00 Xxxxx Xxxxxx Xxxx
Xxxxx 000 Xxxx
Xxxxxxx, XX 00000
Phone: 713/000-0000
Fax: 713/000-0000
ROCKPORT GROUP OF TEXAS, INC.
October 31, 1997
Xx. Xxxxxxx X. Xxxxxxxxxx
000 Xxxxxx Xxx
Xxxxxxxx, XX 00000
Dear Xxxx:
This letter is a formal offer for you to join our staff to lead the sales and
marketing efforts for our company. We agree to the following deal, among the
specific points of our proposed agreement are:
1. Title - Executive Vice President and report to Xxxxx Xxxx
2. Salary base - $240,000 per year
3. Three year severance agreement
4. Commissions:
Direct sales - 7% for first 18 months of paid revenue
5% for next 18 months
3% for the life of contract
Indirect sales - 2% override on all sales
5. Bonus is a combination of stock and/or cash. The bonus will be
based on 60% of the marketing/sales objectives and 40% of the
company reaching its EBITDA. We are defining reaching EBITDA as
80% or greater of budgeted EBITDA.
6. Vesting of stock will be based on a three year period and
vesting 1/3 each year. Stock vesting is based on Number 5 of
this letter.
7. Your benefits will be identical to the rest of the Executive
Staff.
8. Business expenses - the policy of the company is to ensure you
do not lose money on travel nor gain money from your travel.
1
Upon accepting this letter of intent and agreement, an Employment Contract
will be submitted to you for review, negotiations and execution. If you are in
agreement with all the above, indicate such by signing where indicated below.
Sincerely,
/s/ Xxxxx X. Xxxx
-----------------
Xxxxx X. Xxxx
Xxxxxx to and accepted this 1st day of November, 1997.
/s/ Xxxxxxx X. Xxxxxxxxxx
-------------------------
Xxxxxxx X. Xxxxxxxxxx
2
