Document:

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                                                                    EXHIBIT 10.5

                        ADMINISTRATIVE SERVICES AGREEMENT

                             (AMENDED AND RESTATED)

THIS AGREEMENT is made as of the 1st day of July, 2006 among IPCRE, LIMITED, a
company organized under the laws of Bermuda (the "Company"), IPC HOLDINGS, LTD.,
a company organized under the laws of Bermuda (the "Parent") which owns all the
issued and outstanding shares of the Company, and AMERICAN INTERNATIONAL
COMPANY, LIMITED, a company organized under the laws of Bermuda ("AICL").

                                   WITNESSETH

WHEREAS, the Company and the Parent (hereinafter collectively referred to as the
"Companies") desire that AICL, or one or more of its affiliates, furnish the
Companies with certain office space, equipment, administrative services and
personnel, and AICL is willing to provide such equipment, space, administrative
services and personnel, all subject to the terms and conditions hereinafter
provided.

NOW, THEREFORE, it is agreed as follows:

     1.   SERVICES TO BE PROVIDED

     1.1  AICL shall furnish or cause to be furnished (in the same manner and
          reasonably of the same quality as such services and facilities are
          furnished to its affiliates) services and facilities to the Companies
          (which, to the extent not specified below to be subject to separate
          billing by AICL will be provided in Bermuda) required by the Companies
          in the ordinary course of the business of the Companies which are
          described and classified as follows:

          (a)  office space in Bermuda not to exceed 7,508 usable square feet,
               which space may be owned by AICL or one of its affiliates or may
               be leased from others, and which shall include as a part thereof
               cleaning, elevator service, repair and engineering services,
               provided that the Companies shall have no right to use the said
               office space for any purpose other than as office space for their
               own respective business purposes and shall not licence, let or
               otherwise demise (or purport to) the said office space to any
               person, company or other entity ;

          (b)  the information technology services set out in Part A of Schedule
               1 hereto;

          (c)  payroll and pension administration services as described in
               Schedule 2 hereto (provided that pension plan portfolio
               management services will, to the extent required by either of the
               Companies, be separately contracted for by AICL and billed to the
               Companies);

          (d)  human resource services as described in Schedule 3 hereto;

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          (e)  making travel arrangements for overseas travel by employees of
               the Company for business purposes and making hotel bookings in
               each case, as required;

          (f)  a purchasing department , provided that, to the extent that any
               supplies are purchased by AICL on behalf of either of the
               Companies, the cost of such supplies shall be billed to the
               Companies;

          (g)  telephone services (provided that the cost of such services shall
               additionally be billed to the Companies);

          (h)  printing, reproduction and document binding services (provided
               that the cost of such services shall additionally be billed to
               the Companies); and

          (i)  a mail and communications department, including, but not limited
               to, messenger, mail handling and postage services (provided that
               the cost of such services shall additionally be billed to the
               Companies).

     Any other services or departments found to be necessary or desirable by
     either of the Companies should be provided by AICL only after separate
     negotiation and agreement by all parties hereto. The additional costs of
     any such other services or departments shall be allocated in an equitable
     manner to be agreed upon by the parties hereto.

     1.2  AICL hereby represents and warrants to the Companies that any software
          licensed or otherwise provided to the Companies hereunder by AICL
          shall not infringe upon the copyrights of any other person . With
          respect to any computer software provided to either of the Companies
          pursuant to Section 1.1 hereof ("AICL Computer Software"), each of the
          Companies acknowledges that it hereby accepts from AICL the
          non-exclusive, non-transferable, non-assignable right to use such AICL
          Computer Software solely and exclusively in connection with its
          insurance operations, all in accordance with the further terms and
          conditions of the Agreement. Any and all copyrights, of common law or
          statutory rights and powers, relating to any such AICL Computer
          Software (or any operating manuals relating thereto) shall be and
          remain at all times the sole and exclusive property of AICL, and the
          right of the Companies to use such AICL Computer Software shall be
          solely as a licensee of AICL pursuant hereto. Such AICL Computer
          Software may not be copied, duplicated or otherwise reproduced, in
          whole or in part, without the prior written consent of AICL, and
          nothing there from may be disclosed to any person other than those to
          whom such disclosure is authorized by AICL. Such AICL Computer
          Software shall be returned to AICL upon termination of this Agreement
          and, in any event, upon completion of the use for which they are
          hereby provided.

     1.2.1 The Companies hereby agree that they will establish, within eighteen
          (18) months from the effective date of this Agreement, their own IT
          environment and systems (including network, internet, email and
          disaster recovery) and that the costs associated therewith, including
          without limitation costs of or relating to (i) any hardware, including
          but not limited to servers and photocopiers, (ii) non-AICL technical
          support, (iii) software or other licenses that may be required, and
          (iv) internet access, data communication lines,

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          telephone lines and maintenance contracts, will be for the account of
          the Companies. Notwithstanding the provisions of this Section 1.2.1,
          unless otherwise specified in this Agreement, the costs and expenses
          associated with the provision by AICL of the services set out in Part
          A of Schedule 1 hereto, shall be for the account of AICL until such
          time as the Companies establish their own IT environment as
          contemplated hereby at which time the costs and expenses relating to
          the services listed under the heading "Miscellaneous Services" shall
          be for the account of the Companies.

     1.3  With respect to any equipment, furniture or other furnishings or
          fixtures (collectively, "Equipment") provided to either of the
          Companies pursuant to Section 1.1 hereof, each of the Companies
          acknowledges that such Equipment is, and at all times during the term
          of this Agreement and thereafter shall remain, the property of AICL
          and neither of the Companies shall have any right, title of interest
          therein or thereto except as provided herein. Upon AICL's request, the
          Companies shall affix and keep in a prominent place on each item of
          Equipment labels, plates or other markings indicating that the
          Equipment is owned by AICL. The Companies shall not make any
          modifications, alterations, additions or improvements to the Equipment
          without AICL's prior written consent. All such additions and
          improvements shall belong to AICL. The Equipment shall remain personal
          property of AICL regardless of its affixation to any realty. The
          Companies shall keep the Equipment at the office space provided to the
          Companies by AICL pursuant to Section 1.1 hereof and, unless otherwise
          agreed to by AICL in writing, shall not remove any of the same there
          from without AICL's prior written consent. The Companies covenant and
          agree to (i) keep the Equipment in good repair (reasonable wear and
          tear excepted) and comply with all laws, ordinances, regulations or
          requirements of any governmental authority relating to its
          installation, possession, use or maintenances and (ii) keep the
          Equipment free and clear of all liens and encumbrances.

     2.   PAYMENT AND REIMBURSEMENT OF SERVICE FEES AND COSTS

     2.1  As remuneration for the services provided under this Agreement, the
          Companies shall (in addition to the reimbursement of any costs
          described in Section 1 hereof) pay to AICL an annual fee based upon
          the Company's Gross Written Premiums (as defined below) as follows: $2
          million in the event the Company's annual Gross Written Premiums equal
          or are less than $200 million and 0.5% of any additional Gross Written
          Premiums of the Company in excess of $200 million. For purposes of
          this Agreement, "Gross Written Premiums" of the Company shall mean any
          direct insurance premiums arising from policies issued by the Company,
          together with any insurance premiums (less return premiums) arising
          from policies issued to reinsure another insurance company which is
          affording the related primary coverage, all computed in accordance
          with U.S. generally accepted accounting principles consistently
          applied throughout the periods in question. If this Agreement is
          terminated in accordance with the provisions of Section 3.3,
          notwithstanding the other provisions of this Section 2, the Companies
          shall (in addition to the reimbursement of any costs described in
          Section 1 hereof) pay to AICL in the year in which the termination
          occurs a fee calculated in accordance with this Section 2.1 above.

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     2.2  Within thirty (30) days after the end of each calendar quarter, AICL
          shall deliver an invoice to the Companies showing fees to be paid by
          the Companies for all the services and functions to be provided by
          AICL during the then current calendar quarter. Such fees shall be
          calculated based upon annual Gross Written Premiums of the Company
          achieved during the previous calendar quarter (and with respect to the
          Company's first quarter, based upon AICL's reasonable estimate of the
          annual Gross Written Premiums of the Company for such first such
          calendar quarter). The Companies shall pay the amount of any such
          invoice promptly upon receipt thereof. At the end of each calendar
          year, AICL and the Companies shall, based upon the audited annual
          financial statements of the Company for such prior calendar year,
          reconcile any fee overpayment/underpayment, which may have occurred
          during such prior calendar year.

     2.3  In addition to quarterly invoices for fees, AICL shall separately
          invoice the Companies for any costs permitted to be billed separately
          pursuant to Section 1.1 hereof. The Companies shall pay the amount of
          or otherwise reimburse AICL for any such costs promptly upon receipt
          of any such invoice therefore and promptly thereafter, the appropriate
          party or parties shall make corresponding payments to the other party
          or parties in accordance with such reconciliation.

     3.   TERM AND TERMINATION OF AGREEMENT

     3.1  The term of this Agreement ("Term") shall commence on July 1, 2006 and
          shall continue in force until June 30, 2009. Thereafter, the Term
          shall continue in force for successive three-year periods unless prior
          written notice to terminate shall have been delivered by or to AICL at
          least 180 days prior to the expiration date of the then current
          three-year period of the Term, which termination shall be effective as
          of the last day of such period of the Term in which such notice was
          provided.

     3.2  Upon termination, neither of the parties shall have any obligation to
          the other except for the parties' obligations under clauses 1.2, 1.3,
          2, 5, 6, 8, 9 and 10 hereof and, subject to clause 5 hereof, the
          obligation of AICL to return to the Companies (as promptly as
          practicable in such forms as they may then exist) any records prepared
          by AICL on behalf of the Companies, together with a full account of
          all fees and reimbursable costs then due and payable up to such date.

     3.3  Notwithstanding any other provision hereof, if a Termination Event (as
          such term is defined below) occurs, either of the Companies jointly or
          AICL shall have the right to terminate this Agreement upon not less
          than 180 days notice in writing to the others. For the avoidance of
          doubt the provisions of Section 3.2 shall apply in the event of
          termination of the Agreement pursuant to this Section 3.3. For the
          purposes hereof "Termination Event" shall mean, (i) the acquisition by
          an unrelated company of either of the Companies, (ii) the acquisition
          of an unrelated company by either of the Companies, (iii) the
          amalgamation of either of the Companies with an unrelated company,
          (iv) the sale of all or substantially all of the assets of either of
          the Companies, (v) the Company ceasing to have any in force policies;
          or (vi) the Company being placed into liquidation or any equivalent
          proceedings commencing.

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     4.   RIGHT OF THE COMPANIES TO INSPECT RECORDS

          AICL shall keep true and complete books and records of all the
          services and facilities furnished under and pursuant to this
          Agreement.

          AICL shall, to the extent practicable, maintain all Books and Records
          with regard to the Companies' business separately from the records of
          its other businesses, provided that AICL may use identical computer
          and other systems so long as information with regard to the Companies
          is maintained in an identifiable manner. The Companies shall have the
          right at all times during AICL's business hours, and at its own
          expense, to inspect the Books and Records of AICL (or any entity
          employed by AICL for any such purpose) relating to the services
          provided hereunder. The term "Books and Records" shall mean all
          materials, books and records and data in whatever form or medium (i)
          furnished by the Companies to AICL in connection with the performance
          by AICL of its obligations under this Agreement; (ii) generated by
          AICL in connection with the performance by AICL of its obligations
          under this Agreement; or (iii) that in any way pertain to the
          performance of the obligations of AICL under this Agreement, including
          books of account and contracts entered into by either of the Companies
          and all correspondence related thereto and any and all materials,
          books and records and data relating to Companies' business.

     5.   OWNERSHIP OF RECORDS

          All Books and Records kept by AICL in connection with the Companies'
          business managed by AICL shall be and remain the sole property of the
          Companies, including all databases maintained by AICL relating to the
          Companies' accounting or other records and whether or not such data is
          maintained on information systems owned by AICL or the Companies or
          neither.

          The Companies and/or AICL, as the case may be, shall maintain such
          Books and Records for a period of seven (7) years or for the period as
          may be required under the Companies' respective records retention
          policies if longer or for such longer period of time as may be
          required by law or any applicable court order and AICL shall have
          reasonable access to and the right to inspect and copy at its own
          expense, such Books and Records during such period.

          Notwithstanding any other provision of this Section 5 or this
          Agreement generally, AICL shall have the right to retain, at its own
          expense, a copy of any Books and Records and the original backup tapes
          which contain information relating to both the business and operations
          of AICL and its affiliates on the one hand and the Companies on the
          other hand, provided that AICL shall retain such backup tapes for a
          period of seven (7) years or for the period as may be required under
          its record retention policies if longer or for such longer period of
          time as may be required by law or any applicable court order and
          further provided that during such period the Companies, at their own
          expense, shall have reasonable access to and the right to inspect and
          make a copy of such backup tapes to the extent they relate to the
          business and operations of either of

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          the Companies or to respond to any tax matters, claims, lawsuits,
          legal proceedings, investigations or audit matters.

     6.   CONFIDENTIALITY

     6.1  AICL hereby acknowledges that, as a result of its performance of
          services for the Companies under this Agreement, AICL shall come into
          possession or become familiar with confidential information of the
          Companies, such as (a) information relating to the business, finances,
          methods of operation, business plans, marketing strategies and other
          information relating to the Parent, the Company and its customers and
          (b) other trade secrets and proprietary information of the Companies
          (hereinafter collectively referred to as "Confidential Information").

     6.2  During the Term and at all times thereafter, AICL shall, and shall
          cause each of its directors, officers, employees and agents to, keep
          confidential (to the extent required hereby) all Confidential
          Information which any of them may obtain and not to use such
          Confidential Information for any purpose other than in the course of
          the performance of this Agreement.

     6.3  The obligation of confidentiality set forth in this clause 6 shall not
          apply to any Confidential Information (a) which is in the public
          domain through no fault of AICL or and of its directors, officers,
          employees or agents; (b) the disclosure of which is compelled by
          applicable laws, rules or regulations or by any court order; (c) which
          is disclosed with the prior approval of the Companies; (d) the
          disclosure of which to any director, officer, employee or agent of
          AICL is necessary to protect the rights of the Companies with respect
          to their Confidential Information; (e) lawfully obtained by AICL,
          other than in its capacity as the provider of services to the
          Companies under this Agreement, from sources not bound by any
          obligation to keep such Confidential Information confidential; or (f)
          the disclosure of which to any of AICL's directors, officers,
          officers, employees or agents is necessary to carry out the purposes
          of this Agreement. In addition, notwithstanding anything to the
          contrary provided in this Agreement, the restrictions upon use and
          disclosure of information under this Section 6 shall not apply to any
          information developed by, and/or provided to the Companies or AICL by,
          American International Group, Inc. (to the extent that American
          International Group, Inc. is not subject to any confidentiality
          obligation to the Companies with respect thereto) or any of its
          affiliates (to the same extent) other than information generated by
          AICL in connection with the performance by AICL of its obligations
          under this Agreement.

     7.   REVIEW OF SCOPE OF SERVICES

          The scope of, and the manner in which, AICL provides facilities and
          services to the Companies shall be reviewed annually by AICL and the
          Companies.

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     8.   INDEMNIFICATION BY THE COMPANIES

     8.1  The Companies hereby, jointly and severally, indemnify and hold AICL
          and each of its directors, officers, servants, agents and employees,
          harmless from and agree to defend each of them (collectively,
          "Indemnitees") from and against all and any manner of liabilities,
          suits, claims, damages and expenses (other than those arising out of
          the gross negligence or willful misconduct of any such Indemnitees in
          the performance of any of AICL's obligations hereunder) arising out of
          or in connection with this Agreement or the good faith performance by
          AICL of its obligations hereunder.

     8.2  In addition to their respective obligations to indemnify the
          Indemnities as described above, the Companies shall obtain, maintain
          and keep the Equipment insured against all risks of liability or
          damage from every cause whatsoever in an amount not less than the full
          replacement value of the Equipment (less commercially reasonable
          deductibles). The Companies shall also obtain and maintain for the
          duration of the Term comprehensive liability insurance for bodily
          injury, including death, and property damage resulting from
          maintenance, use or operation of the Equipment or otherwise from the
          operation of the Companies at the Premises in such amounts, in such
          form and with such insurers as shall be reasonably satisfactory to
          AICL. AICL shall be the sole loss payee with respect to insurance for
          damage to or loss of the Equipment and AICL shall be an additional
          named insured on the comprehensive liability insurance. The Companies
          shall deliver to AICL a certificate of insurance with respect thereto.
          Said insurance shall provide that it cannot be amended or cancelled
          without the insurer first giving AICL, not less than sixty (60) days
          prior written notice thereof.

     9.   ARBITRATION

          Any controversy or claim arising out of or relating to this Agreement,
          or the breach thereof, shall be submitted to a panel of three
          arbitrators. Each party shall appoint an arbitrator and the two
          arbitrators so appointed will appoint a third arbitrator who shall act
          as the umpire of the panel. Each such arbitrator shall be an executive
          of a Bermuda insurance or reinsurance company but shall not be
          associated with any of the parties to this Agreement. Any arbitration
          hereunder shall take place in Bermuda, shall be deemed an
          international commercial arbitration and shall be conducted in
          accordance with the UNCITRAL Arbitration Rules and The Bermuda
          International Conciliation and Arbitration Act 1993. The decision of a
          majority of the arbitrators shall be final and not subject to appeal,
          and judgment upon the award or determination rendered by the
          arbitrators may be entered in any court of competent jurisdiction.

     10.  NOTICES

           All communications provided for hereunder shall be in writing, and if
           to the Companies, mailed or delivered to each of the Companies at
           American International Building, 29 Richmond Road, Pembroke, Bermuda
           HM 08, Attention: President, or if to AICL, mailed or delivered to
           AICL at its office at American International Building, 29 Richmond
           Road, Pembroke, Bermuda HM 08, Attention: President, or addressed to
           either party may hereafter designate by written notice to the other
           party.

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     11.  ENTIRE AGREEMENT; AMENDMENT

          This Agreement constitutes the entire agreement between the parties
          with respect to the provision of administrative services to the
          Companies by AICL and supersedes and extinguishes any warranty,
          representation or arrangement previously given or made with respect
          thereto, other than those expressly set out herein. The express terms
          hereof supersede any course of performance or usage of the trade. This
          Agreement may not be amended except in writing signed by each of the
          parties hereto.

     12.  NO WAIVER

          Neither the failure nor the delay on the part of any party in
          exercising any right, remedy, power or privilege under this Agreement
          shall operate as a waiver thereof, nor shall any single or partial
          exercise of any right, remedy, power or privilege preclude any other
          or further exercise of the same or of any other right, remedy, power
          or privilege, nor shall any waiver of any right, remedy, power or
          privilege with respect to any occurrence be construed as a waiver of
          such right, remedy, power or privilege with respect to any other
          occurrence. No waiver shall be effective unless it is in writing and
          is signed by the party asserted to have granted such waiver.

     13.  SUCCESSORS AND ASSIGNS

          The provisions of the Agreement shall be binding upon and shall enure
          to the benefit of and be enforceable by each of the parties' hereto
          and their respective successors and assigns. Except to the extent
          expressly provided for in this Agreement, AICL shall not have the
          right to assign any of its rights, powers and obligations under this
          Agreement without prior written consent of the Companies; provided,
          however, that nothing contained herein or elsewhere in this Agreement
          shall preclude AICL from assigning any or all of its right, powers and
          obligations under this Agreement to any wholly-owned subsidiary of
          American International Group, Inc.

     14.  GOVERNING LAW; SUBMISSION TO JURISDICTION

          This Agreement shall be governed by and construed in accordance with
          the laws of Bermuda, without reference to the principles of conflicts
          of law thereof. If any suit is instituted by any of the parties to
          enforce any of the terms or conditions of this Agreement, each of the
          parties hereby submits to the exclusive jurisdiction of and venue in
          the courts of Bermuda.

     15.  COUNTERPARTS

          This Agreement may be executed in any number of counterparts, each of
          which shall be an original with the same effect as if the signatures
          thereto and hereto were upon the same instrument, and such
          counterparts together shall constitute one and the same instrument.

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     16.  HEADINGS

          The section headings contained herein are for convenience only and
          shall not alter or limit or define the provisions hereof.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
in Pembroke, Bermuda, on the date first written above.

                                        IPCRE, LIMITED

                                        By: /s/ James P. Bryce
                                            ------------------------------------

                                        IPC HOLDINGS, LTD.

                                        By: /s/ James P. Bryce
                                            ------------------------------------

                                        AMERICAN INTERNATIONAL COMPANY, LIMITED

                                        By: /s/ S. George Cubbon
                                            ------------------------------------

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                                   SCHEDULE 1

                                   IT SERVICES

                                     PART A

NETWORK ADMINISTRATION & PERFORMANCE MANAGEMENT

     -    Maintain / troubleshoot network infrastructure

     -    LAN / WAN / MAN connections (except firewall)

     -    Add /remove workstations and servers to domain

     -    Lock down servers in accordance with AIG Standards

INSTALLATION & MANAGEMENT OF WINDOWS AND AS400 ENVIRONMENT

     -    Hardware setup / build of servers and desktops

     -    Installation of Operating System (IPC to supply non-standard software
          licenses, where appropriate)

     -    Troubleshooting operating system issues

     -    Deployment of security patches and updates

     -    Management of virus software on Windows servers

     -    Backup and recovery of data

     -    Share knowledge from AIG Security directives on changes / enhancements
          to operating environments

NETWORK SECURITY

     -    Set up user id's

     -    Reset passwords

     -    Auditing functions

     -    Enforcement of AIG security policies (while on AIG network)

     -    Monitoring for network viruses

APPLICATION MANAGEMENT

     -    Installation of new applications residing on / sharing the AICO domain
          and network resources

     -    Application review to ensure AIG security compliance

     -    Change Management Process

     -    Provide primary support services for AICL standard desktop
          applications

     -    Genius support

     -    SUN Accounts support

     -    Cognos warehouse products support

     -    Application security for supported applications

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HELPDESK SUPPORT

     -    Problem tracking & resolution during standard business hours

     -    Printer & copier maintenance

     -    Other miscellaneous services as provided to AICL

HARDWARE PROCUREMENT

     -    Facilitate the purchase of desktops, laptops, printers, photocopiers,
          etc.

     -    Configuration/setup/installation of desktops, laptops, printers, etc.

     -    Inventory tracking

HARDWARE MAINTENANCE

     -    Management of maintenance contracts with local/overseas vendors - as
          appropriate

     -    Vendor relationship management

BUSINESS CONTINUITY PLANNING

     -    Assist with IPC business continuity and disaster recovery plans

MISCELLANEOUS SERVICES

     -    Email

     -    Remote Access

     -    Blackberry server and mail delivery

     -    Easy link fax services

     -    Firewall Protection

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                                     PART B

SECTION 1.1 IT EQUIPMENT AND SERVICES TO BE EXCLUDED

APPLICATION EXCLUSIONS

     -    Qknow

     -    CAT Trader

     -    Any other application not regarded as standard within AICO

HARDWARE EXCLUSIONS

     -    Blackberry

     -    Wireless keyboards

     -    Label printers

     -    Photocopiers

     -    Cellular phones

     -    Laptops (provided that if an employee of the Companies
          responsibilities require a laptop and not a desktop, the laptop will
          be for the account of AICL)

     -    Other miscellaneous non-standard hardware

PC MANAGEMENT EXCLUSIONS

(not part of standard image)

     -    Visio

     -    Microsoft project

     -    Adobe Acrobat

For the avoidance of doubt all expenditures made by AICL or its affiliates in
connection with the matters set out in this Part B of Schedule 1 shall be for
the account of the Companies.

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                                   SCHEDULE 2

                                PAYROLL SERVICES

1.   Processing of payments to employees of the Company of salaries, bonuses,
     Cost of Living Allowance ("COLA"), housing allowances and other
     compensation as may be agreed between the Company and AICO from time to
     time and such employee reimbursements that are included in an employee's
     contract or terms of employment (provided that the processing of any equity
     based compensation is hereby specifically excluded).

2.   Calculating the applicable deductions from employee salaries and other
     compensation in respect of the Company's payroll tax, social insurance
     deductions, medical, dental, life, accidental death and dismemberment and
     long-term disability insurance plans and any other deductions that may
     agreed upon or required by law. In addition, deductions will be
     administered in compliance with the plan rules for the Company's statutory
     Bermuda pension or other applicable pension plans.

3.   Preparing the applicable government filing documents required in connection
     with the payment of payroll taxes or any applicable regulation fee or
     compensation filings, provided that the Company shall in fact submit the
     filings and make such payments.

4.   Preparing Company's monthly payroll advices and annual compensation
     statements for employees, which statements shall include details of gross
     compensation, applicable deductions and net compensation (provided that
     such statements will contain no information relating to equity based
     compensation) for further distribution by Company to employees.
     Furthermore, an electronic version of the same shall be provided to
     Company.

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                                   SCHEDULE 3

                             HUMAN RESOURCE SERVICES

RECRUITMENT

Prepare ads

Coordinate running of advertisements

Receive applications

Schedule interviews

Prepare offer packages

Set up & maintenance of employee data

Employment, Criminal and Credit Reference Checks

IMMIGRATION

Temporary permits

Initial applications

Renewals

Good Corporate citizen

Landed without documents  letters

Landing permits

TRAINING

Coordinate staff training - internal/external

Reimbursement of educational training

Process educational awards

BENEFITS

Enrolment process for Medical, Life Insurance, AD&D & LTD, and Pension benefits
along with Transact benefits

Administration for the above process

Handling of any queries regarding the above

Orientation

Summer student recruitment

MISC

Disciplinary process

Compliance with government regulations

Assist with maintenance of calling tree

Maintenance of employee handbook

Manage the Probationary Period process

                      SIGNATURE PAGE TO IPC HOLDINGS, LTD.
                                CREDIT AGREEMENTexv10w1

 

	 	 	 	 	 

EXHIBIT 10.1

Pixelworks, Inc.

2006 Senior Management Bonus Plan, as amended

Bonuses for executive officers of the Company are calculated based on attainment of planned levels
of revenue and non-GAAP income (loss) before income taxes, as well as the attainment of specified
operational goals. Each of the goals is weighted as follows:

For Chief Executive Officer, Chief Operating Officer (“COO”) and Chief Financial Officer (“CFO”):

	 	 	 	 	 
	Revenue
	 	 	33.3	%
	Non-GAAP income (loss) before income taxes
	 	 	33.3	%
	Operational goals
	 	 	33.3	%
	 
	 	 	 	 
	 
	 	 	100.0	%
	 
	 	 	 	 

For
Vice Presidents (excluding COO and CFO) and middle management:

	 	 	 	 	 
	Revenue
	 	 	33.3	%
	Q1/Q2 Non-GAAP income (loss) before income
taxes
	 	 	16.6	%
	Q3/Q4 Non-GAAP earnings before interest, taxes,
depreciation and amortization (EBITDA)
	 	 	16.7	%
	Operational goals
	 	 	33.3	%
	 
	 	 	 
	 
	 	 	100.0	%
	 
	 	 	 

Bonuses are calculated as a percentage of each executive officer’s salary as follows: President and
Chief Executive Officer and Executive Vice President and Chief Operating Officer, 100%; and Vice
Presidents, 50%. Maximum bonuses for middle managers are 10%, 15% or
25% of annual salary, depending on the respective employees’
level. The revenue and non-GAAP income (loss) before income taxes goals have escalating
components whereby the executive officers have the opportunity to achieve up to 300% of each
respective goal if levels higher than the base goals are achieved.

If goals are not achieved, bonuses are reduced proportionally. Additionally, the Company’s
Compensation Committee may increase or decrease individual bonuses based on qualitative factors.

Determination as to whether or not the performance targets have been met is made quarterly. The
payout of bonuses will occur in the first quarter of 2007, upon approval of the Company’s
Compensation Committee.

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