Modification to Employment Agreement for X.X. Xxxxx
X.X. Xxxxx'x employment agreement is hereby revised as follows:
Section 1.1 Employment is revised to state that X. X. Xxxxx is appointed
President & Chief Executive Officer; Sections 2.1 and 2.3 regarding Basic Salary
and Commissions, respectively, are revised as follows:
Section 2.1, basic salary is revised to $ 105,000 per year for the balance of
the term of the agreement. Effective January 1, 1997, only 50% of this amount,
$52,500 per year, shall be the basic pay. This reduced basic pay shall remain in
effect until such time as MTX has reported profitable quarterly operating
results, or a change in control of MTX occurs, in conformance with GAAP and SEC
rule and regulations. At either such time, the basic salary will be restored to
$105,000 per year, or as otherwise negotiated between X.X. Xxxxx and MTX.
Section 2.3 Commissions, is replaced with Section 2.3 Bonus, X.X. Xxxxx is
eligible to earn 8% of the annual pre-tax operating income of MTX as a
performance incentive. Payments will be made at the rate of 80% of the bonus
paid quarterly and the balance in full after completion of the certified audit
at September 30.
As further incentive for X.X. Xxxxx to seek and actively support a significant
restructuring and re-capitalization of MTX through acquisition, merger, and/or
any other legal and viable means of raising increased working capital, MTX
agrees to pay X.X. Xxxxx a bonus equal to 5% of the first $1.0 million dollars
of consideration, 4% of the next $1.0 million, 3% of the next $1.0 million, 2%
of the next $1.0 million and 1% of any amount in excess of $4.0 million unless
such bonus would violate securities law. This incentive obligation shall extend
for 24 months beyond the term of X.X. Xxxxx'x employment agreement for any and
all transactions that X.X. Xxxxx may have actively initiated or participated in.
All other terms and conditions of the original Employment Agreement shall remain
unchanged.
The effective date of this modification shall be January 1, 1997.
The parties have executed this Agreement on January 2, 1997.
MTX International, Inc.
Employee:
/s/ X. X. Xxxxx
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X. X. Xxxxx
Approved:
(Xx. Xxxxxxxxx was unavailable)
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Xxxxx X. Xxxxxxxxx, Director
/s/ Xxxx X. Xxxxxxxxx
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Xxxx X. Xxxxxxxxx, Director
/s/ Xxxxxx X. Xxxxxxxx
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Xxxxxx X. Xxxxxxxx, Director
