Employment and Compensation Agreement among Publicidad Vitual S.A. de C.V., Princeton Video Image, Inc., and David Sitt

Summary

David Sitt was hired as Corporate Vice President of Publicidad Vitual S.A. de C.V. and interim co-Chief Executive Officer of Princeton Video Image, Inc. He will receive a starting salary of $175,000 with guaranteed annual increases for three years, and stock options based on continued employment. If his employment is terminated without cause or for good reason, he will receive his current salary for at least six months or the remainder of his term. As interim co-CEO, he will also receive a monthly cash fee and additional stock options.

EX-10.1 3 w60691ex10-1.txt SUMMARY OF ORAL AGREEMENT - SITT EXHIBIT 10.1 Effective November 2001, David. Sitt was hired to serve as Corporate Vice President of Publicidad Vitual S.A. de. C.V. ("Publicidad"). Pursuant to an agreement among Publicidad, Princeton Video Image, Inc. ("PVI") and Mr. Sitt, during the term of his employment, he will receive an initial base salary of $175,000, subject to guaranteed increases of $25,000 on each of the first three anniversaries of his date of employment. In the event that his term of employment is extended beyond four years, a new base salary will be negotiated. In addition, Mr. Sitt is entitled to receive an option to purchase 50,000 shares of PVI common stock, and shall be entitled to receive (subject to continued employment) an option to purchase 75,000 shares of PVI common stock on each of the first three anniversaries of his date of employment. In the event Mr. Sitt's employment is terminated without cause, or Mr. Sitt terminates his employment for a good reason (e.g., detrimental change in the nature or scope of his employment or duties), he shall be entitled to receive his then current salary for the greater of (i) six months or (ii) the remainder of the term. Also effective November 2001, Mr. Sitt was appointed interim co-Chief Executive Officer of PVI. For his service as co-Chief Executive Officer of PVI, Mr. Sitt is entitled to receive: (i) a cash fee of $10,000 and (ii) an option to purchase 10,000 shares of PVI common stock (up to a maximum of 60,000 shares), for each full month in which he serves as interim co-Chief Executive Officer (subject to pro-ration for any shorter period) retroactive to November 8, 2001, the date on which he began serving in such capacity.