Service contracts
All executive Directors have contracts which are terminable by the Company giving one year's notice, or by the executive Director giving six months' notice, and expire in the year in which the executive Director reaches their current contractual retirement age of 60. The contracts include provisions on noncompetition and non-solicitation. These provisions state that if the executive Director leaves voluntarily he will not, for a period of one year after leaving, be engaged in or concerned directly or indirectly with a predetermined list of companies which are in competition with us. Also, the executive Director agrees for a period of two years after termination of employment not to solicit or attempt to entice away any employee or Director of the Company. If any executive Director's employment is terminated without cause, or if the executive Director resigns for good reason, payment of 12 months' worth of base salary and target AIP will be made, together with benefits for up to 12 months, or for a shorter period if the executive Director secures new employment with equivalent benefits. If it is not possible or practical to continue benefits for one year they will be paid in cash. There would be no special payments made after a change in control. View the BSRP/LTIP provisions which apply on a change of control or termination of employment.
Under their secondment arrangements, Bob Stack and Todd Stitzer are entitled to six months' employment with their employing company in the USA if there are no suitable opportunities for them when their secondments end. All the executive Directors' contracts are 12 month rolling contracts, and accordingly, no contract has a fixed or unexpired term. All the executive Directors' contracts are dated 1 July 2004 except for Ken Hanna's, which is dated 1 March 2004.