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| ESIC > SEC Filings for ESIC > Form 8-K on 17-Nov-2008 | All Recent SEC Filings |
17-Nov-2008
Entry into a Material Definitive Agreement, Financial Statem
On November 14, 2008 EasyLink Services International Corporation (the "Company") entered into an Employment Agreement with Chris A. Parker, its Executive Vice President of Production Operations. Mr. Parker's employment agreement provides for an annual salary of $200,000 and an annual performance-related bonus targeted at $40,000 for the Company's 2009 fiscal year based upon Company and individual performance milestones to be determined.
Under his employment agreement, Mr. Parker has agreed not to solicit the Company's customers or employees or compete with the Company for a period of one year following termination of his employment. Mr. Parker's employment agreement provides for the payment of severance if his employment is terminated as a result of his death or disability, if his employment is terminated by the Company without "cause" or if he resigns for good reason to an amount equal to his then-current annual base salary plus his target annual cash incentive bonus for the fiscal year in which the termination occurs. In connection with his promotion to Executive Vice President of Production Operations, Mr. Parker's employment agreement also provides for a long term incentive grant of options for the purchase of 75,000 shares of the Company's common stock.
Mr. Parker's employment agreement contains language addressing the potential for
imposition of excise taxes under Section 409A of the Internal Revenue Code.
Section 409A was adopted into law in 2004 and imposes an excise tax on "deferred
compensation" (as defined in the law) paid to an executive under certain
circumstances.
(d) Exhibits.
10.1 Employment Agreement between EasyLink Services International Corporation and Chris A. Parker dated November 14, 2008
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