Document:

Exhibit 10.14

 

Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406 of
the Securities Act of 1933, as amended.

[Tyco
Telecommunications logo]

 

 

	
  Contract Number:

  	
  TELG-002-JOc

  	
  Effective Date

  (7-23-02)

  
	
   

  	
   

  	
   

  
	
  Customer:

  	
  Teleglobe Inc.

  	
  Tyco Global Networks AG (“Tyco”)

  
	
   

  	
   

  	
   

  
	
  Registered Office Street Address:

  	
  Address:

  
	
   

  	
   

  	
  Schwertstrasse 9

  
	
   

  	
   

  	
  CH-8201 Schaffhausen

  
	
   

  	
   

  	
  Switzerland

  
	
   

  	
   

  	
  For Legal Notices Attention: 
  General Counsel

  
	
  1000 de La Gauchetiere Street West

  	
  With Copy To:

  
	
   

  	
   

  	
  Tyco Global Networks Ltd.

  
	
  City:

  	
  Montreal

  	
  The Zurich Centre

  
	
   

  	
   

  	
  Second Floor, Suite 201

  
	
  State/Providence:

  	
  Zip Code:

  	
  Country

  	
  90 Pitts Bay Road

  
	
  Quebec

  	
  H3B 4X5

  	
  Canada

  	
   

  
	
   

  	
   

  	
   

  	
  Pembroke, HM 08

  
	
   

  	
   

  	
   

  	
  Bermuda

  
	
   

  	
   

  	
   

  	
  Phone

  	
  1-441-294-8500

  
	
  ý  New Contract

  	
   

  	
  Fax:

  	
  1-441-294-8600

  
	
   

  	
   

  	
   

  
	
  o  Contract Change

  	
   

  	
  E-mail: 
  customercare@tycotelecom.com

  
	
   

  	
   

  	
   

  
	
  The scope of this Agreement shall be the supply by Tyco to the
  Customer as specified and agreed to below:

  
	
   

  
	
  CONFIGURATION                                       Please complete this table for each
  circuit or groups of circuits with different configuration information.

  
	
   

  
	
  Number of Circuits:                                                                                               1

  	
  Agreed to Circuit Ready for Service Date (“Agreed to Circuit RFS”):

  No later than forty (40) days from the Effective
  Date            (MMDDYY)

  
	
   

  	
   

  
	
  Endpoint A:

  	
  Endpoint Z:

  
	
   

  	
   

  
	
  NEW JERSEY

  165 Halsey Street

  Newark, NJ USA

  	
  LONDON

  No. 2 Harbour Exchange Tower

  London, UK  E14-9GE

  
	
   

  	
   

  
	
  Capacity per Circuit:

  	
  10 Gb/s
  Wavelength

  	
  Classification Tier:

  	
  Unprotected
  (2 Fiber Handoff, No Protection Path)

  
	
   

  	
   

  	
   

  	
   

  
	
  Please enter the price for one
  circuit.

  	
  Monthly Net Circuit Price (Net
  Discounts)

  	
  $

  	
  ***

  
	
   

  	
   

  	
   

  
	
   

  	
  Anticipated System Ready for
  Service (“Anticipated System RFS”)

  (if applicable)

  
	
   

  	
   

  
	
  Primary Tyco System:  Tyco Transatlantic

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  If not
  applicable enter N/A here otherwise enter date

  	
  (MMDDYY)

  
	
   

  	
   

  	
   

  
	
  If multiple Tyco Systems required, please complete this line for all
  Tyco Systems.

  
	
   

  
	
  PAYMENT                                                                                    The Monthly Charge is the total value of
  all circuits

  
	
   

  
	
  Monthly Charge

  (Net Discounts)

  	
  $

  	
  ***

  	
  USD

  
	
   

  	
   

  	
   

  	
   

  
	
  Term

  	
  Lease - 1 Year

  
	
   

  	
   

  
	
  The Monthly Charge is subject to Schedule 2
  Payment and Billing Terms and Conditions. 
  All payments are exclusive of any applicable taxes and fees.

  
													

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406.

 

 

	
  Contract Number:

  	
  TELG-002-JOc

  	
  Effective Date

  (7-23-02)

  
	
   

  	
   

  	
   

  
	
  Customer’s
  Legal

  Representative

  	
  All notifications will be sent
  to Customer’s Legal Representative indicated below:

  
	
   

  	
   

  
	
  Name:

  	
  Teleglobe Inc. c/o Teleglobe
  USA

  Inc.

  	
  Job Title:

  	
  Attn:  Vice President, Global Carrier Services

  
	
   

  	
   

  	
   

  	
   

  
	
  Phone Number:

  	
  Fax Number:

  

  (703) 755-2621

  	
  E-Mail:

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  11480 Commerce Park Drive

  
	
   

  	
   

  
	
  City:

  Reston

  	
  State / Providence:

  VA

  	
  Zip Code:

  20191

  	
  Country:

  USA

  
	
   

  	
   

  	
   

  	
   

  
	
  With Copy To:

  	
  Teleglobe Inc. c/o Teleglobe
  USA Inc., Attn: General Counsel

  
	
   

  	
   

  
	
  Phone Number:

  	
  Fax Number:

  

  (703) 755-2694

  	
  E-Mail:

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  11480 Commerce Park Drive

  
	
   

  	
   

  
	
  City:

  Reston

  	
  State / Providence:

  VA

  	
  Zip Code:

  20191

  	
  Country:

  USA

  
	
   

  	
   

  	
   

  	
   

  
	
  Customer’s
  Billing

  Contact

  	
  All invoices will be sent to
  the Purchaser’s Billing Contact as indicated below.

  
	
   

  	
   

  
	
  Billing Contact Name:

  	
  Teleglobe Inc. c/o Coordinator
  Capital Group

  	
  Job Title:

  
	
   

  	
   

  	
   

  
	
  Phone Number:

  	
  Fax Number:

  (514) 868-8553

  	
  E-Mail:

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  18th Floor, 1000 de La
  Gauchetiere Street West

  
	
   

  	
   

  
	
  City:

  Montreal

  	
  State / Providence:

  Quebec

  	
  Zip Code:

  H3B 4X5

  	
  Country:

  Canada

  
	
   

  	
   

  	
   

  	
   

  
	
  Customer’s
  Operations

  Contact

  	
  The Welcome Package and all
  operational correspondance will be sent to the Customer’s Operations Contact
  as indicated below.

  
	
   

  	
   

  
	
  Phone Number:

  	
  Fax Number:

  	
  E-Mail:

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
   

  
	
   

  	
   

  
	
  City:

  	
  State / Providence:

  	
  Zip Code:

  	
  Country:

  
							

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406.

 

 

	
  Contract Number:

  	
  TELG-002-JOc

  	
  Effective Date

  (7-23-02)

  
	
   

  	
   

  	
   

  
	
  Schedules

  	
   

  
	
   

  	
   

  
	
  ý  Schedule
  1

  	
  General Terms and Conditions

  
	
   

  	
   

  
	
  ý  Schedule
  2

  	
  Payment and Billing Terms and
  Conditions

  
	
   

  	
   

  
	
  ý  Schedule
  3

  	
  Operations, Administration and
  Maintenance Terms and Conditions

  
	
   

  	
   

  
	
  ý  Schedule
  3A

  	
  Service Level Agreement

  
	
   

  	
   

  
	
  ý  Schedule
  4

  	
  Service Configuration Diagram

  
	
   

  	
   

  
	
  ý  Other

  	
  Describe:  Exhibit A and Exhibit B

  
	
   

  	
   

  
	
  In the event of a conflict
  between this Order for Capacity Lease and any of the schedules referenced
  above, the Order for Capacity Lease shall control. In the event of a conflict
  between any of the Schedules, this ordering shall be used to establish
  priority.

  
	
   

  
	
  Additional Remarks /
  Contractual Provisions:

  In addition to the Down
  Payment defined in Schedule 2, Section 1.1(a), a *** is due on the Effective
  Date of this Agreement. Provided that Customer has satisfactorily fulfilled
  all of its obligations under this Agreement, the ***(***)

  
	
   

  
	
   

  
	
  CUSTOMER’S
  SIGNATURE ACKNOWLEDGES THAT CUSTOMER HAS READ, UNDERSTANDS AND AGREES TO THE
  INFORMATION IN THIS ORDER FOR CAPACITY LEASE AND THE TERMS AND CONDITIONS SET
  FORTH IN THE ABOVE REFERENCED SCHEDULES.

  
				

 

	
  Customer

  	
  Tyco Global Networks AG (“Tyco”)

  
	
   

  	
   

  
	
  Accepted By:

  	
  /s/ Serge Fortin

  	
   

  	
  Accepted By:

  	
  /s/ Weriner
  Steiner                  9/2/02

  
	
   

  	
  (Authorized Customer’s
  Signature)      (Date)

  	
   

  	
            (Authorized
  Signature)                (Date)

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  SERGE FORTIN

  	
   

  	
   

  	
  WERINER
  STEINER

  
	
   

  	
  Typed or Printed Name)

  	
   

  	
   

  	
  (Typed or Printed Name)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Chief
  Operating Officer 

  	
   

  	
   

  	
  Director

  
	
   

  	
  (Title)

  	
   

  	
   

  	
  (Title)

  
							

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406.

 

 

[Tyco
Telecommunications logo]

 

	
  Contract Number:

  	
  TELG-002-JOc A1

  	
  Effective Date

  April 4th 2003

  
	
   

  	
   

  	
   

  
	
  Customer:

  	
  Teleglobe Inc.

  	
  Tyco Telecommunications (US) Inc. 

  (“Tyco Telecom”)

  
	
   

  	
   

  	
   

  
	
  Registered Office Street Address:

  	
  Address:

  
	
   

  	
   

  	
  60 Columbia Road

  
	
   

  	
   

  	
  Morristown, NJ 07960

  
	
   

  	
   

  	
  USA

  
	
   

  	
   

  	
  For Legal Notices Attention: 
  General Counsel

  
	
  1000 de La Gauchetiere Street West

  	
  With Copy To:

  
	
   

  	
   

  	
  Tyco Telecommunications Customer Care

  
	
  City:

  	
  Montreal

  	
  250 Industrial Way

  
	
   

  	
   

  	
  Eatontown, NJ 07724

  
	
  State/Providence:

  	
  Zip Code:

  	
  Country

  	
  USA

  
	
  Quebec

  	
  H3B 4X5

  	
  Canada

  	
   

  
	
   

  	
   

  	
   

  	
  Phone

  	
  1-732-282-4050

  
	
  o  New Contract

  	
   

  	
  Fax:

  	
  1-732-282-4141

  
	
   

  	
   

  	
   

  
	
  ý  Contract Change

  	
   

  	
  E-mail:  customercare@tycotelecom.com

  
	
   

  	
   

  	
   

  
	
  The scope of this Agreement shall be the supply by Tyco to the
  Customer as specified and agreed to below:

  
	
   

  
	
  CONFIGURATION                                       Please complete this table for each
  circuit or groups of circuits with different configuration information.

  
	
   

  
	
  Number of Circuits:                                                                                               1

  	
  Agreed to Circuit Ready for
  Service Date (“Agreed to Circuit RFS”):

  August 19th 2003

  
	
   

  	
   

  
	
  Endpoint A:

  	
  Endpoint Z:

  
	
   

  	
   

  
	
  Teleglobe room NEW JERSEY

  165 Halsey Street

  Newark, NJ USA

  	
  Teleglobe room LONDON

  No. 2 Harbour Exchange Tower

  London, UK E14-9GE

  
	
   

  	
   

  
	
  Capacity per Circuit:

  	
  10 Gb/s
  Wavelength

  	
  Classification Tier:

  	
  Unprotected
  (2 Fiber Handoff, No Protection Path)

  
	
   

  	
   

  	
   

  	
   

  
	
  Please enter the price for one
  circuit.

  	
  Monthly Net Circuit Price (Net
  Discounts)

  	
  $

  	
  ***

  
	
   

  	
   

  	
   

  
	
   

  	
  Anticipated System Ready for
  Service (“Anticipated System RFS”)

  (if applicable)

  
	
   

  	
   

  
	
  Primary Tyco System:  Tyco Transatlantic

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  If not
  applicable enter N/A here otherwise enter date

  	
  N/A

  
	
   

  	
   

  	
   

  
	
  If multiple Tyco Systems required, please complete this line for all
  Tyco Systems.

  
	
   

  
	
  PAYMENT                                                                                    The Monthly Charge is the total value of
  all circuits

  
	
   

  
	
  Monthly Charge

  (Net Discounts)

  	
  $

  	
  ***

  	
  USD

  
	
   

  	
   

  	
   

  	
   

  
	
  Term

  	
  Lease - 1 Year

  
	
   

  	
   

  
	
  The Monthly Charge is subject to Schedule 2
  Payment and Billing Terms and Conditions. 
  All payments are exclusive of any applicable taxes and fees.

  
													

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406.

 

 

	
  Contract Number:

  	
  TELG-002-JOc A1

  	
  Effective Date

  April 4th 2003

  
	
   

  	
   

  	
   

  
	
  Customer’s
  Legal

  Representative

  	
  All notifications will be sent
  to Customer’s Legal Representative indicated below:

  
	
   

  	
   

  
	
  Name:

  Alain Cadorette

  	
  Teleglobe Inc. 

  	
  Job Title:

  	
  Attn:  Director, Global Carrier Services

  
	
   

  	
   

  	
   

  	
   

  
	
  Phone Number:

  

  514-868-8187

  	
  Fax Number:

  

  514-868-7388

  	
  E-Mail:

  alain.cadorette@teleglobe.ca

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  18th Floor, 1000 de
  La Gauchetiere Street West

  
	
   

  	
   

  
	
  City:

  Montreal

  	
  State / Providence:

  Quebec

  	
  Zip Code:

  H3B 4X5

  	
  Country:

  Canada

  
	
   

  	
   

  	
   

  	
   

  
	
  With Copy To:

  	
  Teleglobe Inc. c/o Teleglobe
  USA Inc., Attn: General Counsel

  
	
   

  	
   

  
	
  Phone Number:

  

  514-868-7788

  	
  Fax Number:

  

  514-868-8686

  	
  E-Mail:

  

  Lilian.C.Opdam@teleglobe.ca

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  18th Floor, 1000 de
  La Gauchetiere Street West

  
	
   

  	
   

  
	
  City:

  Montreal

  	
  State / Providence:

  Quebec

  	
  Zip Code:

  H3B 4X5

  	
  Country:

  Canada

  
	
   

  	
   

  	
   

  	
   

  
	
  Customer’s
  Billing

  Contact

  	
  All invoices will be sent to
  the Purchaser’s Billing Contact as indicated below.

  
	
   

  	
   

  
	
  Billing Contact Name:

  	
  Teleglobe Inc. c/o Accounts
  Payable, Finance

  	
  Job Title:

  
	
   

  	
   

  	
   

  
	
  Phone Number:

  	
  Fax Number:

  (514) 868-7620

  	
  E-Mail:

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  18th Floor, 1000 de La
  Gauchetiere Street West

  
	
   

  	
   

  
	
  City:

  Montreal

  	
  State / Providence:

  Quebec

  	
  Zip Code:

  H3B 4X5

  	
  Country:

  Canada

  
	
   

  	
   

  	
   

  	
   

  
	
  Customer’s
  Operations

  Contact

  	
  The Welcome Package and all
  operational correspondance will be sent to the Customer’s Operations Contact
  as indicated below.

  
	
   

  	
   

  
	
  Phone Number:

  514-868-8306

  	
  Fax Number:

  514-868-7938

  	
  E-Mail:

  serge.langlois@teleglobe.ca

  
	
   

  	
   

  	
   

  
	
  Street Address:

  	
  Care of Serge Langlois
  (Benaventure Station): 1000 de La Gauchetiere Street West

  
	
   

  	
   

  
	
  City:

  Montreal

  	
  State / Providence:

  Quebec

  	
  Zip Code:

  H3B 4X5

  	
  Country:

  Canada

  
							

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406

 

 

	
  Contract Number:

  	
  TELG-002-JOc A1

  	
  Effective Date

  April 4th 2003

  
	
   

  	
   

  	
   

  
	
  Schedules

  	
   

  
	
   

  	
   

  
	
  ý  Schedule
  1

  	
  General Terms and Conditions

  
	
   

  	
   

  
	
  ý  Schedule
  2

  	
  Payment and Billing Terms and
  Conditions

  
	
   

  	
   

  
	
  ý  Schedule
  3

  	
  Operations, Administration and
  Maintenance Terms and Conditions

  
	
   

  	
   

  
	
  ý  Schedule
  3A

  	
  Service Level Agreement

  
	
   

  	
   

  
	
  ý  Schedule
  4

  	
  Service Configuration Diagram

  
	
   

  	
   

  
	
  ý  Other

  	
  Describe:  Exhibit A and Exhibit B

  
	
   

  	
   

  
	
  In the event of a conflict
  between this Order for Capacity Lease and any of the schedules referenced
  above, the Order for Capacity Lease shall control. In the event of a conflict
  between any of the Schedules, this ordering shall be used to establish
  priority.

  
	
   

  
	
  Additional Remarks /
  Contractual Provisions:

  THE ORDER TELG-002-JOC A1
  SIGNIFIES AN AMENDMENT TO TELG 002-J0C. 
  THIS ORDER SHALL SUPERSEDE THE TEG-002-JOC ORDER IN ITS ENTIRETY.

  THE CHANGES IMPLEMENTED BY THIS AMENDMENT ARE AS FOLLOWS:

  1***

  2. EXTENSION OF THE TERM OF
  TELG-002-JOC FOR ONE ADDITIONAL YEAR FROM AUGUST 19, 2003.

  3. ***

  4.
  ***

  
				

 

	
  Teleglobe Inc., by TLGB Acquisition

  	
  Tyco Telecommunications (US) Inc. (“Tyco Telecom”)

  
	
   

  	
   

  
	
  LLC, as Manager, Accepted By:

  	
  /s/ Liam Strong  4/7/03

  	
   

  	
  Accepted By:

  	
  /s/ Ronal L.
  Armstrong          4/7/03

  	
   

  
	
  (Authorized Customer’s
  Signature)

  	
  (Date)

  	
   

  	
  (Authorized
  Signature)         (Date)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  LIAM STRONG

  	
   

  	
   

  	
  RONALD L.
  ARMSTRONG

  	
   

  
	
   

  	
  (Typed or Printed Name)

  	
   

  	
   

  	
  (Typed or Printed Name)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  CEO

  	
   

  	
   

  	
  V.P.

  	
   

  
	
   

  	
  Attorney in Fact (Title)

  	
   

  	
   

  	
  (Title)

  	
   

  
										

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406

 

 

AMENDMENT NO. 2 TO THE ORDER FOR CAPACITY LEASE

CONTRACT NUMBER TELG-002-JOc

 

This Amendment No. 2 to the Order for
Capacity Lease Contract Number TELG-002-JOc (this “Amendment”) is made on the
1st day of January, 2004 (the “Effective Date”) between:

 

TELEGLOBE BERMUDA, LTD.,
a successor in interest to Teleglobe Inc. and a Bermuda entity having a business
address at 10 Queen Street, Suite 306, Hamilton, HM EX Bermuda (hereinafter
“Teleglobe”);

 

and

 

TYCO TELECOMMUNICATIONS (US) INC.,
a Delaware corporation having a business address at 60 Columbia Road,
Morristown, NJ 07960 (hereinafter “Tyco Telecom”);

 

collectively referred to as the “Parties”.

 

W I T N E S S E T H :

 

WHEREAS, Teleglobe
Bermuda, Ltd and Tyco Telecom entered Into that certain Order for Capacity
Lease Contract Number TELG-002-JOc effective as of July 23, 2002, as amended by
Amendment No. 1 to Capacity Lease Agreement TELG-002-JOc, dated April 4, 2003
(as the same may be further amended modified or supplemented from time to time
the “Agreement”) for the 1 year lease of an unprotected 10 Gbps circuit, in
accordance with the terms and conditions set forth therein; and

 

WHEREAS, the Parties
no desire to amend the Agreement, in accordance with the terms and conditions
set forth herein;

 

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

 

1.                                       ***

 

2.                                       ***

 

3.                                       Defined
terms used herein and not otherwise defined shall have the meanings given them
in the Agreement.

 

4.                                       The
terms and conditions of the Agreement shall apply mutatis mutandis to the
Circuit unless otherwise stated herein. 
Except as amended hereby, all of the terms and conditions of the
Agreement are hereby ratified and confirmed, and shall remain in full force and
effect.

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406.

 

7

 

5.                                       This
Amendment may be executed in multiple counterparts, each of which shall be
deemed to be an original, but all of which counterparts collectively shall
constitute one and the same instrument.

 

6.                                       This
Amendment may be executed by facsimile and the facsimile execution pages will
be binding upon the executing Party to the same extent as the original executed
pages.  The executing Party shall
provide originals of the facsimile execution pages for insertion into the
Amendment in place of the facsimile page.

 

IN WITNESS WHEREOF, the Parties have caused
this Amendment to be executed by a duly authorized officer, as of the date
first above written.

 

 

	
  TELEGLOBE
  BERMUDA, LTD

  By TLGB Acquisition LLC, as Manager

  	
   

  	
  TYCO
  TELECOMMUNICATIONS (US)

  INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Signature:

  	
   /s/
  Ian Boatman

  	
   

  	
  Signature:

  	
   /s/
  Ron Armstrong

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Printed
  Name:

  	
   IAN
  BOATMAN

  	
   

  	
  Printed
  Name:

  	
   RON
  ARMSTRONG

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
   Chairman

  	
   

  	
  Title:

  	
   Vice
  President

  
									

 

 

*** Portions hereof have been
omitted and filed separately with the Securities and Exchange Commission
pursuant to a request for confidential treatment in accordance with Rule 406.Exhibit 10.15

 

 

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

 

This Amended
and Restated Employment Agreement (the “Agreement”), dated as of March 26, 2004
is by and between Teleglobe Canada ULC (the “Company”) and Gerald Porter Strong
(the “Executive”).

 

WHEREAS, pursuant to
the Purchase Agreement dated as of September 18, 2002 among TLBG Acquisition
LLC and Teleglobe Inc. (“Old Teleglobe”), Teleglobe USA Inc., and all the other
parties listed as Key Sellers on the signature pages thereto, as “Key Sellers”
(the “Purchase Agreement”), TLGB Acquisition LLC (“TLGB”) agreed to purchase
the “Core Business” (as defined under the Purchase Agreement) from Old
Teleglobe and its subsidiaries.  Such
transaction was consummated on May 31, 2003 (the “Closing Date”);

 

WHEREAS, in
connection with such transaction, TLGB and the Executive entered into an
employment agreement, dated April 14, 2003 (the “Original Employment
Agreement”);

 

WHEREAS, Section 19
of the Original Employment Agreement provides that neither the Executive nor
TLGB may assign the Original Employment Agreement without the express written
consent of the other party; provided that the Executive agrees that TLGB may
assign the Original Employment Agreement to the “Owner Entity” or any of their
affiliates or subsidiaries at any time without the consent of the Executive;
and

 

WHEREAS, TLGB has
assigned the Original Employment Agreement to the Company, an affiliate of
TLGB;

 

WHEREAS, the Company and the Executive desire
to enter into this Agreement which shall amend and restate the Original
Employment Agreement; and

 

WHEREAS, prior to the consummation of the merger
contemplated pursuant to the Agreement and Plan of Merger among Teleglobe
International Holdings, Ltd. (“TIHL”), VEX Merger Subsidiary Corp. and ITXC
Corp., dated as of November 4, 2003, all of TIHL’s assets (including the
Company) will be transferred to and held by Teleglobe Bermuda Holdings Ltd., a
newly formed direct wholly owned subsidiary of TIHL (“New Teleglobe”).

 

NOW, THEREFORE, in
consideration of the promises in this Agreement, the mutuality and sufficiency
of which are hereby acknowledged, the parties agree as follows:

 

1)                                      Term.  Unless terminated earlier in accordance with
Section 10 hereof, the term of the Agreement and the employment relationship
hereunder, which commenced as of February 3, 2003 (the “Effective Date”), will
be continued by the Company until December 31, 2005 (the “Initial Term”);
provided, however, that the Initial Term shall be extended automatically for
additional one (1) year periods commencing at the end of the Initial Term and
on each anniversary date thereafter (each an “Extended Term”), unless and until
either party provides a non-renewal notice to the other party not less than
thirty (30) days before the expiration date of the Initial Term or Extended
Term, such that termination of the Agreement shall be effective as of the end
of the Initial Term or Extended Term, as the case may be.  For purposes of this Agreement, “Term” shall
include the Initial Term and any Extended Terms.

 

 

2)                                      Duties.  The Company shall employ the Executive
effective as of the Effective Date to render, subject to the last sentence of
this Section 2, services to the Company. 
The Executive will serve in the capacity of Chief Executive Officer of
the Company and shall report to the Board of Directors of the Company (the
“Board”).  The Executive will perform
such executive duties related to the businesses of the Company as may be
assigned to him from time to time by the Board consistent with the Executive’s
position as Chief Executive Officer of the Company.  The Executive will devote all his full working-time and attention
to the performance of such duties and to the promotion of the business and
interests of the Company and its affiliates. 
This provision, however, will not prevent the Executive from investing
his funds or assets in any form or manner, or from acting as an advisor to or a
member of, the board of directors of any companies, businesses, or charitable
organizations, so long as such actions do not violate the provisions of Section
9 of this Agreement or interfere with the Executive’s performance of his duties
hereunder.

 

3)                                      Salary.  During the Term, the Executive shall receive
an annual base salary of One Million Forty-Two Thousand Seven Hundred
Twenty-One Dollars (CDN$1,042,721) with respect to his services for the Company
(“Base Salary”) payable in accordance with the payroll practices of the
Company.

 

4)                                      Annual Bonus.  The Executive shall be eligible to receive
an annual bonus during the Term under a bonus plan or program (the “Bonus
Program”) established by the Board or the Board of Directors of one of the
Company’s affiliates, subject to the achievement of appropriate performance
targets determined by the Board of Directors (or, in each case, any committee
thereof) of the Company or its affiliate, in its sole discretion, upon
consultation with the Executive; provided that such annual bonus shall not
exceed 100% of annualized Base Salary.

 

5)                                      Tax Matters.  During the Term, the Company shall cause its
accountants or other designated agent to prepare and file, at the Company’s
expense, any federal, provincial, state and local income tax returns (each, a
“Tax Return”) required to be filed by the Executive for taxable periods that
include the Term (or a portion thereof). 
To the extent that the amount of income tax due and payable for any
taxable period on the Executive’s compensation set forth in Sections 3, 4, 5
and 10 hereof (and, as applicable, any taxable amounts relating to payments
under this Section 5 and reimbursements under Section 6) exceeds the amount of
income tax that would have been due and payable for such taxable period on such
compensation if such compensation were paid to the Executive as a citizen and
resident of the United Kingdom for services performed in the United Kingdom,
the Executive shall receive an additional cash payment from the Company in an
amount equal to such excess amount of income tax that is due and payable.  At the beginning of each year during the
Term, an estimate of the tax equalization described in this Section 5 on a
monthly basis shall be made on the Base Salary to be received by the Executive
during such year and such tax equalization amount shall be paid to the
Executive on a monthly basis.  At the
end of the year, a final tax equalization calculation shall be made with
respect to all taxable income earned or paid to the Executive during such
year.  To the extent that any amount of
tax equalization for the Executive is needed in addition to the total monthly
payments already made to the Executive, such payment shall be made to the
Executive no later than five (5) days prior to the date that the relevant
income tax payment is due to the appropriate taxing authority.

 

2

 

6)                                      Expenses and
Perquisites.  During the Term, the
Executive shall be entitled to receive prompt reimbursement of all reasonable
out-of-pocket expenses properly incurred by him in connection with his duties
under this Agreement, including reasonable expenses of entertainment and
travel, provided that such expenses are documented and reported in accordance
with the policies and procedures of the Company, at the time the expenses are
incurred.  In addition, during the Term,
(i) the Executive shall receive reimbursement for one business class plane
ticket per month from Montreal to England for each of the Executive and his
spouse; provided that if the plane tickets are not used for travel to England
in a given month during the Term, the Executive shall receive the value of such
tickets calculated as of the last day of the applicable month in cash for
travel between Montreal and New York, (ii) the Executive shall receive
reimbursement for an apartment in Montreal, subject to a maximum reimbursement
of CDN$5000 per month and (iii) use of an apartment in New York City
(Manhattan).

 

7)                                      Participation
in Employee Benefit Plans.  The
Executive shall be permitted, during the Term, if and to the extent eligible,
to participate in any group life, hospitalization or disability insurance plan,
health program, pension plan or similar benefit plan of the Company, which may
be available to senior executives of the Company generally, on the same terms
as such senior executives.

 

8)                                      Vacation.  During the Term, the Executive shall be
entitled to twenty (20) days of vacation per year.

 

9)                                      Non-Competition;
Confidentiality; Remedies.

 

a)                                      Non-Competition.  During the Term, for any period in which the
Executive is receiving payments pursuant to Section 10 and for six (6) months
after the expiration of the Term, the Executive agrees that the Executive will
not, without the prior written consent of the Company, directly or indirectly,
whether individually, as a director, stockholder, partner, owner, employee,
consultant, or agent of any business, or in any other capacity, other than on
behalf of the Company, or any of subsidiaries or affiliates:  own, manage, control, be employed by,
participate in, or be connected in any manner with the ownership, management,
operation or control of any business conducted by the Company or any of
subsidiaries or affiliates in the international wholesale voice, IP transit,
voice over internet protocol or global roaming markets (“Competitive
Businesses”).  Nothing in this paragraph
shall prevent the Executive from (i) owning for passive investment purposes not
intended to circumvent this paragraph, less than one percent (1%) of the
publicly traded equity securities of any competing enterprise (so long as the
Executive has no power to manage, operate, advise, consult with or control the
competing enterprise and no power, alone or in conjunction with other
affiliated parties, to select a director, general partner, or similar governing
official of the competing enterprise other than in connection with the normal
and customary voting powers afforded the Executive in connection with any
permissible equity ownership), or (ii) serving chairman of the UK Telecom
Advisory Board.  The Executive
acknowledges that the foregoing restrictions placed upon him are necessary and
reasonable in scope and duration to adequately protect the Company’s and any of
its affiliates’ or subsidiaries’ interests and the goodwill of the Company and
any of its affiliates or subsidiaries and are a material inducement for the Company
to retain the Executive’s services.

 

3

 

b)                                     Non-Solicitation.  The Executive agrees that the Executive will
not, without the prior written consent of the Company, directly or indirectly,
whether for the Executive’s own account or the account of any other person (i)
at any time during the Term, for any period in which the Executive is receiving
payments pursuant to Section 10 and for six (6) months after the expiration of
the Term: solicit, employ, or otherwise engage as an employee, independent
contractor, or otherwise, any person who is or was an employee of the Company,
or any of its affiliates or subsidiaries, at any time during the twelve (12)
month period preceding such solicitation or employment or any manner induce or
attempt to induce any such employee to terminate his employment with the
Company, or any of its affiliates or subsidiaries and become associated with
Competitive Businesses; or (ii) at any time during the Term, for any period in
which the Executive is receiving payments pursuant to Section 10 and for six
(6) months after the expiration of the Term, interfere with the relationship of
any person who is a contractor, supplier, or customer of the Company, or any of
its affiliates or subsidiaries in Competitive Businesses.

 

c)                                      Confidentiality.  The Executive acknowledges that prior to the
Term he has acquired, and during the Term the Executive will acquire,
Confidential Information (as defined herein) regarding the business of the
Company and its affiliates and subsidiaries. 
Accordingly, the Executive agrees that, without the prior written
consent of the Company, he will not, at any time, either during or after the
Term, disclose to any unauthorized person or otherwise use any such
Confidential Information for any reason other than the Company’s or any of its
affiliates’ or subsidiaries’ business. 
For this purpose, Confidential Information means non-public information
concerning the financial data, business strategies, product development (and proprietary
product data), customer lists, marketing plans, and other proprietary
information concerning the Company and its subsidiaries and affiliates, except
for specific items that have become publicly available other than as a result
of the Executive’s breach of this Agreement. 
The Executive further agrees that he will abide by any confidentiality
provisions applicable to affiliates of the Company under the Purchase Agreement
and the confidentiality provisions applicable to TLGB and its Executives contained
in the letter agreement between Cerberus and Old Teleglobe, dated July 24,
2002.

 

d)                                     Remedy
for Breach.  The Executive hereby
acknowledges that the provisions of this paragraph are reasonable and necessary
for the protection of the Company, the and its subsidiaries and
affiliates.  The Executive further
acknowledges that the Company and its subsidiaries and affiliates will be
irreparably harmed if such covenants are not specifically enforced.  Accordingly, the Executive agrees that, in
addition to any other relief to which the Company may be entitled, including
claims for damages, the Company will be entitled to seek and obtain injunctive
relief (without the requirement of any bond) from a court of competent
jurisdiction for the purposes of restraining the Executive from an actual or
threatened breach of such covenants.  In
addition, without limiting the Company’s remedies for any breach of any
restriction on the Executive set forth in this paragraph, except as required by
law, if the Executive breaches any of the covenants applicable to the Executive
in this paragraph, as reasonably determined by the Company in good faith, the
Company will have no obligation to pay any amounts that remain payable by the
Company to the Executive, including, but not limited to, the amounts under
Section 10 hereof; provided that the Executive shall receive any expenses under
Section 6 hereof incurred but not yet reimbursed to the Executive.  If any of the rights or restrictions contained
in this paragraph shall be deemed to be unenforceable by reason 

 

4

 

of the extent, duration or geographical scope
of such rights or restrictions, the parties hereby agree that a court of
competent jurisdiction shall reduce such extent, duration and geographical
scope and enforce such right or restriction in its reduced form for all
purposes in the manner contemplated hereby; provided  that such
extent, duration and geographical scope shall only be reduced to the extent
necessary in order to make such right or restriction enforceable.

 

10)                                Termination.

 

a)                                      Death
or Disability.  The Agreement shall
terminate immediately upon the Executive’s death or Disability.  For the purposes of this Agreement,
“Disability” means a determination by the Company, in accordance with
applicable law that, as a result of a physical or mental injury or illness, the
Executive is unable to perform the essential functions of his duties with or
without reasonable accommodation.  If the
Executive’s services are terminated as a result of a death or Disability, the
Executive (or his legal representatives) shall receive (i) any unpaid Base
Salary to the date of termination, (ii) a pro rata portion of the bonus set
forth in Section 4 for the year of termination based on the period of the
fiscal year in which the Executive was employed prior to termination and the
Company’s or one of its affiliates achievement of any applicable annual
performance targets for the fiscal year in which the termination occurs (such
bonus, if any, shall be paid to the Executive (or his legal representatives)
within thirty (30) days after the determination of the achievement of the
applicable performance targets), (iii) expenses under Section 6 incurred to the
date of termination but not yet reimbursed to the Executive (or his legal
representatives) and (iv) any tax equalization amount calculated under Section
5 hereof.

 

b)                                     Termination
for Cause.  Upon delivery of written
notice of termination for “Cause” (as defined below) from the Company to the
Executive, the Agreement shall terminate immediately.  For the purposes of this Agreement, “Cause” means (i) commission
of a felony by the Executive, (ii) acts of dishonesty by the Executive
resulting or intending to result in personal gain or enrichment at the expense
of the Company or any of its affiliates or subsidiaries, (iii) the
Executive’s material breach of this Agreement, including, but not limited to, a
breach of his representations set forth in Section 13 of this Agreement, (iv)
the Executive’s contravention of specific written lawful directions from the
Board, (v) conduct by the Executive in connection with his duties hereunder
that is fraudulent, unlawful, or negligent, or (vi) misconduct by the Executive
which seriously discredits or damages the Company or any of its affiliates or
subsidiaries.  If the Executive is
terminated for Cause during the Term, the Executive shall receive (i) any
unpaid Base Salary to the date of termination, (ii) expenses under Section 6
incurred to the date of termination, but not yet reimbursed to the Executive
and (iii) any tax equalization amount calculated under Section 5 hereof.

 

c)                                      Termination
Without Cause or for Good Reason. 
The Company may terminate Executive’s employment without Cause at any
time without notice and the Executive may terminate his employment with Good
Reason upon thirty (30) days prior written notice to the Company.  If during the Term the Company terminates
the Executive without Cause or the Executive terminates his employment with
Good Reason (as defined below), the Executive shall receive (i) monthly
installments of Base Salary for the lesser of (a) the remaining Term had the
Executive remain employed or (b) twelve (12) months from the date of
termination (subject to compliance with the provisions of Section 9 hereof),
(ii) a pro rata portion of the bonus set forth in Section 4 for the year of
termination based on the period of the fiscal year in which the 

 

5

 

Executive was employed prior to termination
and the achievement of any applicable annual performance targets under the
Bonus Program for the fiscal year in which the termination occurs (such bonus,
if any, shall be paid to the Executive within thirty (30) days after the
determination of the achievement of the applicable performance targets), (iii)
expenses under Section 6 incurred to the date of termination but not yet
reimbursed to the Executive and (iv) any tax equalization amount calculated
under Section 5 hereof.

 

For the
purposes of this Agreement, “Good Reason” means the occurrence of any of the
following without the Executive’s written consent:  (i) action by the Company that results in a material diminution
in the Executive’s position, authority, duties or responsibilities; (ii) the
Company’s failure to make any payment or provide any award or benefit to the
Executive under this Agreement pursuant to the terms hereof; or (iii) the
Company’s breach of any material term of this Agreement; provided that the
Company shall have failed to cure the deficiency that results in “Good Reason”
within fifteen (15) business days after receipt of written notice from the
Executive specifying the nature of the deficiency in reasonable detail; and
provided further that a change in the Executive’s position, authority, duties
or responsibilities in connection with a management succession plan approved by
the Board shall not constitute “Good Reason.”

 

d)                                     Voluntary
Termination Without Good Reason. 
The Executive may terminate his employment during the Term upon thirty
(30) days prior written notice to the Company without Good Reason.  If during the Term the Executive terminates
his employment without Good Reason, the Executive shall receive (i) any unpaid
Base Salary to the date of termination, (ii) expenses under Section 6 incurred
to the date of termination but not yet reimbursed to the Executive and (iii)
any tax equalization amount calculated under Section 5 hereof.

 

e)                                      Expiration of
Term.  Upon the expiration of the
Term specified in Section 1 (following delivery of a notice of non-renewal by
the Company or the Executive pursuant to Section 1) without an earlier
termination pursuant to this Section 10, this Agreement shall terminate without
further action by the Executive or the Company.  Upon such expiration, the Executive shall receive (i) any unpaid
Base Salary to the date of expiration, (ii) expenses under Section 6 incurred
to the date of expiration but not yet reimbursed to the Executive and (iii) any
tax equalization amount calculated under Section 5 hereof.

 

f)                                        Continuation
of Executive’s Services Upon Termination Without Cause or for Good Reason, or
Expiration of Term.  In the event of
a termination pursuant to Section 10(c) or upon the expiration of the Term
pursuant to Section 10(e) hereof, in either case, prior to December 31, 2006,
the Executive shall, if requested by the Company, continue to serve as a member
of the Board or as a member of an advisory board of the Company, or, if the
Company shall not so request, the Company shall otherwise employ the Executive
to provide such services to the Company through December 31, 2006 on terms to
be mutually agreed upon by the Executive and the Company.

 

g)                                     Notice of
Non-Renewal.  The delivery by the
Executive or the Company of a notice of non-renewal pursuant to Section 1
shall not be deemed a termination by the Company or the Executive of the
Executive’s employment with or without Cause or Good Reason.  

 

6

 

11)                                Indemnification.  In the event that any claim is asserted
against the Executive arising out of the performance of his duties under and in
accordance with this Agreement, or during the period from July 1, 2002 to
February 2, 2003 in which the Executive provided advisory services with regard
to the due diligence done by Cerberus or its affiliates on Teleglobe, the
Company shall indemnify and hold harmless the Executive with respect thereto
(except to the extent of the Executive’s gross negligence, or willful
misconduct) and shall provide legal representation to the Executive with
respect thereto at the Company’s or an affiliate or subsidiary of the Company’s
sole cost and expense, such counsel to be selected at the discretion of
Company, subject to the approval of the Executive which shall not be
unreasonably withheld.

 

12)                                Disclosure.  The Executive shall disclose immediately to
the Company the existence of any relationship between the Executive and any
other entity that creates or may create a conflict of interest that may affect
the independent professional judgment of the Executive in carrying out his or
its duties under this Agreement.

 

13)                                Representation.  The Executive expressly represents and
warrants to the Company that as of the date of his signing this Agreement that
he is not a party to any contract or agreement which will or may restrict in
any way his or its ability to fully perform his or its duties and
responsibilities under this Agreement.

 

14)                                Governing Law.  This Agreement will be governed by and
construed in accordance with the laws of the province of Quebec, without giving
effect to the principles of conflicts of laws.

 

15)                                Ownership of  Property.  All written materials, records and documents made by the
Executive or coming into his possession before or during the Term concerning
the Company or any of its affiliates or subsidiaries and all tangible items
provided to the Executive by Teleglobe, the Company or any of its affiliates or
subsidiaries before or during the Term shall be the sole property of the
Company or any of its affiliates or subsidiaries, as applicable, and, upon the
termination of the Agreement or upon the request of the Company during the
Term, the Executive shall promptly deliver the same to the Company.

 

16)                                Notices.  All notices and other communications that
are required or may be given under this Agreement must be in writing and will
be deemed to have been duly given when delivered in person, upon delivery by a
nationally recognized overnight courier service, or by facsimile to the party
to whom the notice is being given, as follows:

 

If to the Company:

 

Teleglobe
Canada ULC

1000, rue de
La Gauchetiere Ouest

Montreal
(Quebec)  H3B 4X5

Canada

Attention:  Nicole Lemay

(514) 868-7606
telephone

 

7

 

(514) 868-7234
facsimile

 

with a copy
to:

 

Cerberus
Capital Management, L.P.

299 Park
Avenue

New York, New
York 10171

Attention:  Lenard Tessler

(212) 909-1464
telephone

(212) 755-3009
facsimile

and

 

Attention:  Seth Plattus

(212)891-2120

(212) 891-1541

 

with a copy
to:

 

Schulte Roth
& Zabel LLP

919 Third
Avenue

New York, New
York  10022

Attention:  Stuart D. Freedman, Esq.

(212) 756-2000
telephone

(212) 593-5955
facsimile

 

If to the Executive:

 

Mr. Gerald
Porter Strong

1321
Sherbrooke St. West

Apt. C-71

Montreal,
Quebec H3G 1J4

Canada

 

Either party may change the
address provided above by delivering written notice of such change of address
to the other party.

 

17)                                Assignability;
Successors.  This Agreement shall
inure to the benefit of and be binding upon the successors of the Company.  Neither the Executive nor the Company may
assign this Agreement without the express written consent of the other party;
provided, however, that the Company’s obligations under this Agreement shall be
the binding legal obligations of any successor of the Company, and, provided
further that, the Executive hereby agrees that the Company may assign this
Agreement to any of its affiliates or subsidiaries at any time without the
consent of the Executive.

 

18)                                Counterparts.  This Agreement may be executed in counterparts,
each of which shall be deemed an original but all of which shall constitute one
and the same instrument.

 

8

 

19)                                Entire Agreement.  The Agreement contains the entire agreement
between the parties with respect to the subject matter of this Agreement and
supersedes all prior agreements and understandings, oral or written, between
the parties with respect to the subject matter of this Agreement, including,
but not limited to, the Consulting Agreement between Cerberus Capital
Management, L.P. and The Strong Partnership Ltd., dated as of September 30,
2002 and the Original Employment Agreement.

 

20)                                Waiver and
Amendments.  This Agreement may be
amended, modified, superseded, canceled, renewed or extended, and the terms and
conditions hereof may be waived, only by a written instrument signed by the
parties or, in the case of a waiver, by the party waiving compliance.  No delay on the part of any party in
exercising any right, power or privilege hereunder shall operate as a waiver
thereof, nor shall any waiver on the part of any right, power or privilege
hereunder, nor any single or partial exercise of any right, power or privilege
hereunder, preclude any other or further exercise thereof or the exercise of
any other right, power or privilege hereunder.

 

21)                                Severability.  In the event that any one or more of the
terms, conditions or provisions of this Agreement is held invalid, illegal or
unenforceable, that term, condition or provision shall be severed and the remaining
terms, conditions and provisions shall remain binding and effective.

 

9

 

IN WITNESS WHEREOF, the parties
have executed the Agreement as of the date and year first above written.

 

	
   

  	
  TELEGLOBE
  CANADA ULC

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard
  D. Willett

  
	
   

  	
   

  	
  Name:
  Richard D. Willett

  
	
   

  	
   

  	
  Title: Chief
  Financial Officer

  

 

	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ Gerald
  Porter Strong

  	
   

  
	
   

  	
  GERALD
  PORTER STRONG

  

 

10

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00063-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00063-of-00352.parquet"}]]