Exhibit 10.42
Employment Agreement of the General Manager
Party A: Shandong Haize Nanomaterials Co., Ltd
Party B: Ma Zhaowei
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Party A: Shandong Haize Nanomaterials Co., Ltd
Party B: Ma Zhaowei
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Name Ma Sex Male Date June, 1966
Zhaowei of
Birth
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Education Associate Health Healthy Tel
Degree Condition
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Professional Title ID Number 000000000000000000
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Strong Points An Expert on Chemical Engineering
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Native Place Lodging House in Xintai City Enameled Wire Factory
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According to the employer-and-employee-choice principle, Party A is willing to
offer Party B the position of General Manager, and Party B is willing to accept
such a position and will do a good job in the management of the production and
operation of the Nanomaterials Company. After negotiation, the two parties have
reached the following provisions for the two parties to implement:
I. The parties agree that the term of this agreement shall be three years,
commencing from this _first_ day of _January_, 2005 and ending on the
_first_ day of _January_ , _2008 .
II. Remuneration
The main indicator for performance check of Party B conducted by Party A is the
profit realized in a year.
(1) The basic annual salary of Party B is RMB 60,000 yuan (sixty thousand yuan).
The performance evaluation will be based on the annual "Performance Objective
Responsibility Contract". If the operating profit target has been realized by
80% and there is no major safety accident, Party B is entitled to be given the
basic annual salary. Starting from 80%, one added or reduced percentage will be
taken into account in paying Party B the salary which will be computed in this
way: Party B's salary = Basic Annual Salary iA(1iA1%)
(2) 70% of Party B's salary will be paid along with the salaries of other
employees, and the remaining 30% will be paid off as a single payment at the end
of each year after the Financial Department of Party A has finished the
performance evaluation of Party B and the payment will be based on the result of
performance evaluation.
(3) Party B can only receive the salary after the amount has been approved by
the legal representative of Party A with his or her signature. III. The
Responsibilities, Powers and Benefit (salary) of Party B
Responsibilities: Party B is authorized by Party A to, in accordance with the
extent of power and the managerial system of this company, do a good job in the
management of production and operation.
Obligations:
1. Party B shall unconditionally and consciously abide by the managerial
system of Party A.
2. To take the full responsibility of the management of production and
operation of this company; to strengthen the internal management of the
company; to optimize the process flows; to effectively reduce the
production costs; to strictly control energy consumption; to ensure work
safety; to guarantee the quality of products; to make sure that the
up-to-standard rate of product quality shall be 100%. If, some goods are
returned or the payment for goods is withheld, due to quality problems,
Party B shall assume all responsibilities for all losses arising from it
(Party B has the rights to hold production personnel to their
responsibilities, but it will not affect the responsibility of bearing the
losses); to maximize the profit of the enterprise.
3. Party B should lead and encourage the employees to make bold innovations
and do bold experiments to improve the quality of products.
4. Party B is responsible for the whole management of production; the process
engineering should be strictly followed and work discipline should be
emphasized.
5. Party B should carry forward the corporate culture of "conducting oneself
with more integrity and doing one's job more wisely". Efforts should be
made to guarantee that every employee has really understood the meaning of
it. In addition to the weekly two meetings of each workshop section as
prescribed by this Company, employees should be trained on a regular basis
and the quality of employees should be improved in an all around way. A
batch of managerial talents having both ability and moral integrity should
be cultivated.
6. If Party B leads and encourages the employees to make bold innovations and
do bold experiments and added value is brought to the enterprise as a
result of this, the added value will be distributed between Party A and
Party B according to the proportion of 7:3. And the intellectual property
rights will belong to Party A.
7. During the term of engagement, Party B will implement the responsibility
system for production cost, save energy and reduce consumption to get the
production costs controlled in the prescribed range. An objective-based
performance evaluation of each workshop section will be conducted
(specific measures will be worked out by the two parties).
8. During the term, Party B shall strengthen the quality control management
to ensure the up-to-standard rate of product quality shall reach 100%.
9. During the term, Party B should make sure work safety is observed and
there is no major safety accident and the rate of incidence of wound and
skin cuts will be below 5/oo.
IV. Responsibilities and Obligations of the Two Parties
1. During the term of engagement of Party B, the salary shall be cashed
in according to the result of performance evaluation at the end of
year; Party A shall not deduct Party B's salary without good reason.
2. Party B shall, as much as possible, provide convenient conditions
for Party B's work.
3. During the term of engagement, Party B shall not accept any work
offered by any other party; otherwise, Party B's salary would be
deducted and both Party B and the third party would be held
responsible for legal liabilities.
4. During the term of engagement, should Party B suffer from personal
injuries or death while being on duty, and the cause is determined,
the matter will be handled in accordance with relevant stipulations
in the Labor Law. If any dispute arises, it will be submitted to the
court for settlement.
5. Party B should take the lead to consciously abide by all rules and
regulations of Party A.
6. Attendance: The system of check on work attendance shall be applied
to Party B and Party B should abide by the work discipline of this
company, and Party B's monthly working days will be 27.
7. The communication fee will be examined and reimbursed according to
the limit set for each month. 8. Principle of confidentiality: The
provisions in the Confidentiality Agreement will be observed by both
parties. 9. Party B should be held responsible for all economic
damages suffered by Party A as a result of Party B's dereliction of
duty or breach of duty.
V. Breach Liability: During the term of engagement, any party shall not
terminate the contract without the consent of the other party; otherwise,
the breach party should compensate the other party for the economic
damages suffered by the other party.
VI. The attachments and exhibits to the contract shall be equally binding on
both parties.
VII. Should disputes arise during the performing of this contract, the two
parties shall settle them through negotiations on their own; if they
cannot be settled through negotiations, a lawsuit can be lodged to the
court where the party concerned resides.
Party A: Shandong Haize Nanomaterials Co., Ltd (official stamp)
/s/ Jia Hongping
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Party B: /s/ Ma Zhaowei (signature)
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Date: January 1, 2005
