EXHIBIT 10.17
April 13, 2001
Xxxx X. Xxxxxxx-Xxxxxx
[Address]
PERSONAL AND CONFIDENTIAL
Dear Xxxx:
The purpose of this letter is to summarize the terms of your compensation as of
April 15, 2001 contingent upon your assuming the position of President Asia -
Xxxxxx Holdings, Inc. Please note that these arrangements are supplemental to
the terms and conditions of the letter agreement you received from Xxxxxx X.
Xxxxxxxx, dated February 21, 2001. All terms and conditions presented in the
February 21, 2001 letter agreement remain unchanged.
CASH COMPENSATION
Your annual base salary will be $250,000 and you will have a target bonus of 45%
of base salary ($112,500). These compensation arrangements will be effective
April 15, 2001.
STOCK OPTION AWARD
Effective within 30 days following the date of the spin-off of Xxxxxx, you will
receive an option to purchase shares of Xxxxxx stock with an economic value at
the time of grant of $410,000 using a generally accepted valuation methodology.
This option will be issued under a new option and equity compensation plan (the
"Xxxxxx Stock Incentive Plan") that will be adopted by Xxxxxx'x Board of
Directors. Your option will vest in equal installments over a period of four
years provided you remain employed with Xxxxxx during that time, or as provided
otherwise under the Xxxxxx Stock Incentive Plan. The exercise price will equal
the fair market value of Xxxxxx stock at the time the option is granted.
Please contact me if you have any questions concerning the contents of this
letter. My telephone number is (000) 000-0000.
Very truly yours,
Xxxxxxx X. Xxxxxx
Vice President
Global Compensation
Xxxxxxx-Xxxxx Squibb Company
XXXX X. XXXXXXX-XXXXXX
APRIL 13, 2001
PAGE 2 OF 2
cc: Xxxxxxx X. Xxxxx
Senior Vice President
Human Resources
Xxxx X. Xxxxxxx-Xxxxxx
Xxxxxx, Inc.
AGREED TO AND ACCEPTED:
______________________________
DATE:_________________________
