Amendment effective July 15, 2000, to Employment Agreement dated as of the
3rd day of January, 2000, by and between GLOBAL SOURCES LTD., a Delaware
corporation (the "Corporation"), having its principal place of business at 000
Xxxxxxx Xxxxxx, Xxxxx 000, Xxx Xxxx, Xxx Xxxx 00000, and XXXXX XXXXX
("Executive"), residing at 00 Xxxxxxxxx Xxxx, Xxxxxxxx, Xxx Xxxxxx 00000.
WHEREAS, for financial reasons relating to the Corporation, Executive and
Corporation desire to modify the Employment Agreement to allow Executive to
consult under certain conditions;
WHEREAS, the Corporation desires to continue a working relationship with
the Executive and to revert back to the original Employment Agreement once its
(the Corporation's) financial difficulties are resolved and the conditions
hereinafter specified are satisfied.
IT IS, THEREFORE, AGREED:
1. Executive will temporarily suspend his duties as Chief Operating Officer
of the Corporation and assume the role of consultant. As a consultant, Executive
will be available for consultation by telephone at reasonable times during each
working day and will make a reasonable number of telephone calls to acquisition
prospects upon request but, unless he otherwise agrees, will not be required to
attend meetings or participate in other activities. Executive will resume his
duties as Chief Operating Officer of the Corporation when the Corporation's
stock has regularly traded on the Over-the-Counter Electronic Bulletin Board for
at least fifteen (15) consecutive business days and also when, in the reasonable
judgment of both Executive and the Chief Executive Officer of the Corporation,
the Corporation is able to resume regular and current payment of its Salary and
other monetary obligations to Executive under the original Employment Agreement.
2. Executive is free to launch his company, Xxxxx Xxxxx Associates, LLC,
immediately for the purpose of engaging in the executive search and placement
business and to retain all revenues generated by that entity while a consultant.
He will be entitles to utilize the corporate offices of the Corporation
(including equipment and telephone and other utilities) at 0000 Xxxxxxxxxx
Xxxxxxxxx in Parsippany, New Jersey, free of charge. He will also be entitled to
utilize the services of Xx. Xxxxx Xxxxxx and Xx. Xxxxxxxx Xxxxx at no cost. Xx.
Xxxxxx and Xx. Xxxxx will remain employees of the Corporation.
3. While a consultant, Executive and his wife will continue to participate
in all medical, dental, health, life, disability and welfare plans on the terms
specified in the original Employment Agreement. The Corporation will pay all
premiums therefor on a timely basis, but to the extent attributable to
Executive's wife shall be charged against unpaid salary or expenses due from the
Corporation to Executive.
4. Executive's guaranteed bonus $150,000 as specified in the original
Employment Agreement be pro-rated so as not to include time spent as a
consultant. Xx. Xxxxx will also be paid all unpaid salary and expenses due him
through the effective date of this Amendment. Such pro-rated bonus shall be paid
to Executive by Corporation at the time specified in the original Employment
Agreement and such unpaid salary and expenses shall be paid to Executive by
Corporation on or before the time he resumes his employment as Chief Operating
Officer of the Corporation on December 31, 2000, whichever is earlier.
5. Upon resumption of his employment as Chief Operating Officer of the
Corporation under the original Employment Agreement, Executive will cease the
operations of Xxxxx Xxxxx Associates, LLC, but will be entitled to retain all
revenues, no matter when collected, for services performed prior to the date of
such resumption of employment.
6. Except as herein modified, the original Employment Agreement dated
January 3, 2000 between the Executive and the Corporation shall remain in full
force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the
___ day of July 2000.
GLOBAL SOURCES LTD.
By: /s/ Xxxxx X. Xxxxxx
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Xxxxx X. Xxxxxx
Chairman
/s/ Xxxxx Xxxxx
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Xxxxx Xxxxx
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