Exhibit 10.21
March 30, 2001
Xxxxx Xxxxx
c/x Xxxxxx, Inc.
Italy
PERSONAL AND CONFIDENTIAL
Dear Xxxxx:
The purpose of this letter is to summarize the terms of your compensation as of
April 15, 2001 contingent upon your assuming the position of President Europe -
Xxxxxx Holdings, Inc. Please note that these arrangements are supplemental to
the terms and conditions of the letter agreement you received from Xxxxxx X.
Xxxxxxxx, dated February 21, 2001. All terms and conditions presented in the
February 21, 2001 letter agreement remain unchanged.
CASH COMPENSATION
Your annual base salary will be Lit 600,000,000 and you will have a target bonus
of 50% of base salary (Lit 300,000,000). These compensation arrangements will be
effective April 15, 2001.
STOCK OPTION AWARD
Effective within 30 days following the date of the spin-off of Xxxxxx, you will
receive an option to purchase shares of Xxxxxx stock with an economic value at
the time of grant of $500,000 (Lit 1,092,270,000 at a current conversion rate)
using a generally accepted valuation methodology. This option will be issued
under a new option and equity compensation plan (the "Xxxxxx Stock Incentive
Plan") that will be adopted by Xxxxxx'x Board of Directors. Your option will
vest in equal installments over a period of four years provided you remain
employed with Xxxxxx during that time, or as provided otherwise under the Xxxxxx
Stock Incentive Plan. The exercise price will equal the fair market value of
Xxxxxx stock at the time the option is granted.
Please contact me if you have any questions concerning the contents of this
letter. My telephone number is (000) 000-0000.
Very truly yours,
/s/ Xxxxxxx X. Xxxxxx
Xxxxxxx X. Xxxxxx
Vice President
Global Compensation
Xxxxxxx-Xxxxx Squibb Company
Xxxxx Xxxxx
March 30, 2001
2 of 2
cc: Xxxxxxx X. Xxxxx
Senior Vice President
Human Resources
AGREED TO AND ACCEPTED:
/s/ Xxxxx Xxxxx
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DATE: April 29, 2001
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