X. Xxxxxx Xxxx Esq.
0 Xxxxxxxxxx Xxxx,
Xxxxxxx,
XX 00000
18 March 2003
Dear Xxx,
This letter confirms the terms of your service agreement with Montpelier Re
Holdings Ltd. (the "Company"). I would be grateful if you would sign the
attached copy of this letter indicating your agreement to its terms and return
it to me at this office.
Subject to the terms and conditions set out in this letter the Company hereby
appoints you, and you hereby agree to serve the Company, as a director of the
Company and as Chief Financial Officer of the Company and of Montpelier
Reinsurance Ltd. ("Montpelier Re"), with effect from May 21st 2002.
In your capacity as Chief Financial Officer of the Company and of Montpelier Re,
you hereby agree to:
1. perform such duties and exercise such powers as may from time to
time be assigned to or vested in you by the Board of Directors of
the Company or of Montpelier Re;
2. comply with the Company's policies and procedures in force from time
to time;
3. comply with the terms of the Periodic Work Permit issued to you from
time to time by the Bermuda Department of Immigration;
4. work in Bermuda no more than fourteen hours a week, and at no time
for a period equivalent to or greater than four consecutive weeks;
and,
5. be ordinarily resident outside Bermuda;
With effect from January 1st 2003 your salary will be $180,000 p.a. payable
monthly in arrears, and will be reviewed from time to time by the Compensation &
Nominating Committee of the Board of Directors of the Company ("the Compensation
Committee").
Save for your salary and for such participation in the Company's Performance
Unit Plan and Annual Bonus Plan in accordance with their respective terms as may
be determined by the Compensation Committee from time to time, you shall not be
entitled to receive any other benefits under this agreement. The Company
understands that the Company will not be liable to pay any pension, medical,
life insurance or other contribution in respect of your appointment nor pay any
payroll tax in respect of your salary. In the premises, there will be no
deductions from your salary.
This agreement shall terminate:
1. On the expiration of two weeks written notice given for any reason
by either party to the other; and,
2. Forthwith in the event that your Periodic Work Permit is rescinded
or fails to be renewed by the Bermuda Department of Immigration.
This agreement shall be governed by the laws of Bermuda.
Best regards,
Yours sincerely
/s/ Xxxxxxx Xxxxxx
-----------------------------------
A Xxxxxx
Chief Executive
I agree to the terms set out above:
/s/ X. Xxxxxx Xxxx
-----------------------------------
X. Xxxxxx Xxxx
DATE: March 18, 2003
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