Document:

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                                                                   Exhibit 10.17

                              EMPLOYMENT AGREEMENT

                  EMPLOYMENT AGREEMENT (the "Agreement"), effective as of the
16th day of November, 2000 (the "Effective Date"), between Prodigy
Communications Limited Partnership, a Delaware limited partnership (the
"Company"), with its principal place of business at 6500 River Place Blvd.,
Bldg. III, Austin, Texas 78730, and Richard S. Walker, residing at 5200
Anaconda Lane, Austin, TX 78730 (the "Executive").

                  WHEREAS, the Company desires to employ the Executive as
Senior Vice President Human Resources and Administrative Operations, and the
Executive desires to be employed in that capacity with the Company, pursuant to
the terms and conditions set forth herein;

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

1.                TERM OF AGREEMENT.

                  The terms and conditions of this Agreement shall commence on
the Effective Date and terminate on November 15, 2003, unless sooner terminated
in accordance with the provisions of Section 4 herein (the "Agreement Period").
This Agreement does not alter the at-will relationship, in that the Company
retains the right to terminate this Agreement and the Executive's employment
with the Company, with or without cause, as set forth in Section 4 herein.

2.                TITLE AND CAPACITY.

                  The Executive shall serve as Senior Vice President, Human
Resources and Administrative Operations, of the Company. The Executive shall
report to, and be subject to the supervision of, the Company's Chief Executive
Officer. The Executive shall have such authority as is delegated to him by the
Chief Executive Officer. The Executive shall be based in the general
metropolitan area of Austin, Texas.

                  The Executive hereby accepts such employment and agrees to
undertake the duties and responsibilities inherent in such position, and such
other duties and responsibilities as the Chief Executive Officer shall from
time to time assign to the Executive. During the term hereof, the Executive
shall devote Executive's entire business time, his best efforts, attention and
energies to the business and interests of the Company. The Executive shall
abide by the rules, regulations, instructions, personnel practices and policies
of the Company and any changes therein which may be adopted from time to time
by the Company, in its sole discretion.

3.                COMPENSATION AND BENEFITS.

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                  3.1 SALARY. The Company shall pay the Executive, in accordance
                  with its normal payroll practices, a base salary of $7291.67
                  bi-monthly (which annualizes to $175,000.00) commencing on the
                  November 16, 2000. Based on performance, such salary may be
                  subject to increase consistent with existing merit increase
                  guidelines.

                  3.2 PERFORMANCE BONUSES. The Executive shall be eligible to
                  participate in an annual bonus plan. The target for 100%
                  successful completion of established objectives is 40% of his
                  annual base salary as a performance bonus during each calendar
                  year of the Agreement Period. During each such year, 50% of
                  such bonus shall be contingent upon the successful completion
                  of personal performance goals as mutually agreed between the
                  Executive and the Chief Executive Officer, and 50% of such
                  bonus shall be contingent upon the successful completion of
                  corporate goals as determined by the Company. The amount of
                  the performance bonus, if any, shall be determined and paid
                  according to normal Company procedure, but not later than 90
                  days after the end of each such calendar year during the
                  Agreement Period.

                  3.3 FRINGE BENEFITS. The Executive shall be entitled to
                  participate in all fringe benefit programs that the Company
                  establishes and makes available to its employees from time to
                  time to the extent that Executive's position, tenure, salary,
                  health and other qualifications make him eligible to
                  participate.

                  3.4 REIMBURSEMENT OF EXPENSES. The Company shall reimburse the
                  Executive for all reasonable travel, entertainment and other
                  expenses incurred or paid by the Executive in connection with
                  the performance of his duties hereunder, upon presentation by
                  the Executive of documentation, expense statements, vouchers
                  and/or such other supporting information as the Company may
                  request; provided, however, that the nature and amount of such
                  expenses shall be subject to the Company's expense
                  reimbursement policies then in effect.

                  3.5      STOCK PURCHASE OPTION.

                           (a) The Executive has previously been granted certain
                  options to purchase shares of common stock of the general
                  partner of the Company, Prodigy Communications Corporation
                  (hereinafter "General Partner") pursuant to the terms and
                  conditions set forth in the employee stock purchase plan in
                  effect on the date of the grant thereof. Such options shall
                  continue to be

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                  governed by the terms and conditions under which they were
                  originally granted.

                           (b) During the Agreement Period, the Company will
                  consider on an annual basis, and in its sole discretion, the
                  grant of additional stock options to Executive, including any
                  grants in 2001.

                           (c) All options previously granted to Executive, or
                  subsequently granted hereunder, shall immediately vest should
                  the Company be subject to a substantial change of control, at
                  the expiration of this contract, or upon termination of this
                  Agreement as set forth in section 4.3 and section 4.5 herein.
                  Executive shall have 24 months from the substantial change of
                  control, contract expiration or termination in which to
                  exercise such options. This provision will supercede any
                  conflicting provision to the contrary in the specific option
                  grant.

4.                TERMINATION

                  This Agreement, and the employment of the Executive pursuant
                  to this Agreement, shall terminate upon the occurrence of any
                  of the following:

                  4.1 At the election of the Company for Cause (as hereinafter
                  defined), immediately upon written notice by the Company to
                  the Executive. For purposes of this Agreement, "Cause" shall
                  mean:

                           (a) the failure of the Executive to perform his
                  reasonably assigned duties in a satisfactory manner, after
                  notice and a reasonable opportunity to correct;

                           (b) Executive's dishonesty, gross or repeated
                  negligence, or gross or repeated misconduct; or

                           (c) the conviction of the Executive of, or the entry
                  of a plea of guilty or nolo contendere by the Executive to,
                  any felony;

                  4.2 Thirty days after the death or Disability (as hereinafter
                  defined) of the Executive. For purposes of this Agreement,
                  "Disability" shall mean the inability of the Executive, due to
                  a physical or mental disability, for a period of more than 12
                  weeks, whether or not consecutive, during any 360-day period
                  to perform, with or without reasonable accommodation, the
                  essential services contemplated under this Agreement. A
                  determination of Disability shall be made by a physician
                  satisfactory to both the Executive and

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                  the Company; PROVIDED THAT if the Executive and the Company do
                  not agree on a physician, the Executive and the Company shall
                  each select a physician and these two together shall select a
                  third physician, whose determination as to Disability shall
                  be binding on all parties. Nothing contained herein is
                  intended, or shall be interpreted, to limit the parties'
                  rights and responsibilities pursuant to the Family and
                  Medical Leave Act and/or the Americans with Disabilities Act,
                  if applicable. This Agreement may be modified by a court, if
                  necessary, to meet the minimum requirements of the law;

                  4.3 At the election of the Executive, upon 30 days written
                  notice of termination, for Good Reason. For purposes of this
                  Agreement only, "Good Reason" shall mean:

                           (a) any significant diminution in the duties of the
                  Executive under this Agreement, which includes reporting to
                  anyone other than the Chief Executive Officer;

                           (b) the Company's requirement that the Executive
                  relocate outside of the general metropolitan area of Austin,
                  Texas; or,

                           (c) substantial change of control of the Company, or
                  if the shares of the General Partner are no longer publicly
                  traded; provided, however, that Executive must provide notice
                  of termination hereunder within 90 days of the alleged
                  substantial change of control in order for his resignation to
                  qualify as termination for "Good Reason." Otherwise, such
                  resignation shall be governed by the provisions of Section 4.4
                  herein and related provisions;

                  4.4 At the election of the Executive for any reason other than
                  Good Reason, upon not less than 30 days prior written notice
                  of termination;

                  4.5 At the election of the Company, for any reason other than
                  Cause, upon 30 days written notice of termination; or

                  4.6 Upon the expiration of the Agreement Period, without
                  further action or notice by either party.

5.                EFFECT OF TERMINATION.

                  5.1 TERMINATION PURSUANT TO SECTION 4.1 OR SECTION 4.4 HEREIN.
                  In the event the Executive's employment is terminated, by
                  either party, pursuant to Section 4.1 or Section 4.4 herein,
                  the Company

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                  shall, through the last day of his actual employment by the
                  Company, continue to pay to the Executive his base salary as
                  in effect on the date of notice of termination and continue
                  to provide to the Executive, through his last day of actual
                  employment, the fringe benefits available to his under
                  Section 3.3 hereof. Upon receipt of notice of termination by
                  the Company or the Executive, the Company may, in its sole
                  discretion, immediately terminate the active duties of the
                  Executive and, in such case, the "last day of actual
                  employment" shall mean the 30th day following receipt of such
                  notice. Otherwise, the "last day of actual employment" shall
                  mean the last day that the Executive performs services for
                  the Company as set out herein.

                  5.2 TERMINATION FOR DEATH OR DISABILITY. If the Executive's
                  employment is terminated due to death or Disability pursuant
                  to Section 4.2, the Company shall continue to pay to the
                  estate of the Executive or to the Executive, as applicable,
                  for a period of six (6) months after termination of employment
                  due to death or Disability, the Executive's base salary as in
                  effect on the date of termination, and the Executive's bonus,
                  prorated to the last day of actual employment.

                  5.3 TERMINATION PURSUANT TO SECTION 4.3 OR SECTION 4.5 HEREIN.

                           (a) If the Executive's employment is terminated
                  pursuant to Section 4.3 or Section 4.5 herein, the Company
                  shall:

                                    (i) continue to pay to the Executive his
                  base salary as in effect on the date of notice of termination
                  and continue to provide to the Executive the fringe benefits
                  available to him under Section 3.3 hereof until the last day
                  of actual employment;

                                    (ii) pay to Executive a portion of the
                  performance bonus to which he would otherwise be entitled
                  under Section 3.2, prorated to the last day of actual
                  employment. Such prorated bonus, if any, shall be paid within
                  45 days after the last day of actual employment;

                                    (iii) continue to pay to Executive, for a
                  period of six (6) months following the last day of actual
                  employment, his base salary as in effect on the date of notice
                  of termination; and

                                    (iv) continue to provide to Executive, for a
                  period of six (6) months following the last day of actual
                  employment, health insurance benefits, in effect on the date
                  of notice of termination.

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                           (b) Upon receipt of notice of termination, by
                  Executive or Company, pursuant to Section 4.3 or Section 4.5,
                  the Company may, in its sole discretion, immediately terminate
                  the active duties of the Executive and, in such case, the
                  "last day of actual employment" shall mean the 30th day
                  following receipt of such notice. Otherwise, the "last day of
                  actual employment" shall mean the last day that the Executive
                  performs services for the Company as set out herein.

                  5.4 TERMINATION AT EXPIRATION OF AGREEMENT. This Agreement
                  shall expire on November 15, 2003, without further action or
                  notice by either party, with the Company's sole obligation
                  being the payment of the Executive's base salary, pro-rata
                  bonus and fringe benefits, then in effect, until the last date
                  of actual employment. Upon the expiration of this Agreement,
                  the parties may renew the Agreement, or enter into a new
                  agreement, upon the mutual written consent of both parties.

                  5.5 CONDITION OF PAYMENT. Any payment to Executive allowed or
                  provided in this Section 5 and its subsections, except for
                  payment of salary and fringe benefits earned and accrued as of
                  the last date of actual employment, is conditioned upon:

                           (a) the Executive's compliance with the terms and
                  conditions contained in this Agreement, specifically, but not
                  limited to, those terms and conditions set out in Sections 6
                  and 7; and

                           (b) the execution by Executive, at the Company's
                  request, of a release of all claims against the Company, its
                  officers, directors, subsidiaries, parent company(ies) and
                  affiliates, in the form provided by the Company.

6.                NON-COMPETE.

                  The Executive is employed hereunder as the Senior Vice
President - Human Resources and Administrative Operations. As consideration for
executing this Agreement, the Company shall provide to the Executive certain
additional confidential and Proprietary Information (as this term is defined in
Section 7 below) and training, to enable the Executive to function in this
capacity. Executive is responsible for, among other things, building and
maintaining business relationships and goodwill with current and future
customers, clients, employees and prospects. Executive acknowledges and agrees
that this responsibility creates a special relationship of trust between the
Company, the Executive, and these persons or entities, and that this
relationship creates a high risk and opportunity for the Executive to misuse

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Proprietary Information. In light of the foregoing, and in order to protect the
legitimate business interests of the Company, the following agreement not to
compete shall apply:

         (a) During the Executive's active employment and for a period of six
months following the Executive's termination of employment, the Executive will
not:

                  (i) be a partner, stockholder (other than as the holder of not
         more than one percent (1%) of the total outstanding stock of), officer,
         employee, consultant, director, joint venture, investor or lender of or
         to America Online, Inc., Microsoft Network, A T & T WorldNet, EarthLink
         Network, Inc., or any corporation or other entity acquiring any of the
         foregoing or involved in providing Internet Access services or Small
         Business Solutions that compete directly with Prodigy; or

                  (ii) directly or indirectly recruit, solicit or induce, or
         attempt to induce, any employee or employees of the Company to
         terminate their employment with, or otherwise cease their relationship
         with the Company; or

                  (iii) directly or indirectly solicit, divert or take away, or
         attempt to divert or to take away, the business or patronage of any of
         the clients, customers or accounts of the Company, including but not
         limited to those clients, customers or accounts which were contacted,
         solicited or served by the Executive while employed by the Company.

         (b) ENFORCEMENT AND DAMAGES. Breach of this covenant not to compete
will cause immediate, substantial and irrevocable harm to the Company.
Therefore, the Company is entitled to seek specific performance or injunctive
relief in order to enforce this covenant not to compete. In addition to specific
enforcement and/or injunctive relief, should Executive breach this covenant not
to compete, he agrees to pay Company liquidated damages of two times (2x) the
revenue or income the Executive receives from activities found to violate this
covenant. Executive acknowledges and agrees that legal, or monetary, damages
stemming from any breach of this covenant not to compete may be difficult to
ascertain with certainty, and that the liquidated damages set out herein are a
fair estimate of actual damages and not intended as a penalty.

         (c) Unless the context otherwise requires, all references in this
Section 6 and in Section 7 below to the "Company" shall include all current or
future subsidiaries, affiliates and parent company(ies) of the Company.

         (d) ACKNOWLEDGMENT. Executive acknowledges that the additional
confidential and Proprietary Information and training provided to Executive
pursuant to this Agreement gives rise to the Company's interest in restraining
Executive from competing with the Company, that this covenant not to compete is

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designed to enforce such considerations, and that any limitations as to time,
geographic scope, and the scope of activity to be restrained, as defined herein,
are reasonable and do not impose a greater restraint than is necessary to
protect the legitimate business interests of the Company. The Executive further
acknowledges and agrees that if, at some later date, a court of competent
jurisdiction determines that this Agreement does not meet the criteria set forth
in TEX. BUS. & COM. CODE Section 15.50(2), this Agreement shall be reformed by
the court, pursuant to TEX. BUS. & COM. CODE Section 15.51(c), by the least
extent necessary to make it enforceable.

7.                PROPRIETARY INFORMATION AND DEVELOPMENTS.

                  7.1      Proprietary Information.

                           (a) The Executive agrees that all information and
                  know-how related to the activities of the Company, whether or
                  not in writing, of a private, secret or confidential nature
                  concerning the Company's business or financial affairs
                  (collectively, "Proprietary Information") is and shall be the
                  exclusive property of the Company. By way of illustration,
                  but not limitation, Proprietary Information may include
                  inventions, products, processes, methods, techniques,
                  formulas, compositions, compounds, projects, developments,
                  plans, research data, clinical data, financial data,
                  personnel data, computer programs, and customer and supplier
                  lists. The Executive will not disclose any Proprietary
                  Information to others outside the Company or use the same for
                  any unauthorized purposes, without the prior written approval
                  by an officer of the Company, either during or after his
                  employment, unless and until such Proprietary information has
                  become public knowledge without fault by the Executive.
                  Should the Company authorize the release of Proprietary
                  Information to parties outside the Company, it may, in its
                  sole discretion, require that the Executive obtain written
                  assurances from such third-party(ies) to respect and maintain
                  the confidentiality of such information.

                  (b) The Executive agrees that all files, letters, memoranda,
                  reports, records, data, sketches, drawings, laboratory
                  notebooks, program listings, or other written, photographic,
                  or other tangible material containing Proprietary Information,
                  whether created by the Executive or others, which shall come
                  into his custody or possession, shall be and are the exclusive
                  property of the Company to be used by the Executive only in
                  the performance of his duties for the Company, and may not be
                  used in a manner detrimental to the Company or its interests.
                  Executive shall not release Proprietary Information to other
                  employees of the Company unless

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                  such employees are authorized to receive such Proprietary
                  Information, and then such release shall be on a "need to
                  know" basis only.

                  (c) The Executive agrees that his obligation not to disclose
                  or use information, know-how and records of the types set
                  forth in paragraphs (a) and (b) above, also extends to such
                  types of information, know-how, records and tangible property
                  of customers of the Company or suppliers to the Company or
                  other third parties who may have disclosed or entrusted the
                  same to the Company or to the Executive in the course of the
                  Company's business.

                  (d) Executive agrees that, upon request of Company or upon
                  termination or expiration, of this Agreement, for any reason,
                  Executive shall return to Company all documents, disks or
                  other computer media, or other materials that have been
                  released to Executive by the Company, or is in his possession
                  or control, that may contain Proprietary Information, or that
                  can be derived from ideas, concepts, creations, or trade
                  secrets and other Proprietary Information.

                  (e) This Section 7.1 is intended to, and shall, expand the
                  protection of Company's trade secrets and confidential and
                  proprietary information. Therefore, this Section shall be
                  interpreted in conjunction with other agreements or Company
                  policies, if any, in order to provide the maximum possible
                  protection to such trade secrets and confidential and
                  proprietary information. Should any term or condition of this
                  Agreement conflict with any other agreement or policy, the
                  most protective term shall apply, so long as such term is
                  enforceable as a matter of law.

                  7.2 DEVELOPMENTS.

                           (a) The Executive will make full and prompt
                  disclosure to the Company of all inventions, improvements,
                  discoveries, methods, developments, software, and works of
                  authorship, related to the activities of the Company, whether
                  patentable or not, which are created, made, conceived or
                  reduced to practice by the Executive or under his direction or
                  jointly with others during his employment by the company,
                  whether or not during normal working hours or on the premises
                  of the Company (all of which are collectively referred to in
                  this Agreement as "Development").

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                           (b) The Executive agrees to assign and does hereby
                  assign to the Company (or any person or entity designated by
                  the Company) all his right, title and interest in and to all
                  Developments and all related patents, patent applications,
                  copyrights and copyright applications. The Executive also
                  acknowledges that all work fixed in a tangible medium of
                  expression shall be deemed a work made for hire under the US
                  Copyright Act such that the work is owned by the Company at
                  the moment of creation.

                           (c) The Executive agrees to cooperate fully with the
                  Company, both during and after his employment with the
                  Company, with respect to the procurement, maintenance and
                  enforcement of copyrights and patents (both in the United
                  States and foreign countries) relating to Developments. The
                  Executive shall sign all papers, including, without
                  limitation, copyright applications, patent applications,
                  declarations, oaths, formal assignments, assignment of
                  priority rights, and powers of attorney, which the Company may
                  deem necessary or desirable in order to protect its rights and
                  interest in any Development.

                  7.3 OTHER AGREEMENTS. The Executive hereby represents that his
                  performance of all the terms of this Agreement and as an
                  employee of the Company does not and will not breach the terms
                  of any agreement with any previous employer or other party to
                  refrain from using or disclosing any trade secret,
                  confidential or proprietary information, knowledge or data
                  acquired by his in confidence or in trust prior to his
                  employment with the Company or to refrain from competing,
                  directly or indirectly, with the business of such previous
                  employer or any other party.

8.                NOTICES. All notices required or permitted under this
Agreement shall be in writing and shall be deemed effective upon personal
delivery or upon sending, by registered or certified mail, postage prepaid,
addressed to the other party at the address shown above, or at such other
address or addresses as either party shall designate to the other, in writing,
in accordance with this Section 8. Personal delivery to the Company shall be
deemed effective when such notice is delivered to the Chief Executive Officer.

9.                PRONOUNS. Whenever the context may require, any pronouns used
in this Agreement shall include the corresponding masculine, feminine or neuter
forms, and the singular forms of nouns and pronouns shall include the plural,
and vice versa.

10.               ENTIRE AGREEMENT. This Agreement constitutes the entire
agreement between the parties and supersedes all prior agreements and
understandings, whether written or oral, relating to the subject matter of this
Agreement, except that the Nonstatutory Stock Option, Agreement

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Regarding Confidential Information and the Prodigy Business Conduct Guidelines,
and Intellectual Property Agreement shall remain in full force and effect,
unless otherwise specifically provided herein.

11.               AMENDMENT. This Agreement may be amended or modified only by
a written instrument executed by both the Company and the Executive.

12.               GOVERNING LAW. This Agreement shall be construed, interpreted
and enforced in accordance with the laws of the State of Texas, without
reference to conflict of law principles.

13.               SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon
and inure to the benefit of both parties and their respective successors and
assigns, including any corporation with which or into which the Company may be
merged or which may succeed to its assets or business; PROVIDED, HOWEVER, that
the obligations of the Executive are personal and shall not be assigned by him.

14.               SURVIVING TERMS. The provisions of Sections 5.2, 5.3, 5.4,
5.5, and 14 shall survive the expiration or termination of this Agreement under
the circumstances specified in those Sections for the periods specified in such
Sections. Sections 6 and 7 shall survive the termination of this Agreement.

15.               MISCELLANEOUS.

                  15.1 No delay or omission by either the Company or the
                  Executive in exercising any right under this Agreement shall
                  operate as a waiver of that or any other right. A waiver or
                  consent given by either the Company or the Executive on any
                  one occasion shall be effective only in that instance and
                  shall not be construed as a bar or waiver of any right on any
                  other occasion.

                  15.2 The captions of the sections of this Agreement are for
                  convenience of reference only and in no way define, limit or
                  affect the scope or substances of any section of this
                  Agreement.

                  15.3 If any provision of this Agreement shall be invalid,
                  illegal or otherwise unenforceable, the validity, legality and
                  enforceability of the remaining provisions shall in no way be
                  affected or impaired thereby. Any provision found to be
                  invalid, illegal or unenforceable shall be deemed, without
                  further action on the part of the parties hereto, to be
                  modified, amended and/or limited to the minimum extent
                  necessary to render such clauses and/or provisions valid and
                  enforceable.

                  15.4 Any payments to the Executive pursuant to the terms of
                  this Agreement shall be reduced by such amounts as are
                  required to be withheld with respect thereto under all present
                  and future federal,

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                  state and local tax laws and regulations, and other laws and
                  regulations, as well as other deductions subsequently
                  authorized in writing by the Executive.

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                  IN WITNESS THEREOF, the parties hereto have executed this
Agreement as of the day and year set forth above.

                   PRODIGY COMMUNICATIONS LIMITED PARTNERSHIP

                   BY:  PRODIGY COMMUNICATIONS CORPORATION, GENERAL PARTNER

                   ______________________                Date ________________

                   EXECUTIVE

                   ______________________                Date ________________

                                      13<PAGE>

                                                                   Exhibit 10.18

                              EMPLOYMENT AGREEMENT
                              --------------------

                  EMPLOYMENT AGREEMENT (the "Agreement"), effective as of the
1st day of June, 2000, between Prodigy Communications Corporation, a Delaware
corporation (the "Company"), with its principal place of business at 44 South
Broadway, White Plains, New York 10601, and William Kirkner, residing at 257 S.
Broadway, Nyack, NY 10960 (the "Employee).

                  WHEREAS, the Company has entered into an agreement dated
November 19, 1999 with SBC Communications Inc. (the "Investment Agreement")
pursuant to which SBC will acquire an indirect equity interest in the Company on
or about May 31, 2000 (the "Closing Date"); and

                  WHEREAS, the Company desires to continue to employ the
Employee as Chief Technology Officer, and the Employee desires to be employed in
that capacity following the Closing Date on the terms and conditions set forth
herein;

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

1.                TERM OF EMPLOYMENT.

                  The Company hereby agrees to continue to employ the Employee,
and the Employee hereby accepts employment with the Company, upon the terms set
forth in this Agreement, for the period commencing on the Closing Date (the
"Commencement Date"), and ending on May 31, 2003 (the "Employment Period"),
unless sooner terminated in accordance with the provisions of Section 4.

2.                TITLE; CAPACITY.

                  The Employee shall serve as Chief Technology Officer of the
Company and Prodigy Communications Limited Partnership. The Employee shall be
based in White Plains, New York or such other place within the greater New York
metropolitan area as the Board of Directors of the Company (the "Board") shall
determine. The Employee shall report to and be subject to the supervision of,
and shall have such authority as is delegated to Employee by the Company's Chief
Operating Officer.

                  The Employee hereby accepts such employment and agrees to
undertake the duties and responsibilities inherent in such position, and such
other duties and

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                                                                   Exhibit 10.18

responsibilities as Chief Operating Officer shall from time to time assign to
the Employee. The Employee shall devote Employee's entire business time,
attention and energies to the business and interests of the Company during the
Employment Period. The Employee shall abide by the rules, regulations,
instructions, personnel practices and policies of the Company and any changes
therein which may be adopted from time to time by the Company.

3.                COMPENSATION AND BENEFITS.

                  3.1   SALARY. The Company shall pay the Employee, in
                  accordance with its normal payroll practices, an annual base
                  salary of $200,000 commencing on the Commencement Date.
                  Based on performance, such salary shall be subject to
                  increase consistent with existing merit increase guidelines.

                  3.2   PERFORMANCE BONUSES. The Employee shall be eligible to
                  participate in an annual bonus plan and receive up to 40% of
                  his annual base salary as a performance bonus during each
                  calendar year of the Employment Period. During each such year,
                  50% of such bonus shall be contingent upon the successful
                  completion of personal goals as mutually agreed between the
                  Employee and the Chief Operating Officer, and 50% of such
                  bonus shall be contingent upon the successful completion of
                  corporate goals as determined by the Company. Such performance
                  bonus shall be determined and paid within 45 days after the
                  end of each such calendar year during the Employment Period,
                  provided that Employee's employment has not terminated prior
                  to the applicable payment date.

                  3.3   RETENTION BONUS. The Employee shall be entitled to
                  receive a retention bonus in the amount of $233,334, 50% of
                  which shall be earned if the Employee's employment has not
                  terminated prior to the 90th day following the Closing Date
                  and the balance of which shall be earned if the Employee's
                  employment has not terminated prior to December 31, 2000
                  (except as otherwise provided in Section 5.3). Payment of
                  the first portion of the retention bonus (to the extent
                  earned) shall be made as soon as practicable following the
                  90th day following the Closing Date. Payment of the second
                  portion of the retention bonus (to the extent earned) shall
                  be made as soon as practicable following December 31, 2000.

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                                                                   Exhibit 10.18

                  3.4   OPTION GRANT.

                        (a)  The Company has previously granted the Employee
                  options to purchase shares of common stock of the Company as
                  set forth in the attached option Summary, of which options to
                  purchase 155,000 shares of common stock of the Company remain
                  outstanding (the "Outstanding Options"). As of the Closing
                  Date, 50% of each non-vested Outstanding Option (but
                  specifically excluding the Options granted to the Employee on
                  March 10, 2000. The vesting schedule for the remaining
                  non-vested Outstanding Options shall remain unchanged.

                        (b)  During the Employment Period, the Company will
                  consider in good faith on an annual basis the grant of
                  additional stock options to Employee.

                  3.5   FRINGE BENEFITS. The Employee shall be entitled to
                  participate in all fringe benefit programs that the Company
                  establishes and makes available to its employees from time to
                  time to the extent that Employee's position, tenure, salary,
                  age, health and other qualifications make him eligible to
                  participate. The Employee's vacation entitlement shall be 4
                  weeks per year.

                  3.6   REIMBURSEMENT OF EXPENSES. The Company shall reimburse
                  the Employee for all reasonable travel, entertainment and
                  other expenses incurred or paid by the Employee in
                  connection with the performance of his duties hereunder,
                  upon presentation by the Employee of documentation, expense
                  statements, vouchers and/or such other supporting
                  information as the Company may request; PROVIDED, HOWEVER,
                  that the nature and amount of such expenses shall be subject
                  to the Company's expense policies as in effect from time to
                  time.

4.                EMPLOYMENT TERMINATION

                  The employment of the Employee pursuant to this Agreement
shall terminate upon the occurrence of any of the following:

                  4.1   At the election of the Company, for Cause (as
                  hereinafter defined) immediately upon written notice by the
                  Company to the Employee. For purposes of this Agreement,
                  "Cause" shall mean (a) the failure of the Employee to
                  perform his reasonably assigned duties, or the Employee's
                  gross dishonesty, gross negligence or gross

<PAGE>

                                                                   Exhibit 10.18

                  misconduct, or (b) the conviction of the Employee of, or the
                  entry of a plea of guilty or nolo contendere by the Employee
                  to, any felony;

                  4.2   Thirty days after the death or Disability (as
                  hereinafter defined) of the Employee. For purposes of this
                  Agreement, "Disability" shall mean the inability of the
                  Employee, due to a physical or mental disability, for a
                  period of 90 days, whether or not consecutive, during any
                  360-day period to perform, with or without reasonable
                  accommodation, the services contemplated under this
                  Agreement. A determination of Disability shall be made by a
                  physician satisfactory to both the Employee and the Company;
                  PROVIDED THAT if the Employee and the Company do not agree
                  on a physician, the Employee and the Company shall each
                  select a physician and these two together shall select a
                  third physician, whose determination as to Disability shall
                  be binding on all parties;

                  4.3   At the election of the Employee after December 31, 2000,
                  upon written notice of termination, for Good Reason (as
                  hereinafter defined). For purposes of this Agreement, "Good
                  Reason" shall mean any significant diminution in the duties of
                  the Employee under this Agreement;

                  4.4   At the election of the Employee, upon not less than
                  three (3) weeks' prior written notice of termination, or at
                  the election of the Company, upon written notice of
                  termination; or

                  4.5   Upon the expiration of the Employment Contract.

5.                EFFECT OF TERMINATION.

                  5.1   TERMINATION FOR CAUSE OR AT ELECTION OF THE EMPLOYEE. In
                  the event the Employee's employment is terminated for Cause
                  pursuant to Section 4.1, or the Employee's employment is
                  terminated at the election of the Employee pursuant to Section
                  4.4, the Company shall, through the last day of his actual
                  employment by the Company, continue to pay to the Employee his
                  base salary as in effect on the date of notice of termination
                  and continue to provide to the Employee the fringe benefits
                  available to him under Section 3.5 hereof, as of the last day
                  of actual employment.

<PAGE>

                                                                   Exhibit 10.18

                  5.2   TERMINATION FOR DEATH OR DISABILITY. If the Employee's
                  employment is terminated due to death or Disability pursuant
                  to Section 4.2, the Company shall continue to pay to the
                  estate of the Employee or to the Employee, as the case may be,
                  for a period of 90 days after termination of employment due to
                  death or Disability, the Employee's base salary as in effect
                  on the date of termination.

                  5.3   TERMINATION AT ELECTION OF COMPANY PRIOR TO JANUARY 1,
                  2001. If the Employee's employment is terminated prior to
                  January 1, 2001 at the election of the Company pursuant to
                  Section 4.4, the Company shall, through the last day of his
                  actual employment by the Company, continue to pay to the
                  Employee his base salary as in effect on the date of notice of
                  termination and continue to provide to the Employee the fringe
                  benefits available to him under Section 3.5 hereof, as of the
                  last day of actual employment. In addition, subject to the
                  Employee's compliance with the provisions of Sections 6 and 7
                  below and execution of a release of claims against the Company
                  and its affiliates in the form provided by the Company, the
                  Employee shall be entitled to receive a prorate portion of the
                  performance bonus to which he would otherwise be entitled
                  under Section 3.2 and the retention bonus to which he would
                  otherwise be entitled under Section 3.3.

                  5.4   TERMINATION BY THE EMPLOYEE FOR GOOD REASON OR AT
                  ELECTION OF THE COMPANY AFTER DECEMBER 31, 2000. If the
                  Employee's employment is terminated after December 31, 2000
                  by the Employee for Good Reason pursuant to Section 4.3 or
                  at the election of the Company pursuant to Section 4.4, the
                  Company shall, through the last day of his actual employment
                  by the Company, continue to pay the Employee his base salary
                  as in effect on the date of notice of termination and
                  continue to provide the Employee the fringe benefits
                  available to him under Section 3.5 hereof, as of the last
                  day of actual employment. In addition, subject to the
                  Employee's compliance with the provisions of Sections 6 and
                  7 below and execution of a general release of claims against
                  the Company and its affiliates in the form provided by the
                  Company, the Company shall, during the Severance Period (as
                  hereinafter defined), continue to pay to the Employee his
                  base salary as in effect on the date of notice of
                  termination, the Employee shall be entitled to receive a
                  prorated portion of the performance bonus

<PAGE>

                                                                   Exhibit 10.18

                  to which he would otherwise be entitled under Section 3.2 and
                  the Company shall continue to provide to the Employee the
                  fringe benefits available to him as of the date of notice of
                  termination under Section 3.5, except during the Severance
                  Period no options shall vest. For purposes of this
                  Agreement, the "Severance Period" shall mean a period of
                  three (3) months after such termination, increasing by one
                  week for every six months of Executive's employment with the
                  Company (for purposes of this provision, employment shall be
                  deemed to have commenced on the Closing Date), but in no
                  event to exceed six months in the aggregate.

                  5.5   TERMINATION AT EXPIRATION OF CONTRACT. If, prior to
                  February 28, 2003, the Company has not offered to renew the
                  Employment Contract on terms at least equal to those contained
                  herein as modified during the Employment Period by mutual
                  agreement of the parties and for a term of not less than one
                  (1) year, the Company shall continue to pay the Executive his
                  base salary in effect on the date of termination for a period
                  of six (6) months after such termination and Executive shall
                  remain eligible to receive a performance bonus, calculated in
                  accordance with Section 3.2. The Company shall also provide to
                  the Executive during the Severance Period, the fringe benefits
                  available to him under Section 3.5.

                  5.6   SURVIVAL. The provisions of Section 3.3, 5.2, 5.3, 5.4,
                  5.5 and 5.6 shall survive the expiration or termination of
                  this Agreement under the circumstances specified in those
                  Sections for the periods specified in such Sections. Section 6
                  and 7 shall survive the termination of this Agreement.

6.                NON-COMPETE.

                        (a)  During the Employee's active employment and for a
                  period of six months following the Employee's termination of
                  employment, the Employee will not:

                                  (i)   be a partner, stockholder (other than as
                        the holder of not more than one percent (1%) of the
                        total outstanding stock of), officer, employee,
                        consultant, director, joint venture, investor or
                        lender of or to America Online, Inc., Microsoft
                        Network, AT&T WorldNet, EarthLink Network, Inc., or
                        any corporation or

<PAGE>

                                                                   Exhibit 10.18

                        other entity acquiring any of the foregoing or involved
                        in providing Internet Access services or Small Business
                        Solutions that compete directly with Prodigy; or

                                  (ii)  directly or indirectly recruit, solicit
                        or induce, or attempt to induce, any employee or
                        employees of the Company to terminate their employment
                        with, or otherwise cease their relationship with the
                        Company; or

                                  (iii) directly or indirectly solicit, divert
                        or take away, or attempt to divert or to take away,
                        the business or patronage of any of the clients,
                        customers or accounts, or prospective clients,
                        customers or accounts, of the Company, including but
                        not limited to those clients, customers or accounts
                        which were contacted, solicited or served by the
                        Employee while employed by the Company.

                        (b)  If any restriction set forth in this Section 6 is
                  found by any court of competent jurisdiction to be
                  unenforceable because it extends for too long a period of time
                  or over too great a range of activities or in too broad a
                  geographic area, it shall be interpreted to extend only over
                  the maximum period of time, range of activities or geographic
                  area as to which it may be enforceable.

                        (c)  The restrictions contained in this Section 6 are
                  necessary for the protection of the business and goodwill of
                  the Company and are considered by the Employee to be
                  reasonable for such purposes. The Employee agrees that any
                  breach of this Section 6 will cause the Company substantial
                  and irrevocable damage and therefore, in the event of any such
                  breach, in addition to such other remedies which may be
                  available, the Company shall have the right to seek specific
                  performance and injunctive relief.

                        (d)  Unless the context otherwise requires, all
                  references in this Section 6 and in Section 7 below to the
                  "Company" shall include all current or future subsidiaries or
                  affiliates of the Company.

7.                PROPRIETARY INFORMATION AND DEVELOPMENTS.

<PAGE>

                                                                   Exhibit 10.18

                  7.1   PROPRIETARY INFORMATION.

                        (a)  The Employee agrees that all information and
                  know-how related to the activities of the Company, whether or
                  not in writing, of a private, secret or confidential nature
                  concerning the Company's business or financial affairs
                  (collectively, "Proprietary Information") is and shall be the
                  exclusive property of the Company. By way of illustration, but
                  not limitation, Proprietary Information may include
                  inventions, products, processes, methods, techniques,
                  formulas, compositions, compounds, projects, developments,
                  plans, research data, clinical data, financial data, personnel
                  data, computer programs, and customer and supplier lists. The
                  Employee will not disclose any Proprietary Information to
                  others outside the Company or use the same for any
                  unauthorized purposes without written approval by an officer
                  of the Company, either during or after his employment, unless
                  and until such Proprietary information has become public
                  knowledge without fault by the Employee.

                        (b)  The Employee agrees that all files, letters,
                  memoranda, reports, records, data, sketches, drawings,
                  laboratory notebooks, program listings, or other written,
                  photographic, or other tangible material containing
                  Proprietary Information, whether created by the Employee or
                  others, which shall come into his custody or possession, shall
                  be and are the exclusive property of the Company to be used by
                  the Employee only in the performance of his duties for the
                  Company.

                        (c)  The Employee agrees that his obligation not to
                  disclose or use information, know-how and records of the types
                  set forth in paragraphs (a) and (b) above, also extends to
                  such types of information, know-how, records and tangible
                  property of customers of the Company or suppliers to the
                  Company or other third parties who may have disclosed or
                  entrusted the same to the Company or to the Employee in the
                  course of the Company's business.

                  7.2   DEVELOPMENTS.

                        (a)  The Employee will make full and prompt disclosure
                  to the Company of all inventions, improvements, discoveries,
                  methods, developments, software, and works of authorship,
                  related to the activities of the Company, whether patentable
                  or not, which are created, made,

<PAGE>

                                                                   Exhibit 10.18

                  conceived or reduced to practice by the Employee or under his
                  direction or jointly with others during his employment by
                  the company, whether or not during normal working hours or
                  on the premises of the Company (all of which are
                  collectively referred to in this Agreement as "Development").

                        (b)  The Employee agrees to assign and does hereby
                  assign to the Company (or any person or entity designated by
                  the Company) all his right, title and interest in and to all
                  Developments and all related patents, patent applications,
                  copyrights and copyright applications. The Employee also
                  acknowledges that all work fixed in a tangible medium of
                  expression shall be deemed a work made for hire under the US
                  Copyright Act such that the work is owned by the Company at
                  the moment of creation.

                        (c)  The Employee agrees to cooperate fully with the
                  Company, both during and after his employment with the
                  Company, with respect to the procurement, maintenance and
                  enforcement of copyrights and patents (both in the United
                  States and foreign countries) relating to Developments. The
                  Employee shall sign all papers, including, without limitation,
                  copyright applications, patent applications, declarations,
                  oaths, formal assignments, assignment of priority rights, and
                  powers of attorney, which the Company may deem necessary or
                  desirable in order to protect its rights and interest in any
                  Development.

                  7.3   OTHER AGREEMENTS. The Employee hereby represents that
                  his performance of all the terms of this Agreement and as an
                  employee of the Company does not and will not breach the terms
                  of any agreement with any previous employer or other party to
                  refrain from using or disclosing any trade secret,
                  confidential or proprietary information, knowledge or data
                  acquired by him in confidence or in trust prior to his
                  employment with the Company or to refrain from competing,
                  directly or indirectly, with the business of such previous
                  employer or any other party.

8.                NOTICES.

                  All notices required or permitted under this Agreement shall
be in writing and shall be deemed effective upon personal delivery or upon
sending, by registered or certified mail, postage prepaid, addressed to the
other party at the address shown above,

<PAGE>

                                                                   Exhibit 10.18

or at such other address or addresses as either party shall designate to the
other in accordance with this Section 8.

9.                PRONOUNS.

                  Whenever the context may require, any pronouns used in this
Agreement shall include the corresponding masculine, feminine or neuter forms,
and the singular forms of nouns and pronouns shall include the plural, and vice
versa.

10.               ENTIRE AGREEMENT.

                  This Agreement constitutes the entire agreement between the
parties and supersedes all prior agreements and understandings, whether written
or oral, relating to the subject matter of this Agreement including, without
limitation, the Employee's prior Employment Agreement with the Company dated
January 27, 1999, except that the Agreement Regarding Confidential Information
and the Prodigy Business Conduct Guidelines, and Intellectual Property Agreement
shall remain in full force and effect.

11.               AMENDMENT.

                  This Agreement may be amended or modified only by a written
instrument executed by both the Company and the Employee.

12.               GOVERNING LAW.

                  This Agreement shall be construed, interpreted and enforced in
accordance with the laws of the State of New York in the United States, without
reference to conflict of law principles.

13.               SUCCESSORS AND ASSIGNS.

                  This Agreement shall be binding upon and inure to the benefit
of both parties and their respective successors and assigns, including any
corporation with which or into which the Company may be merged or which may
succeed to its assets or business; PROVIDED, HOWEVER, that the obligations of
the Employee are personal and shall not be assigned by him.

14.               MISCELLANEOUS.

                  14.1  No delay or omission by either the Company or the
                  Employee in exercising any right under this Agreement shall
                  operate as a waiver of that or any other right. A waiver or
                  consent given by either the Company or the

<PAGE>

                                                                   Exhibit 10.18

                  Employee on any one occasion shall be effective only in that
                  instance and shall not be construed as a bar or waiver of any
                  right on any other occasion.

                  14.2  The captions of the sections of this Agreement are for
                  convenience of reference only and in no way define, limit or
                  affect the scope or substances of any section of this
                  Agreement.

                  14.3  In case any provision of this Agreement shall be
                  invalid, illegal or otherwise unenforceable, the validity,
                  legality and enforceability of the remaining provisions shall
                  in no way be affected or impaired thereby.

                  14.4  Any payments to the Employee pursuant to the terms of
                  this Agreement shall be reduced by such amounts as are
                  required to be withheld with respect thereto under all present
                  and future federal, state and local tax laws and regulations,
                  and other laws and regulations.

                  IN WITNESS THEREOF, the parties hereto have executed this
Agreement as of the day and year set forth above.

                                    PRODIGY COMMUNICATIONS CORPORATION

                                    By:
                                        ------------------------------

                                    Title:
                                        ------------------------------

                                    EMPLOYEE

                                    ----------------------------------
                                    William Kirkner

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