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Exhibit 10.8
June 22, 1998
Xxxxxx X. Xxxxxx
Vice President of Finance
AMTROL Inc.
0000 Xxxxxxxx Xxxx
Xxxx Xxxxxxx, XX 00000
Dear Xxxxxx:
This letter is intended to serve as an agreement between you and AMTROL Inc.
(the "Company") as to your severance benefits in the event of the termination of
your employment with the Company under the circumstances set forth herein.
In the event that the Company terminates your employment without Cause (as
defined herein) or causes a material reduction of your duties, responsibilities
or titles, the Company shall:
(1) pay you for fifteen (15) consecutive months after termination a
monthly amount equal to one twelfth of your current salary at
termination (the "Termination Benefit");
(2) pay, on the date otherwise due and payable, the pro-rata portion of
any bonus or incentive compensation otherwise payable to you without
regard to your termination with respect to the fiscal period in
which such termination occurs; and
(3) provide you, until the Termination Benefit is paid in full, with the
participation in such group life, disability, accident, hospital and
medical insurance plans ("Welfare Plans") in accordance with the
terms thereof, as from time to time may be in effect; provided, that
benefits and terms of participation under the Welfare Plans may be
changed by the Company from time to time in its sole discretion. To
the extent stock options are to be granted in accordance with a
Company stock option plan for the Company fiscal year ending within
the year your employment with the Company terminates, you shall be
entitled to such options in accordance with the plan's terms.
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Xxxxxx X. Xxxxxx
June 22, 1998
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"Cause" as used within this Agreement means:
(i) any act or acts by you constituting a felony (or its
equivalent) under the laws of the United States, any state
thereof or any foreign jurisdiction;
(ii) any material breach by you of any employment agreement with
the Company or the policies of the Company or any of its
subsidiaries or the willful and persistent (after written
notice to you) failure or refusal to perform your duties of
employment or comply with any lawful directives of the Board
of Directors of the Company;
(iii) a course of conduct amounting to gross neglect, willful
misconduct or dishonesty.
The existence and terms of this Agreement shall be held confidential.
Please signify your acceptance of the terms hereof by executing this Letter
Agreement in the space provided below and returning it to the Company.
Very truly yours,
AMTROL Inc.
By:
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Xxxxxx X. Xxxxxxxxxx,
Director
AGREED TO AND ACCEPTED:
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Xxxxxx X. Xxxxxx
Dated:
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