Document:

Form of Change in Control Agreement

 Exhibit 10.14 
  
 CHANGE IN CONTROL AGREEMENT 
  
 This Change in Control Agreement (the “Agreement”), made as of the      day of
                    , 200  , between H.B. Fuller Company, a Minnesota corporation (“H.B. Fuller”) and its Subsidiaries
(individually and collectively the “Company”), and                      (the “Executive”). 
  
 WITNESSETH: 
  
 WHEREAS, the Company considers the recruitment and maintenance of sound and vital management
to be essential to protecting and enhancing its best interests and those of its shareholders; and 
  
 WHEREAS, the Company recognizes that the potential for a change in control may make it difficult to hire and retain strong management personnel; and 
  
 WHEREAS, the Company recognizes that the possibility of a change in control of H.B. Fuller may exist and that, in the event negotiations are
commenced to bring about such a change in control, uncertainty and questions may arise among management that could result in the distraction or departure of management personnel to the detriment of the Company and the shareholders; and 

 
 WHEREAS, the Company has determined that appropriate steps should be taken to reinforce
and encourage the Executive’s continued attention and dedication as an executive officer to his or her assigned duties without distraction in the face of potentially disruptive circumstances arising from the possibility of a change in control
of H.B. Fuller; 
  
 NOW THEREFORE, the Company and the Executive agree as follows:

  

	1.	Definitions. 

  
 The following words and terms used in this Agreement shall have the following meanings: 
  
 1.1 “Accounting Firm” has the meaning given that term in Section 4.2. 
  

1.2 “Change in Control” means: 
  

	 	(a)	a public announcement (which, for purposes hereof, shall include, without limitation, a report filed pursuant to Section 13(d) of the Securities Exchange Act of 1934, as amended
(the “Exchange Act”)) that any individual, corporation, partnership, association, trust or other entity becomes the beneficial owner (as defined in Rule 13(d)(3) promulgated under the Exchange Act), directly or indirectly, of securities of
the Company representing 15% or more of the voting power of the Company then outstanding; 

  

	 	(b)	the individuals who, as of the date of this Agreement, are members of the Board of Directors of the Company (the “Incumbent Board”) cease for any reason to constitute at
least a majority of the Board (provided, however, that if the election or nomination for election by the Company’s shareholders of any new director was approved by a vote of at least a majority of the Incumbent Board, such new director shall be
considered to be a member of the Incumbent Board); 

  

	 	(c)	 the approval of the shareholders of the Company of (i) any consolidation, merger or statutory share exchange of the Company with any person in which the surviving
entity would not have as its directors at least 60% of the Incumbent Board and as a result of which those persons who were shareholders of the Company immediately prior to such transaction would not hold, immediately after such transaction, at least
60% of the voting power of the Company then outstanding or the combined voting power of the surviving entity’s then outstanding voting securities; (ii) any sale, lease, exchange or other transfer 

  

	 	 
in one transaction or series of related transactions substantially all of the assets of the Company; or (iii) the adoption of any plan or proposal for the
complete or partial liquidation or dissolution of the Company; or 

  
 a determination by a majority of the members of the Incumbent Board, in their sole and absolute discretion, that there has been a Change in Control of the Company. 
  
 The Company shall notify the Executive promptly of the occurrence of a Change in Control. 
  
 “Cause” means any act by the Executive that is materially inimical to the best
interests of the Company and that constitutes common law fraud, a felony or other gross malfeasance of duty on the part of the Executive. 
  
 “Code” means the Internal Revenue Code of 1986, as amended. 
  
 1.5 “Date of Termination” means the date the Executive’s employment is terminated under this Agreement whether by the Company or by the Executive.

  
 1.6 “Disability” means leaving active employment and qualifying for
and receiving disability benefits under the Company’s long-term disability programs as in effect from time to time. 
  
 1.7 “Effective Date” means the first date after the date of this Agreement on which a Change in Control occurs. 
  
 “Employment Agreement” means an employment agreement, if any, between the Company
and the Executive. 
  
 “Excise Tax” has the meaning given the term in
Section 4.1. 
  
 1.10 “Good Reason” means: 
  
 (a) a material change in the Executive’s pay consisting of a 10% or more reduction in
total cash compensation opportunity as in effect immediately prior to the Change in Control (unless such reduction is part of an across-the-board uniformly applied reduction affecting all senior executives of the Company); or 
  
 (b) a significant diminution in the Executive’s authority and duties as in effect
immediately prior to the Change of Control (excluding an isolated, insubstantial or inadvertent action not taken in bad faith that is remedied promptly by the Company after receiving notice); provided, however, that a change of the individual or
officer to whom the Executive reports, in and of itself, would not constitute diminution; or 
  
 a change of the Executive’s principal work location of 50 or more miles from that immediately prior to the Change in Control. 
  
 The Executive shall not be deemed to have terminated employment for Good Reason unless the termination occurs within 180 days after the
Executive is notified by the Company of the event constituting Good Reason or, if later, within 180 days after the occurrence of such event. 
  
 1.11 “Gross-Up Payment” has the meaning given that term in Section 4.1. 
  

“Payment” has the meaning given that term in Section 4.1. 
  
 1.13 “Protected Period” means the 24-month period immediately following each and every Change in Control. 
  
 1.14 “Termination Benefits” means those benefits described in Section 2 of the
Agreement. 
  

 “Subsidiaries” means any and all companies at least fifty percent (50%) owned, directly or indirectly, by H.B.
Fuller. 
  
 1.16 “Underpayment” has the meaning given that term in
Section 4.2. 
  

	2.	Benefits Upon Termination of Employment. 

  
 2.1 General. If, during the Protected Period following each Change in Control, the Executive’s employment is terminated either (i) by the Company (other than
for Cause or Disability), or (ii) by the Executive for Good Reason, then the Executive (or his estate or personal representative), shall be entitled to the Termination Benefits provided in this Section 2. 
  
 Base Salary and Bonus Through Date of Termination. The Company shall promptly pay the
Executive his or her full base salary through the Date of Termination at the rate in effect at the time notice of termination is given. In addition, the Company shall promptly pay the amount of any bonus or incentive for the year in which the Date
of Termination occurs (based on the target bonus for the Executive for the year) prorated to the Date of Termination (without application of any denial provisions based on unsatisfactory personal performance or any other reason). 
  
 Severance Payment. The Company shall pay the Executive a severance payment equal to
three times the sum of: (a) the Executive’s highest base salary, on an annualized basis, established by the Company during the period commencing three months prior to the occurrence of the Change in Control and ending on the date of the
Executive’s termination of employment plus (b) the Executive’s target Annual Incentive Compensation established by the Company and in effect immediately prior to the Change in Control. The severance payment shall be made in a lump-sum
within ten days of the Date of Termination. 
  
 Medical and Dental
Coverage. The Executive shall be entitled to continued coverage under any medical or dental plan (but not under other Company benefit plans) maintained by the Company in which the Executive was participating at the time of the Executive’s
termination of employment, for a period of three years following the Executive’s termination of employment. Rules comparable to those governing the provision of continuation coverage under Section 602 of ERISA shall apply to the coverage
provided under this Section 2.4, except that: 
  
 the coverage may not be
discontinued prior to the expiration of the period specified in this Section 2.4, except for the Executive’s failure to make a required contribution; 
  
 the contributions required of the Executive for such coverage may not exceed the contributions required for the same coverage from a similarly situated active employee;
and 
  
 if the Company discontinues the plan or plans in which the Executive was
participating prior to the expiration of such three year period, the Company shall substitute equivalent coverage under one or more other plans or, if there are no other plans, under one or more individual insurance policies. 
  
 It is the intent of the Company that neither the coverage provided pursuant to this Section
2.4, nor the benefits received as a result of such coverage, shall be subject to U.S. income taxation to the Executive. Accordingly, if the Company determines that the coverage to be provided under this Section 2.4 would cause a self-insured plan
maintained by the Company to be in violation of the nondiscrimination requirements of Section 105(h) of the Code, it shall substitute insured coverage providing equivalent benefits, at no greater cost to the Executive, to the extent necessary to
avoid such discrimination. 
  
 2.5 Outplacement Services. The Company shall
pay for any outplacement services provided to the Executive; provided, that the total amount paid for such services shall not exceed $25,000. The Company shall pay (or, at its option, reimburse the Executive) for such services within ten days after
its receipt of a statement from the service provider. 
  

 2.6 Termination Which Does Not Require Payment Of Termination Benefits. No Termination Benefits need to be
provided by the Company to the Executive under this Section 2 if the Executive’s employment is terminated: 
  

	(a)	by the Executive for any reason other than for Good Reason; 

  

	(b)	by the Company for Cause or Disability; 

  

	(c)	by death; or 

  
 by either the Executive or the Company for any reason at any time other than during the Protected Period following each Change in Control. 
  

	3.	No Mitigation. 

  
 The Executive’s benefits provided in Section 2 shall be in consideration of the Executive’s past service and the Executive’s continued service from the date of this Agreement. The Executive shall not be
required to mitigate the amount of any Termination Benefits provided under Section 2 by seeking other employment or otherwise. 
  

	4.	Certain Additional Payments by the Company. 

  
 4.1 Anything in this Agreement to the contrary notwithstanding: 
  
 (a) In the event it shall be determined that any payment or distribution by the Company to or for the benefit of the Executive, whether paid or payable or distributed or
distributable pursuant to the terms of this Agreement or otherwise, but determined without regard to any additional payments required under this Section 4, (a “Payment”) would be subject to the tax imposed by section 4999 of the Code (such
excise tax, together with any such interest and penalties, are collectively referred to as the “Excise Tax”), and if the amount of the Executive’s total “Parachute Payments” (as defined in section 280G(b)(2) of the Code)
with respect to the same Change in Control does not exceed 330% of the Executive’s “Base Amount” (as defined in section 280G(b)(3) of the Code), then the Payment shall be adjusted until the amount of the Executive’s Parachute
Payments equals 299% of the Base Amount. The adjustments shall be made in such manner, and to such payments or other benefits, as the Executive and the Company shall mutually agree. 
  
 (b) In the event it shall be determined that a Payment would be subject to the Excise Tax and the amount of the Executive’s total
Parachute Payments with respect to the same Change in Control exceeds 330% of the Base Amount, or in the event an Excise Tax is actually assessed with respect to a Payment, then the Executive shall be entitled to receive an additional payment (a
“Gross-Up Payment”) in an amount such that after payment by the Executive of all taxes and any benefits that result from the deductibility by the Executive of such taxes (including, in each case, any interest or penalties imposed with
respect to such taxes), including, without limitation, any income taxes (and any interest and penalties imposed on them) and Excise Tax imposed upon the Gross-Up Payment, the Executive retains an amount of the Gross-Up Payment equal to the Excise
Tax imposed upon the Payments. 
  
 4.2 Subject to the provisions of Section 4.3,
all determinations required to be made under this Section 4, including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions to be utilized in arriving at such determination, shall be made by the
a nationally recognized public accounting firm as may be designated by the Company (the “Accounting Firm”) which shall provide detailed supporting calculations both to the Company and the Executive within 15 business days of the receipt of
notice from the Executive that there has been a Payment, or such earlier time as is requested by the Company. All fees and expenses of the Accounting Firm shall be borne solely by the Company. Any Gross-Up Payment, as determined pursuant to this
Section 4, shall be paid by the Company to or for the benefit of the Executive within five days of the receipt of the Accounting Firm’s determination. Any determination by the Accounting Firm shall be binding upon the Company and 

  

 
the Executive. Notwithstanding any other provision of this Section 4, the Company may withhold and pay over to the Internal Revenue Service, for the benefit
of the Executive, all or any portion of the Gross-Up Payment that it determines in good faith it is required to withhold. Executive consents to such withholding. As a result of the uncertainty in the application of Section 4999 of the Code at the
time of the initial determination by the Accounting Firm hereunder, it is possible that Gross-Up Payments which will not have been made by the Company should have been made (“Underpayment”), consistent with the calculations required to be
made. In the event that the Company exhausts its remedies pursuant to Section 4.3 and the Executive is required to make a payment of any Excise Tax, the Accounting Firm shall determine the amount of the Underpayment that has occurred and any such
Underpayment shall be promptly paid by the Company to or for the benefit of the Executive. 
  
 4.3 The Executive shall notify the Company in writing of any claim by the Internal Revenue Service that, if successful, would require the payment by the Company of the Gross-Up Payment. Such notification shall be
given as soon as practicable but no later than ten business days after the Executive is informed in writing of such claim and shall apprise the Company of the nature of such claim and the date on which such claim is requested to be paid. The
Executive shall not pay such claim prior to the expiration of the 30-day period following the date on which it gives such notice to the Company (or such shorter period ending on the date that any payment of taxes with respect to such claim is due).
If the Company notifies the Executive in writing prior to the expiration of such period that it desires to contest such claim, the Executive shall: 
  
 (a) give the Company any information reasonably requested by the Company relating to such claim; 
  
 (b) take such action in connection with contesting such claim as the Company shall reasonably request in writing from time to time,
including, without limitation, accepting legal representation with respect to such claim by an attorney reasonably selected by the Company; 
  
 (c) cooperate with the Company in good faith in order effectively to contest such claim; and 
  
 (d) permit the Company to participate in any proceedings relating to such claim; 
  
 provided, however, that the Company shall bear and pay directly all costs and expenses
(including additional interest and penalties) incurred in connection with such contest and shall indemnify and hold the Executive harmless, on an after-tax basis, for any Excise Tax or income tax (including interest and penalties with respect
thereto) imposed as a result of such representation and payment of costs and expenses. Without limitation on the foregoing provisions of this Section 4.3, the Company shall control all proceedings taken in connection with such contest and, at its
sole option, may pursue or forgo any and all administrative appeals, proceedings, hearings and conferences with the taxing authority in respect of such claim and may, at its sole option, either direct the Executive to pay the tax claimed and sue for
a refund or contest the claim in any permissible manner, and the Executive agrees to prosecute such contest to a determination before administrative tribunal, in a court of initial jurisdiction and in one or more appellate courts, as the Company
shall determine; provided, however, that if the Company directs the Executive to pay such claim and sue for a refund, the Company shall advance the amount of such payment to the Executive, on an interest-free basis and shall indemnify and hold the
Executive harmless, on an after-tax basis, from any Excise Tax or income tax (including interest or penalties with respect thereto) imposed with respect to such advance or with respect to any imputed income with respect to such advance; and further
provided that any extension of the statute of limitations relating to payment of taxes for the taxable year of the Executive with respect to which such contested amount is claimed to be due is limited solely to such contested amount. Furthermore,
the Company’s control of the contest shall be limited to issues with respect to which a Gross-Up Payment would be payable hereunder and the Executive shall be entitled to settle or contest, as the case may be, any other issue raised by the
Internal Revenue Service or any other taxing authority. 
  
 4.4 If, after the
receipt by the Executive of an amount advanced by the Company pursuant to Section 4.1 or 4.3, the Executive becomes entitled to receive any refund with respect to such claim, the Executive shall (subject to the Company’s complying with the
requirements of Section 4.3) promptly pay to the Company the amount of such refund (together with any interest paid or credited thereon after taxes 

  

 
applicable thereto). If, after the receipt by the Executive of an amount advanced by the Company pursuant to Section 4.3, a determination is made that the
Executive shall not be entitled to any refund with respect to such claim and the Company does not notify the Executive in writing of its intent to contest such denial of refund prior to the expiration of 30 days after such determination, then such
advance shall be forgiven and shall not be required to be repaid and the amount of such advance shall offset the amount of Gross-Up Payment required to be paid. 
  

	5.	Notice of Termination. 

  
 During the Protected Period, any purported termination by the Company of the Executive’s employment for Cause or Disability or by the Executive for Good Reason shall
be communicated by notice of termination to the other party. A notice of termination shall include the specific reason for termination relied upon and shall set forth in reasonable detail, the facts and circumstances claimed to provide a basis for
termination of employment. 
  
 Any dispute by a party hereto regarding a notice of
termination delivered to such party must be conveyed to the other party within 30 days after the notice of termination is given. If the particulars of the dispute are not conveyed within the 30 day period, then the disputing party’s claims
regarding the termination shall be deemed forever waived. 
  

	6.	Successor; Binding Agreement. 

  
 The Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or
assets of the Company to 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. Failure of the Company to obtain such agreement
prior to the effectiveness of any such succession shall be a breach of this Agreement and shall entitle the Executive, at his or her election, to Termination Benefits from the Company in the same amount and on the same terms as the Executive would
be entitled to if he or she terminated his or her employment for Good Reason during a Protected Period, except that for purposes of implementing the foregoing, the date on which any such election becomes effective shall be deemed the Date of
Termination. As used in this Agreement, “Company” shall mean the Company and any successor to its business and/or assets as described above or which otherwise becomes bound by all the terms and provision of this Agreement by operation of
law. 
  
 This Agreement shall inure to the benefit of and be enforceable by the
Executive’s personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. If the Executive should die while any amount would still be payable to him or her hereunder if Executive had
continued to live, all such amounts, unless otherwise provided herein, shall be paid in accordance with the terms of this Agreement to his designee or, if there is no such designee, to his estate. 
  

	7.	Miscellaneous. 

  
 7.1 Notice. All notices, elections, waivers and all other communications provided for in this Agreement shall be in writing and shall be deemed to have been duly given when delivered or mailed by United States
certified mail, return receipt requested, postage prepaid, to such 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. 

 
 7.2 No Waiver. No provision of this Agreement may be modified, waived or discharged
unless such waiver, modification or discharge is agreed to in writing signed by the Executive and the Chief Executive Officer of the Company. No waiver by either party at any time of any breach by the other party 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. 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 set forth expressly in this Agreement. 
  
 7.3 Legal Expenses. If the Executive institutes or defends any legal action to enforce
the Executive’s rights under, or to defend the validity of, this Agreement, and if the Executive prevails in such legal action, the Executive shall be entitled to recover from the Company any actual expenses for attorney’s fees and
disbursements incurred by the Executive. 
  
 7.4 Term of Agreement. The
term of this Agreement shall continue for an initial period of three years from the date of this Agreement. On each anniversary of this Agreement, the term shall be extended for an additional year unless prior to an anniversary date H.B.
Fuller’s Board of Directors cause a notice of nonrenewal to be sent to the Executive. Any Termination Benefits due pursuant to this Agreement shall continue to be an obligation of the Company and enforceable by the Executive until paid in full.

  
 7.5 Controlling Law. This Agreement shall be governed by and construed
in accordance with the laws of the State of Minnesota. 
  
 7.6
Severability. Each section, subsection or paragraph of this Agreement shall be deemed severable and if for any reason any portion of this Agreement is unenforceable, invalid or contrary to any existing or future law, such unenforceability or
invalidity shall not affect the applicability or validity of any other portion of this Agreement. 
  
 7.7 Nondisparagement. The Executive agrees that he or she will not make statements, publicly or otherwise, which disparage or are adverse to the interests of the Company. If the Executive breaches this
provision, the Company retains the right to seek equitable or other legal relief, including an immediate refund of moneys paid hereunder. 
  
 7.8 Confidentiality. The Executive agrees that all information, facts or occurrences relating to: (1) all negotiations leading to any Change in Control; (2) the
existence and contents of this Agreement; and (3) all formulas, processes, customer lists, computer user identifiers and passwords, and all purchasing, engineering, accounting, marketing and other information, not generally known and proprietary to
the Company, including but not limited to, information relating to research, development, manufacturing, marketing or sale of the Company’s products shall be and are hereby deemed to be confidential information (“Confidential
Information”) of the parties to this Agreement. The Executive agrees not to use or disclose any Confidential information except by written consent of the Company. If the Executive breaches this provision, the Company retains the right to seek
equitable or other legal relief, including an immediate refund of moneys paid hereunder. 
  
 7.9 Employment Agreement. Any benefits provided to the Executive under this Agreement will, unless specifically stated otherwise in this Agreement, be in addition to and not in lieu of any benefits that may be
provided the Executive under an Employment Agreement, if any, with the Company; provided, however, that any benefits provided to the Executive under this Agreement will be in lieu of any Contingent Termination Payments made pursuant to a
Non-Competition Agreement between the Company and Executive. 
  
 Nothing in this
Agreement is to be deemed to give the Company the right to take any action or engage in any omission with respect to the Executive at any time when any such action or omission is not permissible and proper under any Employment Agreement if then in
force. Similarly, except as provided otherwise in this Agreement, nothing in this Agreement is to be deemed to give the Executive the right to take any action or engage in any omission with respect to the Company at any time when any such act or
omission is not permissible and proper under any Employment Agreement if then in force. 
  
 This Agreement shall continue in force so long as the Executive remains employed by the Company and shall not be affected by any termination of any Employment Agreement. 
  

 7.10 Integration and Supercedure. This Agreement contains all the representations and understandings, and
supercedes any previous agreements between the Company and the Executive pertaining to payment of Termination Benefits in the event of a Change in Control. 
  
 7.11 Title and Captions. All section, subsection or paragraph titles or captions contained in this Agreement are for convenience only and shall not be deemed part
of the text of this Agreement. 
  
 IN WITNESS WHEREOF, this Agreement has been
executed as of the day and year first above written. 
  

	
	 H.B. FULLER COMPANY, on
 behalf of itself and each
Subsidiary

	
	  
	
	 EXECUTIVE:

	
	  
	 NameEmployment Agreement/Charles G. Preble

  
 Exhibit 10.10

  
 EMPLOYMENT AGREEMENT 
  
 THIS AGREEMENT made as of the 24th day of February, 2004 
  
 BETWEEN: 
  
 PERU COPPER INC., a corporation subsisting under the laws of Canada 
  
 (“Peru Copper” or the “Corporation”) 
  
 OF THE FIRST PART 
  
 - and - 
  
 CHARLES G. PREBLE, of the City of Tucson, Arizona 
  
 (the “Executive”) 
  
 OF THE SECOND PART

  
 WHEREAS Peru Copper wishes to employ the Executive and the
Executive wishes to be employed by Peru Copper in connection with the continuing operation of the business carried on by Peru Copper (the “Business”) from Vancouver, British Columbia. 
  
 AND WHEREAS Peru Copper and the Executive wish to set out the terms of the
Executive’s employment. 
  
 NOW THEREFORE IN CONSIDERATION OF
the payment of the sum of $1.00, the covenants and agreements continued in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 
  
 DEFINITIONS 
  
 1. In this Agreement, in addition to those terms defined above and unless there is something in the subject matter inconsistent therewith,
the terms set forth below shall have the following corresponding meanings: 
  
 “Affiliate” means any Person which, directly or indirectly, controls or is controlled by or is under common control with a Party, and the term “Affiliated” has a corresponding meaning. For the purposes of this Agreement
“control” and “controlled” shall have the meanings ascribed thereto in the Canada Business Corporations Act. 
  
 “Agreement” means this agreement between the Parties. 
  

 “Associate” means associated corporations as such term is defined at Section 256 of the Income Tax Act
(Canada), and the term “Associated” has a corresponding meaning. 
  
 “Board” means the board of directors of Peru Copper from time to time. 
  
 “Change of Control” means the occurrence of any one or more of the following events: 
  

	 	(a)	a consolidation, merger, amalgamation, arrangement or other reorganization or acquisition involving the Corporation or any of its Affiliates and another corporation or other entity,
as a result of which the holders of Common Shares prior to the completion of the transaction hold less than 50% of the outstanding shares of the successor corporation after completion of the transaction; 

  

	 	(b)	the sale, lease, exchange or other disposition, in a single transaction or a series of related transactions, of assets, rights or properties of the Corporation and/or any of its
Subsidiaries which have an aggregate book value greater than 50% of the book value of the assets, rights and properties of the Corporation and its Subsidiaries on a consolidated basis to any other person or entity, other than a disposition to a
wholly-owned subsidiary of the Corporation in the course of a reorganization of the assets of the Corporation and its Subsidiaries; 

  

	 	(c)	a resolution is adopted to wind-up, dissolve or liquidate the Corporation; 

  

	 	(d)	any person, entity or group of persons or entities acting jointly or in concert (an “Acquiror”) acquires or acquires control (including, without limitation, the right to
vote or direct the voting) of Voting Securities of the Corporation which, when added to the Voting Securities owned of record or beneficially by the Acquiror or which the Acquiror has the right to vote or in respect of which the Acquiror has the
right to direct the voting, would entitle the Acquiror and/or associates and/or affiliates of the Acquiror (as such terms are defined in the Act) to cast or to direct the casting of 20% or more of the votes attached to all of the Corporation’s
outstanding Voting Securities which may be cast to elect directors of the Corporation or the successor corporation (regardless of whether a meeting has been called to elect directors), other than in the case of an acquisition of Voting Securities,
or control over Voting Securities, of the Corporation by J. David Lowell, Catherine McLeod-Seltzer, David E. De Witt and/or Luis J. Baertl; 

  

	 	(e)	as a result of or in connection with: (A) a contested election of directors; or (B) a consolidation, merger, amalgamation, arrangement or other reorganization or acquisitions
involving the Corporation or any of its affiliates and another corporation or other entity, the nominees named in the most recent Management Information Circular of the Corporation for election to the Board shall not constitute a majority of the
Board; or 

  

	 	(f)	the Board adopts a resolution to the effect that a Change of Control as defined herein has occurred or is imminent. 

  

 - 2 - 

 For the purposes of the foregoing, “Voting Securities” means Common Shares and any other shares
entitled to vote for the election of directors and shall include any security, whether or not issued by the Corporation, which are not shares entitled to vote for the election of directors but are convertible into or exchangeable for shares which
are entitled to vote for the election of directors including any options or rights to purchase such shares or securities. 
  
 “Common Shares” means the common shares in the capital of the Corporation. 
  
 “Employment” means the employment of the Executive in connection with the Business and in accordance with the terms and conditions
of this Agreement. 
  
 “Party” means a party to this Agreement, and
“Parties” has a similar extended meaning. 
  
 “Permanent
Disability” means any physical or mental incapacity, disease or affliction which: 
  

	 	(a)	prevents the Executive from performing substantially all his obligations as an executive officer of Peru Copper; and 

  

	 	(b)	has existed for a continuous period of one hundred and eighty (180) days in any period of three hundred and sixty five (365) consecutive days. 

  
 “Person” includes any individual, partnership, joint venture, trust, unincorporated
organization or any other association, corporation, or any government or any department or agency thereof. 
  
 “Plan” means the share option plan to be adopted by Peru Copper Inc., as may be amended from time to time. 
  
 “Securities Act” means the Securities Act (British Columbia). 
  
 “Subsidiary” means a body corporate which is a subsidiary of the Corporation as defined in the Canada Business Corporations Act. 
  
 AGREEMENT TO EMPLOY 
  
 2. Peru Copper agrees to employ the Executive in connection with the Business on the terms
and conditions set out herein and the Executive agrees to accept employment on such terms. 
  
 TERM 
  
 3. The term of this
Agreement and the Employment shall be for an indefinite period, provided that: 
  

	 	(a)	Peru Copper may terminate this Agreement and the Employment at any time as set out in paragraphs 10 and 11 hereof; 

  

	 	(b)	the Executive may terminate this Agreement and the Employment at any time as set out in paragraph 12 hereof; 

  

 - 3 - 

	 	(c)	the Executive may terminate this Agreement and the Employment upon the occurrence of a Change of Control as set out in paragraphs 13(a) and 13(b) hereof; and

  

	 	(d)	this Agreement and the Employment are automatically terminated when the Executive dies. 

  
 DUTIES AND RESPONSIBILITIES 
  
 4. The Executive shall serve as President and Chief Executive Officer of Peru Copper and shall perform such duties and assume such responsibilities consonant with his
position as an executive of Peru Copper and further will perform such reasonable additional duties and responsibilities as the Board may require and assign to him including serving as a director or officer of Peru Copper or such other affiliates and
associates of Peru Copper at no additional compensation. The Executive shall report to the Board. Peru Copper agrees that it shall not relocate the Executive outside of the City of Lima, Peru without the consent of the Executive. 
  
 CONFLICT OF INTEREST/DUTY OF LOYALTY 
  
 5. The Executive agrees to devote all of his working time during the Employment to the
Business and shall not engage or have an interest in any other enterprise, occupation or profession, directly or indirectly, or become a principal, agent, director or officer of another company, firm or person, as applicable, which will or may
interfere with or conflict with the Executive’s duties and responsibilities hereunder without the written approval, not to be unreasonably withheld, of the Board. Peru Copper is aware of and agrees that the Executive may continue to serve as a
director of Inca Pacific Resources Inc. provided that the Executive shall not devote significant time and attention to the affairs of Inca Pacific Resources Inc. 
  
 CONFIDENTIALITY 
  
 6. The Executive agrees to keep the affairs of the Business, financial and otherwise, strictly confidential and shall not disclose the same to any person, company or
firm, directly or indirectly, during or after his Employment by Peru Copper except as reasonably necessary to carry out his Employment duties or as otherwise authorized in writing by the Board. The Executive agrees not to use such information,
directly or indirectly, for his own interests, or any interests other than those of the Business, whether or not those interests conflict with the interests with the interests of the Business, during or after his employment by Peru Copper.

  
 REMUNERATION 
  

	7.    (a)    	The Executive shall be remunerated as follows during the term of this Agreement: 

  

	 	(i)    	 initial base salary of US$96,000 per annum payable monthly less any amount paid to the Executive pursuant to any other employment or consulting agreement or
arrangement between the Executive and the Corporation or any of its Affiliate, and to be reviewed annually by the 

  

 - 4 - 

	 	 
Board but in any event shall not be less than the previous year’s base salary; 

  

	 	(ii)    	an additional 5% of the Executive’s base salary to cover Arizona taxes that may be incurred by the Executive in connection with the Business; 

  

	 	(iii)    	such bonuses as may be determined by the Compensation Committee of the Board from time to time, in its sole discretion, subject to the Compensation Committee establishing
performance milestones; 

  

	 	(iv)    	all benefits generally provided to employees of Per Copper effective as of the date of this Agreement, or such other benefits that may be made available to other senior officers of
Peru Copper from time to time on terms determined by the Board, and those benefits detailed in Schedule “A” appended hereto; and 

  

	 	(v)    	four (4) weeks’ vacation annually. 

  

	       (b)    	Subject to section 7(a)(ii) above, all payments required to be made under this Agreement are subject to statutory deductions, as applicable, including for income tax, Canada Pension
Plan and Employment Insurance coverage. 

  
 8. The Executive shall
be granted options to acquire 720,000 Common Shares at an exercise price of US$1.40, such options to be exercisable time until the date which is 5 years following the date hereof. The options shall vest as to 20% on the date that is six months
following the date hereof and as to 20% on each of the dates that is 12 months, 18 months, 24 months and 30 months following the date hereof. The options shall be subject to the terms of the Plan. The Executive shall also be entitled to be granted
options to acquire Common Shares of the Corporation under the Plan in such amounts as are determined by the Compensation Committee of the Board from time to time. 
  
 REIMBURSEMENT OF EXPENSES 
  
 9. All the Executive’s reasonable expenses related to the Business (including all costs in connection with visa and work permits, as required) will be reimbursed
upon the submittal by the Executive of an expense report with appropriate supporting documentation to Peru Copper. 
  
 TERMINATION 
  
 10. This Agreement and the Employment may be terminated by Peru Copper summarily and without notice, or payment in lieu of notice, severance payments, benefits, damages or any sums whatsoever, in the event that there
is just cause for termination of the Executive’s Employment at common law. Notwithstanding the generality of the foregoing, just cause shall be deemed to exist in the event the Executive: 
  

	 	(a)	engages in conduct which is detrimental to the reputation of the Corporation or any of its Affiliates in any material respect; 

  

 - 5 - 

	 	(b)	has committed an act of fraud or material dishonesty in connection with his Employment or the Business; 

  

	 	(c)	is subject to a penalty or sanction imposed by a securities regulatory authority following the completion of a proceeding initiated by such authority; or 

 

	 	(d)	materially breaches his duties under this Agreement. 

  
 11. Subject to paragraph 3: 
  

	 	(a)	This Agreement and the Employment may be terminated on notice by Peru Copper to the Executive without cause, whether or not a Change of Control has occurred, upon payment to the
Executive at termination of 36 months’ base salary plus accrued but unused vacation and provision of the benefits described under subparagraph 7(a)(iii) (except for insured or other benefits which cannot be extended to a person not actively
employed by Peru Copper) for the earlier of 36 months or until the Executive obtains comparable benefits from another source. Any stock options granted by Peru Copper, which are vested on the date of termination, shall remain exercisable until the
earlier of (i) the termination date of such option or (ii) the date which is 36 months from such termination, notwithstanding the provisions of any agreement or Plan. Any stock options which are not vested on the date of termination shall vest on
such date and such stock options shall remain exercisable until the earlier of (i) the termination date of such option or (ii) the date which is 36 months from such termination, notwithstanding the provisions of any agreement or Plan.

  

	 	(b)	The parties agree that any payment to the Executive pursuant to paragraph 11 (a) is not intended and will not be of the nature of a penalty and shall be considered by the parties as
liquidated damages. 

  

	 	(c)	The parties further agree that, notwithstanding anything to the contrary contained in this Agreement, the Executive shall not be required or called upon to mitigate in any manner
whatsoever such liquidated damages. 

  

	 	(d)	The Executive may, at his option, require Peru Copper to pay all or a part of the compensation set out in 11 (a) above into a retirement compensation arrangement or comparable
retirement fund, provided that such request shall be permissible under applicable laws and shall be at no expense to Peru Copper. 

  
 12. Subject to Section 13, this Agreement and the Employment may be terminated on notice by the Executive to Peru Copper by giving 90 days’ written notice. Upon
termination by the Executive, any options held by the Executive, which have vested as of the date of such termination, shall remain exercisable for a period of 30 days after the termination date, or such longer period as the Board may determine. Any
unvested options held by the Executive as at the date of termination shall be cancelled, unless the Board determines otherwise. 
  

 - 6 - 

 CHANGE OF CONTROL 
  

	13.    (a)    	If at any time during the term of this Agreement there is a Change of Control of Peru Copper, then the Executive shall have one hundred and twenty (120) days from the date of such
Change of Control to elect in writing whether or not he wishes to terminate this Agreement and the Employment, after which time he shall be deemed to have elected not to do so. If the Executive elects to terminate this Agreement and the Employment
under this paragraph, then he shall give written notice of his election to the Corporation and this Agreement and the Employment shall terminate 30 days from the day of such notice. The Executive shall then be entitled to receive from Peru Copper
the compensation set out in paragraph 11(a) above. 

  

	         (b)    	If at any time during the term of this Agreement there is a Change of Control and within six (6) months of such Change of Control there is a material decrease in any of the duties,
powers, rights, discretion, salary or benefits of the Executive as they exist immediately prior to the Change of Control, the Executive may elect to terminate this Agreement and his Employment and shall then be entitled to receive from Peru Copper
the compensation set out in paragraph 11(a) above. 

  
 DISABILITY 
  

	14.    (a)    	If the Executive suffers a Permanent Disability, Peru Copper may replace the Executive either on a temporary or permanent basis without terminating the Employment of the Executive.
The Executive will be entitled to such disability and other benefits as may be provided for pursuant to the applicable benefit plans or programs. 

  

	         (b)    	If the Executive recovers from the Permanent Disability, Peru Copper may offer to the Executive the position that the Executive formerly occupied prior to the Executive’s
Permanent Disability or other comparable other executive position. If no comparable position is offered by Peru Copper to the Executive, the Executive shall be entitled to the compensation set out in paragraph 11(a). 

  

	         (c)    	Notwithstanding the foregoing, in the event the Executive continues to suffer from a Permanent Disability for in excess of 24 months, Peru Copper may, at its option, terminate the
Executive’s employment, provided that: 

  

	 	(i)    	such termination does not and will not prejudice the Executive’s eligibility for disability and other group insured benefits; and 

  

	 	(ii)    	Peru Copper provides the Executive forthwith the compensation set out in paragraph 11(a). 

  

 - 7 - 

 SEVERABILITY 
  
 15. The invalidity or unenforceability of any provision of this Agreement will not affect the validity or enforceability of any other provision, and any invalid provision
will be severable from this Agreement. 
  
 GOVERNING LAW 

 
 16. This Agreement is governed by and is to be considered, interpreted and enforced in
accordance with the laws of British Columbia. 
  
 HEIRS/SUCCESSORS BOUND

  
 17. This Agreement inures to the benefit of and is binding upon the
parties and their respective heirs, administrators, executors, successors and assigns as appropriate. 
  
 ASSIGNMENT 
  
 18. This Agreement
is not assignable by either party without the consent in writing of the other party, which consent may be unreasonably withheld, provided that Peru Copper shall be entitled to assign this Agreement, without the Executive’s consent to an
Affiliate of Peru Copper provided the Affiliate offers comparable employment and there is not material prejudice, including diminution of responsibilities, to the Executive by reason of such assignment. 
  
 ENTIRE AGREEMENT 
  
 19. As of its date execution, this Agreement supersedes all prior agreements, whether written or oral, express or implied, between the
parties, and constitutes the entire agreement between the parties. The parties agree that there are no other collateral agreements or understandings between them except as set out in this Agreement. 
  
 AMENDMENT 
  
 20. This Agreement may be amended only in writing signed by the parties and witnessed. 
  
 HEADINGS 
  
 21. All headings in this Agreement are for convenience only and shall not be used for the interpretation of this Agreement. 
  
 RECOURSE ON BREACH 
  
 22. The Executive acknowledge that damages would be an insufficient remedy for a breach of
this Agreement and agrees that Peru Copper may apply for and obtain any relief available to it in a court of law or equity, including injunctive relief, to restrain breach or threat of breach of this Agreement or to enforce the covenants contained
herein in addition to rights Peru Copper 

  

 - 8 - 

 
may have to damages arising from said breach or threat of breach. The Executive hereby waives any defences he may or can have to strict enforcement of this
Agreement by Peru Copper. 
  
 CONFIDENTIALITY OF AGREEMENT

  
 23. The parties agree that this Agreement is confidential and shall
remain so. The parties agree that this Agreement or the contents hereof shall not be divulged by any party without the consent in writing of the other party, with the exception of disclosure to personal advisors, disclosure that may be required by
the laws of any jurisdiction in which the Business is conducted or may be conducted in future and disclosure pursuant to applicable securities laws and the rules and policies of any stock exchange on which Peru Copper securities are traded.

  
 INDEPENDENT LEGAL ADVICE 
  
 24. The Executive agrees that he has had independent legal advice or the opportunity to
receive same in connection with the execution of this Agreement and has read this Agreement in its entirety, understands its contents and is signing this Agreement freely and voluntarily, without duress or undue influence from any party. 

 
 NOTICE 
  
 25. Any notice required or permitted to be made or given under this Agreement to either party shall be in writing and shall be sufficiently
given if delivered personally, or if sent by prepaid registered mail to the intended recipient of such notice at: 
  

	 	(a)	in the case of Peru Copper, to: 

  
 Peru Copper Inc. 
 777 Dunsmuir Street

 Suite 1600 
 Vancouver,
British Columbia V7Y 1K4 
  
 Attention: Chairman of the Audit
Committee 
  
 with a copy (which shall not constitute notice
hereunder) to: 
  
 Cassels Brock & Blackwell
LLP 
 2100 Scotia Plaza 
 40 King Street West 
 Toronto, Ontario M5H 3C2 
  
 Attention: Paul M. Stein 
  

 - 9 - 

	 	(b)	in the case of the Executive, to: 

  
 Charles G. Preble 
 3180 E. Crest Drive

 Tucson, Arizona 85718 
  
 or at such other address as the party to whom such writing is to be given shall provide in writing to the party giving the said notice. Any notice delivered to the party
to whom it is addressed shall be deemed to have been given and received on the day it is so delivered or, if such day is not a business day, then on the next business day following any such day. Any notice mailed shall be deemed to have been given
and received on the fifth business day following the date of mailing. 
  
 SURVIVAL 
  
 26. Paragraphs 6, 22 and 23 shall survive the
termination of this Agreement and the Employment and shall continue in full force and effect according to their terms. 
  
 IN WITNESS WHEREOF the parties hereto have executed these presents under their respective seals and hands of their proper offices authorized in that
behalf, as applicable. 
  

					
	 The Corporate Seal of PERU COPPER INC. was hereunto affixed in the presence
 of:
	 	 )
	 	 
	 	 )
	 	 
	 	 )
	 	 
	  
 

	 	 )
 )
	 	  
	 Authorized Signatory
	 	 )
	 	 c/s

	  	 	 )
 )
	 	  
	 Authorized Signatory
	 	 )
	 	 
			
	 SIGNED in the presence of:
	 	 )
	 	 
	  
  
 

	 	 )
 )
 )
	 	 

	 Witness Elsa Rosario Aguirre
	 	 )
	 	CHARLES G. PREBLE

  

 - 10 - 

  
 SCHEDULE “A”

  
 Benefits effective as at the date of this Agreement. 
  
 Transportation 
  
 Peru Copper will provide the Executive with transportation on business days in connection with work related travel while in Peru.

  
 Travel 
  
 Peru Copper will provide the Executive with monthly round-trip economy fare airline tickets
in connection with personal trips between Tucson, Arizona and Lima, Peru. Peru Copper will also provide the Executive with two found-trip economy fare airline tickets per annum in connection with personal trips between Tucson, Arizona and Lima, Peru
for the Executive’s spouse. 
  
 Professional Associations

  
 Peru Copper shall pay, or reimburse the Executive, for fees to
maintain the Executive’s memberships in applicable professional associations approved by the Board or the Compensation Committee of the Board from time to time.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00078-of-00352.parquet"}]]