Exhibit 10.33
FIRST AMENDMENT TO
EMPLOYMENT AGREEMENT
This FIRST AMENDMENT TO THE EMPLOYMENT AGREEMENT by and among Xxxxxx'x
Grand Ice Cream, Inc., a Delaware corporation (the "Company") and Xxxxxx X.
Xxxxxxxxx (the "Executive"), dated as of June 16, 2002 (the "Agreement"), is
dated as of July 21, 2003.
WHEREAS, the Company, Xxxxxx'x Grand Ice Cream Holdings, Inc. (formerly
known as New December, Inc.), a Delaware corporation ("New Dreyer's") and wholly
owned subsidiary of the Company, December Merger Sub, Inc., a Delaware
corporation and wholly owned subsidiary of New Dreyer's, Nestle Holdings, Inc.,
a Delaware corporation ("Nestle") and NICC Holdings, Inc., a Delaware
corporation and wholly owned indirect subsidiary of Nestle ("NICC") have entered
into an Agreement and Plan of Merger Contribution, dated as of June 16, 2002 (as
such agreement may hereafter be amended, the "Merger Agreement"), pursuant to
which, among other things, the Company and NICC have become wholly owned
subsidiaries of New Dreyer's effective as of June 26, 2003; and
WHEREAS, the Company and the Executive have entered into the Agreement
to provide for the employment of the Executive by the Company, and the Executive
wishes to serve the Company, in the capacities and on the terms and subject to
the conditions set forth in the Agreement; and
WHEREAS, in view of the fact that the Effective Time of the Merger (as
defined in the Merger Agreement) occurred later than originally anticipated, the
Company and the Executive agree that it is appropriate to amend the Agreement as
set forth in this First Amendment; and
WHEREAS, Section 9(c) of the Agreement requires that the Company cause
New Dreyer's to become a party to and co-obligor under the Agreement;
NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:
1. Vesting of Deferred Options. Section 1(b) of the Agreement is
hereby amended to read as follows:
In consideration for the protections afforded to the
Executive under this Agreement, the Executive hereby waives
the vesting of the Deferred Options (as defined below) that
has occurred or may hereafter occur solely as a result of the
applicability of the change-of-control provisions of Section
11 of the Company's Stock Option Plan (1993) (the "Option
Plan") upon the approval of the Merger Agreement by the Board
of Directors of the Company (the "Board") and/or the
transactions contemplated by the Merger Agreement, and agrees
that the Deferred Options shall vest in accordance with the
schedule set forth in Exhibit A hereto, subject to the terms
of the Deferred Options, the Option Plan and the provisions of
Sections 4(a)(iv), 4(b)(iii) and 4(c)(v) of this Agreement.
Notwithstanding the foregoing, if the Merger Agreement is
terminated as a result of a Change in Control occurring before
the Effective Time of the Merger: (i) such waiver and the
preceding sentence shall be void unless expressly reaffirmed
as contemplated
by Section 1(a) above; and (ii) if such reaffirmation occurs,
the Deferred Options shall vest in three equal annual
installments on each of the first three anniversaries of the
Agreement Effective Date, with each such annual installment
including a pro-rata portion of each separate grant of
Deferred Options. The "Deferred Options" means those stock
options that have been granted to the Executive under the
Option Plan that are outstanding on the date of this Agreement
that would not be vested on the date of this Agreement, absent
the fact that approval of the Merger Agreement by the Board
caused them to vest pursuant to Section 11 of the Option Plan.
In addition, the Executive consents to the treatment of his
options to purchase Company common stock provided for in
Section 2.11(e) of the Merger Agreement. Except as provided
otherwise in this Agreement or the Merger Agreement, the
Deferred Options shall continue to be subject to the Option
Plan and the terms of the underlying award agreement,
including without limitation the provision that vested
Deferred Options will remain exercisable for at least three
months following any termination of the Executive's employment
for any reason, whether during or after the end of the
Employment Period (but not after the expiration of the
original option term).
2. New Dreyer's. New Dreyer's acknowledges that, as required by
Exection 9(c) of the Agreement: (a) as of the Effective Time of the Merger on
June 26, 2003, New Dreyer's has become an additional party to the Agreement and
a co-obligor with respect to the obligations of the Company under the Agreement;
and (b) from and after the Effective Time of the Merger, the references in
Section 3(b) and 3(c) of the Agreement to the "Board" shall be deemed to refer
to the Board of Directors of New Dreyer's, and all references in the Agreement
to the Company shall be deemed to refer to both the Company and New Dreyer's.
3. Agreement Ratified. The Agreement is ratified and confirmed
without amendment, except as specifically provided above.
4. Counterparts. This First Amendment may be executed
simultaneously in two counterparts, each of which shall be deemed an original
but which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the Executive has hereunto set the Executive's hand
and, pursuant to the authorization from their respective boards of directors,
the Company and New Dreyer's each has caused these presents to be executed in
its name on its behalf, all as of the day and year first above written.
/s/ Xxxxxx X. Xxxxxxxxx
-----------------------------------------------
XXXXXX X. XXXXXXXXX
XXXXXX'X GRAND ICE CREAM, INC.
By: /s/ T. Xxxx Xxxxxx
--------------------------------------------
Name: T. Xxxx Xxxxxx
Title: Chairman of the Board and
Chief Executive Officer
XXXXXX'X GRAND ICE CREAM HOLDINGS, INC.
By: /s/ T. Xxxx Xxxxxx
--------------------------------------------
Name: T. Xxxx Xxxxxx
Title: Chairman of the Board and
Chief Executive Officer
Exhibit A
VESTING SCHEDULE FOR DEFERRED OPTIONS
Page: 1
OPTIONS AND AWARDS SUMMARY XXXXXX'X GRAND ICE CREAM, INC.
File: Optsum
[ ] ID:00-0000000
Date: 8/4/2003
[ ] 0000 Xxxxxxx Xxxxxx
Time: 3:53:20PM
[ ] As of: 6/27/2003
Xxxxxxx, Xxxxxxxxxx 00000
Current Market Value: $79.000000
XXXXXX X. XXXXXXXXX ID: ###-##-####
0000 XXXX XXXX
XXXXXXXXX, XX 00000
OPTION NO.: 000561 OPTION DATE: 3/4/1997 SHARES: 40,000 PRICE: $15.191400 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
16,000 3/4/1999 16,000 $243,062.40 3/4/2007
8,000 3/4/2000 8,000 $121,531.20 3/4/2007
8,000 3/4/2001 8,000 $121,531.20 3/4/2007
8,000 3/4/2002 8,000 $121,531.20 3/4/2007
40,000 40,000 $607,656.00
OPTION NO.: 000859 OPTION DATE: 3/3/1998 SHARES: 18,200 PRICE: $22.875000 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
7,280 3/3/2000 7,280 $166,530.00 3/3/2008
3,640 3/3/2001 3,640 $ 83,265.00 3/3/2008
3,640 3/3/2002 3,640 $ 83,265.00 3/3/2008
1,213 6/26/2004 0 $ 0.00 3/3/2008
1,213 6/26/2005 0 $ 0.00 3/3/2008
1,214 4/3/2006 0 $ 0.00 3/3/2008
18,200 14,560 $333,060.00
OPTION NO.: 000868 OPTION DATE: 3/3/1998 SHARES: 10,800 PRICE: $22.875000 PLAN: IS93 TYPE: ISO
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
4,320 3/3/2000 4,320 $ 98,820.00 3/3/2008
2,160 3/3/2001 2,160 $ 49,410.00 3/3/2008
2,160 3/3/2002 2,160 $ 49,410.00 3/3/2008
720 12/1/2003 0 $ 0.00 3/3/2008
720 12/1/2004 0 $ 0.00 3/3/2008
720 4/3/2006 0 $ 0.00 3/3/2008
10,800 8,640 $197,640.00
OPTION NO.: 000882 OPTION DATE: 2/23/1999 SHARES: 12,350 PRICE: $12.375000 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
4,940 2/23/2001 4,940 $61,132.50 2/23/2009
2,470 2/23/2002 2,470 $30,566.25 2/23/2009
1,647 6/26/2004 0 $ 0.00 2/23/2009
1,647 6/26/2005 0 $ 0.00 2/23/2009
1,646 4/3/2006 0 $ 0.00 2/23/2009
12,350 7,410 $91,698.75
OPTION NO.: 001061 OPTION DATE: 2/23/1999 SHARES: 43,450 PRICE: $12.375000 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
17,380 2/23/2001 17,380 $215,077.50 2/23/2009
8,690 2/23/2002 8,690 $107,538.75 2/23/2009
5,793 6/26/2004 0 $ 0.00 2/23/2009
5,793 6/26/2005 0 $ 0.00 2/23/2009
5,794 4/3/2006 0 $ 0.00 2/23/2009
43,450 26,070 $322,616.25
OPTION NO.: 001132 OPTION DATE: 2/23/2000 SHARES: 41,950 PRICE: $17.343750 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
16,780 2/23/2002 16,780 $291,028.13 2/23/2010
8,390 6/26/2004 0 $ 0.00 2/23/2010
8,390 6/26/2005 0 $ 0.00 2/23/2010
8,390 4/3/2006 0 $ 0.00 2/23/2010
41,950 16,780 $291,028.13
OPTION NO.: 001557 OPTION DATE: 2/14/2001 SHARES: 28,190 PRICE: $31.125000 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
0 6/14/2002 0 $ 0.00 2/14/2011
9,397 6/26/2004 0 $ 0.00 2/14/2011
9,397 6/26/2005 0 $ 0.00 2/14/2011
9,396 4/3/2006 0 $ 0.00 2/14/2011
28,190 0 $ 0.00
OPTION NO.: 001577 OPTION DATE: 2/7/2002 SHARES: 23,920 PRICE: $39.395000 PLAN: NQ93 TYPE: NQ
V E S T I N G S C H E D U L E T R A N S A C T I O N S C A N C E L L A T I O N S
Granted Full Vest Exercisable Total Price Expires Date Type Shares Value Date Reason Shares
0 6/14/2002 0 $ 0.00 2/7/2012
7,973 6/26/2004 0 $ 0.00 2/7/2012
7,973 6/26/2005 0 $ 0.00 2/7/2012
7,974 4/3/2006 0 $ 0.00 2/7/2012
23,920 0 $ 0.00
Total Options Exercisable: 113,460
Total Price: $1,843,699.13
Total Potential Gain: $7,119,640.88
