BEIJING CHENGZHI QIANMAO CONCRETE
CO., LTD
CHAIRMAN AND CHIEF EXECUTIVE
OFFICER EMPLOYMENT AGREEMENT
THIS AGREEMENT is made as of December 19, 2008,
between Beijing Chengzhi Qianmao Concrete Co., Ltd. (the
"Company" , Address: No.3 Fishery yard, South Suburbs Farm,
Jiugong Town, Da Xing District ,
Beijing ), a domestic company
organized under the law of the People's Republic of China (the
"PRC" ), and Yang Rong ( "Executive" , ID No.:
110107196104151253).
In consideration of the mutual covenants
contained herein and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the
parties hereto agree as follows:
The Company shall employ Executive, and
Executive hereby accepts employment with the Company, upon the
terms and conditions set forth in this Agreement for a period
beginning on the date hereof and ending on the fifth anniversary
date (the “Employment Period” ); and this
Agreement shall automatically be renewed on the same terms and
conditions set forth herein as modified from time to time by the
parties hereto for additional one-year periods as soon as the
expiration of the Employment Period, unless the Company or
Executive gives the other party written notice of the election not
to renew the Employment Period at least 30 days prior to any such
renewal date.
(a) During the Employment
Period, Executive shall be appointed or seconded to the Company to
serve as the Chairman and Chief Executive Officer and shall have
the normal duties, responsibilities, functions and authority of the
Chairman and Chief Executive Officer, subject to the power and
authority of the Board of Directors to expand or limit such duties,
responsibilities, functions and authority within the scope of
duties, responsibilities, functions and authority associated with
the position of the Chairman and Chief Executive
Officer. During the Employment Period, Executive shall
render such administrative, financial and other executive and
managerial services to the Company and its affiliates which are
consistent with Executive's position as the Board of Directors may
from time to time direct.
(b) During the Employment
Period, Executive shall perform his duties, responsibilities and
functions to the Company hereunder to the best of his abilities in
a diligent, trustworthy, professional and efficient manner and
shall comply with the Company’s policies and procedures in
all material respects. In performing his duties and
exercising his authority under the Agreement, Executive shall
support and implement the business and strategic plans approved
from time to time by the Board of Directors and shall support and
cooperate with the Company’s efforts to expand their
businesses and operate profitably and in conformity with the
business and strategic plans approved by the Board of
Directors.
(c) Executive’s
position shall be based at the current principal executive
offices in Beijing, PRC, or any other location of
the Company in the PRC as mutually agreed by the Board of Directors
and Executive.
3.
Compensation and Benefits
(a) During the Employment
Period, Executive's base salary shall be RMB 840,000 per annum or
such other rate as the Board of Directors may determine from time
to time (as adjusted from time to time, the " Base Salary
" ), which salary shall be payable by the Company in regular
installments in accordance with the Company's general payroll
practices (in effect from time to time). The Company
shall also purchase social insurances and provide welfare and
benefits to Executive according to the applicable national and
local labor laws and regulations.
(b) In addition to the
Base Salary, the Board may, in its sole discretion, award a bonus
(the “ Performance Bonus ” ) to Executive
with respect to each fiscal year during the Employment Period. The
reference amount for Performance Bonus shall be equal to 25% of the
Base Salary. The actual amount of the Performance Bonus
awarded shall be dependent upon the degree to which certain
financial targets of the Company, as established annually by the
Board of Directors, are achieved.
(c) In addition to the
Base Salary and any bonuses payable to Executive pursuant to
Section (a) and Section (b), Executive shall be entitled to the
following benefits during the Employment Period, unless otherwise
modified by the Board of Directors: (i) a fully maintained Company
car and a driver; (ii) annual leave of 20 days plus Chinese
national holidays..
(d) All amounts payable
to Executive as compensation hereunder shall be subject to all
required and customary withholding by the Company.
Executive shall work under a flexible working
hour scheme after the Company obtains the relevant approval from
the competent labor authority. Unless the applicable
laws and regulations expressly provide otherwise, Executive shall
not be entitled to any overtime pay.
5. Working Environment and Employment
Safety
(a)
The Company shall provide the Executive with a working environment
that complies with national regulations with respect to workplace
health and safety.
(b) The Company shall provide
Executive with necessary working conditions and set up other
necessary employee protection mechanism in accordance with the
national and local regulations.
The Company may terminate the employment of
Executive before the Employment Period expires immediately upon
issuing a written notice to Executive after occurrence of any of
the following events:
(i) Executive
has materially violated any of the Company's rules or
policies;
(ii) Executive
has committed an act of gross negligence or graft which causes
substantial damage or adverse effect to the Company's
interests;
(iii) Executive
has been charged or convicted with criminal liabilities in
accordance with the laws.
7.
Confidential Information
(a) Obligation to
Maintain Confidentiality. Executive acknowledges that the
continued success of the Company depends upon the use and
protection of a large body of confidential and proprietary
information. All of such confidential and proprietary
information now existing or to be developed in the future will be
referred to in this Agreement as " Confidential Information
." Confidential Information includes, without specific
limitation, the information, observations and data obtained by him
during the course of his performance under this Agreement
concerning the business and affairs of the Company and its
affiliates, information concerning acquisition opportunities in or
reasonably related to the Company's or its affiliates' business or
industry of which Executive becomes aware during the Employment
Period, the persons or entities that are current, former or
prospective suppliers or customers of any one or more of them
during Executive'