Document:

Exhibit
10.16

 

NEITHER
THIS SECURITY NOR THE SECURITIES INTO WHICH THIS SECURITY IS CONVERTIBLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE
COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO,
THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. THIS SECURITY AND
THE SECURITIES ISSUABLE UPON CONVERSION OF THIS SECURITY MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER
LOAN SECURED BY SUCH SECURITIES.

 

US
$90,000.00

 

VERUS
INTERNATIONAL, INC.

4%
CONVERTIBLE NOTE

DUE
JULY 22, 2021

 

FOR
VALUE RECEIVED, VERUS INTERNATIONAL, INC. (the “Company”) promises to pay to the order of [___] and its authorized
successors and permitted assigns (“Holder”), the principal amount of Ninety Thousand Dollars (U.S. $90,000.00)
on July 22, 2021 (“Maturity Date”) and to pay interest on the principal amount outstanding hereunder at the
rate of 4% per annum commencing on July 22, 2020 (“Issuance Date”). This Note shall contain an original issue
discount (“OID”) of $15,000 such that the purchase price of this Note shall be $75,000. The interest will be paid
to the Holder in whose name this Note is registered on the records of the Company regarding registration and transfers of this
Note. The principal of, and interest on, this Note are payable at [___], and if changed, last appearing on the records of the
Company as designated in writing by the Holder hereof from time to time. The Company will pay each interest payment and the outstanding
principal due upon this Note on or prior to the Maturity Date, less any amounts required by law to be deducted or withheld, to
the Holder of this Note by check or wire transfer addressed to such Holder at the last address appearing on the records of the
Company. The forwarding of such check or wire transfer shall constitute a payment of outstanding principal hereunder and shall
satisfy and discharge the liability for principal on this Note to the extent of the sum represented by such check or wire transfer.
Interest shall be payable in cash or in Common Stock (as defined below) pursuant to Section 4(b) herein.

 

This
Note is subject to the following additional provisions:

 

1.
This Note is exchangeable for an equal aggregate principal amount of Notes of different authorized denominations, as requested
by the Holder surrendering the same. No service charge will be made for such registration or transfer or exchange, except that
Holder shall pay any tax or other governmental charges payable in connection therewith. To the extent that Holder subsequently
transfers, assigns, sells or exchanges any of the multiple lesser denomination notes, Holder acknowledges that it will provide
the Company with opinions of counsel as provided for in Section 2(f) of the Securities Purchase Agreement by the between the Company
and the Holder dated July 22, 2020.

 

    	 	 	 
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2.
The Company shall be entitled to withhold from all payments any amounts required to be withheld under applicable laws.

 

3.
This Note may be transferred or exchanged only in compliance with the Securities Act of 1933, as amended (the “Act”),
applicable state securities laws and Sections 2(f) of the Securities Purchase Agreement. Any attempted transfer to a non-qualifying
party shall be treated by the Company as void. Prior to due presentment for transfer of this Note, the Company and any agent of
the Company may treat the person in whose name this Note is duly registered on the Company’s records as the owner hereof
for all other purposes, whether or not this Note be overdue, and neither the Company nor any such agent shall be affected or bound
by notice to the contrary. Any Holder of this Note electing to exercise the right of conversion set forth in Section 4(a) hereof,
in addition to the requirements set forth in Section 4(a), and any prequalified prospective transferee of this Note, also is required
to give the Company written confirmation that this Note is being converted (“Notice of Conversion”) in the
form annexed hereto as Exhibit A. The date of receipt (including receipt by telecopy) of such Notice of Conversion shall
be the conversion date (the “Conversion Date”). All notices of conversion will be accompanied by an opinion
of counsel, at the cost of the Buyer.

 

4.
(a) During the first 6 months this Note is in effect, the Holder of this Note is entitled, at its option, to
convert all or any amount of the principal face amount of this Note then outstanding into shares of the Company’s common
stock (the “Common Stock”) at a price (“Conversion Price”) for each share of Common Stock
at fixed price of $0.10 per share. After the 6th monthly anniversary, the Conversion Price shall be equal to
63% of the lowest closing price of the Common Stock as reported on the National Quotations Bureau OTC Markets
exchange which the Company’s shares are traded or any exchange upon which the Common Stock may be traded in the future (“Exchange”),
for the twenty prior trading days including the day upon which a Notice of Conversion is received by the
Company or its transfer agent (provided such Notice of Conversion is delivered by fax or other electronic method of communication
to the Company or its transfer agent after 4 P.M. Eastern Standard or Daylight Savings Time if the Holder wishes to include the
same day closing price). If the shares have not been delivered within 3 business days, the Notice of Conversion may be rescinded.
Such conversion shall be effectuated by the Company delivering the shares of Common Stock to the Holder within 3 business days
of receipt by the Company of the Notice of Conversion. Accrued but unpaid interest shall be subject to conversion. No fractional
shares or scrip representing fractions of shares will be issued on con- version, but the number of shares issuable shall be rounded
to the nearest whole share. To the extent the Conversion Price of the Company’s Common Stock closes below the par
value per share, the Company will take all steps necessary to solicit the consent of the stockholders to reduce the par value
to the lowest value possible under law. The Company agrees to honor all conversions submitted pending this increase. In the
event the Company experiences a DTC “Chill” on its shares, the conversion price shall be decreased to 53% instead
of 63% while that “Chill” is in effect. In no event shall the Holder be allowed to effect a conversion if such
conversion, along with all other shares of Company Common Stock beneficially owned by the Holder and its affiliates would exceed
9.9% of the outstanding shares of the Common Stock of the Company. The conversion discount, look back period and other terms will
be adjusted on a ratchet basis if the Company offers a more favorable conversion discount, interest rate, (whether through a straight
discount or in combination with an original issue discount), look back period or other more favorable term to another party for
any financings while this Note is in effect).

 

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(b)
Interest on any unpaid principal balance of this Note shall be paid at the rate of 4% per annum. Interest shall be paid by the
Company in Common Stock (“Interest Shares”). The Holder may, at any time, send in a Notice of Conversion to the Company
for Interest Shares based on the formula provided in Section 4(a) above. The dollar amount converted into Interest Shares shall
be all or a portion of the accrued interest calculated on the unpaid principal balance of this Note to the date of such notice.

 

(c)
The Note may be prepaid with the following penalties:

 

	Time
    Period	 	Payment
    Premium
	<=90
    days after note issuance	 	105%
    of the sum of principal plus accrued interest
	>90
    days <=120 days after note issuance	 	110%
    of the sum of principal plus accrued interest
	>120
    days <= 150 days after note issuance	 	115%
    of the sum of principal plus accrued interest
	>150
    days <=180 days after note issuance	 	120%
    of the sum of principal plus accrued interest

 

This
Note may not be prepaid after the 180th day. Such redemption must be closed and funded within 3 days of giving notice
of redemption of the right to redeem shall be null and void. Any partial prepayments will be made in accordance with the formula
set forth in the chart above with respect to principal, premium and interest.

 

(d)
Upon (i) a transfer of all or substantially all of the assets of the Company to any person in a single transaction or series of
related transactions, (ii) a reclassification, capital reorganization (excluding an increase in authorized capital) or other change
or exchange of outstanding shares of the Common Stock, other than a forward or reverse stock split or stock dividend, or (iii)
any consolidation or merger of the Company with or into another person or entity in which the Company is not the surviving entity
(other than a merger which is effected solely to change the jurisdiction of incorporation of the Company and results in a reclassification,
conversion or exchange of outstanding shares of Common Stock solely into shares of Common Stock) (each of items (i), (ii) and
(iii) being referred to as a “Sale Event”), then, in each case, the Holder may convert the unpaid principal amount
of this Note (together with the amount of accrued but unpaid interest) into shares of Common Stock immediately prior to such Sale
Event at the Conversion Price.

 

(e)
In case of any Sale Event (not to include a sale of all or substantially all of the Company’s assets) in connection with
which this Note is not converted, the Company shall cause effective provision to be made so that the Holder of this Note shall
have the right thereafter, by converting this Note, to purchase or convert this Note into the kind and number of shares of stock
or other securities or property (including cash) receivable upon such reclassification, capital reorganization or other change,
consolidation or merger by a holder of the number of shares of Common Stock that could have been purchased upon exercise of the
Note and at the same Conversion Price, as defined in this Note, immediately prior to such Sale Event. The foregoing provisions
shall similarly apply to successive Sale Events. If the consideration received by the holders of Common Stock is other than cash,
the value shall be as determined by the Board of Directors of the Company or successor person or entity acting in good faith.

 

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5.
No provision of this Note shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the
principal of, and interest on, this Note at the time, place, and rate, and in the form, herein prescribed.

 

6.
The Company hereby expressly waives demand and presentment for payment, notice of non-payment, protest, notice of protest, notice
of dishonor, notice of acceleration or intent to accelerate, and diligence in taking any action to collect amounts called for
hereunder and shall be directly and primarily liable for the payment of all sums owing and to be owing hereto.

 

7.
The Company agrees to pay all costs and expenses, including reasonable attorneys’ fees and expenses, which may be incurred
by the Holder in collecting any amount due under this Note.

 

8.
If one or more of the following described “Events of Default” shall occur:

 

(a)
The Company shall default in the payment of principal or interest on this Note or any other note issued to the Holder by the Company;
or

 

(b)
Any of the representations or warranties made by the Company herein or in any certificate or financial or other written statements
heretofore or hereafter furnished by or on behalf of the Company in connection with the execution and delivery of this Note, or
the Securities Purchase Agreement under which this Note was issued shall be false or misleading in any respect; or

 

(c)
The Company shall fail to perform or observe, in any respect, any covenant, term, provision, condition, agreement or obligation
of the Company under this Note or any other note issued to the Holder; or

 

(d)
The Company shall (1) become insolvent (which does not include a “going concern opinion); (2) admit in writing its inability
to pay its debts generally as they mature; (3) make an assignment for the benefit of creditors or commence proceedings for its
dissolution; (4) apply for or consent to the appointment of a trustee, liquidator or receiver for its or for a substantial part
of its property or business; (5) file a petition for bankruptcy relief, consent to the filing of such petition or have filed against
it an involuntary petition for bankruptcy relief, all under federal or state laws as applicable; or

 

(e)
A trustee, liquidator or receiver shall be appointed for the Company or for a substantial part of its property or business without
its consent and shall not be discharged within sixty (60) days after such appointment; or

 

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(f)
Any governmental agency or any court of competent jurisdiction at the instance of any governmental agency shall assume custody
or control of the whole or any substantial portion of the properties or assets of the Company; or

 

(g)
One or more money judgments, writs or warrants of attachment, or similar process, in excess of fifty thousand dollars ($50,000)
in the aggregate, shall be entered or filed against the Company or any of its properties or other assets and shall remain unpaid,
unvacated, unbonded or unstayed for a period of fifteen (15) days or in any event later than five (5) days prior to the date of
any proposed sale thereunder; or

 

(h)
Defaulted on or breached any term of any other note of similar debt instrument into which the Company has entered and failed to
cure such default within the appropriate grace period; or

 

(i)
The Company shall have its Common Stock delisted from a Trading Market or, if the Common Stock trades on a Trading Market, then
trading in the Common Stock shall be suspended for more than ten (10) consecutive Trading Days (as defined herein) or the Company
ceases to file reports pursuant to the Securities Exchange Act of 1934 with the SEC; or

 

(j)
If a majority of the members of the Board of Directors of the Company on the date hereof are no longer serving as members of the
Board; or

 

(k)
The Company shall not deliver to the Holder the Common Stock issuable upon conversion of this Note (the “Conversion Shares”)
pursuant to paragraph 4 herein within three (3) business days of its receipt of a Notice of Conversion (the “Share Delivery
Date”),

 

(l)
The Company shall not replenish the reserve set forth in Section 12, within three (3) business days of the request of the Holder.

 

Then,
or at any time thereafter, unless cured within five (5) Trading Days, and in each and every such case, unless such Event of Default
shall have been waived in writing by the Holder (which waiver shall not be deemed to be a waiver of any subsequent default) at
the option of the Holder and in the Holder’s sole discretion, the Holder may consider this Note immediately due and payable,
without presentment, demand, protest or (further) notice of any kind (other than notice of acceleration), all of which are hereby
expressly waived, anything herein or in any note or other instruments contained to the contrary notwithstanding, and the Holder
may immediately, and with- out expiration of any period of grace, enforce any and all of the Holder’s rights and remedies
pro- vided herein or any other rights or remedies afforded by law. Upon an Event of Default, interest shall accrue at a default
interest rate of 24% per annum or, if such rate is usurious or not permitted by current law, then at the highest rate of interest
permitted by law. In the event of a breach of Section 8(k) the penalty shall be $250 per day the shares are not issued beginning
on the 4th day after the conversion notice was delivered to the Company. This penalty shall increase to $500 per day
beginning on the 10th day after the conversion notice was delivered to the Company.

 

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If
the Holder shall commence an action or proceeding to enforce any provisions of this Note, including, without limitation, engaging
an attorney, then if the Holder prevails in such action, the Holder shall be reimbursed by the Company for its attorneys’
fees and other costs and expenses incurred in the investigation, preparation and prosecution of such action or proceeding.

 

For
purposes of this Section 8, “Trading Day” means a day on which the principal Trading Market is open for trading.
“Trading Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted
for trading on the date in question: the OTC Markets, the NYSE American, the Nasdaq Capital Market, the Nasdaq Global Market,
the Nasdaq Global Select Market, the New York Stock Exchange (or any successors to any of the foregoing).

 

9.
Compensation for Buy-In on Failure to Timely Deliver Certificates Upon Conversion. In addition to any other rights available
to the Holder, if the Company fails for any reason to deliver to the Holder such certificate or certificates by the Share Deliver
Date, and if after such Share Delivery Date the Holder is required by its brokerage firm to purchase (in an open market transaction
or otherwise), or the Holder’s brokerage firm otherwise purchases, shares of Common Stock to deliver in satisfaction of
a sale by the Holder of the Conversion Shares which the Holder was entitled to receive upon the conversion relating to such Share
Delivery Date (a “Buy-In”), then the Company shall (A) pay in cash to the Holder, if any, the amount by which
(x) the Holder’s total purchase price (including any brokerage commissions) for the Common Stock so purchased exceeds (y)
the product of (1) the aggregate number of shares of Common Stock that the Holder was entitled to receive from the conversion
at issue multiplied by (2) the actual sale price at which the sell order giving rise to such purchase obligation was executed
(including any brokerage commissions) and (B) at the option of the Holder, either reissue (if surrendered) this Note in a principal
amount equal to the principal amount of the attempted conversion (in which case such conversion shall be deemed rescinded) or
deliver to the Holder the number of shares of Common Stock that would have been issued if the Company had timely complied with
its delivery requirements hereunder. For example, if the Holder purchases Common Stock having a total purchase price of $11,000
to cover a Buy-In with respect to an attempted conversion of this Note with respect to which the actual sale price of the Conversion
Shares (including any brokerage commissions) giving rise to such purchase obligation was a total of $10,000 under clause (A) of
the im- mediately preceding sentence, the Company shall be required to pay the Holder $1,000. The Holder shall provide the Company
written notice indicating the amounts payable to the Holder in respect of the Buy-In and, upon request of the Company, evidence
of the amount of such loss.

 

10.
In case any provision of this Note is held by a court of competent jurisdiction to be excessive in scope or otherwise invalid
or unenforceable, such provision shall be adjusted rather than voided, if possible, so that it is enforceable to the maximum extent
possible, and the validity and enforceability of the remaining provisions of this Note will not in any way be affected or impaired
thereby.

 

11.
Neither this Note nor any term hereof may be amended, waived, discharged or terminated other than by a written instrument signed
by the Company and the Holder.

 

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12.
The Company represents that it is not a “shell” issuer and that if it previously has been a “shell” issuer
that on the 180 day anniversary of the date of this Note at least twelve (12) months would have passed since the Company has reported
Form 10 type information indicating it is no longer a “shell issuer.

 

13.
The Company shall issue irrevocable transfer agent instructions reserving 170,068,000 shares of its Common Stock for conversions
under this Note (the “Share Reserve”). Upon full conversion of this Note, any shares remaining in the Share Reserve
shall be cancelled. The Company shall pay all transfer agent costs and legal opinion fees associated with issuing and delivering
the share certificates to Holder. If such amounts are to be paid by the Holder, it may deduct such amounts from the principal
amount being converted. The Company should at all times reserve a minimum of 250% of the amount of shares required if the Note
would be fully converted. The Holder may reasonably request increases from time to time to reserve such amounts; provided, however,
that the total amount reserved shall in no event exceed 250% of the amount of shares required if the Note would be fully converted.
The Company will instruct its transfer agent to provide the outstanding share information to the Holder in connection with its
conversions.

 

 13. Intentionally Deleted.

 

14.
If it shall be found that any interest or other amount deemed interest due hereunder violates the applicable law governing usury,
the applicable provision shall automatically be revised to equal the maximum rate of interest or other amount deemed interest
permitted under applicable law. The Company covenants (to the extent that it may lawfully do so) that it will not seek to claim
or take advantage of any law that would prohibit or forgive the Company from paying all or a portion of the principal or interest
on this Note.

 

15.
This Note shall be governed by and construed in accordance with the laws of New York applicable to contracts made and wholly to
be performed within the State of New York and shall be binding upon the successors and assigns of each party hereto. The Holder
and the Company hereby mutually waive trial by jury and consent to exclusive jurisdiction and venue in the courts of the State
of New York or in the Federal courts sitting in the county or city of New York. This Agreement may be executed in counterparts,
and the facsimile transmission of an executed counterpart to this Agreement shall be effective as an original.

 

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IN
WITNESS WHEREOF, the Company has caused this Note to be duly executed by an officer thereunto duly authorized.

 

Dated:
July 22, 2020

 

	 	VERUS INTERNATIONAL, INC.
	 	 	 
	 	By:
    	 
	 	 	Anshu
    Bhatnagar, Chief Executive Officer

 

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EXHIBIT
A

 

NOTICE
OF CONVERSION

 

(To
be Executed by the Registered Holder in order to Convert the Note)

 

The
undersigned hereby irrevocably elects to convert $______________ of the above Note into _____________ shares of Common Stock (“Shares”)
of VERUS INTERNATIONAL, INC. According to the conditions set forth in such Note, as of the date written below.

 

If
Shares are to be issued in the name of a person other than the undersigned, the undersigned will pay all transfer and other taxes
and charges payable with respect thereto.

 

	Date of Conversion:	 	 

	Applicable Conversion Price:	 	 

	Signature:	 	 

	 	[Print Name of Holder and Title of Signer]	 

	Address:	 	 

	 	 	 

 

	SSN or EIN:	 	 

	Shares are to be registered in the following name:	 	 

 

	Name:	 	 

	Address:	 	 

	Tel:	 	 

	Fax:	 	 

	SSN or EIN:	 	 

 

Shares
are to be sent or delivered to the following account:

 

	Account Name:	 	 

	Address:	 	 

 

    	 	9	 
	Initialsexhibit101

                                                                     Exhibit 10.1                                VISTEON CORPORATION               AMENDED AND RESTATED EMPLOYMENT AGREEMENT          This Amended and Restated Employment Agreement (this “Agreement”) is entered into   effective as of October 22, 2020 (the “Effective Date”), by and between Visteon Corporation, a   Delaware corporation (the “Company”), and Sachin Lawande (the “Employee”).                                    BACKGROUND         A.     The Employee and the Company are party to an Employment Agreement  effective as of February 12, 2018 (the “Prior Employment Agreement”) pursuant to which the   Employee currently serves as the Chief Executive Officer of the Company.           B.    The Prior Employment Agreement shall expire by its terms on June 29, 2021.            C.    The Employee and the Company desire to amend and restate the terms of the   Prior Employment Agreement to set forth the terms pursuant to which the Employee will   continue to serve as the Chief Executive Officer of the Company.                                     AGREEMENT          In consideration of the mutual promises contained herein and of other good and valuable   consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto   hereby agree as follows:    1.    POSITION AND DUTIES.          (a)   During the Term (as defined in Section 2 hereof), the Employee shall continue to   serve as the Chief Executive Officer of the Company.  In addition, during the Term, the   Employee shall serve, and be re-nominated from year to year to serve, as a member of the Board   of Directors of the Company (the “Board”); provided that the Employee’s continued service as a   member of the Board shall at all times remain subject to applicable law and to any and all   nomination and election procedures in accordance with the Company’s charter and by-laws.  In   the foregoing capacities, the Employee shall have the duties, authorities and responsibilities  commensurate with the duties, authorities and responsibilities of persons in similar capacities in  similarly sized companies, and such other duties, authorities and responsibilities as may  reasonably be assigned to the Employee from time to time that are not inconsistent with the  Employee’s position with the Company.  The Employee’s principal place of employment with  the Company shall be in Van Buren Township, Michigan, provided that the Employee  understands and agrees that the Employee may be required to travel from time to time, both  domestically and internationally, for business purposes.  The Employee shall report directly to  the Board.         (b)   During the Term, the Employee shall devote all of the Employee’s business time,   energy, business judgment, knowledge and skill and the Employee’s best efforts to the   performance of the Employee’s duties with the Company, provided that the foregoing shall not   prevent the Employee from (i) serving on the boards of directors of for-profit and non-profit     

 

     organizations, subject to the written approval of the Board, including service on one (1) board of   directors as agreed to by the Company in advance of the Effective Date, (ii) participating in   charitable, civic, educational, professional, community or industry affairs and (iii) managing the   Employee’s passive personal investments so long as such activities do not individually or   collectively interfere or conflict with the Employee’s duties hereunder or create a potential   business or fiduciary conflict.    2.    EMPLOYMENT TERM.  The term of the Agreement shall extend through   September  30, 2025 (the “Term”).  The Term, but not Employee’s employment with the   Company, shall terminate on September 30, 2025 without further action by the Company or the   Employee unless they have before that date mutually agreed to an extension of the Term.    However, both the Term of the Agreement and the Employee’s employment shall terminate   sooner pursuant to Section 7 hereof, subject to Section 8 hereof.  If the Term is not earlier   terminated in accordance with Section 7 hereof, it will automatically terminate on September 30,   2025, without further action by the Company or the Employee unless both the Company and the   Employee have, before that date, mutually agreed to an extension of the Term.      3.    BASE SALARY.  During the Term, the Company agrees to pay the Employee an initial   base salary at an annual rate of $1,030,000, payable in accordance with the regular payroll   practices of the Company, but not less frequently than monthly.  The Employee’s base salary   shall be subject to annual review by the Board (or a committee thereof) based on market trends,   internal considerations and performance.  The base salary as determined herein and adjusted   from time to time shall constitute “Base Salary” for purposes of this Agreement.    4.    ANNUAL INCENTIVE OPPORTUNITY.  During the Term, the Employee shall have   an annual incentive opportunity, under the Company’s annual incentive plan in effect from time   to time for its senior executive officers, based on a target incentive opportunity of, beginning in   fiscal year 2020, at least 125% of the Employee’s Base Salary (“Target Bonus”) and a maximum   incentive opportunity of not less than 200% of the Employee’s Target Bonus, subject to the  attainment of one or more pre-established performance goals established by the Board (or a  committee thereof) in its sole discretion.  Any annual incentive payable hereunder shall be paid   in cash in United States dollars the calendar year following the calendar year to which such  incentive relates at the same time as annual incentive payments for such year are paid to other  senior executives, subject to the Employee’s continued employment at the time of payment,  except as otherwise set forth herein.     5.    LONG-TERM INCENTIVE AWARDS.     During the Term, the Employee shall be eligible for annual awards under the Company’s long- term incentive compensation arrangements as reasonably determined by the Board (or any  subcommittee thereof), in accordance with the Company’s policies and the applicable award                                           2    

 

     agreements and incentive compensation plans under which such awards may be granted, as in   effect from time to time.    6.    EMPLOYEE BENEFITS.          (a)   BENEFIT PLANS.  During the Term, the Employee shall be entitled to   participate in any employee benefit plan that the Company has adopted or may adopt, maintain   or contribute to for the benefit of its executive employees generally (including, without   limitation, any supplemental executive retirement plan and any other program or arrangement   available only to senior officers of the Company), subject to satisfying the applicable eligibility   requirements, and except to the extent such plans are duplicative of the benefits otherwise   provided hereunder.  The Employee’s participation in the employee benefit plans of the   Company will be subject to the terms of the applicable plan documents and generally applicable   Company policies.  For purposes of the Company supplemental executive retirement plan, the   Employee shall be an “elected Corporate Officer” eligible to participate in that plan and shall   become vested in his supplemental executive retirement plan benefit based on the terms and   conditions of the supplemental executive retirement plan, as amended from time to time.    Notwithstanding the foregoing, the Company may modify or terminate any employee benefit  plan at any time.         (b)   VACATION.  During the Term, the Employee shall be entitled to take four   weeks of paid vacation per calendar year (as prorated for partial years); provided that   Employee’s rights to use such vacation and Employee’s right to accrue any unused vacation shall   be subject to the Company’s policy on accrual and use applicable to employees, as in effect from   time to time.          (c)   BUSINESS EXPENSES.  Upon presentation of reasonable substantiation and   documentation as the Company may specify from time to time, the Employee shall be   reimbursed, in accordance with the Company’s expense reimbursement policy as in effect from   time to time, for all reasonable out-of-pocket business expenses incurred and paid by the   Employee during the Term and in connection with the performance of the Employee’s duties   hereunder.          (d)   PROFESSIONAL FEES.  Upon presentation of appropriate documentation, the   Company shall reimburse the Employee for up to $10,000 of reasonable professional fees   incurred in connection with the negotiation and documentation of this Agreement and related   agreements hereunder.    7.    TERMINATION.  Both the Employee’s employment and the Term shall terminate on  the first of the following to occur:         (a)    DISABILITY.  Upon ten (10) days’ prior written notice by the Company to the   Employee of a termination due to Disability.  For purposes of this Agreement, “Disability” shall   be defined as the inability of the Employee to have performed the Employee’s material duties   hereunder due to a physical or mental injury, infirmity or incapacity for 180 days (including   weekends and holidays) in any 365-day period as determined by the Board in its reasonable   discretion and the findings of a physician mutually selected by the Company and the Employee                                          3    

 

     (or the Employee’s representative).  The Employee shall cooperate in all respects with the   Company if a question arises as to whether the Employee has become disabled (including,  without limitation, submitting to reasonable examinations by one or more medical doctors and  other health care specialists selected by the Company and authorizing such medical doctors and  other health care specialists to discuss the Employee’s condition with the Company).         (b)   DEATH.  Automatically upon the date of death of the Employee.         (c)   CAUSE.  Immediately upon written notice by the Company to the Employee of a  termination for Cause.  “Cause” shall mean:                (i)   the Employee’s conviction of, or pleading of guilty to, or entering a plea  of no contest to, any felony or any crime involving moral turpitude or misrepresentation;               (ii)   the Employee’s willful failure or refusal to carry out the reasonable and   lawful directions of the Board concerning duties or actions consistent with the Employee’s   position;                (iii) the Employee’s willful misconduct against the Company constituting   fraud, embezzlement, misappropriation of funds or breach of fiduciary duty;                (iv)  the Employee’s gross or willful misconduct resulting in substantial loss to   the Company or substantial damage to the Company’s reputation;                (v)   the Employee’s material and willful violation of any material reasonable   rules, regulations, policies, directions or restrictions of the Company regarding employee   conduct; or                (vi)  the Employee’s willful and material breach of any provision of this   Agreement.                For such purpose, no act or omission to act by the Employee shall be “willful” if   conducted in good faith and with a reasonable belief that such act or omission was in the best   interests of the Company.  Any determination of Cause by the Company will be made by a   resolution approved by a majority of the members of the Board (excluding the Employee),   provided that no such determination may be made until the Employee has been given written   notice detailing the specific Cause event, an opportunity to appear before the Board to refute   such finding (with the assistance of counsel), and a period of thirty (30) days following such   appearance to cure such event (if susceptible to cure) to the satisfaction of the Board.    Notwithstanding anything to the contrary contained herein, the Employee’s right to cure shall not   apply if there are habitual or repeated breaches by the Employee.          (d)   RETIREMENT.  “Retirement” shall mean the Employee’s voluntary termination   of employment either (1) after attaining age 55 and completion of 10 years of service, or (2) after   completion of at least 30 years of service, regardless of age.          (e)   WITHOUT CAUSE.  Immediately upon written notice by the Company to the   Employee of an involuntary termination without Cause (other than for death or Disability).                                          4    

 

         (f)   GOOD REASON.  Upon written notice by the Employee to the Company of a  termination for Good Reason.  “Good Reason” shall mean the occurrence of any of the following  events, without the express written consent of the Employee, unless such events are fully  corrected in all material respects by the Company within thirty (30) days following written  notification by the Employee to the Company of the occurrence of one of the reasons set forth  below:               (i)   the Company’s assignment to the Employee of duties (including titles and  reporting relationships) inconsistent in any material respect with the Employee’s duties or  responsibilities as contemplated by this Agreement, any failure to re-nominate the Employee for  election by the Company’s stockholders as a member of the Board, or any other action by the  Company that results in a significant diminution in the Employee’s position, authority, duties or  responsibilities (provided that any sale or other disposition of assets by the Company shall not, in  and of itself, constitute a significant diminution in the Employee’s position, authority, duties or  responsibilities; and provided, further, that a reduction in authority, duties or responsibilities  resulting solely from the Company ceasing to be a publicly traded entity shall not constitute  Good Reason hereunder); or               (ii)  the Company’s material breach of any provision of this Agreement.               The Employee shall provide the Company with a written notice detailing the  specific circumstances alleged to constitute Good Reason within forty-five (45) days after the  first occurrence of such circumstances, and actually terminate employment within thirty (30)  days following the expiration of the Company’s cure period as set forth above.  Otherwise, any  claim of such circumstances as “Good Reason” shall be deemed irrevocably waived by the  Employee.         (g)   WITHOUT GOOD REASON.  Upon thirty (30) days’ prior written notice by  the Employee to the Company of the Employee’s voluntary termination of employment without  Good Reason (which the Company may, in its sole discretion, make effective earlier than any  notice date).   8.    CONSEQUENCES OF TERMINATION.         (a)   DEATH.  In the event that, during the Term, the Employee’s employment  terminates on account of the Employee’s death, the Employee or the Employee’s estate, as the  case may be, shall be entitled to the following (with the amounts due under Sections 8(a)(i)  through 8(a)(iii) hereof to be paid within sixty (60) days following termination of employment,  or such earlier date as may be required by applicable law):               (i)   any earned and unpaid Base Salary through the date of termination;               (ii)  reimbursement for any unreimbursed business expenses incurred through  the date of termination;               (iii) any accrued but unused vacation time in accordance with Company  policy;                                          5   

 

                 (iv)  all other vested payments, benefits or fringe benefits to which the   Employee shall be entitled under the terms of any applicable compensation arrangement or  benefit, equity or fringe benefit plan or program or grant or this Agreement (collectively,   Sections 8(a)(i) through 8(a)(iv) hereof shall be hereafter referred to as the “Accrued Benefits”);                (v)   payment of the Employee’s bonus and long-term incentive award, if any,   for all performance periods completed prior to the Employee’s termination, to the extent earned,   which shall be payable when such bonuses and awards are payable to other employees, to the   extent not otherwise payable on the same or more favorable terms under the terms of such award   (the “Prior Bonuses”); and                (vi)  payment of the Employee’s annual incentive for the incomplete calendar   year during which such termination occurs, which shall be earned and payable based on actual   results in accordance with the terms thereof and payable at the time when such bonuses and   awards are payable to other employees as if the Employee’s employment had not terminated (and   with any subjective criteria deemed satisfied at target), except that such amount shall be prorated   based on the fraction the numerator of which shall be the number of days employed during such   calendar year prior to the Employee’s termination and the denominator of which shall be the   total number of days in that calendar year (the “Pro Rata Bonus”).          (b)   DISABILITY.  In the event that, during the Term, the Employee’s employment   terminates on account of the Employee’s Disability, the Company shall pay or provide the  Accrued Benefits, the Prior Bonuses and the Pro Rata Bonus to the Employee.         (c)   RETIREMENT.  If, during the Term, the Employee’s employment with the  Company is terminated by reason of Retirement, and provided that, at the date of termination,  either (1) the Employee had remained in the employ of the Company for at least 180 days  following the date the Employee was granted an equity award under a Company long-term  incentive plan, or (2) a Change in Control has occurred before the termination of employment,  the following consequences will result with respect to any such equity award or Change in  Control:                (i)   the Employee’s rights with respect to options will continue in effect or  continue to accrue for the remainder of the original applicable option term, subject to any other  limitation on the exercise of such rights in effect at the date of exercise; and               (ii)   the Employee’s rights with respect to restricted stock units and/or   restricted stock awards that have not previously vested shall be eligible to vest on a pro-rata basis   so that, taking into account the restricted stock units and/or restricted stock awards, if any, that   have previously vested, the percentage of all such restricted stock units and/or restricted stock   awards that are eligible to vest is equal to 100% multiplied by a fraction, the numerator of which   is the number of days from the date of grant to the date of the termination of the Employee’s   employment, inclusive, and the denominator of which is the number of days from the applicable   grant date to the end of the original vesting period; provided, however, that in applying such   calculation with respect to any such awards that are performance-based, the numerator is the   number of days between the date of grant and the earlier of the date of the termination of the   Employee’s employment or the ending date for each applicable tranche of each applicable                                          6    

 

     performance period, and the denominator is the number of days between the date of grant and the   end of each such tranche or, in the case of the final tranche, the end of the month following the   ending date of such tranche; provided, however, that in the event that any restricted stock unit   and/or restricted stock award is awarded after the Effective Date and provides for a different   methodology of pro-ration, such different methodology shall apply under this Section 8(c).    Notwithstanding the foregoing, any such restricted stock units and/or restricted stock awards that   are subject to satisfaction of performance criteria shall be earned and payable based on actual   results in accordance with the terms thereof and payable at the time when such units and/or   awards are payable to other employees as if the Employee’s employment had not terminated;   provided, however, such vesting shall be eligible for 100%, as opposed to pro-rata, vesting as if   the Employee were still employed throughout the entire vesting period if the Board determines,   in its sole discretion, that either (a) a permanent successor Chief Executive Officer is in place to   assume such role upon the Employee’s Retirement; or (b) that a permanent successor Chief   Executive Officer candidate has been identified by Employee.           (d)   TERMINATION FOR CAUSE OR WITHOUT GOOD REASON.  If, during   the Term, the Employee’s employment is terminated (x) by the Company for Cause, or (y) by the   Employee without Good Reason, the Company shall pay or provide the Accrued Benefits to the   Employee.          (e)   TERMINATION WITHOUT CAUSE OR FOR GOOD REASON.  If, during   the Term, the Employee’s employment by the Company is terminated (x) by the Company other   than for Cause (and other than for death or Disability), or (y) by the Employee for Good Reason,   the Company shall pay or provide the Employee with the following:                (i)   the Accrued Benefits;                (ii)  If the Employee’s termination is prior to or more than twenty-four (24)   months following a Change in Control and subject to the Employee’s continued compliance with   the obligations in Sections 9 and 10 hereof, in lieu of any further salary payment to the Employee   for any period after the termination, a lump sum severance payment, in cash, equal to one and   one half times (1.5x) the sum of: (x) the Employee’s Base Salary as in effect immediately prior   to the termination or, if higher, in effect immediately prior to the first occurrence of an event or   circumstance constituting Good Reason, and (y) the Employee’s Target Bonus in respect of the   fiscal year in which occurs the termination or, if higher, the fiscal year in which occurs the first   event or circumstance constituting Good Reason, such lump sum severance payment to be paid   on the sixtieth (60th) day following the Employee’s date of termination, provided that that the   release provided in Section 9 has become irrevocable prior to such date and except as otherwise   provided in Section 25(b).                (iii) Subject to (A) the Employee’s timely election of continuation coverage   under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”),   (B)the Employee’s continued copayment of premiums at the same level and cost to the  Employee as if the Employee were an employee of the Company (excluding, for purposes of  calculating cost, an employee’s ability to pay premiums with pre-tax dollars), and (C) the  Employee’s continued compliance with the obligations in Sections 9 and 10 hereof, continued                                          7    

 

     participation in the Company’s group health plan (to the extent permitted under applicable law   and the terms of such plan) which covers the Employee (and the Employee’s eligible   dependents) for a period of eighteen (18) months at the Company’s expense, provided that the   Employee is eligible and remains eligible for COBRA coverage; and provided, further, that in   the event that the Employee obtains other employment that offers group health benefits, such   continuation of coverage by the Company under this Section 8(e)(iii) shall immediately cease.                (iv)  Without duplication of any amount payable to the Employee under the   terms of the applicable incentive plan, the Company shall pay to the Employee, a lump sum   amount, in cash, equal to the sum of (1) the Prior Bonuses and (2) the Pro Rata Bonus.    Notwithstanding the foregoing, if and to the extent the Employee had elected to defer receipt of   any of the Prior Bonuses and if the Employee’s deferral election is irrevocable as of the date of   termination for purposes of Code Section 409A, the amount calculated above shall be credited to   the Employee’s account under the applicable deferred compensation plan in lieu of being  distributed directly to the Employee.               (v)   Subject to the Employee’s continued compliance with the obligations in  Sections 9 and 10 hereof, up to $50,000 of outplacement services through the first anniversary of  the termination.               Payments and benefits provided in this Section 8(e) shall be in lieu of any  termination or severance payments or benefits for which the Employee may be eligible under any   of the plans, policies or programs of the Company or under the Worker Adjustment Retraining  Notification Act of 1988 or any similar state statute or regulation.         (f)   EXPIRATION OF TERM; NON-EXTENSION OF AGREEMENT.  Upon  expiration of the Term, without further action by the Company or the Employee, no severance   benefits will be payable at any time thereafter under this Agreement and treatment of any   outstanding long-term incentive awards will be governed by the terms of the applicable award   agreements and plans as they are during the Term pursuant to Section 8(i) hereof.          (g)   TERMINATION ON OR AFTER A CHANGE IN CONTROL.  Without   regard for any expiration of the Term following a Change in Control (and for which purposes,   the following terms defined above shall survive accordingly), if the Employee’s employment is   terminated on or within twenty-four (24) months following a Change in Control, other than   (x) by the Company for Cause, (y) by reason of death or Disability or (z) by the Employee   without Good Reason, then in lieu of any payments under Section 8(e), the Company shall pay   the Employee the amounts and provide the Employee with the following:                (i)   The Accrued Benefits.                (ii)  Subject to the Employee’s continued compliance with the obligations in   Sections 9 and 10 hereof, in lieu of any further salary payment to the Employee for any period   after the termination, a lump sum severance payment, in cash, equal to two times (2x) the sum   of:  (1) the Employee’s Base Salary as in effect immediately prior to the termination or, if higher,   in effect immediately prior to the first occurrence of an event or circumstance constituting Good  Reason, and (2) the Employee’s Target Bonus in respect of the fiscal year in which occurs the                                          8    

 

     termination or, if higher, the fiscal year in which occurs the first event or circumstance   constituting Good Reason, such lump sum severance payment to be paid on the sixtieth (60th)  day following the Employee’s date of termination, provided that that the release provided in  Section 9 has become irrevocable prior to such date and except as otherwise provided in  Section 25(b).               (iii) Subject to the limitations specified below in this Section 8(g)(iii), for the  eighteen (18) month period immediately following the date of termination, the Company shall  arrange to provide the Employee and his dependents life, accident and health insurance benefits  substantially similar to those provided to the Employee and his dependents immediately prior to  the date of termination or, if more favorable to the Employee, those provided to the Employee  and his dependents immediately prior to the first occurrence of an event or circumstance  constituting Good Reason.  The Company will provide these life and accident insurance benefits  at no greater cost to the Employee than the cost to the Employee immediately prior to the date or  occurrence specified in the first sentence of this Section 8(g)(iii).  The Company will either pay  directly, or reimburse the Employee for, the entire cost otherwise payable by the Employee for  these health insurance benefits.  Unless the Employee consents to a different method (after  taking into account the effect of such method on the calculation of “parachute payments”  pursuant to Section 8(h) hereof), such life, accident and health insurance benefits shall be  provided through a third-party insurer and the premiums for that insurance (to the extent paid  directly by the Company or reimbursed by the Company to the Employee) will be included in the  Employee’s income for tax purposes to the extent required by applicable law.  The Company  may withhold from any such direct payment or reimbursement an amount sufficient to cover the  amount of required withholding.  Benefits otherwise receivable by the Employee pursuant to this  Section 8(g)(iii) shall be reduced to the extent benefits of the same type are received by or made  available to the Employee by another employer during the eighteen (18)-month period following  the Employee’s termination of employment (and any such benefits received by or made available  to the Employee shall be reported to the Company by the Employee); provided, however, that the  Company shall reimburse the Employee for the excess, if any, of the cost of such benefits to the  Employee over such cost immediately prior to the date of termination or, if more favorable to the  Employee, the first occurrence of an event or circumstance constituting Good Reason.   Notwithstanding anything in this Section 8(g)(iii) to the contrary, with respect to the first six (6)  months following the Employee’s termination of employment, if the premiums payable by the  Company for group term life insurance on the Employee’s life exceeds the amount of the  “limited payments” exemption set forth in Section 1.409A-1(b)(9)(v)(B) of the Income Tax  Regulations (or any successor provision thereto), then, to the extent required in order to comply  with Internal Revenue Code (“Code”) Section 409A, the Employee, in advance, shall pay to the   Company an amount equal to the premiums for any such life insurance policy, other than with   respect to life insurance coverage to which the Employee would be entitled independent of this   Agreement.  Promptly following the end of such six (6)-month period, the Company will make a   cash payment to the Employee equal to the difference between the aggregate amount paid by the   Employee for such coverage and the amount that the Employee would have paid for such life   insurance coverage if such cost had been determined pursuant to this Section 8(g)(iii) other than   the preceding sentence.                (iv)  Without duplication of any amount payable to the Employee under the   terms of the applicable incentive plan, the Company shall pay to the Employee, on the first day                                          9    

 

     of the seventh month following the month in which occurs the Employee’s date of termination, a   lump sum amount, in cash, equal to the sum of (i) the Prior Bonuses, and (ii) a pro rata portion of   the annual bonus awarded to the Employee for the fiscal year in which the date of termination   occurs, calculated by multiplying the award that the Employee would have earned on the last day   of the fiscal year, assuming the achievement, at the target level, of the individual and corporate   performance goals established with respect to the annual bonus, by the fraction obtained by   dividing the number of days during such fiscal year through the date of the Employee’s   termination of employment by 365.  Notwithstanding the foregoing, if and to the extent the   Employee had elected to defer receipt of any of the Prior Bonuses, and if the Employee’s   deferral election is irrevocable as of the date of termination for purposes of Code Section 409A,  the amount calculated above shall be credited to the Employee’s account under the applicable  deferred compensation plan in lieu of being distributed directly to the Employee.               (v)   The benefits then accrued by or payable to the Employee under the   Company’s 2010 Supplemental Executive Retirement Plan and Savings Parity Plan or any   successor to any such plans, and the benefits then accrued by or payable to the Employee under   any other nonqualified plan providing supplemental retirement or deferred compensation benefits  shall become fully vested as of the date of termination notwithstanding any eligibility conditions  that would otherwise apply with respect to such benefits and the benefit, as so vested, will be   paid in accordance with the terms of the applicable plan or program.                (vi)  The Company shall reimburse the Employee for expenses incurred for   outplacement services suitable to the Employee’s position for a period of twelve (12) months   following the Employees termination of employment (or, if earlier, until the first acceptance by   the Employee of an offer of employment) in an amount not exceeding $50,000.                (vii) Change in Control Definitions.                      (1)   “Beneficial Owner” shall have the meaning set forth in Rule 13d-3   under the Exchange Act.                      (2)   “Change in Control” shall be deemed to have occurred if the event   set forth in any one of the following paragraphs shall have occurred:                           (A)   any Person is or becomes the Beneficial Owner, directly or   indirectly, of securities of the Company (not including in the securities beneficially owned by   such Person any securities acquired directly from the Company or its affiliates) representing 40%   or more of the combined voting power of the Company’s then outstanding securities, excluding   any Person who becomes such a Beneficial Owner in connection with a transaction described in   clause (a) of paragraph (C) below;                            (B)   within any twelve month period, the following individuals   cease for any reason to constitute a majority of the number of directors then serving: individuals   who, at the beginning of the twelve month period, constitute the Board and any new director   (other than a director whose initial assumption of office is in connection with an actual or   threatened election contest, including but not limited to a consent solicitation, relating to the   election of directors of the Company) whose appointment or election by the Board or nomination                                          10    

 

     for election by the Company’s shareholders was approved or recommended by a vote of at least   two-thirds of the directors then still in office who either were directors at the beginning of the   twelve month period or whose appointment, election or nomination for election was previously   so approved or recommended (for these purposes, (x) a threatened election contest will be   deemed to have occurred only if any person or entity publicly announces a bona fide intention to   engage in an election contest, including but not limited to a consent solicitation, relating to the   election of directors of the Company, and (y) a withhold vote campaign with respect to any   director will not by itself constitute an actual or threatened election contest);                            (C)   there is consummated a merger or consolidation of the   Company or any direct or indirect subsidiary of the Company with any other corporation, other   than (a) a merger or consolidation which results in the directors of the Company immediately   prior to such merger or consolidation continuing to constitute at least a majority of the Board, the  surviving entity or any parent thereof or (b) a merger or consolidation effected to implement a  recapitalization of the Company (or similar transaction) in which no Person is or becomes the  Beneficial Owner, directly or indirectly, of securities of the Company (not including in the  securities Beneficially Owned by such Person any securities acquired directly from the Company  or its affiliates) representing 40% or more of the combined voting power of the Company’s then   outstanding securities; or                            (D)   the shareholders of the Company approve a plan of   complete liquidation or dissolution of the Company or there is consummated an agreement for  the sale or disposition by the Company of more than 50% of the Company’s assets, other than a  sale or disposition by the Company of more than 50% of the Company’s assets to an entity, at  least 50% of the combined voting power of the voting securities of which are owned by  shareholders of the Company in substantially the same proportions as their ownership of the  Company immediately prior to such sale.               Notwithstanding the foregoing, a “Change in Control” shall not be deemed to  have occurred by virtue of the consummation of any transaction or series of integrated  transactions immediately following which the record holders of the common stock of the  Company immediately prior to such transaction or series of transactions continue to have  substantially the same proportionate ownership in an entity which owns all or substantially all of  the assets of the Company immediately following such transaction or series of transactions.               If a payment owed to the Employee under this Agreement is considered deferred   compensation subject to the provisions of Section 409A of the Code, and if a payment owed to   the Employee under this Agreement would be accelerated or otherwise triggered upon a “change   in control,” then the foregoing definition is modified, to the extent necessary to avoid the   imposition of an excise tax on the Employee under Section 409A of the Code, to mean a “change   in control event” as such term is defined for purposes of Section 409A of the Code.                 For purposes of this Agreement, the Employee’s employment shall be deemed to   have been terminated following a Change in Control by the Company without Cause or by the   Executive with Good Reason, if (x) the Employee employment is terminated by the Company   without Cause prior to a Change in Control (whether or not a Change in Control ever occurs) and   such termination was at the request or direction of a Person who has indicated an intention or                                          11    

 

     taken steps reasonably calculated to effect a Change in Control, or (y) the Employee terminates   his employment for Good Reason prior to a Change in Control (whether or not a Change in   Control ever occurs) and the circumstance or event which constitutes Good Reason occurs at the   request or direction of such Person.                      (3)   “Exchange Act” shall mean the Securities Exchange Act of 1934,   as amended from time to time.                Payments and benefits provided in this Section 8(g) shall be in lieu of any   termination or severance payments or benefits for which the Employee may be eligible under any   of the plans, policies or programs of the Company or under the Worker Adjustment Retraining  Notification Act of 1988 or any similar state statute or regulation.         (h)   INTERNAL REVENUE CODE SECTION 280G.  Notwithstanding any other   provisions of this Agreement, in the event that any payment or benefit received or to be received   by the Employee in connection with a Change in Control or the termination of the Employee’s   employment (whether pursuant to the terms of this Agreement or any other plan, arrangement or   agreement with the Company, any Person whose actions result in a Change in Control or any   Person affiliated with the Company or such Person) (all such payments and benefits being   hereinafter called “Total Payments”) would be subject (in whole or part), to any excise tax   imposed under Code Section 4999 (the “Excise Tax”), the Total Payments shall be reduced to the   extent necessary so that no portion of the Total Payments is subject to the Excise Tax but only if   (y) the net amount of such Total Payments, as so reduced (and after subtracting the net amount of   federal, state and local income taxes on such reduced Total Payments) is greater than or equal to   (z) the net amount of such Total Payments without such reduction (but after subtracting the net   amount of federal, state and local income taxes on such Total Payments and the amount of   Excise Tax to which the Employee would be subject in respect of such unreduced Total   Payments).                (i)   The reduction of Total Payments under this Section 8(h), if applicable,   shall be made by first reducing any Total Payments due under Section 8(g)(ii) hereof, and then   any Total Payments due under Section 8(g)(iv) hereof, and then any Total Payments due under   Section 8(g)(vi) hereof, and then any other Total Payments due in the following order:    (1) reduction of cash Total Payments, (2) cancellation of accelerated vesting of performance-  based equity awards (based on the reverse order of the date of grant), (3) cancellation of   accelerated vesting of other equity awards (based on the reverse order of the date of grant) and   (4) reduction of any other Total Payments due to the Employee (with benefits or payments in any   group having different payment terms being reduced on a pro-rata basis).                (ii)  For purposes of determining whether and the extent to which the Total   Payments will be subject to the Excise Tax, (1) no portion of the Total Payments the receipt or   enjoyment of which the Employee shall have waived at such time and in such manner as not to   constitute a “payment” within the meaning of Code Section 280G(b) shall be taken into account,   (2) no portion of the Total Payments shall be taken into account which, in the opinion of tax   counsel (“Tax Counsel”) reasonably acceptable to the Employee and selected by the accounting   firm (the “Auditor”) which was, immediately prior to the Change in Control, the Company’s   independent auditor (A) does not constitute a “parachute payment” within the meaning of Code                                          12    

 

     Section 280G(b)(2) (including by reason of Code Section 280G(b)(4)(A)) or (B) constitutes   reasonable compensation for services actually rendered, within the meaning of Code Section   280G(b)(4)(B), in excess of the “base amount” within the meaning of Code Section 280G(b)(3)   allocable to such reasonable compensation, and (iii) the value of any non-cash benefit or any  deferred payment or benefit included in the Total Payments shall be determined by the Auditor  in accordance with the principles of Code Sections 280G(d)(3) and (4).               (iii) At the time that payments are made under this Agreement, the Company  shall provide the Employee with a written statement setting forth the manner in which such  payments were calculated and the basis for such calculations including, without limitation, any  opinions or other advice the Company has received from Tax Counsel, the Auditor or other  advisors or consultants (and any such opinions or advice which are in writing shall be attached to  the statement).         (i)   LONG-TERM INCENTIVE AWARDS.  Except as otherwise set forth in this  Agreement, the provisions of the applicable Company long-term and equity (or equity-based)  award agreements and plans will govern the treatment of all other equity (or equity-based)  awards held by the Employee.         (j)   OTHER OBLIGATIONS.  Upon any termination of the Employee’s  employment with the Company, the Employee shall promptly resign, effective as of the date of  the Employee’s termination, from any position as an officer, director or fiduciary of the  Company and of any Company-related entity.  Any and all amounts payable and benefits or  additional rights provided pursuant to Section 8 beyond the Accrued Benefits shall only be  payable if the Employee satisfies the Employee’s obligations under this Section 8(j).         (k)   EXCLUSIVE REMEDY.  The amounts payable to the Employee following  termination of employment hereunder pursuant to Sections 7 and 8 hereof shall be in full and  complete satisfaction of the Employee’s rights under this Agreement and all other claims that the  Employee may have in respect of the Employee’s employment with the Company or any of its  affiliates, and the Employee acknowledges that such amounts are fair and reasonable, and are the  Employee’s sole and exclusive remedy, in lieu of all other remedies at law or in equity, with  respect to the termination of the Employee’s employment hereunder or any breach of this  Agreement.   9.    RELEASE; NO MITIGATION.  Any and all amounts payable and benefits or  additional rights provided pursuant to this Agreement beyond the Accrued Benefits shall only be  payable if the Employee delivers to the Company and does not revoke a general release of claims   in favor of the Company substantially in the form of Exhibit A hereto.  Such release shall be   executed and delivered (and no longer subject to revocation, if applicable) within sixty (60) days   following termination.  In no event shall the Employee be obligated to seek other employment or   take any other action by way of mitigation of the amounts payable to the Employee under any of   the provisions of this Agreement, nor shall the amount of any payment hereunder be reduced by   any compensation earned by the Employee as a result of employment by a subsequent employer,   except as provided in Sections 8(e)(iii) and 8(g)(iii) hereof.                                           13    

 

     10.   RESTRICTIVE COVENANTS.          (a)   CONFIDENTIALITY.  During the course of the Employee’s employment with   the Company, the Employee will learn confidential information on behalf of the Company.  The   Employee agrees that the Employee shall not, directly or indirectly, use, make available, sell,  disclose or otherwise communicate to any person, other than in the course of the Employee’s  assigned duties and for the benefit of the Company, either during the period of the Employee’s  employment or at any time thereafter, any business and technical information or trade secrets,   nonpublic, proprietary or confidential information, knowledge or data relating to the Company,   any of its subsidiaries, affiliated companies or businesses, or received from third parties subject   to a duty on the Company’s and its subsidiaries’ and affiliates’ part to maintain the   confidentiality of such information and to use it only for certain limited purposes, in each case   which shall have been obtained by the Employee during the Employee’s employment by the   Company (or any predecessor).  The foregoing shall not apply to information that (i) was known   to the public prior to its disclosure to the Employee, (ii) becomes generally known to the public   subsequent to disclosure to the Employee through no wrongful act of the Employee or any   representative of the Employee, or (iii) the Employee is required to disclose by applicable law,   regulation or legal process (provided that the Employee provides the Company with prior notice   of the contemplated disclosure and cooperates with the Company at its expense in seeking a  protective order or other appropriate protection of such information).         The U.S. Defend Trade Secrets Act of 2016 (“DTSA”) provides that an individual shall   not be held criminally or civilly liable under any federal or state trade secret law for the   disclosure of a trade secret that (A) is made in confidence to a federal, state or local government   official, either directly or indirectly, or to an attorney, and solely for the purpose of reporting or   investigating a suspected violation of law; or (B) is made in a complaint or other document filed   in a lawsuit or other proceeding, if such filing is made under seal.  In addition, the DTSA   provides that an individual who files a lawsuit for retaliation by an employer for reporting a  suspected violation of law may disclose the trade secret to the attorney of the individual and use   the trade secret information in the court proceeding, if the individual files any document   containing the trade secret under seal and does not disclose the trade secret, except pursuant to   court order.          (b)   INTELLECTUAL PROPERTY RIGHTS.  The results and proceeds of the   Employee’s employment with the Company, including, without limitation, any works of   authorship resulting from the Employee’s services to the Company at any time  and any works in   progress, shall be works-made-for hire, and the Company shall be deemed the sole owner  throughout the universe of any and all rights of whatsoever nature therein, whether or not now or  hereafter known, existing, contemplated, recognized or developed, with the right to use the same  in perpetuity in any manner the Company determines in its sole discretion without any further  payment to the Employee whatsoever.  If, for any reason, any of such results and proceeds will  not legally be a work-for-hire and/or there are any rights which do not accrue to the Company  under the preceding sentence, then the Employee hereby irrevocably assigns and agrees to assign  any and all of the Employee’s rights, titles and interests thereto, including, without limitation,  any and all copyrights, patents, trade secrets, trademarks and/or other rights of whatsoever nature  therein, whether or not now or hereafter known, existing, contemplated, recognized or  developed, to the Company, and the Company shall have the right to use the same in perpetuity                                          14    

 

     throughout the universe in any manner the Company determines without any further payment to   the Employee whatsoever.  The Employee shall, from time to time, as may be requested by the   Company, do any and all things which the Company may deem useful or desirable to establish or   document the Company’s exclusive ownership of any and all rights in any such results and   proceeds, including, without limitation, the execution of appropriate copyright and/or patent   applications or assignments.  To the extent the Employee has any rights in the results and   proceeds of the Employee’s services that cannot be assigned in the manner described above, the   Employee unconditionally and irrevocably waives the enforcement of such rights.  This Section   10(b) is subject to and will not be deemed to limit, restrict or constitute any waiver by the   Company of any rights of ownership to which the Company may be entitled by operation of law   by virtue of the Company being the Employee’s employer.  Upon the Company’s request, the   Employee shall enter into such other confidentiality or proprietary information and invention  assignment agreement as the Company may determine appropriate.         (c)   NON-COMPETITION.  The Employee acknowledges that the Employee  performs services of a unique nature for the Company that are irreplaceable, and that the   Employee’s performance of such services to a competing business will result in irreparable harm  to the Company.  Accordingly, during the Employee’s employment hereunder and for a period of  eighteen (18) months thereafter, the Employee agrees that the Employee will not, directly or  indirectly, own, manage, operate, control, be employed by (whether as an employee, consultant,  independent contractor or otherwise, and whether or not for compensation) or render services to  any person, firm, corporation or other entity, in whatever form, engaged in competition with the  Company or any of its affiliates or in any other material Business in which the Company or any  of its affiliates is engaged on the date of termination or in which they have planned, on or prior to  such date, to be engaged in on or after such date, in any locale of any country in which the  Company conducts business.  For purposes of this Agreement, “Business” means the creation,  development, manufacture, sale, promotion and distribution of vehicle electronics, transportation  components, integrated systems and modules, electronic technology and other products and  services that the Company engages in, or is preparing to become engaged in.  Notwithstanding  the foregoing, nothing herein shall prohibit the Employee from being a passive owner of not  more than one percent of the equity securities of a publicly traded corporation engaged in a  business that is in competition with the Company or any of its affiliates, so long as the Employee  has no active participation in the business of such corporation.  In addition, the provisions of this  Section 10(c) shall not be violated by the Employee commencing employment with a subsidiary,  division or unit of any entity that engages in a business in competition with the Company or any  of its subsidiaries or affiliates so long as the Employee and such subsidiary, division or unit do  not engage in a business in competition with the Company or any of its subsidiaries or affiliates.          (d)   NON-SOLICITATION; NON-INTERFERENCE.  During the Employee’s   employment with the Company and for a period of eighteen (18) months thereafter, the   Employee agrees that the Employee shall not, except in the furtherance of the Employee’s duties   hereunder, directly or indirectly, individually or on behalf of any other person, firm, corporation   or other entity, (i) solicit, aid or induce any customer of the Company or any of its affiliates to   purchase goods or services then sold by the Company or any of its affiliates from another person,  firm, corporation or other entity or assist or aid any other persons or entity in identifying or  soliciting any such customer, (ii) solicit, aid or induce any employee, representative or agent of  the Company or any of its affiliates to leave such employment or retention or to accept                                          15    

 

     employment with or render services to or with any other person, firm, corporation or other entity   unaffiliated with the Company, or hire or retain any such employee, representative or agent, or   take any action to materially assist or aid any other person, firm, corporation or other entity in   identifying, hiring or soliciting any such employee, representative or agent, or (iii) interfere, or   aid or induce any other person or entity in interfering, with the relationship between the   Company or any of its affiliates and any of their respective vendors, joint venturers or licensors.    An employee, representative or agent shall be deemed covered by this Section 10(d) while so   employed or retained and for a period of six (6) months thereafter.  Notwithstanding the   foregoing, the provisions of this Section 10(d) shall not be violated by (A) general advertising or   solicitation not specifically targeted at Company-related persons or entities, (B) the Employee   serving as a reference, upon request, for any employee of the Company or any of its subsidiaries   or affiliates, or (C) actions taken by any person or entity with which the Employee is associated   if the Employee is not personally involved in any manner in the matter and has not identified   such Company-related person or entity for soliciting or hiring.          (e)   NON-DISPARAGEMENT.  The Employee agrees that he will not at any time   make, publish or communicate to any person or entity or in any public forum any defamatory or   disparaging remarks, comments or statements concerning the Company or its businesses, or any   of its employees, officers, members of its Board, and existing and prospective customers,   suppliers, investors and other associated third parties.  The Company agrees that the Company   will not at any time through any public statement make, publish or communicate to any person or   entity or in any public forum any defamatory or disparaging remarks, comments or statements  concerning the Employee or his businesses.  The obligation set forth in this Subsection (e) does  not, in any way, restrict or impede the Employee or the Company (including its members of the  Board and executive officers) from exercising protected rights to the extent that such rights  cannot be waived by agreement or from complying with any applicable law or regulation or a  valid order of a court of competent jurisdiction or an authorized government agency, provided  that such compliance does not exceed that required by the law, regulation or order.  The  Employee shall promptly provide written notice of any such order, applicable to him, to the  Board and to the Company’s General Counsel.                 Notwithstanding anything to the contrary in this Agreement, nothing in this  Agreement shall prevent the Employee from providing, without prior notice to the Company,  information to governmental authorities regarding possible legal violations or otherwise  testifying or participating in any investigation or proceeding by any governmental authorities  regarding possible legal violations.  The Employee understands and agrees that the Employee is   waiving the right to any monetary recovery in connection with any complaint or charge that the   Employee may file with an administrative agency pursuant to the immediately preceding   sentence, except with respect to any monetary recovery under the Dodd-Frank Wall Street   Reform and Consumer Protection Act and the Sarbanes-Oxley Act of 2002.          (f)   COOPERATION.  The parties agree that certain matters in which the Employee   will be involved during the Term may necessitate the Employee’s cooperation in the future.    Accordingly, following the termination of the Employee’s employment for any reason, to the   extent reasonably requested by the Board, the Employee shall cooperate with the Company in   connection with matters arising out of the Employee’s service to the Company; provided that, the   Company shall make reasonable efforts to minimize disruption of the Employee’s other                                          16    

 

     activities.  The Company shall reimburse the Employee for reasonable expenses incurred in   connection with such cooperation and, to the extent that the Employee is required to spend   substantial time on such matters, the Company shall compensate the Employee at an hourly rate   based on the Employee’s highest level of Base Salary during the Term.          (g)   RETURN OF COMPANY PROPERTY.  On the date of the Employee’s   termination of employment with the Company for any reason (or at any time prior thereto at the  Company’s request), the Employee shall return all property belonging to the Company or its  affiliates (including, but not limited to, any Company-provided laptops, computers, cell phones,  wireless electronic mail devices or other equipment, or documents and property belonging to the  Company).  The Employee may retain the Employee’s rolodex and similar address books;  provided, however that such items only include only contact information and/or personal  information not belonging to the Company.         (h)   REASONABLENESS OF COVENANTS.  In signing this Agreement, the  Employee gives the Company assurance that the Employee has carefully read and considered all  of the terms and conditions of this Agreement, including the restraints imposed under this  Section 10.  The Employee agrees that these restraints are necessary for the reasonable and  proper protection of the Company and its affiliates and their trade secrets and confidential  information and that each and every one of the restraints is reasonable in respect of subject  matter, length of time and geographic area, and that these restraints, individually or in the  aggregate, will not prevent the Employee from obtaining other suitable employment during the  period in which the Employee is bound by the restraints.  The Employee further agrees that that  the Company would suffer irreparable harm if the Employee fails to comply with the restraints  imposed under this Section 10, and that the Company would be entitled to any appropriate relief,  including monetary damages, equitable relief and attorneys’ fees.  The Employee acknowledges  that each of these covenants has a unique, very substantial and immeasurable value to the  Company and its affiliates and that the Employee has sufficient assets and skills to provide a  livelihood while such covenants remain in force.  The Employee further covenants that the  Employee will not challenge the reasonableness or enforceability of any of the covenants set  forth in this Section 10.  It is also agreed that each of the Company’s affiliates will have the right  to enforce all of the Employee’s obligations to that affiliate under this Agreement, including  without limitation pursuant to this Section 10.         (i)   REFORMATION.  If it is determined by a court of competent jurisdiction in any  state that any restriction in this Section 10 is excessive in duration or scope or is unreasonable or  unenforceable under applicable law, it is the intention of the parties that such restriction may be  modified or amended by the court to render it enforceable to the maximum extent permitted by   the laws of that state.          (j)   TOLLING.  In the event of any violation of the provisions of this Section 10, the   Employee acknowledges and agrees that the post-termination restrictions contained in this   Section 10 shall be extended by a period of time equal to the period of such violation, it being the   intention of the parties hereto that the running of the applicable post-termination restriction   period shall be tolled during any period of such violation.                                           17    

 

         (k)   SURVIVAL OF PROVISIONS.  The obligations contained in Section 8 (and  provisions of Section 7 related thereto), Section 9, this Section 10, Section 11, Section 13,  Section 20 and Section 21 shall survive the termination of Employee’s employment with the  Company and, respecting Sections 9, 10, 11, 13, 20 and 21 only, the expiration of the Term, and  shall be fully enforceable thereafter.   11.   EQUITABLE RELIEF AND OTHER REMEDIES.  The Employee acknowledges and  agrees that the Company’s remedies at law for a breach or threatened breach of any of the  provisions of Section 10 hereof would be inadequate and, in recognition of this fact, the  Employee agrees that, in the event of such a breach or threatened breach, in addition to any  remedies at law, the Company shall be entitled to obtain equitable relief in the form of specific  performance, a temporary restraining order, a temporary or permanent injunction or any other  equitable remedy which may then be available, without the necessity of showing actual monetary  damages or the posting of a bond or other security.   12.   STOCK OWNERSHIP GUIDELINES.  The Employee acknowledges and agrees that  he will be subject to the Company’s stock ownership guidelines for the Chief Executive Officer  of the Company, as those guidelines may be amended from time to time.   13.   CLAWBACK.  Notwithstanding anything herein to the contrary, the Employee may be  required to forfeit or repay any or all compensation received by the Employee under this  Agreement pursuant to the terms of any compensation recovery or clawback policy that has been  or may be adopted by or applicable to the Company, including without limitation any clawback  or recovery policy implemented under the Dodd-Frank Wall Street Reform and Consumer  Protection Act.   14.   NO ASSIGNMENTS.  This Agreement is personal to each of the parties hereto.  Except  as provided in this Section 14 hereof, no party may assign or delegate any rights or obligations  hereunder without first obtaining the written consent of the other party hereto.  The Company  may assign this Agreement to any successor to all or substantially all of the business and/or  assets of the Company, provided that the Company shall require such successor to expressly  assume and agree to perform this Agreement in the same manner and to the same extent that the  Company would be required to perform it if no such succession had taken place.  As used in this  Agreement, “Company” shall mean the Company and any successor to its business and/or assets,  which assumes and agrees to perform the duties and obligations of the Company under this  Agreement by operation of law or otherwise.   15.   NOTICE.  For purposes of this Agreement, notices and all other communications  provided for in this Agreement shall be in writing and shall be deemed to have been duly given  (a) on the date of delivery, if delivered by hand, (b) on the date of transmission, if delivered by  confirmed facsimile or electronic mail, (c) on the first business day following the date of deposit,  if delivered by guaranteed overnight delivery service, or (d) on the fourth business day following  the date delivered or mailed by United States registered or certified mail, return receipt  requested, postage prepaid, addressed as follows:         If to the Employee, at the address (or to the facsimile number) shown in the books and  records of the Company;                                         18   

 

           If to the Company, Visteon Corporation, One Village Center Drive, Van Buren   Township, Michigan 48111 Attention: General Counsel;    or to such other address as either party may have furnished to the other in writing in accordance   herewith, except that notices of change of address shall be effective only upon receipt.    16.   SECTION HEADINGS; INCONSISTENCY.  The section headings used in this   Agreement are included solely for convenience and shall not affect, or be used in connection   with, the interpretation of this Agreement.  In the event of any inconsistency between the terms  of this Agreement and any form, award, plan or policy of the Company, the terms of this  Agreement shall govern and control.   17.   SEVERABILITY.  The provisions of this Agreement shall be deemed severable and the  invalidity or unenforceability of any provision shall not affect the validity or enforceability of the  other provisions hereof.   18.   COUNTERPARTS.  This Agreement may be executed in several counterparts, each of  which shall be deemed to be an original but all of which together will constitute one and the  same instrument.   19.   ARBITRATION.  Any dispute or controversy arising under or in connection with this  Agreement or the Employee’s employment with the Company, other than injunctive relief under   Section 11 hereof, shall be settled exclusively by arbitration, conducted before three neutral   arbitrators in accordance with the National Rules for the Resolution of Employment Disputes of   the American Arbitration Association  (“AAA”) then in effect and pursuant to the Federal   Arbitration Act.  The decision of the arbitrators will be final and binding upon the parties hereto,   except the parties hereby adopt and agree to implement the AAA Optional Appellate Arbitration   Rules (“Appellate Rules”) with respect to any arbitration award.  Any final decision of the   arbitrators or any arbitration panel under the Appellate Rules or other applicable AAA appeal   procedure may be reviewed, modified, confirmed, or vacated by any federal court having   jurisdiction in accordance with applicable law.  The parties acknowledge and agree that in   connection with any such arbitration and regardless of outcome, (a) each party shall pay all of its   own costs and expenses, including, without limitation, its own legal fees and expenses, and   (b) the arbitration costs shall be borne entirely by the Company.      20.   INDEMNIFICATION.  The Company hereby agrees to indemnify the Employee and   hold the Employee harmless to the maximum extent provided under the charter and by-laws of  the Company and applicable law against and in respect of any and all actions, suits, proceedings,   claims, demands, judgments, costs, expenses (including reasonable attorney’s fees), losses, and   damages resulting from the Employee’s good faith performance of the Employee’s duties and   obligations with the Company (including good faith acts and good faith omissions to act).  This   obligation shall survive the expiration of the Term and any termination of the Employee’s   employment with the Company.    21.   LIABILITY INSURANCE.  The Company shall cover the Employee under directors’   and officers’ liability insurance both during and, while potential liability exists, after the   termination of the Employee’s employment in the same amount and to the same extent as the                                          19    

 

     greater (if differing) of the Company’s coverage of its other officers and directors.  This   obligation shall survive the expiration of the Term and any termination of the Employee’s   employment with the Company.    22.   GOVERNING LAW.  This Agreement, the rights and obligations of the parties hereto,   and all claims or disputes relating thereto, shall be governed by and construed in accordance with  the laws of the State of Delaware, without regard to the choice of law provisions thereof.    23.   MISCELLANEOUS.  No provision of this Agreement may be modified, waived or   discharged unless such waiver, modification or discharge is agreed to in writing and signed by   the Employee and such officer or director as may be designated by the Board.  No waiver by   either party hereto at any time of any breach by the other party hereto of, or compliance with,   any condition or provision of this Agreement to be performed by such other party shall be   deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or   subsequent time.  Except as otherwise expressly referenced herein, this Agreement together with   all exhibits hereto (if any) sets forth the entire agreement of the parties hereto in respect of the   subject matter contained herein and supersedes any and all prior agreements or understandings   between the Employee and the Company with respect to the subject matter hereof.  No   agreements or representations, oral or otherwise, express or implied, with respect to the subject   matter hereof have been made by either party which are not expressly set forth in this   Agreement.    24.   REPRESENTATIONS.  The Employee represents and warrants to the Company that   (a) the Employee has the legal right to enter into this Agreement and to perform all of the   obligations on the Employee’s part to be performed hereunder in accordance with its terms,  (b)  the Employee will not retain any copies of confidential or proprietary information of the   Employee’s prior employer; (c) the Employee will not use or disclose any confidential or   proprietary information of the Employee’s prior employer during the course of the Employee’s   employment with the Company, (d) the Employee will follow any protocols established by the   Company to prevent the inadvertent use or disclosure of confidential or proprietary information  of the Employee’s prior employer and (e) the Employee is not a party to any agreement or  understanding, written or oral, and is not subject to any restriction, which, in either case, could  prevent the Employee from entering into this Agreement or performing all of the Employee’s  duties and obligations hereunder.  The Company represents and warrants to the Employee that  (a) the Company has the legal right to enter into this Agreement and to perform all of the  obligations on the Company’s part to be performed hereunder in accordance with its terms, and   (b) the Company is not a party to any agreement or understanding, written or oral, and is not  subject to any restriction, which, in either case, could prevent the Company from entering into   this Agreement or performing all of the Company’s duties and obligations hereunder.    25.   TAX MATTERS.          (a)   WITHHOLDING.  The Company may withhold from any and all amounts   payable under this Agreement or otherwise such federal, state and local taxes as may be required   to be withheld pursuant to any applicable law or regulation.                                           20    

 

           (b)   SECTION 409A COMPLIANCE.                (i)   The intent of the parties is that payments and benefits under this  Agreement comply with Code Section 409A and the regulations and guidance promulgated  thereunder (collectively “Section 409A”) and, accordingly, to the maximum extent permitted,   this Agreement shall be interpreted to be in compliance therewith.  To the extent that any   provision hereof is modified in order to comply with Section 409A, such modification shall be   made in good faith and shall, to the maximum extent reasonably possible, maintain the original   intent and economic benefit to the Employee and the Company of the applicable provision   without violating the provisions of Section 409A.  In no event whatsoever shall the Company be   liable for any additional tax, interest or penalty that may be imposed on the Employee by Section   409A or for damages for failing to comply with Section 409A.                (ii)  A termination of employment shall not be deemed to have occurred for   purposes of any provision of this Agreement providing for the payment of any amount or benefit   upon or following a termination of employment unless such termination is also a “separation   from service” within the meaning of Section 409A and, for purposes of any such provision of   this Agreement, references to a “termination,” “termination of employment” or like terms shall   mean “separation from service.”  If any payment to the Employee is conditioned upon the   Employee’s providing a release of claims pursuant to Section 9, which payment is considered   “nonqualified deferred compensation” under Section 409A, and which may be paid in either of   two (2) taxable years of the Employee depending on the date such release of claims becomes   irrevocable, such payment shall be made on the later of January 8 of the later such taxable year   or the day after the date such release of claims becomes irrevocable.  Notwithstanding any other   payment schedule provided herein to the contrary (including, without limitation, under Sections   8(e) and 8(g)), if the Employee is deemed on the date of termination to be a “specified   employee” within the meaning of that term under Section 409A(a)(2)(B), then with regard to any   payment or the provision of any benefit that is considered “nonqualified deferred compensation”   under Section 409A payable on account of a “separation from service,” that would, but for this   sentence, be paid or provided before the expiration of the six (6)-month period measured from   the date of the Employee’s “separation from service,” such payment or benefit shall be made on   the date which is the earlier of (A) the expiration of the six (6)-month period measured from the   date of the Employee’s “separation from service,” and (B) the date of the Employee’s death, to   the extent required under Section 409A.  Upon the expiration of the foregoing delay period, all   payments and benefits delayed pursuant to this Section (whether they would have otherwise been   payable in a single sum or in installments in the absence of such delay) shall be paid or   reimbursed to the Employee in a lump sum, and all remaining payments and benefits due under   this Agreement shall be paid or provided in accordance with the normal payment dates specified   for them herein.                (iii) To the extent that reimbursements or other in-kind benefits under this   Agreement constitute “nonqualified deferred compensation” for purposes of Section 409A,   (A) all expenses or other reimbursements hereunder shall be made on or prior to the last day of   the taxable year following the taxable year in which such expenses were incurred by the   Employee, (B) any right to reimbursement or in-kind benefits shall not be subject to liquidation   or exchange for another benefit, and (C) no such reimbursement, expenses eligible for  reimbursement, or in-kind benefits provided in any taxable year shall in any way affect the                                          21    

 

     expenses eligible for reimbursement, or in-kind benefits to be provided, in any other taxable   year.                (iv)  For purposes of Section 409A, the Employee’s right to receive installment   payments pursuant to this Agreement shall be treated as a right to receive a series of separate and   distinct payments.  Whenever a payment under this Agreement specifies a payment period with   reference to a number of days, the actual date of payment within the specified period shall be  within the sole discretion of the Company.               (v)   Notwithstanding any other provision of this Agreement to the contrary, in  no event shall any payment or benefit under this Agreement that constitutes “nonqualified  deferred compensation” for purposes of Section 409A be subject to offset by any other amount  unless otherwise permitted by Section 409A.               [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]                                           22    

 

         IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date  first written above.                                             COMPANY                                                                                                                                    By: /s/Francis Scricco                                                Francis Scricco                                               Chairman of the Board of Directors                                             EMPLOYEE                                                                                                                                    By: /s/Sachin Lawande                                                Sachin Lawande                                                                                           Employment Agreement Signature Page                                               23 

 

                                                                     Exhibit 10.1                                       EXHIBIT A                                 GENERAL RELEASE    I, Sachin Lawande, in consideration of and subject to the performance by Visteon Corporation   (together with its subsidiaries, the “Company”), of its obligations under Section 8 of the   Amended and Restated Employment Agreement, dated as of October 22, 2020 (the   “Agreement”), do hereby release and forever discharge as of the date hereof the Company and its   respective affiliates and subsidiaries and all present, former and future directors, officers, agents,   representatives, employees, successors and assigns of the Company and/or its respective  affiliates and subsidiaries and direct or indirect owners (collectively, the “Released Parties”) to   the extent provided herein (this “General Release”).  Terms used herein but not otherwise   defined shall have the meanings given to them in the Agreement.    1.    I understand that any payments or benefits paid or granted to me under Section 8 of the   Agreement represent, in part, consideration for signing this General Release and are not salary,   wages or benefits to which I was already entitled.  I understand and agree that I will not receive   the payments and benefits specified in Section 8 of the Agreement unless I execute this General   Release and do not revoke this General Release within the time period permitted hereafter or   breach this General Release.  Such payments and benefits will not be considered compensation   for purposes of any employee benefit plan, program, policy or arrangement maintained or   hereafter established by the Company or its affiliates.    2.    Except as provided in paragraph 4 below and except for the provisions of the Agreement   which expressly survive the termination of my employment with the Company, I knowingly and   voluntarily (for myself, my heirs, executors, administrators and assigns) release and forever   discharge the Company and the other Released Parties from any and all claims, suits,   controversies, actions, causes of action, cross-claims, counter-claims, demands, debts,   compensatory damages, liquidated damages, punitive or exemplary damages, other damages,   claims for costs and attorneys’ fees, or liabilities of any nature whatsoever in law and in equity,   both past and present (through the date that this General Release becomes effective and   enforceable) and whether known or unknown, suspected, or claimed against the Company and/or   any of the Released Parties which I, my spouse, or any of my heirs, executors, administrators or   assigns, ever had, now have, or hereafter may have, by reason of any matter, cause, or thing   whatsoever, from the beginning of my initial dealings with the Company to the date of this   General Release, and particularly, but without limitation of the foregoing general terms, any   claims arising from or relating in any way to my employment relationship with Company, the  terms and conditions of that employment relationship, and the termination of that employment  relationship (including, but not limited to, any allegation, claim or violation, arising under: Title  VII of the Civil Rights Act of 1964, as amended; the Civil Rights Act of 1991; the Age  Discrimination in Employment Act of 1967, as amended (including the Older Workers Benefit  Protection Act); the Equal Pay Act of 1963, as amended; the Americans with Disabilities Act of  1990; the Family and Medical Leave Act of 1993; the Worker Adjustment Retraining and   Notification Act; the Employee Retirement Income Security Act of 1974; any applicable  Executive Order Programs; the Fair Labor Standards Act; or their state or local counterparts; or  under any other federal, state or local civil or human rights law, or under any other local, state, or  federal law, regulation or ordinance; or under any public policy, contract or tort, or under                                            

 

   common law; or arising under any policies, practices or procedures of the Company; or any  claim for wrongful discharge, breach of contract, infliction of emotional distress, defamation; or  any claim for costs, fees, or other expenses, including attorneys’ fees incurred in these matters)  (all of the foregoing collectively referred to herein as the “Claims”).   3.    I represent that I have made no assignment or transfer of any right, claim, demand, cause  of action, or other matter covered by paragraph 2 above.   4.    I agree that this General Release does not waive or release any rights or claims that I may  have under the Age Discrimination in Employment Act of 1967 which arise after the date I  execute this General Release.  I acknowledge and agree that my separation from employment  with the Company in compliance with the terms of the Agreement shall not serve as the basis for  any claim or action (including, without limitation, any claim under the Age Discrimination in  Employment Act of 1967).   5.    I agree that I hereby waive all rights to sue or obtain equitable, remedial or punitive relief  from any or all Released Parties of any kind whatsoever, including, without limitation,  reinstatement, back pay, front pay, and any form of injunctive relief.  Notwithstanding the  foregoing, I acknowledge that I am not waiving and am not being required to waive any right  that cannot be waived under law, including the right to file an administrative charge or  participate in an administrative investigation or proceeding; provided, however, that I disclaim  and waive any right to share or participate in any monetary award (other than any monetary  award under the Dodd-Frank Wall Street Reform and Consumer Protection Act and the  Sarbanes-Oxley Act of 2002) resulting from the prosecution of such charge or investigation or  proceeding.   6.    In signing this General Release, I acknowledge and intend that it shall be effective as a  bar to each and every one of the Claims hereinabove mentioned or implied.  I expressly consent  that this General Release shall be given full force and effect according to each and all of its  express terms and provisions, including those relating to unknown and unsuspected Claims  (notwithstanding any state or local statute that expressly limits the effectiveness of a general  release of unknown, unsuspected and unanticipated Claims), if any, as well as those relating to  any other Claims hereinabove mentioned or implied.  I acknowledge and agree that this waiver is  an essential and material term of this General Release and that without such waiver the Company  would not have agreed to the terms of the Agreement.  I further agree that in the event that I  should bring a Claim seeking damages against the Company, or in the event that I should seek to  recover against the Company in any Claim brought by a governmental agency on my behalf, this  General Release shall serve as a complete defense to such Claims to the maximum extent  permitted by law.  I further agree that I am not aware of any pending claim, or of any facts that  could give rise to a claim, of the type described in paragraph 2 as of the execution of this General  Release.   7.    I agree that neither this General Release, nor the furnishing of the consideration for this  General Release, shall be deemed or construed at any time to be an admission by the Company,  any Released Party or myself of any improper or unlawful conduct.                                          2 

 

     8.    I agree that I will forfeit all amounts payable by the Company pursuant to the Agreement   if I challenge the validity of this General Release.  I also agree that if I violate this General   Release by suing the Company or the other Released Parties, I will pay all costs and expenses of   defending against the suit incurred by the Released Parties, including reasonable attorneys’ fees,   and return all payments received by me pursuant to the Agreement on or after the termination of   my employment.    9.    I agree that this General Release and the Agreement are confidential and agree not to   disclose any information regarding the terms of this General Release or the Agreement, except to   my immediate family and any tax, legal or other counsel that I have consulted regarding the   meaning or effect hereof or as required by law, and I will instruct each of the foregoing not to   disclose the same to anyone.  The Company agrees to disclose any such information only to any   tax, legal or other counsel of the Company as required by law.    10.   Any non-disclosure provision in this General Release does not prohibit or restrict me (or   my attorney) from responding to any inquiry about this General Release or its underlying facts   and circumstances by the Securities and Exchange Commission, the Financial Industry   Regulatory Authority, or any other self-regulatory organization or governmental entity.    11.   I hereby acknowledge that Sections 8, 10, 11, 13 through 15, 17, 19 through 22 and 25 of   the Agreement shall survive my execution of this General Release.    12.   I represent that I am not aware of any Claim by me, and I acknowledge that I may   hereafter discover Claims or facts in addition to or different than those which I now know or   believe to exist with respect to the subject matter of the release set forth in paragraph 2 above   and which, if known or suspected at the time of entering into this General Release, may have   materially affected this General Release and my decision to enter into it.    13.   Notwithstanding anything in this General Release to the contrary, this General Release   shall not relinquish, diminish, or in any way affect any right or claim arising out of any breach by   the Company or by any Released Party of the Agreement after the date hereof.    14.   Whenever possible, each provision of this General Release shall be interpreted in such   manner as to be effective and valid under applicable law, but if any provision of this General   Release is held to be invalid, illegal or unenforceable in any respect under any applicable law or   rule in any jurisdiction, such invalidity, illegality or unenforceability shall not affect any other   provision or any other jurisdiction, but this General Release shall be reformed, construed and   enforced in such jurisdiction as if such invalid, illegal or unenforceable provision had never been  contained herein.         BY SIGNING THIS GENERAL RELEASE, I REPRESENT AND AGREE THAT:   1.    I HAVE READ IT CAREFULLY;   2.    I UNDERSTAND ALL OF ITS TERMS AND KNOW THAT I AM GIVING UP  IMPORTANT RIGHTS, INCLUDING BUT NOT LIMITED TO, RIGHTS UNDER THE AGE  DISCRIMINATION IN EMPLOYMENT ACT OF 1967, AS AMENDED, TITLE VII OF THE  CIVIL RIGHTS ACT OF 1964, AS AMENDED, THE EQUAL PAY ACT OF 1963, THE                                          3 

 

   AMERICANS WITH DISABILITIES ACT OF 1990, AND THE EMPLOYEE RETIREMENT  INCOME SECURITY ACT OF 1974, AS AMENDED;   3.    I VOLUNTARILY CONSENT TO EVERYTHING IN IT;   4.    I HAVE BEEN ADVISED TO CONSULT WITH AN ATTORNEY BEFORE  EXECUTING IT AND I HAVE DONE SO OR, AFTER CAREFUL READING AND  CONSIDERATION, I HAVE CHOSEN NOT TO DO SO OF MY OWN VOLITION;   5.    I HAVE HAD AT LEAST [21][45] DAYS FROM THE DATE OF MY RECEIPT OF  THIS RELEASE TO CONSIDER IT AND THE CHANGES MADE SINCE MY RECEIPT OF  THIS RELEASE ARE NOT MATERIAL OR WERE MADE AT MY REQUEST AND WILL  NOT RESTART THE REQUIRED [21][45] -DAY PERIOD;   6.    I UNDERSTAND THAT I HAVE SEVEN DAYS AFTER THE EXECUTION OF THIS  RELEASE TO REVOKE IT AND THAT THIS RELEASE SHALL NOT BECOME  EFFECTIVE OR ENFORCEABLE UNTIL THE REVOCATION PERIOD HAS EXPIRED;   7.    I HAVE SIGNED THIS GENERAL RELEASE KNOWINGLY AND VOLUNTARILY  AND WITH THE ADVICE OF ANY COUNSEL RETAINED TO ADVISE ME WITH  RESPECT TO IT; AND   8.    I AGREE THAT THE PROVISIONS OF THIS GENERAL RELEASE MAY NOT BE  AMENDED, WAIVED, CHANGED OR MODIFIED EXCEPT BY AN INSTRUMENT IN  WRITING SIGNED BY AN AUTHORIZED REPRESENTATIVE OF THE COMPANY AND  BY ME.                                             SIGNED:                                                        Sachin Lawande                                                                                                                                    DATE:                                              4

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