EXHIBIT 10.55
July 23, 1993
Xx. Xxxxxx X. Xxxxxxxxx
0000 Xxxxx Xxxxx Xxxxx
Xxxxxxxxxxxx, XX 00000
Dear Xxx:
This letter will set forth our agreement regarding your employment and
responsibilities as General Manager and Vice President of Xxxxxxx Technology
effective upon completion of the acquisition.
1. Position: The position is that of General Manager and Vice President
of UNC Xxxxxxx Technology, an operation of UNC's Manufacturing Division,
initially reporting to Xxxx X. Xxxxxxx, Executive Vice President and Chief
Operating Officer.
You will be responsible for the successful integration of UNC Xxxxxxx
Technology into UNC's Manufacturing Division, managing the Company for
profitability and growth as defined by all operational and financial
objectives set forth by management when UNC Xxxxxxx Technology was acquired.
2. Compensation:
(a) Base Salary: Your base annual salary will be $150,000 and
reviewed annually.
(b) Incentive Compensation Plan: You will be designated a
participant in UNC's Incentive Compensation Plan (the "Plan"), under which you
may receive incentive compensation from the field pool, of up to 30% of your
base annual salary depending on Xxxxxxx Technology's performance in achieving
its annual business plan goals. You will also be eligible to receive an
additional incentive award from the CEO's Discretionary Fund that recognizes
exceptional performance on your part in comparison with the performance of
other key executives of UNC operating divisions.
You will be guaranteed $30,000 incentive compensation for 1993 from UNC.
3. Stock Options: Based upon availability of shares, recommendation will
be made to the Management Development and Compensation Committee that you be
granted an option to purchase 10,000 shares of UNC Common Stock, at the fair
market value of such shares at the date of grant, under UNC's 1990 Stock
Option Plan for Key Employees. The Plan requires the purchase of qualifying
shares by option holders of one share for each four option shares.
4. Other Benefits:
(a) Perquisites: You will receive a $5,000 per year allowance,
paid in January and July, in lieu of car expenses and other perquisites.
(b) Retirement Income Savings Plan: You will continue to
participate in the Xxxxxxx Technology 401 (k) plan.
(c) Group Insurance: You will continue to participate in the
Xxxxxxx Technology health, life and disability plans, and other benefit
plans.
(d) Vacation: Your annual vacation entitlement will be in
accordance with UNC Xxxxxxx Technology's vacation policy.
(e) Reinstitute country club membership currently listed as
"Leave of Absence" until 2/1/94.
5. Terms of Agreement: Subject to the terms and conditions of this
agreement, this agreement shall be for a term of two years. Should the
company decide to terminate your employment during the term of this agreement
(for reasons other than for cause), you would be compensated for the
remainder of the term, twelve months or until you commence employment with
a new employer, whichever is less. The compensation would be at your
annualized compensation level plus employee benefits and out placement
service.
You, in turn, agree to give UNC ample notice should you decide to voluntarily
leave Xxxxxxx Technology. Should you leave during the first year, you agree
to give 6 months notification. For the remainder of the contract, 90-day
notification is required.
If the foregoing is acceptable to you, please sign and return the enclosed
copy of this letter to me.
Sincerely,
UNC INCORPORATED
/s/ Xxxx X. Xxxxxxx
Executive Vice President
Chief Operating Officer
Accepted:
/s/ Xxxxxx X. Xxxxxxxxx
7/27/93
JJB/aa