MODUSLINK LOGO APPEARS HERE]

Exhibit 10.1

[MODUSLINK LOGO APPEARS HERE]

Corporate Offices

0000 Xxxxxx Xxxxxx

Suite 4600

Waltham, MA 02451

United States

Tel: 000.000.0000

Fax: 000.000.0000

Via Facsimile (x00-0000-0000) and Email

February 15, 2007

Xx. Xxxxxxx X. XxXxxxxx

c/o ModusLink PTE LTD

00 Xxx Xxxxxx 0

Singapore 408858

Dear Xxxx:

This letter confirms our mutual agreement to extend you expatriate assignment in Singapore, which would otherwise expire on April 1, 2007, for an additional 24 months. Your assignment will now expire on April 1, 2009, but may be extended upon mutual agreement, and may be terminated at management’s sole discretion. The Letter of Understanding dated March 10, 2005 (other than your base salary, which has been adjusted from time to time) will continue to govern the terms of your assignment.

Xxxx, I appreciate the fine job you are doing as ModusLink’s President, International Business Unit, and look forward to your continued contributions to the company.

Very truly yours,

/s/ Xxxxxx X. Xxxxxx

Xxxxxx X. Xxxxxx

Agreed and Acknowledged:

/s/ Xxxxxxx X. XxXxxxxx

Xxxxxxx X. XxXxxxxx

2/19/07

Date

xxx.xxxxxxxxx.xxx