Document:

EXHIBIT 10.2.8

 

***Informal Translation - For Information Purposes Only***

 

 

Paris, 31 August 2005

 

Re: APPENDIX

 

THE UNDERSIGNED,

 

•                  Samsonite: a company with limited liability (société par actions
simplifiée), with a share capital of EUR 720,000, having its
registered office at 27, rue de la Rochefoucauld, 75009 Paris, registered with
the commercial register of Paris under number 652 024 159 RCS Paris,
duly represented by Mr Marc Matton, in his capacity of chairman;

 

•                  Samsonite Europe NV : a Belgian company, with a share capital of EUR
3,665,105.76, having its registered office at Westerring 17, 9700 Oudenaarde
(Belgium), registered with the commercial register of Oudenaarde under number
16.079, represented by Mr Marc Matton, duly authorised by a meeting of the
board of directors dated 18 July 2005;

 

•                  Artois Plasturgie : a company with limited liability, with a share
capital of EUR 37,000, having its registered office at 128, Boulevard
Haussmann, 75008 Paris, registered with the commercial register of Paris under
number 483 173 308 RCS Paris, duly represented by Mr Marc Matton, in his
capacity of chairman;

 

•                  HB Group : a limited liability Luxembourg company,
with a share capital of EUR 31,000, having its registered office at rue de l’industrie,
L-3895 FOETZ, Luxembourg, and registered with the commercial register of
Luxembourg under number B 109972, represented by Mr Marc Matton, in his capacity of director, duly authorised by a meeting of the
board of directors dated 26 August 2005 to represent the company,

 

(hereinafter
referred to as the « Parties »)

 

have
entered into a transfer agreement for the shares in Artois Plasturgie resulting
in the take-over of the Hénin Beaumont industriel site on 29 July 2005
(the « Agreement »).

 

Pursuant
to the Agreement, it is envisaged that the conditions precedent shall be
complied with and that documents shall be exchanged.

 

 

Since
the signing of the Agreement, certain events have occurred which have made it
necessary for the Parties to make certain amendments to the Agreement.

 

Consequently,
the Parties agree to modify and amend the Agreement in accordance with the
following terms and conditions, it being understood that the other terms and
conditions of the Agreement remain unchanged and in full force and effect.

 

THE PARTIES HAVE AGREED AS FOLLOWS:

 

1.              Definitions :

 

1.1.          The following defined terms of the Agreement
are amended:

 

The
definition « Bank Account of the Company» is amended as follows:

 

« the
bank account n°                        
held by the Company with the bank named Banque de l’Economie. »

 

The
definition « Bank Account of the Transferor» is amended as follows:

 

« the
bank account n°                        
held by the Transferor with the bank named Banque de l’Economie. »

 

The
definition « Bank Account of the Vendor» is amended as follows:

 

« the
bank account n°                        
held by the Vendor with the bank named Banque de l’Economie.»

 

The
definition « Bank Garantee» is amended as follows:

 

« The bank guarantee on first
demand issued by the bank named Banque de l’Economie
to the benefit of the Transferor and the Vendor on the Effective Date, a draft
copy of which is attached hereto as Annex 5.2(b)(ii). »

 

The definition « Security
Interests and Guarantees» is amended as follows:

 

« The Stock Pledge Agreement
and the Bank Guarantee. »

 

The
definition of « Escrow Account» is deleted.

 

 

1.2.          Article 5.2 (a) (iv):

 

As
regards the Financial Aid, it is made clear that the aggregate amount of the
latter, after adjustments, amounts to EUR 9,228.994.

 

1.3.          Article 6.1 (vi) is amended as
follows:

 

The
expression « subject to the completion of the transfer of the Shares» is
deleted. Article 6.1 (vi) shall read as follows:

 

•
« Noting the dismissal of Mr Marc Matton in his capacity as chairman of
the Company as of the point in time when the general shareholders’ meeting
approves the partial contribution mentioned in Article 5.1
hereof and appointing as new chairman Mr Jean-Jacques AUREL, born on
12 June 1945 in Paris (14th), France, French nationality, domiciled
at 88 rue Michel Ange, 75016 Paris, France»

 

•
«Deciding to modify the company name of the Company which shall become
« Energy Plast ».

 

1.4.          Article 6.1 (xv) is amended as follows:

 

« (xv)                 an original copy of the affirmative deed of
transfer of Debt; ».

 

1.5.          Article 10.10 paragraph 2 is amended a s
follows:

 

« The
Purchaser is not allowed to transfer the Shares and the business as long as the
Purchaser or the Company is a debtor of any obligation under the Agreement or
any Related Agreement, until the Company and the Purchaser have fulfilled their
obligations under the Agreement and the Related Agreements.».

 

1.6.          Annex 5.2 (a) (iii) is amended as
follows:

 

Annex
5.2 (a) (iii)    « Support
Agreement».

 

1.7.          Paragraph 3 of article 7.3 is amended as
follows:

 

« In
any event, the Company undertakes to settle by means of remittance an amount of
EUR 276,634.35, corresponding to the amount of VAT relating to the invoice
issued by the Vendor on 1 September 2005, and to settle any undisputed
part of the invoice, which the Purchaser guarantees during a maximum period of
24 months from the Effective Date.  Any
breach by the Company of an obligation under this Agreement or any Related
Agreement shall result in the loss of the abovementioned term, up to the amount

 

 

of
the damage suffered by the Joint Creditors (as defined in article 2 of the
Indemnity Agreement). »

 

The
following paragraph is added to article 7.3 as a final paragraph:

 

« The
Site contains Products that are not compatible with the inventory established
between the parties, consisting of finished products located in the showroom
and the room to sell products to employees, having an agreed estimated value of
EUR 18,000 C.O.S; On the date of this letter, the Company acquires such
Products for a price of EUR 10,000 TTC, and undertakes to sell these Products
only to the employees at the Site and their family. The aforementioned amount
of EUR 10,000 will be paid in cash by the Company to Samsonite by means of
remittance at the same time as the VAT is paid as stipulated above. »

 

2.              Expenses and fees

 

Samsonite
undertakes to discharge the total amount of expenses and fees relating to the
incorporation of Artois Plasturgie and the partial contribution of assets
effected on the date hereof for an estimated amount of EUR 2,645 (taxes
excluded), without any recourse against Artois Plasturgie or HB Group.

 

3.              Realisation
of the conditions

 

The
Parties note that the conditions precedent listed in article 5.2 are
satisfied, that the delivery of documents as mentioned in article 6 has
been effected, and consequently that the Agreement, as amended pursuant to this
appendix, is in full force and effect, including the full effect of the
transfers envisaged in the Agreement.

 

4.              Interpretation

 

To
the extent necessary, it is made clear that the expressions
« products » and « sub-assemblies » of paragraph 4 of article 3,
title « subsidy » of the Financial Aid Agreement mean the Products
and Sub-Assemblies as defined in the Product Manufacturing Agreement.

 

Made
in Paris, on 31 August 2005,

In
4 copies

 

 

	
   

  	
   

  	
   

  	
   

  
	
  Samsonite

  	
  Samsonite
  Europe NV

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Artois
  Plasturgie

  	
  HB
  GroupEXHIBIT 10.2.1

 

THE DOE RUN RESOURCES CORPORATION

1801 PARK 270 DRIVE

ST. LOUIS, MISSOURI 63146

 

July 1,
2005

 

Mr. Jeffrey
L. Zelms

The
Doe Run Resources Corporation

1801 Park 270 Drive

St. Louis, Missouri 63146

 

Re:                               Amended
and Restated Net Worth Appreciation Agreement

 

Dear Mr. Zelms:

 

This letter, sets forth the
amended and restated agreement between you and The Doe Run Resources
Corporation, (the “Company”) with respect to
your Net Worth Appreciation Benefit, intended to constitute additional
incentive compensation to you as an employee of the Company.  Upon your execution of this letter, any prior
Net Worth Appreciation Agreement or amendments thereto
between you and DR Acquisition Corp or the Company (including the agreement
dated November 1, 2002) shall terminate and all obligations pursuant to
such agreement as amended shall cease. 
The base date of this Amended and Restated Net Worth
Appreciation Agreement shall be November 1 (the “Base Date”), 2004 (the “Base
Year”).

 

1.     Vesting.  On the Base Date in 2005, provided that you
have been continuously in the employ of the Company from the Base Date in 2002
through such date, you shall receive a Net Worth Appreciation Credit of 3% and
on the Base Date in each of the years 2006 and 2007 you shall receive an
additional Net Worth Appreciation Credit of 1%, provided that you have been
continuously in the employ of the Company from the Base Date in 2002 to the
applicable Base Date, up to a maximum credit, if you remain in the employ of
the Company continuously through the Base Date in 2007, of 5% (the “Maximum
Credit”).  The aggregate number of Net Worth Appreciation Credits received on or prior to a given
date shall be hereinafter referred to as “Vested Credits”.  You shall not receive any credit unless you
have remained in the employ of the Company from the Base Date in 2002
continually until the Base Date in 2005, and thereafter you shall not receive
credit for any partial year, provided that (a) if your employment
terminates due to death or Disability (as defined below) preventing you from
performing your usual employment functions and duties prior to the Base Date in
2005, you shall receive a credit of 2%, and (b) if your employment
terminates after the Base Date in 2005 and before the Base Date in 2007, due to
death or Disability (as defined below), you shall receive a credit of 1% for
the partial year in which the termination takes place (in addition to all
credits previously accrued).  For
purposes of this agreement, “Disability” shall mean a physical or mental
impairment that can be expected to result in death or to last for at least 12
months, and the impairment either: (1) prevents the employee from engaging
in any substantial gainful activity; or (2) entitles the employee to
receive income replacement benefits for at least 3
months under an accident and health plan sponsored by the Company.

 

 

2.     Treatment of Matters in Calculation of
Benefits.

 

(a)   For the purposes of calculating the benefits
payable under this Agreement, the Company will continue to calculate Federal
corporate income taxes and the corporate income taxes for those jurisdictions
in which the Company and its subsidiaries do business, for the fiscal periods
or portions thereof beginning on or after the Base Date in 2004, as if the
Company had commenced operations on the Base Date in 2004 and as if the Company
and its subsidiaries had continued to have C corporation status under the
Federal Internal Revenue Code and under state and local tax laws, in accordance
with the provisions of generally accepted accounting principles and the
Internal Revenue Code and regulations thereunder and under state and local tax
laws applicable to C corporations as from time to time in effect (“C Status”).  Such tax calculations will include
calculations of current and deferred tax expense or benefit and current and
non-current tax assets and liabilities (“C Taxes”) and the differences (“Tax
Differences”) between the C Taxes and the taxes as recorded by the Company
and its subsidiaries while being designated a qualified subchapter
S subsidiary (“S Taxes”).  For
clarity, the tax basis of the Company’s assets and liabilities will be deemed
to be the tax basis as of the Base Date in 2004, except that no net operating
loss carryforward will be deemed to exist as of such date.

 

(b)   Cumulative Income Statement Tax Difference
shall be the cumulative difference in income tax expenses or benefit between
the calculation of the C Taxes and S Taxes, in each case calculated
for the tax periods or portions thereof beginning on or after the Base Date in
2004, and through the end of the calculation period.  Cumulative Cash Flow Tax Difference shall be
the cumulative difference in income tax payments, net of refunds, between the
calculation of the C Taxes and S Taxes in each case made after the
Base Date in 2004 and applicable to earnings of the Company on and after the
Base Date in 2004, or which would be in the case of C Taxes, or are in the
case of S Taxes, immediately due and payable, contemporaneously with the
payment of any Distributions, as defined below. A “Distribution” for purposes
of this Agreement shall mean a dividend, management fee, or any other form of
distribution to The Renco Group, Inc. (“Renco”) or an affiliate of Renco
other than a subsidiary of the Company 
(including a transfer to Renco of assets in any form whether as cash or
other form of value which shall have the effect of reducing the net worth of
the Company), in excess of the Renco Amount (as defined herein), provided that
payments made in respect of any debt to Renco, including, but not limited to,
principal interest and fees thereon, or the preferred stock of the Company,
including, but not limited to, dividends thereon and redemptions thereof, shall
not be a Distribution.  The “Renco Amount”
shall be equal to $2,400,000 per annum, calculated cumulatively from the Base
Date in 2002 so that unused portions shall carry over to succeeding years.

 

(c)   In connection with the annual audit of the
financial statements of the Company, the Company’s Board of Directors will
require that the independent public accountants issue a special report
indicating their agreement with the Tax Differences.

 

3.     Net Worth
Appreciation Benefit.  Upon the
termination of your employment by the Company, other than for cause, you shall
be entitled to a net worth appreciation payment 

 

2

 

(“Payment”) equal to (A) the product
of the Vested Credits and the Net Worth Increment, as defined below, less (B) the
product of the Vested Credits and the Cumulative Income Statement Tax
Difference (the calculation period shall end at the end of the Company’s fiscal
quarter immediately preceding your date of termination) and excluding such
Cumulative Income Statement Tax Difference to the extent equal to Cumulative
Cash Flow Tax Difference utilized in calculating amounts payable under
Paragraph 5(a). The “Net Worth Increment” is the amount, if any, by which
the consolidated net worth of the Company and its subsidiaries, as at the end
of its fiscal quarter immediately preceding the date of your termination,
exceeds its consolidated net worth as of the Base Date in the Base Year,
provided, however, that any increase in consolidated net worth resulting from a
capital contribution to the Company or the sale of stock of the Company shall
be disregarded in calculating Net Worth Increment, and further provided that
preferred stock of the Company and cash payments of dividends and payments in
kind thereon shall be treated as debt of the Company for purposes of calculating
consolidated net worth.  For clarity, it
is understood that the Net Worth Increment will not
include charges for interest on the restructured debt of the Company to the
extent not included as interest expense under GAAP as accounted for under FAS 15,
nor will the Tax Differences include any benefit for such interest on such
restructured debt. The determination of the independent public accountants for
the Company as to the Net Worth Increment, made in
accordance with generally accepted accounting principles, consistently applied,
shall be conclusive on each of us. If there is no Net Worth
Increment, no amount shall be payable. 
If your employment is terminated for cause, you shall not be entitled to
receive any Payment.  Any termination
referred to in this agreement shall mean separation from service from all
members of The Renco Group, Inc. corporate controlled group (within the
meaning of Internal Revenue Code sections 414(b), (c), (m), and (o)).

 

4.     Payment.  The Payment shall be payable to you (or your
designee or estate) in 40 equal quarterly installments, without interest,
commencing three months after the termination of your employment, and at 3
month intervals thereafter. 
Notwithstanding any provision in this Agreement, the Company shall not be
required to pay you (i) any Payment, where the making of such Payment
would violate any agreement between the Company and any lender of the Company,
or (ii) in the event that any agreement between the Company and any lender
of the Company limits the aggregate amount that the Company may pay as bonuses,
net worth appreciation payments, profit sharing payments or other payments of
similar nature (“Restricted Payments”) during any period, any Payment in excess
of your pro rata portion of the aggregate amount of applicable Restricted
Payments which the Company is permitted to pay. 
In the event that the Company is unable to make a Payment due to the
preceding sentence, the Company’s obligation to make such Payment shall be
deferred until such time that the Company is permitted to make such Payment
pursuant to the preceding sentence.

 

5.     Dividends; Sale of Substantially All of
the Company’s Stock or Assets.

 

(a)   If and in the event that the Company shall
make a Distribution while you shall be employed by the Company, then you shall
be entitled to receive, as additional compensation, (“Additional Compensation
Benefit”) an amount equal to (A) the excess of  (i) the product of the Maximum Credit
and the cumulative Distributions paid by the Company subsequent to the Base
Date in the Base Year over (ii) the product of the Maximum Credit and any
positive Cumulative Cash Flow Tax Difference less (B) the amount of
Additional Compensation Benefit previously paid to you subsequent to the 

 

3

 

Base Date in the Base
Year.  This
provision shall not apply to intercompany payments among the Company and its
own wholly-owned subsidiaries or among two wholly-owned subsidiaries of the
Company, or to reimbursement to Renco for a proportionate part of costs, such
as audit charges and insurance premiums, paid by Renco on behalf of itself and
its subsidiaries, including the Company;

 

(b)   If, while you shall be employed by the
Company (and whether before or after the Base Date in 2007), all or
substantially all the stock or assets of the Company shall be sold to a person
who is not an affiliate of Ira Leon Rennert, or if The Renco Group, Inc.
sells a controlling interest in the Company, then, upon the closing of such
sale, your full Maximum Credit shall be deemed to be vested, and you shall be
entitled to receive, in kind and on the same terms and conditions as the
Company or its shareholder is being paid as payment in full of your
participation, an amount equal to (A) the product of the Maximum Credit
and any Net Proceeds (as defined below) of the sale, plus (B) the product
of the Maximum Credit and the cumulative Distributions paid by the Company
subsequent to the Base Date in the Base Year, less (C) the product of the
Maximum Credit and the Cumulative Income Statement Tax Difference through the
date of sale, and less (D) the amount of any Additional Compensation
Benefit previously paid to you subsequent to the Base Date in the Base
Year.  “Net Proceeds”, for purposes
hereof, shall be equal to the amount, if any, of  the proceeds of the sale after deducting all
expenses of the sale, all applicable federal, state and local taxes, all
liabilities retained by the seller, and all amounts paid or due to holders of
the Company’s preferred stock. Except for such payment, neither you nor the
Company shall have any further rights or liabilities hereunder.

 

6.     Condition Precedent. The Company’s
obligation to make the Payment to you shall be conditioned on your faithful
adherence to your employment arrangements with the Company and on your
refraining from engaging, during the period over which such payments are to be
made to you, directly or indirectly in any activity which is competitive with
the business engaged in by the Company at the date of termination of your
employment.  If you do engage in any such
competitive activities, then we shall no longer be obligated to make any
payments to you hereunder.

 

7.     Notice.  Any
notices to be sent pursuant hereto shall be sent by hand, certified or
registered mail or overnight service to you, at the address indicated above and
a copy to The Renco Group, Inc. at 30 Rockefeller Plaza, New York, NY 10112, 42nd
floor, to the attention of Ira Leon Rennert, or to any other address which the
Company or Renco may designate by notice in writing.

 

4

 

Please confirm that the foregoing correctly sets forth
our full agreement with respect to your net worth appreciation benefit by
signing and returning the enclosed copy of this letter.

 

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  The Doe Run
  Resources Corporation.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ Ira Leon Rennert

  	
   

  
	
   

  	
  Ira Leon Rennert

  
	
   

  	
  Chairman of the Board

  

 

Accepted and Agreed to:

 

 

	
  /s/ Jeffrey L. Zelms

  	
   

  
	
   Jeffrey L. Zelms

  

 

5

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