Document:

Exhibit 10.23

 

AMENDED AND RESTATED
EMPLOYMENT AGREEMENT

 

The EMPLOYMENT AGREEMENT (as may be supplemented or
amended in accordance with the provisions hereof) dated as of June 12, 2007 (“Effective
Date”) between Talecris Biotherapeutics Holdings Corporation (the “Company”)
and Alberto Martinez (the “Executive”) (together, the “Parties”).

 

WHEREAS, the Executive and the Company entered an
Employment Agreement dated as of September 26, 2005 as amended and restated as
of October 17, 2005.

 

WHEREAS, the Executive and the Company now wish to
establish new terms of Executive’s employment with the Company from and after
the Effective Date.

 

Accordingly, the Parties agree as follows:

 

1.     Employment and Acceptance. The Company shall continue to
employ the Executive, and Executive shall accept employment, subject to the
terms of this Agreement on and after the Effective Date.

 

2.     Term. Subject to earlier termination pursuant to Section 5
of this Agreement, this Agreement and the employment relationship hereunder
shall continue until April 1, 2009 (“Initial Term”) and shall renew for
successive one year intervals upon written notification by the Board of
Directors. If the Board does not provide such written notification sixty days
prior to the expiration of the Term, then the Agreement shall not be extended.
If the Board provides such written notification, then the Agreement shall be so
extended unless the Executive provides written notification to the Board that
Executive does not wish to extend the Term. Executive’s written notice of his
desire not to extend the Term shall be provided to the Board by sixty (60) days
prior to the expiration of the Term or, if the Board has not yet then provided
such notification, then by seven (7) days after written notification from the
Board. As used in this Agreement, the “Term” shall refer to the period
beginning on the Effective Date and ending on the date the Executive’s
employment terminates in accordance with this Section 2 or Section 5. In the
event that the Executive’s employment with the Company terminates for any
reason, the Company’s obligation to continue to pay all base salary, as
adjusted, bonus and other benefits then accrued shall terminate except as may
be provided for in Section 5 of this Agreement.

 

3.     Duties and Title.

 

3.1.      Title. The Company shall employ the Executive to render exclusive and
full-time services to the Company and its subsidiaries. The Executive shall
serve in the capacity of President and Chief Operating Officer of Talecris
Biotherapeutics Holdings Corporation, and shall report directly to the Chief
Executive Officer and to any committees of the Board of Directors (the “Board”)
as determined in the discretion of the Board.

 

3.2.      Duties.
The Executive will have such authority and responsibilities as determined
by the Chief Executive Officer and will perform such other executive duties as
may be assigned to Executive by the Board. Initial responsibilities shall
include plasma 

 

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supply, including Talecris Plasma Resources, Inc.;
worldwide commercial operation organizations, business and commercial
development, communications and public relations, research and development, and
information technology. Duties may include line responsibilities or staff
support for any and all functions as determined by the Chief Executive Officer
or the Board. The Executive will devote all his full working-time and attention
to the performance of such duties and to the promotion of the business and
interests of the Company and its subsidiaries.

 

4.     Compensation and Benefits
by the Company. As compensation for all services rendered pursuant to this
Agreement, the Company shall provide the Executive the following during the
Term:

 

4.1.      Base
Salary. The Company will pay to the Executive an annual base salary of five
hundred thousand dollars ($500,000), payable in accordance with the customary
payroll practices of the Company (“Base Salary”). Executive’s Base Salary shall
be reviewed consistent with the normal merit and pay adjustment cycle for
executives. In evaluating adjustments to Executive’s Base Salary, such factors
as corporate performance, individual merit, inflation, and other appropriate
considerations shall be taken into account. All adjustments to the Base Salary
shall be in the sole discretion of the Board, but in no event shall Executive’s
Base Salary be less than five hundred thousand dollars per annum unless similar
percentage decreases are made to other members of the executive staff

 

4.2.      Bonuses.

 

4.2.1.       The Executive will be eligible to receive an
annual bonus (“Bonus”) under a plan established by the Company in the amount
determined by the Board based upon achievement of performance measures derived
from the annual business plan presented by management and approved by the
Board. The Executive’s target bonus shall be 100% of base salary (the “Target
Bonus”), with the actual amount of each Bonus being determined under the Bonus
Plan in effect at that time as approved by the Board.

 

4.2.2.       The Executive shall receive a special
supplemental bonus of $200,000 for 2007, if plasma deliveries from internal and
external sources during calendar year 2007 exceed 2,680,000 liters (which is
105% of the volume contemplated in the Long Range Plan (ver 17)) and Executive
remains employed by the company through December 31, 2007, which supplemental
bonus shall be paid no later than March 15, 2008. Achievement of the milestone
shall be substantially in accordance with the assumptions contained in the Long
Range Plan (ver 17) as determined by the Compensation Committee in its sole
discretion.

 

4.2.3.       The Executive shall receive a special
supplemental bonus of $300,000, if plasma deliveries from internal and external
sources during calendar year 2008 exceed 3,423,000 liters (which is 105% of the
volume contemplated in the Long Range Plan (ver 17)) and Executive remains
employed by the company through December 31, 2008, which supplemental bonus
shall be paid no later than March 15, 2009. Achievement of the milestone shall
be as determined by 

 

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the Compensation Committee in its sole discretion. Achievement
of the milestone shall be substantially in accordance with the assumptions
contained in the Long Range Plan (ver 17) as determined by the Compensation
Committee in its sole discretion.

 

4.3.      Participation
in Employee Benefit Plans. The Executive shall be entitled, if and to the
extent eligible, to participate in all of the applicable benefit plans of the
Company, which may be available to other senior executives of the Company, on
the same terms as such other executives. The Company may at any time or from
time to time amend, modify, suspend or terminate any employee benefit plan,
program or arrangement for any reason without Executive’s consent if such
amendment, modification, suspension or termination is consistent with the
amendment, modification, suspension or termination for other employees of the
Company.

 

4.4.      Vacation.
The Executive shall be entitled to four (4) weeks of paid vacation. Executive
shall not be entitled to payment for unused vacation days upon the termination
of his employment except as set forth in Section 5 below. The carry-over and
accrual of vacation days shall be in accordance with Company policy.

 

4.5.      Expense
Reimbursement. The Executive shall be entitled to receive reimbursement for
all appropriate business expenses incurred by him in connection with his duties
under this Agreement in accordance with the policies of the Company as in
effect from time to time.

 

4.6.      Stock
Options. The Executive will continue to be eligible   participate in the 2005 Stock Option and
Incentive Plan established by the Company (the “Equity Incentive Plan”)
pursuant to the terms of the Equity Incentive Plan and any applicable
agreements thereunder as determined from time to time by the Board.

 

4.7.      Relocation
and Temporary Living Expenses.

 

4.7.1.       Upon submission of appropriate receipts, all
reasonable relocation and temporary living expenses, up to a maximum of
$125,000, incurred by Executive will be reimbursed by the Company including
(but not limited to): relocation assistance fees, realtor and closing costs on
the sale of Executive’s primary residence and purchase of a primary residence
in North Carolina, traveling to and from RTP until residence is relocated,
three family house hunting trips for the Executive and actual moving date,
trucking/moving expenses, temporary quarters and car rental until relocated,
storage and other reasonable expenses incurred in the normal course of
relocation. Taxable relocation expenses will be grossed up to cover Executive’s
federal and state income tax liability. In the event Executive is terminated
under provision 5.1 prior to October 17, 2007, Executive must repay to the
Company promptly upon termination all such expenses incurred by the Company.

 

4.8.      Existing
Incentives. For the avoidance of doubt, Executive’s existing Stock Options,
Restricted Stock, and Special Recognition Bonuses remain in effect on and
following the Effective Date in accordance with their terms of grant, except as
provided by this 

 

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Agreement and are summarized as follows:  

 

	
  Stock option grant dated: November 10, 2005 at
  $11.11

  	
   

  	
  Total shares:197,700

  	
   

  	
  Vested shares:79,080

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Restricted Stock grant dated December 6, 2006

  	
   

  	
  Total shares:47,693

  	
   

  	
  Vested shares:none

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Special Recognition Bonus dated October 2, 2006

  	
   

  	
  Total bonus:$1,233,600

  	
   

  	
  Unpaid:$740,160

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Special Recognition Bonus dated December 6, 2006

  	
   

  	
  Total bonus:$9,793,142

  	
   

  	
  Unpaid:$4,197,038

  

 

5.     Termination of Employment.

 

5.1.      By
the Company for Cause or by the Executive Without Good Reason. If: (i) the
Company terminates the Executive’s employment with the Company for Cause (as
defined below); or (ii) Executive terminates his employment without Good Reason
(as defined below), the Executive or the Executive’s legal representatives (as
appropriate), shall be entitled to receive the following:

 

5.1.1.       the Executive’s accrued but unpaid Base Salary
and benefits set forth in Section 4.3, if any, to the date of termination;

 

5.1.2.       expenses reimbursable under Section 4.5 incurred
but not yet reimbursed to the Executive to the date of termination;

 

5.1.3.       if such termination occurs prior to the
expiration of the Initial Term but more than one year after an initial public
offering by the Company and the termination is not for Cause, then Executive
shall also receive a pro rata portion for the year of any unpaid amounts to be
paid on the next March 15 under the Special Recognition Bonus Plan dated
October 1, 2006, and the Special Recognition Bonus granted December 6, 2006,
such amount to be computed based on the number of days from the prior March 15
in the case of the October 1 plan and March 31 in the case of the December 6
grant through the date of termination divided by 365.

 

For the purposes of
this Agreement, “Cause” means, as determined by the Board (or its designee),
with respect to conduct during the Executive’s employment with the Company,
whether or not committed during the Term, (i) commission of a felony by
Executive; (ii) acts of dishonesty by Executive resulting or intending to
result in personal gain or enrichment at the expense of the Company or its
subsidiaries; (iii) Executive’s material breach of his obligations under this
Agreement; (iv) conduct by Executive in connection with his duties hereunder
that is fraudulent, unlawful or grossly negligent, including, but not limited
to, acts of discrimination; (v) engaging in personal conduct by Executive
(including but not limited to employee harassment or discrimination, the use or
possession 

 

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at work of any
illegal controlled substance) which discredits or damages the Company or its
subsidiaries; (vi) contravention of specific lawful direction from the Chief
Executive Officer or the failure to adequately perform the duties to be
performed by Executive under the terms of Section 3.2 of this Agreement or
(vii) breach of the Executive’s covenants set forth in Section 6 below before
termination of employment; provided, that, the Executive shall have fifteen
(15) days after notice from the Company to cure the deficiency leading to the
Cause determination (except with respect to (i) and (ii) above), if curable. A
termination for “Cause” shall be effective immediately (or on such other date
set forth by the Company).

 

For the purposes of
this Agreement, “Good Reason” means, without the Executive’s consent, (i) a
material adverse reduction in Executive’s responsibilities, position or duties;
(ii) a material adverse reduction in the amount of aggregate compensation
provided for herein; (iii) the Company’s material breach of the Agreement;
provided that a suspension of the Executive and the requirement that the
Executive not report to work shall not constitute “Good Reason” if the
Executive continues to receive the compensation and benefits required by this
Agreement or (iv) relocation of the Executive’s office more than 50 miles from
its location on the Effective Date. Notwithstanding the foregoing, a reduction
in the amount of Executive’s aggregate compensation in an amount proportional
to such a reduction in the aggregate compensation of other senior executives
shall not constitute Good Reason. The Company shall have fifteen (15) days
after receipt of notice from the Executive in writing specifying the deficiency
to cure the deficiency that would result in Good Reason.

 

5.2.      Due
to Death or Disability. If: (i) the Executive’s employment terminates due
to his death; or (ii) the Company terminates the Executive’s employment with
the Company due to the Executive’s Disability (as defined below) and (i) the
Executive honors all applicable provisions of this Agreement following such
termination due to Disability, (ii) Executive agrees to make a good faith
effort to provide consulting services to the Company as requested by the
Company during the severance period at no additional payment or remuneration
other than the severance amount stated herein, (iii) Executive or Executive’s
legal representative executes, without revoking, a valid release agreement in a
form reasonably acceptable to the Company, the Executive or the Executive’s
legal representatives (as appropriate), shall be entitled to receive the
incremental severance payments set forth in this section 5.2 (in addition to
the payments upon termination set forth in Section 5.1):

 

5.2.1.       the unpaid
portion of the Bonus, if any, relating to the calendar year prior to the
calendar year of the Executive’s termination, payable in a lump sum within
thirty (30) days of termination;

 

5.2.2.       if the Company
achieves the performance objectives for the year in which Executive’s
employment is terminated, a pro-rata share of the Bonus in such performance
year (based upon the number of days he was employed by the Company in the year
in question) at 100% of Target Bonus, payable in the same manner and at the
same time as other executives remaining at the Company are paid; and

 

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5.2.3.       the vesting of
stock options as set forth in Section 4.2 of Executive’s Stock Option Award
Agreement.

 

For the purposes of this Agreement,
“Disability” means a reasonable determination by the Company in accordance with
applicable law that as a result of a physical or mental injury or illness, the
Executive is unable to perform the essential functions of his job with or
without reasonable accommodation for a period of (i) 60 consecutive days; or
(ii) 90 days in any one (1) year period.

 

5.3.      By
the Company Without Cause or By the Executive for Good Reason. Except as
provided in Section 5.6, if during the Term (i) the Company terminates
Executive’s employment without Cause (which may be done at any time without
prior notice), (ii) Executive terminates his employment for Good Reason upon at
least fifteen (15) days prior written notice, or (iii) the Company does not
renew this Agreement at the end of the Initial Term, the Executive shall
receive the incremental severance payments set forth in this Section 5.3, as
described below (in addition to the payments upon termination specified in
Section 5.2) upon execution without revocation of a valid release agreement in
a form reasonably acceptable to the Company and provided that the Executive
honors all applicable provisions of this Agreement following termination and
that Executive has made a good faith effort to support the transition including
periodic consulting services to the Company during this eighteen (18) month
time period, at no additional payment or remuneration other than the severance
amount stated herein:

 

5.3.1.       payment for
accrued unused vacation days, payable in accordance with Company policy;

 

5.3.2.       continued Base
Salary for the greater of eighteen (18) months after the date of termination or
the remainder of the number of months remaining in the then current contract
term payable in equal monthly installments on the last business day of the
month,;

 

5.3.3.       bonus payments in an aggregate amount equal to
the lesser of the bonus amount received by the Executive for the year prior to
the calendar year of the Executive’s termination or the Target Bonus, payable
in equal monthly installments for twelve (12) months on the last business day
of the month; and

 

5.3.4.       reimbursement of the cost of continuation
coverage of group health coverage pursuant to the Consolidated Omnibus Budget
Reconciliation Act of 1986 for a maximum of twelve (12) months to the extent
Executive elects such continuation coverage and is eligible and subject to the
terms of the plan and the law.

 

5.3.5.       all reasonable expenses incurred by the
Employee, but not yet reimbursed, to relocate the Employee and his family to
the Raleigh area, subject to the relocation provisions set forth in section
4.2. In addition, if such termination occurs prior to October 17, 2007, the
company shall reimburse Executive to re-locate his family back to Philadelphia,
upon submission of appropriate receipts, 

 

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but limited in total to $125,000.

 

The Company’s obligation to provide
the payments and benefits set forth above in sections 5.2 and 5.3 will
immediately cease in the event the Executive engages in conduct constituting a
breach of the provision of Sections 5.5 or 6 of this Agreement.

 

5.4.      Removal from
any Boards and Position. If the Executive’s employment is terminated
for any reason under this Agreement, he shall be deemed to resign (i) if a
member, from the Board or board of directors of any subsidiary of the Company
or any other board to which he has been appointed or nominated by or on behalf
of the Company and (ii) from any position with the Company or any subsidiary of
the Company, including, but not limited to, as an officer of the Company and
any of its subsidiaries.

 

5.5.      Non-disparagement.
The Executive agrees that he will not at any time (whether during or
after the Term) publish or communicate to any person or entity except to his
spouse, legal counsel or tax advisor any Disparaging (as defined below)
remarks, comments or statements concerning the Company, Cerberus Capital
Management, L.P., Ampersand Ventures, their parents, subsidiaries and
affiliates, and their respective present and former members, partners,
directors, officers, shareholders, employees, agents, attorneys, successors and
assigns. “Disparaging” remarks, comments or statements are those that impugn
the character, honesty, integrity or morality or business acumen or abilities
in connection with any aspect of the operation of business of the individual or
entity being disparaged.

 

5.6.      Transition
Services. In the event the Company terminates Executive’s employment
without Cause or Executive terminates his employment for Good Reason pursuant
to Section 5.3(i) or (ii), then the Company will offer, and the Executive will
enter, a consulting agreement on providing for Executive to provide services to
the Company reasonably necessary for transition purposes. Compensation under
the consulting agreement shall be based on an hourly rate of $300, not to
exceed $2,000 per day, for services rendered. The consulting agreement shall
expire on the next April 1 following termination. For the avoidance of doubt,
during the period of the consulting agreement, Executive will be considered a
Key Person under the 2005 Stock Option and Incentive Plan, an Eligible
Individual under the Special Recognition Bonus Plan dated October 1, 2006, and
to be engaged in Continuous Service with the Company under the 2006 Restricted
Stock Plan and the Special Recognition Bonus granted December 6, 2006, and
awards under such plans will continue to vest and be exercisable in accordance
with the terms of such plans.

 

6.     Restrictions and
Obligations of the Executive

 

6.1.      Confidentiality. (a) During the
course of the Executive’s employment by the Company (prior to and during the
Term), the Executive has had and will have access to certain trade secrets and
confidential information relating to the Company and its subsidiaries (the “Protected
Parties”) which is not readily available from sources outside the Company. The
confidential and Proprietary information and, in any material respect, trade
secrets of the Protected Parties are among their most valuable assets,
including but not limited to, their customer, supplier and vendor lists, 

 

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databases, competitive strategies, computer
programs, frameworks, or models, their marketing programs, their sales,
financial, marketing, training and technical information, their product
development (and proprietary product data) and any other information, whether
communicated orally, electronically, in writing or in other tangible forms
concerning how the Protected Parties create, develop, acquire or maintain their
products and marketing plans, target their potential customers and operate
their retail and other businesses. The Protected Parties invested, and continue
to invest, considerable amounts of time and money in their process, technology,
know-how, obtaining and developing the goodwill of their customers, their other
external relationships, their data systems and data bases, and all the
information described above (hereinafter collectively referred to as “Confidential
Information”), and any misappropriation or unauthorized disclosure of
Confidential Information in any form would irreparably harm the Protected
Parties. The Executive acknowledges that such Confidential Information
constitutes valuable, highly confidential, special and unique property of the
Protected Parties. The Executive shall hold in a fiduciary capacity for the
benefit of the Protected Parties all Confidential Information relating to the
Protected Parties and their businesses, which shall have been obtained by the
Executive during the Executive’s employment by the Company or its subsidiaries
and which shall not be or become public knowledge (other than by acts by the
Executive or representatives of the Executive in violation of this Agreement).
Except as required by law or an order of a court or governmental agency with
jurisdiction, the Executive shall not, during the period the Executive is
employed by the Company or its subsidiaries or at any time for five (5) years
thereafter, disclose any Confidential Information, directly or indirectly, to
any person or entity for any reason or purpose whatsoever, nor
shall the Executive use it in any way, except in the course of the Executive’s
employment with, and for the benefit of, the Protected Parties or to enforce
any rights or defend any claims hereunder or under any other agreement to which
the Executive is a party, provided that such disclosure is relevant to the
enforcement of such rights or defense of such claims and is only disclosed in
the formal proceedings related thereto. The Executive shall take all reasonable
steps to safeguard the Confidential Information and to protect it against
disclosure, misuse, espionage, loss and theft. The Executive understands and
agrees that the Executive shall acquire no rights to any such Confidential
Information. (b) All files, records, documents, drawings, specifications, data,
computer programs, evaluation mechanisms and analytics and similar items
relating thereto or to the Business (for the purposes of this Agreement, “Business”
shall be as defined in Section 6.3 hereof), as well as all customer lists,
specific customer information, compilations of product research and marketing
techniques of the Company and its subsidiaries, whether prepared by the
Executive or otherwise coming into the Executive’s possession, shall remain the
exclusive property of the Company and its subsidiaries, and the Executive shall
not remove any such items from the premises of the Company and its
subsidiaries, except in furtherance of the Executive’s duties under any
employment agreement. (c) It is understood that while employed by the Company
or its subsidiaries, the Executive will promptly disclose to it, and assign to
it the Executive’s interest in any invention, improvement or discovery made or
conceived by the Executive, either alone or jointly with others, which: (i)
relate in any manner to the existing or contemplated business, research or
activities of the Company; (ii) are suggested by or result from Executive’s
work with the Company, or (iii) result 

 

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from the Executive’s use of the Company’s
time, materials, information, employees or facilities even if made or conceived
during other than working hours. At the Company’s request and expense, the
Executive will assist the Company and its subsidiaries during the period of the
Executive’s employment by the Company or its subsidiaries and thereafter in
connection with any controversy or legal proceeding relating to such invention,
improvement or discovery and in obtaining domestic and foreign patent or other
protection covering the same. (d) As requested by the Company and at the
Company’s expense, from time to time and upon the termination of the Executive’s
employment with the Company for any reason, the Executive will promptly deliver
to the Company and its subsidiaries all copies and embodiments, in whatever
form, of all Confidential Information in the Executive’s possession or within
his control (including, but not limited to, memoranda, records, notes, plans,
photographs, manuals, notebooks, documentation, program listings, flow charts,
magnetic media, disks, diskettes, tapes and all other materials containing any
Confidential Information) irrespective of the location or foam of such
material. If requested by the Company, the Executive will provide the Company
with written confirmation that all such materials have been delivered to the Company
as provided herein. The obligation of confidentiality under this section shall
not apply to information in the public domain or already known to the Executive
prior to the Effective Date.

 

6.2.      Non-Solicitation
or Hire. During the Term and for a period of twenty-four (24) months following
the termination of the Executive’s employment for any reason, the Executive
shall not solicit or attempt to solicit or induce, directly or indirectly: (a)
any person or entity who is a customer of the Company or its subsidiaries, or
who was a customer of the Company or its subsidiaries at any time during the
twelve (12) month period immediately prior to the date the Executive’s
employment terminates for any reason, to market, sell or provide to any such
person or entity any services or products offered by or available from the
Company or its subsidiaries (provided that if the Executive intends to solicit
any such person or entity for any other purpose, he shall notify the Company of
such intention and receive prior written approval from the Company); (b) any
supplier to the Company or any subsidiary to terminate, reduce or alter
negatively its relationship with the Company or any subsidiary or in any manner
interfere with any agreement or contract between the Company or any subsidiary
and such supplier; or (c) any employee of the Company or any of its
subsidiaries or any person who was an employee of the Company or any of its
subsidiaries during the twelve (12) month period immediately prior to the date
the Executive’s employment terminates for any reason, to terminate such
employee’s employment relationship with the Protected Parties in order, in
either case, to enter into a similar relationship with the Executive or any
other person or any entity in competition with the Business of the Company or
any of its subsidiaries. With respect to Section 6.2 (a) above, the Executive
also agrees that he will not accept the business of any such person or entity
described in that provision for the time period specified therein.

 

6.3.      Non-Competition. During the Term
and following the termination of Executive’s employment with the Company for
any reason, Executive, for the greater of eighteen (18) months or the period in
which the Company is making payments to the 

 

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Executive in accordance with sections 5.2 and
5.3 above, and assuming all such payments have been made, shall not, whether
individually, as a Director, Manager, member, stockholder, partner, owner,
employee, consultant or agent of any business, or in any other capacity, other
than on behalf of the Company or its subsidiaries, directly or indirectly
organize, establish, own, operate, manage, control, engage in, participate in,
invest in, permit his name to be used by, act as a consultant or advisor to,
render services which are materially similar to his services provided to the
Company under this Agreement for, alone or in association with any person,
firm, corporation or business organization), including but not limited to Baxter,
CSL, Octapharma, Grifols, Biotest, Kedrion, Kamada, Sanguine, International
BioResources, L.L.C., Bio-Medics, Inc., NABI Biopharmaceuticals, and Interstate
Blood Bank, Inc. (IBBI). or otherwise assist any person or entity that engages
in or owns, invests in, operates, manages or controls any venture or enterprise
which engages or proposes to engage in any business conducted by the Company or
any of its subsidiaries on the date of the
Executive’s termination of employment or within eighteen (18) months of the
Executive’s termination of employment in the geographical areas of: (i)
Johnston and Wake Counties, North Carolina; (ii) the State of North Carolina;
(iii) the states of Pennsylvania, California, New York and Florida; (iv) the
United States of America; and (v) any geographic locations where the Company
and its subsidiaries engage, or propose to engage, in such business (the “business”).
Notwithstanding the foregoing, nothing in this Agreement shall prevent the
Executive from owning for passive investment purposes not intended to
circumvent this Agreement, less than five percent (5%) of the publicly traded
common equity securities of any company engaged in the Business (so long as the
Executive has no power to manage, operate, advise, consult with or control the
competing enterprise and no power, alone or in conjunction with other
affiliated parties, to select a director, manager, general partner, or similar
governing official of the competing enterprise other than in connection with
the normal and customary voting powers afforded the Executive in connection
with any permissible equity ownership).

 

6.4.      Property. The Executive
acknowledges that all originals and copies of materials, records and documents
generated by him or coming into his possession during his employment by the
Company or its subsidiaries are the sole property of the Company and its
subsidiaries (“Company Property”). During
the Term, and at all times thereafter, the Executive shall not
remove, or cause to be removed, from the premises of the Company or its
subsidiaries, copies of any record, file, memorandum, document, computer
related information or equipment, or any other item relating to the business of
the Company or its subsidiaries, except in furtherance of his duties under the Agreement.
When the Executive’s employment with the Company terminates for any reason, or
upon request of the Company at any time, the Executive shall promptly deliver
to the Company all copies of Company Property in his possession or control.

 

6.5.      Sections 6.1,
6.2, and 6.3 of this Agreement, including each provision within those sections,
are independent and severable. In the event that a court of competent
jurisdiction finds any provision of Sections 6.1, 6.2, or 6.3 of this Agreement
to be overbroad or unenforceable for any reason, Executive
and Company hereby 

 

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specifically agree and request that the court
modify each such provision in a manner that will make each such provision
enforceable to the maximum extent allowed by law.

 

7.     Remedies; Specific
Performance. The Parties acknowledge and agree that the Executive’s breach
or threatened breach of any of the restrictions set forth in Section 6 will
result in irreparable and continuing damage to the Protected Parties for which
there may be no adequate remedy at law and that the Protected Parties shall be
entitled to equitable relief, including specific performance and injunctive
relief as remedies for any such breach or threatened or attempted breach. The Executive
also agrees that such remedies shall be in addition to any and all remedies,
including damages, available to the Protected Parties against him for such
breaches or threatened or attempted breaches. In addition, without limiting the
Protected Parties’ remedies for any breach of any restriction on the Executive
set forth in Section 6, except as required by law, the Executive shall not be
entitled to any payments set forth in Section 5.2 or 5.3 hereof if the
Executive has breached the covenants applicable to the Executive contained in
Section 5.5 or 6, the Executive will immediately return to the Protected
Parties any such payments previously received under Sections 5.2 and 5.3 upon
such a breach, and, in the event of such breach, the Protected Parties will
have no obligation to pay any of the amounts that remain payable by the Company
under Sections 5.2 and 5.3.

 

8.     Indemnification. The
Company agrees, to the extent permitted by applicable, to indemnify, defend and
hold harmless the Executive from and against any and all losses, suits,
actions, causes of action, judgments, damages, liabilities, penalties, fines,
costs or claims of any kind or nature (“Indemnified Claim”), including
reasonable legal fees and related costs incurred by Executive in connection
with the preparation for or defense of any Indemnified Claim, whether or not
resulting in any liability, to which Executive may become subject or liable or
which may be incurred by or assessed against Executive, relating to or arising
out of his employment by the Company or the services to be performed pursuant
to this Agreement, provided that: (i) the Company shall only defend but not
indemnify or hold Executive harmless from and against an Indemnified Claim in
the event there is a final, non-appealable determination that Executive’s
liability with respect to such Indemnified Claim resulted from Executive’s
gross misconduct or gross negligence; and (ii) in the event that the Executive’s
actions, inactions, decisions or directions which gave rise to the Indemnified
Claim were outside the scope of his authority or were plainly contrary to
instructions provided him by the Board then the Company shall not be obligated
to either defend or indemnify Executive for the Indemnified Claim and its
responsibilities under this section of the Agreement are null and void.

 

9.     Other Provisions.

 

9.1.      Notices.
Any notice or other communication required or which may be given hereunder
shall be in writing and shall be delivered personally, telegraphed, telexed,
sent by facsimile transmission or sent by certified, registered or express
mail, postage prepaid or overnight mail and shall be deemed given when so
delivered personally, telegraphed, telexed, or sent by facsimile transmission
or, if mailed, four (4) days after the date of mailing or one (1) day after
overnight mail, as follows:

 

11

 

If the Company, to:

 

Attn.: General
Counsel 

P.O. Box 110526

79 TW Alexander Drive 

4101 Research Commons 

Research Triangle Park 

Raleigh, NC 27709

Fax:
(919) 316-6677

 

If the Executive,

 

to the Executive’s home address reflected in the Company’s records.

 

9.2.      Entire
Agreement. This Agreement contains the entire agreement between the Parties
with respect to the subject matter hereof and supersedes all prior agreements,
written or oral, with respect thereto.

 

9.3.      Representations
and Warranties by Executive. The Executive represents and warrants that he
is not a party to or subject to any restrictive covenants, legal restrictions
or other agreements in favor of any entity or person which would in any way
preclude, inhibit, impair or limit the Executive’s ability to perform his
obligations under this Agreement, including, but not limited to,
non-competition agreements, non-solicitation agreements or confidentiality
agreements.

 

9.4.      Waiver and
Amendments. This Agreement may be amended, modified,
superseded, canceled, renewed or extended, and the terms and conditions hereof
may be waived, only by a written instrument signed by the Parties or, in the
case of a waiver, by the party waiving compliance. No delay on the part of any
party in exercising any right, power or privilege hereunder shall operate as a
waiver thereof, nor shall any waiver on the part of any right, power or
privilege hereunder, nor any single or partial exercise of any right, power or
privilege hereunder, preclude any other or further exercise thereof or the
exercise of any other right, power or privilege hereunder.

 

9.5.      Governing Law,
Dispute Resolution and Venue (a) This Agreement shall be governed and
construed in accordance with the laws of the State of North Carolina. (b) The
parties agree irrevocably to submit to the exclusive jurisdiction of the United
States Federal District Court of North Carolina, Eastern Division, or if no
federal jurisdiction exists, to the state courts located in the city of
Raleigh, North Carolina for the purposes of any suit, action or other
proceeding brought by any party arising out of any breach of any of the
provisions of this Agreement and hereby waive, and agree not to assert by way
of motion, as a defense or otherwise, in any such suit, action, or proceeding,
any claim that it is not personally subject to the jurisdiction of the
above-named courts, that the suit, action or proceeding is brought in an
inconvenient forum, that the venue of the suit, action or proceeding is
improper, or that the provisions of this Agreement may not be enforced in or by
such courts. In addition, the parties agree to the waiver of a jury trial.

 

9.6.      Assignability
by the Company and the Executive. This Agreement, and the rights and 

 

12

 

obligations hereunder, may not be assigned by the
Company or the Executive without written consent signed by the other party;
provided that the Company may assign the Agreement to any successor that
continues the business of the Company.

 

9.7.      Counterparts.
This Agreement may be executed in counterparts, each of which shall be

deemed an original but all of which shall constitute one and the same
instrument.

 

9.8.      Headings. The headings in
this Agreement are for convenience of reference only and shall not limit or
otherwise affect the meaning of terms contained herein.

 

9.9.      Severability.
If any term, provision, covenant or restriction of this Agreement, or any
part thereof, is held by a court of competent jurisdiction of any foreign,
federal, state, county or local government or any other governmental,
regulatory or administrative agency or authority to be invalid, void,
unenforceable or against public policy for any reason, the remainder of the
terms, provisions, covenants and restrictions of this Agreement shall remain in
full force and effect and shall in no way be affected or impaired or
invalidated. The Executive acknowledges that the restrictive covenants
contained in Section 6 are a condition of this Agreement and are reasonable and
valid in temporal scope and in all other respects.

 

9.10.    Tax Withholding. The Company or other payor
is authorized to withhold from any benefit provided or payment due hereunder,
the amount of withholding taxes due any federal, state or local authority in
respect of such benefit or payment and to take such other action as may be
necessary in the opinion of the Board to satisfy all obligations for the payment
of such withholding taxes.

 

IN WITNESS WHEREOF, the Parties hereto, intending to be legally bound
hereby, have executed this Agreement as of the day and year first above
mentioned.

 

 

	
  EXECUTIVE

  
	
   

  
	
   

  
	
   

  	
  /s/ ALBERTO
  MARTINEZ

  	
   

  
	
  Name: Alberto Martinez

  
	
   

  
	
   

  
	
  TALECRIS BIOTHERAPEUTICS
  HOLDINGS CORP

  
	
   

  
	
   

  
	
  By:

  	
  /s/ LAWRENCE D. STERN

  	
   

  
	
   

  	
  Chairman

  	
   

  
				

 

13Exhibit 10.24

 

EMPLOYMENT AGREEMENT

 

EMPLOYMENT
AGREEMENT (“Agreement”) dated as of September 14, 2005 between Talecris
Biotherapeutics Holdings Corporation (the “Company”) and John Hanson (the “Executive”)
(together, the “Parties”).

 

WHEREAS, the
Parties wish to establish the terms of Executive’s employment with the Company.

 

Accordingly,
the Parties agree as follows:

 

1.                                      Employment and
Acceptance. The Company shall employ the Executive, and Executive shall
accept employment, subject to the terms of this Agreement, beginning on October
10, 2005 (the “Effective Date”).

 

2.                                      Term. Subject
to earlier termination pursuant to Section 5 of this Agreement, this Agreement
and the employment relationship hereunder shall continue for three (3) years
from the Effective Date (“Initial Term”) and shall renew for one two (2) year
interval upon written notification by the Board of Directors (“First Renewal
Term”) and thereafter for additional one (1) year intervals upon written
notification by the Board of Directors. If the Board does not provide such
written notification thirty days prior to the expiration of the Term, then the
Agreement shall not be extended. If the Board provides such written
notification then the Agreement shall be so extended unless the Executive
provides written notification to the Board that Executive does not wish to
extend the Term. Executive’s written notice of his desire not to extend the
Term shall be provided to the Board by sixty (60) days prior to the expiration
of the Term or, if the Board has not yet then provided such notification, then
by seven (7) days after written notification from the Board. As used in this
Agreement, the “Term” shall refer to the period beginning on the Effective Date
and ending on the date the Executive’s employment terminates in accordance with
this Section 2 or Section 5. In the event that the Executive’s employment with
the Company terminates for any reason, the Company’s obligation to continue to
pay all base salary, as adjusted, bonus and other benefits then accrued shall
terminate except as may be provided for in Section 5 of this Agreement.

 

3.                                      Duties and
Title.

 

3.1                                Title. The
Company shall employ the Executive to render exclusive and full-time services
to the Company and its subsidiaries. The Executive shall serve in the capacity
of Executive Vice President and Chief Financial Officer of Talecris
Biotherapeutics Holdings Corporation, and shall report directly to the Chief
Executive Officer and to any committees of the Board of Directors (the “Board”)
as determined in the discretion of the Board.

 

3.2                                Duties. The
Executive will have such authority and responsibilities and will perform such
executive duties customarily performed by a Chief Financial Officer of a
company in similar lines of business as the Company and its subsidiaries or as
may be assigned to Executive by the Chief Executive Officer. The Executive will
devote all his full working-time and attention to the performance of such
duties and to the promotion of the business and interests of the Company and its
subsidiaries.

 

4.                                      Compensation
and Benefits by the Company. As compensation for all services rendered
pursuant to this Agreement, the Company shall provide the Executive the
following during the Term:

 

 

4.1                                Base Salary. The
Company will pay to the Executive an annual base salary of three hundred and
twenty-five thousand dollars ($325,000), payable in accordance with the
customary payroll practices of the Company (“Base Salary”). Executive’s Base
Salary shall be reviewed consistent with the normal merit and pay adjustment
cycle for executives. In evaluating adjustments to Executive’s Base Salary,
such factors as corporate performance, individual merit, inflation, and other
appropriate considerations shall be taken into account.

 

4.2                                Bonuses. The
Executive will be eligible to receive an annual bonus (“Bonus”) under a plan
established by the Company in the amount determined by the Board based upon
achievement of performance measures derived from the annual business plan
presented by management and approved by the Board. The Executive’s target bonus
shall be 60% of base salary (the “Target Bonus”), with the actual amount of
each Bonus being determined under the Bonus Plan in effect at that time as
approved by the Board. In the first performance year, the Bonus shall be
prorated for the period of employment and the Executive shall receive such
prorated Bonus independent of the Company’s achievement of triggers under the
Bonus Plan. In addition, the Executive shall receive a one-time sign-on bonus
of $100,000 payable within 30 days of the Effective Date.

 

4.3                                Participation in
Employee Benefit Plans. The Executive shall be entitled, if and to the
extent eligible, to participate in all of the applicable benefit plans of the
Company, which may be available to other senior executives of the Company, on
the same terms as such other executives. The Company may at any time or from
time to time amend, modify, suspend or terminate any employee benefit plan,
program or arrangement for any reason without Executive’s consent if such
amendment, modification, suspension or termination is consistent with the
amendment, modification, suspension or termination for other employees of the
Company. The Company agrees to reimburse Executive for the cost of group health
insurance coverage pursuant to the Consolidated Omnibus Budget Reconciliation
Act of 1986 (COBRA) or similar employment gap health insurance for Executive
and his spouse and child, grossed up for taxes, until such time as the
Executive and his spouse and child are eligible for coverage under the Company’s
medical and dental plans.

 

4.4                                Vacation. The
Executive shall be entitled to four (4) weeks of paid vacation. Executive shall
not be entitled to payment for unused vacation days upon the termination of his
employment except as set forth in Section 5 below. The carry-over and accrual
of vacation days shall be in accordance with Company policy.

 

4.5                                Expense
Reimbursement. The Executive shall be entitled to receive reimbursement for
all appropriate business expenses incurred by him in connection with his duties
under this Agreement in accordance with the policies of the Company as in
effect from time to time.

 

4.6                                Stock Options. The
Executive shall be eligible to participate in the 2005 Stock Option and
Incentive Plan established by the Company (the “Equity Incentive Plan”)
pursuant to the terms of the Equity Incentive Plan and any applicable
agreements thereunder as determined from time to time by the Board. As of the
date of hire Executive will be granted an option under the terms of the Equity
Incentive Plan to purchase 52,723 shares of common stock of the Company (which
is equal to 0.4% of the fully diluted number of shares of common stock
outstanding as of the Effective Date) with a per share exercise price equal to
the fair market value as measured by the conversion price of the preferred
stock

 

2

 

($11.11/share)
that Cerberus and Ampersand paid for such preferred stock at the close of the
transaction. The options will vest based upon time and performance requirements.
Twenty-five percent (25%) of Executive’s option grant will be based upon a
five-year time based vesting schedule, with the initial 5% vesting on April 1,
2006. Another twenty-five percent will vest based upon a 5-year cumulative
performance target to be set by the board. The remaining 50% will vest based
upon annual performance targets (10% per year). In the event of any conflict
between this document and the Equity Incentive Plan, the terms of the Equity
Incentive Plan shall govern.

 

4.6.1                     For avoidance of doubt the
time-based options shall vest as if the Executive’s employment commenced on
April 1, 2005.

 

4.7                                Relocation and
Temporary Living Expenses.

 

4.7.1                     Upon submission of appropriate
receipts, all reasonable relocation and temporary living expenses, up to a
maximum of $125,000, incurred by Executive will be reimbursed by the Company
including (but not limited to): relocation assistance fees, realtor and closing
costs on the sale of Executive’s primary residence and purchase of a primary
residence in North Carolina, traveling to and from RTP until residence is
relocated, three family house hunting trips for the Executive and actual moving
date, trucking/moving expenses, temporary quarters and car rental until
relocated, storage and other reasonable expenses incurred in the normal course
of relocation. Taxable relocation expenses will be grossed up to cover
Executive’s federal and state income tax liability. In the event Executive is
terminated under provision 5.1 within the first two years of employment,
Executive must repay to the Company promptly upon termination all such expenses
incurred by the Company on a prorated basis relative to the fraction of time
employed in the two year period after the Effective Date.

 

4.7.2                     The Executive is expected to
re-locate as soon as reasonably practical. The Executive shall establish a
temporary residence in North Carolina no later than Feb 1, 2006 and shall
establish a permanent, primary residence in North Carolina no later than July
1, 2006. In the event that such relocation does not occur, Executive shall be
considered in breech of this agreement and the Company shall have the right to
terminate for cause under provision 5.1.

 

4.8                                Continuing
Professional Education. The Company agrees to pay reasonable costs
associated with the continuing education requirements of maintaining the
Executive’s professional designation, including related professional
organization memberships, as well as seminars to advance the Executive’s skills.
Such costs include the reasonable costs of seminars, travel, lodging and meals
while attending such functions.

 

5.                                      Termination of
Employment.

 

5.1                                By the Company for
Cause or by the Executive Without Good Reason. If: (i) the Company
terminates the Executive’s employment with the Company for Cause (as defined
below); or (ii) Executive terminates his employment without Good Reason (as
defined below), the Executive or the Executive’s legal representatives (as
appropriate), shall be entitled to receive the following:

 

3

 

5.1.1                     the Executive’s accrued but unpaid
Base Salary, and benefits set forth in Section 4.3, if any, to the date of
termination;

 

5.1.2                     the Executive’s earned but unpaid
bonus, if any, for the performance year prior to termination and only if the
Company and not the Executive terminates employment;

 

5.1.3                     expenses reimbursable under
Section 4.5 incurred but not yet reimbursed to the Executive to the date of
termination.

 

For the purposes of this
Agreement, “Cause” means, as determined by the Board (or its designee), with
respect to conduct during the Executive’s employment with the Company, whether
or not committed during the Term, (i) commission of a felony by Executive; (ii)
acts of dishonesty by Executive resulting or intending to result in personal
gain or enrichment at the expense of the Company or its subsidiaries; (iii)
Executive’s material breach of his obligations under this Agreement; (iv)
conduct by Executive in connection with his duties hereunder that is
fraudulent, unlawful or grossly negligent, including, but not limited to, acts
of discrimination; (v) engaging in personal conduct by Executive (including but
not limited to employee harassment or discrimination, the use or possession at
work of any illegal controlled substance) which discredits or damages the
Company or its subsidiaries; (vi) contravention of specific lawful direction
from the Chief Executive Officer that would not otherwise conflict with
Executive’s responsibilities or duties or the failure to adequately perform the
duties to be performed by Executive under the terms of Section 3.2 of this
Agreement or (vii) breach of the Executive’s covenants set forth in Section 6
below before termination of employment; provided, that, the Executive shall
have fifteen (15) days after notice from the Company to cure the deficiency
leading to the Cause determination (except with respect to (i) and (ii) above),
if curable. A termination for “Cause” shall be effective immediately (or on such
other date set forth by the Company).

 

For the purposes of this
Agreement, “Good Reason” means, without the Executive’s consent, (i) a material
reduction in the nature or status of Executive’s responsibilities, authority,
position or duties; (ii) the Executive’s removal from the position of Chief
Financial Officer other than for Cause; (iii) a material adverse reduction in
the amount of aggregate compensation provided for herein or failure to pay such
compensation; (iv) the Company’s material breach of the Agreement; provided
that a suspension of the Executive and the requirement that the Executive not
report to work shall not constitute “Good Reason” if the Executive continues to
receive the compensation and benefits required by this Agreement or (v) relocation
of the Executive’s office more than 50 miles from its location on the Effective
Date (vi) the failure by the Company to continue in effect any incentive
compensation plan in which the Executive participates unless an equitable
alternative compensation arrangement has been provided, except to the extent
that participation in such plans has been reduced or eliminated for all other
eligible executives; (vii) except as required by law, the failure by the
Company to continue to provide Executive with benefits at least as favorable as
those enjoyed by Executive under the employee benefit and welfare plans of the
Company including, without limitation, profit sharing, life insurance, medical,
dental , health and accident , disability, deferred compensation and savings
plans commensurate with those generally available to all Executives. Notwithstanding
the foregoing, a reduction in the amount of Executive’s aggregate compensation
in an amount proportional to such a reduction in the aggregate compensation of
other senior executives shall not constitute Good Reason. The Company shall
have fifteen (15) days after receipt of notice from the Executive in writing
specifying the deficiency to cure the deficiency that would result in Good
Reason.

 

5.2                                Due to Death or Disability.
If: (i) the Executive’s employment terminates due to his death; or (ii) the
Company terminates the Executive’s employment with the

 

4

 

Company due to
the Executive’s Disability (as defined below) and (i) the Executive honors all
applicable provisions of this Agreement following such termination due to
Disability, (ii) Executive agrees to make a good faith effort to provide
consulting services to the Company as requested by the Company during the severance
period at no additional payment or remuneration other than the severance amount
stated herein, (iii) Executive or Executive’s legal representative executes,
without revoking, a valid release agreement in a form reasonably acceptable to
the Company, the Executive or the Executive’s legal representatives (as
appropriate), shall be entitled to receive the incremental severance payments
set forth in this section 5.2 (in addition to the payments upon termination set
forth in Section 5.1):

 

5.2.1                     the unpaid portion of the Bonus,
if any, relating to the calendar year prior to the calendar year of the
Executive’s termination, payable in equal monthly installments for twelve (12)
months on the last business day of the month;

 

5.2.2                     payment for accrued unused vacation
days, payable in accordance with Company policy

 

5.2.3                     if the Company achieves the
performance objectives for the year in which Executive’s employment is
terminated, a pro-rata share of the Bonus in such performance year (based upon
the number of days he was employed by the Company in the year in question) at
100% of Target Bonus, payable in the same manner and at the same time as other
executives remaining at the Company are paid; and

 

5.2.4                     the vesting of stock options as
set forth in Section 4.2 of Executive’s Stock Option Award Agreement.

 

For the purposes of this
Agreement, “Disability” means a reasonable determination by a physician
reasonably acceptable to the Company in accordance with applicable law that as
a result of a physical or mental injury or illness, the Executive is unable to
perform the essential functions of his job with or without reasonable
accommodation for a period of (i) 60 consecutive days; or (ii) 90 days in any
one (1) year period.

 

5.3                                By the Company
Without Cause or By the Executive for Good Reason. If during the Term the
Company terminates Executive’s employment without Cause (which may be done at
any time without prior notice) or Executive terminates his employment for Good
Reason upon at least fifteen (15) days prior written notice, the Executive
shall receive the incremental severance payments set forth in this Section 5.3,
as described below (in addition to the payments upon termination specified in
Section 5.2) upon execution without revocation of a valid release agreement in
a form reasonably acceptable to the Company and provided that the Executive
honors all applicable provisions of this Agreement following termination and
that Executive agrees to provide consulting services to the Company, upon
request, of up to ten (10) hours of Executive’s time per month during this
eighteen (18) month time period, at no additional payment or remuneration other
than the severance amount stated herein:

 

5.3.1                     continued Base Salary for the
greater of eighteen (18) months after the date of termination or the remainder
of the number of months remaining in the then current contract term payable in
equal monthly installments on the last business day of the month;

 

5

 

5.3.2                     Bonus payments in an aggregate
amount equal to the lesser of the Bonus amount earned by the Executive for the
year prior to the calendar year of the Executive’s termination or the Target
Bonus, payable in equal monthly installments for twelve (12) months on the last
business day of the month following the termination date; and

 

5.3.3                     reimbursement of the cost of
continuation coverage of group health coverage pursuant to COBRA for a maximum
of twelve (12) months to the extent Executive elects such continuation coverage
and is eligible and subject to the terms of the plan and the law.

 

5.3.4                     at the end of the fifth fiscal
year after the Grant Date, where the Long-Term Objectives are met or exceeded,
the portion of the Performance-Based Options allocated to such Long-Term Objectives
as defined in the Option Award Agreement shall vest on a pro-rata basis for
such part of the five year period that the Grantee is actively employed. The
exercise of such options must be completed no later than 90 days after such
vesting. (Capitalized terms are per the definitions in the Executive’s Option
Award Agreement.)

 

5.3.5                     the vesting of stock options as
set forth in Section 4.1 of Executive’s Stock Option Award Agreement.

 

5.4                                Termination due to
completion of term without renewal. If the contract lapses due to
non-renewal by the Company upon expiration of the Initial Term or upon
expiration of the First Renewal Term, the Executive or the Executive’s legal
representatives (as appropriate) shall be entitled to receive the severance
benefits set forth in section 5.3, but specifically excluding the benefits set
forth in section 5.3.2.

 

The Company’s
obligation to provide the payments and benefits set forth above in sections 5.2
and 5.3 will immediately cease in the event the Executive engages in conduct
constituting a breach of the provision of Sections 5.6 or 6 of this Agreement.

 

5.5                                Removal from any
Boards and Position. If the Executive’s employment is terminated for any
reason under this Agreement, he shall be deemed to resign (i) if a member, from
the Board or board of directors of any subsidiary of the Company or any other
board to which he has been appointed or nominated by or on behalf of the
Company and (ii) from any position with the Company or any subsidiary of the
Company, including, but not limited to, as an officer of the Company and any of
its subsidiaries.

 

5.6                                Non-disparagement.
The Company and Executive agree that neither party will not at any time
(whether during or after the Term) publish or communicate to any person or
entity except in the case of the Executive to his spouse, or in the case of the
Company and Executive to legal counsel, any Disparaging (as defined below)
remarks, comments or statements concerning the Executive or the Company,
Cerberus Capital Management, L.P., Ampersand Ventures, their parents,
subsidiaries and affiliates, and their respective present and former members,
partners, directors, officers, shareholders, employees, agents, attorneys,
successors and assigns. “Disparaging” remarks, comments or statements are those
that impugn the character, honesty, integrity or morality or business acumen

 

6

 

or abilities
in connection with any aspect of the operation of business of the individual or
entity being disparaged.

 

6.                                      Restrictions
and Obligations of the Executive

 

6.1                                Confidentiality.
(a) During the course of the Executive’s employment by the Company (prior to
and during the Term), the Executive has had and will have access to certain
trade secrets and confidential information relating to the Company and its
subsidiaries (the “Protected Parties”) which is not readily available from
sources outside the Company. The confidential and Proprietary information and,
in any material respect, trade secrets of the Protected Parties are among their
most valuable assets, including but not limited to, their customer, supplier
and vendor lists, databases, competitive strategies, computer programs,
frameworks, or models, their marketing programs, their sales, financial,
marketing, training and technical information, their product development (and
proprietary product data) and any other information, whether communicated
orally, electronically, in writing or in other tangible forms concerning how
the Protected Parties create, develop, acquire or maintain their products and
marketing plans, target their potential customers and operate their retail and
other businesses. The Protected Parties invested, and continue to invest,
considerable amounts of time and money in their process, technology, know-how,
obtaining and developing the goodwill of their customers, their other external
relationships, their data systems and data bases, and all the information
described above (hereinafter collectively referred to as “Confidential
Information”), and any misappropriation or unauthorized disclosure of
Confidential Information in any form would irreparably harm the Protected
Parties. The Executive acknowledges that such Confidential Information
constitutes valuable, highly confidential, special and unique property of the
Protected Parties. The Executive shall hold in a fiduciary capacity for the
benefit of the Protected Parties all Confidential Information relating to the
Protected Parties and their businesses, which shall have been obtained by the
Executive during the Executive’s employment by the Company or its subsidiaries
and which shall not be or become public knowledge (other than by acts by the
Executive or representatives of the Executive in violation of this Agreement). Except
as required by law or an order of a court or governmental agency with
jurisdiction, the Executive shall not, during the period the Executive is
employed by the Company or its subsidiaries or at any time for five (5) years
thereafter, disclose any Confidential Information, directly or indirectly, to
any person or entity for any reason or purpose whatsoever, nor shall the
Executive use it in any way, except in the course of the Executive’s employment
with, and for the benefit of, the Protected Parties or to enforce any rights or
defend any claims hereunder or under any other agreement to which the Executive
is a party, provided that such disclosure is relevant to the enforcement of
such rights or defense of such claims and is only disclosed in the formal
proceedings related thereto. The Executive shall take all reasonable steps to
safeguard the Confidential Information and to protect it against disclosure,
misuse, espionage, loss and theft. The Executive understands and agrees that
the Executive shall acquire no rights to any such Confidential Information. (b)
All files, records, documents, drawings, specifications, data, computer
programs, evaluation mechanisms and analytics and similar items, except for
those evaluation mechanisms and analytics and similar items which are of prior
art or common practice within the Executive’s professional capacity, relating
thereto or to the Business (for the purposes of this Agreement, “Business”
shall be as defined in Section 6.3 hereof), as well as all customer lists,
specific customer information, compilations of product research and marketing
techniques of the

 

7

 

Company and its subsidiaries, whether prepared by the Executive or
otherwise coming into the Executive’s possession, shall remain the exclusive
property of the Company and its subsidiaries, and the Executive shall not
remove any such items from the premises of the Company and its subsidiaries,
except in furtherance of the Executive’s duties under any employment agreement.
(c) It is understood that while employed by the Company or its subsidiaries,
the Executive will promptly disclose to it, and assign to it the Executive’s
interest in any invention, improvement or discovery made or conceived by the
Executive, either alone or jointly with others, which: (i) relate in any manner
to the existing or contemplated business, research or activities of the
Company; (ii) are suggested by or result from Executive’s work with the
Company, or (iii) result from the Executive’s use of the Company’s time,
materials, information, employees or facilities even if made or conceived
during other than working hours. At the Company’s request and expense, the
Executive will assist the Company and its subsidiaries during the period of the
Executive’s employment by the Company or its subsidiaries and thereafter in
connection with any controversy or legal proceeding relating to such invention,
improvement or discovery and in obtaining domestic and foreign patent or other
protection covering the same. (d) As requested by the Company and at the
Company’s expense, from time to time and upon the termination of the Executive’s
employment with the Company for any reason, the Executive will promptly deliver
to the Company and its subsidiaries all copies and embodiments, in whatever
form, of all Confidential Information in the Executive’s possession or within
his control (including, but not limited to, memoranda, records, notes, plans,
photographs, manuals, notebooks, documentation, program listings, flow charts,
magnetic media, disks, diskettes, tapes and all other materials containing any
Confidential Information) irrespective of the location or form of such material.
If requested by the Company, the Executive will provide the Company with
written confirmation that all such materials have been delivered to the Company
as provided herein.

 

6.2                                Non-Solicitation or
Hire. During the Term and for a period of twenty-four (24) months following
the termination of the Executive’s employment for any reason, the Executive
shall not solicit or attempt to solicit or induce, directly or indirectly: (a)
any person or entity who is a customer of the Company or its subsidiaries, or
who was a customer of the Company or its subsidiaries at any time during the
twelve (12) month period immediately prior to the date the Executive’s
employment terminates for any reason, to market, sell or provide to any such
person or entity any services or products offered by or available from the
Company or its subsidiaries (provided that if the Executive intends to solicit
any such person or entity for any other purpose, he shall notify the Company of
such intention and receive prior written approval from the Company); (b) any
supplier to the Company or any subsidiary to terminate, reduce or alter
negatively its relationship with the Company or any subsidiary or in any manner
interfere with any agreement or contract between the Company or any subsidiary
and such supplier; or (c) any employee of the Company or any of its
subsidiaries or any person who was an employee of the Company or any of its
subsidiaries during the twelve (12) month period immediately prior to the date
the Executive’s employment terminates for any reason, to terminate such
employee’s employment relationship with the Protected Parties in order, in either
case, to enter into a similar relationship with the Executive or any other
person or any entity in competition with the Business of the Company or any of
its subsidiaries. () [I will confer with counsel.]

 

8

 

6.3                                Non-Competition.
During the Term and following the termination of Executive’s employment with
the Company for any reason, Executive, for the greater of eighteen (18) months
or the period in which the Company is making payments to the Executive in
accordance with sections 5.2 and 5.3 above, shall not, whether individually, as
a Director, Manager, member, stockholder, partner, owner, employee, consultant
or agent of any business, or in any other capacity, other than on behalf of the
Company or its subsidiaries, directly or indirectly organize, establish, own,
operate, manage, control, engage in, participate in, invest in, permit his name
to be used by, act as a consultant or advisor to, render services which are
materially similar to his services provided to the Company under this Agreement
for, alone or in association with any person, firm, corporation or business
organization, including but not limited to Baxter, CSL, Octapharma, Grifols,
Biotest, Kedrion, Kamada and Sanguine or otherwise assist any person or entity
that engages in or owns, invests in, operates, manages or controls any venture
or enterprise which engages or proposes to engage in any business conducted by
the Company or any of its subsidiaries on the date of the Executive’s termination
of employment or within eighteen (18) months of the Executive’s termination of
employment in the geographical areas of: (i) Johnston and Wake Counties, North
Carolina; (ii) the State of North Carolina; (iii) the states of Pennsylvania,
California, New York and Florida; (iv) the United States of America; and (v)
any geographic locations where the Company and its subsidiaries engage, in such
business (the “Business”). Notwithstanding the foregoing, nothing in this
Agreement shall prevent the Executive from owning for passive investment
purposes not intended to circumvent this Agreement, less than five percent (5%)
of the publicly traded common equity securities of any company engaged in the
Business (so long as the Executive has no power to manage, operate, advise,
consult with or control the competing enterprise and no power, alone or in
conjunction with other affiliated parties, to select a director, manager,
general partner, or similar governing official of the competing enterprise
other than in connection with the normal and customary voting powers afforded
the Executive in connection with any permissible equity ownership).

 

6.4                                Property. The
Executive acknowledges that all originals and copies of materials, records and
documents generated by him or coming into his possession during his employment
by the Company or its subsidiaries are the sole property of the Company and its
subsidiaries (“Company Property”). During the Term, and at all times
thereafter, the Executive shall not remove, or cause to be removed, from the
premises of the Company or its subsidiaries, copies of any record, file,
memorandum, document, computer related information or equipment, or any other
item relating to the business of the Company or its subsidiaries, except in
furtherance of his duties under the Agreement. When the Executive’s employment
with the Company terminates for any reason, or upon request of the Company at
any time, the Executive shall promptly deliver to the Company all copies of
Company Property in his possession or control.

 

6.5                                Sections 6.1, 6.2, and
6.3 of this Agreement, including each provision within those sections, are
independent and severable. In the event that a court of competent jurisdiction
finds any provision of Sections 6.1, 6.2, or 6.3 of this Agreement to be
overbroad or unenforceable for any reason, Executive and Company hereby
specifically agree and request that the court modify each such provision in a
manner that will make each such provision enforceable to the maximum extent
allowed by law.

 

9

 

7.                                      Remedies;
Specific Performance. The Parties acknowledge and agree that the Executive’s
breach or threatened breach of any of the restrictions set forth in Section 6
will result in irreparable and continuing damage to the Protected Parties for
which there may be no adequate remedy at law and that the Protected Parties
shall be entitled to equitable relief, including specific performance and
injunctive relief as remedies for any such breach or threatened or attempted
breach. The Executive also agrees that such remedies shall be in addition to
any and all remedies, including damages, available to the Protected Parties
against him for such breaches or threatened or attempted breaches. In addition,
without limiting the Protected Parties’ remedies for any breach of any
restriction on the Executive set forth in Section 6, except as required by law,
the Executive shall not be entitled to any payments set forth in Section 5.2 or
5.3 hereof if the Executive has breached the covenants applicable to the
Executive contained in Section 5.6 or 6, the Executive will immediately return
to the Protected Parties any such payments previously received under Sections
5.2 and 5.3 upon such a breach, and, in the event of such breach, the Protected
Parties will have no obligation to pay any of the amounts that remain payable
by the Company under Sections 5.2 and 5.3.

 

8.                                      Indemnification.
The Company agrees, to the extent permitted by applicable law and its
organizational documents, to indemnify, defend and hold harmless the Executive
from and against any and all losses, suits, actions, causes of action,
judgments, damages, liabilities, penalties, fines, costs or claims of any kind
or nature (“Indemnified Claim”), including reasonable legal fees and related
costs incurred by Executive in connection with the preparation for or defense
of any Indemnified Claim, whether or not resulting in any liability, to which
Executive may become subject or liable or which may be incurred by or assessed against
Executive, relating to or arising out of his employment by the Company or the
services to be performed pursuant to this Agreement, provided that: (i) the
Company shall only defend but not indemnify or hold Executive harmless from and
against an Indemnified Claim in the event there is a final, non-appealable
determination that Executive’s liability with respect to such Indemnified Claim
resulted from Executive’s gross misconduct or gross negligence; and (ii) in the
event that the Executive’s actions, inactions, decisions or directions which
gave rise to the Indemnified Claim were outside the scope of his authority or
were plainly contrary to instructions provided him by the Board then the
Company shall not be obligated to either defend or indemnify Executive for the
Indemnified Claim and its responsibilities under this section of the Agreement
are null and void.

 

9.                                      Other
Provisions.

 

9.1                                Notices. Any
notice or other communication required or which may be given hereunder shall be
in writing and shall be delivered personally, telegraphed, telexed, sent by
facsimile transmission or sent by certified, registered or express mail,
postage prepaid or overnight mail and shall be deemed given when so delivered
personally, telegraphed, telexed, or sent by facsimile transmission or, if
mailed, four (4) days after the date of mailing or one (1) day after overnight
mail, as follows:

 

If the
Company, to:

 

Attn.: General
Counsel

P.O. Box 13887

79 TW
Alexander Drive

4101 Research
Commons

Research
Triangle Park

 

10

 

Raleigh, NC
27709

Fax: (919)
316-6669

 

With copies
to:

 

Mark Neporent

Cerberus
Capital Management, L.P.

299 Park
Avenue

New York, New
York 10171

Telephone:     (212)
891-2100

Fax:    (212)
891-1540

 

If the Executive,

 

to the
Executive’s home address reflected in the Company’s records.

 

9.2                                Entire Agreement.
This Agreement contains the entire agreement between the Parties with respect
to the subject matter hereof and supersedes all prior agreements, written or
oral, with respect thereto.

 

9.3                                Representations and
Warranties by Executive. The Executive represents and warrants that he is
not a party to or subject to any restrictive covenants, legal restrictions or
other agreements in favor of any entity or person which would in any way
preclude, inhibit, impair or limit the Executive’s ability to perform his
obligations under this Agreement, including, but not limited to,
non-competition agreements, non-solicitation agreements or confidentiality
agreements.

 

9.4                                Waiver and
Amendments. This Agreement may be amended, modified, superseded, canceled,
renewed or extended, and the terms and conditions hereof may be waived, only by
a written instrument signed by the Parties or, in the case of a waiver, by the
party waiving compliance. No delay on the part of any party in exercising any
right, power or privilege hereunder shall operate as a waiver thereof, nor
shall any waiver on the part of any right, power or privilege hereunder, nor
any single or partial exercise of any right, power or privilege hereunder,
preclude any other or further exercise thereof or the exercise of any other
right, power or privilege hereunder.

 

9.5                                Governing Law,
Dispute Resolution and Venue (a) This Agreement shall be governed and
construed in accordance with the laws of the State of North Carolina. (b) The
parties agree irrevocably to submit to the exclusive jurisdiction of the United
States Federal District Court of North Carolina, Eastern Division, or if no
federal jurisdiction exists, to the state courts located in the city of
Raleigh, North Carolina for the purposes of any suit, action or other
proceeding brought by any party arising out of any breach of any of the
provisions of this Agreement and hereby waive, and agree not to assert by way
of motion, as a defense or otherwise, in any such suit, action, or proceeding,
any claim that it is not personally subject to the jurisdiction of the
above-named courts, that the suit, action or proceeding is brought in an
inconvenient forum, that the venue of the suit, action or proceeding is
improper, or that the provisions of this Agreement may not be enforced in or by
such courts. In addition, the parties agree to the waiver of a jury trial.

 

9.6                                Assignability by the
Company and the Executive. This Agreement, and the rights and obligations
hereunder, may not be assigned by the Company or the Executive without written
consent signed by the other party; provided that the Company

 

11

 

may assign the
Agreement to any successor that continues the business of the Company.

 

9.7                                Counterparts. This
Agreement may be executed in counterparts, each of which shall be deemed an
original but all of which shall constitute one and the same instrument.

 

9.8                                Headings. The
headings in this Agreement are for convenience of reference only and shall not
limit or otherwise affect the meaning of terms contained herein.

 

9.9                                Severability. If
any term, provision, covenant or restriction of this Agreement, or any part
thereof, is held by a court of competent jurisdiction of any foreign, federal,
state, county or local government or any other governmental, regulatory or
administrative agency or authority to be invalid, void, unenforceable or
against public policy for any reason, the remainder of the terms, provisions,
covenants and restrictions of this Agreement shall remain in full force and
effect and shall in no way be affected or impaired or invalidated. The
Executive acknowledges that the restrictive covenants contained in Section 6
are a condition of this Agreement and are reasonable and valid in temporal
scope and in all other respects.

 

9.10                          Tax Withholding. The
Company or other payor is authorized to withhold from any benefit provided or
payment due hereunder, the amount of withholding taxes due any federal, state
or local authority in respect of such benefit or payment and to take such other
action as may be necessary in the opinion of the Board to satisfy all
obligations for the payment of such withholding taxes.

 

IN WITNESS
WHEREOF, the Parties hereto, intending to be legally bound hereby, have
executed this Agreement as of the day and year first above mentioned.

 

	
   

  	
  EXECUTIVE

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ John
  Hanson

  	
   

  
	
   

  	
  Name: John
  Hanson

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Talecris
  Biotherapeutics Holdings Corp

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Lawrence
  D. Stern

  	
   

  
	
   

  	
  Name:
  Lawrence D. Stern

  	
   

  
	
   

  	
  Title:
  Chairman

  	
   

  
				

 

12

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