration of the Benefits Period and for a
period of three years thereafter as if the Executive’s employment with the Company had terminated
on the last day of the Benefits Period.

                         (iii) With respect to all stock options and stock awards granted to the Executive under the
Amended and Restated 2002 Stock Plan of LIN TV (collectively, the “Options and Awards”) which are
not otherwise exercisable or vested on the Date of Termination, such Options and Awards shall be
deemed vested and exercisable immediately as of the Date of Termination.

          (b) Notwithstanding anything to the contrary contained herein:

               (i) If the Severance Compensation under this Section 3, either alone or together with other
payments to the Executive from the Company (or any portion of such aggregate payment) would
constitute an “excess parachute payment” (as defined in

 

 

Section 280G of the Code), the Severance Compensation shall be reduced to the largest amount
that will result in no portion of the payments under this Section 3 being subject to the excise tax
imposed by Section 4999 of the Code or being disallowed as deductions to the Company under Section
280G of the Code.

               (ii) If Executive is a “Specified Employee” within the meaning of Section 409A(a)(2)(B)(i) of
the Code, or any successor thereto or as such may be amended hereafter (“Section 409A”), to the
extent necessary to satisfy the requirements of Section 409A, any portion of the Severance
Compensation under this Section 3 that shall constitute deferred compensation within the meaning of
Section 409A shall not be due and payable to Executive until the date that is six (6) months after
the Date of Termination.

     4. No Obligation To Mitigate Damages; No Effect on Other Contractual Rights. Except as
otherwise provided under Section 3(b) hereof:

          (a) The Executive shall not be required to mitigate damages or the amount of any payment
provided for under this Agreement by seeking other employment or otherwise, nor shall the amount of
any payment provided for under this Agreement be reduced by any compensation earned by the
Executive as the result of employment by another employer after the termination of the Executive’s
employment, or otherwise.

          (b) The provisions of this Agreement, and any payment provided for hereunder, shall not reduce
any amounts otherwise payable, or in any way diminish the Executive’s existing rights, or rights
which would accrue solely as a result of the passage of time, under any benefit plan, incentive
plan or securities plan, employment agreement or other contract, plan or arrangement of the
Company.

     5. Successors.

          (a) The Company shall require any successors or assigns (whether direct or indirect, by
purchase, merger, consolidation or otherwise) to all or substantially all the business and/or
assets of the Company, to expressly, absolutely and unconditionally assume and agree to perform
this Agreement in the same manner and to the same extent that the Company would be required to
perform it if no such succession or assignment had taken place. Any failure of the Company to
obtain such agreement prior to the effectiveness of any such succession or assignment shall be a
material breach of this Agreement and shall entitle the Executive to terminate the Executive’s
employment for Good Reason. As used in this Agreement, the “Company” shall mean the Company as
hereinbefore defined and any successor or assign to its business and/or assets as aforesaid which
executes and delivers the agreement provided for in this Section 5 or which otherwise becomes bound
by all the terms and provisions of this Agreement by operation of law.

          (b) This Agreement shall inure to the benefit of and be enforceable by the Executive’s
personal and legal representatives, executors, administrators, successors,

 

 

heirs, distributees, devisees and legatees. If the Executive should die while any amounts are
still payable to the Executive hereunder, all such amounts, unless otherwise provided herein, shall
be paid in accordance with the terms of this Agreement to the Executive’s devisee, legatee, or
other designee or, if there be no such designee, to the Executive’s estate.

          (c) In the event of a liquidation of the Company, the payment provided for hereunder shall be
made before any property or asset of the Company is distributed to any holder of capital stock of
the Company.

     6. Employment. The Executive agrees to be bound by the terms and conditions of this Agreement
and to remain in the employ of the Company during any period following any public announcement by
any person of any proposed transaction or transactions which, if effected, would or might
reasonably result in a Change in Control until a Change in Control has taken place or, in the
opinion of the Board of Directors of the Company, such person has abandoned or terminated its
efforts to effect a Change in Control. Subject to the foregoing, nothing contained in this
Agreement shall impair or interfere in any way with the right of the Executive to terminate the
Executive’s employment or the right of the Company to terminate the employment of the Executive
with or without Cause prior to a Change in Control. Nothing contained in this Agreement shall be
construed as a contract of employment between the Company and the Executive or as a right of the
Executive to continue in the employ of the Company or as a limitation of the right of the Company
to discharge the Executive with or without Cause prior to a Change in Control.

     7. Legal Fees. In the event that any legal action is required to enforce the Executive’s
rights under this Agreement, the Executive, if the Executive is the prevailing party, shall be
entitled to recover from the Company any expenses for attorneys’ fees and disbursements reasonably
incurred by the Executive.

     8. Choice of Law. This Agreement shall be governed by and construed in accordance with the
laws of the State of Delaware.

     9. Confidentiality. Executive shall not, without the prior written consent of the Company,
divulge, disclose or make accessible to any other person, partnership, corporation or other entity
(i) the existence and/or terms of this Agreement, or (ii) any Confidential Information pertaining
to the business of the Company, except (a) while carrying out Executive’s duties during Executive’s
employment by the Company, or (b) when required by law to do so. For these purposes, “Confidential
Information” shall mean non-public information concerning the financial data, strategic business
plans, product development (or other proprietary product data), customer lists, marketing plans and
any other non-public, proprietary and confidential information of the Company and its subsidiaries
that is not otherwise available to the public or has not become publicly available through any
breach of fiduciary duty.

 

 

     10. Nonsolicitation. For a period of one year following the Executive’s termination of
employment, the Executive shall not contact, communicate with or solicit in any fashion any
employee, consultant, customer or advertiser who, at the time of such termination and at any time
during the preceding twelve-month period was employed by, employed or otherwise had business
dealings with, the Company for the purpose of causing such employee, consultant, customer or
advertiser (a) to terminate such person’s relationship with the Company or (b) to be employed by,
to employ or otherwise to have business dealings with any business, whether or not incorporated, in
any television markets served by the Company at the time of termination.

     11. Release. As a condition to the receipt of any payments hereunder, the Executive shall
deliver to the Company, in form and substance acceptable to the Company, a written release of the
Company, its officers, directors and shareholders from all claims of whatever nature, other than as
arising under the terms hereof or under any benefit plans of the Company to which the Executive is
otherwise entitled.

     12. Notice. For purpose of this Agreement, notices and all other communications provided for
in the Agreement shall be in writing and shall be deemed to have been duly given when delivered or
mailed by United States registered mail, return receipt requested, postage prepaid. Notice may be
given to either party at the present principal place of business of the Company or such other place
as the party to receive such notice shall notify the other.

     13. Modification or Waiver. No provisions of this Agreement may be modified, waived or
discharged unless such waiver, modification or discharge is agreed to in writing and signed by the
Executive and the Company. No waiver by a party hereto at any time of any breach by another party
hereto of, or compliance with, any condition or provision of this Agreement to be performed by such
other party shall be deemed a waiver of similar or dissimilar provisions or conditions.

     14. Joinder of LIN TV for Purposes of Section 3(a)(iii). By executing this Agreement, LIN TV
agrees to be, and shall be deemed to be, a party to, and be bound by, the Agreement solely for
purposes of Section 3(a)(iii) of the Agreement.

     15. Entire Agreement. No agreements or representations, oral or otherwise, express or implied,
with respect to the subject matter hereof have been made by any of the parties that are not set
forth expressly in this Agreement.

     16. Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original but all of which together will constitute one and the same
instrument.

[The remainder of this page is intentionally blank; signature page follows.]

 

 

     In Witness Whereof, the parties have executed this Agreement as of the date first
above written of the date first written above.

	 	 	 
	LIN Television Corporation

By:

Denise M. Parent

Vice President-Deputy General Counsel

	 	Executive

Vincent Sadusky

For purposes of Sections 3(a)(iii) and 14 of the

Agreement:

LIN TV Corp.

By:

Denise M. Parent

Vice President-Deputy General Counselexv10w4

 

Exhibit 10.4

FOURTH AMENDMENT TO SEVERANCE COMPENSATION AGREEMENT

     This Fourth Amendment to Severance Compensation Agreement (this “Fourth Amendment”),
dated as of the 1st day of July, 2005, is by and between LIN Television Corporation, a Delaware
corporation (the “Company”), and Gregory M. Schmidt (the “Executive”).

W I T N E S S E T H:

     WHEREAS, the Company and Executive are parties to that certain Severance Compensation
Agreement, dated as of September 5, 1996, as amended on October 1, 1999, August 30, 2000, and
October 1, 2002 (the “Agreement”).

     WHEREAS, the Company believes it is in its best interest to reinforce and encourage
Executive’s continued disinterested attention and undistracted dedication in the potentially
disturbing circumstances of a possible change in control of the Company; and

     WHEREAS, the parties desire to amend the Agreement upon the terms contained herein;

     NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, the
Company and Executive each agree as follows:

     1. Definitions. Capitalized terms not otherwise defined herein shall have the meaning ascribed
thereto in the Severance Agreement.

     2. Amendment to Paragraph (iii) of Definition of Good Reason. Paragraph (iii) of the
definition of the term “Good Reason” in Section 1(d) of the Agreement shall be deleted in its
entirety and the following shall be inserted in lieu thereof and shall constitute the new paragraph
(iii) of the definition of “Good Reason” for purposes of the Agreement:

Executive’s duties, authority and responsibilities or, in the aggregate, the program
of retirement and welfare benefits offered to Executive, are materially and adversely
diminished, in comparison to the duties, authority, and responsibilities or the
program of benefits, in the aggregate, enjoyed by Executive as of (A) the time
immediately prior to a Hicks Muse Change in Control or (B) if prior to a Hicks Muse
Change in Control, as of July 1, 2005, or Executive is demoted from the position that
he held as of (Y) the time immediately prior to such Hicks Muse Change in Control or
(Z) if prior to a Hicks Muse Change in Control, as of July 1, 2005; provided,
however, that if, subsequent to a Hicks Muse Change in Control, the Executive
maintains the same duties, authority and responsibility that he held prior to such
Hicks Muse Change in Control, the requirement that the Executive

 

 

report to officers or the board of parent companies shall not of itself constitute
“Good Reason” unless such officers or board take actions that materially and
adversely interfere with the business decisions of Executive with respect to those
business matters otherwise subject to his authority and responsibilities.

     3. Amendment to Paragraph (iv) of Definition of Good Reason. Paragraph (iv) of the definition
of the term “Good Reason” in Section 1(d) of the Agreement shall be deleted in its entirety and, in
order to maintain the sequential numbering of the paragraphs in such definition, the following
shall be inserted in lieu thereof and shall constitute the new paragraph (iv) of the definition of
“Good Reason” for purposes of the Agreement: “[Reserved.]”

     4. Amendment to Section 2 of the Agreement. Section 2 of the Agreement shall be deleted in its
entirety and the following shall be inserted in lieu thereof and shall constitute the new Section 2
of the Agreement:

Severance Compensation Trigger. Executive shall be entitled to severance
compensation as set forth in Section 3 hereof (“Severance Compensation”) in the event
that Executive’s employment is terminated within the “Extension Period” (as defined
below) (i) by the Company without Cause, or (ii) by Executive within 90 days after
Executive has knowledge of the occurrence of an event constituting Good Reason
(clauses (i) or (ii), a “Severance Compensation Trigger”). The “Extension Period”
shall be defined as that certain period commencing on the date of this Agreement and
ending on the date that is three (3) years following a Hicks Muse Change in Control.

Notwithstanding the foregoing, for purposes of this Section 2, the following events
shall not be deemed to be a termination “by the Company without Cause” that would
Executive otherwise constitute a Severance Compensation Trigger:

(a) Termination of Executive’s employment by reason of Executive’s death or
disability (including, without limitation, illness or injury preventing Executive
from performing his duties, as they existed immediately prior to the illness or
injury, of a full-time basis for 180 consecutive business days); or

(b) Termination of Executive’s employment by reason of Executive’s retirement
(including, without limitation, Executive’s voluntary late, normal or early
retirement under a pension plan sponsored by the Company, as defined in such
plan).

 

 

     5. Amendment to Section 3(a)(i) of the Agreement. Section 3(a)(i) of the Agreement shall be
shall be deleted in its entirety and the following shall be inserted in lieu thereof and shall
constitute the new Section 3(a)(i) of the Agreement:

i) In lieu of any further salary or bonus payments to the Executive for
periods subsequent to the Date of Termination, the Company shall pay to
the Executive not later than the tenth day following the Date of
Termination a lump sum severance payment equal to the sum of:

(x) amount equal to three times (3x) the Executive’s annual base salary in
effect on the Date of Termination (the “Base Salary”);

(y) an amount equal to three times (3x):

(1) the amount of the highest bonus compensation paid to the
Executive with respect to the last three complete fiscal years,
and

(2) the contribution, if any, paid by the Company for the benefit
of the Executive to any 401(k) Plan in the last complete fiscal
year,

(z) the present value, determined as of the Date of Termination, of the
sum of:

(1) all benefits which have accrued to the Executive but have
not vested under the LIN Television Corporation Retirement Plan
(the “Retirement Plan”) as of the Date of Termination, and

(2) all additional benefits which would have accrued to the
Executive under the Retirement Plan if the employee had continued
to be employed by the Company on the same terms the Executive was
employed on as of the Date of Termination from such Date of
Termination to the date 12 months after the Date of Termination.

For purposes of this Section, the present value of a future payment shall
be calculated by reference to the actuarial assumptions (including
assumptions with respect to interest rates) in use immediately prior to
the Hicks Muse Change in Control for purposes of calculating actuarial
equivalents under the Retirement Plan.

 

 

     6. Amendment to Section 3(a)(ii) of the Agreement. Section 3(a)(ii) of the Agreement shall be
shall be deleted in its entirety and the following shall be inserted in lieu thereof and shall
constitute the new Section 3(a)(ii) of the Agreement:

The Company shall provide the Executive for a period commencing on the Date of
Termination and ending on the earlier of the third anniversary of the Date of
Termination or the Executive’s death (the “Benefits Period”), life, health,
disability and accident insurance benefits and the package of “Executive benefits”
substantially similar, individually and in the aggregate, to those which the
Executive was receiving immediately prior to the Notice of Termination, or
immediately prior to a Hicks Muse Change in Control, if greater, including without
limitation, transfer of title of a company automobile, medical, dental, vision, life
and pension benefits, as if Executive were continuing as an employee of the Company
during the Benefits Period, provided, however, that with respect to the provision of
insurance benefits during the Benefits Period, Executive shall be obligated to
continue to pay that proportion of premiums paid by the Executive immediately prior
to such Notice of Termination or Hicks Muse Change in Control, as applicable. The
Company shall apply the statutory health care continuation coverage (“COBRA”)
provisions as if the Executive were a full-time employee of the Company during the
Benefits Period, with the result that (y) the Executive’s spouse and dependents shall
be eligible for continued health insurance coverage that is in all respects
equivalent to COBRA coverage (“COBRA-Equivalent Coverage”) if an event occurs during
the Benefits Period that would have been a “qualifying event” under COBRA had the
Executive been an employee of the Company, and (z) the Executive and the Executive’s
spouse and dependents shall be eligible for COBRA-Equivalent coverage at the
expiration of the Benefits Period and for a period of three years thereafter as if
the Executive’s employment with the Company had terminated on the last day of the
Benefits Period.

     7. Amendment to Section 3(a)(iii) of the Agreement. Section 3(a)(iii) of the Agreement shall
be shall be deleted in its entirety and the following shall be inserted in lieu thereof and shall
constitute the new Section 3(a)(iii) of the Agreement:

With respect to all stock options and stock awards granted to the Executive under the
1998 Stock Option Plan, the 1998 Substitute Stock Option Plan, the 1998 Phantom Stock
Plan, and the Amended and Restated 2002 Stock Plan of LIN TV (collectively, the
“Options and Awards”) which are not otherwise exercisable or vested on the Date of
Termination, such Options and Awards shall be deemed vested and exercisable
immediately as of the Date of Termination.

     8. Amendment to Section 3(b) of the Agreement. Section 3(b) of the Agreement shall be shall be
deleted in its entirety and the following shall be inserted in lieu thereof and shall constitute
the new Section 3(b) of the Agreement:

 

 

(b) Notwithstanding anything to the contrary contained herein:

     (i) If the Severance Compensation under this Section 3, either alone or together
with other payments to the Executive from the Company (or any portion of such
aggregate payment) would constitute an “excess parachute payment” (as defined in
Section 280G of the Code), such Severance Compensation shall be increased by a
payment sufficient to restore the Executive to the same after-tax position the
Executive would have been in if the excise tax had not been imposed.

     (ii) If Executive is a “Specified Employee” within the meaning of Section
409A(a)(2)(B)(i) of the Code, or any successor thereto or as such may be amended
hereafter (“Section 409A”), to the extent necessary to satisfy the requirements of
Section 409A, any portion of the Severance Compensation under this Section 3 that
shall constitute deferred compensation within the meaning of Section 409A shall not
be due and payable to Executive until the date that is six (6) months after the Date
of Termination.

     9. Joinder of LIN TV for Purposes of Section 3(a)(iii) of the Agreement. By executing this
Fourth Amendment, LIN TV agrees to be, and shall be deemed to be, a party to, and be bound by, the
Agreement for purposes of Section 3(a)(iii) of the Agreement (as amended by this Fourth Amendment).

     10. Reaffirmation of the Severance Agreement. Except as expressly provided herein, the
Agreement is not amended, modified or affected by this Fourth Amendment, and the Agreement and the
rights and obligations of the parties hereto thereunder are hereby ratified and confirmed by the
parties in all respects.

     11. Counterparts. This Fourth Amendment may be executed in one or more counterparts, each of
which shall be deemed to be an original, but all of which together will constitute one and the same
instrument.

[The remainder of this page has been left blank intentionally.]

 

 

     IN WITNESS WHEREOF, the parties have executed this Fourth Amendment as of the date first
written above.

	 	 	 
	LIN Television Corporation

By:

Denise M. Parent

Vice President-Deputy General Counsel

	 	Executive

By:

Gregory M. Schmidt

For purposes of Section 9 of this Fourth Amendment (and Section

3(a)(iii) of the Agreement):

LIN TV Corp.

By:

Denise M. Parent

Vice President-Deputy General Counsel

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