Exhibit
10(rr)
NON-COMPETITION
AGREEMENT
THIS NON-COMPETITION AGREEMENT (this
“Agreement”), is made this 31 st
day of January, 2006, by and among Essex
Electric Inc., a Delaware corporation (“Seller”), The
Alpine Group, Inc., a Delaware corporation (“Alpine”),
Alpine Holdco Inc., a Delaware corporation (“Holdco”),
and Steven S. Elbaum (“Elbaum”) (Essex, Alpine, Holdco
and Elbaum shall be referred to individually as an “Obligated
Party” and collectively as the “Obligated
Parties”) and Southwire Company, a Delaware corporation
(“Buyer”).
WITNESSETH
:
Buyer and Seller have entered into an Asset
Purchase Agreement, dated as of September 30, 2005 (the
“Asset Purchase Agreement”), pursuant to which Seller
has, concurrently herewith, sold to Buyer certain assets of Seller
(collectively, the “Purchased Assets”) on the terms and
subject to conditions set forth in the Asset Purchase Agreement.
Each Obligated Party has intimate knowledge of certain confidential
information and business practices of Seller, which, if exploited
by an Obligated Party in contravention of this Agreement, could
seriously, adversely and irreparably harm Buyer. It is a condition
to the respective obligations of Buyer and Seller under the Asset
Purchase Agreement that the parties hereto enter into a
non-competition agreement in the form of this Agreement. Each
Obligated Party acknowledges that Buyer is concurrently herewith
paying substantial consideration for the Purchased Assets and that
payment of such consideration will inure to its best interests and
is, therefore, willing to execute this Agreement and abide by and
be bound by the covenants and agreements contained
herein.
NOW, THEREFORE, in consideration of the premises
herein contained, and for other good and valuable consideration,
the receipt, adequacy and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:
1.
Definitions
. As used in this Agreement, the
following terms shall have the following meanings:
(a)
“ Confidential
Information ” means information (in any form or media)
concerning Seller’s customers, prospective customers
(including lists of customers and prospective customers), methods
of operation, manufacturing processes, know-how, designs, custom
software, business plans, contracts, billing rates or procedures,
suppliers, business methods, management, employees, employee
compensation, or any other business information relating to Seller
(whether constituting a trade secret or proprietary or otherwise)
that has material value to Seller and is treated by Seller as being
confidential; provided , however , that Confidential
Information shall not include any information that (i) is or
becomes generally available to the public other than as a result of
disclosure by any Obligated Party, (ii) is required to be disclosed
by Law or by a court or Governmental Authority of competent
jurisdiction, or (iii) was or becomes available to an Obligated
Party on a non-confidential basis and from a source (other than a
party to this Agreement or any of its Affiliates) that is not known
to the Obligated Party to be bound by a confidentiality
agreement.
(b)
“ Restricted Business
” means the manufacture and sale of electrical wire of the
type manufactured and sold by Seller on the Closing
Date.
(c)
“ Restricted Customer
” means (i) any Person to whom goods or services were sold or
provided by Seller during the 18-month period prior to the date
hereof and (ii) any Person whom Seller solicited for the purpose of
selling or providing goods or services with respect to the Business
to such Person during the 18-month period prior to the date
hereof.
(d)
“ Restricted Territory
” means that geographical area consisting of the United
States, Canada and Mexico.
All capitalized
terms used herein which are not defined herein shall have the
meanings assigned to them in the Asset Purchase
Agreement.
2.
Covenants of Each Obligated
Party .
(a)
Subject to Section 2(b) hereof, each
Obligated Party, severally and not jointly, covenants and agrees
that he or it, as the case may be, will not, directly or indirectly
(whether through an Affiliate, a designated Person or otherwise),
during the period commencing on the date hereof and ending seven
years hereafter:
(i)
engage in the Restricted Business in
the Restricted Territory, or own, manage, operate, join, control,
assist or participate in directly or indirectly (including as a
stockholder, partner, proprietor, consultant, independent
contractor or lender), any Person that is, directly or indirectly,
engaged in the Restricted Business in the Restricted
Territory;
(ii)
solicit or call upon any Restricted
Customer with a view to selling or providing to such Restricted
Customer any product or service included in the Restricted
Business;
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