FOURTH AMENDMENT TO EMPLOYMENT CONTRACT
between
Mid Atlantic Medical Services, Inc.
and
MD-Individual Practice Association, Inc.
and
XXXXXX X. XXXXXX
This Agreement shall be the Fourth Amendment to the Employment Agreement between
Mid Atlantic Medical Services, Inc. (the Company), MD-Individual Practice
Association, Inc., and Xxxxxx X. Xxxxxx (Executive) which was signed and
delivered the 18th day of December, 1990. The first Amendment was dated
September 11, 1992. The second Amendment was dated in 1993. The third Amendment
was dated December 8, 1995.
The original contract provides for a special bonus to be paid to Xx. Xxxxxx
pursuant to Section 3.2. That provision provided for a bonus payment if certain
criteria were attained. Xx. Xxxxxx has agreed to forego this bonus for 1998.
Additionally, the formula compensation adjustment of Section 3.1 did not
anticipate a loss year. Therefore, a salary increase cannot be calculated. The
purpose of this technical amendment is to clarify the above issues.
(1) The parties reaffirm and ratify the Original Contract, the First Amendment,
the Second Amendment, and the Third Amendment in all respects except as
provided below.
(2) Add the following at the end of Section 3.1: Notwithstanding the above,
salary to be paid to the Executive for calendar year 1998 will be set at
$1,350,000.00.
(3) Add the following to Section 3.2 after the sentence which begins
Additionally, a bonus and ends with certain ascertainable criteria:
Notwithstanding the previous sentence, there shall be no such additional
bonus for 1998.
Signed and delivered this 23rd day of February, 1998, in Rockville, Maryland
by Mid Atlantic Medical Services, Inc., MD-Individual Practice Association,
Inc., and Xxxxxx X. Xxxxxx.
/s/ Xxxxxx X. Xxxxxx
-------------------------------------
Xxxxxx X. Xxxxxx
Mid Atlantic Medical Services, Inc. MD-Individual Practice Association, Inc.
By: /s/ Xxxxxx X. Xxxxxxxxxx By: /s/ Xxxxxx X. Xxxxxxxxxx
--------------------------- ---------------------------
Xxxxxx X. Xxxxxxxxxx Xxxxxx X. Xxxxxxxxxx
Executive Vice President Executive Vice President
and General Counsel and General Counsel
