Document:

Exhibit
4.45

SIXTEENTH
AMENDMENT AND LIMITED WAIVER

to

SECOND AMENDED AND RESTATED CREDIT AGREEMENT

This SIXTEENTH
AMENDMENT TO SECOND AMENDED AND RESTATED CREDIT AGREEMENT (this “Amendment”),
dated as of July 21, 2006, by and among THERMADYNE INDUSTRIES, INC., a Delaware
corporation (“Industries”), THERMAL DYNAMICS CORPORATION, a Delaware
corporation (“Dynamics”), TWECO PRODUCTS, INC., a Delaware corporation (“Tweco”),
VICTOR EQUIPMENT COMPANY, a Delaware corporation (“Victor”), C & G
SYSTEMS, INC., an Illinois corporation (“C & G”), STOODY COMPANY, a
Delaware corporation (“Stoody”), THERMAL ARC, INC., a Delaware
corporation (“Thermal Arc”), PROTIP CORPORATION, a Missouri corporation
(“ProTip”), THERMADYNE INTERNATIONAL CORP., a Delaware corporation (“International”,
and collectively with ProTip, Thermal Arc, Stoody, C & G, Victor, Tweco,
Dynamics and Industries, the “Borrowers”), the other persons designated
as Credit Parties on the signature pages hereof, GENERAL ELECTRIC CAPITAL
CORPORATION, a Delaware corporation (“Agent”) and the Persons signatory
thereto from time to time as Lenders. 
Unless otherwise specified herein, capitalized terms used in this
Amendment shall have the meanings ascribed to them in Annex A to
the Credit Agreement and the Intercreditor Agreement (each as hereinafter
defined).

RECITALS

WHEREAS, the Borrowers, the Credit Parties, Agent and
Lenders have entered into that certain Second Amended and Restated Credit
Agreement dated as of November 22, 2004 (as further amended, supplemented, restated
or otherwise modified from time to time, the “Credit Agreement”);

WHEREAS, the Borrowers and the other Credit Parties
have requested that Agent and Lenders amend certain provisions of the Credit
Agreement; and

WHEREAS, the Agent and Lenders have agreed to amend
the Credit Agreement as set forth herein.

NOW THEREFORE, in consideration of the mutual
execution hereof and other good and valuable consideration, the parties hereto
agree as follows:

1.             Limited
Waiver.  With respect to the
Financial Covenants contained in Annex G, Sections (a)(ii)-(iv) to the Credit
Agreement, the Agent and Lenders hereby waive any breach of or failure to
comply with such covenants by the Borrowers and the other Credit Parties for
each Fiscal Quarter ending after September 30, 2003 but on prior to September
30, 2005, solely to the extent any such breach or failure to comply results
from a recalculation of those ratios that may occur after a restatement of the
financial statements of any Borrower or other Credit Party.

2.             Limited
Consent.  In accordance with Section
5.2 of the Intercreditor Agreement, Agent hereby consents to that certain
Amendment No. 16, Waiver and Agreement to the Second Lien Credit Agreement by
and among Borrowers, Credit Suisse, Cayman Islands

 

Branch (f/k/a Credit Suisse First Boston, acting through its Cayman
Islands Branch), as administrative agent, and the other Persons signatory
thereto, having the effect of, among other things, increasing the aggregate
principal amount outstanding under the Second Lien Credit Agreement to
$50,000,000.

3.             Amendment
to Section 1.3(a).  Section 1.3(a) of
the Credit Agreement is hereby amended by adding the following sentence after
the first sentence thereof:

“Notwithstanding
anything to the contrary contained herein, Borrowers may prepay the Term Loan
in full on prior to July 21, 2006 without any restrictions or prepayment fee.”

4.             Amendment
to Section 4.1(a).  Section 4.1(a) of
the Credit Agreement is hereby amended and restated to read in its entirety as
follows:

“Each Credit
Party executing this Agreement hereby agrees that from and after the Closing
Date and until the Termination Date, it shall deliver to Agent or to Agent and
Lenders, as required, the Financial Statements, notices, Projections and other
information at the times, to the Persons and in the manner set forth in Annex
E.  Notwithstanding the timing
otherwise set forth in Annex E or otherwise herein to the contrary, (i)
the Financial Statements for the Fiscal Quarter ended March 31, 2006 and the
annual audited Financials Statements required to be delivered pursuant to
subsection (c) of Annex E for the Fiscal Year ending December 31, 2005
shall not be required to be delivered until July 27, 2006 and (ii) the
Financial Statements for the Fiscal Quarter ended June 30, 2006 shall not be
required to be delivered until September 15, 2006.  Together with the Financial Statement
delivered with respect to the Fiscal Quarter ending March 31, 2006, Borrower
Representative shall provide Agent with calculations, in form and substance
acceptable to Agent, demonstrating compliance with the Financial Covenants for
such Fiscal Quarter.”

5.             Amendment
to Section 6.3(a)(xiii).  Section
6.3(a)(xiii) of the Credit Agreement is hereby amended and restated to read in
its entirety as follows:

 “(xiii) Indebtedness consisting
of Second Lien Loan Obligations of Borrowers to Second Lien Lenders (as defined
in the Intercreditor Agreement) under the Second Lien Credit Agreement in an
aggregate principal amount not to exceed $50,000,000.”

6.             Amendment
to Section 8.1.  Section 8.1 of the
Credit Agreement is hereby amended by adding the following new Section 8.1(p):

“(p) Borrowing Availability shall at any time
be less than $5,000,000.”

7.             Amendment
to Annex A.  Annex A of the Credit
Agreement is hereby amended by amending and restating the definition of “EBITDA”
to read in its entirety as follows:

““EBITDA” means, with respect to any Person for
any fiscal period, without duplication, an amount equal to (a) consolidated net
income of such Person for such

 2
 

 

period determined in accordance with GAAP, minus (b) the sum of (i)
income tax credits, (ii) interest income, (iii) gain from extraordinary items
and dispositions of discontinued operations for such period, (iv) any aggregate
net gain (but not any aggregate net loss) during such period arising from the
sale, exchange or other disposition of capital assets by such Person (including
any fixed assets, whether tangible or intangible, all inventory sold in
conjunction with the disposition of fixed assets and all securities), and (v)
any other non-cash gains that have been added in determining consolidated net
income, in each case to the extent included in the calculation of consolidated
net income of such Person for such period in accordance with GAAP, but without
duplication, plus (c) the sum of (i) any provision for income taxes, (ii)
Interest Expense, (iii) loss from extraordinary items and dispositions of
discontinued operations and from impairments for such period (which for the
avoidance of doubt, such losses shall in no case include operating losses from
discontinued operations), (iv) depreciation and amortization for such period,
(v) amortized debt discount for such period, (vi) the amount of any deduction
to consolidated net income as the result of any grant to any members of the
management of such Person of any Stock, (vii) any non-recurring employee
severance expenses (a) not to exceed $2,000,000 in the aggregate, accrued
during the Fiscal Year ended December 31, 2005 and (b) not to exceed $1,000,000
in the aggregate, accrued during the Fiscal Year ended December 31, 2006, in
each case to the extent included in the calculation of consolidated net income
of such Person for such period in accordance with GAAP, but without
duplication, (viii) amounts incurred, not to exceed $1,400,000 in the
aggregate, prior to June 30, 2006, in connection with modifications of the 91⁄4%
Senior Subordinated Notes due 2014 and the Fourteenth Amendment to this
Agreement and Amendment No. 14 and Consent to the Second Lien Credit Agreement,
(ix) amounts incurred, not to exceed $1,100,000 in the aggregate, during the
Fiscal Quarter ended June 30, 2006, for audit and contractor fees relating to
completion of 2005 Form 10-K and Form 10-Q for the Fiscal Quarter ended March
31, 2006, any restatements with respect to prior periods and audited financial
statements related to any of the foregoing, (x) amounts incurred, not to exceed
$400,000 in the aggregate, during the Fiscal Quarter ended September 30, 2006,
for audit and contractor fees relating to completion of 2005 Form 10-K and Form
10-Q for the Fiscal Quarter ended March 31, 2006, any restatements with respect
to prior periods and audited financial statements related to any of the
foregoing or in connection with the transition from Ernst & Young LLP to
other independent public accountants of recognized national standing, (xi) the
accrual, net of any payment in cash, related to the net periodic post
retirement benefits, (xii) consent fees, not to exceed $700,000 in the aggregate,
paid on or subsequent to July 1, 2006, in connection with modifications of the
91⁄4% Senior Subordinated Notes due 2014, and (xiii) amounts incurred, not to
exceed $400,000 in the aggregate, on or subsequent to July 1, 2006, in
connection with the Sixteenth Amendment and Limited Waiver to this Agreement
and Amendment No. 16 and Consent to the Second Lien Credit Agreement, plus or
minus as applicable (d) the impact of any net change in the Borrowers’ LIFO
inventory reserve.  For purposes of this
definition, the following items shall be excluded in determining consolidated
net income of a Person: (1) the income (or deficit) of any other Person accrued
prior to the date it became a Subsidiary of, or was merged or consolidated
into, such Person or any of such Person’s Subsidiaries; (2) the income (or
deficit) of any other Person (other than a Subsidiary) in which such Person has
an ownership interest, except to the extent any such income has actually been
received by such Person in the form of cash dividends or distributions; (3) the
undistributed earnings of any Subsidiary of such Person to the extent that the
declaration or payment of dividends or similar distributions by such Subsidiary
is not at the time permitted by the terms of any contractual obligation or requirement
of law applicable to such Subsidiary; (4) any restoration to income of any
contingency reserve, except to the extent that provision for such reserve was
made out of income accrued during such period; (5) any write-up of any asset;
(6) any net gain from the collection of the proceeds of life insurance
policies; (7) any net gain arising from the acquisition of any securities, or
the extinguishment, under GAAP, of any Indebtedness, of such Person; (8) in the
case of a successor to such Person by consolidation or merger or as a
transferee of its assets, any earnings of such successor prior to such
consolidation, merger or transfer of assets; and (9) any deferred credit
representing the excess of equity in any Subsidiary of such Person at the date
of acquisition of such Subsidiary over the cost to such Person of the
investment in such Subsidiary.”

 3
 

 

8.             Amendment
to Annex G.  Annex G of the Credit
Agreement is hereby amended and restated in its entirety as provided on Exhibit
A attached hereto.

9.             Representations
and Warranties of Credit Parties. 
The Credit Parties represent and warrant that:

(a)       the execution, delivery and performance
by the Credit Parties of this Amendment have been duly authorized by all
necessary corporate action required on its part and this Amendment is a legal,
valid and binding obligation of the Credit Parties enforceable against the
Credit Parties in accordance with its terms except as the enforcement thereof
may be subject to (i) the effect of any applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ rights
generally and (ii) general principles of equity (regardless of whether
enforcement is sought in a proceeding in equity or at law); and

(b)      after giving effect to this Amendment, each
of the representations and warranties contained in the Credit Agreement is true
and correct in all material respects on and as of the date hereof as if made on
the date hereof, except to the extent that such representations and warranties
expressly relate to an earlier date.

10.           Conditions
To Effectiveness.  This Amendment
shall be effective upon the following (all in form and substance satisfactory
to Agent):

(a)     execution and delivery of this Amendment by
the Lenders and the Credit Parties;

(b)     the Agent shall have received a copy of a
fully executed and delivered amendment dated as of the date hereof (the “Second
Lien Amendment”), in form and substance satisfactory to Agent, to that certain
Second Lien Credit Agreement, dated as of July 29, 2004, by and among the
Borrowers, Credit Suisse and the other Persons signatory thereto, evidencing,
among other things, that the principal amount of the Loans (as defined in the
Second Lien Credit Agreement) have increased by $20,000,000;

 4
 

 

(c)     Borrowers shall have prepaid the Loans
using all the proceeds (net of any amendment fees payable with respect to the
Second Lien Amendment) received from the Supplemental Loans (as defined in the
Second Lien Amendment) and the Term Loans shall have been prepaid in full;

(d)     the Agent shall have received payment of a
$200,000 amendment fee; and

(e)     payment in full of all fees, costs and
expenses, including the reasonable fees, costs and expenses of counsel or other
advisors for advice, assistance, or other representation in connection with
this Amendment, as provided in Section 11.3(a) of the Credit Agreement.

11.           Reference
To And Effect Upon The Credit Agreement.

(a)       The Credit Agreement and the other Loan
Documents shall remain in full force and effect, as amended hereby, and are
hereby ratified and confirmed.

(b)       The waiver and amendments set forth
herein is effective solely for the purposes set forth herein and shall be
limited precisely as written, and shall not be deemed to (i) be a consent to
any amendment, waiver or modification of any other term or condition of the
Credit Agreement or any other Loan Document, (ii) operate as a waiver or
otherwise prejudice any right, power or remedy that the Agent or the Lenders
may now have or may have in the future under or in connection with the Credit
Agreement or any other Loan Document or (iii) constitute a waiver of any
provision of the Credit Agreement or any Loan Document, except as specifically
set forth herein.  Upon the effectiveness
of this Waiver, each reference in the Credit Agreement to “this Agreement”, “herein”,
“hereof” and words of like import and each reference in the Credit Agreement
and the Loan Documents to the Credit Agreement shall mean the Credit Agreement
as amended hereby.  This Waiver shall be
construed in connection with and as part of the Credit Agreement.

12.           Governing
Law.  THIS AMENDMENT SHALL BE
GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS (AS OPPOSED TO
CONFLICTS OF LAWS PROVISIONS) OF THE STATE OF NEW YORK.

13.           Headings.  Section headings in this Amendment are
included herein for convenience of reference only and shall not constitute a
part of this Amendment for any other purposes.

14.           Counterparts.  This Amendment may be executed in any number
of counterparts, each of which when so executed shall be deemed an original,
but all such counterparts shall constitute one and the same instrument.

15.           Reaffirmation
of Guaranties.  The Credit Parties
signatory hereto hereby reaffirm their Guaranties of the Obligations, taking
into account the provisions of this Amendment.

 5

 

 

IN WITNESS WHEREOF, the parties hereto have executed
and delivered this Amendment as of the date first written above.

	
  

  	
  LENDER:

  
	
   

  	
   

  	
   

  
	
   

  	
  GENERAL ELECTRIC CAPITAL CORPORATION,

  
	
   

  	
  as Agent and Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Timothy Canon

  
	
   

  	
   

  	
  Duly Authorized Signatory

  

 

	
  

  	
  CREDIT PARTIES:

  
	
   

  	
   

  
	
   

  	
  THERMADYNE INDUSTRIES, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  THERMAL DYNAMICS CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  TWECO PRODUCTS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  VICTOR EQUIPMENT COMPANY

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  C & G SYSTEMS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

 6
 

 

 

	
  

  	
  STOODY COMPANY

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  THERMAL ARC, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  THERMADYNE INTERNATIONAL CORP.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  PROTIP CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  THERMADYNE HOLDINGS CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  MECO HOLDING COMPANY

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  C&G SYSTEMS HOLDING, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

 7
 

 

 

	
  

  	
  THERMADYNE AUSTRALIA PTY LTD.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  DUXTECH PTY LTD.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  CIGWELD PTY LTD.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  QUETALA PTY. LTD.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  QUETACK PTY. LTD.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  THERMADYNE WELDING PRODUCTS CANADA
  LIMITED

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

	
  

  	
  THERMADYNE INDUSTRIES LIMITED

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia S. Williams

  
	
   

  	
  Name:

  	
  Patricia S. Williams

  
	
   

  	
  Title:

  	
  Vice President, Secretary & General Counsel

  

 

 8

 

EXHIBIT A

AMENDED
AND RESTATED ANNEX G (Section 6.10)

to

CREDIT AGREEMENT

FINANCIAL
COVENANTS

 (a)          Financial Covenants. Borrowers
shall not breach or fail to comply with any of the following financial
covenants, each of which shall be calculated in accordance with GAAP
consistently applied:

(i)            Maximum
Capital Expenditures.  Holdings and
its Subsidiaries on a consolidated basis shall not make Capital Expenditures
during the following periods that exceed in the aggregate the amounts set forth
opposite each of such periods:

Period                                                                                     Maximum
Capital Expenditures per Period

Fiscal Year 2003;                                                                                  $18,000,000

Fiscal Year 2004;                                                                                  $17,000,000

Fiscal Year 2005;                                                                                  $17,000,000

Fiscal Year 2006;                                                                                  $18,000,000

Fiscal Year 2007;                                                                                  $18,000,000

Fiscal Year 2008;                                                                                  $18,000,000

; provided,
however, that the amount of permitted Capital Expenditures referenced
above will be increased in any period by the positive amount equal to the
lesser of (i) 50% of the amount of permitted Capital Expenditures for the immediately
prior period, and (ii) the amount (if any), equal to the difference obtained by
taking the Capital Expenditures limit specified above for the immediately prior
period minus the actual amount of any Capital Expenditures expended
during such prior period (the “Carry Over Amount”), and for purposes of
measuring compliance herewith, the Carry Over Amount shall be deemed to be the
last amount spent on Capital Expenditures in that succeeding year.

(ii) Minimum Fixed
Charge Coverage Ratio.  Holdings and
its Subsidiaries shall have on a consolidated basis at the end of each Fiscal
Quarter, a Fixed Charge Coverage Ratio for the 12-month period then ended (or
with respect to the Fiscal Quarters ending on or before December 31, 2006 but
after the Fiscal Quarter ending December 31, 2005, the period commencing
January 1, 2006 and ending on the last day such Fiscal Quarter) of not less
than the following:

1.10 for the Fiscal Quarter ending December 31, 2003;

1.10 for the Fiscal Quarter ending March 31, 2004;

1.05 for the Fiscal Quarter ending June 30, 2004;

1.00 for the Fiscal Quarter ending September 30, 2004;

0.90 for the Fiscal Quarter ending December 31, 2004;

 9
 

 

0.85 for the Fiscal Quarter ending March 31, 2005;

0.90 for the Fiscal Quarter ending June 30, 2005;

0.93 for the Fiscal Quarter ending September 30, 2005;

0.81 for the Fiscal Quarter ending December 31, 2005;

1.00 for the Fiscal Quarter ending March 31, 2006;

1.00 for the Fiscal Quarter ending June 30, 2006;

1.00 for the Fiscal Quarter ending September 30, 2006;

1.00 for the Fiscal Quarter ending December 31, 2006;

1.00 for the Fiscal Quarter ending March 31, 2007;

1.00 for the Fiscal Quarter ending June 30, 2007; and

1.10 for the Fiscal Quarter ending September 30, 2007 and each Fiscal Quarter
thereafter.

(iii)          Intentionally Omitted.

(iv)          Maximum Leverage Ratio.  Until such time as the Second Lien Loan
Obligations have been paid in full in accordance with Section 6.3(b)(vi)
or refinanced in accordance with Section 5.13 (provided, however,
that if after such payment in full or refinancing, Borrowing Availability is at
any time less than $15,000,000 this Financial Covenant shall be reinstated
until the Commitment Termination Date), Holdings and its Subsidiaries on a
consolidated basis shall have, at the end of each Fiscal Quarter set forth
below, a Leverage Ratio as of the last day of such Fiscal Quarter and for the
12-month period then ended (or with respect to the Fiscal Quarters ending
on or before December 31, 2006 but after the Fiscal Quarter ending December 31,
2005, the period commencing January 1, 2006 and ending on the last day such
Fiscal Quarter) of not more than the following:

5.00 for the Fiscal
Quarter ending December 31, 2003;

5.00 for the Fiscal
Quarter ending March 31, 2004;

5.00 for the Fiscal
Quarter ending June 30, 2004;

5.53 for the Fiscal
Quarter ending September 30, 2004;

6.18 for the Fiscal
Quarter ending December 31, 2004;

6.70 for the Fiscal
Quarter ending March 31, 2005;

7.08 for the Fiscal
Quarter ending June 30, 2005;

6.72 for the Fiscal
Quarter ending September 30, 2005;

7.25 for the Fiscal
Quarter ending December 31, 2005;

5.75 for the Fiscal
Quarter ending March 31, 2006*; and

5.75 for the Fiscal
Quarter ending June 30, 2006*;

5.75 for the Fiscal
Quarter ending September 30, 2006*;

5.75 for the Fiscal
Quarter ending December 31, 2006;

5.75 for the Fiscal
Quarter ending March 31, 2007;

5.75 for the Fiscal
Quarter ending June 30, 2007;

5.50 for the Fiscal
Quarter ending September 30, 2007;

5.25 for the Fiscal
Quarter ending December 31, 2007;

5.00 for the Fiscal
Quarter ending March 31, 2008;

4.75 for the Fiscal
Quarter ending June 30, 2008;

4.50 for the Fiscal
Quarter ending September 30, 2008;

4.25 for the Fiscal
Quarter ending December 31, 2009; and

4.00 for each Fiscal
Quarter ending thereafter.

 10
 

 

* For the measuring periods ending March 31, 2006,
June 30, 2006 and September 30, 2006, EBITDA shall be calculated as follows:
(a) for the measuring period ending March 31, 2006, EBITDA shall equal the
actual amounts thereof for the period from January 1, 2006 through March 31,
2006 multiplied  by 4.0, (b) for the measuring period ending June
30, 2006, EBITDA shall equal the actual amounts thereof for the period from
January 1, 2006 through June 30, 2006 multiplied  by 2.0 and (c)
for the measuring period ending September 30, 2006, EBITDA shall equal the
actual amounts thereof for the period from January 1, 2006 through September
30, 2006 multiplied  by 1.33.

Notwithstanding anything to the contrary contained
herein, if EBITDA or Fixed Charges for the Fiscal Quarter ended March 31, 2006
(in each case as demonstrated in accordance with Section 4.1(a) concurrently
with the delivery by July 27, 2006 of restated Financial Statements for such
Fiscal Quarter) varies by more than 5% from the EBITDA or Fixed Charges
calculations, respectively, previously provided to Agent, the Agent shall have
the right to make such adjustments to the Financial Covenants as are necessary,
in the Agent’s reasonable judgment, to reflect such variance.

Unless otherwise specifically provided herein, any
accounting term used in the Agreement shall have the meaning customarily given
such term in accordance with GAAP, and all financial computations hereunder
shall be computed in accordance with GAAP consistently applied.  That certain items or computations are
explicitly modified by the phrase “in accordance with GAAP” shall in no way be
construed to limit the foregoing.  If any
“Accounting Changes” (as defined below) occur and such changes result in a
change in the calculation of the financial covenants, standards or terms used
in the Agreement or any other Loan Document, then Borrowers, Agent and Lenders
agree to enter into negotiations in order to amend such provisions of the
Agreement so as to equitably reflect such Accounting Changes with the desired
result that the criteria for evaluating Borrowers’ and their Subsidiaries’
financial condition shall be the same after such Accounting Changes as if such
Accounting Changes had not been made; provided, however, that the
agreement of Requisite Lenders to any required amendments of such provisions
shall be sufficient to bind all Lenders. 
“Accounting Changes” means (i) changes in accounting principles
required by the promulgation of any rule, regulation, pronouncement or opinion
by the Financial Accounting Standards Board of the American Institute of
Certified Public Accountants (or successor thereto or any agency with similar
functions); (ii) changes in accounting principles concurred in by any Borrower’s
certified public accountants; (iii) purchase accounting adjustments under
A.P.B. 16 or 17 and EITF 88-16, and the application of the accounting
principles set forth in FASB 109, including the establishment of reserves
pursuant thereto and any subsequent reversal (in whole or in part) of such
reserves; and (iv) the reversal of any reserves established as a result of
purchase accounting adjustments.  All
such adjustments resulting from expenditures made subsequent to the Closing
Date (including capitalization of costs and expenses or payment of pre-Closing
Date liabilities) shall be treated as expenses in the period the expenditures
are made and deducted as part of the calculation of EBITDA in such period.  If Agent, Borrowers and Requisite Lenders
agree upon the required amendments, then after appropriate amendments have been
executed and the underlying Accounting Change with respect thereto has been
implemented, any reference to GAAP contained in the Agreement or in any other
Loan Document shall, only to the extent of such Accounting Change, refer to
GAAP, consistently applied after giving effect to the implementation of such
Accounting Change.  If 

 11
 

 

Agent, Borrowers and Requisite Lenders cannot agree
upon the required amendments within thirty (30) days following the date of
implementation of any Accounting Change, then all Financial Statements
delivered and all calculations of financial covenants and other standards and
terms in accordance with the Agreement and the other Loan Documents shall be
prepared, delivered and made without regard to the underlying Accounting
Change.  For purposes of Section 8.1,
a breach of a Financial Covenant contained in this Annex G shall be
deemed to have occurred as of any date of determination by Agent or as of the
last day of any specified measurement period, regardless of when the Financial
Statements reflecting such breach are delivered to Agent.

 12Exhibit 10.31

 

EXECUTIVE EMPLOYMENT AGREEMENT

 

THIS EXECUTIVE EMPLOYMENT AGREEMENT (this “Agreement”)
is made and entered into as of April 1, 2005 by
and among Thermadyne Holdings Corporation, a Delaware corporation (“Holdings”),
the subsidiaries of Holdings (together with Holdings, the “Employers”),
and Martin Quinn (“Employee”).

 

RECITALS

 

A. The Parties desire Employee to be employed by
Employers in the capacity of Executive Vice President –
Global Sales; and

 

B. The Parties desire to set forth the terms and
conditions of such employment to which each Party will be bound;

 

NOW THEREFORE, for and in consideration of the
foregoing recitals, and in consideration of the mutual covenants, agreements,
understandings, undertakings, representations, warranties and promises
hereinafter set forth, and intending to be legally bound thereby, Employers and
Employee do hereby covenant and agree as follows:

 

Basic Employment Provisions

 

Employment and Term.  Employers hereby employ Employee (hereinafter
referred to as the “Employment”) as Executive Vice President – Global Sales and Employee agrees to be employed by Employers in such capacity, all on
the terms and conditions set forth herein. 
The Employment shall be for a period (the “Employment Period”)
that will (i) commence on April 1, 2005 (the “Effective Date”) and continue for at least two years
thereafter (unless earlier terminated as provided herein) and (ii) renew on the
second anniversary of the Effective date and each anniversary of the thereafter
for a one-year period, on the same terms and conditions contained herein
(unless earlier terminated as provided herein or Employee is timely provided a
notice of nonrenewal as provided herein), such that the Employment Period shall
extend for a period of one year from the date of each such extension.  The Employers must provide Employee with
written notice not less than 60 days in advance of the applicable anniversary
of the Effective Date in order to avoid renewal of the Employment Period on
such anniversary as described above. 
Notice shall be deemed given on the date it is received by the
Employee.  If Employers elect not to
renew the Employment Period in accordance with this Section 1(a),
Employee shall be entitled to continue to receive from Employers his then
current basic compensation hereunder, such amount to continue to be paid in
accordance with the payroll practices of Employers for a period equal to six
(6) months from the expiration of the Employment Period.  Employee shall have the option to receive the
present value of the amount (at a 12% discount) described in the immediately
preceding sentence in a lump sum payment, with such option to be exercised by
Employee in writing within ten (10) days of termination and Employer shall make
such lump sum payment within thirty (30) days of receiving the written notice
from Employee.

 

Duties.  Employee shall be subject to the direction
and supervision of the CEO or the CEO’s delegate (the “CEO”) and, as the
Executive Vice President –
Global Sales shall have those duties and
responsibilities which are assigned to him during the Employment Period by the
CEO consistent with his position.  The
parties expressly acknowledge that the Employee shall devote all of his
business time and attention to the transaction of Employers’ businesses as is
reasonably necessary to discharge his supervisory management responsibilities
hereunder.  Employee agrees to perform
faithfully the duties assigned to him to the best of his ability.

 

Compensation.

 

Salary.  Employers shall pay to Employee during the
Employment Period a salary as basic compensation for the services to be
rendered by Employee hereunder. The initial amount of such salary shall be $270,000
per annum.  Such salary shall be reviewed
no less frequently than annually by the CEO and may be increased upon the
approval of the CEO, subject to the approval of the Board of Directors of
Holdings.  Such salary shall accrue and
be payable in accordance with the payroll practices of Employers’ subsidiary or
subsidiaries in effect from time to time. 
All such payments shall be subject to deduction and withholding
authorized or required by applicable law.

 

Bonus.  During the Employment Period, Employee shall
additionally participate in an annual bonus plan providing for an

 

 

annual bonus opportunity of not
less than 75% of Employee’s annual salary for the calendar years
thereafter, in accordance with the terms set forth in Employers’ then current
Management Incentive Plan.

 

Benefits.  During the Employment Period, Employee shall
be entitled to participate in such employee benefit plans, programs and
arrangements made available to, and on the same terms as, other similarly
situated executives of Employers, including, without limitation, 401(k) plans,
excess savings plans, tax qualified profit sharing plans and any other
retirement plans (including the Superannuation fund of Cigweld Pty Ltd.,
hereinafter called the SAF), health, group life (with optional additional
coverage), short term disability, long term disability (not to exceed 60% of
Employee’s annual salary otherwise payable to Employee for the applicable
period), hospitalization and such other benefit programs as may be approved
from time to time by Employers for their executives.  Employee shall be entitled to four weeks
paid vacation per year. Nothing herein shall affect Employers’ right to amend,
modify or terminate any retirement or other benefit plan at any time on a
company-wide basis for similarly situated executives.  Notwithstanding the foregoing, the Employee
shall not be entitled to a Company match under the 401(k) plan if Employer
contributes to the SAF.  Furthermore, to
the extent Employee pays tax in the US on Employee’s SAF contribution, the
Employer shall neutralize this effect by grossing up the base pay of Employee
by an amount equal to the negative tax effect. 
Employer will pay for Employee’s tax preparation during his U.S.
employment with Employer.

 

Stock Options. Holdings shall grant
Employee stock options (the “Options”) to purchase up to 50,000
shares the Common Stock of Holdings in accordance with the terms and conditions
of Holdings’ stock option plan. The exercise price for the Options shall be
equal to the closing bid price per share of the Common Stock on the
over-the-counter market as of the close of business immediately preceding the
date of Employee’s execution of this Agreement. 
Subject in each case to Employee’s continued Employment until the
applicable vesting date, one-half of the Options will become vested and,
subject to compliance with applicable securities laws, exercisable in three
equal annual installments on each of the next three anniversaries of the
Effective date, and the remaining one-half of the Option (the “Performance
Options”) will become vested, and subject to compliance with applicable
securities laws, exercisable in three equal annual installments on each of the
first three anniversaries of the date of grant (each an “Installment Date”) if
Holdings achieves its Return on Invested Capital Targets in accordance with its
annual budget for the immediately preceding fiscal year.  If any Performance Options do not vest in any
year due to the failure to meet the Return on Invested Capital Targets for such
year, such Options shall vest on any subsequent Installment Date if Holdings
has cumulatively achieved on such date the Return on Invested Capital Targets
for the current year, plus the Return on Invested Capital Targets for the prior
years for which such Targets were not achieved (after taking into account any
portion of such Targets achieved in such prior years); provided, however,
that if the Performance Options do not vest by the final Installment Date, then
such Options shall vest on the seventh anniversary of the grant, provided
Employee is still employed with the Employers on such date. In addition to
grant listed above, Employee will be eligible for future grants on the same
basis as similarly situated Employees of the Employers.

 

Termination.

 

Death or Disability.  Employment of Employee under this Agreement
shall terminate automatically upon the death or total disability of
Employee.  For the purpose of this
Agreement, “total disability” shall be deemed to have occurred if
Employee shall have been unable to perform the duties of his Employment due to
mental or physical incapacity for a period of six consecutive months.

 

Cause.  The CEO, subject to approval from the Board
of Directors, may terminate the Employment of Employee under this Agreement for
Cause.  For the purposes of this
Agreement, “Cause” shall be deemed to be (i) the conviction of a crime
by Employee constituting a felony or other crime involving moral turpitude,
(ii) an act of dishonesty or disloyalty by Employee that resulted in or was
intended to result in harm to  any of the
Employers; (iii) the willful engaging by Employee in misconduct which is
injurious to any of the Employers; (iv) Employee’s failure to comply with the
material terms of this Agreement; (v) failure by Employee to comply fully with
any lawful directives of the Board or Employers; (vi) misappropriation by
Employee of Employers’ funds; (vii) habitual abuse of alcohol, narcotics or
other controlled substances by Employee; or (viii) gross negligence in the
performance of Employee’s duties and responsibilities hereunder.

 

Without Cause.  Any of the Employers, acting alone, may
terminate the Employment of Employee under this Agreement without Cause.

 

Constructive Termination.  Employee may elect to terminate the
Employment under this Agreement, effective immediately, upon a Constructive
Termination Without Cause, as defined below, by provided Employer written
notice within thirty days of

 

 

Employee
becoming aware of such Constructive Termination Without Cause.  Failure to provide notice within thirty days
shall constitute a waiver of Employee’s rights under this Section. For purposes
of this Agreement, “Constructive Termination Without Cause” shall mean a
termination of the Employee’s employment at his initiative following the
occurrence, without the Employee’s prior written consent, of one or more of the
following events:

 

any failure by the Employers to
comply with any of the provisions of this Agreement, other than an isolated,
insubstantial and inadvertent failure not occurring in bad faith and which is
remedied by the Employers within 30 days after receipt of written notice
thereof given by the Employee;

 

without the Employee’s consent, any
reduction in salary, bonus percentage, or material reduction in duties;

 

any purported “for cause”
termination by the Employers of the Employee’s employment otherwise than as
expressly permitted by Section 3(b) of this Agreement;

 

any failure by the Employers to
comply with and satisfy the provisions of Section 6 hereof, or failure
by any successor (whether direct or indirect, by purchase, merger,
consolidation or otherwise) to all or substantially all of the business and/or
assets of the Employers to assume expressly and agree to perform this Agreement
in the same manner and to the same extent the Employers would be required to
perform it if no such succession had taken place, provided, in either case,
that the successor contemplated by Section 6 hereof has received, at
least 10 days prior to the giving of notice of constructive termination by the
Employee, written notice from the Employers or the Employee of the requirements
of the provisions of Section 6 or of such failure.

 

Compensation Following Termination.

 

Death.  If the Employment Period is
terminated pursuant to the provisions of Section 3(a) above due to the death of Employee, this Agreement shall
terminate, and no further compensation shall be payable to Employee’s estate,
heirs or beneficiaries, as applicable, except that Employee’s estate, heirs or
beneficiaries, as applicable, shall be entitled to receive (i) Employee’s then
current basic compensation through the end of the month in which Employee’s
death occurred, (ii) a pro rata portion (based on a fraction the numerator of
which is the number of days Employee worked in the year of Employee’s death and
the denominator of which is 365) of the bonus as set forth in Section 2(b)
which Employee would have been entitled to receive for the year in which
termination occurs if the performance objectives established in Employers’
Management Incentive Plan are achieved, and (iii) any un-reimbursed expenses
pursuant to Section 5 below, and, thereafter, Employers shall have no
further obligations or liabilities hereunder to Employee’s estate or legal
representative or otherwise, other than the payment of benefits or amounts, if
any, pursuant to Section 2(c) and 4(e).

 

Disability.  If the Employment Period is terminated
pursuant to the provisions of Section 3(a) above due to Employee’s total
disability as determined thereunder, this Agreement shall terminate, and (i)
Employers will continue the payment of Employee’s basic compensation at the
then current rate until the earlier of (A) the benefits under any long-term
disability insurance provided by Employers commences or (B) 180 days from the
date of such total disability, (ii) Employers shall pay a pro rata portion
(based on a fraction the numerator of which is the number of days Employee
worked in the year Employee became totally disabled and the denominator of
which is 365) of the bonus as set forth in Section 2(b) which Employee
would have been entitled to receive for the year in which termination occurs if
the performance objectives established in Employers’ Management Incentive Plan
are achieved, (iii) Employers shall pay any un-reimbursed expenses pursuant to Section
5 below, and (iv) Employers shall pay any amount due under Section 4(e).  Thereafter, Employers shall have no
obligation for basic compensation or other compensation payments to Employee
during the continuance of such total disability.

 

Termination
for Cause or Voluntary Termination.  If the Employment Period is terminated for
Cause or voluntarily by the Employee for reasons other than those described in Section
3(a) or 3(d) above, no further compensation or benefits shall be paid to
Employee after the date of termination, except as provided in Section 4(e).
Employee shall be entitled to receive benefits to which he is or may become
entitled pursuant to any benefit plan which by its terms survive termination.

 

Termination
Without Cause; Constructive Termination.  If the Employment Period is terminated
pursuant to Section

3(c) or 3(d) above, Employee shall be entitled (i) to continue to receive
from Employers his then current basic compensation hereunder, such amount to
continue to be paid in accordance with the payroll practices of Employers for a
period equal to 12 months, (ii) to receive his bonus pursuant to Section
2(b) for the year in which Employee is terminated, (iii) during such 

 

 

12-month period, to continue to receive the
medical and dental benefits to which he would otherwise be entitled during the
Employment Period pursuant to Section 2(c) above; provided that
Employee shall continue to make the same contributions toward such coverage as
Employee was making on the date of termination, with such adjustments to
contributions as are made generally for all Employers’ employees, (iv) to any
amounts that might become due under Section 4(e), and (v) during such
12-month period, to a monthly automobile allowance as contemplated by Section
5 below; provided, however, that Employee shall no longer be
entitled to participate in any of Employers’ 401K plans, excess savings plans,
tax qualified profit sharing plans or any other retirement plans.  Employee shall have the option to receive the
present value of the benefits (at a 12% discount) described in the immediately
preceding sentence in a lump sum payment, with such option to be exercised by
Employee in writing within ten (10) days of termination and Employer shall make
such lump sum payment within thirty (30) days of receiving the written notice
from Employee.  In the event of Employee’s
death during such 12-month period, such continuation of compensation, benefits
and monthly automobile allowance shall cease upon Employee’s death.  In the event Employee obtains employment
elsewhere during such 12-month period such compensation, benefits and monthly
automobile allowance shall continue for the period described above
notwithstanding such reemployment of Employee; provided, however,
that Employers’ obligations for compensation, benefits and monthly automobile
allowance shall be reduced by the amount Employee receives from his new
employer for compensation, benefits and automobile allowance.  The sums received by Employee under this Section
4(d) shall be considered liquidated damages in respect of claims based on
any provisions of this Agreement or Employee’s employment with Employers and
the commencement of the payment of such sums by Employers shall not begin until
Employee executes and delivers a general release of all claims in form and
substance satisfactory to Employers.

 

(e)           Termination For Any Reason. In addition to any other compensation provided in this section, upon
termination of the Employment Period for any reason, Employers shall pay the
actual and reasonable costs to transport Employee, his immediate family, and
their possessions from St. Louis to Australia (provided Employee and Employee’s
family return to Australia within six months of the termination).  In addition, Employers shall be obligated to
pay the actual and reasonable cost incurred from selling of one residential
home if Employee has purchased a home in St. Louis for his residence (provided
Employee sells said residential home within one year of termination).

 

Expense Reimbursement. 
Upon the submission of properly
documented expense account reports, Employers shall reimburse Employee for all
reasonable business-related travel and entertainment expenses incurred by
Employee in the course of his Employment with Employers.  Employers shall provide Employee with a gross
monthly car allowance of $500.  Unless
otherwise expressly provided in this Agreement, Employers’ obligations under
this Section 5 shall terminate upon the termination of the Employment Period,
except for any expenses eligible for reimbursement hereunder that are incurred
prior to such termination.

 

Assignability Binding Nature.  This
Agreement shall be binding and inure to the benefit of the parties, and their
respective successors, heirs (in the case of Employee) and assigns.  No obligations of the Employers under this
Agreement may be assigned or transferred by the Employers except that such
obligations shall be assigned or transferred (as described below) pursuant to a
merger or consolidation of Holdings in which Holdings is not the continuing
entity, or the sale or liquidation of all or substantially all of the assets of
the Employers, provided that the assignee or transferee is the surviving entity
or successor to all or substantially all of the assets of the Employers and
such assignee or transferee assumes the liabilities, obligations and duties of
the Employers, as contained in this Agreement, either contractually or as a
matter of law.  As used in this
Agreement, the “Employers” and “Holdings” shall mean the Employers and Holdings
as hereinbefore defined, respectively, and any successor to their business
and/or assets as aforesaid which assumes and agrees to perform this Agreement
by operation of law, or otherwise.

 

Confidential Information.

 

Non-Disclosure.  During the Employment Period or at any time
thereafter, irrespective of the time, manner or cause of the termination of
this Agreement, Employee will not directly or indirectly reveal, divulge,
disclose or communicate to any person or entity, other than authorized
officers, directors and employees of the Employers, in any manner whatsoever,
any Confidential Information (as hereinafter defined) of Employers or any
subsidiary of Employers without the prior written consent of the CEO.

 

Definition.  As used herein, “Confidential Information”
means information disclosed to or known by Employee as a direct or indirect
consequence of or through the Employment about Employers or any subsidiary of
Employers, or their respective businesses, products and practices which
information is not generally known in the business in which Employers or any
subsidiary of Employers is or may be engaged. 
However, Confidential Information shall not include under any
circumstances any information with respect to the foregoing matters which is
(i) directly available to the public from a source other than

 

 

Employee, (ii) released in writing
by Employers to the public or to persons who are not under a similar obligation
of confidentiality to Employers and who are not parties to this Agreement,
(iii) obtained by Employee from a third party not under a similar obligation of
confidentiality to Employers, (iv) required to be disclosed by any court
process or any government or agency or department of any government, or (v) the
subject of a written waiver executed by either Employers for the benefit of
Employee.  In the event Employee believes
that he is free to disclose or utilize Confidential Information under Section
7(b), he shall give written notice of the same to Employers at least 30
days prior to the release or use of such Confidential Information and shall
specify the claimed exemption and the circumstances giving rise thereto.

 

Return of
Property.  Upon termination of
the Employment, Employee will surrender to Employers all Confidential
Information, including, without limitation, all lists, charts, schedules,
reports, financial statements, books and records of the Employers or any
subsidiary of the Employers, and all copies thereof, and all other property
belonging to the Employers or any subsidiary of the Employers, including,
without limitation, company credit cards, cell phones, personal data assistants
or other electronic devices, provided Employee shall be accorded reasonable
access to such Confidential Information subsequent to the Employment Period for
any proper purpose as determined in the reasonable judgment of any of the
Employers.

 

Agreement Not to Compete.

 

Termination
for Cause.  If Employee’s
employment is terminated for Cause or voluntarily terminates his Employment
with Employers other than as a Constructive Termination, Employee hereby agrees
that for a period of 12 months following such termination, he shall not, either
in his own behalf or as a partner, officer, director, employee, agent or
shareholder (other than as the holder of less than 5% of the outstanding
capital stock of any corporation with a class of equity security registered
under Section 12(b) or Section 12(g) of the Securities Exchange Act of 1934, as
amended) engage in, invest in or render services to any person or entity
engaged in the businesses in which Employers or any subsidiary of Employers are
then engaged and situated within any country. 
Nothing contained in this Section 8(a) shall be construed as restricting
the Employee’s right to sell or otherwise dispose of any business or
investments owned or operated by Employee as of the date hereof.

 

Termination
Without Cause or for Disability; Constructive Termination.  If Employee’s employment is terminated
without Cause or the non-renewal of the Employment Period by Employers or as a
result of the total disability of Employee or by Employee as a Constructive
Termination, Employee hereby agrees that during the period that Employee
accepts payments from the Employers pursuant to Section 1(a), Section
4(b), Section 4(c) or Section 4(d) above, as applicable,
neither he nor any affiliate shall, either in his own behalf or as a partner,
officer, director, employee, agent or shareholder (other than as the holder of
less than 5% of the outstanding capital stock of any, corporation with a class
of equity security registered under Section 12(b) or Section 12(g) of the
Securities Exchange Act of 1934, as amended) engage in, invest in or render
services to any person or entity engaged in the businesses in which Employers
or any subsidiary of Employers is then engaged and situated within any country.  Nothing contained in this Section 8(b)
shall be construed as restricting the Employee’s right to sell or otherwise
dispose of any business or investments owned or operated by Employee as of the
date hereof.

 

Agreement
Not to Solicit Employees.  Employee agrees that, for a period of two (2) years
following the termination by reason of voluntary termination by Employee or
termination for Cause, neither he nor any affiliate shall, on behalf of any
business engaged in a business competitive with Employers or any subsidiary of
Employers, solicit or induce, or in any manner attempt to solicit or induce any
person employed by, or any agent of, any Employers or any subsidiary of
Employers to terminate his employment or agency, as the case may be, with any
Employers or such subsidiary; provided that such limitations shall not apply if
the contact with the employee, agent or consultant is initiated by a third
party, not engaged or hired by Employee or any affiliate of Employee, on a “blind
basis” such as through a head hunter.

 

Injunctive Relief and other Remedies.

 

Employee
acknowledges and agrees that the covenants, obligations and agreements of
Employee contained in Section 7, Section 8, Section 9 and
this Section 10 relate to special, unique and extraordinary matters and
that a violation of any of the terms of such covenants, obligations or
agreements will cause Employers irreparable injury for which adequate remedies
are not available at law.  Therefore,
Employee agrees that Employers shall be entitled to an injunction, restraining
order or such other equitable relief (without the requirement to post bond) as
a court of competent jurisdiction may deem necessary or appropriate to restrain
Employee from committing any violation of such covenants, obligations or
agreements.

 

 

If Employee violates Section 7, Section
8, or Section 9 after Employee’s employment is terminated for any
reason, the right of Employee to receive any further payment pursuant to this
Agreement shall immediately terminate and the payments made to Employee
subsequent to the termination of Employee’s Employment pursuant to this
Agreement shall be returned to Employers by Employee within thirty (30) days
after receipt of written notice from Employers of such violation.  The injunctive remedies and other remedies
described in this Section 10 are cumulative and in addition to any other
rights and remedies Employers may have.

 

No
Violation.  Employee hereby represents and warrants to Employers that the
execution, delivery and performance of this Agreement by Employee does not,
with or without the giving of notice or the passage of time, or both, conflict
with, result in a default, right to accelerate or loss of rights under any
provision of Any agreement or understanding to which the Employee or, to the
best knowledge of Employee, any of Employee’s affiliates are a party or by
which Employee, or to the best knowledge of Employee, Employee’s affiliates may
be bound or affected.

 

Captions.  The
captions, headings and arrangements used in this Agreement are for convenience
only and do not in any way affect, limit or amplify the provisions hereof.

 

Notices.  All
Notices required or permitted to be given hereunder shall be in writing and
shall be deemed delivered, whether or not actually received, two days after
deposited in the United States mail, postage prepaid, registered or certified
mail, return receipt requested, addressed to the party to whom notice is being
given at the specified address or at such other address as such party may
designate by notice:

 

Employers:      Thermadyne Holdings Corporation

Attn: Chief Executive
Officer

16052 Swingley Ridge
Road, Suite 300

St.  Louis, MO 63017

Fax: 636.728.3010

 

and

 

Thermadyne
Holdings Corporation

Attn: General
Counsel

16052 Swingley
Ridge Road, Suite 300

St.  Louis, MO 63017

Fax: 636.728.3011

Employee:
c/o Thermadyne Holdings Corporation

16052 Swingley Ridge Road, Suite 300 
St.  Louis, Missouri 63017

 

Invalid Provisions. If any provision of this Agreement is held to be
illegal, invalid or unenforceable under present or future laws, such provisions
shall be fully severable, and this Agreement shall be construed and enforced as
if such illegal, invalid or unenforceable provision had never comprised a part
of this Agreement; the remaining provisions of this Agreement shall remain in
full force and effect and shall not be affected by the illegal, invalid or
unenforceable provision or by its severance for this Agreement.  In lieu of each such illegal, invalid or
unenforceable provision, there shall be added automatically as part of this
Agreement a provision as similar in terms to such illegal, invalid or
unenforceable provision as may be possible and be legal, valid and enforceable.

 

 

Amendments.  This Agreement may be amended in whole or in part
only by an instrument in writing setting forth the particulars of such
amendment and duly executed by an officer of Employers and by Employee.

 

Waiver.  Except as
otherwise provided herein, delay or omission by any either party to exercise
any right or power hereunder shall not impair such right or power to be
construed as a waiver thereof.  A waiver
by any of the parties hereto of any of the covenants to be performed by any
other party or any breach thereof shall not be construed to be a waiver of any
succeeding breach thereof or of any other covenant herein contained.  Except as otherwise expressly set forth
herein, all remedies provided for in this Agreement shall be cumulative and in
addition to and not in lieu of any other remedies available to any party at
law, in equity or otherwise.

 

Counterparts.  This
Agreement may be executed in multiple counterparts, each of which shall
constitute an original, and all of which together shall constitute one and the
same Agreement.

 

Governing
Law.  This
Agreement shall be construed and enforced according to the laws of the State of
Missouri.

 

Resolution
of Disputes; Arbitration.  Any dispute arising out of or relating to
this Agreement or Employee’s employment with Employers or the termination
thereof shall be resolved first by negotiation between the parties.  If such negotiations leave the matter
unresolved after 60 days, then such dispute or claim shall be resolved by
binding confidential arbitration, to be held in St. Louis, Missouri, in
accordance with the rules of the American Arbitration Association. The
arbitrator in any arbitration provided for herein will be mutually selected by
the parties or in the event the parties cannot mutually agree, then appointed
by the American Arbitration Association. 
Judgment upon the award rendered by the arbitrator(s) may be entered in
any court having jurisdiction thereof. 
The parties shall be responsible for their own costs and expenses under
this Section 19.

 

Payment
Upon Death of Employee.  In the event of the death of Employee during the term
hereof, any unpaid payments due either prior to Employee’s death or after
Employee’s death shall be payable as designated by Employee prior to his death
in writing to Employers.  In the event of
the death of all such persons so designated by Employee, either prior to the
death of the Employee or during any time when payments are due as provided
herein, or in the event Employee fails to so designate prior to his death, or
withdraws all such designations, said payments thereafter shall be made to
Employee’s estate.

 

Prior
Employment Agreements.  This Agreement supersedes any and all other
employment, change-in-control, severance or similar agreements between Employee
and Employers.

 

Jointly and
Severally Liable.  Each of the Employers is jointly and severally liable
for the obligations of Employers set forth in this Agreement.

 

SECTION 23. Relocation.  Employee
will relocate to St. Louis, Missouri within three months of the Effective
Date.  Employers will pay Employee’s
living expenses in St. Louis, Missouri, including rent of a furnished
apartment, telephone, gas, water, sewer, and electric for six months after
Employee’s relocation.  Employer will pay
for all customary expenses to relocate Employee and Employee’s family to St.
Louis (for purposes of this clause, “customary” refers to practices and
policies of the Employer as they have been applied to Employees in similar
Executive positions).  In addition,
Employer shall pay one return trip to / from Australia for Employee and each of
Employee’s immediate family members once per year.   Employer will also pay Employee an amount
equal to the customary expenses to relocate Employee’s possessions to St.
Louis, Missouri. Employer will pay the customary legal expenses and fees
associated with immigration of Employee, his wife and son.  Employer will also pay to Employee an amount
equal to 3% of the appraised value of the Employee’s home in Australia.  The Parties will mutually agree on an
appraiser.

 

SECTION 24.  Signing Bonus.  Holdings shall pay Employee a one time lump
sum of A$79,818.33 as a signing bonus and in
cancellation of any long term leave bank Employee has accumulated prior to the
Effective Date.

 

* * * * * *

 

IN WITNESS WHEREOF, the parties hereto have executed
and delivered this Employment Agreement as of the date first above written.

 

 

	
  

  	
  EMPLOYEE:

  
	
   

  	
  /s/ MARTIN QUINN

  
	
   

  	
  Name: Martin Quinn

  
	
   

  	
  Dated:

  	
   April 1, 2005

  
	
   

  	
  EMPLOYERS:

  
	
   

  	
  Thermadyne Holdings Corporation

  
	
   

  	
  By:

  	
  /s/ PAUL D. MELNUK

  
	
   

  	
   

  	
  Paul D. Melnuk

  
	
   

  	
  Title:

  	
  Chairman and Chief Executive Officer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00107-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00107-of-00352.parquet"}]]