Perlmutter v. Reed Elsevier, Inc.

Filing 1

Case 1:07-cv-01762-GET

Document 1-3

Filed 07/26/2007

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Case 1:07-cv-01762-GET

Document 1-3

Filed 07/26/2007

Page 2 of 4

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August 1 .3 ,, 2004, ( n, iris( d Sep lernbe r 1, 210134) Andrew Pednititter E19,95 Old ;outlnvick Pass
~Uph a Celts , GA 2i0'022

L1~~G~r p,r~d'y :
la has been a p l easure working with you over tha last s+ evF:rel rha i llhs ., Your ; n,5i1ra n 1G3 k id l vstry e x~~~ ;r11s+a and ovQ ~~ iIE bci stric .ss ac w~nen have c~antri~~utE ;d ~sEg~nifi ~G~ro~Ly t{D the ~a~~r r2 k noe ~ nent Of 1h0 ! ,N Risk Mai iag E; nn er:t y bus ilnes s.
Co 6rE,rt our recw t c; ainv ,e i-s atf ,oii ;-,, c o riee : niing your iiE,E~P G-e to work with Lex[sNl exis ; to I ,w lp build bu r Risk Management business, I am pleased to make Me 1fo 11o+N rn g offer . P'asltion: ' VP, 1M f arlc e: t PIanrii n4j R:apo res' ru y Jarnes Fleck St~~rting :5iam3-!V !I n~ n ~t ,h lly ;ialaryr : $~ 8, .l :~ 3~ ~ ;v~rh~ ic:h t i: qu~~ t~ . :~ 1to~ ~~i'C~O,(fChfl ~ ~j rtr~u!al~; yJ~ SIgn o n Bonus : You Will I'BCBlVB a $ '1fICl, 0 q() .iDp s lf gn-on bonus fps smn as i3f1f111(1 ksh ItIvBly (eas-11 ]!B ,, alter you h w .n a si;arled y o wr ieinp [o~yrrie , nk (f you voluntarily resign prier U ) January 3, 201)t3 you egrere, 1h a t Im we otiIl 0,3lod to repay to Le ; KlslqlaxIs dlw. of Reed Usey ie r the nllre bonus,, If you v ofun U rt ;y b le tnre , en Jam a iy , 2'.006 end June 3Q,, :t{}(IZ' . you agme that you are obligated to repay W .l1(iCl . .

Start ' atia: January
A nnual nn contlviQ Plan : Pl an oppiari u n lft71 , a1t target Ls 42% Of your 1111MU3 l ' b,a ;ao salary 4wirnlngs . Al,ii ft al p lan n dalali;3 wE Uf be Iroinnra-ded b you from IRead E 1seviE ;r, P 'erf'orrnanai i meas rarem E :r ift e m 113 , iZwr ea ua,li3 I.tS pirafit, .: and 1 ,Qi J)EwS oIk1I Oh jectEvi ; : ; agr e ed to be'[vre emi yo u find myself In ; revenue and profit prilcins vvtlf be guaranteed at 1010% pa r(cEn r ance during 2005 .

TTotal Cash Corrip i ens a llon iypX>o rtui Nty;
141 F' Q42t16 'rar: .

13 ~ 3 :te~ ~5aiagr. :6:'.C iO ~ .IKIC I

.6 84 F,i}(x l .1r284,000

Case 1:07-cv-01762-GET

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Filed 07/26/2007

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Stock 1pptio n s : You vui 'd I be e l i g[bi f E S to pa ificip l ate In the Rood I E Il sevler Group Ve Share Option, ;5che:rn+a (?OC I3) the (the "E;S+DS") In accordance to uio' tei nns and p"rovil s[a in s Of : l ES0S . PuMuant to the !_S0 S, you will be i efi5iit>1e t o ire ; ceiv,a, subject to the,, discrE :ta ' onaiy approval of the Board of Directors of Reed E :lsenricrr l3 irou p pic car i'he Re rriu n eratioin Committee tl hi 3reof, art annual I arant of p i ption; ; over s hares o f Reed E :I:iHV i4 ;r PILCO and Reed Elssvler NV w hlc h r>hFU { e .> have an agS Rr+ e jpato value as of the 63 te of grant of uF~ ite, 01 10 times yo ur an nrjijilz ed base s a lary a s c of th e ol of the grard ,, Except as ot'hei vii provided I n the E :ISK) S, these opticins vest and I h esc; cmn a ex e »cisa b[ e three-~yea cs afte r the d at e of gra i nf . Va ca iion : 3 vill
S we-ranco : l3l1 otit4i your ,rplcry me nt with the company be lf enniriatecl, at any tim e , four any reason o ther 4ha n + Cau; s % you win receive a seve ra n ce pa ; yrrien ll equal to t +rE ,hrE: rn ont h s' of jro u r then current base sa llar}I upon !r) u T signing Fi waiver and n .lea:s e ag,re ,enne rit in a fo rm ecc e ptal ble to L.exlsNl ex§s . This severance payment W1 i ho e in I liOU Of seweranc o un d e r any Other saveran+ce pt2 n , pr(npr n o r benefit In lB1ffe~ c:i at the time o' f Your termInallon . . "(' pause " shall be IE mil ted to ., f,1 ), a brea c.1i c o f your citillgalions under y= ts+~«-ai :'c;Icis ~ un:lN l ond' i~rnp + el .ef~Jori. Sol' 9c ;ilatioai Agreement ; (E) a cxwr.>ei N` mmdlucf amounti ng to gross Incompetence not related to a dl. s abilit ' r, (Iii ) a im ale ;ri a l breech of the Ft e o i d 1EIE sevier Code of Ethk t and Business Cionic luc,t c a r the Reed Ej.,;Elvlc!r ("We for ,, Securities 'fmi nssc ticm i s, as either (:ode s m a y , be amended from time to 11nn e , , a n ilo i r any s uch SU ccess ai r car similar codes 01' S tami1Wds elf ethics i3nclloir co ntfui ct Ta t are, In effect during your ompl o;r n eazt by the C:cmn>>ary, or i any of its Affiliates and ap, pl 'imbie to you ;; (iv chronic and u n ex ct m ad abs entm;ls m ; (it) persIsteritI1811.1ra Or ~ rE; fix, Fi l to perform Mo ma t e rial duties of y exxr position car t1l + ; [ avrU directions of persons to w ho m you repol (vl) l e m bo zda inonl or 'plher rnisappro ipria ll o n cif pinp eitY o f any member of Ri .~~cl El . si miliir31 ' pies: ( ;vq ;l unlawful a ppr o pria i ,iort of e i im iponite c>pp lorizi n' Ih, il , of F ry member of Reed ls e;vi e r p1c , as rletermline d by 43 c ourt of competent jurlsdEc tio% (Ai'L ) conviction of, or a guilty c ar na iia aon ton de re plea to, a fl lo l conviction of, or a guilty cEr i1t>f ia c;emtE3n cler e plea tip, a rnlsdemeano Ir re:M dtln gi fn s actual fmprLsanRten t for thirty days r m ore ; pircivlcled, hourovi er. that with respect to Items (C) ,, + ( N) . ('r), and section (lv; f(9 ;Ka) a nd (iv)~;1)Ib) of 5113 Code f Ethics yo u have been given a rlor written notice o[ iIh l e cxm d ucl, that oo ristth, di .:o " ( :o us, e" for the purposes c i f iterns (i lf) , (iv) (' ve t , and section (iv) (4 ) {, a ) and ~(hr)('l)(ti) of the Code of E:tft6c 3 Ein i d been affi a reasonable o plx x ni nity, of at least 15 d , a ; g; but n ai more Khan 30 days, ID min -ecl . s a me and have ffe id to do sn . Fwrt~cr, no severance payment li rlll tree due ;slio 0d your employment be ll ennin at ecl upon your efea th Dr x permanent dissbitity. "P 'enn an ien t [)is ,abilily" means ur Inabll l ly, with or w ltiiout ne ;3s nna b i a am imEnoidalici ns, ;6( to si iti9 fenti a11 ;V Perform the i servlic le s necessary tai ixmnpl e lle your Job duties for 43 pod{xf of more han twenty s wee ' k: ; . Andy, yill vvtl l report to, me directly as will Seth . For purposes of tie! Code of Ethics Farad emploNm ent poi` rel ative s, this ~ re rporllr ig r olat ians h Ip has been reviewed and approved by the ai ppropri a ttio ILeyc1 ,s ]10 xl s mtEr m gerrient and YAW n io1; be cAms icicsrie d a violation o ff The Code W' E :thlcs . A 4 M onal1)~ YnU h ave d 'f sdl ased to us certain p a il conflicts a l [ IriLD rest. '117 ii3 :Ret Include ownership of Ih o Eoll crv A n» ss: sc3ts;, a baseball training fair~lil ;y, ir*mrrier+ 4 aI p ircTi eriy In the Mant3 area and a large n i umti er of shares: elf t: hollu:PoIn1, a xm ztEy, held In your Oil k Mrt 0ch were w earned during yo u r leim ploym riL, These shave excee iJ 59; N a1` Iti base salar)p lout Fee Im s than Sqs of the au'tst an dUng ishares of Chv'Icep oln L The company does not find the Interest as s v9 o l allci n of the conflicts of frit wa s t policy.

You r ' ol`fMA d,so Includes p arf lc ipat on ~*i the +Campan',ft benefit pra,Ararn . which 6' l milli ;o ym Ilo design your benefit . package to felt y+DIJr nm id E s . You may ch o r.;co from a full anpl Cpl' Inarie lflt op l i o n s Including nn+scii i a l , denta lf, vi'sio i n, err~plc>yre~ e~n~d dF :~ ~ endeml : lEfr3 ~~sur~~ric~, an,d lorig~-1,e R n r~:~~~ gih~ arr~ira~3i3. ' Y+oia w~l a~is , o be ~alg l biE~ Ib~~~~f~d l t~ri Ids terms, of each ptari to, participate in additional benefits that we e v afiabie through our Salary Ib vaslniE : nt F li
(4 0 1 (1 k )) and nallrerriem i i plan . . Your offer E ,s contingent upon Vie follol Signing and re bim tn g The Emck * vd row hire forms is scion Fps J> Osslblo. IRe1unn fig the cm p'letecl p4 >EmHOl tlM efi 1 vi'II ei nsu ret IfOU recQiive Your 1 1i rst paycheck for the firs t payr7 fl i x )rn 1plet edl a11fi r your start clate . · Completing the 1-9 (Employment EJI !p lbH it} F 'V~Emilk * tiail; l farm within o l &st 3 ~ e[ays of emploirnimmil . Please millemw the 'U sfi X01 ` ~ Puax~pt~~bte Documents" contained loin The enclosed t-fi form and bring the feint plus art a ft lhal~ dax ini erat(s ,) Chat satisfy this Ill rsc juGremr n i es specified t o the faun v ift you on yow first day of ernplcryme rit, Ya u must cxmnpleiA , sign nd date Sect lioi11 of the form Iln i the presence o f ),our Inn meldla t e K manager or a Company designee and present the requiired, original do lmnne , n l;atfo n , M 3dh Ls r e l uire l d unde r

Case 1:07-cv-01762-GET

Document 1-3

Filed 07/26/2007

Page 4 of 4

. I 'ederz d 1 m v, 1'.o establish yo ur kiem i titylaiSCi empio yr u:ri t authorization If tt Is not p o ss'Ebie: Ea meet wIlh your manager or hlsl 'her des iginee on your first day of erripiloy mend to acm rni IhIs, please contact Manpower 'I'i.mporP iry :>E ; rvlcles (wh o serve ei s . a I'~) mpaiiy,au1ho rtzr. d de,sEg i nise3 ) p 3I1e ct at fl3~7-+~<<~M3 'TIiFI. (:o r i n k: .?c>hrnson or Mi+ m G3 Meal will cli m c'k 1niei to it IM an,pi n Ner offim near you t+o complete t1u 3' fo nr,
C+ DI 71,plf ! 11 011 of a s U i C Ga:>;t fI JI background che" IL .

I] iAic,l y+xjr E tmpl or ym on t and I ;here:afl , er, y ou must keep all company bus i ness rri a lte rs. confide n 1aI ez outlined III the encl osed Nlon-( ;i ) rnp i :t leltJori-Sol leElati i)i ) and Inwenti oms ~NDrea rrttsri t , Both agre=ients musl, b o sl gne ld and rel,um E; d prior to your 4,rnp l o y,m en 'L
W es II discussed it g E .nesral outline of ),our prospective duties throughout the IntE,rv[emr prnciass . M o Nre;ver, yow· ialle; , duties, res pon<, lb9 C ttl es ar i d ireporli ng rolatEo n shiips, III evolve or d iarsge t 1I time to firine as flit) Company deems necessary and a pprop ~ riaatteet to Its business cirau rns l ;a,nces and your re l ai tion , stiE;p to t he m. Plellase confirm your acx:eptanice of this offer II signing and dating once copy of this letter and returning It DIong ,with your completed paperwork, In the e :rieJased, .ic :ti'~aeIcire :s.~erdl env-eicfpe. The + .rnpli 101' LE:AS N eX1: . are eiies-atarril .l .'This means that the-eirnpioymc :nit relationship is for no Tiae4parieid arid is terminable at,wlft at any Urrm byr e~i1he,r party .. Both you and tlho company ore free to end the e,mpl~d!,nne~~1, ['e!~tiomsftif ;p at a;ny tine, with or without reason . and with or Wthuwit noUcc:. PJsa, please understand that your eniplayinerit-at-Wil status ii not l5o modified orally and that no nnanagiernorit official Is aefihorb.,e :d to irri any SSSUIrli or promise of continued ornployment . Please keep to mind that you may II«e mmna ire contact with cxin n,d +sntial biu : sltie ,s s Information a.ndlc ir Itra. da za secrets of ! ,o ur previous. iernp laye ir. `mts lnfOrna ation may I n cluido . but Is not l ;irn'It+.cf to, marketing plans, m2tomeT ri.late: dl in- Fanm ati on , pricing info nm i atfOn , product di eve lop im i eRt ~plans, fi nand i al in,formFStii on and business a'regy.. We: request that you refrain from using stt~dt Infio rmFStl on c a r disclosing arty, such trtifonnation to us . 'A'et II th at you 9 aU 5I)/ yourself t you have rio dco cu rr ieivit; , mital ni ng, such Utitor m a l lori a1: youir home . W e ask [NO you ri ot bring only c l o cumi en Ls containing s u i ch uiforrmallcMi from your previous mpany. pJ : >C/ . vfE Malt !rCILI not b ring % ask y ou r Own p ier,>c na e records m il IM 'YOU have pe 3rrriE ;>SIM ti +o1` yc iuir p ro vio us e;rn i pl'oyier . F'urlber, Shalulel you lae ~4 iava a t any lime that you are ki danger c if disclosing girt), or all of Unit bri1'oRnal9cm tii because of ui7e a s.i igr imle,il or r e~quosit that you hav a re-c;e ;hr ei d, w a request Met y v u ncil l fy F ycru ir manager I1T1 f11E:CfW if3ly tfl' 8l : 10 C o Cl1K1h ( ' Wi t'h such 85;i j gn TIBR1t 1 x ' tBQ' Ue;: t YIC/Uild ~ G3ll5ifl , you 1 .0 CE I ;iS:tl )!iE! trade secrets (1P
m niid+a»t1Fd business 'fnformatlon of your previous employer.

By a(x ;e !p1tEnID this off a ir .ol` i , rrrpl' o ym ent ancd signing below you represent and warrant that you an) not bound by ti ag re+atnQ n E ihak may Fmevesr i tyo u from &xeipt3 ng this position with lexl'sN ' ex 'I s arid that you havei 1 0 51;,Ioseul ii fa c1s and rii~c u rris ,t 3ric:es rotating any ~rostric.tl an,s pi may N aive from w,orl c E ng fo r l mxi :fl csAsi . We look forward i1ql you Joining the L -exl sN E exls teen : We're suire t your skills and experience Will play imi' In1 l xwtan t role In our continued uc cess . ~In 1um, vrci hope It c fflii you many a p portu nlities to ach levo your p roffe ssi onaC gaal :s . If you nave any quQSilcIns . please contact me vit BQ 1,'875 -5 91 74 .

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'WP 2~ COQ, Msk Marta g; em e:nt

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A~ptarn~ Signature '~
EmF l ay eoc :`:; Birth III

Date

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%F~If:~~s ,e verily IS5;# above and n1;AM changes ff n t3 mss a rY)