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EXHIBIT 10.7
June 2, 1997
Xx. Xxxxx X. Xxxx
0000 Xxx Xxxxx Xxxx
Xxxxx, Xxxxx 00000
Dear Xxx:
I am very pleased that you and I have reached agreement on your joining
Candlewood Hotel Company as our President. To outline the major issues of our
agreement, the following is written:
Salary $165,000 per year
Options 100,000: priced on the day of your
joining the company
Signing bonus $25,000 guaranteed
Additional bonus $25,000 if the company meets the 1997 budget
which was presented to the Board at the
last meeting
Relocation $68,675 to be paid during the first week of
your employment
SEPARATION AGREEMENT - In the event the company is sold in the first 24 months
of your employment and, as a result of such sale, your job is eliminated, you
will receive a separation payment of $200,000.
It is my understanding that you will inform your present employer of your desire
to make a change on Wednesday of this week and that your intention is to join
the company on June 16. Xxx, I am very aware of your commitment to your present
company and I certainly will understand if this date moves because of their
desire for you to make a transition easier for them.
I believe this covers our discussions and I am very excited to welcome you to
Candlewood. Xxx, we are keeping this confidential until such time as you tell me
you have informed your present employer. Then I think we should go ahead and
make the public announcement. Let's be in touch.
Yours truly,
Xxxx X. XxXxxx
Chairman and Chief Executive Officer
