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Employment Agreement

 

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Title:

Employment Agreement

Entities:

Electronic Data Systems Corp.; Pegasus Solutions, Inc.; Worldspan L P

Date:

2004

Size:

Preview shows 9KB of 52KB total

Price:

$34

ID:

#1371503

 

 

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EMPLOYMENT AGREEMENT

        This Employment Agreement is dated as of February 16, 2004 (the "Agreement"), and is between Worldspan, L.P., a limited partnership organized and existing under the laws of Delaware (the "Company"), Travel Transaction Processing Corporation, a corporation organized and existing under the laws of Delaware ("Holding"), and Michael S. Wood (the "Executive").

W I T N E S S E T H:

        WHEREAS, Holding, the Company and Executive desire for Executive to become a member of the management team of the Company, in each case, on the terms and conditions set forth herein;

        NOW, THEREFORE, in consideration of the premises and mutual covenants herein contained, it is hereby agreed by and between Holding, the Company and the Executive as follows:

        1.    Agreement to Employ; No Conflicts.    Upon the terms and subject to the conditions of this Agreement, the Company hereby agrees to employ the Executive, and the Executive hereby agrees to be an employee of the Company, in each case, as of February 16, 2004 (the "Effective Date"). The Executive represents that (i) he is entering into this Agreement voluntarily and that his employment hereunder and compliance with the terms and conditions hereof will not conflict with or result in the breach by him of any agreement to which he is a party or by which he may be bound, (ii) he has not violated, and in connection with his employment with the Company will not violate, any non-solicitation, non-competition or other similar covenant or agreement by which he is or may be bound and (iii) in connection with his employment with the Company he will not use any confidential or proprietary information he may have obtained in connection with employment with any prior employer.

        2.    Term; Positions and Responsibilities.    (a) Term. Unless the Executive's employment shall sooner terminate pursuant to Section 7, the Company shall employ the Executive hereunder for a term commencing on the Effective Date, and continuing until the second anniversary of the Effective Date. Thereafter, the term of employment under this Agreement will automatically renew for successive and consecutive one year periods following the end of its initial term and any extended term, unless the Company or the Executive gives the other party written notice at least 90 days prior to the date the term hereof would otherwise renew that it or he does not want the term to be so extended. The period during which the Executive is employed pursuant to this Agreement shall be referred to as the "Employment Period."

        3.    Compensation.    (a) Base Salary. As compensation for the services to be performed by the Executive during the Employment Period, the Company shall pay the Executive a base salary at the annualized rate of $300,000, payable in installments on the Company's regular payroll dates (but no less frequently than monthly); provided, however, that such base salary shall be subject to decrease in accordance with broad-based employee salary reduction programs instituted by the Company from time to time. Holding's Board (the "Board") shall review the Executive's base salary annually during the


Employment Period and, in its sole discretion, may increase such base salary from time to time. The annual base salary payable to the Executive under this Section 3(a), as the same may be decreased or increased from time to time, shall hereinafter be referred to as the "Base Salary."

        4.    Equity Arrangements.    On the Effective Date, the Executive is acquiring equity securities of Holding on the terms and conditions set forth in (i) the terms of the Holding stock incentive plan adopted on June 30, 2003 (as amended from time to time, the "Stock Incentive Plan"), (ii) a restricted stock subscription agreement to be entered into by the Executive and Holding, (iii) the stockholders' agreement (as amended from time to time, the "Stockholders Agreement") entered into on June 30, 2003 by Citigroup Venture Capital Equity Partners, L.P., a limited partnership organized under the laws of Delaware ("CVC"), Ontario Teachers' Pension Plan Board, a corporation without share capital organized under the laws of Ontario, Canada ("OTPP"), and certain other stockholders, and (iv) a registration rights agreement entered into on June 30, 2003 by Holding, CVC, OTPP, and certain stockholders of Holding, as it may be amended from time to time. Copies of such agreements have been provided to the Executive.

        5.    Employee Benefits.    During the Employment Period, the Executive (and, to the extent applicable, his eligible family members and dependents) shall be eligible to participate in or be covered under all medical, dental, hospitalization, group life insurance, short term disability, long term disability, and other employee welfare benefit plans that the Company provides to all of its United States senior executives (collectively, "Group Insurance Plans"). The Executive shall also be eligible to participate in any qualified and non-qualified retirement savings and deferred compensation plans that the Company provides to all of its United States senior executives (or be provided benefits equivalent to what he would receive under such plans); provided, however, that the Executive shall not be entitled to participate in the Worldspan Employees' Pension Plan.


 

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