Exhibit 10.15
July 12, 2004
Mr. Raymond P.
Torok
2098 Grandeur
Drive
Gibsonia, PA 15044
Dear Ray:
The purpose of this letter is to confirm the
terms of our offer to employ you as President and Chief Operating
Officer of the U. S. Pipe and Foundry Company, a wholly owned
subsidiary of Walter Industries, Inc. (the
“Company”). This offer will remain valid until and
through July 23, 2004 and is subject to satisfactory
completion of a drug test.
1.
As President and
Chief Operating Officer of U. S. Pipe, you shall report to and
serve at the direction of the President and Chief Executive Officer
of Walter Industries, Inc., or to such other person as may be
designated from time to time. Your initial responsibilities
shall be to manage the P & L for U. S. Pipe and to expand
its sales/marketing potential while making its operations
efficient. Such responsibilities may be changed from time to
time.
2.
Your employment
will commence on August 4, 2004.
3.
Your compensation
package will be as follows:
(a)
Base Salary
$25,000 per month ($300,000
annually), which will be paid in accordance with the payroll
practices of the Company, as they may change from time to
time.
(b)
Bonus
Your annual target bonus will be
60.0% of your base salary. The amount of your bonus will
fluctuate based upon actual performance under the Company’s
bonus plan as in effect from time to time. Participation in the
bonus pool is
dependent upon the achievement of
the Company’s annual financial and other goals, as well as
the accomplishment of individual objectives mutually agreed upon in
writing each year. The first year’s bonus will be
pro-rated. To receive a bonus, you must be employed at the
time the bonus is paid. Please note that participation in the
Employee Stock Purchase Plan is a requirement for participation in
the bonus pool.
As discussed, the Company desires to
have you, as a senior executive of the Company, make a meaningful
investment in the Company. In this regard, you have committed
to invest currently $100,000 in the Company’s common
stock. This investment should be made at the time you accept
employment, prior to your obtaining any inside information
concerning the Company and its business.
(c)
Stock Options
You will be eligible to participate
in the Company’s stock option plan going forward.
Options are normally considered for granting by the Board during
the February meeting.
(d)
Auto Allowance
You will receive $1,500 per month
auto allowance.
(e)
Benefits
•
Reimbursement for all reasonable and
customary business-related travel and entertainment expenses, in
accordance with the terms of the Company’s policy, as it may
change from time to time.
•
Participation in the Company’s
life and health insurance benefit programs in accordance with their
terms, as they may change from time to time. A benefits
booklet will be available for your review upon request.
•
Participation in the Walter
Industries, Inc. Profit-Sharing Plan according to its
terms.
•
Participation in the Relocation
Policy for transferred employees. Reasonable temporary living
expenses will be covered for a period of six (6) months,
including the use of a furnished apartment.
•
Participation in the Walter
Industries 401(k) Plan, as it may change from time to time and in
accordance with its terms. A 401(k) booklet will be available
for
your review upon request. Your
eligibility to participate will be consistent with the
requirements
