Document:

Executive Employment Agreement by and between Registrant and Susan Rinne

 Exhibit 10.4 
 NEUROGESX, INC. 
 EXECUTIVE EMPLOYMENT AGREEMENT 
 This Executive Employment Agreement (the “Agreement”) is made and entered into by and between Susan Rinne (the “Executive”) and
NeurogesX, Inc., a Delaware Corporation (the “Company”), effective as of September 24, 2007 (the “Effective Date”). 
 RECITALS 
 WHEREAS: It is expected that the Company from time to time will consider the possibility of an acquisition by another
company or other change of control. The Board of Directors of the Company (the “Board”) recognizes that such consideration can be a distraction to Executive and can cause Executive to consider alternative employment opportunities. The
Board has determined that it is in the best interests of the Company and its shareholders to assure that the Company will have the continued dedication and objectivity of Executive, notwithstanding the possibility, threat or occurrence of a Change
of Control of the Company. 
 WHEREAS: The Board believes that it is in the best interests of the Company and its shareholders to provide Executive with an
incentive to continue his or her employment and to motivate Executive to maximize the value of the Company upon a Change of Control for the benefit of its shareholders. 
 WHEREAS: The Board believes that it is imperative to provide Executive with certain severance benefits upon Executive’s termination of employment following a Change of Control. These benefits will provide
Executive with enhanced financial security and incentive and encouragement to remain with the Company notwithstanding the possibility of a Change of Control. 
 WHEREAS: Certain capitalized terms used in the Agreement are defined in Section 12 below. 
 AGREEMENT 

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto agree as follows: 
 1. Term of Agreement. This Agreement shall terminate upon the date that all of the obligations of the parties hereto with respect to this
Agreement have been satisfied. 
 2. At-Will Employment. The Company and Executive acknowledge that Executive’s employment is and
shall continue to be at-will, as defined under applicable law. If Executive’s employment terminates for any reason, including (without limitation) any termination prior to a Change of Control, Executive shall not be entitled to any payments,
benefits, damages, awards or compensation other than as provided by this Agreement, or by law. 
 3. Duties and Scope of Employment.

 (a) Positions and Duties. As of the Effective Date, Executive will serve as Vice President, Regulatory of the
Company. Executive will render such business and professional 

 
services in the performance of his or her duties, consistent with Executive’s position within the Company, as will reasonably be assigned to him by the
Company’s Board. 
 (b) Obligations. During such time as the Executive is employed by the Company, Executive will
perform his or her duties faithfully and to the best of his or her ability and will devote his or her full business efforts and time to the Company. During such time as the Executive is employed by the Company, Executive agrees not to actively
engage in any other employment, occupation or consulting activity for any material direct or indirect remuneration without the prior approval of the Board. 
 4. Compensation. 
 (a) Base Salary. During such time as the Executive is
employed by the Company, the Company will pay Executive an annual salary as determined in the discretion of the Board or any committee thereof. The base salary will be paid periodically in accordance with the Company’s normal payroll practices
and will be subject to the usual, required withholding. Executive’s salary will be subject to review and adjustments will be made based upon the Company’s normal performance review practices. 
 (b) Performance Bonus. Executive will be eligible to receive an annual bonus and other bonuses, less applicable withholding taxes,
as determined by the Board or any committee thereof in the Board’s or such committee’s sole discretion. 
 (c)
Equity Compensation. Executive will be eligible to receive stock and option grants, and other equity compensation awards, as determined by the Board or any committee thereof in the Board’s or such committee’s sole discretion.

 5. Employee Benefits. During the time that Executive is an employee of the Company, Executive will be entitled to participate in
the Benefit Plans currently and hereafter maintained by the Company of general applicability to other senior executives of the Company. The Company reserves the right to cancel or change the Benefit Plans it offers to its employees at any time.

 6. Vacation. Executive will be entitled to vacation in accordance with the Company’s vacation policy, with the timing and
duration of specific vacations mutually and reasonably agreed to by the parties hereto. 
 7. Expenses. The Company will reimburse
Executive for reasonable travel, entertainment or other expenses incurred by Executive in the furtherance of or in connection with the performance of Executive’s duties as an employee of the Company, in accordance with the Company’s
expense reimbursement policy as in effect from time to time. 
 8. Double Trigger Change of Control and Termination. Upon the double
trigger of a Change of Control of the Company and termination of Executive as defined in Section 9, Executive will be eligible for Severance Benefits as described in Section 9. 

 9. Severance Benefits. 
 (a) Involuntary Termination Following a Change of Control. If within eighteen (18) months following a Change of Control (X)(i)
Executive terminates his or her employment with the Company (or any parent or subsidiary of the Company) for Good Reason or (ii) the Company (or any parent or subsidiary of the Company) terminates Executive’s employment for other than
Cause, and (Y) Executive signs and does not revoke a standard release of claims with the Company in a form reasonably acceptable to the Company, then Executive shall receive the following severance from the Company: 
 (i) Severance Payment. Executive will be entitled to (i) receive continuing payments of severance pay (less applicable
withholding taxes) at a rate equal to his or her base salary rate, as then in effect, for a period of six (6) months from the date of such termination, to be paid periodically in accordance with the Company’s normal payroll policies; and
(ii) a lump-sum payment equal to 50% of Executive’s target annual bonus as of the date of such termination. 
 (ii)
Options; Restricted Stock. Fifty percent (50%) of Executive’s then outstanding options to purchase shares of the Company’s Common Stock (the “Options”) shall immediately vest and become exercisable (that is, in
addition to the shares subject to the Options which have vested and become exercisable as of the date of such termination), but in no event shall the number of shares subject to such Options which so vest exceed the total number of shares subject to
such Options. Additionally, all of the shares of the Company’s Common Stock then held by Executive subject to a Company right of repurchase (the “Restricted Stock”) shall immediately vest and have such Company right of repurchase with
respect to such shares of Restricted Stock lapse (that is, in addition to the shares of Restricted Stock which have vested as of the date of such termination), but in no event shall the number of shares which so vest exceed the number of shares of
Restricted Stock outstanding immediately prior to such termination. 
 (iii) Continued Employee Benefits. Executive
shall receive Company-paid coverage for Executive and Executive’s eligible dependents under the Company’s Benefit Plans for a period equal to the shorter of (i) nine (9) months or (ii) such time as Executive secures
employment with benefits generally similar to those provided in the Company’s Benefit Plans. 
 (b) Timing of
Severance Payments. Any lump-sum severance payment to which Executive is entitled shall be paid by the Company to Executive in cash and in full, not later than ten (10) calendar days after the date of the termination of Executive’s
employment as provided in Section 9(a), and any other severance payments shall be paid in accordance with normal payroll policies as provided in Section 9(a). If Executive should die before all amounts have been paid, such unpaid amounts
shall be paid in a lump-sum payment to Executive’s designated beneficiary, if living, or otherwise to the personal representative of Executive’s estate. 
 (c) Voluntary Resignation; Termination for Cause. If Executive’s employment with the Company terminates (i) voluntarily
by Executive other than for Good Reason or (ii) for Cause by the Company, then Executive shall not be entitled to receive severance or other benefits except for those as may then be established under the Company’s then existing severance
and Benefits Plans or pursuant to other written agreements with the Company. 

 (d) Disability; Death. If the Company terminates Executive’s employment as a
result of Executive’s Disability, or Executive’s employment terminates due to his or her death, then Executive shall not be entitled to receive severance or other benefits except for severance amounts paid to Executive prior to the date of
such termination and except for those as may then be established under the Company’s then existing written severance and Benefits Plans or pursuant to other written agreements with the Company. 
 (e) Termination Apart from Change of Control. In the event Executive’s employment is terminated for any reason, either prior
to the occurrence of a Change of Control or after the eighteen (18) month period following a Change of Control, then Executive shall be entitled to receive severance and any other benefits only as may then be established under the
Company’s existing written severance and Benefits Plans, if any, or pursuant to any other written agreements with the Company. 
 (f) Exclusive Remedy. In the event of a termination of Executive’s employment within eighteen (18) months following a Change of Control, the provisions of this Section 9 are intended to be and are exclusive and in lieu
of any other rights or remedies to which Executive or the Company may otherwise be entitled, whether at law, tort or contract, in equity, or under this Agreement. Executive shall be entitled to no benefits, compensation or other payments or rights
upon termination of employment following a Change in Control other than those benefits expressly set forth in this Section 9. 
 10.
Conditional Nature of Severance Payments. 
 (a) Non-Solicitation. Until the date one (1) year after the
termination of Executive’s employment with the Company for any reason, Executive agrees not, either directly or indirectly, to solicit, induce, attempt to hire, recruit, encourage, take away, hire any employee of the Company or any successor
entity or cause an employee to leave his or her employment either for Executive or for any other entity or person. Additionally, Executive acknowledges that Executive’s right to receive the severance payments set forth in Section 9 (to the
extent Executive is otherwise entitled to such payments) are contingent upon Executive complying with this Section 10 and upon any breach by Executive of this Section 10: (i) Executive shall refund to the Company all cash paid to
Executive pursuant to Section 9 of this Agreement; and (ii) all severance benefits pursuant to this Agreement shall immediately cease. 
 (b) Understanding of Obligations. Executive represents that he (i) is familiar with the foregoing covenant not to solicit, and (ii) is fully aware of his or her obligations hereunder, including,
without limitation, the reasonableness of the length of time, scope and geographic coverage of such covenant. 
 11. Limitation of
Payments. In the event that the severance and other benefits provided for in this Agreement or otherwise payable to Executive (i) constitute “parachute payments” within the meaning of Section 280G of the Internal Revenue Code
of 1986, as amended (the “Code”) and (ii) but for this Section 11, would be subject to the excise tax imposed by Section 4999 of the Code, then Executive’s benefits hereunder shall be either: 
 (a) delivered in full, or 

 (b) delivered as to such lesser extent which would result in no portion of such severance
benefits being subject to excise tax under Section 4999 of the Code, 
 whichever of the foregoing amounts, taking into account the applicable federal,
state and local income taxes and the excise tax imposed by Section 4999, results in the receipt by Executive on an after-tax basis, of the greatest amount of severance benefits, notwithstanding that all or some portion of such severance
benefits may be taxable under Section 4999 of the Code. Unless the Company and Executive otherwise agree in writing, any determination required under this Section 11 shall be made in writing by the Company’s independent public
accountants immediately prior to Change of Control (the “Accountants”), whose determination shall be conclusive and binding upon Executive and the Company for all purposes. For purposes of making the calculations required by this
Section 11, the Accountants may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good faith interpretations concerning the application of Sections 280G and 4999 of the Code. The Company and
Executive shall furnish to the Accountants such information and documents as the Accountants may reasonably request in order to make a determination under this Section 11. The Company shall bear all costs the Accountants may reasonably incur in
connection with any calculations contemplated by this Section 11. If there is a reduction pursuant to this Section 11 of the severance benefits to be delivered to Executive, such reduction shall first be applied to any cash amounts to be
delivered to the Executive under this Agreement and thereafter to any other severance benefits of Executive hereunder. 
 12. Definition
of Terms. The following terms referred to in this Agreement shall have the following meanings: 
 (a) Benefit
Plans. “Benefit Plans” means plans, policies or arrangements that the Company sponsors (or participates in) and that immediately prior to Executive’s termination of employment provide Executive and/or Executive’s eligible
dependents with medical, dental, vision and/or financial counseling benefits. Benefit Plans do not include any other type of benefit (including, but not by way of limitation, disability, life insurance or retirement benefits). A requirement that the
Company provide Executive and Executive’s eligible dependents with coverage under the Benefit Plans will not be satisfied unless the coverage is no less favorable than that provided to Executive and Executive’s eligible dependents
immediately prior to Executive’s termination of employment. Notwithstanding any contrary provision of this Section 12, but subject to the immediately preceding sentence, the Company may, at its option, satisfy any requirement that the
Company provide coverage under any Benefit Plan by instead providing coverage under a separate plan or plans providing coverage that is no less favorable or by paying Executive a lump sum payment sufficient to provide Executive and Executive’s
eligible dependents with equivalent coverage under a third party plan that is reasonably available to Executive and Executive’s eligible dependents. 
 (b) Cause. “Cause” means any of the following: (i) the failure by you to substantially perform your duties with the Company (other than due to your incapacity as a result of physical or mental
illness for a period not to exceed 90 days); (ii) the engaging by you in conduct which is materially injurious to the Company, its business or reputation, or which constitutes gross misconduct; (iii) your material breach of the terms of
this Agreement, the Invention Agreement or any other agreements between you and the Company; (iv) the material breach or taking of any action in material contravention of the policies of the Company adopted by the Board or any committee 

 
thereof, including, without limitation, the Company’s policies adopted by the Board of Directors or any committee thereof (including, without
limitation, a Code of Ethics, Insider Trading Compliance Program, Disclosure Process and Procedures or Corporate Governance Guidelines, if any such policies are adopted by the Board of Directors); (v) your conviction for or admission or plea of
no contest with respect to a felony; or (vi) an act of fraud against the Company, the misappropriation of material property belonging to the Company, or an act of violence against an officer, director, employee or consultant of the Company;
provided, however, that in the event that any of the foregoing events in (i), (iii) or (iv) is capable of being cured, the Company shall provide written notice to you describing the nature of such event, and you shall thereafter have
thirty (30) business days to cure such event. 
 (c) Change of Control. “Change of Control” means the
occurrence of any of the following: 
 (i) Any “person” (as such term is used in Sections 13(d) and 14(d) of the
Securities Exchange Act of 1934, as amended) becomes the “beneficial owner” (as defined in Rule 13d-3 under said Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the total voting
power represented by the Company’s then outstanding voting securities; or 
 (ii) Any action or event occurring within a
two-year period, as a result of which fewer than a majority of the directors are Incumbent Directors. “Incumbent Directors” shall mean directors who either (A) are directors of the Company as of the date hereof, or (B) are
elected, or nominated for election, to the Board with the affirmative votes of at least a majority of the Incumbent Directors at the time of such election or nomination (but shall not include an individual whose election or nomination is in
connection with an actual or threatened proxy contest relating to the election of directors to the Company); or 
 (iii) The
consummation of a merger or consolidation of the Company with any other corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent
(either by remaining outstanding or by being converted into voting securities of the surviving entity) at least fifty percent (50%) of the total voting power represented by the voting securities of the Company or such surviving entity
outstanding immediately after such merger or consolidation; or 
 (iv) The consummation of the sale, lease or other
disposition by the Company of all or substantially all the Company’s assets. 
 Notwithstanding anything to the contrary in this
Agreement, a sale and issuance of capital stock of the Company in one transaction or a series of related transactions in a bona fide venture capital financing for capital raising purposes in which the holders of capital stock of the Company before
the financing do not hold at least a majority of the voting power of the Company after the financing shall not constitute a “Change of Control” for purposes of this Agreement. 
 (d) Disability. “Disability” shall mean that Executive has been unable to perform his or her Company duties as the result
of his or her incapacity due to physical or mental illness, and such inability, at least twenty-six (26) weeks after its commencement, is determined to be total and 

 
permanent by a physician selected by the Company or its insurers and reasonably acceptable to Executive or Executive’s legal representative. Termination
resulting from Disability may only be effected after at least thirty (30) days’ written notice by the Company of its intention to terminate Executive’s employment. In the event that Executive resumes the performance of substantially
all of his or her duties hereunder before the termination of his or her employment becomes effective, the notice of intent to terminate shall automatically be deemed to have been revoked. 
 (e) Good Reason. “Good Reason” means any of the following unless such event is agreed to, in writing or as set forth
below, by you: (i) a material reduction in your salary or benefits (excluding the substitution of substantially equivalent compensation and benefits), other than as a result of a reduction in compensation affecting employees of the Company, or
its successor entity, generally; (ii) a material diminution of your duties or responsibilities relative to your duties and responsibilities in effect immediately prior to the Change of Control, provided however, that a mere change in your title
or reporting relationship alone shall not constitute “Good Reason;” (iii) relocation of your place of employment to a location more than 35 miles from the Company’s office location at the time of the Change of Control; and
(iv) failure of a successor entity in any Change of Control to assume and perform under this Agreement. If any of the events set forth above shall occur, you shall give prompt written notice of such event to the Company, or its successor
entity, and if such event is not cured within thirty (30) days from such notice you may exercise your rights to resign for Good Reason, provided that if you have not exercised such right within 45 days of the date of such notice you shall be
deemed to have agreed to the occurrence of such event. 
 13. Arbitration. 
 (a) General. In consideration of Executive’s service to the Company, its promise to arbitrate all employment related disputes
and Executive’s receipt of the compensation, pay raises and other benefits paid to Executive by the Company, at present and in the future, Executive agrees that any and all controversies, claims, or disputes with anyone (including the Company
and any employee, officer, director, shareholder or benefit plan of the Company in their capacity as such or otherwise) arising out of, relating to, or resulting from Executive’s service to the Company under this Agreement or otherwise or the
termination of Executive’s service with the Company, including any breach of this Agreement, will be subject to binding arbitration under the Arbitration Rules set forth in California Code of Civil Procedure Section 1280 through 1294.2,
including Section 1283.05 (the “Rules”) and pursuant to California law. Disputes which Executive agrees to arbitrate, and thereby agrees to waive any right to a trial by jury, include any statutory claims under state or federal
law, including, but not limited to, claims under Title VII of the Civil Rights Act of 1964, the Americans with Disabilities Act of 1990, the Age Discrimination in Employment Act of 1967, the Older Workers Benefit Protection Act, the California Fair
Employment and Housing Act, the California Labor Code, claims of harassment, discrimination or wrongful termination and any statutory claims. Executive further understands that this Agreement to arbitrate also applies to any disputes that the
Company may have with Executive. 
 (b) Procedure. Executive agrees that any arbitration will be administered by the
American Arbitration Association (“AAA”) and that a neutral arbitrator will be selected in a manner consistent with its National Rules for the Resolution of Employment Disputes. The arbitration proceedings will allow for discovery
according to the rules set forth in the National Rules for the Resolution of Employment Disputes or California Code of Civil Procedure. Executive agrees that 

 
the arbitrator will have the power to decide any motions brought by any party to the arbitration, including motions for summary judgment and/or adjudication
and motions to dismiss and demurrers, prior to any arbitration hearing. Executive agrees that the arbitrator will issue a written decision on the merits. Executive also agrees that the arbitrator will have the power to award any remedies, including
attorneys’ fees and costs, available under applicable law. Executive understands the Company will pay for any administrative or hearing fees charged by the arbitrator or AAA except that Executive will pay the first $125.00 of any filing fees
associated with any arbitration Executive initiates. Executive agrees that the arbitrator will administer and conduct any arbitration in a manner consistent with the Rules and that to the extent that the AAA’s National Rules for the Resolution
of Employment Disputes conflict with the Rules, the Rules will take precedence. 
 (c) Remedy. Except as provided by
the Rules, arbitration will be the sole, exclusive and final remedy for any dispute between Executive and the Company. Accordingly, except as provided for by the Rules, neither Executive nor the Company will be permitted to pursue court action
regarding claims that are subject to arbitration. Notwithstanding, the arbitrator will not have the authority to disregard or refuse to enforce any lawful Company policy, and the arbitrator will not order or require the Company to adopt a policy not
otherwise required by law which the Company has not adopted. 
 (d) Availability of Injunctive Relief. In addition to
the right under the Rules to petition the court for provisional relief, Executive agrees that any party may also petition the court for injunctive relief where either party alleges or claims a violation of this Agreement or the Confidentiality
Agreement or any other agreement regarding trade secrets, confidential information, nonsolicitation or Labor Code §2870. In the event either party seeks injunctive relief, the prevailing party will be entitled to recover reasonable costs and
attorneys fees. 
 (e) Administrative Relief. Executive understands that this Agreement does not prohibit Executive
from pursuing an administrative claim with a local, state or federal administrative body such as the Department of Fair Employment and Housing, the Equal Employment Opportunity Commission or the workers’ compensation board. This Agreement does,
however, preclude Executive from pursuing court action regarding any such claim. 
 (f) Voluntary Nature of Agreement.
Executive acknowledges and agrees that Executive is executing this Agreement voluntarily and without any duress or undue influence by the Company or anyone else. Executive further acknowledges and agrees that Executive has carefully read this
Agreement and that Executive has asked any questions needed for Executive to understand the terms, consequences and binding effect of this Agreement and fully understand it, including that Executive is waiving Executive’s right to a jury trial.
Finally, Executive agrees that Executive has been provided an opportunity to seek the advice of an attorney of Executive’s choice before signing this Agreement. 
 14. Successors. 
 (a) The Company’s Successors. Any successor to the
Company (whether direct or indirect and whether by purchase, merger, consolidation, liquidation or otherwise, and including, without limitation, a parent entity of any successor to the Company) to all or substantially all of the Company’s
business and/or assets shall assume the obligations under this Agreement and agree 

 
expressly to perform the obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such
obligations in the absence of a succession. For all purposes under this Agreement, the term “Company” shall include any successor to the Company’s business and/or assets which executes and delivers the assumption agreement described
in this Section 14(a) or which becomes bound by the terms of this Agreement by operation of law. 
 (b) The
Executive’s Successors. The terms of this Agreement and all rights of Executive hereunder shall inure to the benefit of, and be enforceable by, Executive’s personal or legal representatives, executors, administrators, successors,
heirs, distributees, devisees and legatees. 
 15. Notice. 
 (a) General. Notices and all other communications contemplated by this Agreement shall be in writing and shall be deemed to have
been duly given when personally delivered or when mailed by U.S. registered or certified mail, return receipt requested and postage prepaid. In the case of Executive, mailed notices shall be addressed to him or her at the home address which he or
she most recently communicated to the Company in writing. In the case of the Company, mailed notices shall be addressed to its corporate headquarters, and all notices shall be directed to the attention of its Chief Financial Officer. 
 (b) Notice of Termination. Any termination by the Company for Cause or by Executive for Good Reason or as a result of a voluntary
resignation shall be communicated by a notice of termination to the other party hereto given in accordance with Section 15(a) of this Agreement. Such notice shall indicate the specific termination provision in this Agreement relied upon, shall
set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and shall specify the termination date (which shall be not more than thirty (30) days after the giving of
such notice). 
 16. Miscellaneous Provisions. 
 (a) No Duty to Mitigate. Executive shall not be required to mitigate the amount of any payment contemplated by this Agreement, nor,
except as otherwise contemplated in this Agreement, shall any such payment be reduced by any earnings that Executive may receive from any other source. 
 (b) Waiver. No provision of this Agreement shall be modified, waived or discharged unless the modification, waiver or discharge is agreed to in writing and signed by Executive and by an authorized officer of
the Company (other than Executive). No waiver by either party of any breach of, or of compliance with, any condition or provision of this Agreement by the other party shall be considered a waiver of any other condition or provision or of the same
condition or provision at another time. 
 (c) Headings. All captions and section headings used in this Agreement are
for convenient reference only and do not form a part of this Agreement. 
 (d) Entire Agreement. This Agreement and the
Invention Agreement constitute the entire agreement of the parties hereto and supersedes in their entirety all prior representations, understandings, undertakings or agreements (whether oral or written and whether expressed or 

 
implied) of the parties with respect to the subject matter hereof. No future agreements between the Company and Executive may supersede this Agreement,
unless they are in writing and specifically mentioned this Agreement. 
 (e) Choice of Law. The laws of the State of
California (without reference to its choice of laws provisions) shall govern the validity, interpretation, construction and performance of this Agreement. 
 (f) Severability. The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability of any other provision hereof, which shall remain in full
force and effect. 
 (g) Withholding. All payments made pursuant to this Agreement will be subject to withholding of
applicable income and employment taxes. 
 (h) Counterparts. This Agreement may be executed in counterparts, each of
which shall be deemed an original, but all of which together will constitute one and the same instrument. 
 [Remainder of Page
Intentionally Left Blank] 

 IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the Company by its
duly authorized officer, as of the day and year set forth below. 
  

									
	COMPANY	 		 	NEUROGESX INC.
					
		 		 		 	By:	 	/s/ Anthony A. DiTonno
		 		 		 	Title:	 	CEO
				
	EXECUTIVE	 		 	By:	 	/s/ Susan Rinne
		 		 		 		 	Susan RinneComerica Bank Foreign Currency Exechange Master Agreement

 EXHIBIT 10.1 
 

 
 COMERICA BANK 
 FOREIGN CURRENCY EXCHANGE MASTER AGREEMENT 
 The undersigned Customer and Comerica Bank, a Michigan banking
corporation (“Bank”), agree that Bank will provide Customer with Comerica’s Foreign Currency Exchange Transaction Service (“FX Service”) under the terms and conditions of this Master Agreement:

 1. Definitions. The following terms will have the following meanings in this Agreement: 
 “Business Day” means for purposes of (i) solely in relation to delivery of a Currency, a day which is a Local Banking Day in relation to
that Currency; and (ii) any other provision of the Agreement (as that term is defined in Section 2.2 below), a day which is a Local Banking Day for the applicable locations of both parties; provided, however, that neither Saturday nor
Sunday will be considered a Business Day for any purpose. 
 “Confirmation” means a writing (including facsimile or other electronic
means from which it is possible to produce a hard copy, but subject to Section 2.5 below) evidencing an FX Transaction, and specifying: 
 (i) the
parties thereto, 
 (ii) the amounts of the Currencies being bought or sold and by which party, 
 (iii) the Value Date, and 
 (iv) any other term generally included in such a writing in accordance with the practice of the
relevant foreign exchange market. 
 “Currency” means money denominated in the lawful currency of any country. 
 “Currency Obligation” means any obligation of a party to deliver a Currency pursuant to an FX Transaction. 
 “Customer” means the undersigned customer on behalf of itself as well as on behalf of its affiliates and subsidiaries set forth on Exhibit A
attached hereto. 
 “FX Transaction” means any transaction between the parties for the purchase by one party of an agreed amount in
one Currency against the sale by it to the other of an agreed amount in another Currency, both such amounts either being deliverable on the same Value Date or, if the parties have so agreed, being cash-settled in a single Currency, which is or shall
become subject to the Agreement and in respect of which transaction the parties have agreed (whether orally, electronically or in writing): the Currencies involved, the amounts of such Currencies to be purchased and sold, which party will purchase
which Currency, and the Value Date. Additionally, the Bank may designate any of the following as an FX Transaction: Spot, Forward, Currency Options and Non-Deliverable Forward (NDF). 
 “Local Banking Day” means (i) for any Currency, a day on which commercial banks effect deliveries of that Currency in accordance with the market practice of the relevant foreign exchange
market, and (ii) for any party, a day in the location of the principal residence or office of such party on which commercial banks in that location are not authorized or required by law to close. 
 “Value Date” means, with respect to any FX Transaction, the Business Day (or where market practice in the relevant foreign exchange market in
relation to the two Currencies involved provides for delivery of one Currency on one date which is a Local Banking Day in relation to that Currency but not to the other Currency and for delivery of the other Currency on the next Local Banking Day in
relation to that other Currency (“Split Settlement”) the two Local Banking Days in accordance with that market practice) agreed by the parties for delivery of the Currencies to be purchased and sold pursuant to such FX
Transaction, and, with respect to any Currency Obligation, the Business Day (or, in the case of Split Settlement, Local Banking Day) upon which the obligation to deliver Currency pursuant to such Currency Obligation is to be performed. 

2. Foreign Exchange Transactions. 
 2.1 Scope of the
Agreement. The parties may enter into FX Transactions, for such quantities of such Currencies, as may be agreed subject to the terms of the Agreement; provided that neither party shall be required to enter into any FX Transaction with the other
party. Unless otherwise agreed in writing by the parties, each FX Transaction entered into between the parties on or after the date of this Master Agreement shall be governed by the Agreement. 
  

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 2.2 Single Agreement. This Master Agreement, the terms agreed between the parties with respect to each FX
Transaction (and, to the extent recorded in a Confirmation, each such Confirmation), and all executed addenda and amendments to any of such items shall together form the agreement between the parties (the “Agreement”) and
shall together constitute a single agreement between the parties. The parties acknowledge that all FX Transactions are entered into in reliance upon such fact, it being understood that the parties would not otherwise enter into any FX Transaction.

 2.3 Confirmations. Subject to Section 11.4, all conversations related to FX Transactions shall be recorded by Bank. FX Transactions shall be
promptly confirmed verbally by the parties, with follow-up Confirmations exchanged by mail, facsimile or other electronic means from which it is possible to produce a hard copy, subject to Section 2.5 below (such follow-up Confirmation shall
constitute a “written Confirmation”). The terms of such written Confirmation shall be deemed correct and accepted absent manifest error. Any party objecting to the terms of the written Confirmation shall, as soon as practicable (and no
later than two (2) Business Days after its receipt of such written Confirmation), send a corrected written Confirmation. Bank and Customer shall work together to resolve promptly such discrepancy. The failure by a party to issue a Confirmation
shall not prejudice or invalidate the terms of any FX Transaction. 
 2.4 Inconsistencies. In the event of any inconsistency between the terms of a
Confirmation and the other provisions of the Agreement, the other provisions of the Agreement shall prevail, and the Confirmation shall not modify the other terms of the Agreement. 
 2.5 E-mail Notification. From time to time Bank may provide Customer with a system-generated e-mail notification advising that an FX Transaction has occurred (an “E-mail Notification”). Customer
acknowledges that E-mail Notifications are provided as a convenience only and are not Confirmations. Customer agrees that any concerns regarding the contents of an E-mail Notification will be addressed with Bank via phone and not via e-mail, and
that it will not reply directly to any E-mail Notifications. Customer will not use e-mail to send Bank communications which contain unencrypted confidential information such as passwords, account numbers or social security numbers. In addition,
Customer acknowledges that it will not send, via e-mail, any inquiry or request that may be of a time-sensitive nature. If Customer receives an E-mail Notification by mistake, it will destroy or delete the message and advise Bank of the error.

 3. Customer Orders. 
 3.1 Customer may request that
Bank purchase or sell a Currency on behalf of and for the benefit of Customer. Customer understands that the types of Currency Bank may make available for sale or purchase under this Master Agreement are subject to change from time to time at
Bank’s discretion. 
 3.2 Customer agrees to make its FX Service request by such means as Bank may make available for use by Customer from time to time,
including but not limited to telephone, facsimile, Internet, or private systems. Prior to Bank’s execution of a Customer order, if Customer discovers what it believes to be an error or discrepancy in the initiation of its FX request, Customer
must notify Bank immediately at the address and using the communications methods indicated by Bank to Customer from time to time. After receipt of notice, Bank will take reasonable steps to correct the error in such initiation, if reasonably
practicable without cost to Bank, if Customer caused the error. Customer further agrees to provide Bank with such documentation as Bank deems necessary prior to using the FX Service. In particular: 
 (a) If Customer uses the telephone FX Service, Bank is authorized by Customer to accept and act on requests and
instructions received from any person identifying himself/herself as a person designated in writing by Customer as an Authorized User and a Confirmer, if applicable. 
 (b) If Customer uses the Internet FX Service (“Comerica eFX®”), Customer will enter into and comply with Bank’s Treasury Management Services Agreement – Automated Information Reporting and Transaction Initiation Service –
Treasury Management Connect WebSM (the “TMC Web Agreement”) and any related user guides (the “User Guides”), and Bank is authorized by
Customer to accept and act on requests and instructions received through the Comerica eFX system in accordance with the TMC Web Agreement and User Guides and the other terms of this Master Agreement related thereto. 
 (c) If Customer uses a private system service (such as Bloomberg), Bank is authorized by Customer to accept and act
on requests and instructions that comply with the security procedures for the private system. 
 Customer understands and agrees that, although the Comerica
eFX system enables Customer to establish specific transactional limits for various Authorized Users utilizing Comerica eFX, such limits do not apply to FX Service requests initiated by any means other than Comerica eFX. Bank does not accept any
responsibility to monitor or verify Comerica eFX transactional limits established by Customer, nor to apply such limits to FX Service requests initiated by any other means, including FX Service requests initiated by another means after a similar
Comerica eFX request has been denied by 

  

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the Comerica eFX system due to the application of such limits. Bank shall have no liability to Customer as a result of accepting and acting on any request or
instruction received from any Authorized User by any means other than Comerica eFX that exceeds such Authorized User’s established Comerica eFX limits. 
 3.3 Customer understands that Bank is not obligated to complete any FX Transaction request for Customer unless the Customer has in its designated demand deposit account at Bank sufficient good and collected funds to cover the amount of the
transaction request including fees, or has a line of credit with Bank on which Bank may draw to cover the amount of the transaction request including fees, or Bank and Customer have otherwise entered into a written agreement for the settlement and
payment of the transaction request and fees. Additionally, Bank may require Customer to execute appropriate documentation evidencing Bank’s security under this Section 3.3. 
 3.4 On a best efforts basis, Bank agrees to accept FX Transaction requests from Customer to buy or sell foreign currencies at specific foreign exchange rates. Customer understands and agrees that, due to foreign
exchange rate movements, Bank’s execution of Customer’s request at the designated exchange rate may not be possible. In the event that such designated rate is not available, Customer agrees Bank is authorized to execute, and Customer will
accept, orders to buy or sell foreign currencies at the exchange rate next available to Bank. 
 4. Settlement and Netting. 
 4.1 Settlement. Subject to Sections 4.2 and 4.3, each party shall deliver to the other party the amount of the Currency to be delivered by it under each Currency
Obligation on the Value Date for such Currency Obligation. 
 4.2 Settlement Netting. Unless otherwise mutually agreed, if, on any date, more than one
delivery of a particular Currency under Currency Obligations is to be made, then each party shall aggregate the amounts of such Currency deliverable by it and only the difference between these aggregate amounts shall be delivered by the party owing
the larger aggregate amount to the other party, and, if the aggregate amounts are equal, no delivery of the Currency shall be made. 
 4.3 Novation
Netting By Currency. If the parties enter into an FX Transaction giving rise to a Currency Obligation for the same Value Date and in the same Currency as a then-existing Currency Obligation between the parties, then immediately upon entering
into such FX Transaction, each such Currency Obligation shall automatically and without further action be individually canceled and simultaneously replaced by a new Currency Obligation for such Value Date determined as follows: the amounts of such
Currency that would otherwise have been deliverable by each party on such Value Date shall be aggregated and the party with the larger aggregate amount shall have a new Currency Obligation to deliver to the other party the amount of such Currency by
which its aggregate amount exceeds the other party's aggregate amount, provided that if the aggregate amounts are equal, no new Currency Obligation shall arise. This Section 4.3 shall not affect any other Currency Obligation of a party to
deliver any different Currency on the same Value Date. 
 4.4 Acceleration. In the event Customer is in default under any FX Transaction or if Bank
determines there is a material adverse change in the overall financial condition of Customer, Bank may at its option request additional security from Customer or accelerate all FX Transactions in the same Currency with Customer without respect to
the originally contracted Value Dates so that all such FX Transactions have the same Value Date, and Bank then may net all such FX Transactions as provided in Section 4.2 or 4.3. 
 4.5 Applicability. The netting provisions in this Article 4 shall apply notwithstanding the failure of Bank to send a Confirmation or that Bank sent a Confirmation that incorrectly states any term of any FX
Transaction. 
 4.6 Failure to Record. The provisions of Section 4.3 shall apply notwithstanding that either party may fail to record the new
Currency Obligation in its books. 
 5. Bank’s Limitation of Liability; Indemnity; Time for Bringing Claims. 
 5.1 Bank will not be liable to Customer for any failure or delay in the performance of any of its obligations under any Agreement if such failure or delay results from
causes beyond Bank’s reasonable control, including but not limited to communications failures, terrorist actions, market interruptions, war, riots, strikes, acts of god, or government action or inaction. 
 5.2 Notwithstanding any other provision of this Agreement, Bank’s liability resulting from any error caused by Bank, its agents or service providers in performing
or providing in any manner the FX Service will be limited to the actual and direct damages suffered and provable by Customer in an amount not to exceed the amount of interest, at the prevailing rate for the subject currency as available to Bank,
which would have been earned had the error not occurred. IN NO EVENT WILL 

  

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BANK BE LIABLE FOR ANY CONSEQUENTIAL, SPECIAL, PUNITIVE OR INDIRECT DAMAGES OR LOSSES EVEN IF IT IS ADVISED OF THE POSSIBILITY OF SUCH DAMAGES IN ADVANCE.

 5.3 Indemnity. Except to the extent that any liability, loss or damage is caused by the gross negligence or willful misconduct of Bank, Customer
will indemnify Bank fully against any liability, loss or damage incurred by Bank however arising and by whomever caused, whether arising directly or indirectly from Customer's use or operation of the FX Service, including, without limitation, third
party claims arising from any FX Transaction completed at the instruction or purported instruction of Customer. 
 5.4 Customer acknowledges that Bank may be
required to provide claim notices to third parties within 60 days of the applicable Value Date. Therefore, no claim arising out of or relating to this Agreement may be brought by Customer unless Customer has provided to Bank written notice of the
claim within 60 days of the applicable Value Date. 
 6. Customer’s Responsibilities. 
 6.1 Customer shall provide Bank with such authorizations and documents as Bank deems necessary for purposes of providing the FX Service. Customer assumes all liability
for providing such documents and authorizations in a timely manner. 
 6.2 Customer assumes all responsibility for maintaining security and confidentiality
measures in relation to its use of the FX Service. Customer agrees that any FX Transactions made using security codes, passwords, digital certificates and the like that are assigned to Customer, are authorized FX Transactions for which Customer
assumes all liability. 
 6.3 Customer shall pay when due all payment obligations owing under each Agreement. Customer agrees to pay any overdue amount on
demand with interest at an annual rate equal to the cost to Bank (without proof or evidence of any kind of the actual cost to Bank) if Bank were to fund the overdue amount. Interest shall be calculated on the basis of daily compounding and the
actual number of days elapsed. 
 6.4 The obligation of Customer to make payments in any Currency will not be discharged or satisfied by any recovery under
any judgment expressed in or converted into U.S. dollars except to the extent to which such recovery results in the effective receipt by Bank of the full amount of such Currency that was so payable. The obligation of Customer shall be enforceable as
an alternative or additional cause of action for the purpose of a recovery in U.S. dollars of the amount by which such effective receipt falls short of the full amount of such Currency that was payable under an Agreement. 
 7. Security Procedures. 
 7.1 Bank is authorized and directed by
Customer to provide to the persons named and designated by Customer (each an “Authorized User”) in the completed FX Service Master Agreement – Designation of Authorized Users form, any security devices, including cards,
codes, digital certificates, user id, passwords, and software that is necessary for the use of the FX Service. 
 7.2 If Customer elects to use Comerica eFX,
Bank will add each Authorized User to the Comerica eFX system and designate each Authorized User as either an “Administrator” or a “Corporate User” as requested by Customer. Bank will complete the Comerica eFX setup for each
designated Administrator, granting the transactional limits, authorities, permissions, etc. as determined by Bank and consistent with Bank policy (or as may be otherwise agreed between Bank and Customer). Customer’s Administrator(s) is
responsible for accessing Comerica eFX to complete the setup of each Corporate User, including giving the Corporate Users various transactional limits, authorities, permissions, etc. Customer understands that Bank does not monitor or verify the
setup of Corporate Users by Customer and agrees that such setup is the sole responsibility of Customer. Bank shall have no liability to Customer of any kind resulting from Customer’s failure to properly complete the setup of each Corporate User
on the Comerica eFX system. 
 7.3 Any change to the list of Authorized Users must be made in writing by a Customer-authorized signer and shall be effective
on the later of the date indicated in the written change notice or at the opening of Bank’s business on the third Business Day following Bank’s receipt of such notice. 
 8. Representations, Warranties and Covenants. 
 8.1 Representations and Warranties. Each party represents and
warrants to the other party as of the date of this Master Agreement and as of the date of each FX Transaction that: (i) it has authority to enter into the Agreement (including such FX Transaction); (ii) the persons entering into the
Agreement (including such FX Transaction) on its behalf have been duly 

  

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authorized to do so; and (iii) the Agreement (including such FX Transaction) is binding upon it or in the case of Customer, is binding upon itself as
well as its affiliates and subsidiaries set forth on Exhibit A, as the case may be, and enforceable against the parties in accordance with its terms (subject to applicable bankruptcy, reorganization, insolvency, moratorium or similar laws affecting
creditors’ rights generally and applicable principles of equity) and does not and will not violate the terms of any agreements to which such party is bound. Customer further represents and warrants that it acts as principal in entering into
each FX Transaction. 
 8.2 Covenants. Each party covenants to the other party that it will at all times obtain and comply with the terms of and do
all that is necessary to maintain in full force and effect all authorizations, approvals, licenses and consents required to enable it lawfully to perform its obligations under the Agreement. 
 9. Customer to Rely on its Own Expertise. 
 Customer represents and
warrants to Bank as of the date of this Master Agreement and as of the date of each FX Transaction that (absent a written agreement between the parties that expressly imposes affirmative obligations to the contrary for such FX Transaction): (i)(A)
it is acting for its own account, and it has made its own independent decisions to enter into the Agreement (including such FX Transaction) and as to whether the Agreement (including such FX Transaction) is appropriate or proper for it based upon
its own judgment and upon advice from such advisors as it has deemed necessary, including the present and future results, consequences, risks, and benefits thereof, whether financial, accounting, tax, legal or otherwise; (B) it is not relying
on any communication (written or oral) of Bank as investment advice or as a recommendation to enter into the Agreement (including such FX Transaction), it being understood that information and explanations related to the terms and conditions of the
Agreement (including such FX Transaction) shall not be considered investment advice or a recommendation to enter into such FX Transaction; and (C) it has not received from Bank any assurance or guarantee as to the expected results of such FX
Transaction; (ii) it is capable of evaluating and understanding (on its own behalf or through independent professional advice), and understands and accepts, the terms, conditions and risks of the Agreement (including such FX Transaction); and
(iii) Bank is not acting as a fiduciary or an advisor for it in respect of the Agreement (including such FX Transaction). 
 10. Governing Law;
Venue; Jury Trial Waiver. 
 This Master Agreement, each Agreement, and each FX Transaction will be governed by the laws of the State of Michigan
without regard to conflict of law principles. Any litigation arising out of this Master Agreement, any Agreement, or otherwise in connection with the FX Service will be brought in a court of competent jurisdiction located in the State of Michigan,
both parties waiving any claim that such court does not have personal jurisdiction over it or is an inconvenient forum. THE PARTIES AGREE THAT THE RIGHT TO TRIAL BY JURY IS A CONSTITUTIONAL RIGHT, BUT ONE THAT MAY BE WAIVED. AFTER CONSULTING (OR
HAVING HAD THE OPPORTUNITY TO CONSULT) WITH COUNSEL OF THEIR CHOICE, EACH KNOWINGLY AND VOLUNTARILY AND FOR THEIR MUTUAL BENEFIT, WAIVES ANY RIGHT TO TRIAL BY JURY IN THE EVENT OF LITIGATION REGARDING THIS MASTER AGREEMENT, ANY AGREEMENT, OR THE FX
SERVICE. 
 11. General Provisions. 
 11.1 Service
Revisions. Bank reserves the right to revise the FX Service and any User Guides or reference materials from time to time and to change its hours of operation for the FX Service without prior notice and without consent of Customer. 
 11.2 Notices. Notices required or voluntary under this Master Agreement or an Agreement must be mailed or faxed to Bank at: 
 Comerica Bank (Mailcode 7270) 
 Attn:
Global Capital Markets Manager 
 P.O. Box 75000 
 Detroit, MI 48275 USA 
 and to Customer at the address or facsimile number set forth in the application below. Unless
otherwise stated in an Agreement, notice shall be deemed received upon actual receipt. 
 11.3 Assignment. Neither party may assign or transfer or
purport to assign or transfer its rights or obligations under this Master Agreement or any Agreement to a third party without the prior written consent of the other party; provided, however, that Bank may assign this Master Agreement and any
Agreement to an affiliate or to any entity that succeeds (by merger, acquisition, or otherwise) to all or any substantial part of Bank’s assets. Any purported assignment, transfer or charge in violation of this Section 11.3 shall be void.

  

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 11.4 Telephonic Recording. Customer agrees that Bank may electronically record all telephonic conversations
between them and that any such recordings may be submitted in evidence to any court or in any proceedings for the purpose of establishing any matters pertinent to this Agreement. 
 11.5 Termination. Each of the parties may terminate this Master Agreement at any time by seven (7) days’ prior written notice to the other party delivered as prescribed in Section 11.2, and
termination shall be effective at the end of such seventh day; provided, however, that any such termination shall not affect any outstanding Currency Obligations, and the provisions of the Agreement shall continue to apply until all the obligations
of each party to the other under the Agreement have been fully performed. 
 11.6 Severability. In the event any one or more of the provisions
contained in this Master Agreement or any Agreement should be held invalid, illegal or unenforceable in any respect under the law of any jurisdiction, the validity, legality and enforceability of the remaining provisions contained in this Master
Agreement or any Agreement under the law of such jurisdiction, and the validity, legality and enforceability of such and any other provisions under the law of any other jurisdiction shall not in any way be affected or impaired thereby. The parties
shall endeavor in good faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions.

 11.7 No Waiver. No waiver granted by a party and no omission or delay on the part of a party in exercising any right, power or privilege under this
Master Agreement or any Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any such right, power or privilege preclude any other or further exercise thereof or the exercise of any other right, power or
privilege. 
 11.8 Inconsistencies. In the event of any inconsistencies between this Master Agreement and the TMC Web Agreement and/or any User
Guides, the provisions of this Master Agreement shall prevail. 
 Attachment:    Designation of Authorized Users form 

 

 CUSTOMER, ON BEHALF OF ITSELF AS WELL AS ON
BEHALF OF ITS AFFILIATES AND 
 SUBSIDIARIES SET FORTH ON EXHIBIT A 
  

					
		 	Accepted:	  	Veri-Tek International, Corp.
		 		  	[Typed Name of Customer]
		 		  	
		 	By:	  	/s/ David H. Gransee
		 		  	[Signature of Authorized Signer]
			
		 	Date:	  	 Sept. 7, 2007

			
		 	Name:	  	 David H. Gransee

			
		 	Title:	  	 VP & CFO

									
		 	Address:	  	7402 W. 100th Pl.
			
		 		  	 
			
		 	City:	  	Bridgeview
					
		 	State:	  	IL	  	Postal Code:	  	60455
			
		 	Country:	  	United States
			
		 	Phone:	  	708 237-2078

  

					
		
		 	COMERICA BANK  

		 	By:	  	 /s/ James Q. Goudie III

			
		 	Date:	  	 9/7/07

			
		 	Name:	  	 James Q. Goudie

			
		 	Title:	  	 VP & AGM

					
			
		 		  	
		
		 	
		 	Comerica Bank (Mailcode 7270)
P.O. Box 75000
Detroit, MI 48275 USA
248-371-6808
		 		  	
		 		  	
		 		  	
		 		  	

  

 Page 6 of 7 

 EXHIBIT A 
 CUSTOMER’S SUBSIDIARIES AND AFFILIATES 
  

 Page 7 of 7

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