EXHIBIT (10)(VV)(II)
AMENDMENT NO. 2 TO EMPLOYMENT AGREEMENT
AMENDMENT NO. 2 to that certain Employment Agreement dated as of January
1, 1996 as amended by Amendment dated August 8, 1996, (collectively, the
"Agreement") by and between Nantucket Industries, Inc., a Delaware corporation
having its principal office at 000 Xxxxxxxxxxx Xxxx, Xxxxxxxx, Xxx Xxxx 00000
(the "Company") and Xxxxxx Xxxxxxxx, residing at 00 Xxxxxx Xxxxx, Xxxxxxxxxx
Xxxx, Xxx Xxxx 00000 (the "Executive").
WHEREAS, due to the financial difficulties the Company is currently
experiencing, it is determined to be in the best interests of the Company that
certain cost-cutting measures should be instituted and in connection therewith,
the compensation of certain of its executive officers should be reduced;
WHEREAS, Executive has an economic interest in the success of the
Company and Executive desires that the Company take whatever steps are necessary
at this time;
WHEREAS, Company and the Executive are both willing to modify the
Agreement to adjust the Executive's compensation arrangements;
NOW, THEREFORE, in consideration of the premises and for other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties, intending to be legally bound, do hereby agree:
1. That Section I.D.(i) of the Agreement shall be amended by deleting
the amount of "$200,000" and substituting "$150,000" therefor.
2. That Sections I.D.(ii), I.E. and I.F. of the Agreement be amended by
deleting said Sections I.D.(ii), I.E. and I.F. in their entirety and the
substituting the following in place thereof:
"(ii) Commissions shall be paid to Executive based upon sales of the
Company's products marketed under the "Guess" trademark equal to (a) 1 1/2% of
Net Sales to the customers listed in Schedule A and (b) 1/2% of Net Sales to the
customers listed on Schedule B attached hereto. Such Schedules may be changed
from time to time either upon mutual agreement in writing of Company and
Executive, or by Company or 90 days written notice to Executive.
E. COMMISSION. The amount of the commissions to be paid to Executive
pursuant to Section I.D.(ii) shall be determined in accordance with the Section
I.E.:
(i) Net Sales with respect to a product line shall mean the aggregate
gross sales revenue of the Company with respect to such product line, less
returns, discounts and other customary allowances each as computed in accordance
with GAAP; provided that all such Net Sales shall be at prices and or terms
satisfactory to the Company's Chief Executive Officer.
(ii) Payments shall be made monthly, within twenty (20) days after the
end of each month during the term of this Agreement."
3. The foregoing changes to compensation shall become effective as of
July 1, 1997. Except as expressly amended herein, the Agreement shall remain
unmodified and in full force and effect.
IN WITNESS WHEREOF, the parties have caused this Amendment No. 2 to be
duly executed and effective on July 1, 1997.
NANTUCKET INDUSTRIES, INC.
By: /s/ Xxxxxxx X. Xxxxxxx
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Xxxxxxx X. Xxxxxxx,
Chairman of the Board and
Chief Executive Officer
EXECUTIVE
/s/ Xxxxxx Xxxxxxxx
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Xxxxxx Xxxxxxxx
