Document:

Exhibit 10.1

EXECUTIVE EMPLOYMENT
AGREEMENT

This
EMPLOYMENT AGREEMENT (“Agreement”) dated            ,
2005 and effective as of July 11, 2005 (“Effective Date”) is entered into by
and between Barbara Falvey (“Employee”) and Hawaiian Airlines, Inc., a Hawaii
corporation (“Company”).

Company
and Employee desire to establish Company’s right to services of Employee, in
the capacity described below, on the terms and conditions and subject to the
rights of termination hereinafter set forth, and Employee agrees to engage in
such employment on those terms and conditions.

In
consideration of the mutual agreements hereinafter set forth, Employee and
Company have agreed and do hereby agree as follows:

1.             EMPLOYMENT AS SENIOR VICE
PRESIDENT - PEOPLE SERVICES GROUP. 
Company does hereby employ and engage Employee as Senior Vice
President - People Services Group, and Employee does hereby accept and agree to
such engagement and employment.

a.             Basic
Duties.  Employee’s duties during the
Employment Period shall be to serve as Senior Vice President - People Services
Group (“PSG”), which shall generally include those contained in Attachment
A.  The precise scope of the duties of
Employee may be modified from time to time at the discretion of Company’s
President and Chief Executive Officer (CEO) or her designee(s) consistent with
Employee’s titles and general duties and responsibilities hereunder.

b.             Reporting
Relationship.  Employee shall at all
times report to the President and CEO or her designee(s).

c.             Time
and Effort Expected of Employ. 
Employee shall devote full time, attention, energy and skill to the
performance of Employee’s duties for Company and for the benefit of
Company.  Furthermore, Employee shall
exercise due diligence and care in the performance of Employee’s duties to
Company under this Agreement.

2.             TERM OF AGREEMENT.  Company and Employee expressly agree that
they have an “at will” employment relationship, which means that either party
has the right to terminate the employment relationship at any time for any reason,
with or without cause. Reasons for termination that result in post —termination
payments are set forth in Section 8. The period of time commencing on the
Effective Date and ending upon the date of termination by either party (“Termination
Date” shall be referred to as the Employment Period.

3.             COMPENSATION.

a.             BASE SALARY.  Company shall pay Employee, and Employee
agrees to accept from Company, a base salary at the rate of TWO HUNDRED AND
FIFTY THOUSAND DOLLARS AND NO /100ths DOLLARS ($250,000) per year (“Base Salary”),
less applicable withholdings required by law or Employee’s benefit plans or
other deductions authorized in writing by Employee to be withheld or deducted,
payable in equal semi-monthly installments in accordance with Company’s regular
payroll practices.  Employee’s Base
Salary shall be reviewed annually by Company and may be increased, but not
decreased, by Company in its sole and 

absolute
discretion. Any adjusted amounts under this Section 3.a. will thereafter become
the “Base Salary” for purposes of this Agreement.

b.             PERFORMANCE
BONUS.  In addition to the Base
Salary, Employee shall be eligible to participate during the Employment Period
in any performance bonus plan hereafter established for senior officers of
Company by the Board of Directors (the “BOD”). 
Any award to Employee under that plan shall be payable, less applicable
withholdings, in the amount, in the manner, and at the time determined by the
BOD, in its sole and absolute discretion. 
Company will request that the BOD award a target bonus equal to 60% of
Employee’s Base Salary, with actual payment amount established annually as a
function of overall corporate performance and Employee’s performance relative
to previously established management objectives.

c.             STOCK
OPTIONS.  In addition to Base Salary,
Employee shall be eligible to participate during the Employment Period in any
stock option plan hereafter established for the senior officers of Company by
the BOD in accordance with plan terms and applicable law. Company will request
an incoming grant of 166,000 stock options for you to vest ratably over the
first three years of your employment. 
The strike price for this grant and other terms will be determined by
the plan finally approved by the BOD and Shareholders.  Additionally, you will be considered for
additional stock option grants if and when such grants are awarded or
considered for other senior executives at the company.  Subject to the foregoing, any award to
Employee under such plan shall be made in an amount, in the manner, and at the
time determined by the BOD, in its sole and absolute discretion.

d.             LONG
TERM INCENTIVE PLANS.  In addition to
Base Salary, Employee shall be eligible to participate during the Employment
Period in any long term incentive plans hereafter established for the senior
officers of Company by the BOD in accordance with plan terms and applicable
law.  Any award to Employee under such
plan shall be made in an amount, in the manner, and at the time determined by
the BOD, on a basis consistent with other senior officers, but otherwise in its
sole and absolute discretion.

e.             401(k)
PLAN.  Employee shall be eligible to
participate in a 401(k) or analogous plan (the “401 (k) Plan”) according to its
terms, which shall be developed by Company, subject to approval of the BOD.

4.             FRINGE BENEFITS.  During his employment under this Agreement,
Employee shall be eligible to participate in, and to be covered by, such
employee benefit plans effective generally with respect to Company’s senior
vice president employees as those plans may be amended, supplemented, replaced
or terminated from time to time, to the extent Employee is eligible under the
terms of such plans; and Employee shall be eligible to receive such other
fringe benefits as may be granted to Employee from time to time by the BOD or
as delegated by it in its sole and absolute discretion. In addition to the
foregoing benefits, Employee shall also receive the following individual
benefits:

a.             TRAVEL
BENEFITS.  During the Employment
Period, Employee and Employee’s spouse and eligible dependents shall be
entitled to travel benefits on Company flights (but not charter flights) at a
level and under procedures commensurate with the officer level, subject to IRS
requirements, and pursuant to Company policy.  Employee and 

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Employee’s spouse and eligible dependents of Employee
shall be entitled to travel benefits on other airlines consistent with Company’s
interline transportation agreements.

b.             EXECUTIVE
LONG-TERM DISABILITY INSURANCE PLAN. 
Subject to the applicable waiting periods, Employee will be included, at
Company’s expense, in Company’s Executive Long-Term Disability Insurance Plan,
as it may be amended, supplemented, replaced or terminated from time to time.

c.             BUSINESS
EXPENSES.  Company shall reimburse
Employee for any and all reasonable out-of-pocket, necessary, customary, and
usual expenses, properly receipted in accordance with Company policies,
incurred by Employee on behalf of Company, provided Employee properly accounts
to Company for such expenses in accordance with the rules and regulations of
the Internal Revenue Service under the Code, and in accordance with the
standard policies and procedures of Company to reimburse business expenses,
which obligation shall survive the termination of this Agreement.

d.             VACATIONS.  Company will provide reasonable vacations
authorized by the President and CEO subject to requirements of operations and
as duties may permit, provided that unused vacation will not be accrued and
Company will not make payment to Employee for unutilized vacation.

e.             SICK
LEAVE.  Reasonable sick leave for
illness or injury will also be provided, provided that unused sick leave will
not be accrued and Company will not make payment to Employee for unutilized
sick leave.

5.             RELOCATION
AND HOUSING ALLOWANCE.

a.             Company
will reimburse Employee for all reasonable costs related to relocation to
Hawaii, which will include, but not be limited to, the following items:  (i) the reasonable out-of­-pocket costs of
moving her household goods and belongings from her present home to Hawaii,
including packing, unpacking, shipping and insurance; (ii) the shipment of one
automobile to Hawaii; (iii) closing costs at actual and reasonable amounts for
the sale of her current home, and/or the purchase of a home in Honolulu,
Hawaii, and (iv) one (1), one-way airfare (coach) for Employee and her
spouse directly related to Employee’s relocation to Hawaii, (collectively
referred to as the `Relocation Expenses”). 
The Relocation Expenses will be reimbursed to a maximum of $40,000,
inclusive of tax, with appropriate receipts.

b.             If, during the first twelve (12) months following the
Effective Date, Company terminates Employee’s employment without Cause, then
Company will reimburse Employee for reasonable costs described above as
Relocation Expenses incurred to relocate from Hawaii (collectively referred to
as the “Termination Expenses”).  The
Termination Expenses will be reimbursed up to a maximum of $40,000, inclusive
of tax, with appropriate receipts.

c.             If,
during the first twelve (12) months following the Effective Date, Employee
voluntarily resigns from Company, or your employment is terminated for Cause,
Employee agrees to repay Company the full amount Employee received as
Relocation Expenses in Section 5.a.

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d.             The
Company will also provide to Employee a lump sum payment of $30,000.00 less
applicable withholdings, for use in Employee’s discretion in conjunction with
relocation and commencement of employment with the Company.

e.             Employee
will be provided with a $2,500 monthly housing allowance (gross before taxes)
or equivalent, for the first twenty-four (24) months of employment.  This allowance may be extended beyond that
point in time, subject to President and CEO and BOD review and consideration.

6.             CONFIDENTIAL
INFORMATION.  Employee recognizes
that by reason of Employee’s employment by and service to Company, Employee
will occupy a position of trust with respect to business and technical
information of a secret or confidential nature which is the property of Company
which will be imparted to Employee from time to time in the course of the
performance of Employee’s duties hereunder (the “Confidential Information”).       Employee acknowledges that such
information is Company’s valuable and unique asset and agrees that Employee
shall not, during or after the Term of this Agreement, use or disclose directly
or indirectly any of Company’s Confidential Information to any person, except
that Employee may use and disclose to Company’s authorized personnel such
Confidential Information as is reasonably appropriate in the course of the
performance of Employee’s duties hereunder. 
Company’s Confidential Information shall include all information and
knowledge of any nature and in any form relating to Company including, but not
limited to, business plans; development projects; computer software and related
documentation and materials; designs, practices, processes, methods, know-how
and other facts relating to Company’s business; and advertising, promotions,
financial matters, sales and profit figures, and customers or customer lists.

7.             TERMINATION
OF EMPLOYEE’S EMPLOYMENT.

a.             DEATH.  If
Employee dies while employed by Company, Employee’s employment shall
immediately terminate. Company’s obligation to pay Employee’s Base Salary shall
cease as of the date of Employee’s death. 
Thereafter, Employee’s beneficiaries or estate shall receive benefits,
if any, in accordance with Company’s retirement, insurance, and other
applicable benefit plans then in effect.

b.             DISABILITY.  If Employee (i) becomes Disabled, as defined
in Company’s Executive Long-Term Disability Plan, (ii) he cannot be reasonably
accommodated by Company, and (iii) he commences to receive long-term disability
benefits, Employee’s employment may be terminated by Company or Employee.  During any period prior to such termination
during which Employee is absent from the full-time performance of Employee’s
duties with Company due to Disability, Company shall continue to pay Employee
the Base Salary at the rate in effect at the commencement of such period of
Disability.  Any such payments made to
Employee shall be reduced by amounts received from disability insurance
obtained or provided by Company, and by the amounts of any benefits payable to
Employee, with respect to such period, under Company’s Executive Long-Term
Disability Plan.  Subsequent to the
termination provided for in this Section 7.b., Employee’s eligibility for any
benefits shall be determined under Company’s retirement, insurance, and other
applicable benefit plans then in effect in accordance with the terms of such
plans.

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c.             TERMINATION
BY COMPANY FOR CAUSE.  Company may
terminate Employee’s at will employment under this Agreement for “Cause” at any
time Cause shall be defined as:

(i)                                     The material
breach of this Agreement by Employee, including without limitation, repeated
neglect of Employee’s duties, Employee’s repeated material lack of diligence
and attention in performing services as provided in this Agreement, or Employee’s
repeated failure to implement or adhere to Company policies, in each case after
notice to Employee stating the reason for such breach and providing Employee
thirty (30) days opportunity to cure, provided however that such notice and
opportunity to cure shall not be required to be provided more than three (3)
times during the Employment Period prior to termination.

(ii)                                  Commission of a
crime (other than a petty offense or traffic violation) that has a material
adverse impact on Company’s reputation and standing in the community.

(iii)                               Fraudulent
conduct in connection with the business affairs of Company, regardless of
whether said conduct is designed to defraud Company or others.

(iv)                              Conduct in material
violation of Company’s and/or its parent company’s corporate compliance rules,
practices, procedures and ethical guidelines.

(v)                                 Material violation(s) of Company’s House Rules, a copy of which has been provided to Employee
by Company.

In the event of termination for Cause, Company’s obligation to pay
Employee’s Base Salary and all benefits shall cease as of the Termination
Date.  Except as provided above in
Section 7.c. (i). if Employee’s employment is terminated for Cause, Employee’s
employment may be terminated immediately without any advance written notice.

d.             TERMINATION
BY COMPANY WITHOUT CAUSE.  Company
shall have the right to terminate Employee’s at will employment at any time,
without Cause.  In the event Company
shall so elect to terminate Employee’s employment without Cause, Employee shall
be entitled to only such payments as may be required under the terms of Section
8 of this Agreement.  Employee agrees
that in the event of his termination without Cause, the Term of this Agreement
will be deemed to be the period between the Effective Date and the Termination
Date.

e.             RESIGNATION BY
EMPLOYEE.  If Employee voluntarily
resigns his employment at any time during the term of this Agreement, Company’s
obligation to pay Employee’s compensation and fringe benefits shall cease as of
the date of resignation.  Employee agrees
to provide Company with at least thirty (30) days written notice prior to the
effective date of resignation.  Company
may elect, in its sole and absolute discretion, to relieve Employee of his
employment duties for all or any part of the thirty (30) day notice
period.  However, Employee shall continue
to receive compensation and benefits under this Agreement through the effective
date of his resignation.

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g.             RETURN
OF COMPANY PROPERTY.  Upon
termination, Employee will immediately return all Company issued items,
including, but not limited to Company identification badge(s), access card(s),
AOA badge(s), travel card, Friendship Travel Passes (FTPs), computer equipment
(hardware/software), disks and/or electronic data, fax machine(s), pager(s),
company credit card(s), company telephone card(s), access code(s), key(s),
company files, work product, manuals, customer lists, company documents,
financial information, operational information, plans, memoranda, notes, and
correspondence.

h.             PAYMENT
OF ACCRUED OBLIGATIONS. 
Notwithstanding anything in this Section 7 to the contrary, upon
termination of Employee’s employment for any reason, Company shall pay
Employee:  (i) Employee’s Base Salary
earned and unpaid through the Termination Date, if any, and (ii) unreimbursed
expenses payable in accordance with Company policy (“Accrued Expenses”).  The payment of Accrued Expenses shall be made
within ten (10) days following Termination Date.

8.                                       PAYMENTS UPON TERMINATION
WITHOUT CAUSE IN EXCHANGE FOR AGREEMENT TO WAIVE ALL CLAIMS.

a.             If
Company terminates Employee’s at will employment without Cause, in addition to
Accrued Obligations, Employee shall be entitled to the following payments in
exchange for a valid release and waiver of all claims through the Termination
Date that Employee may have at that time against Company or related persons or
entities (“Waiver of All Claims”): 
Company shall pay to Employee an amount equal to Employee’s Base Salary
and medical/dental premiums for one year plus the prorated value of any
Performance Bonus to which Employee would have been entitled in the current
year (“the Settlement Sum”).  The
Settlement Sum shall be paid in a lump sum, less applicable withholdings, on
the Termination Date.  Company shall
provide all information for continuation of fringe benefits to the extent
required by law.

b.             If Employee fails or refuses to agree to a valid Waiver
of All Claims through the Termination Date, Employee will not be paid any
amounts under this Section 8.

c.             TAX
WITHHOLDING OBLIGATIONS.  At the time
that the Waiver of All Claims is executed, the parties will determine the
extent to which any of the payments provided for in this Section 8 may be
subject to federal, state, or local tax or other withholdings.  Those tax/withholding obligations will be
detailed in the Waiver of All Claims.

d.             NO
OTHER COMPENSATION OR BENEFITS POST TERMINATION.  No other payment, compensation or fringe
benefit other than as described in this Section 8 and in Section 5.b. shall be
provided to, or owed to, Employee after termination with or without Cause.

e.             Employee shall not be required in any way to mitigate
the amount of any payment provided for in this Section 8, including, but not
limited to, by seeking other employment, nor shall the amount of any payment
provided for in this Section 8 be reduced by any compensation earned by
Employee as the result of employment with another employer after the
Termination Date, or otherwise.

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9.             NONCOMPETITION
PROVISIONS.

a.             NONCOMPETITION. 
During the Term of this Agreement and for a period of twelve (12) months
commencing on the Termination Date, Employee agrees and covenants that Employee
shall not, directly or indirectly, undertake to become an employee, officer,
partner, consultant or otherwise be connected with any entity (i) for which, at
such time, in excess of 10% of its revenues are derived from airline operations
(including without limitation, passenger, charter, military, cargo, or other
airline operations) within Hawaii and/or between Hawaii and the mainland United
States, or (ii) in which Employee’s specific duties and responsibilities are in
direct competition with Company either within Hawaii or on routes to and from
Hawaii serviced by Company.  Employee
acknowledges and agrees that any breach of this non-competition provision shall
entitle Employer to immediately terminate any payments to him pursuant to
Section 8 of this Agreement.  In
addition, Employee agrees that any breach or threatened breach of this
provision 9.a. will entitle Company to an injunction from any court having
jurisdiction over Employee, it being agreed that any such breach would
irreparably harm Company.  In addition,
Company will be entitled to such damages as may be proved in court arising from
such breach.

b.             NONDISPARAGEMENT.  During the Term of this Agreement and for a period
of twelve (12) months commencing on the Termination Date, Employee agrees that
he shall not make any statements that disparage or tend to disparage Company,
its products, services, officers, employees, advisers or other business
contacts, and Company agrees that its officers and management employees of
Company’s human resources department shall not make any statements that
disparage or tend to disparage Employee. 
The parties acknowledge and agree that each act of such disparagement
shall entitle the other to $5,000 in liquidated damages, which shall be awarded
by an arbitrator pursuant to the provisions of Section 11 of this
Agreement.  In addition, Employee
acknowledges that any breach of this non-disparagement provision shall entitle
Company to immediately terminate any payments pursuant to Section 8 of this
Agreement.  Nothing herein shall be
construed to apply to limit Company in its exercise of Section 7.c. or permit
sanctions for statements made in the exercise of such provision.

c.             RIGHT TO COMPANY MATERIALS.  Employee agrees that all styles, designs,
lists, materials, books, files, reports, correspondence, e-mails and other
paper and electronically stored information, records, and other documents (“Company
Materials”) used, prepared, or made available to Employee, shall be and shall
remain the property of Company.  Upon the
termination of employment or the expiration of this Agreement, all Company
Materials shall be returned immediately to Company, and Employee shall not make
or retain any copies thereof.

d.             ANTI-SOLICITATION.  Employee promises and agrees that during the
term of this Agreement and for a period of twelve (12) months commencing on the
Termination Date, Employee will not influence or attempt to influence customers
or suppliers of Company or any of its present or future subsidiaries or
affiliates, either directly or indirectly, to divert their business to any
individual, partnership, firm, corporation or other entity then in competition
with the business of Company or any subsidiary or affiliate of Company.  Employee acknowledges and agrees that any
breach of this anti-solicitation provision shall entitle Company to immediately
terminate any payments pursuant to Section 8 of this Agreement.  In addition, Employee agrees that each act of
such solicitation shall entitle Company to $5,000 in 

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liquidated damages, which shall be awarded by an
arbitrator pursuant to the provisions of Section 11 of this Agreement.

e.             SOLICITING EMPLOYEES.  During the term of this Agreement and for a
period of twelve (12) months commencing on the Termination Date, Employee
promises and agrees that Employee will not directly or indirectly solicit any
of Company’s employees to work for any business, individual, partnership, firm,
corporation, or other entity.  Employee
acknowledges and agrees that any breach of this Soliciting Employees provision
shall entitle Company to immediately terminate any payments pursuant to Section
8 of this Agreement.  In addition,
Employee agrees that each act of such solicitation shall entitle Company to
$5,000 in liquidated damages, which shall be awarded by an arbitrator pursuant
to the provisions of Section 11 of this Agreement.

10.           NOTICES.  All notices, requests, demands and other
communications hereunder shall be in writing and shall be effective upon
receipt.  All notices shall be given or
served personally or sent by facsimile or first class mail, postage prepaid,
addressed as follows:

If to Company:

Hawaiian Airlines, Inc.

Attn: General Counsel

3375 Koapaka Street,
Suite G-350

Honolulu, Hawaii 96819

Phone:
808/835-3610

Fax:
808/835-3690

If to Employee:

Barbara Falvey

343 Hobron Lane #2003

Honolulu, Hawaii  96815

Or to such other address which the party receiving the
notice has notified the party giving the notice in the manner aforesaid.

11.           ARBITRATION
CLAUSE/ATTORNEY’S FEES.  Any
controversy or claim arising out of or relating to this Agreement (other than a
breach of Provision 9.a.) shall be settled by expedited arbitration
administered by Dispute Prevention and Resolution, Inc. (“DPR”) in Honolulu,
Hawaii under its rules applicable to the arbitration of employment disputes,
and judgment upon the award rendered by the arbitrator(s) may be entered in any
court having jurisdiction thereof. In the event judicial, quasi judicial or
arbitral determination is necessary to resolve any dispute arising as to the
parties’ rights and obligations hereunder, the parties agree that the losing
party shall pay the costs and fees of the prevailing party.  Should there be a disagreement between the
parties as to who is the losing party and who is the prevailing party, the
judicial, quasi judicial or arbitral body shall have the jurisdiction to
determine that status.

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12.           TERMINATION
OF PRIOR AGREEMENTS.  This Agreement
terminates and supersedes any and all prior agreements and understandings
between the parties with respect to employment or with respect to the
compensation of Employee by Company from, and after the Effective Date.

13.           ASSIGNMENT:
SUCCESSORS.  This Agreement is
personal in its nature and neither of the parties hereto shall, without the
consent of the other, assign or transfer this Agreement or any rights or
obligations hereunder; provided that, in the event of the merger,
consolidation, transfer, or sale of all or substantially all of the assets of
Company with or to any other individual or entity, this Agreement shall,
subject to the provisions hereof, be binding upon, and inure to the benefit of
such successor and such successor shall discharge and perform all the promises,
covenants, duties, and obligations of Company hereunder.

14.           GOVERNING
LAW.  This Agreement and the legal
relations thus created between the parties hereto shall be governed by and
construed under and in accordance with the laws of the State of Hawaii.

15.           ENTIRE
AGREEMENT: HEADINGS.  This Agreement
embodies the entire agreement of the parties respecting the matters within its
scope and may be modified only in writing. Section headings in this Agreement
are included herein for convenience of reference only and shall not constitute
a part of this Agreement for any other purpose.

16.           WAIVER;
MODIFICATION.  Company’s failure to
insist upon strict compliance with any of the terms, covenants, or conditions
hereof shall not be deemed a waiver of such term, covenant, or condition, nor
shall any waiver or relinquishment of, or failure to insist upon strict
compliance with, any right or power hereunder at any one or more times be
deemed a waiver or relinquishment of such right or power at any other time or
times.  This Agreement shall not be
modified in any respect except by a writing executed by each party hereto.

17.           SEVERABILITY.  In the event that a court of competent
jurisdiction determines that any portion of this Agreement is in violation of
any statute or public policy, only the portions of this Agreement that violate
such statute or public policy shall be stricken.  All portions of this Agreement that do not
violate any statute or public policy shall continue in full force and effect.  Further, any court order striking any portion
of this Agreement shall modify the stricken terms as narrowly as possible to
give as much effect as possible to the intentions of the parties under this
Agreement.

18.           INDEMNIFICATION.  Company shall indemnify and hold Employee
harmless to the maximum extent permitted by Section 415-5 of the Hawaii
Business Corporation Act, and the Restated Articles of Incorporation and
Amended Bylaws of Hawaiian Airlines, Inc. 
Company will maintain a directors and officers liability insurance
policy during the term of this Agreement, which policy shall name Employee as
an insured.

19.           COUNTERPARTS.  This Agreement may be executed in several
counterparts, each of which shall be deemed to be an original but all of which
together will constitute one and the same instrument.

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20.           FACSIMILE
SIGNATURES.  The parties may execute
this Agreement by facsimile, and facsimile signatures shall be binding.

IN WITNESS WHEREOF, Company has caused this Agreement to
be executed by its duly authorized officers, and Employee has hereunto signed
this Agreement, as of the date first above written.

	
  HAWAIIAN AIRLINES, INC.:

  	
  EMPLOYEE:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ MARK B.
  DUNKERLEY

  	
        

  	
  /s/ BARBARA FALVEY

  
	
  Mark B.
  Dunkerley

  	
  Barbara Falvey

  
	
  President and
  Chief Executive Officer

  	
  Senior Vice President — People Services Group

  
			

 

 10Exhibit 10.1

AMENDED EMPLOYMENT AGREEMENT

This AMENDED EMPLOYMENT AGREEMENT (this “Agreement”)
is made and entered into as of May  4,
2007, between Asbury Automotive Group, Inc., a Delaware corporation (the “Company”),
and Charles Oglesby, an individual resident of the State of Georgia (the “Executive”).

WHEREAS the Company and Executive entered in that
certain Employment Agreement (the “2006 Agreement”) effective as of
September 7, 2006 pursuant to which Executive has served as the Company’s
Senior Vice President and Chief Operating Officer;

WHEREAS, the Company and Executive now wish to amend
and restate the 2006 Agreement in connection with Executive’s assuming the
position of the Company’s Chief Executive Officer and President.

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

SECTION 1.   Employment.  The Company hereby employs Executive, and
Executive accepts employment by the Company, on the terms and conditions
contained in this Agreement.

SECTION 2.   Term. 
The employment of Executive pursuant to the terms of this Agreement
shall be effective on the date hereof (the “Effective Date”) and shall remain
in effect until the third anniversary of the Effective Date (the “Initial
Period”), provided that commencing on the third anniversary of the Effective
Date and on each anniversary thereafter (a “Renewal Date”), this Agreement
shall automatically renew for additional one-year periods (each, a “Renewal Period”),
unless either party gives notice of non-renewal at least 60 days prior to the
next Renewal Date or  unless terminated
pursuant to Section 16.  The period
of time between the Effective Date and the termination of this Agreement
pursuant to its terms is herein referred to as the “Term”.

SECTION 3.   Duties and Extent of Service.  (a) During the Term, Executive shall serve as
Chief Executive Officer and President of the Company and, in addition, in such
other executive capacity or capacities for the Company, as may be commensurate
with Executive’s seniority and experience and as determined by the Company’s
Board of Directors (the “Board”).  During
the Term, the Company shall use its reasonable best efforts to ensure that
Executive is re-elected as a director of the Company, and Executive agrees to
serve in such capacity without additional compensation.

 

(b)  Executive shall report directly and
exclusively to the Board and no other executive officer shall be appointed with
authority over the business operations of the Company superior to that of
Executive.

(c)  Executive shall perform such services and
duties for the Company as are customarily performed by an executive in
Executive’s position at a business such as the Company’s business and as the
Board may assign or delegate to him from time to time.  Executive shall devote his full business
knowledge, skill, time and reasonable best efforts exclusively to the
performance of his duties for the Company and the promotion of its interests; provided,
however, that Executive shall be entitled to (i) engage in civic and
charitable activities, (ii) manage passive personal investments, and (iii) with
the consent of the Board (which shall not be unreasonably withheld), serve on
the board of directors of corporations not in competition with the Company; provided
further that none of the foregoing activities shall, individually or in
the aggregate, interfere with Executive’s ability to devote the requisite time
and effort to the performance of his duties and responsibilities under this
Agreement.  Executive’s duties hereunder
shall be performed at such place or places as the interests, needs, businesses
or opportunities of the Company shall require, as the Board may determine from
time to time.  The Board may determine that
Executive shall perform some or all of his duties primarily at the Company’s
corporate headquarters, and the Company and Executive agree that any such
determinations by the Board shall constitute a material term of Executive’s
duties under this Agreement.

SECTION 4.   Base Salary.  During the Term, Executive shall be paid a
base salary (the “Base Salary”) at a rate of $825,000 per annum, payable in
arrears in equal monthly installments. 
On or before May 1, 2008 and annually thereafter, the Board shall review
Executive’s Base Salary  at the same time
as the salaries of other members of the corporate office are reviewed and may
increase (but not decrease) his then current Base Salary in its sole
discretion.

SECTION 5.   Incentive Compensation.  (a) 
For the year 2007 and each year during the remainder of the Term,
Executive shall be eligible to earn an annual bonus pursuant to the Company’s
Key Executive Incentive Compensation Plan (or an applicable successor plan), on
a calendar year basis, of 100% of his then current Base Salary (“Target Bonus”),
and such additional amounts which may be payable under the Company’s incentive
compensation plans as they may be maintained by the Company, in the Board’s
discretion,  from time to time, which
amounts shall be payable if the Company achieves specified objectives (the “Targets”)
established by the Compensation Committee no later than the 90th day of each
such year.  The Compensation Committee of
the Board (the “Compensation Committee”) shall certify whether the relevant
Targets have been achieved and, based on such certification, shall thereafter
determine the actual bonus earned by Executive with respect to the year
described in the preceding sentence no later than 30 days after delivery to the
Board of audited financial statements for the Company for the relevant calendar
year.  Such Targets shall be
substantially similar to those Targets established for purposes of computing
annual bonuses for other corporate office senior executives.  Executive’s annual bonus shall be paid in a
lump sum cash payment no later than the fifteenth day of the third month
following the tax year containing the last day of bonus performance period.

 2
 

(b)  For the year 2007 and each year during the
remainder of the Term, Executive shall be eligible to participate in the equity
and other long term incentive compensation plans as the Company shall maintain
for the benefit of corporate office senior executives generally, on the terms
and subject to the conditions set forth in such plans.

SECTION 6.   Fringe Benefits.    During the Term, Executive shall be
entitled to participate, to the extent eligible, in such medical, dental,
disability, life insurance, deferred compensation and other benefit plans as
the Company shall maintain for the benefit of corporate office senior
executives generally, on the terms and subject to the conditions set forth in
such plans.

SECTION 7.   Expenses; Vacation; Automobile;
Relocation Assistance. Upon the receipt from Executive of expense vouchers
and other documentation reasonably requested by the Company, the Company shall
reimburse Executive promptly in accordance with the Company’s policies and
procedures for all reasonable expenses incurred by Executive in connection with
Executive’s duties and responsibilities hereunder.  During the Term, Executive shall be entitled
to an automobile allowance of $2,000 per month. 
Executive shall be entitled to four weeks paid vacation per year.  During the first year of the Term, the
Company shall provide Executive with the use of an apartment in the city in
which the Company’s headquarters is then located if Executive shall need such
use; the cost of such apartment shall not exceed the cost of the apartment
currently maintained by the Company for the business use of its executives,
unless any additional cost is approved by the Board.  After the first year of the Term, the Company
shall review its relocation assistance policies with respect to Executive if
Executive shall then desire relocation assistance.

SECTION 8.   Noncompete and Nonsolicitation.  (a) 
During the Term and for two year thereafter, Executive shall not
directly or indirectly (other than as an employee of or consultant to the
Company) accept employment with, or render services to, any Competing Business
(defined below) or solicit business on behalf of any Competing Business from
any customers or clients of the Company or its affiliates.

(b) During the Term and
for one year thereafter, Executive shall not directly or indirectly (other than
as an employee of or consultant to the Company) solicit, recruit or hire any
employee of the Company (or any person who was an employee of the Company
during the 12 month period preceding Executive’s date of termination) or
encourage any such employee to terminate employment with the Company.

(c) For purposes of this Agreement, “Competing
Business” means any corporation, partnership, sole proprietorship or other
entity that engages in activities or businesses within the United States that
are substantially in competition with the Company or any of its controlled
affiliates.

(d) Notwithstanding anything to the contrary
contained in this Agreement, the Company hereby agrees that the foregoing
covenant shall not be deemed breached as a result of the passive ownership by
Executive of:  (i) less than an aggregate
of 5% of any class of 

 3
 

stock of a Competing Business; provided, however,
that such stock is listed on a national securities exchange or is quoted on the
National Market System of NASDAQ; or (ii) less than an aggregate of 10% in value
of any instrument of indebtedness of a Competing Business.

(e) Notwithstanding anything to the contrary contained
in this Agreement, the Company hereby agrees that the foregoing covenant shall
not be deemed breached as a result of the ownership and operation by Executive
of an automobile dealership after the termination of Executive’s employment
with the Company if and only if (i) the Company shall never have owned such
dealership or shall not be considering acquiring such dealership as of the date
of Executive’s termination of employment, (ii) such dealership is not located
within 50 miles of any dealership which is owned by the Company or which the
Company is considering acquiring as of the date of Executive’s termination of
employment, (iii) such dealership shall not employ any employee of the Company
(or any person who was an employee of the Company during the 12 month period
preceding Executive’s date of termination) and (iv) such ownership or operation
does not violate any agreement between the Company and any manufacturer or
distributor of motor vehicles or any policy of any such manufacturer or
distributor.

(f) If a judicial determination is made that any
of the provisions of this Section 8 constitutes an unreasonable or
otherwise unenforceable restriction against Executive, the provisions of this
Section 8 shall be rendered void only to the extent that such judicial
determination finds such provisions to be unreasonable or otherwise
unenforceable.  Moreover, notwithstanding
the fact that any provision of this Section 8 is determined not to be
specifically enforceable, the Company shall nevertheless be entitled to recover
monetary damages as a result of Executive’s breach of such provision.

(g) Executive agrees that the provisions of this
Section 8 are reasonable and properly required for the adequate protection of
the business and the goodwill of the Company.

SECTION 9.   Nondisclosure.  (a) 
The parties hereto agree that during the course of his employment by the
Company, Executive will have access to, and will gain knowledge with respect
to, the Company’s Confidential Information (defined below).  The parties acknowledge that unauthorized
disclosure or misuse of such Confidential Information would cause irreparable
damage to the Company.  Accordingly,
Executive agrees to the nondisclosure covenants in this Section 9.  Executive represents that his experience and
capabilities are such that the provisions of Section 8 and this Section 9 will
not prevent him from earning his livelihood. 
Executive agrees that he shall not (except as may be required by law),
without the prior written consent of the Company during his employment with the
Company under this Agreement, and any extension or renewal hereof, and
thereafter for so long as it remains Confidential Information, use or disclose,
or knowingly permit any unauthorized person to use, disclose or gain access to,
any Confidential Information; provided, however, that Executive
may disclose Confidential Information to a person to whom disclosure is reasonably
necessary or appropriate in connection with the performance

 4

by Executive of his duties under this Agreement.  Upon termination of this Agreement for any
reason, Executive shall return to the Company the original and all copies of
all documents and correspondence in his possession relating to the business of
the Company or any affiliate, including but not limited to all Confidential
Information, and shall not be entitled to any lien or right of retention in
respect thereof.

(b) For purposes of this Agreement, “Confidential
Information” shall mean all business information (whether or not in written
form) which relates to the Company, any of its 
affiliates or their respective businesses or products or services and
which is not known to the public generally, including but not limited to
technical information or reports; trade secrets; unwritten knowledge and “know-how”;
operating instructions; training manuals; customer lists; customer buying
records and habits; product sales records and documents, and product
development, marketing and sales strategies; market surveys; marketing plans;
profitability analyses; product cost; long-range plans; information relating to
pricing, competitive strategies and new product development; information
relating to any forms of compensation and other personnel-related information;
contracts; and supplier lists. 
Notwithstanding anything herein to the contrary, “Confidential
Information” shall not include any information that (i) at the time of
Executive is made aware of such information, is generally available to the
public, (ii) after Executive becomes aware of such information, becomes
generally available to the public through no act or omission of Executive or
(iii) is made available to Executive by a person (other than the Company, its
affiliates or their respective directors or officers) who did not breach any
confidentiality obligations to the Company or its affiliates in disclosing such
information to Executive.

SECTION 10.   Severance.  (a) Subject to Section 11 and to
Executive’s execution, delivery and non-revocation of a general release
substantially in the form attached hereto as Exhibit “A” (the “Release”), if a
Termination of Executive’s employment occurs at any time during the Term, (i)
the Company shall continue to pay Executive compensation for the next twelve
months on regular payroll dates at twice the rate of Base Pay in effect as of
the date of Termination, such compensation totaling over the twelve month
period two (2) times Executive’s Base Salary in effect as of the date of
Termination; and (ii) following the first anniversary of the date of
Termination the Company shall pay Executive an amount equal to 200% of the
Target Bonus in effect as of the date of Termination, such amount to be paid in
equal payments on regular payroll dates over the next twelve months.  The compensation payable under this
subsection (a) shall be subject to any required tax withholding and shall not
begin until the eighth day after Executive’s delivery of the executed Release
to the Company provided that Executive shall have not previously revoked the
Release.  One half of each payment shall
constitute “Severance Pay” and one half shall constitute “Covenant Pay.”

                                (b) Severance
Pay will also include a portion of the Target Bonus for the calendar year of
Termination in an amount equal to such Target Bonus multiplied by the
percentage of such year that has lapsed through the date of Termination.  This amount shall

 5
 

be paid in equal payments
over the twenty four month period beginning on the date of Termination on the
same days and in the same manner as the payments provided in subsection (a)
above.

(c) Subject to Executive’s execution, delivery
and non-revocation of the Release, Executive shall also be entitled for 24
months following the date of Termination to continue to participate at the same
level of coverage and Executive contribution in any health, dental, disability
and life insurance plans, as may be amended from time to time, in which
Executive was participating immediately prior to the date of Termination.  Such participation will terminate 30 days
after Executive has obtained other employment under which Executive is covered
by equal benefits.  Executive agrees to
notify the Company promptly upon obtaining such other employment.  At the option of Executive, COBRA coverage
will be available, as provided by law and/or Company policy, at the termination
of extended benefits as provided above.

(d) If Executive
shall die following his Termination, the payments and benefits provided under
this Section 10 shall continue to be paid and/or provided to his estate.

SECTION 11.   Change
in Control.  (a) In the event that a
Termination (as defined below) occurs at any time within two years after a
Change of Control, as defined herein, subject to Executive’s execution,
delivery and non-revocation of the Release, the Company will pay Executive all
of the benefits and compensation provided in Section 10, except that the
Covenant Pay and the Severance Pay shall be paid in a lump-sum payment on the
eighth day after Executive’s delivery of the executed Release to the Company,
provided that Executive shall not have revoked the Release.

(b) For purposes
of this Agreement, “Change of Control” shall mean an event or series of events,
not including any events occurring prior to or in connection with an initial
public offering of Shares (including the occurrence of such initial public
offering), by which:

(i)                             during
any period of 12 consecutive calendar months, individuals whose appointment or
election for election to the Board was not endorsed by a majority of the Board
before the date of the appointment or election shall cease to constitute a
majority of the Board;

(ii)                                  the
consummation of a merger, consolidation, statutory share exchange or similar
form of corporate transaction involving the Company or any of its Subsidiaries
(a “Reorganization”) or sale or other disposition of all or substantially all
of the assets of the Company to an entity that is not an affiliate of the
Company (a “Sale”), that in each case requires the approval of the Company’s
stockholders under the law of the Company’s jurisdiction of organization,
whether for such Reorganization or Sale (or the issuance of securities of the
Company 

 6
 

in such
Reorganization or Sale), unless immediately following such Reorganization or
Sale 50% or more of the total voting power (in respect of the election of
directors, or similar officials in the case of an entity other than a
corporation) of (A) the entity resulting from such Reorganization, or the
entity which has acquired all or substantially all of the assets of the Company
(the “Surviving Entity”), or (B) if applicable, the ultimate parent entity
that directly or indirectly has beneficial ownership of 50% or more of the
total voting power (in respect of the election of directors, or similar
officials in the case of an entity other than a corporation) of the Surviving
Entity (the “Parent Entity”), is represented by the Company’s outstanding
securities eligible to vote for the election of the Board (the “Company Voting
Securities”) that were outstanding immediately prior to such Reorganization or
Sale (or, if applicable, is represented by shares into which such Company
Voting Securities were converted pursuant to such Reorganization or Sale), and
such voting power among the holders thereof is in substantially the same
proportion as the voting power of such Company Voting Securities among the
holders thereof immediately prior to the Reorganization or Sale;

(iii)                               any
“person” (as such term is defined in Section 13(d) of the Exchange Act (or any
successor section thereto)), corporation or other entity (other than (A) the
Company, (B) any trustee or other fiduciary holding securities under an
employee benefit plan of the Company or an Affiliate, (C) any company owned,
directly or indirectly, by the stockholders of the Company in substantially the
same proportions as their ownership of Shares or (D) any entity or individual
affiliated with (x) Ripplewood Holdings L.L.C. or (y) Freeman Spogli &
Co. Incorporated, or their affiliates), becomes the “beneficial owner” (as such
term is defined in Rule 13d-3 under the Exchange Act (or any successor
rule thereto)), directly or indirectly, of securities of the Company
representing 30% or more of the combined voting power of the Company’s
then-outstanding securities.

(c) In the event of a
Change of Control, all stock options theretofore granted to Executive under the
2002 Equity Plan (i) shall, to the extent then outstanding and unexercisable or
unvested immediately prior to the Change of Control, automatically be deemed
exercisable and/or vested, as the case may be, and (ii) to the extent such
stock options remain outstanding at or following such Change of Control
(including by means of assumption or substitution), such stock options shall
remain exercisable for no less than a two-year period commencing on the date of
the Change of Control subject to earlier expiration of the stock options
pursuant to the terms of the 2002 Equity Plan or the applicable stock option
award agreement; provided, however, that any such stock options shall not
expire prior to the end of such two-year period solely as a result of the
termination of Executive’s employment. 
The accelerated vesting and exercisability and extended two-year 

 7
 

exercise period provisions described in the preceding
sentence shall apply with respect to stock options held by Executive granted
under any successor stock option plan of the Company, if any, to the extent a
change of control or similar occurrence occurs under such successor stock
option plan (or, if such successor plan does not contain a “change of control”
or similar provision, to the extent a Change of Control occurs after the grant
of the applicable stock option).  The
provisions of this paragraph shall be deemed incorporated by reference into
Executive’s stock option award agreements accordingly. Upon a Change of
Control, all Performance Unit awards granted to Executive under the 2002 Equity
plan shall be treated as set forth in the Performance Unit award agreement  and the termination of Executive’s employment
for Good Reason or any reason during the 30 day period commencing on the first
anniversary of a Change of Control shall be treated as an involuntary
termination by the Company, and all shares of Restricted Stock, all Restricted
Stock Units and any deferred compensation granted to Executive shall
automatically be vested.

(d) If Executive
shall die following a Change of Control, Executive shall be deemed to have been
terminated without cause as of the date of his death and the payments and
benefits provided under this Section 11 shall continue to be paid and/or
provided to his estate.

SECTION 12.   Definitions.  (a) For purposes of Sections 10 and 11, “Termination”
means (i) termination of Executive’s employment by the Company for any
reason, except (A) death, (B) “Disability” (as defined below), (C) “Retirement”
(as defined below) or (D) “Cause” (as defined below), (ii) termination of
Executive’s employment by Executive for “Good Reason” (as defined below) within
120 days after the occurrence of the event constituting Good Reason, provided
that Executive has provided written notice to the Board of the existence of the
event constituting Good Reason within 90 days after its initial existence and
has given the Company at least 30 days after the receipt of such notice to cure
such Good Reason or (iii) termination of Executive’s employment for Good Reason
or any reason during the 30 day period commencing on the first anniversary of a
Change of Control.

(b)  The definition of “Disability” is Executive’s
physical or mental disability or infirmity that prevents the performance by
Executive of his duties lasting (or likely to last, based on competent medical
evidence presented to the Company) for a continuous period of six months or
longer.

(c)  The definition of “Retirement” is the
termination of Executive’s employment at the end of the Initial Period or
during any Renewal Period, by the Company or by Executive, other than by reason
of Executive’s Disability or death or by the Company for Cause, provided that
if Executive elects to terminate his employment and retire, he shall have
provided the Board with at least 90 days prior written notice of his intention
to retire and, to the extent he is reasonably able, shall have assisted the
Board in identifying a successor and transitioning Executive’s duties to such
successor.  After Executive’s notice of
intention to retire, the Company shall not terminate Executive’s employment
except for cause.

(d)
The definition of “Cause” is: 
(i) Executive’s gross negligence or serious

 8

misconduct
(including without limitation any criminal, fraudulent or dishonest conduct)
that is injurious to the Company or any of its affiliates; (ii) Executive’s
being convicted of, or entering a plea of nolo contendere to, any crime that
constitutes a felony or involves moral turpitude; (iii) Executive’s breach
of Sections 8 or 9; or (iv) Executive’s willful and continued failure
to perform substantially Executive’s duties with the Company that is not
corrected within thirty days after delivery of written notice to Executive by
the Company, provided that Executive shall not be entitled to the
opportunity to correct more than one such failure and provided, further, that
the Company shall be required to provide Executive with written notice of the
basis upon which it has determined that Cause exists.

(e)  The
definition of “Good Reason” is:  (i) the
involuntary reduction of Executive’s Base Salary,   (ii) the involuntary relocation of the
Company’s headquarter in New York City, New York to a location more than 50
miles away from any location in which the Company maintains an office as of the
Effective Date, (iii) the involuntary and material diminution of Executive’s
duties or job title that is not corrected within thirty days after delivery of
written notice to the Company by Executive or (iv) the Company’s breach of any
material provision of this Agreement, provided that notwithstanding any
other provision of this Agreement, it shall not constitute a diminution of
Executive’s duties or job title under this Agreement (x) for the Board to
designate a potential successor for the position of Chief Executive Officer
and/or to name such a person as President of the Company and/or to assign some
portion of Executive’s duties to such person or (y) as a result of a Change of
Control, the Company’s ceasing to be a public company or Executive’s no longer
having the functions, responsibilities and duties held by an officer of a
public company.

SECTION 13.   Retirement.  (a) In the event of Executive’s Retirement,
all stock options theretofore granted to Executive under the 2002 Equity Plan
(i) shall, to the extent then outstanding and unexercisable or unvested
immediately prior to Executive’s Retirement Date, automatically be deemed
exercisable and/or vested, as the case may be, and (ii) to the extent such
stock options remain outstanding at or following such Retirement (including by
means of assumption or substitution after a Change of Control), such stock
options shall remain exercisable for no less than a two-year period commencing
on the date of the Retirement subject to earlier expiration of the stock
options pursuant to the terms of the 2002 Equity Plan or the applicable stock
option award agreement.    The
accelerated vesting and exercisability and extended two-year exercise period
provisions described in the preceding sentence shall apply with respect to
stock options held by Executive granted under any successor stock option plan
of the Company.  The provisions of this
paragraph shall be deemed incorporated by reference into Executive’s stock
option award agreements accordingly. 
Upon Executive’s Retirement, all Performance Unit awards granted to
Executive under the 2002 Equity plan shall be treated as set forth in the
Performance Unit award agreement as if Executive’s employment had been
involuntarily terminated without cause on the date of Executive’s Retirement
following a Change of Control and all shares of Restricted Stock, all
Restricted Stock Units and any deferred compensation granted to Executive shall
automatically be vested.

(b)  In
addition, in the event of Executive’s Retirement the Company shall pay
Executive additional compensation (the “Retirement Pay”) as follows: (i) the
Company shall 

 9
 

continue to pay Executive compensation for the next
twelve months on regular payroll dates at twice the rate of Base Pay in effect
as of the date of Retirement, such compensation totaling over the twelve month
period two (2) times Executive’s Base Salary in effect as of the date of
Termination; and (ii) following the first anniversary of the date of Retirement
the Company shall pay Executive an amount equal to 200% of the Target Bonus in
effect as of the date of Retirement, such amount to be paid in equal payments
on regular payroll dates over the next twelve months.

(c) Retirement
Pay will also include a portion of the Target Bonus for the calendar year of
Retirement in an amount equal to such Target Bonus multiplied by the percentage
of such year that has lapsed through the date of Retirement. This amount shall
be paid in equal payments over the twenty four month period beginning on the
date of Retirement on the same days and in the same manner as the payments
provided in subsection (b) above.

(d) In addition, in the event of Executive’s
Retirement, Executive shall be eligible to participate at the same level of
coverage and Executive contribution to any health, dental, disability and life
insurance plans, as may be amended from time to time, in which Executive was
participating immediately prior to Retirement. 
Eligibility for such participation shall terminate once Executive has
obtained other employment or until December 31 of the second calendar year
following the year in which the Retirement occurs, whichever occurs first.  Executive agrees to promptly notify the Company
upon obtaining such other employment.

(e) If
Executive shall die following his Retirement, the payments and benefits
provided under this Section 13 shall continue to be paid and/or provided to his
estate.

SECTION 14.         Payment
of Accrued Obligations.  Upon  termination of Executive’s employment with
the Company for any reason, the Company shall pay Executive (or his estate, in
the event of his death) Executive’s Base Salary earned through the date of
termination, any annual bonus earned by Executive with respect to any prior
calendar year which has not been paid as of the date of termination and any
vacation pay earned by Executive which has not been paid as of the date of
termination and shall pay any accrued benefits under any Company benefit plan
pursuant to the terms of such plan.

SECTION 15.         Parachute Payment Limitation.  (a) Notwithstanding anything in this
Agreement to the contrary, if any severance pay or benefits payable under this
agreement (without the application of this Section 15), either alone or
together with other payments, awards, benefits or distributions (or any
acceleration of any payment, award, benefit or distribution) pursuant to any
agreement, plan or arrangement with the Company or any of its affiliates (the “Total
Payments”), would constitute a “parachute payment” (as defined in Section 280G
of the U.S. Internal Revenue Code of 1986, as amended, and regulations
thereunder (the “Code”)), then the following shall occur:

 10
 

(i)  Company’s independent auditors (the “Auditor”)
shall compute the net present value to Executive of all the Total Payments
after reduction for the excise taxes imposed by Code Section 4999 and for any
normal income taxes that would be imposed on Executive if such Total Payments
constituted Executive’s sole taxable income; and

(ii)  The Auditor shall next compute the maximum
Total Payments that can be provided without any such Total Payments being
characterized as “Excess Parachute Payments” (as defined in Code Section 280G)
and reduce the result by the amount of any normal income taxes that would be
imposed on Executive if such reduced Total Payments constituted Executive’s
sole taxable income.

(b) If the result derived
in clause (i) above is greater than the result derived in clause (ii) above,
then the Company shall pay Executive the full amount of the Total Payments
without reduction.  If the result derived
from clause (i) above is not greater than the result derived in clause (ii)
above, then the Company shall pay Executive the maximum Total Payments possible
without any such Total Payments being characterized as Excess Parachute
Payments.  The determination of how such
Total Payments will be reduced shall be made by Executive in good faith after
consultation with the Company.

SECTION 16.   Termination;
Survival.  This Agreement shall
terminate upon the death of Executive and may be terminated (a) by the Company
(i) upon the  Disability of Executive,
(ii) for Cause or (iii) for any other reason upon 60 days notice to Executive or
(b) by Executive upon the Disability of Executive or for any reason upon 60
days written notice to the Company. 
Notwithstanding the foregoing, if Executive’s employment terminates in a
manner giving rise to a payment or benefit under Section 10, 11, 13, or
14, such Sections shall survive the termination of this Agreement.

SECTION 17.   Validity.  The invalidity or unenforceability of any
provision or provisions of this Agreement shall not affect the validity or
enforceability of any other provision of this Agreement, which shall remain in
full force and effect.

SECTION 18.   Resolution of Disputes.  Any disputes arising under or in connection
with this Agreement shall be resolved by third party mediation of the dispute
and, if such dispute is not resolved within 30 days, by binding arbitration, to
be held in or near the city in which the Company maintains its corporate
headquarters at the time of the dispute, in accordance with the rules and
procedures of the American Arbitration Association.  Judgment upon the award rendered by the
arbitrator(s) may be entered in any court having jurisdiction thereof.  Each party shall bear his or its own costs of
the mediation, arbitration or litigation.

SECTION 19.   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.

 11
 

SECTION 20.   Withholding.  All payments hereunder shall be subject to
any required withholding of Federal, state and local taxes pursuant to any
applicable law or regulation.

SECTION 21.   Section Headings.  The section headings in this Agreement are
for convenience of reference only, and they form no part of this Agreement and
shall not affect its interpretation.

SECTION
22.  Internal Revenue Code Section
409A.  (a)  If any provision of this Agreement (or of any
award of compensation, including equity compensation or benefits) would cause
Executive to incur any additional tax or interest under Section 409A of the
Code or any regulations or Treasury guidance promulgated thereunder, the
Company shall, after consulting with Executive, reform such provision to comply
with Section 409A of the Code, provided that the Company agrees to maintain, to
the maximum extent practicable, the original intent and economic benefit to
Executive of the applicable provision without violating the provisions of
Section 409A of the Code.

(b)  Notwithstanding any provision to the contrary
in this Agreement, if Executive is deemed on the date of Termination or
Retirement, as applicable, to be a “specified employee” within the meaning of
that term under Section 409A(a)(2)(B) of the Internal Revenue Code of 1986, as
amended (the “Code”), then with regard to any payment or the provision of any
benefit that is required to be delayed in compliance with section 409A(a)(2)(B)
of the Code such payment or benefit shall not be made or provided (subject to
the last sentence hereof) prior to the earlier of (A) the expiration of the six
(6)-month period measured from the date of his “separation from service” (as
such term is defined under Section 409A of the Code) or (B) the date of his
death (the “Delay Period”).  Upon the
expiration of the Delay Period, all payments and benefits delayed pursuant to
this section (whether they would have otherwise been payable in a single sum or
in installments in the absence of such delay) shall be paid or reimbursed
Executive in a lump sum, and any remaining payments and benefits due under this
Agreement shall be paid or provided in accordance with the normal payment dates
specified for them herein. 
Notwithstanding the foregoing, to the extent that the foregoing applies
to the provision of any ongoing welfare benefits to Executive that would not be
required to be delayed if the premiums therefore were paid by Executive,
Executive shall pay the full cost of premiums for such welfare benefits during
the Delay Period and the Company shall pay Executive an amount equal to the
amount of such premiums paid by Executive during the Delay Period promptly
after its conclusion.

(c)  To the extent permitted under Treasury
Reg.§1.401A-2(b), the Company and Executive designate all payments that may be
due Executive under Section 10 (Severance) or 13 (Retirement) to be treated as
separate payments and not as installment payments.

(d)  Neither the Company nor Executive shall
either accelerate or delay any payment due under this Agreement that
constitutes “nonqualified deferred compensation”

 12

 

within the meaning of
Section 409A except to the extent permitted under Section 409A or regulations
or Treasury guidance promulgated thereunder.

                                SECTION
23.         Miscellaneous.  (a) This Agreement shall inure to the benefit
of and shall be binding upon Executive and his executor, administrator, heirs,
personal representative and permitted assigns, and the Company and its
successors and permitted assigns. 
Neither this Agreement nor any rights or obligations hereunder may be
assigned by one party without the consent of the others, except that this
Agreement shall be binding upon and inure to the benefit of any successor or
successors of the Company whether by merger, consolidation, sale of assets or
otherwise and reference herein to the Company shall be deemed to include any
such successor or successors.

(b) Executive represents
and warrants that (i) he is not subject to any agreement, understanding or
limitation that could hinder or impair Executive’s ability to perform his
duties hereunder and (ii) Executive’s entry into, and performance of his
obligations under, this Agreement will not interfere or otherwise violate any
other agreement to which Executive is a party or is bound.

(c) This Agreement shall
be deemed to be made in, and in all respects shall be interpreted, construed
and governed by and in accordance with, the laws of the State of New York,
without regard to the conflicts of law principles of such State.  No provision of this Agreement or any related
document shall be construed against or interpreted to the disadvantage of any
party hereto by any court or other governmental or judicial authority by reason
of such party having or being deemed to have structured or drafted such
provision.

(d) This Agreement
constitutes the entire agreement between the Company and Executive with respect
to Executive’s employment by the Company and supersedes all prior agreements,
if any, whether written or oral, between them, relating to Executive’s
employment by the Company, including, without limitation, the 2006 Agreement.  Notwithstanding the foregoing, this Agreement
does not supersede (except to the extent expressly provided herein) any of the
terms or conditions of any stock option grants, the Performance Share Unit
Award Agreement between Executive and Company or any other similar agreements
governing incentive compensation or stock grants that were entered into prior
to the date hereof.  This Agreement may
not be changed, waived, discharged or terminated orally, but only by an
instrument in writing, signed by the party against which enforcement of such
change, waiver, discharge or termination is sought.

(e) All notices and other
communications required or permitted hereunder shall be in writing and shall be
deemed given when (a) delivered personally, (b) sent by certified or registered
mail, postage prepaid, return receipt requested or delivered by overnight
courier (provided that a written acknowledgment of receipt is obtained by the
overnight courier) to the party concerned at the address indicated below or to
such changed address as such party may subsequently give such notice of:

 13
 

 

	
  If to the Company

  	
   

  	
  Asbury Automotive Group Inc.

  attn. General Counsel

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  622 3rd Avenue

  37th Floor

  New York, New York 10017

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  If to Executive

  	
   

  	
  Charles Oglesby

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  2938 Major Ridge Trail

  Duluth, GA 30097

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  With a copy to:

  	
   

  	
  Rebecca Northey

  Menaker & Herrmann

  10 East 40th Street

  New York, New York 10016

  

 

 14
 

 

IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be duly executed as of the day and year first above written.

	
  

  	
  ASBURY AUTOMOTIVE GROUP, INC.,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/  Michael J. Durham

  	
   

  
	
   

  	
   

  	
  Name: Michael J. Durham

  
	
   

  	
   

  	
  Title: 
  Non-executive Chairman

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/  Charles Oglesby

  	
   

  
	
   

  	
  Charles Oglesby

  

 

 15

 

Exhibit “A”

GENERAL
RELEASE

This General Release
(this “Agreement”) is entered into between the undersigned Employee, Charles
Oglesby (“you” or “your”) and Asbury Automotive Group (the “Company”), 622
Third Avenue, 37th Floor, New York, NY 10017.

In consideration of the
mutual promises contained in this Agreement, you and the Company agree to the
following:

1.                                       Your
employment with the Company terminated effective on _____________ (“Date of
Termination”).

2.                                       Subject
to the conditions described below, the Company will pay you the severance
benefits (the “Severance Benefits”) 
provided for in Section _____ of that certain Amended Employment
Agreement between you and the Company dated ___________ (the “Employment
Agreement”).

3.                                       You
hereby agree to release, discharge, indemnify and hold harmless forever the
Company and its officers, directors, employees, stockholders, agents, parent
companies, subsidiaries, limited liability companies and partnerships,
affiliates, successors and assigns from any and all actions, causes of action,
contracts, claims, demands and liabilities whatsoever, whether in law or
equity, whether known or unknown, which you ever had, now have or hereafter may
have, or which your heirs, executors or administrators may have, relating in
any way to your employment relationship with the Company, the terms and
conditions of  your employment
relationship, and the termination of that employment.  This General Release includes a release of
any rights or claims pursuant to any federal, state or local laws, executive
orders, ordinances, or regulations, including, without limitation, the Age
Discrimination in Employment Act, which prohibits age discrimination in
employment; Title VII of the Civil Rights Act of 1964, which prohibits
discrimination in employment based on race, color, national origin, religion or
sex; the Equal Pay Act, which prohibits paying men and women unequal pay for
equal work; the Fair Labor Standards Act, which governs wages and other terms
and conditions of employment; the Americans with Disabilities Act, which
prohibits discrimination against persons with disabilities; claims for wrongful
discharge, infliction of emotional distress, interference with contract or
economic relations, breach of any express or implied contract or covenant of
good faith and fair dealing, or any tort, 
common law or contract claim.

 16
 

This General Release shall not apply to your
entitlements under this Agreement, to any right you may have to any benefits
already vested under any Company benefits plan in which you participated or to
any rights you may to indemnification or liability insurance under any of the
Company’s plans or policies.

4.                                       You
hereby recognize and reaffirm the promises and obligations contained in
Sections 8 and 9 of the Employment Agreement with respect to your covenants
relating to your non-competition, non-solicitation and non-disclosure of
confidential information, as well as your obligations under the Asbury
Automotive Group Code of Business Conduct and Ethics for Directors, Officers
and Employees.

5.                                       You
agree to keep confidential and not disclose to anyone (other than your private
attorney, and financial advisor and your immediate family) the terms, amount
and fact of this Agreement. You and the Company agree that each will not talk
about the other or otherwise communicate to anyone in a disparaging or
defamatory manner regarding the other, including but not limited to your
employment with the Company, the termination of that employment, or the Company’s
business strategies, operations, prospects, practices or conduct.  Any request for employment references should
be directed to Philip Johnson, VP of Human Resources, Asbury Automotive Group,
622 Third Avenue, 37th Floor, New York, NY 10017.  The provisions of this paragraph shall
survive termination of this Agreement.

6.                                       You
acknowledge that you have been given a period of twenty-one (21) days to review
and consider this Agreement before signing it. 
You understand that you may use as much of this twenty-one (21) day
period as you wish prior to signing.

7.                                       You
acknowledge and understand that you have had the right and opportunity to
discuss all aspects of this Agreement with your private attorney and that you
have been strongly encouraged to do so before signing this Agreement.  You represent that you have carefully read
and fully understand all of the provisions of this Agreement, and that you are
voluntarily entering into this Agreement. This Agreement constitutes an offer
that will expire if you do not execute the Agreement during the 21-day period.

8.                                       You
may revoke this Agreement within seven (7) days of your signing it.  Revocation can be made by delivering a
written notice of revocation to Philip Johnson, Asbury Automotive Group, 622
Third Avenue, 37th Floor, New York, NY 10017. For this revocation
to be effective, written notice must be received by Philip Johnson no later
than the close of business on the seventh day after you sign this
Agreement.  If you revoke this

 17
 

Agreement, it will not be effective or enforceable and
you will not receive the Severance Benefits.

9.                                       You
hereby waive any right or claim you may have to employment, re-employment or
reinstatement with the Company or any other party named in the General Release.

10.                                 It
is expressly understood that there is no other agreement or understanding
between you and the Company pertaining to the termination of your employment
with the Company or the Company’s obligations to you with respect to such
termination, except as set forth in this Agreement.

11.                                 Any
controversy or claim arising out of or relating to your employment with the
Company, the termination of your employment, this Agreement, or its breach,
shall be finally settled by binding arbitration in accordance with the Model
Employment Arbitration Procedures of the American Arbitration Association
before an arbitrator (who shall be an attorney with at least ten years’
experience in employment law) mutually agreed to by the parties, in or near the
city where the Company maintains its corporate headquarters at the time of the
dispute.  You and the Company agree that
any judgment upon any award rendered by the arbitrator may be entered in any
court having jurisdiction thereof.

12.                                 If
any provision of this Agreement shall be held to be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.

PLEASE READ CAREFULLY.  CAREFULLY CONSIDER ALL PROVISIONS OF THIS
AGREEMENT BEFORE SIGNING IT.  THIS
AGREEMENT INCLUDES A RELEASE OF ALL KNOWN AND UNKNOWN CLAIMS.

 

	
  Asbury Automotive Group

  	
   

  	
   

  	
  Employee:

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  	
   

  	
   

  
							

 

	
  Dated:

  	
   

  	
   

  	
   

  	
  Dated:

  	
   

  

 

 

 18

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