EXHIBIT 10(xxxiv)
(AMERICAN GREETINGS LOGO)
XXX XXXXXXXX XXXX
XXXXXXXXX, XXXX 00000-2398
216/000-0000 o FAX 216/000-0000
June 24, 2004
Xxxxx X. Xxxxx
American Greetings Corp.
Xxx Xxxxxxxx Xxxx
Xxxxxxxxx, XX 00000
Dear Xxx,
I would like to confirm with you our agreement concerning your ongoing work for
American Greetings. We agreed that all the terms of the June 26, 2003 employment
agreement will continue, with these changes:
o you will continue part-time until June 25, 2005, working 3 days every
two months.
o your focus will be on four major initiatives:
1. supply chain transformation
2. growth initiatives
3. redesign of the information technology infra-structure
4. Wal-Mart business model
o your pay will be $4,500 every month
If there are any other projects that require more than the three days every two
months, we will discuss and agree on the additional amount of time and pay.
All the other benefits and provisions in that June 26 letter will continue.
Xxx, thanks very much for your continued support, your expertise and your
wisdom. I truly appreciate your efforts.
If you agree with these changes, please sign a copy of this letter and return it
to me.
Sincerely,
/s/ Xxx Xxxxx
-------------------------------
Xxx Xxxxx
I agree to these employment terms.
/s/ Xxxxx X. Xxxxx
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Xxxxx X. Xxxxx
(AMERICAN GREETINGS LOGO)
XXX XXXXXXXX XXXX
XXXXXXXXX, XXXX 00000-2398
216/000-0000 o FAX 216/000-0000
June 26, 2003
Xxxxx X. Xxxxx
American Greetings Corporation
Xxx Xxxxxxxx Xxxx
Xxxxxxxxx, XX 00000
Dear Xxx,
This letter confirms the terms your employment with American Greetings
after the expiration on June 25, 2003 of your Employment Agreement dated
September 25, 2001. Your employment with American Greetings will continue on a
part-time basis from June 26, 2003 through June 25, 2004 (the "Term"). We have
agreed that you will work approximately 100 days during the Term. You and I will
mutually schedule the actual dates.
Your annual base salary during the Term will be $300,000, payable in
semi-monthly installments, less payroll taxes and other withholdings. You will
be eligible for those benefit programs normally offered to part-time employees,
which include the following:
A. The healthcare plan of your choice (from among those plans
American Greetings provides to employees), with coverage for
you and your spouse, receiving 80% of the allowance normally
given to a full-time employee at your level;
B. Group life insurance of $5,000;
C. Group accidental death and dismemberment insurance of $5,000;
D. Temporary disability benefits;
E. Flexible spending account; and
F. Retirement Profit Sharing and Savings Plan.
You will not be eligible for any long-term disability coverage.
Similarly, you will not participate in any stock option plan (other than for
those options and shares granted to you under the terms of the September 25,
2001 agreement) or any cash incentive plan. You will not be eligible to receive
a car, a car allowance or any payments related to the use and maintenance of a
car.
June 26, 2003
Xxxxx X. Xxxxx
During the Term, your employment with American Greetings is terminable
at will. It may be terminated by either you or the Company at any time for any
reason or for no reason. Upon expiration of the Term, your active employment
will end. If you initiate the termination your employment prior to completion of
the Term, American Greetings shall end all salary and benefits payments granted
to you under this letter agreement as of the day of the termination. If American
Greetings initiates the termination of your employment prior to the end of the
Term, it shall continue to pay to you all salary and benefits described above
through the end of the Term, as though you had continued your employment through
the end of the Term.
If you complete your employment through the end of the Term (or you are
deemed to have completed it because American Greetings has terminated your
employment prior to the end of the Term), in addition to the salary and benefits
described above, you will be considered to be an active part-time employee until
the later of the end of the month in which you or your spouse turns 65. Until
the end of the month in which both you and your spouse are age 65, the Company
will make available to you healthcare benefit alternatives comparable to those
made available to active part-time associates in Cleveland. You will pay the
full premium that would be paid by an active part-time associate at the senior
officer level for such coverage. After both you and your spouse reach age 65,
you will not be eligible for any Company provided healthcare benefits.
During the Term you will continue to be bound by paragraph 4 of the
Employment Agreement dealing with confidential and trade secret information,
paragraph 5 dealing with non-competition and non-disparagement, and paragraph
8.d. dealing with resolution of disputes.
Please indicate your agreement by signing a copy of this letter and
returning it to me.
Sincerely,
/s/ Xxx Xxxxx
--------------------------------
Xxx Xxxxx
I agree to employment on the terms stated in this letter.
/s/ Xxxxx X. Xxxxx
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Xxxxx X. Xxxxx
