Document:

exv10w14

Exhibit 10.14

June __, 2011

Mr. Joshua W. Sapan

AMC Networks Inc.

Eleven Pennsylvania Plaza

New York, NY 10001

Re: EMPLOYMENT AGREEMENT

Dear Mr. Sapan:

This letter, effective upon the “Effective Date” (as defined in Annex A hereof), will confirm the
terms of your employment by AMC Networks Inc. (the “Company”). Your employment agreement
dated October 20, 2006 and amended December 5, 2008, shall continue in effect until the Effective
Date, after which time it shall terminate and be of no further force and effect.

	1.	 	Your title shall be President and Chief Executive Officer. You agree to devote substantially
all of your business time and attention to the business and affairs of the Company. Subject
to such continuing rights as each party may have hereunder, either you or the Company may
terminate your employment hereunder at any time.
	 
	2.	 	Your annual base salary will be a minimum of $1,280,000, subject to annual review and
potential increase by the Compensation Committee of the Board of Directors of the Company (the
“Compensation Committee”) in its discretion. Your annual base salary shall not be reduced
during the term of this Agreement.
	 
	3.	 	Your annual target bonus amount will be 200% of your annual base salary, and may range from
0% to 400% of your annual base salary, as the Compensation Committee shall determine in its
discretion.
	 
	4.	 	You will be eligible to participate in all employee benefit and retirement plans of the
Company at the level available to other members of senior management subject to meeting the
relevant eligibility requirements and terms of the plans. You will be entitled to four (4)
weeks of vacation per year, to be accrued and used in accordance with Company policy.

 

 

Mr. Joshua W. Sapan

June ___, 2011

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	5.	 	You will be eligible to participate in the long-term cash or equity programs and arrangements
of the Company at the level determined by the Compensation Committee, in its discretion,
consistent with your role and responsibilities as President and Chief Executive Officer of the
Company. In calendar year 2012, for example, you will be entitled to receive one or more
long-term cash and/or equity awards with an aggregate target value of $5,210,000, all as
determined by the Compensation Committee in its discretion. Although there is no guarantee, it
is currently expected that long-term cash or equity awards of similar aggregate target values
will be made to you annually. The Company agrees that neither the scheduled expiration of
this Agreement nor your rights in connection therewith will have any effect on any
determination by the Compensation Committee with respect to the amount, terms or form of any
long-term incentive awards granted to you in the future.
	 
	6.	 	In addition to your eligibility for the above grant of equity and/or cash long-term
incentives in 2012, and subject to the approval of the Compensation Committee, you will also
receive a one-time special award of restricted stock and/or restricted stock units, in such
form or forms as determined by the Compensation Committee, with an aggregate target value of
$4,750,000, all as determined by the Compensation Committee in its discretion (the
“Special Equity Award”). Such Special Equity Award will be made to you on or about the
six-month anniversary of the Effective Date. The number of shares to be granted shall be
determined by dividing the total value to be awarded by the average closing price of the Class
A Common Stock of the Company for the twenty (20) trading days prior to the date of grant.
The Special Equity Award shall be subject to terms substantially similar to the terms
contained in the agreements historically used by Cablevision Systems Corporation (“CSC”) for
restricted stock or restricted stock unit awards for its senior executives, except that the
forfeiture restrictions for the equity awards shall expire on the third anniversary of the
grant (except as otherwise provided in Paragraphs 7(d), 8, 9 and 10 hereof), and shall be
subject to performance objectives to be determined by the Compensation Committee at the time
of grant. Although there is no guarantee, it is currently expected that the performance
objectives applicable to the Special Equity Award will be substantially similar to those
contained in Annex 2 of your March 2011 CSC restricted stock grant agreement, subject to the
determination of the Compensation Committee and the satisfaction of applicable legal
requirements.
	 
	7.	 	If, prior to the fifth anniversary of the Effective Date (the “Scheduled Expiration
Date”), your employment with the Company is terminated (i) by the Company, or (ii) by you
for “Good Reason” (as defined in Annex A), and at the time of any such termination described
above, Cause (as defined in Annex A) does not exist, then, subject to your execution and
delivery (without revocation within any applicable revocation period) to the Company of the
Company’s then-standard separation agreement (modified to reflect the terms of this Agreement)
which agreement will include, without limitation, general releases by you as well as
non-competition, non-solicitation, non-disparagement, confidentiality and other provisions
substantially similar to (and not more restrictive than) those set forth in Annex B (a
“Separation Agreement”), the Company will provide you with the following benefits and
rights:

 

 

Mr. Joshua W. Sapan

June ___, 2011

Page 3 of 13

	 	(a)	 	A cash severance payment in an amount equal to two times the sum of your annual
base salary and your annual target bonus in effect at the time your employment
terminates and such payment shall be payable to you in a lump sum on the
90th day after the termination of your employment;
	 
	 	(b)	 	Each of your outstanding long-term cash performance awards granted under the
plans of the Company and, prior to the Effective Date, Cablevision, shall immediately
vest in full and shall be paid only if, when and to the same extent that other
similarly situated executives receive payment for such awards as determined by the
Compensation Committee (subject to the satisfaction of any applicable performance
objectives);
	 
	 	(c)	 	Each of your outstanding long-term cash awards (including any deferred
compensation awards under the long-term cash award program) that are not subject to
performance criteria granted under the plans of the Company and, prior to the Effective
Date, Cablevision, shall immediately vest in full and shall be payable to you on the
90th day after the termination of your employment;
	 
	 	(d)	 	(i) All of the time based restrictions on each of your outstanding restricted
stock or restricted stock units granted to you under the plans of the Company,
including, without limitation, the Special Equity Award, and on outstanding restricted
stock of CSC or Madison Square Garden, Inc. (“MSG”) held by you as of the Effective
Date, shall immediately be eliminated, (ii) deliveries with respect to all such
restricted stock that are not subject to performance criteria shall be made immediately
after the effective date of the Separation Agreement, (iii) payment and deliveries with
respect to all such restricted stock units that are not subject to performance criteria
shall be made on the 90th day after the termination of your employment, and
(iv) payments or deliveries with respect to your restricted stock and restricted stock
units that are subject to performance criteria shall be made: (A) with respect to the
Special Equity Award, to the extent that the Compensation Committee determines that
such performance criteria have been satisfied, as soon as practicable after such
determination; and (B) with respect to other such restricted stock and restricted stock
units, only if, when and to the same extent that other similarly situated executives
receive payment or deliveries for such awards as determined by the Compensation
Committee (subject to satisfaction of any applicable performance objectives);
	 
	 	(e)	 	Each of your outstanding stock options and stock appreciation awards under the
plans of the Company, and outstanding stock options and stock appreciation awards of
CSC or MSG held by you as of the Effective Date, shall immediately vest and become
exercisable and you shall have the right to exercise each of those options and stock
appreciation awards for the remainder of the term of such option or award; and

	 	(f)	 	A pro rated annual bonus for the year in which such termination occurred (based

 

 

Mr. Joshua W. Sapan

June ___, 2011

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	 	 	 	on the number of full calendar months during which you were employed by the Company
during the year) only if, when and to the same extent that other similarly situated
executives receive payment of bonuses for such year (without adjustment for your
individual performance) as determined by the Compensation Committee in its sole
discretion (and subject to the satisfaction of any applicable performance
objectives) and, if not previously paid, your annual bonus for the preceding year,
if, when and to the same extent that other similarly situated executives receive
payment of bonuses for such year (without adjustment for your individual
performance) as determined by the Compensation Committee in its sole discretion (and
subject to the satisfaction of any applicable performance objectives).
	 
	 	(g)	 	The above provisions of this Paragraph 7 to the contrary notwithstanding, to
the extent that (i) any awards payable under this Paragraph 7 constitute “non-qualified
deferred compensation” subject to Section 409A of the Internal Revenue Code of 1986, as
amended (the “Code”) and any regulations and guidelines promulgated thereunder
(collectively, “Section 409A”); and (ii) accelerated payout is not permitted by
Section 409A, such awards shall be payable to you at such time as is provided under the
terms of such awards or otherwise in compliance with Section 409A.

	8.	 	If you die after a termination of your employment that is subject to Paragraph 7 or 10, your
estate or beneficiaries will be provided with any remaining benefits and rights under
Paragraph 7 or Paragraph 10, as applicable.
	 
	9.	 	If you cease to be an employee of the Company or any of its affiliates prior to the Scheduled
Expiration Date as a result of your death or physical or mental disability, you (or your
estate or beneficiary) will be provided with the benefits and rights set forth immediately
above in Paragraphs 7(b) through (g), and, in the event of your death, such longer period to
exercise your then outstanding stock options and stock appreciation awards of the Company, CSC
and MSG as may otherwise be permitted under the applicable stock plan and award letter.
	 
	10.	 	If, after the Scheduled Expiration Date, your employment with the Company is terminated (i)
by the Company, (ii) by you for Good Reason, or (iii) by you without Good Reason but only if
you had provided the Company with at least six months advance written notice of your intent to
so terminate your employment under this provision, and such written notice specifies an
effective date of termination no sooner than the first day after the Scheduled Expiration
Date, or (iv) as a result of your death or disability, and at the time of any such termination
described above, Cause does not exist, then, subject to (except in the case of your death)
your execution and delivery (without revocation) to the Company of a Separation Agreement, you
or your estate or beneficiary, as the case may be, will be provided with the benefits and
rights set forth above in Paragraphs 7(b) through (g).

 

 

Mr. Joshua W. Sapan

June ___, 2011

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	11.	 	If, prior to, on or after the Scheduled Expiration Date, you cease to be employed by the
Company for any reason other than your being terminated by the Company for Cause, you shall
have three years to exercise outstanding stock options and stock appreciation awards of the
Company, CSC and MSG, unless you are afforded a longer period for exercise pursuant to another
provision of this Agreement or any applicable award letter, but in no event shall such stock
options or stock appreciation awards be exercisable after the end of the applicable regularly
scheduled term (except in the case of death, as may otherwise be permitted under the
applicable stock plan and award letter).
	 
	12.	 	Upon the termination of your employment with the Company, except as otherwise specifically
provided in this Agreement, your rights to benefits and payments under the Company’s pension
and welfare plans (other than severance benefits) and any outstanding long-term cash or equity
awards shall be determined in accordance with the then current terms and provisions of such
plans, agreements and awards under which such benefits and payments (including such long-term
cash or equity awards) were granted.
	 
	13.	 	You and the Company agree to be bound by the additional covenants, acknowledgements and other
provisions applicable to each that are set forth in Annex B, which shall be deemed to be part
of this Agreement and, effective as of the Effective Date, shall supersede all covenants
applicable to you under any other agreement with CSC, the Company or any affiliate of either
of them in existence immediately prior to the parties’ entry into this Agreement.
	 
	14.	 	The Company may withhold from any payment due hereunder any taxes that are required to be
withheld under any law, rule or regulation.
	 
	15.	 	If any payment otherwise due to you hereunder would result in the imposition of the excise
tax imposed by Section 4999 of the Internal Revenue Code, the Company will instead pay you
either (i) such amount or (ii) the maximum amount that could be paid to you without the
imposition of the excise tax, depending on whichever amount results in your receiving the
greater amount of after-tax proceeds. In the event that the payments and benefits payable to
you would be reduced as provided in clause (ii) of the previous sentence, then such reduction
will be determined in a manner which has the least economic cost to you and, to the extent the
economic cost is equivalent, such payments or benefits will be reduced in the inverse order of
when the payments or benefits would have been made to you (i.e., later payments will
be reduced first) until the reduction specified is achieved.
	 
	16.	 	If and to the extent that any payment or benefit under this Agreement, or any plan, award or
arrangement of the Company or its affiliates, constitutes “non-qualified deferred
compensation” subject to Section 409A of the Code and is payable to you by reason of your
termination of employment, then (a) such payment or benefit shall be made or provided to you
only upon a “separation from service” as defined for purposes of Section 409A under applicable
regulations and (b) if you are a “specified employee” (within the

 

 

Mr. Joshua W. Sapan

June ___, 2011

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	 	 	meaning of Section 409A as determined by the Company), such payment or benefit shall not be
made or provided before the date that is six months after the date of your separation from
service (or your earlier death). Any amount not paid or benefit not provided in respect of
the six month period specified in the preceding sentence will be paid to you, together with
interest on such delayed amount at a rate equal to the average of the one-year LIBOR fixed
rate equivalent for the ten business days prior to the date of your separation from service,
in a lump sum or, as applicable, will be provided to you as soon as practicable after the
expiration of such six month period. Any such payments or benefit subject to Section 409A
shall be treated as separate payments for purposes of Section 409A. Furthermore, to the
extent any other payments of money or other benefits due to you could cause the application
of an additional tax under Section 409A, such payments or other benefits shall be deferred
if deferral will make such payment or other benefits compliant under Section 409A.
	 
	17.	 	To the extent any expense reimbursement is determined to be subject to Section 409A, the
amount of any such expenses eligible for reimbursement in one calendar year shall not affect
the expenses eligible for reimbursement in any other taxable year (except under any lifetime
limit applicable to expenses for medical care), in no event shall any expenses be reimbursed
after the last day of the calendar year following the calendar year in which you incurred such
expenses, and in no event shall any right to reimbursement be subject to liquidation or
exchange for another benefit.
	 
	18.	 	The Company will not take any action that would expose any payment or benefit to you to an
acceleration of income, interest or the additional tax of Section 409A(1) , unless (i) the
Company is obligated to take the action under agreement, plan or arrangement to which you are
a party, (ii) you request the action, (iii) the Company advises you in writing that the action
may result in the imposition of the additional tax and (iv) you subsequently request the
action in a writing that acknowledges you will be responsible for any effect of the action
under Section 409A. The Company will hold you harmless for any action it may take in violation
of this Paragraph 18, including any attorney’s fees you may incur in enforcing your rights.
	 
	19.	 	It is our intention that the benefits and rights to which you could become entitled in
connection with termination of employment comply with Section 409A. If you or the Company
believes, at any time, that any of such benefit or right does not comply, it will promptly
advise the other and will negotiate reasonably and in good faith to amend the terms of such
arrangement such that it complies (with the most limited possible economic effect on you and
on the Company).
	 
	20.	 	This Agreement is personal to you and without the prior written consent of the Company shall
not be assignable by you otherwise than by will or the laws of descent and distribution and
any assignment in violation of this Section 21 shall be void. This Agreement shall inure to
the benefit of and be enforceable by your legal representatives. This Agreement shall inure to
the benefit of and be binding upon the Company and its successors and assigns.

 

 

Mr. Joshua W. Sapan

June ___, 2011

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	21.	 	To the extent permitted by law, you and the Company waive any and all rights to the jury
trial with respect to any controversy or claim between you and the Company arising out of or
relating to or concerning this Agreement (including the covenants contained in Annex B) or any
aspect of your employment with the Company or the termination of that employment (each an
“Employment Matter”).
	 
	22.	 	THIS AGREEMENT WILL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF
NEW YORK APPLICABLE TO CONTRACTS MADE AND TO BE PERFORMED ENTIRELY WITHIN THAT STATE.
	 
	23.	 	Both the Company and you hereby irrevocably submit to the jurisdiction of the courts of the
State of New York and the federal courts of the United States of America located in the State
of New York solely in respect of the interpretation and enforcement of the provisions of this
Agreement, and each of us hereby waives, and agrees not to assert, as a defense that either of
us, as appropriate, is not subject thereto or that the venue thereof may not be appropriate.
We each hereby agree that mailing of process or other papers in connection with any such
action or proceeding in any manner as may be permitted by law shall be valid and sufficient
service thereof.
	 
	24.	 	This Agreement may not be amended or modified otherwise than by a written agreement executed
by the parties hereto or their respective successors and legal representatives. The invalidity
or unenforceability of any provision of this Agreement shall not affect the validity or
enforceability of any other provision of this Agreement. It is the parties’ intention that
this Agreement not be construed more strictly with regard to you or the Company. From and
after the Effective Date, this Agreement shall supersede any prior agreements, arrangements,
understandings and communications between the parties dealing with such subject matter hereof,
whether oral or written.
	 
	25.	 	Certain capitalized terms used herein have the meanings set forth in Annex A hereto.
	 
	26.	 	This Agreement shall automatically expire and be of no further effect as of immediately
following the Scheduled Expiration Date; provided, however, Paragraphs 2, 8 (in respect of
Paragraph 10) and 10 through, and including, 26 shall survive the termination or expiration
of this Agreement and shall be binding on you and the Company.

	 	 	 	 	 
	 	AMC NETWORKS, INC.

 	 
	 	By:  	 	 
	 
	 	 	Title:	 	 
	 	 	 	 

 

 

	 	 	 	 	 

Mr. Joshua W. Sapan

June ___, 2011

Page 8 of 13

Accepted and Agreed:

 

Joshua W. Sapan

 

 

Mr. Joshua W. Sapan

June ___, 2011

Page 9 of 13

ANNEX A

DEFINITIONS ANNEX

(This Annex constitutes part of the Agreement)

“Cause” means your (i) commission of an act of fraud, embezzlement, misappropriation,
willful misconduct, gross negligence or breach of fiduciary duty against the Company or an
affiliate thereof, or (ii) commission of any act or omission that results in, or may reasonably be
expected to result in, a conviction, plea of no contest, plea of Nolo Contendere, or imposition of
unadjudicated probation for any crime involving moral turpitude or felony.

“Change in Control” means the acquisition, in a transaction or a series of related
transactions, by any person or group, other than Charles F. Dolan or members of the immediate
family of Charles F. Dolan or trusts for the benefit of Charles F. Dolan or his immediate family
(or an entity or entities controlled by any of them) or any employee benefit plan sponsored or
maintained by the Company, of the power to direct the management of the Company or substantially
all its assets (as constituted immediately prior to such transaction or transactions).

“Effective Date” means the date on which the spinoff of AMC Networks Inc. from CSC is
consummated.

Termination for “Good Reason” means that (1) without your consent, (A) your base salary or
bonus target as an employee is reduced, (B) the Company requires that your principal office be
located more than fifty miles from Manhattan, (C) the Company materially breaches its obligations
to you under this Agreement, (D) you are no longer the President and Chief Executive Officer of the
Company, (E) you report directly to someone other than the Chairman (or an Executive Chairman) of
the Board of Directors of the Company, or (F) your responsibilities are materially diminished, (2)
you have given the Company written notice, referring specifically to this definition, that you do
not consent to such action, (3) the Company has not corrected such action within 15 days of
receiving such notice, and (4) you voluntarily terminate your employment within 90 days following
the happening of the action described in subsection (1) above.

 

 

Mr. Joshua W. Sapan

June __, 2011

Page 10 of 13

ANNEX B

ADDITIONAL COVENANTS

(This Annex constitutes part of the Agreement)

You agree to comply with the following covenants in addition to those set forth in the Agreement.

	1.	 	CONFIDENTIALITY

You agree to retain in strict confidence and not divulge, disseminate, copy or disclose to any
third party any Confidential Information, other than for legitimate business purposes of the
Company and its subsidiaries. As used herein, “Confidential Information” means any non-public
information that is material or of a confidential, proprietary, commercially sensitive or personal
nature of, or regarding, the Company or any of its subsidiaries or any current or former director,
officer or member of senior management of any of the foregoing (collectively “Covered Parties”).
The term Confidential Information includes information in written, digital, oral or any other
format and includes, but is not limited to (i) information designated or treated as confidential;
(ii) budgets, plans, forecasts or other financial or accounting data; (iii) subscriber, customer,
advertiser, sponsor, talent, guest, fan, vendor or shareholder lists or data; (iv) technical,
creative or strategic information regarding the Covered Parties’ programming, advertising,
entertainment, theatrical or other businesses; (v) advertising, business, sales or marketing
tactics and strategies; (vi) policies, practices, procedures or techniques; (vii) trade secrets or
other intellectual property; (vii) information, theories or strategies relating to litigation,
arbitration, mediation, investigations or matters relating to governmental authorities; (vii) terms
of agreements with third parties and third party trade secrets; (viii) information regarding
employees, actors, producers, directors, writers or other creative personnel, agents, consultants,
advisors or representatives, including their compensation or other human resources policies and
procedures; and (ix) any other information the disclosure of which may have an adverse effect on
the Covered Parties’ business reputation, operations or competitive position, reputation or
standing in the community.

If disclosed, Confidential Information or Other Information could have an adverse effect on the
Company’s standing in the community, its business reputation, operations or competitive position or
the standing, reputation, operations or competitive position of any of its affiliates subsidiaries,
officers, directors, employees, actors, producers, directors, writers or other creative personnel,
consultants or agents or any of the Covered Parties.

Notwithstanding the foregoing, the obligations of this section, other than with respect to
subscriber information, shall not apply to Confidential Information which is:

	a)	 	already in the public domain;
	 
	b)	 	disclosed to you by a third party with the right to disclose it in good faith and not
intended to be maintained in confidence; or
	 
	c)	 	specifically exempted in writing by the Company from the applicability of this Agreement.

 

 

Mr. Joshua W. Sapan

June ___, 2011

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Notwithstanding anything elsewhere in this Agreement, you are authorized to make any disclosure
required of you by any federal, state and local laws or judicial, arbitral or governmental agency
proceedings, after providing the Company with prior written notice and an opportunity to respond
prior to such disclosure. In addition, this Agreement in no way restricts or prevents you from
providing truthful testimony concerning the Company to judicial, administrative, regulatory or
other governmental authorities.

	2.	 	Non-Compete

You acknowledge that due to your executive position in the Company and your knowledge of the
Company’s confidential and proprietary information, your employment or affiliation with certain
entities would be detrimental to the Company. You agree that, without the prior written consent of
the Company, you will not represent, become employed by, consult to, advise in any manner or have,
directly or indirectly, any material interest in any Competitive Entity (as defined below). A
“Competitive Entity” shall mean (1) any person or entity that (i) competes with any of the
Company’s or its affiliates’ programming, advertising, entertainment, film production, theatrical,
motion picture exhibition or other existing business, nationally or regionally, or (ii) directly
competes with any other business of the Company or one of its subsidiaries that produced greater
than 10% of the Company’s revenues in the calendar year immediately preceding the year in which the
determination is made, or (2) any trade or professional association representing any of the
companies covered by this paragraph. Ownership of not more than 1% of the outstanding stock of any
publicly traded company shall not be a violation of this paragraph. This agreement not to compete
will expire upon the first anniversary of the date of your termination of employment with the
Company.

	3.	 	Additional Understandings

You agree, for yourself and others acting on your behalf, that you (and they) have not disparaged
and will not disparage, make negative statements about or act in any manner which is intended to or
does damage to the good will of, or the business or personal reputations of the Company or any of
its incumbent or former officers, directors, agents, consultants, employees, successors and assigns
or any of the Covered Parties.

Unless the Company determines in good faith that you have committed any malfeasance during your
employment by the Company, the Company agrees that its corporate officers and directors, employees
in its public relations department or third party public relations representatives retained by the
Company will not disparage you or make negative statements in the press or other media which are
damaging to your business or personal reputation.

In the event that you so disparage the Company or make such negative statements, then
notwithstanding the above provision to the contrary, the Company may make a proportional response
thereto. In the event that the Company so disparages you or makes such negative statements, then
notwithstanding the above provision to the contrary, you may make a proportional response thereto.

 

 

Mr. Joshua W. Sapan

June ___, 2011

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In addition, you agree that the Company is the owner of all rights, title and interest in and to
all documents, tapes, videos, designs, plans, formulas, models, processes, computer programs,
inventions (whether patentable or not), schematics, scripts, story outlines, music, lyrics and
other technical, business, creative, financial, advertising, sales, marketing, customer or product
development plans, forecasts, strategies, information and materials (in any medium whatsoever)
developed or prepared by you or with your cooperation during the course of your employment by the
Company (the “Materials”). The Company will have the sole and exclusive authority to use the
Materials in any manner that it deems appropriate, in perpetuity, without additional payment to
you.

	4.	 	Further Cooperation

Following the date of termination of your employment with the Company (the “Expiration
Date”), you will no longer provide any regular services to the Company or represent yourself as
a Company agent. If, however, the Company so requests, you agree to cooperate fully with the
Company in connection with any matter with which you were involved prior to the Expiration Date, or
in any litigation or administrative proceedings or appeals (including any preparation therefore)
where the Company believes that your personal knowledge, attendance and participation could be
beneficial to the Company. This cooperation includes, without limitation, participation on behalf
of the Company in any litigation or administrative proceeding brought by any former or existing
Company employees, actors, producers, directors, writers or other creative personnel,
representatives, agents or vendors. The Company will pay you for your services rendered under this
provision at the rate of $6,800 per day for each day or part thereof, within 30 days of approved
invoice therefore.

The Company will provide you with reasonable notice in connection with any cooperation it requires
in accordance with this section and will take reasonable steps to schedule your cooperation in any
such matters so as not to materially interfere with your other professional and personal
commitments. The Company will reimburse you for any reasonable out-of-pocket expenses you
reasonably incur in connection with the cooperation you provide hereunder as soon as practicable
after you present appropriate documentation evidencing such expenses. You agree to provide the
Company with an estimate of such expense before you incur the same.

	5.	 	Non-Hire or Solicit

You agree not to hire, seek to hire, or cause any person or entity to hire or seek to hire (without
the prior written consent of the Company), directly or indirectly (whether for your own interest or
any other person or entity’s interest) any then current employee of the Company, or any of its
subsidiaries or affiliates, until the first anniversary of the date of your termination of
employment with the Company. This restriction does not apply to any employee who was discharged by
the Company. In addition, this restriction will not prevent you from providing references.

	6.	 	Acknowledgements.

You acknowledge that the restrictions contained in this Annex B, in light of the nature of the
Company’s business and your position and responsibilities, are reasonable and necessary to

 

 

Mr. Joshua W. Sapan

June ___, 2011

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protect the legitimate interests of the Company. You acknowledge that the Company has no adequate
remedy at law and would be irreparably harmed if you breach or threaten to breach the provisions of
this Annex B, and therefore agree that the Company shall be entitled to injunctive relief, to
prevent any breach or threatened breach of any of those provisions and to specific performance of
the terms of each of such provisions in addition to any other legal or equitable remedy it may
have. You further agree that you will not, in any equity proceeding relating to the enforcement of
the provisions of this Annex B, raise the defense that the Company has an adequate remedy at law.
Nothing in this Annex B shall be construed as prohibiting the Company from pursuing any other
remedies at law or in equity that it may have or any other rights that it may have under any other
agreement. If it is determined that any of the provisions of this Annex B or any part thereof, is
unenforceable because of the duration or scope (geographic or otherwise) of such provision, it is
the intention of the parties that the duration or scope of such provision, as the case may be,
shall be reduced so that such provision becomes enforceable and, in its reduced form, such
provision shall then be enforceable and shall be enforced.

	7.	 	Surviving.

The provisions of this Annex B shall survive any termination of your employment by the Company or
the expiration of the Agreement.exv10w15

Exhibit 10.15

April 16, 2010

Mr. Edward A. Carroll

c/o Rainbow Media Holdings, LLC

11 Penn Plaza

New York, New York 10001

          Re: Employment Agreement

Dear Ed:

          This letter (the “Agreement”) will confirm the terms of your continued employment by Rainbow
Media Enterprises, Inc. (the “Company”).

          The term of this Agreement (the “Term”) shall commence as of the date it is executed by both
you and the Company and shall automatically expire on April 15, 2013 (the “Expiration Date”).

          Your title continues to be President, National Programming Services. You agree to devote
substantially all of your business time and attention to the business and affairs of the Company
and to perform your duties in a diligent, competent and skillful manner and in accordance with
applicable law.

          Your annual base salary will be a minimum of $950,000, subject to review and potential
increase by the Company in its discretion. Your base salary shall not be reduced during the Term.

          Your annual target bonus will be 100% of your annual base salary. Bonus payments are based on
actual salary dollars paid during the year and depend on a number of factors including Cablevision
Systems Corporation (“Cablevision”), unit and individual performance. However, the decision
whether or not to pay a bonus, and the amount of any such bonus, will be made by the Company in its
sole discretion. In order to receive a bonus, you must be employed by the Company at the time
bonuses are being paid.

          You will also continue to be eligible, subject to your continued employment by the Company and
actual grant by the Compensation Committee of the Board of Directors of Cablevision (the
“Compensation Committee”) in its sole discretion, to participate in all long-term equity and other
incentive programs at the level available to similarly situated executives at the

 

 

Company. Any such awards would be made pursuant to the applicable plan documents and would be
subject to terms and conditions established by the Compensation Committee in its sole discretion or
otherwise and that would be detailed in separate agreements you would receive after any award is
actually made.

          You will also continue to be eligible for our standard benefits program. Participation in our
benefits program is subject to meeting the relevant eligibility requirements, payment of the
required premiums, and the terms of the plans themselves. We currently offer medical, dental,
vision, life, and accidental death and dismemberment insurance, short- and long-term disability
insurance, a savings and retirement program and ten paid holidays. You will be entitled to four
(4) weeks vacation per year, to be accrued and used in accordance with Company policy.

          Effective immediately, you and the Company agree to be bound by the additional covenants and
provisions applicable to each that are set forth in the Annex attached hereto, which Annex shall be
deemed to be a part of this Agreement.

          If your employment with the Company is terminated during the Term (1) involuntarily by the
Company or (2) by you for “Good Reason,” and at the time of such termination under clause (1) or
(2) “Cause” does not exist, then, subject to your execution and the effectiveness of a severance
agreement satisfactory to the Company and Cablevision, which severance agreement shall include,
without limitation, a full and complete general release in favor of the Company, Cablevision and
their respective affiliates and their respective directors and officers, as well as your agreement
to non-competition, non-solicitation, non-disparagement, confidentiality and further cooperation
obligations and restrictions, the Company will provide you with Severance in an amount to be
determined by the Company (the “Severance Amount”), but in no event less than two (2) times the sum
of (i) your annual base salary plus (ii) your target annual bonus, each as in effect at the time
your employment terminates. Sixty percent (60%) of the Severance Amount will be payable to you on
the six-month anniversary of the date your employment so terminates (the “Termination Date”) and
the remaining forty percent (40%) of the Severance Amount will be payable to you on the
twelve-month anniversary of the Termination Date. If such Termination Date occurs prior to the
payment of an annual bonus for the preceding year, you shall remain eligible to receive an annual
bonus for the preceding year if, when and to the same extent that other similarly situated
employees receive payment of bonuses for such year as determined by the Compensation Committee in
its sole discretion (and subject to the satisfaction of any applicable performance objectives).

          In connection with any termination of your employment described above, other than as
specifically provided above (i) all equity or cash incentive grants or awards you may then have
outstanding will be treated in accordance with their terms, and (ii) you shall not be eligible for
any annual bonus with respect to your or the Company’s performance during the calendar year in
which the Termination Date occurs.

          Notwithstanding any other provision of this Agreement, the Company may terminate your
employment at any time, with or without notice or reason. This Agreement shall automatically
terminate upon your death.

-2-

 

          The Company may withhold from any payment due to you hereunder any taxes that are required to
be withheld under any law, rule or regulation.

          If and to the extent that any payment or benefit hereunder, or any plan or arrangement of the
Company or its affiliates, is determined by the Company to constitute “non-qualified deferred
compensation” subject to Section 409A of the Internal Revenue Code of 1986 (“Section 409A”) and is
payable to you by reason of your termination of employment, then (a) such payment or benefit shall
be made or provided to you only upon a “separation from service” as defined for purposes of Section
409A under applicable regulations and (b) if you are a “specified employee” (within the meaning of
Section 409A and as determined by the Company), such payment or benefit shall not be made or
provided before the date that is six months after the date of your separation from service (or your
earlier death). Any amount not paid in respect of the six-month period specified in the preceding
sentence will be paid to you in a lump sum after the expiration of such six-month period. Any such
payment or benefit shall be treated as a separate payment for purposes of Section 409A to the
extent Section 409A applies to such payments.

          To the extent any expense reimbursement is determined to be subject to Section 409A, the
amount of any such expenses eligible for reimbursement in one calendar year shall not affect the
expenses eligible for reimbursement in any other taxable year (except under any lifetime limit
applicable to expenses for medical care), in no event shall any expenses be reimbursed after the
last day of the calendar year following the calendar year in which you incurred such expenses, and
in no event shall any right to reimbursement be subject to liquidation or exchange for another
benefit.

          If any payment otherwise due to you hereunder would result in the imposition of the excise tax
imposed by Section 4999 of the Internal Revenue Code, the Company will instead pay you either (i)
such amount or (ii) the maximum amount that could be paid to you without the imposition of the
excise tax, depending on whichever amount results in your receiving the greater amount of after-tax
proceeds (as reasonably determined by the Company). In the event that any payment or benefits
payable to you hereunder would be reduced because of the imposition of such excise tax, then such
reduction will be determined in a manner which has the least economic cost to you and, to the
extent the economic cost is equivalent, such payments or benefits will be reduced in the inverse
order of when the payments or benefits would have been made to you (i.e., later payments will be
reduced first) until the reduction specified is achieved.

          This Agreement is personal to you and without the prior written consent of the Company shall
not be assignable by you otherwise than by will or the laws of descent and distribution. This
Agreement sh all inure to the benefit of, and be enforceable by, your legal representatives. This
Agreement shall inure to the benefit of, and be binding upon, the Company and its successors and
assigns.

          To the extent permitted by law, you hereby waive any and all rights to a jury trial with
respect to any claim arising out of or in any way connected with or related to this Agreement, your
employment by the Company or the termination of your employment with the Company.

-3-

 

          This Agreement will be governed by and construed in accordance with the law of the State of
New York applicable to contracts made and to be performed entirely within that State.

          You hereby irrevocably submit to the jurisdiction of the courts of the State of New York and
the federal courts of the United States of America located in the State of New York solely in
respect of the interpretation and enforcement of the provisions of this Agreement, and you hereby
waive, and agree not to assert, as a defense that you are not subject thereto or that the venue
thereof may not be appropriate.

          You hereby agree that mailing of notice, process or other papers in connection with any such
action or proceeding in any manner as may be permitted by law shall be valid and sufficient service
thereof if delivered to you at your address set forth above or to such other address as you may
later designate in writing for the receipt of such notices.

          This Agreement may not be amended or modified otherwise than by a written agreement executed
by the parties hereto or their respective successors and legal representatives.

          The invalidity or unenforceability of any provision of this Agreement shall not affect the
validity or enforceability of any other provision of this Agreement. If any provision of this
Agreement is held by any court of competent jurisdiction to be illegal, invalid, void or
unenforceable, such provision shall be deemed modified, amended and narrowed to the extent
necessary to render the same legal, valid and enforceable, and the other remaining provisions of
this Agreement shall not be affected but shall remain in full force and effect. ·

          Capitalized terms used in this Agreement, including in the Annex attached hereto, shall have
the meanings set forth below:

     “Cause” means, as determined by the Board of Directors (or an appropriate committee
thereof) of the Company, your (i) commission of an act of fraud, embezzlement,
misappropriation, willful misconduct, gross negligence or breach of fiduciary duty against
the Company or an affiliate thereof, or (ii) commission of any act or omission that results
in a conviction, plea of no contest, plea of nolo contendere, or imposition of unadjudicated
probation for any crime involving moral turpitude or any felony.

          “Good Reason” means that (1) without your consent, (A) your base salary or annual bonus
target is reduced, (B) your title is reduced, (C) you report directly to someone other than
the Chairman or the President and Chief Executive Officer of the Company or a Chairman,
President, Chief Executive Officer, Vice Chairman or Chief Operating Officer of Cablevision,
or (D) the Company requires that your principal office be located more than fifty (50) miles
from Manhattan, (2) you have given the Company written notice, referring specifically to
this letter and definition, that you do not consent to such action, (3) the Company has not
corrected such action within 30 days of receiving such notice, and (4) you
voluntarily terminate your employment within 90 days following the happening of the action
described in subsection (1) above.

-4-

 

          It is the parties’ intention that this Agreement not be construed more strictly with regard to
you or the Company. From and after the date of this Agreement, this Agreement shall supersede any
other employment or severance agreement or arrangements between the parties including, without
limitation, that certain prior letter dated October 17, 2007 (as amended December 5, 2008) (and you
shall not be eligible for separate severance benefits under any plan, program or policy of the
Company, Cablevision or any of their respective affiliates).

	 	 	 	 	 
	 	RAINBOW MEDIA

 ENTERPRISES, INC.

 	 
	 	/s/ Joshua W. Sapan
 	 
	 	By:             Joshua W. Sapan 	 
	 	Title:  	CEO 	 
	 

	 	 	 

	ACCEPTED AND AGREED:
	 	 
	 
	/s/ Edward A. Carroll
 

          Edward A. Carroll

	 	 

-5-

 

ANNEX

          This Annex constitutes part of the Agreement, dated April 16, 2010, by and between Edward A.
Carroll (“You”) and Rainbow Media Enterprises, Inc. (the “Company”). Terms defined in the
Agreement shall have the same meanings in this Annex.

          You agree to comply with the following covenants in addition to those set forth in the
Agreement.

1. Confidentiality

          (a) Agreement. You agree to keep the existence and terms of this Agreement
confidential and not to disclose them to any persons other than to your legal, financial and/or tax
advisors or to members of your immediate family (all of whom shall also be bound by the foregoing
confidentiality covenant) or as required by law, rule, regulation or judicial process.

          (b) Confidential and Proprietary Information. You agree to retain in strict
confidence and not use for any purpose whatsoever or divulge, disseminate, copy, disclose to any
third party, or otherwise use any Confidential Information, other than for legitimate business
purposes of the Company and its affiliates. As used herein , “Confidential Information” means any
non-public information of a confidential, proprietary, commercially sensitive or personal nature
of, or regarding, the Company or any of its affiliates or any director, officer or member of senior
management of any of the foregoing (collectively “Covered Parties”). The term Confidential
Information includes information in written, digital, oral or any other format and includes, but is
not limited to (i) information designated or treated as confidential, (ii) budgets, plans,
forecasts or other financial or accounting data; (iii) subscriber, customer, guest, fan vendor or
shareholder lists or data; (iv) technical or strategic information regarding the Covered Parties’
cable, data, telephone, programming, advertising, sports, entertainment, film production,
theatrical, motion picture exhibition or other businesses, (v) advertising, business, sales or
marketing tactics and strategies; (vi) policies, practices, procedures or techniques, (vii) trade
secrets or other intellectual property; (viii) information, theories or strategies relating to
litigation, arbitration, mediation, investigations or matters relating to governmental authorities;
(ix) terms of agreements with third parties and third-party trade secrets; (x) information
regarding employees, players, coaches, agents, consultants, advisors or representatives, including
their compensation or other human resources policies and procedures and (xi) any other information
the disclosure of which may have an adverse effect on the Covered Parties’ business reputation,
operations or competitive position, reputation or standing in the community.

          (c) Exception for Disclosure Pursuant to Law. Notwithstanding the foregoing, the
obligations of this section, other than with respect to subscriber or customer information, shall
not apply to Confidential Information that is:

	 	1)	 	already in the public domain;
	 
	 	2)	 	disclosed to you by a third party with the
right to disclose it in good faith; or

-6-

 

	 	3)	 	specifically exempted in writing by the
applicable Covered Party from the applicability of this Agreement.

          Notwithstanding anything contained elsewhere in this Agreement, you are authorized to make any
disclosure required of you by any federal, state or local laws or judicial, arbitral or
governmental agency proceedings, after providing the Company with prior written notice and an
opportunity to respond prior to such disclosure.

2. Non-Compete

          You acknowledge that due to your executive position in the Company and your knowledge of
Confidential Information, your employment or affiliation with certain businesses would be
detrimental to the Company and/or its affiliates. You agree that, without the prior written
consent of the Company, you will not represent, become employed by, consult to, advise in any
manner or have any material interest, directly or indirectly, in any Competitive Entity (as defined
below). A “Competitive Entity” shall mean (1) any person, entity or business that competes with
any of the Company’s or any of its affiliate’s cable television, telephony or online data
businesses in the New York City Metropolitan Area (as defined below); (2) any person, entity or
business that competes with any of the Company’s or any of its affiliates’ programming, cinema,
advertising, theatrical production, film production, sports or entertainment or other businesses,
nationally or regionally; or (3) any trade or professional association representing any of the
businesses covered by this paragraph, other than the National Cable Television Association and any
state cable television association. Ownership of not more than 1% of the outstanding stock of any
publicly traded company shall not, by itself, be a violation of this paragraph. This agreement not
to compete will expire on the first anniversary of the date on which your employment with the
Company has terminated. By accepting this Agreement, you understand that the terms and conditions
of this Section 2 may limit your ability to earn a livelihood in a business similar to the business
of the Company and its affiliates, but nevertheless hereby agree that the restrictions and
limitations hereof are reasonable in scope, area and duration, and that the consideration provided
under the Agreement is sufficient to justify the restrictions and limitations contained herein.

          “New York City Metropolitan Area” shall mean all locations within the following counties: (i)
New York, Richmond, Kings, Queens, Bronx, Nassau, Suffolk, Westchester, Rockland, Orange, Putnam,
Sullivan, Dutchess, and Ulster in New York State; (ii) Hudson, Bergen, Passaic, Sussex, Warren,
Hunterdon, Somerset, Union, Morris, Middlesex, Mercer, Monmouth, Essex and Ocean in New Jersey;
(iii) Pike in Pennsylvania; and (iv) Fairfield and New Haven in Connecticut.

3. Additional Understandings

          You agree, for yourself and others acting on your behalf, that You (and they) have not
disparaged and will not disparage, make negative statements about or act in any manner which is
intended to or does damage to the good will of, or the business or personal reputations of the
Company, any of its affiliates or any of their respective incumbent or former officers, directors,
agents, consultants, employees, successors and assigns.

-7-

 

          This agreement in no way restricts or prevents you from providing truthful testimony
concerning the Company or its affiliates as required by court order or other legal process;
provided that you afford the Company written notice and an opportunity to respond prior to such
disclosure.

          In addition, you agree that the Company is the owner of all rights, title and interest in and
to all documents, tapes, videos, designs, plans, formulas, models, processes, computer programs,
inventions (whether patentable or not), schematics, music, lyrics and other technical, business,
financial, advertising, sales, marketing, customer or product development plans, forecasts,
strategies, information and materials (in any medium whatsoever) developed or prepared by you or
with your cooperation during the course of your employment by the Company (the “Materials”). The
Company will have the sole and exclusive authority to use the Materials in any manner that it deems
appropriate, in perpetuity, without additional payment to you.

4. Further Cooperation

          Following the date of termination of your employment with the Company, you will no longer
provide any regular services to the Company or represent yourself as a Company agent. If, however,
the Company so requests, you agree to cooperate fully with the Company in connection with any
matter with which you were involved prior to such employment termination, or in any litigation or
administrative proceedings or appeals (including any preparation therefor) where the Company
believes that your personal knowledge, attendance or participation could be beneficial to the
Company or its affiliates. This cooperation includes, without limitation, participation on behalf
of the Company and/or its affiliates in any litigation, administrative or similar proceeding,
including providing truthful testimony.

          The Company will provide you with reasonable notice in connection with any cooperation it
requires in accordance with this section and will take reasonable steps to schedule your
cooperation in any such matters so as not to materially interfere with your other professional and
personal commitments. The Company will reimburse you for any reasonable out-of-pocket expenses you
reasonably incur in connection with the cooperation you provide hereunder as soon as practicable
after you present appropriate documentation evidencing such expenses. You agree to provide the
Company with an estimate of any such expense before it is incurred.

5. No Hire or Solicit

          For the term of the Agreement and until one year after the termination of your employment, you
agree not to hire, seek to hire, or cause any person or entity to hire or seek to hire (without the
prior written consent of the Company), directly or indirectly (whether for your own interest or any
other person or entity’s interest) any employee of the Company or any of its affiliates. This
restriction does not apply to any employee who was discharged by the Company or any of its
affiliates. In addition, this restriction will not prevent you from providing references.

-8-

 

6. Specific Performance; Injunctive Relief

          You understand and agree that the Company will suffer immediate, irreparable harm in the event
you breach any of your obligations under the covenants and agreements set forth in this Annex, that
monetary damages will be inadequate to compensate the Company for such breach and that the Company
shall be entitled to injunctive relief as a remedy for any such breach (or threatened breach).
Such remedy shall not be deemed to be the exclusive remedy in the event of breach by you of any of
the covenants or agreements set forth in this Annex, but shall be in addition to all other remedies
available to the Company at law or in equity. You hereby waive, to the extent you may legally do
so, any requirement for security or the posting of any bond or other surety in connection with any
temporary or permanent award of injunctive or other equitable relief, and further waive, to the
extent you may legally do so, the defense in any action for specific performance or other equitable
remedy that a remedy at law would be adequate. Notwithstanding anything to the contrary contained
in this Agreement, in the event you violate the covenants and agreements set forth in this Annex,
then, in addition to all other rights and remedies available to the Company, the Company shall have
no further obligation to pay you any severance benefits or to provide you with any other rights or
benefits to which you would have been entitled pursuant to this Agreement had you not breached the
covenants and agreements set forth in this Annex. You further acknowledge and agree that the
services rendered by you for the Company are special and unique and that a part of the
consideration set forth in the Agreement is in exchange for your promises set forth in Section 2
(Non-Competition) in this Annex, and that the provisions set forth in this Annex are reasonable and
necessary for the Company’s legitimate protection of its business interests.

7. Survival

          The covenants and agreement set forth in this Annex shall survive any termination or
expiration of this Agreement and any termination of your employment with the Company, in accordance
with their respective terms.

-9-

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