EXHIBIT 3
EMPLOYMENT CONTRACT OF XXXX X. XXXXXX
74
AMERICAN COMMUNICATIONS ENTERPRISES, INC.
Page 1 of 2
October 1, 1998
Xx. Xxxx Xxxxxx
0000 Xxxx Xxxxxx Xxxxx
Xxxxxx, Xxxxx 00000
Dear Dain:
With the formation of American Communications Enterprises, Inc. for the express
purpose of purchasing and operating radio stations in the United States of
America as well as creating Internet communication, advertising and
entertainment services, hereinafter referred to as "ACE" or "the Company", we
agree to the following:
1) The Company will hire you (upon the execution of this agreement) as its
President and Chief Executive Officer for a period of no less than three years
with renewable three year term options. Initially you will also serve as
Chairman of ACE's Board of Directors and will be responsible for overseeing the
following areas:
A) Day-to-day, hands-on business operation of all radio stations acquired
and corporate headquarters
B) Such in-station consultation functions as may be required
C) Staffing, training and managing of all needed employees
D) Investigation, negotiation and acquisition of additional radio stations
and Internet services
E) Overseeing the creation of customized satellite and Internet programming
for ACE's own radio networks and
F) Performing such other functions as the corporation may from time to time
assign you.
It is specifically agreed that, in the performance of your duties hereunder, you
will use your best efforts in accomplishing the obligations of your position.
2) Your compensation will provide you with the following:
A) A base salary of $125,000 per year. You will be provided an incentive
plan with specific performance goals that, should you attain those goals, will
pay you an annual bonus equal to or greater than your base salary.
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B) Concurrent with this agreement, the Company will adopt a stock program
mutually agreeable to both parties hereto and providing you with the potential
for majority ownership of said corporate entity. You will, however, receive no
less than 40% equity in the form of preferred, voting stock in the Company.
C) The Company will pay for such key man life insurance as may be required
by its corporate lenders.
D) The Company will provide you and your family with group medical insurance
including dental.
E) The Company will provide you with a corporate vehicle or, in lieu of
that, make the monthly car payments of any vehicle you currently own that will
be designated as the corporate vehicle.
F) The Company will reimburse you for such expenses as may be reasonably
necessary and customary for the direct performance of your obligations
hereunder, including travel, long distance phone calls, staff help, office rent
and expenses, etc. This will also include the costs of relocation of your office
and even yourself and your family if ever necessary.
3) If any ACE equity investor decides to sell his or her equity position in the
stations and/or the assets of ACE during the life of this agreement, XXX agrees
to give you a 120 day right of first refusal to purchase same upon the same
price, terms and conditions as are otherwise available to the equity investor.
If this is satisfactory and adequately reflects our agreements to date. please
so indicate with your signature below.
___________________________________ Date:_____________
Xxxx Xxxxxx, Chairman, American Communications Enterprises, Inc. (ACE)
AGREED & ACCEPTED
This __________day of ____________________, 1998
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Xxxx X. Xxxxxx
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