Document:

Exhibit 10.1

 

RETENTION BONUS AGREEMENT

 

THIS AGREEMENT (“Agreement”) is made and entered into this 14th day of September, 2012 (the “Effective Date”), by and among Interline Brands, Inc., a New Jersey corporation (the “Company”), Interline Brands, Inc., a Delaware corporation (“Parent”) and Kenneth D. Sweder (the “Executive”).

 

WHEREAS,  the Company and the Executive are parties to an Employment Agreement dated April 30, 2007, as amended on each of October 20, 2008 and December 31, 2008 (the “Employment Agreement”);

 

WHEREAS, Parent and the Executive are parties to a Change in Control Severance Agreement dated April 30, 2007, as amended on October 20, 2008 (the “Change in Control Agreement”);

 

WHEREAS, Parent was recently acquired in a merger pursuant to that certain Agreement and Plan of Merger, dated as of May 29, 2012 (the “Merger Agreement”), by and among Isabelle Holding Company, LLC (“Isabelle”), Isabelle Acquisition Sub Inc., a Delaware corporation and a wholly-owned subsidiary of Isabelle (“Merger Sub”) and Parent; and

 

WHEREAS, the Executive is a key employee and the Company desires to provide certain incentives to ensure the retention of the Executive as provided herein.

 

NOW, THEREFORE, in consideration of the premises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1.             Retention Bonus Payments.

 

(a)           Subject to the Executive’s continued employment with the Company through the applicable payment date (each, a “Payment Date”) and the Executive’s agreeing to abide by the terms and conditions of the restrictive covenants in Sections 13 and 14 of the Employment Agreement and Section 8 of the Change in Control Agreement (collectively, the “Restrictive Covenants”), the Executive shall be entitled to a cash bonus in an aggregate amount of $575,000 (the “Retention Bonus”).  The Retention Bonus shall, subject to Section 1(c), be paid in six installments (each, an “Installment”) pursuant to the payment schedule set forth below (with payment amounts set forth in brackets beside the applicable payment date):

 

(i).         December 1, 2012 ($95,834)

(ii).        April 1, 2013 ($95,834)

(iii).       July 1, 2013 ($95,833)

(iv).       October 1, 2013 ($95,833)

(v).        January 1, 2014 ($95,833)

(vi).       April 1, 2014 ($95,833)

 

 

(b)           Notwithstanding the foregoing, upon the Executive’s termination of employment by the Company without Cause or by the Executive for Good Reason, or upon a termination due to the Executive’s death or Disability, in any such case prior to the applicable Payment Date, the Executive shall, subject to the Executive’s agreeing to abide by the Restrictive Covenants in accordance with their respective terms and conditions, be entitled to receive in a single lump sum all then-unpaid Installments in respect of the Retention Bonus within thirty (30) days following the date of such termination.  For purposes of this Agreement, “Good Reason,” “Cause” and “Disability” shall have their respective meanings provided in the Change in Control Agreement.

 

2.             Withholding.  The Company shall be entitled to withhold from any amounts payable hereunder to the Executive such amounts as shall be sufficient to satisfy all Federal, state and local withholding tax requirements relating thereto.

 

3.             Complete Agreement.  This Agreement constitutes the entire agreement between the parties hereto with respect to the subject matter hereof, and supersedes all prior agreements, oral or written, between the parties hereto with respect to the subject matter hereof (it being understood, for the avoidance of doubt, that the terms and conditions of the Employment Agreement and Change in Control Agreement, including the terms and conditions of the restrictive covenants in Sections 13 and 14 of the Employment Agreement and Sections 4 and 8 of the Change in Control Agreement, shall continue to survive according to their respective terms).

 

4.             Nonassignability.  No right granted to the Executive under this Agreement shall be assignable or transferable (whether by operation of law or otherwise and whether voluntarily or involuntarily).

 

5.             Right of Discharge Reserved.  Nothing in this Agreement shall confer upon the Executive any right to continue in employment with the Company or any of its subsidiaries or affiliates or affect any right that the Company or any of its subsidiaries or affiliates may have to terminate the employment of the Employee.

 

6.             Unfunded Arrangement.  The obligations under this Agreement shall be an unfunded and unsecured promise to pay.  The Executive shall have no rights under this Agreement other than those of a general unsecured creditor of the Company.

 

7.             Successors and Assigns.  This Agreement shall be binding upon and inure to the benefit of the parties hereto and the successors and assigns of the Company.

 

8.             Counterparts.  This Agreement may be executed by .pdf or facsimile signatures and in any number of counterparts with the same effect as if all signatory parties had signed the same document.  All counterparts shall be construed together and shall constitute one and the same instrument.

 

9.             Governing Law.  This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware, without giving effect to the choice of laws principles thereof.

 

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10.           Section 409A.  It is intended that this Agreement shall comply with the provisions of Section 409A of the Code (collectively, “Section 409A”), or an exemption to Section 409A.  Any payments that qualify for the “short-term deferral” exception or another exception under Section 409A shall be paid under the applicable exception.  In no event may the Executive, directly or indirectly, designate the calendar year of any payment under this Agreement.  All payments to be made upon a termination of employment under this Agreement shall, to the extent necessary to avoid the imposition of penalty taxes on the Executive under Section 409A, only be made upon a “separation from service” under Section 409A.  Within the time period permitted by the applicable Treasury regulations (or such later time as may be permitted under Section 409A or any Internal Revenue Service or Department of Treasury rules or other guidance issued thereunder), Parent and the Company may, in consultation with the Executive, modify the Agreement in order to cause the provisions of the Agreement to comply with the requirements of Section 409A so as to avoid the imposition of penalty taxes on the Executive pursuant to Section 409A (to the extent economically more advantageous to the Executive than the imposition of any taxes and penalties).  Notwithstanding any other provision of this Agreement to the contrary, if the Executive is considered a “specified employee” for purposes of Section 409A (as determined in accordance with the methodology established by the Company as in effect on the date of termination), (A) any payment that constitutes nonqualified deferred compensation within the meaning of Section 409A that is otherwise due to the Executive under this Agreement during the six-month period following the Executive’s separation from service (as determined in accordance with Section 409A) on account of the Executive’s separation from service shall, to the extent necessary to avoid the imposition of penalty taxes on the Executive under Section 409A, be accumulated and paid to the Executive on the first business day of the seventh month following the Executive’s separation from service (the “Delayed Payment Date”).  If the Executive dies during the postponement period, the amounts and entitlements delayed on account of Section 409A shall be paid to the personal representative of his estate on the first to occur of the Delayed Payment Date or thirty (30) days after the date of the Executive’s death.  Despite any contrary provision of this Agreement, any references to termination of employment or the Executive’s date of termination shall, to the extent necessary to avoid the imposition of penalty taxes on the Executive under Section 409A, mean and refer to the date of his “separation from service,” as that term is defined in Section 409A and Treasury regulation Section 1.409A-1(h).

 

[Signatures appear on the following page]

 

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IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and year first above written.

 

 

	
 
    	
INTERLINE   BRANDS, INC. (Delaware)
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael J. Grebe
    
	
 
    	
 
    	
Name:
    	
Michael   J. Grebe
    
	
 
    	
 
    	
Title:
    	
Chairman   and Chief Executive Officer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
INTERLINE   BRANDS, INC. (New Jersey)
    
	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael J. Grebe
    
	
 
    	
 
    	
Name:
    	
Michael   J. Grebe
    
	
 
    	
 
    	
Title:
    	
Chairman   and Chief Executive Officer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
EXECUTIVE
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Kenneth D. Sweder
    
	
 
    	
 
    	
Kenneth   D. SwederSTOCK PURCHASE AGREEMENT

 

THIS STOCK PURCHASE AGREEMENT (this “Agreement”)
dated as of September 13, 2012 by and between San Lotus Holding Inc., a Nevada Corporation, (the “Seller”) and Chen
Kuan Yu (the “Purchaser”).

 

RECITALS

 

A. Seller is the owner of 7,000,000
of the issued and outstanding shares (the “Shares”) of A Benbow Holding, Inc., a Nevada corporation (the "Company").

 

B. Pursuant to the terms and conditions
of this Agreement, Seller desires to sell, and Purchaser desires to purchase, all of the Seller’s rights, title, and interest
in and to 3,500,000 of the Shares in the Company as further described herein.

 

NOW, THEREFORE, in consideration of the
covenants, promises and representations set forth herein, and for other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, and intending to be legally bound hereby, the parties agree as follows:

 

1.           Agreement
to Purchase and Sell.  Subject to the terms and conditions of this Agreement, simultaneous with the execution
and delivery of this Agreement, Seller shall sell, assign, transfer, convey and deliver to Purchaser, and Purchaser shall accept
and purchase, the Shares and any and all rights in the Shares to which Seller is entitled, and by doing so Seller shall be deemed
to have assigned all of its rights, title and interest in and to the Shares to Purchaser.  Such sale of the Shares shall
be evidenced by stock certificates, duly endorsed in blank or accompanied by stock powers duly executed in blank or other instruments
of transfer in form and substance reasonably satisfactory to the transfer agent of the Company or the Company, in the event the
Company has no transfer agent.

 

2.           Consideration.  In
consideration for the sale of the Shares, Purchaser shall deliver to Seller an aggregate of US $35,000 or US $.01 per share (the
“Purchase Price”).

 

3.           Closing;
Deliverables.

 

(a)           The
purchase and sale of the Shares shall be held simultaneously with the execution of this Agreement (the “Closing”).

 

(b)           At
the Closing  (1) Seller shall deliver to Purchaser (A) stock certificates evidencing the Shares, duly endorsed in blank
or accompanied by stock powers duly executed in blank, or other instruments of transfer in a form and substance reasonably satisfactory
to Purchaser, (B) any documentary evidence of the due recordation in the Company’s share register of Purchaser’s full
and unrestricted title to the Shares and (C) such other documents as may be required under applicable law or reasonably requested
by Purchaser, and (2) Purchaser shall deliver to Seller the Purchase Price by wire transfer of immediately available funds to an
account designated by the Seller.

 

    	 

    	 	

    
 

4.      Representations
and Warranties of Seller.  As an inducement to Purchaser to enter into this Agreement and to consummate the transactions
contemplated herein, Seller represents and warrants to Purchaser as follows:

 

4.1           Authority.  Seller
has the right, power, authority and capacity to execute and deliver this Agreement, to consummate the transactions contemplated
hereby and to perform her obligations under this Agreement.  This Agreement constitutes the legal, valid and binding
obligations of Seller, enforceable against Seller in accordance with the terms hereof.

 

4.2           Ownership.  Seller
is the sole record and beneficial owner of the Shares, has good and marketable title to the Shares, free and clear of all Encumbrances
(hereafter defined), other than applicable restrictions under applicable securities laws, and has full legal right and power to
sell, transfer and deliver the Shares to Purchaser in accordance with this Agreement.  “Encumbrances” means
any liens, pledges, hypothecations, charges, adverse claims, options, preferential arrangements or restrictions of any kind, including,
without limitation, any restriction of the use, voting, transfer, receipt of income or other exercise of any attributes of ownership.  Upon
the execution and delivery of this Agreement, Purchaser will receive good and marketable title to the Shares, free and clear of
all Encumbrances, other than restrictions imposed pursuant to any applicable securities laws and regulations.  There
are no stockholders’ agreements, voting trusts, proxies, options, rights of first refusal or any other agreements or understandings
with respect to the Shares.

 

4.3           Valid
Issuance.  The Shares are duly authorized, validly issued, fully paid and non-assessable, and were not issued in
violation of any preemptive or similar rights.

 

4.4           No
Conflict.  None of the execution, delivery, or performance of this Agreement, and the consummation of the transactions
contemplated hereby, conflicts or will conflict with, or (with or without notice or lapse of time, or both) result in a termination,
breach or violation of (i) any instrument, contract or agreement to which the Seller is a party or by which he is bound, or to
which the Shares are subject; or (ii) any federal, state, local or foreign law, ordinance, judgment, decree, order, statute or
regulation, or that of any other governmental body or authority, applicable to the Seller or the Shares.

 

4.5   No Consent.  No
consent, approval, authorization or order of, or any filing or declaration with any governmental authority or any other person
is required for the consummation by the Seller of any of the transactions on its part contemplated under this Agreement.

 

4.6           No
General Solicitation or Advertising. Neither any Seller nor any of its affiliates nor any person acting on its or their behalf
(i) has conducted or will conduct any general solicitation (as that term is used in Rule 502(c) of Regulation D) or general advertising
with respect to any of the Shares, or (ii) made any offers or sales of any security or solicited any offers to buy any security
under any circumstances that would require registration of the Shares under the Securities Act of 1933, as amended (the “Securities
Act”).

 

    	 

    	 	

    
 

4.7           Full
Disclosure. No representation or warranty of the Seller to the Purchaser in this Agreement omits to state a material fact necessary
to make the statements herein, in light of the circumstances in which they were made, not misleading. There is no fact known to
the Seller that has specific application to the Shares or the Company that materially adversely affects or, as far as can be reasonably
foreseen, materially threatens the Shares or the Company that has not been set forth in this Agreement.

 

5.      Representations
and Warranties of Purchaser.  As an inducement to Seller to enter into this Agreement and to consummate the transactions
contemplated herein, Purchaser represents and warrants to Seller as follows:

 

5.1           Authority.  Purchaser
has the right, power, authority and capacity to execute and deliver this Agreement, to consummate the transactions contemplated
hereby and to perform his obligations under this Agreement.  This Agreement constitutes the legal, valid and binding
obligations of Purchaser, enforceable against Purchaser in accordance with the terms hereof.

 

5.2           No
Consent.  No consent, approval, authorization or order of, or any filing or declaration with any governmental
authority or any other person is required for the consummation by the Purchaser of any of the transactions on its part contemplated
under this Agreement.

 

5.3           No
Conflict.  None of the execution, delivery or performance of this Agreement, and the consummation of the transactions
contemplated hereby, conflicts or will conflict with, or (with or without notice or lapse of time, or both) result in a termination,
breach or violation of (i) any instrument, contract or agreement to which Purchaser is a party or by which it is bound; or (ii)
any federal, state, local or foreign law, ordinance, judgment, decree, order, statute or regulation, or that of any other governmental
body or authority, applicable to Purchaser.

 

5.4           Potential
Loss of Investment.  Purchaser understands that an investment in the Shares is a speculative investment which involves
a high degree of risk and the potential loss of its entire investment.

 

5.5           Receipt
of Information.  Purchaser has received all documents, records, books and other information pertaining to his investment
that has been requested by the Purchaser, including without limitation, a certificate of good standing of the Company, its articles
of incorporation and bylaws. Purchaser further agrees and acknowledges that the Company is a shell company.

 

    	 

    	 	

    
 

5.6           No
Advertising.  At no time was the Purchaser presented with or solicited by any leaflet, newspaper or magazine article,
radio or television advertisement, or any other form of general advertising or solicited or invited to attend a promotional meeting
otherwise than in connection and concurrently with such communicated offer.

 

5.7          
Investment Experience.  The Purchaser (either by itself or with its advisors) is (i) experienced in making investments
of the kind described in this Agreement, (ii) able, by reason of its business and financial experience to protect its own interests
in connection with the transactions described in this Agreement, and (iii) able to afford the entire loss of its investment in
the Shares.

 

5.8           Investment
Purposes.  The Purchaser is acquiring the restricted Shares for its own account as principal, not as a nominee or
agent, for investment purposes only, and not with a view to, or for, resale, distribution or fractionalization thereof in whole
or in part and no other person has a direct or indirect beneficial interest in the amount of restricted Shares the Purchaser is
acquiring herein.  Further, the Purchaser does not have any contract, undertaking, agreement or arrangement with any
person to sell, transfer or grant participations to such person or to any third person, with respect to the restricted Shares the
Purchaser is acquiring.

 

6.       Indemnification;
Survival.

 

6.1           Indemnification.  Each
party hereto shall jointly and severally indemnify and hold harmless the other party and such other party’s agents, beneficiaries,
affiliates, representatives and their respective successors and assigns (collectively, the “Indemnified Persons”) from
and against any and all damages, losses, liabilities, taxes and costs and expenses (including, without limitation, attorneys’
fees and costs) (collectively, “Losses”) resulting directly or indirectly from (a) any inaccuracy, misrepresentation,
breach of warranty or non-fulfillment of any of the representations and warranties of such party in this Agreement, or any actions,
omissions or statements of fact inconsistent with in any material respect any such representation or warranty, or (b) any failure
by such party to perform or comply with any agreement, covenant or obligation in this Agreement.

 

6.2           Survival.  All
representations, warranties, covenants and agreements of the parties contained herein or in any other certificate or document delivered
pursuant hereto shall survive the date hereof until the expiration of the applicable statute of limitations.

 

7.      Miscellaneous.

 

7.1           Further
Assurances.  From time to time, whether at or following the Closing, each party shall make reasonable commercial
efforts to take, or cause to be taken, all actions, and to do, or cause to be done, all things reasonably necessary, proper or
advisable, including as required by applicable laws, to consummate and make effective as promptly as practicable the transactions
contemplated by this Agreement.

 

    	 

    	 	

    
 

7.2           Notices.  All
notices or other communications required or permitted hereunder shall be in writing and shall be deemed duly given (a) if by personal
delivery, when so delivered, (b) if mailed, three (3) business days after having been sent by registered or certified mail, return
receipt requested, postage prepaid and addressed to the intended recipient as set forth below, or (c) if sent through an overnight
delivery service in circumstances to which such service guarantees next day delivery, the day following being so sent to the addresses
of the parties as indicated on the signature page hereto. Any party may change the address to which notices and other communications
hereunder are to be delivered by giving the other parties notice in the manner herein set forth.

 

7.3           Choice
of Law; Jurisdiction.  This Agreement shall be governed, construed and enforced in accordance with the laws of the
State of New York, without giving effect to its principles of conflicts of law.

 

7.4          
Arbitration. All disputes arising out of or relating to this Agreement shall be settled by arbitration administered by the
American Arbitration Association under its Commercial Arbitration Rules. Judgment on any award rendered by one or more arbitrators
may be entered in any court having jurisdiction

 

7.5           Entire
Agreement.  This Agreement sets forth the entire agreement and understanding of the parties in respect of the transactions
contemplated hereby and supersedes all prior and contemporaneous  agreements, arrangements and understandings of the
parties relating to the subject matter hereof.  No representation, promise, inducement, waiver of rights, agreement or
statement of intention has been made by any of the parties which is not expressly embodied in this Agreement. 

 

7.6           Assignment.
Each party's rights and obligations under this Agreement shall not be assigned or delegated, by operation of law or otherwise,
without the other party's prior written consent, and any such assignment or attempted assignment shall be void, of no force or
effect, and shall constitute a material default by such party.

 

7.7           Amendments.  This
Agreement may be amended, modified, superseded or cancelled, and any of the terms, covenants, representations, warranties or conditions
hereof may be waived, only by a written instrument executed by the parties hereto.

 

7.8           Waivers.  The
failure of any party at any time or times to require performance of any provision hereof shall in no manner affect the right at
a later time to enforce the same.  No waiver by any party of any condition, or the breach of any term, covenant, representation
or warranty contained in this Agreement, whether by conduct or otherwise, in any one or more instances shall be deemed to be or
construed as a further or continuing waiver of any such condition or breach or a waiver of any other term, covenant, representation
or warranty of this Agreement.

 

    	 

    	 	

    
 

7.9           Counterparts.  This
Agreement may be executed simultaneously in two or more counterparts and by facsimile, each of which shall be deemed an original,
but all of which together shall constitute one and the same instrument.

 

7.10          Severability. 
If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction or other authority
to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement shall
remain in full force and effect and shall in no way be affected, impaired or invalidated so long as the economic or legal substance
of the transactions contemplated hereby is not affected in any manner materially adverse to any party. Upon such determination,
the parties shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely
as possible in an acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated
to the fullest extent possible.

 

7.11         Interpretation.  The
parties agree that this Agreement shall be deemed to have been jointly and equally drafted by them, and that the provisions of
this Agreement therefore shall not be construed against a party or parties on the ground that such party or parties drafted or
was more responsible for the drafting of any such provision(s). The parties further agree that they have each carefully read the
terms and conditions of this Agreement, that they know and understand the contents and effect of this Agreement and that the legal
effect of this Agreement has been fully explained to its satisfaction by counsel of its own choosing.

 

 

SIGNATURE PAGE TO FOLLOW

 

    	 

    	 	

    
 

IN WITNESS WHEREOF, the parties have duly
executed this Stock Purchase Agreement as of the date first above written.

 

 

	 	
        SELLER:

         

        San Lotus Holding Inc.

         

        By: /s/ Yu Chien Yang_________

        Yu Chien Yang

        Vice President

        San Lotus Holding Inc.

         

        PURCHASER:

         

         

        ______/s/ Chen Kuan Yu_________

        Chen Kuan Yu

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