Exhibit 10.29
EMPLOYMENT
AGREEMENT
Employment Agreement, dated as of
June 30, 2008, by and between Supertel Hospitality, Inc., a
Virginia corporation with its principal place of business located
at 309 North 5th Street, Norfolk, Nebraska 68701 (the
“Employer”) and David L. Walter, an individual (the
“Employee”).
WHEREAS, the Employer and the
Employee desire to enter into an Employment Agreement on the terms
set forth below;
NOW, THEREFORE, for and in
consideration of the premises, covenants, conditions and
obligations thereafter set forth, the parties hereto agree as
follows:
Section 1.
Employment . The Employer hereby employs the Employee, and
the Employee hereby accepts employment, upon the terms and subject
to the conditions hereinafter set forth.
Section 2. Duties
. The Employee will be employed as the Senior Vice President and
Treasurer of the Employer, or such other positions to which he may
be appointed by the Board of Directors. The Employee will perform
the duties attendant to his executive position with the Employer.
The Employee agrees to devote his full time and best efforts to the
performance of his duties to the Employer. The Employee shall be
permitted to participate in charitable activities and accept
positions on the boards of non-profit entities.
Section 3. Term .
The initial term of employment of the Employee hereunder will
commence on the date of this Agreement (the “Commencement
Date”) and continue until December 31, 2008, unless
earlier terminated pursuant to Section 6, and will be
automatically renewed for successive additional one year terms
thereafter (commencing January 1, 2009), unless terminated by
either party by written notice to the other, given no fewer than 30
days prior to the expiration of the then current term.
Section 4.
Compensation and Benefits . In consideration for the
services of the Employee hereunder, the Employer will compensate
the Employee as follows:
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(a)
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Base
Salary . Until the
termination of the Employee’s employment hereunder, the
Employer will pay the Employee, bi-weekly in arrears, a base salary
(the “Base Salary”) established by the Compensation
Committee of Employer’s Board of Directors which Base Salary
will be reviewed by the Employer annually. The Employee’s
Base Salary as of the date of this Agreement shall be $135,000 per
annum.
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(b)
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Bonus . The Employer will consider the Employee for
cash bonuses on an annual basis. Any such bonus will be based on
the recommendation of Employer’s Compensation Committee of
the board of directors.
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(c)
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Stock
Options . Pursuant to the
Employer’s Stock Option Plan (the “Plan”), the
Employer will consider the Employee for option grants on an annual
basis. Any such grants will be made in the sole discretion of
Employer’s Compensation Committee of the Board of
Directors.
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(d)
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Vacation . The Employee will be entitled to 4 weeks of
paid vacation per year at the reasonable and mutual convenience of
the Employer and the Employee. Unless otherwise approved by the
Board of Directors of the Employer, accrued vacation not taken in
any calendar year will not be carried forward or used in any
subsequent year.
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Section 5.
Expenses . The Employee, in connection with the services to
be performed by him pursuant to the terms of this Agreement, may be
required to make payments for travel and similar expenses. The
Employer will reimburse the Employee for all reasonable expenses of
types authorized by the Employer and incurred by the Employee in
the performance of his duties hereunder. The Employee will comply
with such budget limitations and approval and reporting
requirements with respect to expenses as the Employer may establish
from time to time.
Section 6.
Termination . The Employee’s employment hereunder will
commence on the Commencement Date and continue until the end of the
term specified in Section 3 hereof and any renewals of such
term, except that the employment of the Employee hereunder will
sooner terminate in the following manner:
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(a)
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Death or
Disability . Upon the
death of the Employee during the term of his employment hereunder
or, at the option of the Employer, in the event of the
Employee’s disability, upon 30 days’ notice to the
Employee. The Employee will be deemed disabled if he is unable to
perform his duties hereunder for a period of sixty consecutive days
on account of injury or sickness. Any refusal by the Employee to
submit to a medical examination for the purpose of certifying
disability under this Section 6(a) will be deemed conclusively
to constitute evidence of the Employee’s
disability.
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(b)
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For
Cause . For
“Cause” immediately upon written notice by the Employer
to the Employee. For purposes of this Agreement, a termination will
be for Cause if:
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(i)
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the Employee
commits an unlawful or criminal act (A) involving moral
turpitude or (B) resulting in a financial loss to Employer;
or
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(ii)
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the Employee
(A) fails to obey written directions delivered to Employee by
the Employer’s Board of Directors, Chief Executive Officer or
Chief Financial Officer, or (B) commits a material breach of
any of the covenants, terms and provisions hereof, and in either
case such failure or breach continues for more than three
day
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