Document:

2nd Loan Modification Agreement

 EXHIBIT 10.3 
  
 SECOND LOAN MODIFICATION AGREEMENT 
  
 This Loan Modification Agreement is entered into as of September 26, 2003, by and between Viewlocity, Inc.
(“Borrower”) whose address is 3475 Piedmont Road, Suite 1700, Atlanta, GA 30305, and Silicon Valley Bank (“Lender”) whose address is 3003 Tasman Drive, Santa Clara, CA 95054. 
  
 1. DESCRIPTION OF EXISTING INDEBTEDNESS. Among other indebtedness which may be owing
by Borrower to Lender, Borrower is indebted to Lender pursuant to, among other documents, a Loan and Security Agreement, dated December 27, 2002, as may be amended from time to time, in the original principal amount of Five Million Dollars
($5,000,000) (the “Loan Agreement”). The Loan Agreement provides for, among other things, Lender’s issuance of Letters of Credit to Borrower in an amount not to exceed Seven Hundred Fifty Thousand Dollars ($750,000). Hereinafter, all
indebtedness owing by Borrower to Lender shall be referred to as the “Indebtedness.” 
  
 2. DESCRIPTION OF COLLATERAL AND GUARANTIES. Repayment of the Indebtedness is secured by the Collateral as described in the Loan Agreement. Additionally, repayment of the Indebtedness is guaranteed by
Viewlocity Australia Pty LTD, Viewlocity UK Limited, SynQuest S.A., Viewlocity Software Limited, f/k/a SynQuest Limited, and SynQuest BV, (each, a “Guarantor” and collectively, the “Guarantors”) pursuant to an Unconditional
Guaranty (the “Guaranty”). 
  
 Hereinafter, the Loan Agreement, together
with all other documents securing repayment of the Indebtedness, shall be referred to as the “Security Documents.” Hereinafter, the Security Documents, together with all other documents evidencing or securing the Indebtedness shall be
referred to as the “Existing Loan Documents.” 
  
 3. EXISTING
DEFAULTS. Events of Default currently exist under the Existing Loan Documents by reason of Borrower’s failure to comply with the terms of Section 2.2 of the Loan Agreement, and accordingly, Borrower has no right to additional advances under
the Existing Loan Documents. 
  
 4. MERGER. Borrower entered into that
certain Agreement and Plan of Merger dated September 19, 2003 (the “Merger Agreement”) by and among Borrower, Viesta Acquisition Corporation (“Merger Sub”) and Viesta Corporation (“Merger Parent”), pursuant to which
Merger Sub shall be merged with and into Borrower, with Borrower as the surviving corporation, pursuant to which Borrower shall become a wholly-owned Subsidiary of Merger Parent (the “Merger”). Lender hereby consents to the Merger,
notwithstanding the restriction set forth in Section 7.3 of the Loan Agreement, subject, however, to the conditions that (a) the Merger is consummated on the terms and conditions set forth in the Merger Agreement, and (b) the Merger Agreement is not
amended, modified, or supplemented without the prior written consent of Lender. 
  
 5. WAIVER AND RELEASE. In reliance upon the representations, warranties, agreements and covenants of Borrower set forth herein and in the Loan Agreement, as amended hereby, Lender hereby (a) waives, through the Revolving Maturity
Date, any Event of Default arising solely out of Borrower’s failure to comply with the representation set forth in Section 5.5 of the Loan Agreement, and (b) releases SynQuest BV from its obligations as a Guarantor under the Guaranty.

  
 6. MODIFICATIONS TO LOAN AGREEMENT. 
  
 A. The Loan Agreement is hereby modified by deleting Section 2.1 thereof in
its entirety, and replacing it with the following: 
  
 2.1 Promise to Pay. 
  
 Borrower promises
to pay Bank the unpaid principal amount of all Credit Extensions and interest on the unpaid principal amount of the Credit Extensions. 

 2.1.1 Revolving Formula Advances. 
  
 Bank will make Formula Advances not exceeding (i) the lesser
of (A) the Committed Formula Revolving Line or (B) the Borrowing Base, minus (ii) the amount of all outstanding Letters of Credit (including drawn but unreimbursed Letters of Credit). Amounts borrowed under this Section may be repaid and
reborrowed during the term of this Agreement. All Formula Advances shall be evidenced by the Formula Revolving Promissory Note to be executed and delivered by Borrower to Bank and shall be repaid in accordance with the terms of the Formula Revolving
Promissory Note. 
  
 2.1.2 Revolving
Non-Formula Advances. 
  
 Bank will make
Non-Formula Advances not exceeding the Committed Non-Formula Revolving Line. Amounts borrowed under this Section may be repaid and reborrowed during the term of this Agreement. All advances shall be evidenced by the Non-Formula Revolving Promissory
Note to be executed and delivered by Borrower to Bank on the Second Modification Date and shall be repaid in accordance with the terms of the Non-Formula Revolving Promissory Note. 
  
 2.1.3 Letters of Credit. 
  
 Bank will issue or have issued Letters of Credit (each such Letter of Credit, a “Letter of
Credit”) for Borrower’s account not exceeding (i) the lesser of the Committed Revolving Line or the Borrowing Base, minus (ii) the outstanding principal balance of the Advances; however, the face amount of outstanding Letters of Credit
(including drawn but unreimbursed Letters of Credit) may not at any time exceed One Hundred Thousand Dollars ($100,000). Each Letter of Credit will have an expiry date of no later than one hundred eighty (180) days after the Revolving Maturity Date,
but Borrower’s obligations to reimburse Bank under the Letters of Credit will be secured by cash on terms acceptable to Bank at any time after the Revolving Maturity Date if the term of this Agreement is not extended by Bank. Borrower agrees to
execute any further documentation in connection with the Letters of Credit as Bank may reasonably request. Prior to or simultaneously with the opening of each Letter of Credit, Borrower shall pay to Bank, a letter of credit fee (each a “Letter
of Credit Fee” and collectively the “Letter of Credit Fees”) in an amount equal to one percent (1%) per annum of the face amount of the Letter of Credit. Such Letter of Credit Fees shall be paid in advance upon the issuance of the
Letter of Credit and upon each anniversary thereof, if any. In addition, Borrower shall pay to Bank any and all additional issuance, negotiation, processing, transfer or other fees to the extent and as and when required by Bank. 
  
 2.1.4 Borrowing Procedures. 
  
 (a) To obtain an Advance, Borrower must notify Bank by
facsimile or telephone by 3:00 p.m. Eastern time on the Business Day the Advance is to be made. Borrower must promptly confirm the notification by delivering to Bank the Payment/Advance Form. Bank will credit Advances to Borrower’s deposit
account. Bank may make Advances under this Agreement based on instructions from a Responsible Officer or his or her designee or without instructions if the Advances are necessary to meet Obligations which have become due. Bank may rely on any
telephone notice given by a person whom Bank reasonably believes is a Responsible Officer or designee. Borrower will indemnify Bank for any loss Bank suffers due to such reliance. 
  
 (b) The Committed Revolving Line terminates on the Revolving Maturity Date, when all Advances and all
accrued and unpaid interest thereon are immediately payable. 
  

 2 

 (c) Bank’s obligation to lend the undisbursed portion of the Obligations will
terminate if, in Bank’s sole discretion, there has been a material adverse change in the general affairs, management, results of operation, condition (financial or otherwise) or the prospect of repayment of the Obligations, or there has been
any material adverse deviation by Borrower from the most recent business plan of Borrower presented to and accepted by Bank prior to the execution of this Agreement. 
  
 B. The Loan Agreement is hereby further modified by deleting Section 2.3 in its entirety, and replacing it with the
following: 
  
 2.3 Interest Rate, Payments.

  
 (a) Interest Rate. (i) Formula
Advances accrue interest on the outstanding principal balance in accordance with the Formula Revolving Promissory Note, and (ii) Non-Formula Advances accrue interest on the outstanding principal balance in accordance with the Non-Formula Revolving
Promissory Note. After an Event of Default, Obligations accrue interest at five percent (5%) above the rate effective immediately before the Event of Default. Interest is computed on a 360 day year for the actual number of days elapsed. 

 
 (b) Payments. Interest due on the Committed
Revolving Line is payable on the first (1st) day of each month. Interest due on the Non-Formula Committed Revolving
Line is payable on the first (1st) day of each month. Bank may debit any of Borrower’s deposit accounts
including Account Number 3300291886 for principal and interest payments owing or any amounts Borrower owes Bank. Bank will promptly notify Borrower when it debits Borrower’s accounts. These debits are not a set-off. Payments received after
12:00 noon Eastern time are considered received at the opening of business on the next Business Day. When a payment is due on a day that is not a Business Day, the payment is due the next Business Day and additional fees or interest accrue.

  
 C. The Loan Agreement is hereby further modified by deleting
Section 6.2(b) in its entirety, and replacing it with the following: 
  
 (b) Not later than Friday of each week, Borrower will deliver to Bank a Borrowing Base Certificate, as of the immediately preceding Friday, signed by a Responsible Officer in the form of Exhibit C, together
with aged listings of accounts receivable. 
  
 D. The Loan
Agreement is hereby further modified by (i) deleting Section 6.7 in its entirety, and (ii) by deleting the Schedule to the Loan Agreement in its entirety and replacing it with the new Schedule attached hereto. 
  
 E. The Loan Agreement is hereby further modified by deleting the definition
of “Advance” in Section 13.1 thereof in its entirety, and replacing it with the following: 
  
 “Advance” is either a Formula Advance or a Non-Formula Advance. 
  
 F. The Loan Agreement is hereby further modified by deleting the definition of “Committed Revolving Line”
in Section 13.1 thereof in its entirety, and replacing it with the following: 
  
 “Committed Revolving Line” is, collectively, the Committed Formula Revolving Line and the Committed Non-Formula Revolving Line. 
  
 G. The Loan Agreement is hereby further modified by deleting in its entirety the definition of “Credit
Extension” in Section 13.1 and replacing it with the following: 
  

 3 

 “Credit Extension” is each Advance, Letter of Credit or any other extension of credit by
Bank for Borrower’s benefit. 
  
 H. The Loan Agreement is
hereby further modified by deleting in its entirety the definition of “Designated Foreign Subsidiary” in Section 13.1 and replacing it with the following: 
  
 “Designated Foreign Subsidiaries” means, collectively, Viewlocity Holding France SARL (France), SC-21 PTE
LTD (Singapore), Frontec Norge AS (Norway), Viewlocity Japan Co. LTD (Japan) and SynQuest BV. 
  
 I. The Loan Agreement is hereby further modified by deleting in its entirety the definition of “Letter of Credit” in Section 13.1 and replacing it with the following: 
  
 “Letter of Credit” is defined in Section 2.1.3. 

 
 J. The Loan Agreement is hereby further modified by deleting in its
entirety the definition of “Permitted Investments” in Section 13.1 and replacing it with the following: 
  
 “Permitted Investments” are: 
  
 (a) Investments shown on the Schedule and existing on the Closing Date; 
  
 (b) (i) marketable direct obligations issued or unconditionally guaranteed by the United States or its agency or any State
maturing within 1 year from its acquisition, (ii) commercial paper maturing no more than 1 year after its creation and having the highest rating from either Standard & Poor’s Corporation or Moody’s Investors Service, Inc., and (iii)
Bank’s certificates of deposit issued maturing no more than 1 year after issued; and 
  
 (c) Investments permitted pursuant to Section 7.7. 
  
 K. The Loan Agreement is hereby further modified by deleting the definition of “Revolving Maturity Date” in Section 13.1 thereof in its entirety, and replacing it with the following: 
  
 “Revolving Maturity Date” is the earlier of (i) December
23, 2003, or (ii) the date on which either Borrower or Investcorp/(212) Ventures Technology Fund I, L.P. terminates the Merger Agreement or (iii) the date on which any governmental authority having regulatory authority over Borrower or the Merger
denies an approval of the Merger; provided, however, a decision by the Securities and Exchange Commission (the “SEC”) to review the Information Statement or otherwise temporarily delay the effective date of the Merger shall not cause any
Advances hereunder to mature prior to the events contemplated by items (i) and (ii) 
  
 L. The Loan Agreement is hereby further modified by deleting the definition of “Revolving Promissory Note” in Section 13.1 thereof in its entirety, and replacing it with the following: 
  
 “Revolving Promissory Note” means either the Formula
Revolving Promissory Note or the Non-Formula Revolving Promissory Note. 
  
 M. The Loan Agreement is hereby further modified by adding, in appropriate alphabetical order, in Section 13.1 the following new definitions of “Committed Formula Revolving Line,” “Committed Non-Formula Revolving
Line,” “Formula Advance,” “Formula Revolving Promissory Note,” “Information Statement,” “Merger,” “Merger Agreement,” “Merger Parent,”
“Merger Sub,” “Non-Formula Advance,” “Non-Formula Revolving Promissory Note” and “Second Modification Date”: 
  

 4 

 “Committed Formula Revolving Line” is a Credit Extension in an aggregate
amount not to exceed at any one time outstanding an amount equal to One Million Six Hundred Thousand Dollars ($1,600,000) less the outstanding principal amount of the Non-Formula Advances. 
  
 “Committed Non-Formula Revolving Line”
is a Credit Extension as of the Second Modification Date of up to Nine Hundred Thousand Dollars ($900,000). 
  
 “Formula Advance” or “Formula Advances” is a loan advance (or advances) made pursuant to Section 2.1.1 hereof. 
  
 “Formula Revolving Promissory Note” means that certain
Revolving Promissory Note dated as of September 26, 2003 in the maximum principal amount of One Million Six Hundred Thousand Dollars ($1,600,000) from Borrower in favor of Bank, together with all renewals, amendments, modifications and
substitutions, therefor. 
  
 “Information
Statement” means that certain Information Statement describing the Merger as submitted to the SEC on September 30, 2003. 
  
 “Merger” means the merger of Merger Sub with and into Borrower, whereby Borrower shall continue as the surviving corporation. 

 
 “Merger Agreement” means that certain Agreement and Plan
of Merger dated as of September 19, 2003 by and among Borrower, Merger Sub and Merger Parent. 
  
 “Merger Parent” is Viesta Corporation, a Delaware corporation. 
  
 “Merger Sub” is Viesta Acquisition Corporation, a Georgia corporation. 
  
 “Non-Formula Advance” or “Non-Formula Advances” is a loan advance (or advances) made pursuant to
Section 2.1.2 hereof. 
  
 “Non-Formula Revolving
Promissory Note” means that certain Revolving Promissory Note dated as of September 24, 2003 in the maximum principal amount of Nine Hundred Thousand Dollars ($900,000) from Borrower in favor of Bank, together with all renewals, amendments,
modifications and substitutions, therefor. 
  
 “Second
Modification Date” is the date on which the Second Modification Agreement dated September 26, 2003 between Bank and Borrower becomes effective. 
  
 7. CONSISTENT CHANGES. The Existing Loan Documents are hereby amended wherever necessary to reflect the changes described above. 
  
 8. PAYMENT OF LOAN FEE. Borrower shall pay to Lender a fee in the amount of Sixteen
Thousand Dollars ($16,000) (the “Loan Fee”) plus all out-of-pocket expenses. 
  
 9. NO DEFENSES OF BORROWER. Borrower agrees that it has no defenses against the obligations to pay any outstanding amounts under the Indebtedness. 
  
 10. CONTINUING VALIDITY. Borrower understands and agrees that in modifying the existing Indebtedness, Lender is relying upon
Borrower’s representations, warranties, and agreements, as set forth in the Existing Loan Documents, after giving effect to the modifications and amendments set forth in this Loan Modification Agreement. Except as expressly modified pursuant to
this Loan Modification Agreement, the terms of the Existing Loan Documents remain unchanged and in full force and effect. Lender’s agreement to modifications to the existing Indebtedness pursuant to this Loan Modification Agreement in no way
shall obligate Lender to make any future modifications to the Indebtedness. Nothing in this Loan Modification Agreement shall constitute a satisfaction of the Indebtedness. It is the intention 

  

 5 

 
of Lender and Borrower to retain as liable parties all makers and endorsers of Existing Loan Documents, unless the party is expressly released by Lender in
writing. No maker, endorser, or guarantor will be released by virtue of this Loan Modification Agreement. The terms of this paragraph apply not only to this Loan Modification Agreement, but also to all subsequent loan modification agreements.

  
 11. CONDITIONS. The effectiveness of this Loan Modification Agreement
is conditioned upon Lender’s receipt, in form and substance satisfactory to Lender, of the following: 
  
 A. payment in full of the (i) Loan Fee and (ii) fees and expenses of Lender’s counsel incurred through the date of this Loan Modification Agreement;

  
 B. a Formula Revolving Promissory Note of even date herewith
in the maximum principal amount of One Million Six Hundred Thousand Dollars ($1,600,000) from Borrower in favor of Lender; 
  
 C. a Non-Formula Revolving Promissory Note of even date herewith in the maximum principal amount of Nine Hundred Thousand Dollars ($900,000) from Borrower
in favor of Lender; 
  
 D. a Warrant to Purchase Stock, issued by
Borrower in favor of Lender (the “Borrower Warrant”), permitting Lender to purchase 300,000 shares of Borrower’s Series A Preferred Stock, at an exercise price of $2.50 per share, providing for an increase of 150,000 shares in the
number of shares exercisable under the Borrower Warrant for each month or portion thereof that any Advances remain outstanding beyond the Revolving Maturity Date and containing such other terms as shall be acceptable to Lender; 
  
 E. an agreement from Merger Parent, agreeing to issue in favor of Lender,
simultaneously with the consummation of the Merger, a Warrant to Purchase Stock (the “Merger Parent Warrant”), permitting Lender to purchase 137,500 shares of Merger Parent’s Series A Participating Preferred Stock (the
“Shares”) at an exercise price of $1.00 per share, providing for an increase of 68,750 shares in the number of Shares exercisable under the Merger Parent Warrant for each month or portion thereof that any Advances remain outstanding beyond
the Revolving Maturity Date, and otherwise being on terms and conditions comparable to the Borrower Warrant; 
  
 F. a certificate from an officer of Borrower certifying that the Information Statement has been submitted to the SEC; 
  
 G. a reaffirmation, in form and substance satisfactory to Lender, of the
Guaranty, Foreign Security Agreement, Foreign Pledge Agreement or other Existing Loan Document previously executed and delivered by or with respect to any of Borrower’s Subsidiaries; 
  
 H. a lien release letter, in form and substance satisfactory to Lender, from Warburg Pincus; and 
  
 I. such other instruments, documents and agreements as Lender or its counsel
may require. 
  
 [Signatures appear on following page] 

 

 6 

 This Loan Modification Agreement is executed as of the date first written above. 
  

	 BORROWER:
  
 VIEWLOCITY, INC.
	 	 LENDER:
  
 SILICON VALLEY BANK

				
	 By:
	 	 /s/ L. Allen Plunk

	 	 By:
	 	 /s/ Angela Hart

	 Name:  L. Allen Plunk
	 	 Name:  Angela Hart

	 Title:    EVP, CFO
	 	 Title:    Vice PresidentExecutive Separation and Release Agreement

 Exhibit 10.1 
  
 Confidential Executive Separation Agreement 
  
 This Confidential Executive Separation and Release Agreement (“Agreement”) is entered into between Craig Davis
(“Executive”) and Washington Mutual, Inc. (“Employer”) and is in consideration of the mutual undertakings set forth below. 
  
 Employer and Executive have mutually agreed to end Executive’s employment. In order to assist Executive in his transition to new employment and acknowledge past
contributions, Employer has decided to offer Executive the benefits described below. To clearly set forth the terms and conditions of Executive’s departure, the parties agree as follows: 
  
 1.    The purpose of this Agreement is to set forth the mutual
understanding of the parties. This Agreement shall not be construed as an admission by Employer that it acted wrongfully with respect to Executive, nor shall it be construed as an admission by Executive of any misconduct or impropriety. 

 

	2.    Executive’s	employment with Employer is ended effective September 30, 2003 (“Separation Date”). 

  
 3.    Employer shall pay to Executive as severance pay a gross amount of $3,200,000.00 (3.2 million dollars), less all
lawful and required deductions. Payment is to be made 8-days after Executive signs the Agreement, upon expiration of the revocation period referred to in paragraph 19 herein below. In addition Employer shall pay Executive, in January 2004, the full
cash bonus for 2003 that Executive would have received had he remained employed through the end of 2003, less all lawful and required deductions. 
  
 4.    Employer shall also pay Executive a consulting payment of $1,500,000.00 (1.5 million dollars), less all lawful and required deductions, on
October 1, 2005, on the following conditions: (i) that Executive refrain from working for or consulting in any way for Employer’s competitors Countrywide, Wells Fargo, and Bank of America or any of their corporate entities, affiliates or
subsidiaries until that time, and (ii) refrain from soliciting any of Employer’s officers, employees, whether salaried or commissioned, agents or contractors for twenty four (24) months after the Separation Date.  
  
 5.    Employer shall provide Executive with medical and dental benefits
and life insurance until May 31, 2006, at a level of coverage and at the same level of company contribution as if Executive had remained an active employee, and after that date, Executive may elect to continue these benefits at his own expense under
COBRA. 
  

 Page 1 of 6 

 6.    As approved by the Human Resources Committee of the Washington Mutual, Inc. Board of Directors
at its meeting on September 22, 2003, and with the consent of Executive as indicated by his execution of this Agreement, all of Executive’s unvested stock options will vest effective October 1, 2003, and all vested options will then remain
exercisable by Executive until the earlier of May 31, 2006, or the expiration of their ten-year term. If Executive dies prior to the exercise of such options and prior to their expiration, the right to exercise all vested options through May 31,
2006, will pass to his estate. 
  
 7.    As approved by the
Human Resources Committee of the Washington Mutual, Inc. Board of Directors at its meeting on September 22, 2003, and with the consent of Executive as indicated by his execution of this Agreement, the restrictions on any performance shares awarded
to Executive before the Separation Date will lapse as if Executive were employed through May 31, 2006. 
  
 8.    At the time that Executive would first receive distributions under the terms of the Supplemental Executive Retirement Accumulation Plan (“SERAP”) and the Supplemental
Employee’s Retirement Plan (“SERP”), Employer shall pay to Executive the equivalent of the benefits that would have accrued under those plans had Executive earned the $3.2 million set forth above in 2003. 
  
 9.    In exchange for the benefits contained in this Agreement, Executive
releases and discharges Employer, all subsidiary, parent, and affiliated entities, and any Employer-sponsored benefit plans in which Executive participates, and all of their respective owners, officers, directors, trustees, shareholders, employees,
agents, attorneys, and insurers from any and all claims, actions, causes of action, rights, benefits, compensation, or damages, including costs and attorneys’ fees, of whatever nature, whether known or unknown, suspected or unsuspected, matured
or unmatured, now existing or arising in the future from any act, omission, event, occurrence, or non-occurrence prior to the date Executive signs this Agreement arising out of or in any way related to Executive’s employment with Employer. This
release includes but is not limited to any claims under any federal, state, or local laws prohibiting discrimination in employment, including Title VII, the Age Discrimination in Employment Act, and the Americans with Disabilities Act; based upon
any employment agreement, severance plan, compensation plan, or change in control agreement; based upon any alleged legal restriction on Employer’s right to terminate its employees; or based upon ERISA. This Agreement shall not affect
Executive’s entitlement to receive any 401(k), stock option, or pension benefits that have vested as of the Separation Date, or as otherwise provided in paragraph 7 of this Agreement. 
  
 10.    Executive agrees that, as a result of his employment by Employer,
he has been exposed to confidential information that is not generally known to the public, all of which information is owned by Employer. This includes information 
  

 Page 2 of 6 

 
developed by Executive, alone or with others, or entrusted to Employer by customers or others. Employer’s confidential information includes, without
limitation, information relating to its finances, business and strategic plans, unannounced acquisition and/or investment prospects, products, trade secrets, know-how, procedures, purchasing, business and vendor relationships, accounting, marketing,
sales, customers and employees. Executive agrees that, during his remaining employment by Employer and for all time thereafter, as long as such information is not made public by Employer, Executive shall hold such information in strict confidence
and not disclose or use it except as specifically authorized in writing by Employer and for Employer’s benefit. 
  
 11.    Executive recognizes that Employer’s workforce and contracting relationships are a vital part of its business. Therefore, Executive agrees
that for twenty four (24) months after the Separation Date, Executive will not directly or indirectly be involved in (a) soliciting any employee, whether salaried or commissioned, agent or contractor to leave his or her employment or contract
relationship with Employer, or (b) hiring any employee, whether salaried or commissioned, agent or contractor who, at the time of hiring or during the three month period before the hiring, was such an employee, agent or contractor of Employer. This
includes that Executive will not (a) disclose to any third party the names, backgrounds or qualifications of any of Employer’s said employees, agents or contractors, or otherwise identify them as potential candidates for employment, or (b)
personally or through any other person approach, recruit, interview or otherwise solicit such employees, agents or contractors of Employer to work for any other employer or to reduce their relationship with Employer. This provision does not prohibit
Executive from responding to reference inquiries requested on behalf of employees. 
  
 12.    Executive agrees to fully and reasonably cooperate with Employer with respect to business issues, claims, administrative charges, governmental investigations and litigation related to Employer or its business
interests. This would include, but not be limited to, responding to questions, providing information, attending meetings, depositions, administrative proceedings, and court hearings, and assisting Employer, its counsel and any of its expert
witnesses. Executive agrees not to communicate with any adverse party, any such party’s legal counsel, or others adverse to Employer with respect to any pending or threatened claim, charges, or litigation except through legal counsel designated
by Employer. Should Executive receive notice of a subpoena or other attempt to communicate with or obtain information from Executive in any way relating to Employer or its business interests, Executive agrees to notify counsel for Employer, to
provide a copy of any such subpoena or request within two (2) calendar days of receipt of such notice, and not to provide any such information except through counsel designated by Employer unless compelled to do so by court order and after Employer
has had an opportunity to raise and 
  

 Page 3 of 6 

 
resolve any objections. Employer will reimburse Executive for reasonable costs associated with his cooperation. Notwithstanding the release of claims in
Section 9 of this Agreement, from and after September 30, 2003, the Employer shall continue to indemnify and hold harmless the Executive in accordance with and to the fullest extent permitted by the Employer’s articles of incorporation and
bylaws, as well as applicable law and regulations, subject to any limitations provided therein, all as in effect on the date hereof; and Employer represents and warrants that the D&O insurance policies in effect on September 30, 2003, will
continue to cover Executive for acts and omissions occurring through September 30, 2003, as provided under the terms of said policies. 
  
 13.    Because Employer does not offer such benefits to all departing employees, it is important to Employer that this Agreement remain confidential.
Executive agrees not to disclose the fact or terms of this Agreement to anyone, or to tell anyone that he received any special consideration from Employer. Executive may disclose the terms of this Agreement only to his spouse, his attorney, and his
accountant or similar advisor, on the condition that Executive shall direct each such person, and they agree, to maintain the confidentiality of this Agreement. 
  

14.    Executive agrees that, as a condition of and before receiving the severance pay and other benefits described in this Agreement, he will
return to Employer all of Employer’s property, including all physical property (laptop computers, cellular phones, personal digital assistants, computer disks, access cards, etc.) as well as any and all documents, data, plans, or other
information, whether on paper or in electronic form. 
  
 15.    Executive represents that he has not filed any claim against Employer or any of the individuals or entities released in paragraph 9, and that he will not do so at any time in the future concerning any of the
claims released in this Agreement. Executive shall not be prohibited from taking steps to enforce the terms of this Agreement, the enforcement of which is governed by paragraph 22. 
  
 16.    Executive agrees and covenants that he will not directly or indirectly, publicly or privately disparage Employer
or any of its subsidiaries, affiliates, employees, officers, directors, business partners, methods, services, or products. Employer agrees to direct its Executive Committee and its designated communications spokespersons to make no written or verbal
statements concerning the Executive’s separation or performance knowing that such statements are factually inaccurate and could reasonably be interpreted as disparaging the Executive, and the Executive Committee and its designated
communications spokespersons shall comply with this directive. 
  

 Page 4 of 6 

 17.    Executive and Employer shall cooperate to coordinate appropriate internal and external
communications concerning Executive’s separation and to designate individuals to whom reference requests shall be directed. Employer shall have final approval on all communications. 
  
 18.    Executive understands and acknowledges the significance and consequences of this Agreement and agrees that he
enters this Agreement voluntarily, and that he is not signing as a result of any coercion. Executive has been encouraged to seek the advice of an attorney and, to the extent desired, has availed himself of that opportunity. Executive acknowledges
that he has been given at least twenty-one (21) days after receipt of this Agreement during which to consider it. 
  
 19.    Executive understands and acknowledges that he has seven (7) days after signing this Agreement in which to revoke it. This Agreement will
become effective after that period has expired. 
  
 20.    This Agreement is binding on and shall inure to the benefit of the parties and to those individuals and entities released in paragraph 9, as well as to all of their heirs, successors, and assigns. 
  
 21.    If any of the provisions of the Agreement is held to be invalid or
unenforceable, the remaining provisions will nevertheless continue to be valid and enforceable to the fullest extent permitted by law. 
  
 22.    In the event of any dispute concerning the validity, interpretation, enforcement or breach of this Agreement or in any way related to
Executive’s employment by Employer or the termination of such employment, the dispute shall be resolved by arbitration within King County, Washington, and the parties waive their right to trial by jury; Executive and Employer will submit the
dispute to a mutually acceptable arbitration service, or, if they cannot agree to an arbitration service, the dispute will be submitted to the American Arbitration Association. The procedural rules of the selected arbitration service shall apply,
provided that during the time the arbitration proceedings are ongoing, Employer will advance any required administrative and/or arbitration fees. Executive requests and Employer agrees that each party will pay its own attorneys’ fees, costs and
disbursements. Judgment upon any arbitration award may be entered and enforced by any state or federal court having jurisdiction. Notwithstanding the above arbitration provisions, the parties to this Agreement agree that irreparable damage will
occur in the event that the provisions of this Agreement concerning confidential information as set forth in paragraph 10 hereof and non solicitation as set forth in paragraph 11 hereof are not performed in accordance with their specific terms or
are otherwise breached. It is accordingly agreed that the Employer shall be entitled to specific enforcement of those terms and provisions 
  

 Page 5 of 6 

 
of this Agreement and to injunctive and other equitable relief in any court of the United States or of any state thereof having jurisdiction in addition to
any other remedy to which Employer is entitled at law or in equity, and in this event, the governing law will be the law of the State of Washington. 
  
 23.    This Agreement represents and contains the entire understanding between the parties in connection with its subject matter, and supercedes any
prior written or oral agreements or understandings. No modification or waiver of any provision of this Agreement shall be valid unless in writing and signed by Executive and the Chief Executive Officer of Employer. Executive acknowledges that in
signing this Agreement he has not relied upon any representation or statement not set forth in this Agreement made by Employer or any of its representatives. 
  
 24.    Attached as Exhibit A is the certification made by Executive, dated August 7, 2003 to Kerry Killinger and Thomas Casey, on which they relied in
connection with their certification to the Securities and Exchange Commission contained in the Company’s Form 10-Q for the quarter ended June 30, 2003. Executive is not today aware of any facts existing then and not subsequently disclosed to
the Corporate Disclosure Committee the inclusion or omission of which would have caused any portion of such certification to be false as of the date of such certification. 
  

			
	Washington Mutual, Inc.	 	 	 	Executive
				
	 By
	 	  

	 	 	 	  

				
	 Its
	 	  

	 	 	 	  

	 	 	 	 	 	 	 (Print Name)

					
	 Date
	 	  

	 	 	 	Date	 	  

  

 Page 6 of 6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00058-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00058-of-00352.parquet"}]]