Document:

QuickLinks
 -- Click here to rapidly navigate through this document

EXHIBIT 10.5  

 
 

AMENDED AND RESTATED
  EMPLOYMENT AGREEMENT    
    

        THIS EMPLOYMENT AGREEMENT (this "Agreement") is entered into as of January 1, 2003, by and between WOODCRAFT INDUSTRIES, INC., a Minnesota
corporation (the "Company"), and GARY NOON ("Executive"). 

        A.    The
Company engages in the design, manufacture, assembly and sale of wood cabinetry components and products throughout North
America.

        B.    Executive
is presently employed by the Company. 

        C.    The
Company desires to continue to employ Executive, and Executive desires to continue to be employed by the Company, subject to the terms and conditions set forth in
this Agreement. 

        NOW,
THEREFORE, in consideration of the foregoing premises and the respective agreements of the Company and Executive set forth below, the Company and Executive, intending to be legally
bound, agree as follows: 

        1.    Employment.    Effective as of January 1, 2003, the Company shall employ Executive, and Executive shall
accept such employment and perform services for the Company, upon the terms and conditions set forth in this Agreement. 

        2.    Term of Employment.    Unless terminated at an earlier date in accordance with Section 9 hereof: 

        (a)    As Employee.    The term of Executive's employment with the Company shall be for a period commencing on the
date hereof and ending on April 1, 2005. 

        (b)    As Consultant.    For a period of three (3) months after April 1, 2005, Executive shall perform
not less than one hundred eighty (180) hours of consulting services and for a period of six (6) months after July 1, 2005, the Executive shall perform not less than one hundred
eighty (180) hours of consulting services for the Company, PrimeWood, Inc. ("PrimeWood"), Brentwood Acquisition Corp. ("Brentwood"), Grand Valley Acquisition Inc. ("Grand Valley")
and any other direct or indirect subsidiaries of the Company (PrimeWood, Brentwood, Grand Valley and all of the other subsidiaries of the Company being hereinafter collectively referred to as the
"Affiliates"). Such services shall be performed at such times and on such projects as may be specified from time to time by the Chief Executive Officer of the Company. Executive shall be compensated
for such consulting services at the rate of $125.00 per hour. The consulting arrangement may be renewed or extended on such terms as may be agreed upon by Executive and the Company in writing. In the
event Executive shall not have received a severance payment provided for in Section 10(a)(ii) or (iii) and in the event Executive shall not have been given a reasonable
opportunity to perform at least 360 hours of consulting services for the Company prior to December 31, 2005, the Company shall pay Executive the difference between $45,000 and the amount
of any consulting fees theretofore paid by the Company to Executive pursuant to this Section 2(b), which payments shall be made not later than December 31, 2005. 

        3.    Position and Duties.    

        (a)    Employment with the Company.    During the term of Executive's employment with the Company, Executive shall
perform such duties and responsibilities for the Company and the Affiliates as the Board of Directors of the Company (the "Board") shall assign to him from time to time consistent with his position.
Executive shall be an executive officer of the Company and Executive's title shall be Vice President. It is contemplated that Executive's line responsibilities of the Company will be transferred in
early 2005, on a schedule reasonably satisfactory to Executive and the Chief Executive Officer of the Company. Staff responsibilities for the Company and the Affiliates will continue until
April 1, 2005. Executive will be involved in special projects as directed by the Chief Executive Officer, including assistance with the transition of the Company to a strategic business unit 

 

concept
tied together with pooled sales and corporate marketing, for the duration of his time as an employee. 

        (b)    Performance of Duties and Responsibilities.    Executive shall serve the Company and the Affiliates faithfully
and to the best of his ability and shall devote his full working time, attention and efforts to
the business of the Company and the Affiliates during his employment with the Company. Executive hereby represents and confirms that he is under no contractual or legal commitments that would prevent
him from fulfilling his duties and responsibilities as set forth in this Agreement. During his employment with the Company, Executive may participate in charitable activities and personal investment
activities to a reasonable extent, and he may serve as a director of business organizations in which he has personally invested, so long as such activities and directorships do not interfere with the
performance of his duties and responsibilities hereunder. 

        4.    Compensation.    

        (a)    Base Salary.    While Executive is employed by the Company hereunder, the Company shall pay to Executive an
annual base salary of $130,490, less deductions and withholdings, which base salary shall be paid in accordance with the Company's normal payroll policies and procedures. 

        (b)    Incentive Compensation.    While Executive is employed by the Company as an employee hereunder (as opposed to a
consultant), Executive shall be entitled to participate in the Company's Executive Incentive Compensation Plan, as described in Exhibit A hereto. Incentive compensation for 2004 shall be
payable on or before March 31, 2005. Incentive compensation for 2005 will be prorated for the full months worked as an employee and will be payable on or before March 31, 2006. 

        (c)    Employee Benefits.    While Executive is employed by the Company hereunder as an employee (as opposed to
employment as a consultant), Executive shall be entitled to participate in all employee benefit plans and programs of the Company to the extent that Executive meets the eligibility requirements for
each individual plan or program. The Company provides no assurance as to the adoption or continuance of any particular employee benefit plan or program, and Executive's participation in any such plan
or program shall be subject to the provisions, rules and regulations applicable thereto. 

        (d)    Expenses.    While Executive is employed by the Company hereunder (whether as an employee or as a consultant),
the Company shall reimburse Executive for all reasonable and necessary out-of-pocket business, travel and entertainment expenses incurred by him in the performance of his
duties and responsibilities hereunder, subject to the Company's normal policies and procedures for expense verification and documentation; provided, however, that if Executive relocates his residence
from the St. Cloud metropolitan area, the Company shall not be liable for more than $1,000 of travel expenses per trip from Executive's residence to Wahpeton and/or St. Cloud. 

        5.    Confidential Information.    Except as permitted by the Board, during the term of Executive's employment with
the Company and at all times thereafter, Executive shall not divulge, furnish or make accessible to anyone or use in any way other than in the ordinary course of the business of the Company and the
Affiliates, any confidential, proprietary or secret knowledge or information of the Company or any of the Affiliates that Executive has acquired or shall acquire during the term of his work for the
Company or any of the Affiliates as an employee, whether developed by himself or by others, concerning (i) any trade secrets, (ii) any confidential, proprietary or secret designs,
processes, formulae, plans, devices or material (whether or not patented or patentable) directly or indirectly useful in any aspect of the business of the Company or any of the Affiliates,
(iii) any customer or supplier lists of the Company or any of the Affiliates, (iv) any confidential, proprietary or secret development or research work of the Company or any of the
Affiliates, (v) any strategic or other business, marketing or sales plans of the Company or any of the Affiliates, (vi) any financial data or plans respecting the Company or any of the
Affiliates, or (vii) any other confidential or proprietary information or secret 

2

 

aspects
of the business of the Company or any of the Affiliates. Executive acknowledges that the above-described knowledge and information constitutes a unique and valuable asset of the Company and
represents a substantial investment of time and expense by the Company or one or more of the Affiliates, and that any disclosure or other use of such knowledge or information other than for the sole
benefit of the Company or any of the Affiliates would be wrongful and would cause irreparable harm to the Company. During the term of Executive's employment with the Company, Executive shall refrain
from any acts or omissions that would reduce the value of such knowledge or information to the Company. The foregoing obligations of confidentiality shall not apply to any knowledge or information
that (i) is now or subsequently becomes generally publicly known in the form in which it was obtained from the Company or any of the Affiliates, (ii) is independently made available to
Executive in good faith by a third party who has not violated a confidential relationship with the Company or any of the Affiliates, or (iii) is required to be disclosed by legal process, other
than as a direct or indirect result of the breach of this Agreement by Executive. 

        6.    Ventures.    If, during the term of Executive's employment with the Company, Executive is engaged in or
associated with the planning or implementing of any project, program or venture involving the Company or any of the Affiliates and a third party or parties, all rights in such project, program or
venture shall belong to the Company. Except as approved in writing by the Board, Executive shall not be entitled to any interest in any such project, program or venture or to any commission, finder's
fee or other compensation in connection therewith, other than the compensation to be paid to Executive by the Company as provided herein. Executive shall have no interest, direct or indirect, in any
customer or supplier that conducts business with the Company or any of the Affiliates, unless such interest has been disclosed in writing to and approved by the Board before such customer or supplier
seeks to do business with the Company or any of the Affiliates; ownership by Executive, as a passive investment, of less than 2.5% of the outstanding shares of capital stock of any corporation listed
on a national securities exchange or publicly traded in the over-the-counter market shall not constitute a breach of this Section 6. 

        7.    Noncompetition Covenant.    

        (a)    Agreement Not to Compete.    During the term of Executive's employment with the Company and for a period of 12
consecutive months from the later of (i) the date of the termination of such employment, whether such termination is with or without Cause (as defined below), or whether such termination is at
the instance of Executive or the Company, or (ii) the date of termination of Executive's consulting services for the Company and the Affiliates, Executive shall not, directly or indirectly,
throughout North America, engage in any business that the Company or any of the Affiliates has engaged in during the term of Executive's work for the Company or any of the Affiliates as an employee or
consultant, or any part of such business, including without limitation the design, development, manufacture, distribution, marketing, leasing or selling of hardwood or vinyl doors, parts or
accessories, veneer raised panels or veneer profile wrapped accessories, in any manner or capacity, including without limitation as a proprietor, principal, agent, partner, officer, director,
stockholder, employee, member of any association, consultant or otherwise. Notwithstanding the foregoing, from and after April 1, 2005, Executive shall be entitled to perform consulting
services for (i) door manufacturers whose market is limited to custom cabinet shops in Texas and/or Oklahoma (such as Texas Door Division of Western Cabinets), (ii) sellers of building
material millwork that are not competitors of the Company and whose customers are situated outside Minnesota, Wisconsin and North Dakota, and (iii) such other businesses as may be approved in
writing by the Chief Executive Officer of the Company. Any questions relating to activities permitted hereunder during the aforedescribed 12-month period shall be resolved by the Chief
Executive Officer of the Company. Ownership by Executive, as a passive investment, of less than 2.5% of the outstanding shares of capital stock of any corporation listed on a national securities
exchange or publicly traded in the over-the-counter market shall not constitute a breach of this Section 7(a). 

3

 

        (b)    Agreement Not to Hire.    During the term of Executive's employment with the Company and for a period of 24
consecutive months from the later of (i) the date of the termination of such employment, whether such termination is with or without Cause (as defined below), or whether such termination is at
the instance of Executive or the Company, or (ii) the date of termination of Executive's consulting services for the Company and the Affiliates, Executive shall not, directly or indirectly,
hire, engage or solicit any person who is then an employee of the Company or any of the Affiliates or who was an employee of the Company or any of the Affiliates at the time of Executive's termination
of employment, in any manner or capacity, including without limitation as a proprietor, principal, agent, partner, officer, director, stockholder, employee, member of any association, consultant or
otherwise. 

        (c)    Agreement Not to Solicit.    During the term of Executive's employment with the Company and for a period of 24
consecutive months from the later of (i) the date of the termination of such employment, whether such termination is with or without Cause (as defined below), or whether such termination is at
the instance of Executive or the Company, or (ii) the date of termination of Executive's consulting services for the Company and the Affiliates, Executive shall not, directly or indirectly,
solicit, request, advise or induce any current or potential customer, supplier or other business contact of the Company or any of the Affiliates to cancel, curtail or otherwise change its relationship
with the Company or any of the Affiliates, in any manner or capacity, including without limitation as a proprietor, principal, agent, partner, officer, director, stockholder, employee, member of any
association, consultant or otherwise. 

        (d)    Acknowledgment.    Executive hereby acknowledges that the provisions of this Section 7 are reasonable
and necessary to protect the legitimate interests of the Company and that any violation of this Section 7 by Executive shall cause substantial and irreparable harm to the Company to such an
extent that monetary damages alone would be an inadequate remedy therefore. Therefore, in the event that Executive violates any provision of this Section 7, the Company shall be entitled to an
injunction, in addition to all the other remedies it may have, restraining Executive from violating or continuing to violate such provision. 

        (e)    Blue Pencil Doctrine.    If the duration of, the scope of or any business activity covered by any provision of
this Section 7 is in excess of what is valid and enforceable under applicable law, such provision shall be construed to cover only that duration, scope or activity that is valid and
enforceable. Executive hereby acknowledges that this Section 7 shall be given the construction which renders its provisions valid and enforceable to the maximum extent, not exceeding its
express terms, possible under applicable law. 

        8.    Patents, Copyrights and Related Matters.    

        (a)    Disclosure and Assignment.    Executive shall immediately disclose to the Company any and all improvements and
inventions that Executive may conceive and/or reduce to practice individually or jointly or commonly with others while he is employed with the Company with respect to (i) any methods, processes
or apparatus concerned with the development, use or production of any type of products, goods or services sold or used by the Company or any of the Affiliates, and (ii) any type of products,
goods or services sold or used by the Company or any of the Affiliates. Executive also shall immediately assign, transfer and set over to the Company his entire right, title and interest in and to any
and all of such inventions as are specified in this Section 8(a), and in and to any and all applications for letters patent that may be filed on such inventions, and in and to any and all
letters patent that may issue, or be issued, upon such applications. In connection therewith and for no 

4

 

additional
compensation therefore, but at no expense to Executive, Executive shall sign any and all instruments deemed necessary by the Company or any of the Affiliates for: 

	(i)
	the
filing and prosecution of any applications for letters patent of the United States or of any foreign country that the Company may desire to file upon such inventions
as are specified in this Section 8(a);

	(ii)
	the
filing and prosecution of any divisional, continuation, continuation-in-part or reissue applications that the Company may desire to file
upon such applications for letters patent; and

	(iii)
	the
reviving, re-examining or renewing of any of such applications for letters patent. 

Minnesota
Statutes Section 181.78 provides that the agreement of Executive contained in this Section 8(a) does not apply, and written notification is hereby given to Executive that this
Section 8(a) shall not apply, to any invention for which no equipment, supplies, facilities, confidential, proprietary or secret knowledge or information, or other trade secret information of
the Company or any of the Affiliates was used and that was developed entirely on Executive's own time, and (i) that does not relate (A) directly to the business of the Company or any of
the Affiliates, or (B) to the actual or demonstrably anticipated research or development of the Company or any of the Affiliates, or (ii) that does not result from any work performed by
Executive for the Company or any of the Affiliates. 

        (b)    Copyrightable Material.    All right, title and interest in all copyrightable material that Executive shall
conceive or originate individually or jointly or commonly with others, and that arise during the term of his employment with the Company and out of the performance of his duties and responsibilities
under this Agreement, shall be the property of the Company and are hereby assigned by Executive to the Company, along with ownership of any and all copyrights in the copyrightable material. Upon
request and without further compensation therefor, but at no expense to Executive, Executive shall execute any and all papers and perform all other acts necessary to assist the Company to obtain and
register copyrights on such materials in any and all countries. Where applicable, works of authorship created by Executive for the Company or any of the Affiliates in performing his duties and
responsibilities hereunder shall be considered "works made for hire," as defined in the U.S. Copyright Act. 

        (c)    Know-How and Trade Secrets.    All know-how and trade secret information conceived or
originated by Executive that arises during the term of his employment with the Company and out of the performance of his duties and responsibilities hereunder or any related material or information
shall be the property of the Company, and all rights therein are hereby assigned by Executive to the Company. 

5

  

        9.    Termination of Employment.    

        (a)   The
Executive's employment with the Company shall terminate immediately upon: 

	(i)
	Executive's
receipt of written notice from the Company of the termination of his employment;

	(ii)
	the
Company's receipt of Executive's written resignation from the Company;

	(iii)
	Executive's
Disability (as defined below);

	(iv)
	Executive's
death; or

	(v)
	the
expiration of the term of Executive's employment with the Company as specified in Section 2 hereof. 

        (b)   The
date upon which Executive's termination of employment with the Company occurs shall be the "Termination Date." 

        10.    Payments upon Termination of Employment.    

        (a)   If
Executive's employment with the Company is terminated by the Company for any reason other than for Cause (as defined below), or by Executive as a result of his
resignation for Good Reason, the Company shall: 

	(i)
	pay
to Executive as severance pay an amount equal to his current base salary until April 1, 2005:

	(ii)
	if
Executive elects to continue his group health insurance coverage with the Company following the termination of his employment with the Company, reimburse him for the
full cost of the premiums he is required to pay to maintain such coverage at the same level of coverage that was in effect as of the Termination Date until April 30, 2005. 

Any
amount payable to Executive as severance pay or reimbursement for the cost of the continuation of his group health insurance coverage hereunder shall be subject to deductions and withholdings and
shall be paid to Executive by the Company in approximately equal monthly installments commencing on the second normal payroll date of the Company following the expiration of all applicable rescission
periods provided by law and continuing monthly thereafter. Any amount payable to Executive as incentive compensation hereunder for 2005 shall be paid to Executive by the Company in the same manner and
at the same time that incentive compensation payments are made to current employees of the Company, but no earlier than the first normal payroll date of the Company following the expiration of all
applicable rescission periods provided by law. 

The
Company shall be entitled to deduct from any severance pay otherwise payable to Executive hereunder: (i) any amount earned as income by Executive after the Termination Date as a result of
self-employment or employment with any other employer, and (ii) any amount received by Executive after the Termination Date under any short-term or long-term
disability insurance plan or program provided to him by the Company. In addition, the Company shall be entitled to cease making reimbursement payments to Executive for the cost of the continuation of
his group health insurance coverage with the Company after the Termination Date if Executive becomes eligible for comparable group health insurance coverage from any other employer. For purposes of
mitigation and reduction of the Company's financial obligations to Executive under this Section 10(a), Executive shall promptly and fully disclose to the Company in writing: (i) the
nature and amount of any such earned income from self-employment or employment with any other employer, (ii) the amount of any such disability insurance payments, or
(iii) the fact that he has become eligible for comparable group health insurance coverage from any other employer, and Executive shall be liable to repay any amounts to the Company 

6

 

that
should have been so mitigated or reduced but for Executive's failure or unwillingness to make such disclosures. 

        (b)   If
Executive's employment with the Company is terminated by reason of: 

	(i)
	Executive's
abandonment of his employment or Executive's resignation for any reason other than Good Reason (as defined below),

	(ii)
	termination
of Executive's employment by the Company for Cause (as defined below),

	(iii)
	Executive's
death, or

	(iv)
	the
expiration of the term of Executive's employment with the Company as specified in Section 2 hereof on account of delivery of a written notice to the Company
that Executive elects not to extend the term of this Agreement, 

the
Company shall pay to Executive or his beneficiary or his estate, as the case may be, his base salary through the Termination Date. 

        (c)   "Cause"
hereunder shall mean: 

	(i)
	an
act or acts of dishonesty undertaken by Executive and intended to result in substantial gain or personal enrichment of Executive at the expense of the Company or any
of the Affiliates;

	(ii)
	unlawful
conduct or gross misconduct that is willful and deliberate on Executive's part and that, in either event, is materially injurious to the Company or any of the
Affiliates;

	(iii)
	the
conviction of Executive of a felony;

	(iv)
	failure
of Executive to perform his duties and responsibilities hereunder or to satisfy his obligations as an officer or employee or consultant of the Company, which
failure has not seen cured by Executive within 30 days after written notice thereof to Executive from the Company; or

	(v)
	material
breach of any terms and conditions of this Agreement by Executive not caused by the Company, which breach has not been cured by Executive within ten days after
written notice thereof to Executive from the Company. 

        (d)   "Good
Reason" hereunder shall mean: 

	(i)
	material
breach of any terms and conditions of this Agreement by the Company not caused by Executive, which breach has not been cured by the Company within ten days
after written notice thereof to the Company from Executive;

	(ii)
	the
relocation of Executive's office by more than 50 miles from the St. Cloud, Minnesota metropolitan areas without Executive's prior written consent; or

	(iii)
	a
reduction of Executive's base salary or a material modification to the incentive compensation plan attached hereto as Exhibit A that decreases by a
substantial amount Executive's opportunity to earn incentive compensation, unless (x) such reduction is part of a general reduction in the base salaries and/or incentive compensation plans for
all executive officers of the Company and (y) Executive's base salary is not reduced by more than 10% of his then current base salary. 

        (e)   "Disability"
hereunder shall mean the inability of Executive to perform on a full-time basis the duties and responsibilities of his employment with the
Company by reason of his illness or other physical or mental impairment or condition, if such inability continues for an uninterrupted period of 

7

 

180 days
or more during any 360-day period. A period of inability shall be "uninterrupted" unless and until Executive returns to full-time work for a continuous period
of at least 30 days. 

        (f)    In
the event of termination of Executive's employment, the sole obligation of the Company shall be its obligation to make the payments called for by Sections 10(a) or
10(b) hereof, as the case may be, and the Company shall have no other obligation to Executive or to his beneficiary or his estate, except as otherwise provided by law, under the terms of any other
applicable agreement between Executive and the Company or under the terms of any employee benefit plans or programs then maintained by the Company in which Executive participates. 

        (g)   Notwithstanding
the foregoing provisions of this Section 10, the Company shall not be obligated to make any payments to Executive under Section 10(a)
hereof unless Executive shall have signed a release of claims in favor of the Company in a form to be prescribed by the Board, all applicable consideration periods and rescission periods provided by
law shall have expired and Executive is in strict compliance with the terms of Sections 5, 7(a), 7(b), 7(c), 8(a), and 8(b) hereof as of the dates of the payments. 

        11.    Return of Records and Property.    Upon termination of his employment with the Company, Executive shall
promptly deliver to the Company any and all records and any and all property of the Company or any of the Affiliates in his possession or under his control, including without limitation manuals,
books, blank forms, documents, letters, memoranda, notes, notebooks, reports, printouts, computer disks, computer tapes, source codes, data, tables or calculations and all copies thereof, documents
that in whole or in part contain any trade secrets or confidential, proprietary or other secret information of the Company or any of the Affiliates and all copies thereof, and keys, access cards,
access codes, passwords, credit cards, personal computers, telephones and other electronic equipment belonging to the Company or any of the Affiliates. 

        12.    Remedies.    

        (a)    Remedies.    Executive acknowledges that it would be difficult to fully compensate the Company for monetary
damages resulting from any breach by him of the provisions of Sections 5, 7 and 8 hereof. Accordingly, in the event of any actual or threatened breach of any such provisions, the Company shall, in
addition to any other remedies it may have, be entitled to injunctive and other equitable relief to enforce such provisions, and such relief may be granted without the necessity of proving actual
monetary damages. 

        (b)    Arbitration.    Except for disputes arising under Sections 5, 7 or 8 hereof, all disputes involving the
interpretation, construction, application or alleged breach of this Agreement and all disputes relating to the termination of Executive's employment with the Company shall be submitted to final and
binding arbitration in Minneapolis, Minnesota. The arbitrator shall be selected and the arbitration shall be conducted pursuant to the then most recent Employment Dispute Resolution Rules of the
American Arbitration Association. The decision of the arbitrator shall be final and binding, and any court of competent jurisdiction may enter judgment upon the award. All fees and expenses of the
arbitrator shall be shared equally by Executive and the Company. The arbitrator shall have jurisdiction and authority to interpret and apply the provisions of this Agreement and relevant federal,
state and local laws, rules and regulations insofar as necessary to the determination of the dispute and to remedy any breaches of the Agreement and/or violations of applicable laws, but shall not
have jurisdiction or authority to award punitive damages or alter in any way the provisions of this Agreement. The arbitrator shall have the authority to award attorneys' fees and costs to the
prevailing party. The parties hereby agree that this arbitration provision shall be in lieu of any requirement that either party exhaust such party's administrative remedies under federal, state or
local law. 

8

 

        13.    Miscellaneous.    

        (a)    Governing Law.    All matters relating to the interpretation, construction, application, validity and
enforcement of this Agreement shall be governed by the laws of the State of Minnesota without giving effect to any choice or conflict of law provision or rule, whether of the State of Minnesota or any
other jurisdiction, that would cause the application of laws of any jurisdiction other than the State of Minnesota. 

        (b)    Entire Agreement.    This Agreement contains the entire agreement of the parties relating to the subject matter
of this Agreement and supersedes all prior agreements and understandings with respect to such subject matter, and the parties hereto have made no agreements, representations or warranties relating to
the subject matter of this Agreement that are not set forth herein. 

        (c)    Amendments.    No amendment or modification of this Agreement shall be deemed effective unless made in writing
and signed by the parties hereto. 

        (d)    No Waiver.    No term or condition of this Agreement shall be deemed to have been waived, except by a statement
in writing signed by the party against whom enforcement of the waiver is sought. Any written waiver shall not be deemed a continuing waiver unless specifically stated, shall operate only as to the
specific term or condition waived and shall not constitute a waiver of such term or condition for the future or as to any act other than that specifically waived. 

        (e)    Assignment.    This Agreement shall not be assignable, in whole or in part, by either party without the written
consent of the other party, except that the Company may, without the consent of Executive, assign its rights and obligations under this Agreement to any corporation or other business entity
(i) with which the Company may merge or consolidate, (ii) to which the Company may sell or transfer all or substantially all of its assets or capital stock, or (iii) of which 50%
or more of the capital stock or the voting control is owned, directly or indirectly, by the Company. After any such assignment by the Company, the Company shall be discharged from all further
liability hereunder and such assignee shall thereafter be deemed to be the "Company" for purposes of all terms and conditions of this Agreement, including this Section 13. 

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

        (g)    Severability.    Subject to Section 7(e) hereof, to the extent that any portion of any provision of this
Agreement shall be invalid or unenforceable, it shall be considered deleted herefrom and the remainder of such provision and of this Agreement shall be unaffected and shall continue in full force and
effect. 

        (h)    Captions and Headings.    The captions and paragraph headings used in this Agreement are for convenience of
reference only and shall not affect the construction or interpretation of this Agreement or any of the provisions hereof. 

9

 

        IN
WITNESS WHEREOF, Executive and the Company have executed this Agreement as of the date set forth in the first paragraph. 

	 	 	WOODCRAFT INDUSTRIES, INC.
	

 	
 	

By:	

/s/  JOHN FITZPATRICK      
 John Fitzpatrick, President and Chief Executive Officer
	

 	
 	

 	

/s/  GARY NOON      
 Gary Noon

10

 
 
 

EXHIBIT A    
    

 
 

INCENTIVE COMPENSATION    
    

        For each fiscal year of the Company beginning after December 31, 2002, Executive shall earn, as incentive compensation, a percentage of his base salary, up
to a maximum of 70%. The incentive compensation will be determined on the basis of EBITDA of the Company. Incentive compensation shall be determined as follows: 

	A.
	For
each percentage point (rounded up or down to the nearest whole number) that the Company's EBITDA is greater than 85% of the Company's projected aggregate EBITDA, up to and
including 100%, Executive shall earn the product of 2.333% of his base salary not to exceed 35%; and

	B.
	For
each percentage point (rounded up or down to the nearest whole number) that the Company's EBITDA is greater than 100% of the Company's projected aggregate EBITDA, up to and
including 125%, Executive shall earn 1.4% of his base salary not to exceed 35%. 

        All
calculations that are required to determine the amount of Executive's incentive compensation for a fiscal year shall be calculated as of December 31. The Company shall pay
Executive the amount of incentive compensation that he has earned for a fiscal year, if any, within 75 days after the end of the year. 

        For
purposes of determining Executive's incentive compensation, the terms used in the Exhibit A have the following meanings: 

        "Base
Salary" shall mean the total base salary paid to Executive in accordance with Section 4.a of this Agreement during the applicable full fiscal year. 

        "Projected
Aggregate EBITDA" shall mean, for any year, the amount proposed by management and approved by the Company's Board of Directors in the Company's annual plan for a fiscal year
as the Company's projected EBITDA. 

11

QuickLinks

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

EXHIBIT A

INCENTIVE COMPENSATION<Page>

                                                                     EXHIBIT 4.3

                                 AMENDMENT NO. 1

                                     TO THE

                                CREDIT AGREEMENT

                            DATED AS OF JUNE 29, 2001

                                      AMONG

                               QUEBECOR MEDIA INC.

                                   AS BORROWER

                                      - AND -

                            LE GROUPE VIDEOTRON LTEE

                             QUEBECOR NEW MEDIA INC.

                      CANOE: CANADIAN ONLINE EXPLORER INC.

                     QUEBECOR NEW MEDIA LIMITED PARTNERSHIP

                            CANOE LIMITED PARTNERSHIP

                                  as Guarantors

                                     - and -

                        THE FINANCIAL INSTITUTIONS NAMED
                          ON THE SIGNATURE PAGES HERETO

                                   as Lenders

                                     - and -

                          RBC DOMINION SECURITIES INC.

                         as Lead Arranger and Bookrunner

                                      - and -

                                  TD SECURITIES

                           CREDIT SUISSE FIRST BOSTON

                            SALOMON SMITH BARNEY INC.

                              as co-Lead Arrangers

                                     - and -

                              ROYAL BANK OF CANADA

                             AS ADMINISTRATIVE AGENT

<Page>

         AMENDMENT NO. 1 to the CREDIT AGREEMENT dated as of June 29, 2001,
among QUEBECOR MEDIA INC., a company existing under the laws of Quebec, as
Borrower, LE GROUPE VIDEOTRON LTEE, QUEBECOR NEW MEDIA INC., CANOE: CANADIAN
ONLINE EXPLORER INC., QUEBECOR NEW MEDIA LIMITED PARTNERSHIP AND CANOE LIMITED
PARTNERSHIP, as Guarantors, the FINANCIAL INSTITUTIONS named on the signature
pages hereto, as Lenders, RBC DOMINION SECURITIES INC., as Lead Arranger and
Bookrunner, TD SECURITIES, CREDIT SUISSE FIRST BOSTON AND SALOMON SMITH BARNEY
INC., as Co-Lead Arrangers and ROYAL BANK OF CANADA, as Administrative Agent.

         WHEREAS the Administrative Agent and such other Lenders as may from
time to time be parties to the Credit Agreement have agreed to make certain
credit facilities available to the Borrower upon the terms and conditions
contained in a credit agreement dated as of June 29, 2001 among the Borrower,
the Guarantors, the Administrative Agent, RBC Dominion Securities Inc., as Lead
Arranger and Bookrunner, the Co-Lead Arrangers and the Lenders under the Credit
Agreement (such credit agreement as it may at any time or from time to time be
amended, supplemented, restated or replaced, the "Credit Agreement");

         WHEREAS the parties wish to amend the Credit Agreement as provided
herein;

         NOW THEREFORE THE PARTIES HAVE AGREED AS FOLLOWS:

1.       DEFINITIONS

         Terms defined in the Credit Agreement which appear in this Agreement
without definition shall have the meanings ascribed to them in the Credit
Agreement.

2.       AMENDMENT TO THE DEFINITION OF "CASH EQUIVALENTS"

         Section 1.1 of the Credit Agreement is hereby amended by substituting
the definition of "Cash Equivalents" by the following:

         ""CASH EQUIVALENTS" means:

         (a)      marketable, direct obligations of Canada or of any agency
                  thereof backed by the full faith and credit of Canada,
                  maturing within 364 days of the date of purchase;

         (b)      certificates of deposit maturing within 364 days of the date
                  of purchase issued by or acceptances accepted or guaranteed by
                  a bank to which the Bank Act (Canada) applies that is a Leader
                  hereunder and that has, at the time of acquisition, a combined
                  capital surplus or undistributed profits of at least
                  $2,000,000,000;

         (c)      commercial paper, bonds, notes, debentures and banker's
                  acceptances issued by a Person residing in Canada and maturing
                  within 270 days from the date of issuance which, at the time
                  of acquisition, is or are accorded a short-term credit rating
                  of at least A-1 by Standard & Poor's Corporation or at least
                  Prime-1 by Moody's Investors Service or the equivalent thereof
                  by Dominion Bond Rating Service."

<Page>

3.       AMENDMENT TO SECTION 4.2 OF THE CREDIT AGREEMENT

         Section 4.2 of the Credit Agreement is amended by substituting therefor
the following:

                  "Each Drawing presented by the Borrower shall be in a minimum
                  amount of $5,000,000 and in multiples of $1,000,000 and each
                  Draft shall (i) be in an integral multiple of $ 100,000; (ii)
                  be dated the date of the Drawing, and (iii) mature and be
                  payable by the Borrower (in common with all other Drafts
                  presented in connection with such Drawing) on a Business Day
                  which occurs (subject to availability) between 10 and 180
                  days, at the election of the Borrower, after the Drawing Date
                  and on or prior to the relevant Maturity Date."

4.       AMENDMENT TO SECTION 8.1(a)(M) OF THE CREDIT AGREEMENT

         Section 8.1(a)(iii) of the Credit Agreement is hereby amended by
deleting the following, "9076-1883 Quebec Inc., 9076-1859 Quebec Inc., 3588386
Canada Inc., Quebecor New Media Inc., Canoe: Canadian Online Explorer Inc.,
Quebecor New Media Limited Partnership, Canoe Limited Partnership and".

5.       EFFECTIVE DATE

         This Amendment No. 1 shall take effect as of June 6, 2002.

6.       REFERENCE TO AND EFFECT ON CREDIT AGREEMENT

         On and after the date of this Agreement each reference in the Credit
Agreement to "this Agreement" and each reference to the Credit Agreement in the
Credit Documents and any and all other agreements, documents and instruments
delivered by any of the Lenders, the Administrative Agent the Borrower, any
Guarantor or any other Person shall mean and be a reference to the Credit
Agreement as amended by this Agreement. Except as specifically amended by this
Agreement, the Credit Agreement shall remain in full force and effect and is
hereby ratified and confirmed.

7.       NO WAIVER, ETC.

         The execution, delivery and effectiveness of this Agreement shall not,
except as expressly provided, operate as a waiver of any right, power or remedy
of the Administrative Agent or any of the Leaders or any other Secured Party
under any of the Credit Documents nor constitute a waiver of any provision of
any of the Credit Documents.

8.       GOVERNING LAW

         This Agreement shall be governed by and interpreted and enforced in
accordance with the laws of the Province of Quebec and the laws of Canada
applicable therein.

9.       ENUREMENT

                                       2

<Page>

         This Agreement shall enure to the benefit of and be binding upon the
parties and their respective successors and permitted assigns.

10.      LANGUAGE

         The parties hereto agree that this Agreement and all agreements and
documents entered into in connection herewith or pursuant hereto shall be drawn
up in English only. LES PARTIES CONFIRMENT QU'ELLES ONT CONVENU QUE CE DOCUMENT
AINSI QUE TOUS LES AUTRES DOCUMENTS OU CONTRATS S'Y RATTACHANT SOIENT REDIGES EN
ANGLAIS SEULEMENT.

11.      COUNTERPARTS

         This Agreement may be executed in any number of counterparts which may
be signed and communicated by telecopier or otherwise and all of such
counterparts taken together shall be deemed to constitute one and the same
instrument.

                          [The signature pages follow]

                                       3

<Page>

         IN WITNESS WHEREOF, the parties have caused this Agreement to be
executed by their respective authorized officers as of August 6, 2002.

                                          QUEBECOR MEDIA INC., AS BORROWER

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                          LE GROUPE VIDEOTRON LTEE, AS GUARANTOR

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                          QUEBECOR NEW MEDIA INC., AS GUARANTOR

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                          CANOE:  CANADIAN ONLINE EXPLORER INC.

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                               Authorized Signing Officer

                                       4

<Page>

                                         QUEBECOR NEW MEDIA LIMITED PARTNERSHIP,
                                         AS GUARANTOR, BY ITS GENERAL PARTNER,
                                         QUEBECOR NEW MEDIA INC.

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         CANOE LIMITED PARTNERSHIP, AS
                                         GUARANTOR, BY ITS GENERAL PARTNER,
                                         CANOE: CANADIAN ONLINE EXPLORER INC.

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         THE ADMINISTRATIVE AGENT:

                                         ROYAL BANK OF CANADA

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         THE LEAD ARRANGER:

                                         RBC DOMINION SECURITIES INC.

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                       5

<Page>

                                         THE CO-LEAD ARRANGERS:

                                         TD SECURITIES

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         CREDIT SUISSE FIRST BOSTON

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         SALOMON SMITH BARNEY INC.

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         THE LENDERS:

                                         ROYAL BANK OF CANADA, as
                                         Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                       6

<Page>

                                         BANK OF AMERICA CANADA, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         BANK OF MONTREAL, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         THE TORONTO-DOMINION BANK, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         BANK OF TOKYO-MITSUBISHI
                                         (CANADA), as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                       7

<Page>

                                         BNP PARIBAS (CANADA), as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         CAISSE CENTRALE DESJARDINS, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         CANADIAN IMPERIAL BANK OF
                                         COMMERCE, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         CITIBANK CANADA, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                       8

<Page>

                                         CREDIT SUISSE FIRST BOSTON
                                         CANADA, as Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         THE BANK OF NOVA SCOTIA, as
                                         Lender

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

ACCEPTED:                                QUEBECOR INC.

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                         CAISSE DE DEPOT ET
                                         PLACEMENT DU QUEBEC

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                       9

<Page>

                                         CAPITAL COMMUNICATIONS CDPQ INC.

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                      Per:           [Signed]
                                          _______________________________
                                              Authorized Signing Officer

                                       10

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00082-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00082-of-00352.parquet"}]]