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Exhibit 10.24  

	C L I F F O R D

C H A N C E	 	CLIFFORD CHANCE (TOKYO) LPS
	 	 	GAIKOXUHO JIMUBENGOSHI JIMUSHO
 TANAKA AKITA & NAKAGAWA
	
T A N A K A.

AKITA &

N A K A G A W A	
 	
EXECUTION VERSION
	

  	
 	

 
	

  	
 	

 
	

SAMSONITE JAPAN CO., LTD.
	

AND
	

SAMSONITE CORPORATION
	

AND
	

ESY LUGGAGE MANAGEMENT LPS INVESTMENT LIMITED PARTNERSHIP
	

  
	

  
	

	
SHAREHOLDERS' AGREEMENT
	

IN RESPECT OF
	

SAMSONITE JAPAN CO., LTD.
	

 

CONTENTS  

	Clause
 
	 
	 	Page

	1.	Interpretation	 	1
	2.	Business	 	5
	3.	Board Of Directors; Statutory Auditors	 	5
	4.	Business Plan	 	7
	5.	Incentive Bonus	 	7
	6.	Access To Information	 	8
	7.	Capital Requirements And New Share Issuances	 	8
	8.	Permitted Transfers	 	8
	9.	Dealing In Shares	 	9
	10.	Right Of First Refusal	 	9
	11.	Term And Termination	 	10
	12.	Exit: Samsonite Call Option And ESY Put Option	 	10
	13.	Termination Events	 	11
	14.	Minority Shares Purchase Price	 	11
	15.	Representations And Warranties	 	12
	16.	Confidentiality	 	12
	17.	Financial Accounting	 	13
	18.	Designation Of Independent Auditor	 	13
	19.	Supremacy Of This Agreement	 	13
	20.	Costs	 	13
	21.	Announcements And Press Releases	 	14
	22.	Release And Indulgence	 	14
	23.	Remedies	 	14
	24.	Continuing Effect Of Agreement	 	14
	25.	Assignment	 	14
	26.	Further Acts	 	14
	27.	Time Of Essence	 	14
	28.	Amendments And No Waiver	 	14
	29.	Entire Agreement	 	15
	30.	No Solicitation	 	15
	31.	Rights Of Third Parties	 	15
	32.	Notices	 	15
	33.	Governing Law And Arbitration	 	16
	34.	Governing Language	 	16
	35.	Counterparts	 	17
	SCHEDULE 1    Initial Business Plan	 	19
	SCHEDYLE 2    Form Of Accession Agreement	 	20
	SCHEDULE 3    Costs Sharing Agreement	 	21

i

   THIS AGREEMENT (this "Agreement") is entered into as of 27 January 2005 (the  "Effective
Date")

BETWEEN:  

	(1)
	Samsonite Japan Co., Ltd., a company incorporated in Japan, whose principal place of business is Akasaka Edosei Bldg. 4F,
7-10-S Akasaka, Minato-ku, Tokyo 107.0052, Japan (the "Company");

	(2)
	Samsonite Corporation, a company incorporated in Delaware, whose principal place of business is 11200 East Forty-Fifth Ave., Denver, CO
80239, United States of America ("Samsonite"); and

	(3)
	ESY Luggage Management LPS Investment Limited Partnership, a Japanese foushijigyou yugen sekinin
kumiaior "Investment LPS" whose sole general partner is Ymniko Kawaguchi, and whose registered office is at Marunouchi Mitsui Bldg., 2-2-2 Marunouchi,
Chiyoda-lot, Tokyo 100-0005, Japan ("ESY"; collectively with Samsonite, the
"Shareholders" and each a "Shareholder"). Equityholders in ESY are ES Partnership Investment Limited Partnership, a Japanese  toushijigyou yugen sekinin
kumiui ("ES"), Yumiko Kawaguchi ("Kawaguchl"), and
ETERNAL ENTERPRISE CORPORATION ("ETERNAL") (collectively the "Minority Shareholders").

WHEREAS  

	(A)
	As
of the Effective Date, Samsonite owns 10 million ordinary shares in the Company.

	(B)
	Samsonite
has subscribed for 325 million new ordinary shares and ESY has subscribed for 165 million new ordinary shares in the Company pursuant to a share subscription
agreement entered into as of the Effective Date.

	(C)
	The
Company and the Shareholders desire to confirm their agreement regarding their respective rights in connection with the matters provided for herein. 

THE PARTIES AGREE as follows: 

	1
	INTERPRETATION

	1.1
	In
this Agreement: 

        "Ancillary Agreements" means: 

	(a)
	agreement
between the Minority Shareholders and ESY verifying each Minority Shareholder's interest in ESY (the  "Minority Shareholders Agreement");

	(b)
	consulting
agreement between ETERNAL and the Company identifying the services that ETERNAL will provide to the Company and related rights and obligations of ETERNAL and the Company;

	(c)
	management
agreement between Kawaguchi and the Company with respect to the terms and conditions of Kawaguchi's engagement by the Company  (the "Kawagachi Management Services Agreement")
;

	(d)
	management
agreement between Morimoto and the Company with respect to the terms and conditions of Morimoto's engagement by the Company;

	(e)
	sublicense
and distribution agreement between Samsonite Europe NV and the Company with respect to the licensing of Samsonite-owned brand products to the Company in Japan (the  "Sublicense and Distribution Agreement"); and

	(f)
	consultancy
and service agreement between Samsonite, the Company, Itochu Management Consulting Co., Ltd. ("IMC") and Wirthlin
Worldwide Consulting Inc. ("WW") for the provision of consulting and advisory services by IMC and WW to the Company (the "WW/IMC Consulting Services
Agreement").

1

 

        "Articles" means the articles of incorporation (Teikm) of the Company as amended from time
to time; 

        "Affiliate" means, in respect a person ("A"), a person that: 

	(i)
	is
controlled by A;

	(ii)
	is
controlled by a person which also controls A; or

	(iii)
	controls
A; 

        "Board" means the board of directors of the Company appointed and in office in accordance with this Agreement; 

        "Bottoli" means the individual Marcello Bottoli; 

        "Brand Credit" means the amount of credit to Samsonite for licensing its brands to the Company. The Brand Credit shall be equal to 25% of
the total Net Outside Sales value for the Company for the period from 1 January 2007 through 31 December 2007. If the Minority Shares are purchased prior to 31 December 2007
pursuant to clause 12 or clause 13, the Brand Credit shall equal twenty-five percent (25%) of the total Net Outside Sales for the twelve (12) month period through the
end of the month immediately preceding the month in which notice of exercise is given as set forth in clause 13.2. 

        "Business Day" means any day (other than a Saturday, a Sunday or a public holiday) when banks in Japan are open for the transaction of
normal business; 

        "Code" means the Commercial Code of Japan, the Special Law to the Commercial Code of Japan, and the regulations promulgated thereunder,
each as amended from time to time; 

        "Competitor" means any person which carries on either alone or jointly with, through (which includes by ownership of any shares, and
direct or indirect control) or on behalf of (whether as Director, partner, consultant, manager, employee, agent or otherwise) any person, directly or indirectly a business similar to that carried on
by the Company. 

        "control" and "controlled" means in respect of any person (i) the ownership of a
majority of the issued share capital of that person, or (ii) the possession of the power, directly or indirectly, to direct or cause the direction of the policies or management of that person; 

        "Director" means a director of the Company appointed and in office in accordance with clause 3; 

        "Exit Date" means the option exercise date under clause 12, the termination date under clause 13 or the notice date under
clause 14.2.2(c), as applicable; 

        "Fiscal Year" means 1 January through 31 December of each year; provided that, the first Fiscal Year shall be from the Subscription Date
through 31 December 2005; 

        "Kawaguchi" means the individual Yumiko Kawaguchi; 

        "Minority Shares Purchase Price" means the purchase price payable for the Minority Shares under clause 12 and clause 13, as
set forth in clause 14; 

        "Morimoto" means the individual Jun Morimoto: 

        "Net Debt" means Total Debt less cash and cash equivalents; 

        "Net Outside' Sales" means the gross price invoiced by the Company for all Samsonite-owned brand products to customers anywhere in Japan
after deducting: (1) sales taxes or other taxes separately stated on the invoice, (2) shipping and other transportation and insurance charges 

2

 

actually
paid and separately stated on the invoice, (3) actual allowances, rebates, credits and refunds for returned or defective goods, and (4) normal and customary trade and quantity
discounts; 

        "Odagiri" means the individual Kentaro Odagiri; 

        "Sawada" means the individual Takashi Sawada; 

        "Share" means any share in the capital of the Company; 

        "Share Equivalents" means any rights in the capital of the Company (other than Shares) and any option or right to acquire any of the same
or to acquire any Shares (by purchase, conversion, exchange or otherwise); 

        "Silva" means the individual Michael Silva; 

        "Subscription Date" means 28 January 2005; 

        "Total Debt" means bank borrowings plus capitalized leases plus notes payable to third parties plus advances from Shareholders plus any
other similar debt instruments; 

        "Trigger Date" means 31 December 2007; and 

        "USD" means the lawful currency of the United States of America. 

3

 

	1.2
	The
following terms are defined in the clauses stated: 

	Term
 
	 	Clause

	"Accession Agreement"	 	7.5
	"Accounting Firm"	 	1.1
	"Appraiser"	 	1 .1
	"Business Plan"	 	4
	"CEO"	 	3.5.2
	"Confidential Information"	 	16 1
	"COO"	 	3.5.3
	"Costs Sharing Agreement"	 	20
	"Disclosing Party"	 	16.1
	"EBITDA"	 	4
	"Group Shares"	 	8.2
	"Incentive Bonus"	 	5.1
	"ESY Pat Option"	 	12.1
	"Minority Shares"	 	12.1
	"New Shares"	 	7.2
	"Notice"	 	32
	"Option"	 	12.1
	"Original Transferor"	 	8.2
	"Other Shareholder"	 	10.1
	"Professional Firm"	 	1.1
	"Receiving Party"	 	16.1
	"Rules"	 	33.3
	"Sale Shares"	 	10.1
	"Samsonite Call Option"	 	12.1
	"Termination Event"	 	13.1
	"Transferee"	 	8.3
	"Transfer Offer"	 	10.1
	"U.S. GAAP"	 	17
	"Working Capital Ratio"	 	4

	1.3
	In
this Agreement, a reference to:

	1.3.1
	a
"person" includes, without limitation, a reference to any individual, firm, company, corporation or other body corporate,
government, state or agency of a state or any joint venture, association, partnership, limited partnership, works council or employee representative body (whether or not having a separate legal
personality);

	1.3.2
	a
"party" is a reference to a party to this Agreement and "parties to this Agreement"
shall be construed accordingly;

	1.3.3
	a
clause, paragraph or schedule, unless the context otherwise requires, is a reference to a clause or a paragraph of, or a schedule to, this Agreement; and

	1.3.4
	(unless
the context otherwise requires) the singular shall include the plural and vice versa.

	1.4
	The
headings in this Agreement do not affect its interpretation. 

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2.     BUSINESS  

The
business of the Company shall be the marketing, distribution and sale of Samsonite-owned brand products in Japan (but excluding non-Samsonite-owned brands, including those brands
licensed to Samsonite), or as otherwise decided from time to time by the Shareholders. 

3.     BOARD OF DIRECTORS; STATUTORY AUDITORS  

	3.1
	The
Board shall have responsibility for the supervision and management of the Company and its business save in respect of those matters that are specifically subject to consent of the
shareholders as set forth in clause 3.8.

	3.2
	The
Board shall be comprised of five (5) Directors at all times:

	3.2.1
	two
(2) Directors shall be appointed upon nomination of Samsonite, initially Bottoli and Morimoto;

	3.2.2
	two
(2) Directors shall be appointed upon nomination of ESY, initially Kawaguchi and Odagiri;

	3.2.3
	one
(1) Director shall be a neutral Director appointed jointly upon nomination of Samsonite and ESY, initially Silva; and

	3.2.4
	with
the exception of Bottoli and Morimoto, all present Directors of the Company immediately before the Effective Date shall resign as Directors of the Company on the Subscription
Date.

	3.3
	Each
of Samsonite or ESY may remove a Director nominated by it and nominate a new Director in his or her place by notice in writing to the Company, the Shareholders and the Minority
Shareholders, as applicable; provided that, no party shall appoint a Director without reasonable prior consultation with the other parties with a view to reaching agreement on the person to be
appointed. Any decision to remove Silva or appoint another neutral Director shall be made by the unanimous consent of the Shareholders.

	3.4
	The
Shareholders shall procure that persons nominated or required to be removed in accordance clauses 3.2 and 3.3 are promptly appointed or removed as Directors.

	3.5
	The
Board shall appoint:

	3.5.1
	a
non-executive Chairman, Sawada (if agreed by both Shareholders after 31 March 2005) or to otherwise be agreed by both Shareholders;

	3.5.2
	one
(1) Representative Director (duihyo forishimariyuku) who shall also serve as chief executive officer
("CEO"), initially Morimoto; and

	3.5.3
	one
(1) Representative Director (duihyo torishimariyuku) who shall also serve as chief operating officer
("COO"), initially Kawaguchi; provided that, the parties understand and agree that Kawaguchi's ability to act as Representative Director will be as
separately outlined in the Kawaguchi Management Services Agreement.

	3.6
	A
meeting of the Board may be called by the CEO on twenty (20) days notice to all other Directors (or shorter notice if all the Directors agree) and Board meetings shall in any
event be held no less than once every three (3) months as required by the Code or more often if agreed by a majority of Directors. Subject to clause 3.7 and clause 3.8, Board
meetings may be held, and resolutions of the Board passed, in any manner permitted by the Code; physical meetings of the Board shall be held in Japan, unless all the Directors agree otherwise. 

5

 

	3.7
	The
quorum for any meeting of the Board shall be four (4) Directors. Subject to clause 3.8 and unless the Code requires otherwise, decisions of the Board shall require
approval by affirmative vote of the majority of Directors present. If such a quorum is not present within thirty (30) minutes from the time appointed for the meeting or if during the meeting a
quorum ceases to be present, the meeting shall stand adjourned to the same time and place three (3) Business Days later, or to such day, time and place as the CEO may decide, in which case two
(2) Business Days' prior notice is to be given to each of the other Directors as to when the meeting is to be reconvened.

	3.8
	Notwithstanding
any provisions of the Code, the following matters shall require the written consent of both Shareholders (which shall not be unreasonably withheld by ESY and which
shall effectively be given if a Director nominated by that Shareholder votes in favor of any such matter at a meeting of the Board):

	3.8.1
	any
transaction outside the ordinary course of business;

	3.8.2
	any
material acquisitions or disposals;

	3.8.3
	payment
of dividends;

	3.8.4
	capital
expenditures and capital leases over JPY10 million;

	3.8.5
	execution
of a credit facility (excluding trade credits) or the granting of security;

	3.8.6
	a
merger which would result in change of control of the Company;

	3.8.7
	approval
of the annual Business Plan (including annual sales plan, annual budget, profit planning, personnel planning, planned investments, and financial planning), and any material
deviation from or amendments to a Business Plan or change in the nature of the business of the Company or any change in the Business Plan that affects the Incentive Bonus;

	3.8.8
	any
proposed change in the number or composition (not to include, identity) of the Board of Directors;

	3.8.9
	any
capital increase or decrease;

	3.8.10
	guarantees
by the Company;

	3.8.11
	any
material amendment to the Sublicense and Distribution Agreement;

	3.8.12
	any
changes in the Company's articles of incorporation;

	3.8.13
	any
agreements entered into by, or relating to, the Company with a term exceeding one (1) year;

	3.8.14
	remuneration
of board members and executive officers; and

	3.8.15
	any
employment contract exceeding JPY20 million per year.

	3.9
	There
shall be three (3) statutory auditors at all times:

	3.9.1
	Two
(2) statutory auditors shall be appointed upon nomination of Samsonite, initially Douglas W. Sundby, the current statutory auditor, and one (1) additional
statutory auditor to be nominated by Samsonite as soon as possible; and

	3.9.2
	One
(1) statutory auditor shall be appointed upon nomination of ESY, initially Masaei Hayashi. 

6

 

	3.10
	Each
of Samsonite or ESY may remove a statutory auditor nominated by it in the same way as for Directors, as set forth in clause 3.3, in which event clause 3.4 shall
apply mutatis mutandis. 

4.     BUSINESS PLAN  

The
initial financial projections of the Company, including, among other information, Net Outside Sales, earnings before interest, income taxes, depreciation and amortization
("EBITDA"), average working capital as a percentage of Net Outside Sales as set forth in the Business Plan attached as schedule 1 (as defined
below) (the "Working Capital Ratio") for the period from the Subscription Date through 31 December 2007, segregated by Fiscal Year (with the
initial period being the period from the Subscription Date through 31 December 2005, and thereafter, the Fiscal Year 2006 and the Fiscal Year 2007) (collectively, the  "Business Plan") is attached
as schedule 1. 

5.     INCENTIVE BONUS  

	5.1
	If
agreed upon performance criteria with respect to the operations of the Company are satisfied during a Fiscal Year, Samsonite shall accrue and shall pay to ESY in accordance with
clause 5.2, an incentive bonus equal to one-half the aggregate royalty paid by the Company to Samsonite pursuant to the Sublicense and Distribution Agreement during that Fiscal
Year, less applicable taxes, if any (the "Incentive Bonus")

	5.2
	The
amount of Incentive Bonus, if any, shall be calculated and accrue for each Fiscal Year no later than 28 February of the following Fiscal Year, and shall be payable within thirty
(30) days thereafter.

	5.3
	Except
for the first Fiscal Year from the Subscription Date through 31 December 2005, no Incentive Bonus shall be accrued or payable in case of exit or termination as set forth
in clause 12 or clause 13, for a period of less than twelve (12) months.

	5.4
	The
financial metrics for calculating the Incentive Bonus shall be Net Outside Sales, EBITDA and the Working Capital Ratio.

	5.5
	The
amount of the Incentive Bonus earned with respect to each Fiscal Year shall be based on the achievement of targets for Net Outside Sales, EBITDA, and the Working Capital Ratio for
such Fiscal Year, as set forth in the Business Plan.

	5.6
	The
weighting of the three financial metrics of Net Outside Sales, EBITDA, and the Working Capital Ratio for earning a percentage of the total Incentive Bonus for each Fiscal Year
shall be as follows; provided that, the financial targets for each Fiscal Year shall each be considered separately and the failure to reach the target for one Fiscal Year shall not affect the targets
for the other Fiscal Years: 

	 
	 	Fiscal Year

2005

(from the Subscription Date

through 31 December 2005)
	 	Fiscal Year

2006
	 	Fiscal Year

2007
	 
	Net Outside Sales:	 	 1/3	 	30	%	25	%
	EBITDA:	 	 1/3	 	35	%	40	%
	Working Capital Ratio:	 	 1/3	 	35	%	35	%

	5.7
	The
financial metrics referred to in Clause 5.4 (Net Outside Sales, EBITDA, and the Working Capital Ratio) shall also apply to the Samsonite Japan management team in
establishing that portion of any incentive award based on achievement of financial targets. However, there may be a difference in the method of computing the payouts of the incentive bonuses awarded
to the Samsonite Japan management team with respect to the achievement of such financial targets. 

7

 

6.     ACCESS TO INFORMATION  

The
Company shall provide each Shareholder with any document or information that such Shareholder may reasonably request from time to time. 

7.     CAPITAL REQUIREMENTS AND NEW SHARE ISSUANCES  

	7.1
	The
Shareholders shall make adequate equity investments in and/or loans to the Company to keep the Company solvent at all times and to provide sufficient capital to finance the growth
and operations of the Company in accordance with the Business Plan.

	7.2
	If
the Company wishes to issue new Shares ("New Shares"), each Shareholder shall have the right to subscribe for New Shares pro rata in
proportion to its existing shareholding ratio, and the Company shall offer New Shares in writing to each Shareholder for subscription accordingly.

	7.3
	In
the event that any Shareholder does not subscribe for any or all of the New Shares within the period designated by the Company in accordance with the applicable provisions of the
Code, such Shareholder shall lose its right to subscribe to the unsubscribed New Shares and the Company may offer the unsubscribed New Shares to the other Shareholder, if such Shareholder subscribed
for the New Shares in response to the first offer by the Company.

	7.4
	Any
issue of the New Shares shall be made in accordance with the procedures set forth in the Code. In addition, nothing in this clause 7 shall restrict each Shareholder's right
to approve or disapprove any proposed capital increase as set forth in clause 3.8.9.

	7.5
	No
Shares or Share Equivalents shah be allotted, sold, issued or transferred to a person who is not already a Shareholder of the Company without the prior written consent of all
Shareholders (and the Company shall not enter any such person in the register of shareholders of the Company) and until such person has executed and delivered an accession agreement in the form
attached as Schedule 2 (as may be amended as the Board may from time to time agree) the "Accession Agreement").

	7.6
	A-person
who has entered into an Accession Agreement pursuant to clause 7.5 shall have the benefit of and be subject to the burden of all provisions and continuing
obligations of this Agreement as if such person had been an original party in the capacity designated in the Accession Agreement, and this Agreement shall be interpreted accordingly. 

8.     PERMITTED TRANSFERS  

	8.1
	ESY
shall permit the Minority Shareholders to freely transfer amongst themselves their equity interests in ESY. ESY shall within three (3) Business Days notify Samsonite and
the Company of any such transfer. ESY shall prohibit the Minority Shareholders from transferring all or any of their equity interests in ESY to any third party; provided that, Kawaguchi may transfer
all or a portion of her equity interest in ESY to Sawada after March 31, 2005, with the consent of both Shareholders.

	8.2
	A
Shareholder (the "Original Transferor", which expression shall not include a second or subsequent transferor in a series of
transfers) may at any time transfer any of its Shares (the "Group Shares") to any of its Affiliates. The Affiliate may at any time transfer any of the
Group Shares to the Original Transferor or another Affiliate of the Original Transferor. Clauses 10 and 11 shall not apply to the transfer of any Group Shares pursuant to this clause 8.2. No
Group Shares shall be transferred by the Original Transferor to an Affiliate in accordance with this clause 8.2 until such Affiliate has executed and delivered an Accession Agreement. 

8

 

	8.3
	If
Group Shares have been transferred under clause 8.1 (whether directly or by a series of transfers) by an Original Transferor to its Affiliate (the  "Transferee", which shall include a second or
subsequent transferee in a series of transfers) and subsequently the Transferee ceases to be an Affiliate
of the Original Transferor, then the Transferee shall immediately transfer the Group Shares to the Original Transferor or, at the Original Transferor's option, to an Affiliate of the Original
Transferor. If the Transferee fails to transfer the Group Shares within fourteen (14) days of the Transferee ceasing to be an Affiliate of the Original Transferor then the Transferee shall be
deemed to have served a Transfer Offer in respect of the Group Shares at the lower of the original purchase price of the Group Shares and the net book value of the Group Shares. The Transfer Offer
shall not be withdrawn in any circumstances.

	8.4
	The
Directors may require the holder of the Group Shares or the person named as transferee in any transfer of Group Shares lodged for registration to furnish the Directors with such
information as the Directors may reasonably consider necessary for the purpose of ensuring that a transfer of Shares is permitted under clause 8.2. If the information is not provided within
fourteen (14) days of the request the Directors may refuse to register the transfer of the Group Shares.

	8.5
	A
Shareholder may only transfer or dispose of its Shares:

	8.5.1
	to
an Affiliate: or

	8.5.2
	to
the other Shareholder or purchasers (whether Shareholders or not) approved by the other Shareholder in writing; or

	8.5.3
	pursuant
to clauses 10, 12 or 13, 

and
the procedures in clause 10 shall be interpreted and applied accordingly. 

9.     DEALING IN SHARES  

	9.1
	Neither
Shareholder shall do, or agree to do, any of the following during the term of this Agreement without the prior written consent of the other Shareholder or otherwise in
accordance with this Agreement:

	9.1.1
	pledge,
mortgage, charge or otherwise encumber any Share or Share Equivalent or any interest in any of them;

	9.1.2
	grant
an option over any Share or Share Equivalent or any interest in any of them; or

	9.1.3
	enter
into any agreement in respect of the votes attached to any Share,

	9.2
	The
Company shall procure that each share certificate issued by it will carry the following statement: 

"Any
disposition, transfer or charge of the Shares represented by this certificate shall be governed by the Shareholders' Agreement dated [O]." 

10.   RIGHT OF FIRST REFUSAL  

	10.1
	If
any Shareholder (the "Transferor") wishes to sell any or all of its Shares to a third party purchaser, such Shareholder shall first
offer the Shares desired to be sold (the "Sale Shares") to the other Shareholder (the "Other
Shareholder"), specifying in writing the number and class of the Sale Shares and the proposed sale price per share, and the proposed date and place (being not earlier than
fourteen (14) days after the date of the offer) at which the sale of the Sale Shares shall be completed (the "Transfer Offer"). 

9

 

	10.2
	In
the event that a Transfer Offer is made in accordance with clause 10.1, the Other Shareholder may deliver a written notice to the Transferor of its intention to purchase
all or any of the Sale Shares at the price and on the terms stated in the Transfer Offer.

	10.3
	If
the Other Shareholder pursuant to this clause 10:

	10.3.1
	elects
not to purchase any of the Sale Shares, the Transfer Offer is deemed cancelled and the Sale Shares shall not be transferred to the Other Shareholder; or

	10.3.2
	elects
to purchase some but not all of the Sale Shares, the Transferor may either (i) cancel the Transfer Offer in its entirety (and the Sale Shares shall not be transferred
to the Other Shareholder), or (ii) sell only the accepted shares to the Other Shareholder and cancel the Transfer Offer for the Sale Shares not accepted by the Other Shareholder within seven
(7) days following the notice from the Other Shareholder given pursuant to this clause 10.

	10.4
	The
Transferor may not transfer any Sale Shares which are not sold to the Other Shareholder to any third party without the written consent of the Other Shareholder, except with
respect to a sale by Samsonite of all or substantially all of its assets. 

11.   TERM AND TERMINATION  

	11.1
	This
Agreement shall continue in effect until terminated in accordance with clause 11.2.

	11.2
	The
term of this Agreement shall be until the earliest of:

	11.2.1
	31
December 2009, renewable by the agreement of the Shareholders no later than 30 September 2009 on agreed terms and conditions;

	11.2.2
	there
being only one Shareholder; and

	11.2.3
	an
exit (as set forth in clause 12) or termination due to the occurrence of a Termination Event (as set forth in clause 13).

	11.3
	No
termination of this Agreement shall relieve either party of liability for breach of this Agreement occurring prior to the date of termination. 

12.   EXIT: SAMSONITE CALL OPTION AND ESY PUT OPTION  

	12.1
	No
later than thirty (30) days after the Trigger Date (and, if not then exercised by either Shareholder, for a period of thirty (30) days beginning with 31
December 2008), Samsonite shall have a call option to purchase all of the Shares held by ESY (the "Minority Shares") at the Minority Shares
Purchase Price (the "Samsonite Call Option"), and ESY shall have a put option to sell the Minority Shares to Samsonite at the Minority Shares Purchase
Price (the "ESY Put Option"; collectively with the Samsonite Call Option, the "Options" and each an  "Option"). If an Option is exercised within the applicable thirty (30) day period, Samsonite shall be obliged to purchase and ESY shall be
obliged to sell the Minority Shares free of encumbrances, within ninety (90) days after the date of the notice of exercise.

	12.2
	If
the Options have not been exercised as set forth in clause 12.1, Samsonite shall be obligated to purchase the Minority Shares no later than 31 January 2010 or within
thirty (30) days after the end of any extended term, at the Minority Shares Purchase Price calculated as of 31 December 2009 or the last day of any extended term, as applicable. 

10

   13.   TERMINATION EVENTS  

	13.1
	In
case of the following events (each a "Termination Event"), the Shareholders shall have the rights and obligations set forth in this
clause 13:

	13.1.1
	failure
to obtain the consent of both Shareholders on any matter set forth in clauses 3.8.1through 3.8.5, 3.8.10 or 3.8.12 through 3.8.15;

	13.1.2
	agreement
between the Shareholders to terminate the Shareholders' Agreement;

	13.1.3
	bankruptcy,
an encumbrancer takes possession of, or an administrator, administrative receiver, receiver, trustee or liquidator (or similar officer in the relevant jurisdiction) is
appointed over the whole or any part of that Shareholder's undertaking, property or assets or those of any company which controls it, or a resolution is passed for its winding-up or
similar event of either Shareholder;

	13.1.4
	come
under the control of a Competitor;

	13.1.5
	commit
a material breach of this Agreement which remains uncured after seven (7) days of notice of the breach from the Board; or

	13.1.6
	in
case of Samsonite only (i) change of control of ES or ETERNAL, or (ii) if a Minority Shareholder ceases to be a partner in ESY.

	13.2
	If
a Termination Event occurs, either Samsonite (in respect of clauses 13.1.1 through 13.1.6) or ESY (in respect of clauses 13.1.1 through 13.1.5), may on thirty (30) days
notice to the other Shareholder, exercise the Samsonite Call Option or ESY Put Option, as applicable, for payment of the Minority Shares at the Minority Shares Purchase Price, to be completed within
ninety (90) days after the notice of exercise, as set forth in clause 12. 

14.   MINORITY SHARES PURCHASE PRICE  

	14.1
	The
Minority Shares Purchase Price shall be equal to EBITDA for the twelve (12) month period ended on the most recent previous month end times three (3), minus Net Debt as of
the most recent previous month end, multiplied by the percentage of Shares held by ESY in the Company as at the Exit Date (as of the Closing Date, thirty-three percent (33%)).

	14.2
	The
Minority Shares Purchase Price shall be payable as follows:

	14.2.1
	If
the Minority Shares Purchase Price is equal to or less than USD3 million, in cash within ninety (90) days following receipt of the valuation of the Minority
Shares; or

	14.2.2
	If
the Minority Shares Purchase Price is more than USD3 million, ESY may choose one of:

	(a)
	Payment
in cash for fifty percent (50%) of the total Minority Shares Purchase Price within 30 days following receipt of the valuation of the Minority Shares and the remainder
in cash, with interest at the rate of the Japanese long-term prime interest rate plus one percent (l%), payable one year and one day following exercise of the Option; or

	(b)
	Payment
in cash for fifty percent (50%) of me total Minority Shares Purchase Price within thirty (30) days following receipt of the valuation of the Minority Shares and fifty
percent (50%) in unregistered common stock of Samsonite; or 

11

 

	(c)
	Payment
in cash for fifty percent (50%) of the total value of the Minority Shares Purchase Price within thirty (30) days following receipt of the valuation of the Minority
Shares and fifty percent (50%) in common stock of the Company. Within two (2) years from the exercise of the first Option or ESY Put Option, ESY shall have a put option to sell the remaining
Minority Shares held by it to Samsonite for purchase at a price equal to the Minority Shares Purchase Price per share (valued as of the date notice of such second put option is given) of all stock of
the Company, multiplied by the number of Minority Shares then held by ESY as of the date notice of such second put option is given. Samsonite shall have a corresponding call option on the same number
of the shares, during the same period of time, and at the same price per share as ESY's put option.

	14.3
	On
completion of the sale, all of the Ancillary Agreements except the WW/IMC Consulting Services Agreement shall be immediately terminated. 

15.   REPRESENTATIONS AND WARRANTIES  

	15.1
	Each
of the Shareholders, severally and not jointly, hereby represents and warrants to the other Shareholder that:

	15.1.1
	it
has full power and authority (or, if an individual, legal capacity) to enter into this Agreement and to perform its obligations under this Agreement; and

	15.1.2
	this
Agreement has been duly executed and delivered by it and will constitute, its valid and binding obligations, enforceable against it in accordance with its terms.

	15.2
	The
Company hereby represents and warrants to each Shareholder that:

	15.2.1
	it
is a corporation duly organized an validly exist under the laws of Japan; and

	15.2.2
	it
has full power and authority to enter into this Agreement and to perform its obligations under this Agreement.

	15.3
	ESY
hereby represents and warrants to Samsonite and the Company that:

	15.3.1
	it
is a toushijgyou yugen sekinin kumiai (an investment limited liability partnership) organized and validly existing under the laws
of Japan;

	15.32
	it
has full power and authority to enter into this Agreement and to perform its obligations under this Agreement; and

	15.3.3
	as
set forth in the Minority Shareholders Agreement, the Minority Shareholders and their respective equity holdings in ESY are:

	(a)
	ES:
thirty thirty-thirds (30/33, or 90.91%)

	(b)
	Kawaguchi:
two thirty-thirds (2/33, or 6.06%)

	(c)
	ETERNAL:
one thirty-third (1/33, or 3.03%) 

16.   CONFIDENTIALITY  

	16.1
	For
the purposes of this clause, "Confidential Information" means all information of a confidential nature disclosed (whether in
writing, verbally or by any other means and whether directly or indirectly) by one party (the "Disclosing Party") to any other party (the  "Receiving Party") whether before or after the Effective Date. 

12

 

	16.2
	During
the term of this Agreement and for a period of two (2) years after termination or expiration of this Agreement for any reason whatsoever the Receiving Party shall:

	16.2.1
	keep
the Confidential Information confidential;

	16.2.2
	not
disclose the Confidential Information to any other person other than with the prior written consent of the Disclosing Party or in accordance with clauses 16.3 and 16.4; and

	16.2.3
	not
use the Confidential Information for any purpose other than the performance of its obligations under this Agreement.

	16.3
	The
Receiving Party may disclose Confidential Information to its employees to the extent that it is necessary for the purposes of this Agreement and shall procure that each such
person is made aware of and complies with all the Receiving Party's obligations of confidentiality under this Agreement.

	16.4
	The
obligations contained in clauses 16.1 and 16.2 shall not apply to any Confidential Information which:

	16.4.1
	is
at the Effective Date or at any time after the Effective Date comes into the public domain other than through breach of this Agreement by the Receiving Party;

	16.4.2
	can
be shown by the Receiving Party to the reasonable satisfaction of the Disclosing Party to have been known to the Receiving Party prior to it being disclosed by the Disclosing
Party to the Receiving Party;

	16.4.3
	subsequently
comes lawfully into the possession of the Receiving Party from a third party; or

	16.4.4
	is
required to be disclosed by law, stock exchange rules or governmental orders or regulations. 

17.   FINANCIAL ACCOUNTING  

The
Company shall at all times maintain accurate and complete accounting and other financial records in accordance with the requirements of all applicable laws, Japanese standards, and generally
accepted accounting principles applicable in the United States of America ("U.S. GAAP"). Monthly management accounts containing such information as either Shareholder shall reasonably require shall be
prepared in accordance with US. GAAP and sent by the Company to the Board and the Shareholders no later than thirty (30) days following the end of the month such management accounts are for. 

18.   DESIGNATION OF INDEPENDENT AUDITOR  

Samsonite
shall designate the Company's independent auditor as required by the Code in Samsonite's sole discretion and promptly notify the Company of any changes thereto. 

19.   SUPREMACY OF THIS AGREEMENT  

If
there is any conflict or inconsistency between the provisions of this Agreement and the Articles, this Agreement shall, to the extent permitted by the Code, prevail. The Shareholders shall vote
their Shares to amend the Articles, to the extent permitted by law, to reflect this Agreement. 

20.   COSTS  

The
Shareholders and the Company shall share the costs and expenses of and incidental to the negotiation, preparation, execution and implementation by it of this Agreement and of all other documents
referred to in it, as set forth in the costs' agreement entered into as of the Effective Date attached as schedule 3 (the "Costs Sharing
Agreement"). 

13

 

21.   ANNOUNCEMENTS AND PRESS RELEASES  

No
party shall divulge to any third party (except to its respective professional advisers or to any stock exchange or other regulatory body or except as required by applicable law or for the purpose
of legal
or arbitration proceedings) any information regarding the existence or subject matter of this Agreement without the prior written consent of the other parties (such consent not to be unreasonably
withheld). 

22.   RELEASE AND INDULGENCE  

Any
liability to any party may in whole or in part be released, compounded or compromised, or time or indulgence given, by it in its absolute discretion as regards any other party without in any way
prejudicing or affecting its other rights against any other party. 

23.   REMEDIES  

No
remedy conferred by any of the provisions of this Agreement is intended to be exclusive of any other remedy which is otherwise available at law, in equity, by statute or otherwise, and each and
every other remedy shall be cumulative and shall be in addition to every other remedy given hereunder or now or hereafter existing at law, in equity, by statute or otherwise. The election of any one
or more of such remedies by any of the parties shall not constitute a waiver by such party of the right to pursue any other available remedies. 

24.   CONTINUING EFFECT OF AGREEMENT  

All
provisions of this Agreement shall so far as they are capable of being performed or observed continue in full force and effect after the Effective Date except in respect of those matters then
already performed. 

25.   ASSIGNMENT  

Except
as otherwise set forth herein, no party may assign or transfer its rights or obligations under this Agreement without the prior written consent of the other parties. 

26.   FURTHER ACTS  

Each
party shall execute and/or do and take such steps as may be in its power to procure all other necessary persons, if any, to execute and/or do all such further documents, agreements, deeds, acts
and things as may reasonably be required by the other parties so that full effect may be given to the provisions of this Agreement. 

27.   TIME OF ESSENCE  

Any
time or period mentioned in any provision of this Agreement may be extended by mutual agreement between the parties but as regards any time, date or period originally fixed or any time, date or
period so extended as aforesaid time shall be of the essence. 

28.   AMENDMENTS AND NO WAIVER  

	28.1
	A
variation of this Agreement is valid only if it is in writing and signed by or on behalf of each party.

	28.2
	The
failure to exercise or delay in exercising a right or remedy provided by this Agreement or by law does not impair or constitute a waiver of the right or remedy or an impairment
of or a waiver of other rights or remedies. No single or partial exercise of a right or remedy provided by this Agreement or by law prevents further exercise of the right or remedy or the exercise of
another right or remedy. 

14

 

29.   ENTIRE AGREEMENT  

This
Agreement and each document referred to in it constitute the entire agreement and supersede any previous agreements between the parties relating to the subject matter of this Agreement. 

30.   NO SOLICITATION  

For
so long as it holds Shares and for a period of one (1) year thereafter, each Shareholder agrees on behalf of itself and its Affiliates not to induce or attempt to induce any employee of the
Company or its Affiliates to leave their employ or in any way interfere with the relationship between any member of the Company and any of its employees. 

31.   RIGHTS OF THIRD PARTIES  

No
person who is not party to this Agreement shall have or acquire any right to enforce any term of this Agreement. 

32.   NOTICES  

A
notice or other communication under or in connection with this Agreement (a "Notice") shah be in writing and delivered personally or sent by post (and air mail if overseas) or by fax to the party
due to receive the Notice to the address set out below or to another address specified by that party by not less than seven (7) days' written notice to the other parties received before the
Notice was dispatched. 

Unless
there is evidence that it was received earlier, a Notice is deemed given if: 

	32.1.1
	delivered
personally, when left at the address referred to below;

	32.1.2
	sent
by mail to the other party within Japan, except airmail, two (2) Business Days after posting it;

	32.1.3
	sent
by air mail, six (6) Business Days after posting it; and

	32.1.4
	sent
by fax, when confirmation of its transmission has been recorded by the sender's fax machine. 

15

 

The
addresses referred to above are: 

	Samsonite Japan Co., Ltd.	 	Akasaka Edosei Bldg., 4F

7-10-8 Akasaka, Minato-ku

Tokyo 107-0052, Japan

Fax No.: (81)-3-5545-6771
	

Attention:	
 	

Jun Morimoto
	

Samsonite Corporation:	
 	

11200 East Forty-Fifth Ave.

Denver, CO 80239

United States of America

Fax No.: (l)-303-373-6406
	

Attention:	
 	

Vice President—Legal
	

ESY Luggage Management LPS

Investment Limited Partnership:	
 	

Marunouchi Mitsui Bldg.,

2-2-2, Marunouchi

Chiyoda-ku, Tokyo 100-0005, Japan

Fax No.: (81)-3-5220-1267
	

Attention:	
 	

Yumiko Kawaguchi

33.   GOVERNING LAW AND ARBITRATION  

	33.1
	This
Agreement is governed by Japanese law.

	33.2
	Any
dispute, controversy or claim arising out of or relating to this Agreement, or the breach, termination or validity thereof, shall, if the same cannot be amicably settled by the
parties upon the written request of any party, be settled by arbitration. The award of the arbitrators shall be final and binding upon the parties.

	33.3
	The
arbitration shall be held in Tokyo, Japan in accordance with the arbitration rules of the Japan Commercial Arbitration Association in force when such arbitration is commenced
(the "Rules"). The language used for the arbitration shall be English; provided that, translation and/or interpretation in Japanese language may be
provided in a Shareholder's discretion, at such Shareholder's sole cost and expense. Unless otherwise agreed by the parties, the number of arbitrators shall be three, to be nominated by tire parties
in the manner provided for in the Rules.

	33.4
	If
any of the provisions of this Agreement shall be held by a court or other tribunal of competent jurisdiction to be unenforceable, the remaining portions of this Agreement shall
(unless the unenforceable provision is material to the operation of this Agreement as intended by the parties) remain in full force and effect and such portions shall be enforced to the extent
permissible.

	33.5
	All
costs of the arbitration shall be borne equally by the parties involved. Judgment upon any arbitration award may be entered in any court of law having jurisdiction. 

34.   GOVERNING LANGUAGE  

	34.1
	This
Agreement is in the English language only, which language shall be controlling in all respects. No translation of this Agreement into any other language shall be of any force or
effect in the interpretation of this Agreement or in the determination of the intent of the parties. 

16

 

	34.2
	Each
notice, demand, request, statement, instrument, certificate or other communication given, delivered or made by a party to any other party under or in connection with this
Agreement shall be in English. 

35.   COUNTERPARTS  

This
Agreement may be executed in any number of counterparts, each of which when executed and delivered is an original and all of which together evidence the same agreement. 

[Remainder of page left intentionally blank]

17

   
IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date. 

	Samsonite Japan Co., Ltd.	 	 
	

/s/  JUN MORIMOTO      
 Name: Jun Morimoto

Title: Representative Director and Chief Executive Officer	
 	

 
	
Samsonite Corporation	
 	

 
	

/s/  MARCELLO BOTTOLI      
 Name: Marcello Bottoli

Title: Chief Executive Officer	
 	

 
	
ESY Luggage Management LPS Investment Limited Partnership	
 	

 
	

/s/  YUMIKO KAWAGUCHI      
 Name: Yumiko Kawaguchi

Title: General Partner	
 	

 
	

ETERNAL and ES hereby agree to jointly and severally guarantee, without limitation, all of the obligations of ESY as set forth in this Agreement:
	
ETERNAL ENTERPRISE CORPORATION	
 	

 
	

/s/  KENTARO ODAGIN      
 Name: Kentaro Odagin

Title: Vice President and Chief Operating Officer	
 	

 
	
ES Partnership Investment Limited Partnership	
 	

 
	

/s/  MASAEI HAYASHI      
 Name: Masaei Hayashi

Title: General Partner	
 	

 

18

  

 
 

SCHEDULE 1
  
    INITIAL BUSINESS PLAN    
    

19

  

 
 

SCHEDULE 2
  
    FORM OF ACCESSION AGREEMENT
  
    ACCESSION AGREEMENT    
    

This
accession agreement (this "Accession Agreement") forms part of the Shareholders' Agreement dated [O] 2005 originally made
between Samsonite Japan Co., Ltd., Samsonite Corporation and ESY Luggage Management LPS Investment Limited Partnership (the "Shareholders' Agreement"), as amended from time to time. Terms
defined in the Shareholders' Agreement shall have the meanings given to them in that agreement when used in this Accession Agreement. 

The
undersigned hereby: 

	1
	acknowledges
having received a copy of the Shareholders' Agreement and having read the Shareholders' Agreement in its entirety; and

	2.
	agrees
that it shall be bound by and comply with the terms and conditions of the Shareholders' Agreement for so long as it holds any Shares. 

IN
WITNESS OF WHICH the undersigned has executed this Accession Agreement. 

	 	 	By:	  
 [a duly authorized representative of [  ]

20

  

 
 

SCHEDULE 3
  
    CONSTS SHARING AGREEMENT    
    

21

QuickLinks

SCHEDULE 1 INITIAL BUSINESS PLAN

SCHEDULE 2 FORM OF ACCESSION AGREEMENT ACCESSION AGREEMENT

SCHEDULE 3 CONSTS SHARING AGREEMENTQuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.25  

 
 

CONSULTING AGREEMENT    
    

        This Agreement is made and entered into to be effective as of the first day of April 1995, by and between: 

Samsonite
Finanziaria S.R.L., Via dei Cappuccini, 14, Milano, (herein referred to as "Samsonite"), a company which controls the capital stock of Samsonite Italia S.R.L.; 

Guiseppe
Franco Fremder, an Italian national residing at Milan, Nievo Ippolito, n. 19 (herein referred to as "Consultant"); and 

Samsonite
Italia S.R.L., a company with registered office in Cesano Boscone, via E. De Nicola (herein referred to as "the Company"). 

Article 1—Duties  

        During the Term of this Agreement (as defined under Section 2.2 below), Consultant agrees to serve in the capacity of Managing Director (Amministratore
Delegato) of the Company, and Samsonite shall cause the Company to appoint Consultant as Managing Director. Except for time devoted to the affairs of certain companies referred to hereafter, which is
not covered by this Agreement, Consultant shall devote all necessary business time, energy and skill to the affairs of the Company. Consultant shall report to the Company's Board of Directors (the
"Board") and at all times during the term of this Agreement shall have such powers and duties as the Board of the Company shall assign to Consultant. Samsonite acknowledges that Consultant is devoting
some of his business time to providing executive management services to Samsonite Europe NV, to Samsonite Espana SA, to Saturn & Saturn S.R.L., and Bogey S.R.L. 

Article 2—Term of retention as Consultant  

        2.1   Definitions. For purposes of this Agreement the following terms shall have the following meanings: 

        2.1.1
"Termination for Cause" shall mean termination by Samsonite or by the Company of Consultant's services and duties by reason of (i) Consultant's willful dishonesty towards,
fraud upon, crime against, or deliberate injury or attempted injury to any and all members of the Samsonite Group, (ii) Consultant's conviction of any unlawful or criminal activity of a serious
nature, (iii) Consultant's willful breach of any duty, his habitual neglect of duty or any unreasonable performance, or (iv) Consultant's material breach of any provision of this
Agreement. 

        2.1.2
"Termination Other Than for Cause" shall mean termination by Samsonite and/or by the Company of Consultant's activities for the Company other than in a Termination for Cause or
Termination by Reason of Disability or Death. 

        2.1.3
"Voluntary Termination" shall mean termination by Consultant of Consultant's executive management activities for the Company, other than Termination by Reason of Consultant's Death
or Disability as described in Sections 2.5 and 2.6 hereafter. 

        2.2   Term. The term of retention of Consultant by the Company shall be from the date hereof and shall continue at the pleasure
of Samsonite or of the Board of the Company (or any other organ of the Company as appropriate) in accordance with the Company's bylaws or until the first to occur of Consultant's resignation, removal,
death or disability (as determined in good faith by the Board) as provided for in this section 2. 

        2.3   Termination for Cause. Termination for Cause may be effected by the Company at any time during the term of this Agreement
and shall be effected by written notification to Consultant. Upon termination, Consultant shall be paid all accrued Directors' fees and any appropriate business expenses 

 

incurred
by Consultant in connection with his duties hereunder, all to the date of termination, but Consultant will not be paid any other compensation or reimbursement of any kind. 

        2.4   Termination Other Than for Cause. Notwithstanding anything else in this Agreement, the Company may effect a Termination
Other Than for Cause at any time and with immediate effect. Upon any Termination Other Than for Cause, Samsonite shall cause the Company to pay to Consultant promptly all accrued Directors' fees and
any appropriate business expenses incurred by Consultant in connection with his duties hereunder, all to the date of termination, but Consultant shall not be entitled to any compensation or
reimbursement of any kind other than a lump sum amount equal to twice and a half the amount of Consultant's total annual remuneration of the previous calendar year as approved by the Board of
Directors of the Company, exclusive any and all expenses, bonuses, or other type of benefits whatsoever. 

        2.5   Termination by Reason of Disability. If, during the term of this Agreement, Consultant, in the good faith judgment of the
Board of the Company, has failed to perform his duties under this Agreement on account of illness or physical or mental disability, which condition renders Consultant incapable of performing the
duties of his office, and such condition continues for a period of one (1) month, the Company shall have the right to terminate Consultant's executive management services hereunder by written
notification to Consultant and payment to Consultant of all accrued Directors' fees and any appropriate business expenses incurred by Consultant in connection with his duties hereunder, all to the
date of termination, but no other compensation or reimbursement of any kind. 

        2.6   Death. In the event of Consultant's death during the term of this Agreement, Consultant's executive management services
shall be deemed to have terminated as of the last day of the month during which his death occurs and Samsonite shall cause the Company to pay to his estate all accrued Directors' fees and any
appropriate business expenses incurred by Consultant in connection with his duties hereunder, all to the date of termination, but no other compensation or reimbursement of any kind. 

        2.7   Voluntary Termination. In the event of a Voluntary Termination, Samsonite promptly shall cause the Company to pay all
accrued Directors' fees and any appropriate business expenses incurred by Consultant in connection with his duties hereunder, all to the date of termination, but no other compensation or reimbursement
of any kind. 

Article 3—Compensation  

        3.1   Directors' fees. As payment for the services to be rendered by Consultant as provided in Section 1 and subject to
the terms and conditions of Section 2, Samsonite shall cause the appropriate bodies of the Company to resolve a resolution to pay to Consultant an annual Directors' fee of ITL 315,000,000
(Three Hundred Fifteen million Italian Lira) payable in quarterly installments and in advance. Such Directors' fee is subject to annual approval by the Board of the Company in accordance with
the bylaws and the applicable company law. 

        3.2   Expenses. In addition to Directors' fees, the Company shall reimburse all reasonable business and travel expenses
incurred by Consultant in the performance of his duties pursuant to this Agreement. 

Article 4—Inventions  

        4.1   Definition. "Inventions", as used in this Section 4, means any discoveries, improvements and ideas (whether or not
they are in writing or reduced to practice) or works of authorship (whether or 

2

 

not
they can be patented or copyrighted) that Consultant makes, authors, or conceives (either alone or with others) and that: 

        4.1.1
concern directly the business, the present or possible future research or development of the Company and the other members of the Samsonite Group; 

        4.1.2
result from any work Consultant performs for the Company and the other members of the Samsonite Group; 

        4.1.3
use the equipment, supplies, facilities, or trade secret information of the Company or the other members of the Samsonite Group; or 

        4.1.4
Consultant develops during time for which he is compensated by the Company or other members of the Samsonite Group. 

        4.2   Assignment of Rights. Consultant agrees that all Inventions he makes during or within six months after the term of
this Agreement will be sole and exclusive property of Samsonite Corporation. Consultant will, with respect to any such invention: 

        4.2.1
keep current, accurate, and complete records, which will belong to the Company and be kept and stored on the Company's premises; 

        4.2.2
promptly and fully disclose the existence and describe the nature of the Invention to Samsonite Corporation in writing (and without request); 

        4.2.3
assign (and Consultant does hereby assign) to Samsonite Corporation or any other company designated by it all of his rights to the Invention, any applications he makes for patents
or copyrights in any country, and any patents or copyrights granted to him in any country; and 

        4.2.4
acknowledge and deliver promptly to Samsonite Corporation any written instruments, and perform any other acts necessary in Samsonite Corporation's opinion to preserve property
rights in the Invention against forfeiture, abandonment, or loss and to obtain and maintain patent and/or copyrights on the Invention and to vest the entire right and title to the Invention in
Samsonite Corporation. 

        Except
as previously disclosed in writing, Consultant does not have, and will not assert, any claims to or rights under any Inventions as having been made, conceived, authored or
acquired by Consultant prior to this Agreement. 

Article 5—Competitive Activities  

        5.1   Restrictive Covenant. Consultant agrees that during the term of this Agreement and for a period of two (2) years
thereafter he will not, either alone or in any capacity with another firm (i) in any way interfere or attempt to interfere with the Company's relationships with any of its current or potential
customers in Italy, (ii) employ or attempt to employ any of the then employees of the Company on behalf of any other competing entity in Italy, or (iii) directly or indirectly engage in
the manufacturing or marketing of any product, device or process which the Company manufactured or marketed at the time this Agreement is terminated, or any product, device or process substantially
similar thereto, or having substantially the same use as such product, device or process, or competitive therewith in Italy. 

        5.2   Notices. For so long as Consultant is bound by any obligations under this Section 5, Consultant will, prior to
accepting employment or a consulting or similar contract with any competitor of the Company, (i) inform Samsonite in writing of the proposed employment or consulting or similar contract, and
(ii) inform the competitor in writing of this Agreement and provide that party with a copy of this Agreement. 

3

 

        5.3   Severability. It is the express intent of the parties hereto that the obligations of, and restrictions on, the parties as
provided in this Section 5 shall be enforced and given effect to the fullest extent legally permissible. If a court may refuse to enforce one or more of the covenants or agreements contained in
this Section 5 because the duration thereof is too long, or the scope thereof is too broad, it is expressly agreed between the parties hereto that then such duration or scope shall be deemed
reduced to the extent necessary to permit the enforcement of such covenants or agreements. 

Article 6—Confidentiality  

        6.1   Consultant's Obligations. Consultant shall not disclose or furnish to any person, firm or corporation any Confidential
Information relating to Samsonite Corporation and its affiliated companies (herein referred to as "the Samsonite Group"). At the time of termination of his services under this Agreement, Consultant
shall deliver to Samsonite any and all documents, copies of documents, tangible thing which record Confidential Information, personal annotations and other property, belonging to or relating to the
business of any and all members of the Samsonite Group. 

        6.2   Definition. As used in this Agreement, Confidential Information means all information, and all documents and other
tangible things which record it, relating to or useful in connection with the business of any and all members of the Samsonite Group, which at the time or times concerned is protectable as trade
secret under applicable law and which has been or is from time to time disclosed to or developed by Consultant. Confidential Information includes, but is not limited to, the following especially
sensitive types of information related to any and all of the members of the Samsonite Group: (i) product development and marketing plans and strategies; (ii) unpublished drawings,
manuals, know-how, laboratory books, production techniques, proprietary formulas, compounds and compositions, research in progress and the like; (iii) finances; (iv) the
identity, purchase and payment patterns of, and special relations with, customers; (v) the identity, net prices and credit terms of, and special relations with, suppliers;
(vi) proprietary software and business records; (vii) any Inventions; and (viii) another information or documents which Consultant is told (or reasonably ought to know) to be
proprietary. 

Article 7—Miscellaneous  

        7.1   Remedies. Consultant acknowledges that the Company and would be irreparably injured by, and have no adequate remedy at
law for, any breach of Sections 4, 5 or 6. Consultant therefore consents that if such breach occurs or is threatened, whether before or after termination of this Agreement, Samsonite and/or the
Company may, as appropriate and in addition to all other then available remedies, enjoin him (together with all persons acting together with him) from such breach or threatened breach. If Samsonite
and/or the Company prevail in such litigation, they shall also be entitled to collect from Consultant the court costs, attorneys' and expert fees and other expenses of enforcing such provisions of
this Agreement. 

        7.2   Non-Alienation of Benefits. No right or benefit under this Agreement shall be subject to anticipation,
alienation, sale, assignment, pledge, encumbrance or charge; any attempt to anticipate, alienate, sell, assign, pledge or encumber or charge the same shall be avoided. No right or benefit hereunder
shall in any manner be liable for or subject to the debts, contracts or liabilities of Consultant. 

        7.3   Waiver. The waiver of the breach of any provision of this Agreement shall not operate or be construed as a waiver of any
subsequent breach of the same or other provision hereof. 

        7.4   Entire Agreement; Modifications. Unless explicitly provided herein, this Agreement does not cover the other arrangements
Consultant may have with other companies within the Samsonite Group. However, this Agreement represents the entire understanding with respect to any and all of Consultant's executive management
activities for the Company, and this Agreement supersedes any and 

4

 

all
prior understandings, whether written or oral, with respect to such activities. All modifications to the Agreement must be in writing and signed by the party against whom enforcement of such
modification is sought. 

        7.5   Notices. All notices and other communications under this Agreement shall be in writing and shall be personally delivered
or sent by receipted overnight courier service, fax or certified or registered mail with return receipt requested, to the following addresses: 

        If
to the Company: 

Samsonite
Italia S.R.L.

Cesano Boscone,

via E. De Nicola n. 18 

with
a copy to: 

Samsonite
Europe NV

President

Westerring 17

B- 9700 Oudenaarde 

        If
to Samsonite: 

Samsonite
Finanziaria S.R.L.

Dr. P. Mori

Via dei Cappuccini 14 20122 Milano 

with
a copy to: 

Samsonite
Europe NV

President

Westerring 17

B-9700 Oudenaarde 

        If
to Consultant: 

Guiseppe
Franco Fremder,

Milan, Nievo Ippolito, n. 19

Italy 

        Notices
delivered personally or by overnight courier shall be effective when delivered. Notices transmitted by fax shall be effective when received. Notices delivered by registered or
certified mail shall be effective on the date shown on the receipt therefor. Any party may change such party's address for notice by notice duly given pursuant to this Section 7.5. 

        7.6   Governing Law. This Agreement shall be governed by and construed in accordance with the laws of Italy, and both parties
consent to the exclusive jurisdiction of the courts of Milan. 

        7.7   Severability. Should a court determine that any provision of this Agreement is excessive in scope or otherwise invalid or
unenforceable, such provision shall be adjusted rather than voided, if possible, so that it is enforceable to the maximum extent possible, and all other provisions of the Agreement shall be deemed
valid and unenforceable to the extent possible. 

        7.8   Survival of rights and obligations. This Agreement shall be binding upon and inure to the benefit of any successor to
Samsonite and/or the Company. Except as explicitly provided herein, this Agreement shall not be assignable either by the Company or Samsonite (except to a member of the Samsonite Group) or by
Consultant. 

5

 

        7.9   Withholdings. All compensation and benefits to Consultant hereunder shall be reduced by all applicable taxes required by
law. 

        7.10 Independent Counsel. Consultant hereby acknowledges that he has had the opportunity to consult independent counsel
concerning the terms and conditions of this Agreement. 

        7.11 Legal Standing. It is understood that the Consultant shall carryon his activities for the Company on a strictly
independent and self-employed basis. Consultant shall be solely responsible for his good legal standing, social security status and tax status according to the applicable laws. 

        This
Agreement is executed by the parties, as of the date first above written, in three counterparts, each of them constituting one and the same Agreement. 

	

Samsonite Italia S.R.L.	
 	

 	
 	

 	
 	

Guiseppe Fremder
	

By:	
 	

/s/  LUC VAN NEVEL      
	
 	

 	
 	

 	
 	

/s/  GIUSEPPE FREMDER      

	Title: Chairman	 	 	 	 	 	 
	

 	
 	

 	
 	

Samsonite Finanziaria S.R.L.	
 	

 
	

 	
 	

 	
 	

By:	
 	

/s/  LUC VAN NEVEL      
	
 	

 
	 	 	 	 	Title: Director	 	 

6

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