Exhibit 10.31
The following executive officers
have entered into this Amendment Number One to the Separation
Agreement, a form of which follows, with Carmike Cinemas, Inc. as
of the dates indicated below:
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Name
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Date
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Richard B. Hare
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December 29,
2008
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Lee Champion
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December 29,
2008
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Gary F. Krannacker
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December 29,
2008
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Larry Collins
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December 29,
2008
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AMENDMENT NUMBER ONE TO
THE
SEPARATION
AGREEMENT
THIS AMENDMENT
(“Amendment”) is entered into by and between
(“Executive”) and Carmike Cinemas, Inc.
(“Carmike”) as of the date set forth below.
WHEREAS, on
, Carmike entered into a Separation Agreement (“Separation
Agreement”) with Executive to address certain benefits
payable to Executive upon termination of employment;
WHEREAS, the Separation Agreement
was prepared in light of the then available guidance under
Section 409A of the Internal Revenue Code
(“Code”); WHEREAS, the Internal Revenue Service has
issued additional guidance under Section 409A of the Code
since the parties entered into the Separation Agreement;
WHEREAS, Carmike and Executive
desire to amend the Separation Agreement to bring the Separation
Agreement into compliance with the current guidance available under
Section 409A of the Code and clarify the vesting of stock
options and restricted stock upon a termination of employment and
the non-solicitation provision;
NOW THEREFORE, the Separation
Agreement is hereby amended as follows effective as of the date
this Amendment is executed:
§ 1
By amending § 2.1(b) to
read in its entirety as follows:
“Carmike shall pay Executive
two (2.0) times Executive’s Base Salary in equal monthly
installments (subject to applicable tax withholdings) over the
twenty-four (24) consecutive month period which starts on the
date Executive has a separation from service (within the meaning of
§ 409A of the Code);”
§ 2
By amending § 2.1(c) to read in
its entirety as follows:
“(c) (1) Each outstanding
and nonvested stock option granted to Executive by Carmike shall
(notwithstanding the terms under which such option was granted)
become fully vested and exercisable on the date Executive’s
employment so terminates and each outstanding stock option shall
(notwithstanding the terms under which such option was granted)
remain exercisable for ninety (90) days, or if less, for the
remaining term of each such option (as determined as if there had
been no such termination of Executive’s employment), subject
to the same terms and conditions as if Executive had remained
employed by Carmike for such term or such period (other than any
term or condition which gives Carmike the right to cancel any such
option) and (2) any restrictions on any outstanding restricted
stock grants to Executive by Carmike immediately shall
(notwithstanding the terms under which such grant was made) expire
and Executive’s right to such stock shall be non-forfeitable;
and”
§ 3
By amending § 2.1(d) to
read in its entirety as follows:
“Carmike shall continue for
the period described in § 2.1(b) to provide to Executive
the same health, dental and vision care coverage and life insurance
coverage as Executive was provided under Carmike’s employee
benefit plans, policies and practices on the day before
Executive’s employment terminated or, at Executive’s
election, on any date in the one (1) year period which ends on
the date of such termination of employment; provide