<SEC-DOCUMENT>0001193125-14-131871.txt : 20140404
<SEC-HEADER>0001193125-14-131871.hdr.sgml : 20140404
<ACCEPTANCE-DATETIME>20140404165006
ACCESSION NUMBER:		0001193125-14-131871
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20140331
ITEM INFORMATION:		Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers
ITEM INFORMATION:		Other Events
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20140404
DATE AS OF CHANGE:		20140404

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			NORTHWEST PIPE CO
		CENTRAL INDEX KEY:			0001001385
		STANDARD INDUSTRIAL CLASSIFICATION:	STEEL PIPE & TUBES [3317]
		IRS NUMBER:				930557988
		STATE OF INCORPORATION:			OR
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-27140
		FILM NUMBER:		14746541

	BUSINESS ADDRESS:	
		STREET 1:		5721 SE COLUMBIA WAY
		STREET 2:		SUITE 200
		CITY:			VANCOUVER
		STATE:			WA
		ZIP:			98661
		BUSINESS PHONE:		3603976250

	MAIL ADDRESS:	
		STREET 1:		5721 SE COLUMBIA WAY
		STREET 2:		SUITE 200
		CITY:			VANCOUVER
		STATE:			WA
		ZIP:			98661
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>d706443d8k.htm
<DESCRIPTION>FORM 8-K
<TEXT>
<HTML><HEAD>
<TITLE>Form 8-K</TITLE>
</HEAD>
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 <P STYLE="line-height:1.0pt;margin-top:0pt;margin-bottom:0pt;border-bottom:1px solid #000000">&nbsp;</P>
<P STYLE="line-height:3.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1px solid #000000">&nbsp;</P> <P STYLE="margin-top:4pt; margin-bottom:0pt; font-size:18pt; font-family:Times New Roman" ALIGN="center"><B>UNITED STATES </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:18pt; font-family:Times New Roman" ALIGN="center"><B>SECURITIES AND EXCHANGE COMMISSION </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:12pt; font-family:Times New Roman" ALIGN="center"><B>WASHINGTON, D.C. 20549 </B></P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><center>
<P STYLE="line-height:6.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1.00pt solid #000000;width:21%">&nbsp;</P></center> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:18pt; font-family:Times New Roman" ALIGN="center"><B>FORM 8-K
</B></P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><center> <P STYLE="line-height:6.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1.00pt solid #000000;width:21%">&nbsp;</P></center>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:12pt; font-family:Times New Roman" ALIGN="center"><B>CURRENT REPORT </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:12pt; font-family:Times New Roman" ALIGN="center"><B>PURSUANT
TO SECTION 13 OR 15(D) </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:12pt; font-family:Times New Roman" ALIGN="center"><B>OF THE SECURITIES EXCHANGE ACT OF 1934 </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:12pt; font-family:Times New Roman" ALIGN="center"><B>Date of Report (Date of earliest event reported): March&nbsp;31, 2014 </B></P>
<P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><center> <P STYLE="line-height:6.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1.00pt solid #000000;width:21%">&nbsp;</P></center>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:24pt; font-family:Times New Roman" ALIGN="center"><B>NORTHWEST PIPE COMPANY </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>(Exact name of registrant as specified in its charter) </B></P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><center>
<P STYLE="line-height:6.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1.00pt solid #000000;width:21%">&nbsp;</P></center> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<TABLE CELLSPACING="0" CELLPADDING="0" WIDTH="100%" BORDER="0" STYLE="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:8pt" ALIGN="center">


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<TD VALIGN="top" ALIGN="center"><B>OREGON</B></TD>
<TD VALIGN="bottom">&nbsp;</TD>
<TD VALIGN="top" ALIGN="center"><B>0-27140</B></TD>
<TD VALIGN="bottom">&nbsp;</TD>
<TD VALIGN="top" ALIGN="center"><B>93-0557988</B></TD></TR>
<TR STYLE="font-family:Times New Roman; font-size:8pt">
<TD VALIGN="top" ALIGN="center"> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>(State or other jurisdiction</B></P>
<P STYLE="margin-top:0pt; margin-bottom:1pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>of incorporation)</B></P></TD>
<TD VALIGN="bottom">&nbsp;</TD>
<TD VALIGN="top" ALIGN="center"> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>(Commission</B></P>
<P STYLE="margin-top:0pt; margin-bottom:1pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>File Number)</B></P></TD>
<TD VALIGN="bottom">&nbsp;</TD>
<TD VALIGN="top" ALIGN="center"> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>(I.R.S. Employer</B></P>
<P STYLE="margin-top:0pt; margin-bottom:1pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>Identification No.)</B></P></TD></TR>
</TABLE> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>5721 SE Columbia Way, Suite 200 </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>Vancouver, WA 98661 </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>(360) 397-6250 </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>(Address,
including zip code, and telephone number, including </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:8pt; font-family:Times New Roman" ALIGN="center"><B>area code, of registrant&#146;s principal executive offices) </B></P>
<P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><center> <P STYLE="line-height:6.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1.00pt solid #000000;width:21%">&nbsp;</P></center>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the
following provisions: </P> <P STYLE="font-size:6pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TR>
<TD WIDTH="4%" VALIGN="top" ALIGN="left"><FONT STYLE="FONT-FAMILY:WINGDINGS">&#168;</FONT></TD>
<TD ALIGN="left" VALIGN="top">Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) </TD></TR></TABLE> <P STYLE="font-size:6pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TR>
<TD WIDTH="4%" VALIGN="top" ALIGN="left"><FONT STYLE="FONT-FAMILY:WINGDINGS">&#168;</FONT></TD>
<TD ALIGN="left" VALIGN="top">Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) </TD></TR></TABLE> <P STYLE="font-size:6pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<TABLE STYLE="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:10pt" BORDER="0" CELLPADDING="0" CELLSPACING="0" WIDTH="100%">
<TR>
<TD WIDTH="4%" VALIGN="top" ALIGN="left"><FONT STYLE="FONT-FAMILY:WINGDINGS">&#168;</FONT></TD>
<TD ALIGN="left" VALIGN="top">Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) </TD></TR></TABLE> <P STYLE="font-size:6pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<TABLE STYLE="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:10pt" BORDER="0" CELLPADDING="0" CELLSPACING="0" WIDTH="100%">
<TR>
<TD WIDTH="4%" VALIGN="top" ALIGN="left"><FONT STYLE="FONT-FAMILY:WINGDINGS">&#168;</FONT></TD>
<TD ALIGN="left" VALIGN="top">Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) </TD></TR></TABLE> <P STYLE="font-size:10pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<P STYLE="line-height:1.0pt;margin-top:0pt;margin-bottom:0pt;border-bottom:1px solid #000000">&nbsp;</P> <P STYLE="line-height:3.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1px solid #000000">&nbsp;</P>

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<TR>
<TD WIDTH="10%" VALIGN="top" ALIGN="left">Item&nbsp;5.02.</TD>
<TD ALIGN="left" VALIGN="top">DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS </TD></TR></TABLE>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:10%; font-size:10pt; font-family:Times New Roman">On March&nbsp;31, 2014, Northwest Pipe Company (the &#147;Company&#148;) entered into an Executive Employment Agreement (the
&#147;Agreement&#148;) with Gary&nbsp;A. Stokes. Pursuant to the Agreement, Mr.&nbsp;Stokes, who has resigned his position as the Company&#146;s Senior Vice President of Sales and Marketing effective as of April&nbsp;15, 2014, will be employed by
the Company on a part-time basis as Water Transmission Sales Advisor beginning on the same date. The Agreement has a three-year term and provides for a base salary of $8,333 per month. Mr.&nbsp;Stokes will also receive coverage under the
Company&#146;s health benefit plans and will continue to vest in all grants made to him before April&nbsp;15, 2014 under the Company&#146;s Long-Term Incentive Plan in accordance with the terms of the Plan. The Agreement will terminate upon the
death or disability of Mr.&nbsp;Stokes, and the Company may terminate the Agreement for &#147;Cause&#148; (as defined in the Agreement). In the event of a &#147;Change in Control&#148; (as defined in the Agreement), Mr.&nbsp;Stokes would be entitled
to receive his base salary for the remainder of the term of the Agreement. During the term of the Agreement, Mr.&nbsp;Stokes will be prohibited from engaging in any activities or employment that may conflict with the interests of the Company and
will be required to comply with certain confidentiality and nonsolicitation requirements. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:10%; font-size:10pt; font-family:Times New Roman">The foregoing description of the Agreement does
not purport to be complete and is qualified in its entirety by the full text of such agreement, which is filed herewith as Exhibit 10.1 and is incorporated herein by reference. </P>
<P STYLE="font-size:18pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TR>
<TD WIDTH="10%" VALIGN="top" ALIGN="left">Item&nbsp;8.01.</TD>
<TD ALIGN="left" VALIGN="top">OTHER EVENTS </TD></TR></TABLE> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:10%; font-size:10pt; font-family:Times New Roman">The Company&#146;s 2014 Annual Meeting of Shareholders (the &#147;Annual
Meeting&#148;) will be held on May&nbsp;29, 2014. The record date for determining the shareholders entitled to notice of, and to vote at, the Annual Meeting will be April&nbsp;11, 2014. </P>
<P STYLE="font-size:18pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TR>
<TD WIDTH="10%" VALIGN="top" ALIGN="left">Item&nbsp;9.01.</TD>
<TD ALIGN="left" VALIGN="top">FINANCIAL STATEMENTS AND EXHIBITS </TD></TR></TABLE> <P STYLE="font-size:6pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<TABLE STYLE="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:10pt" BORDER="0" CELLPADDING="0" CELLSPACING="0" WIDTH="100%">
<TR>
<TD WIDTH="5%">&nbsp;</TD>
<TD WIDTH="5%" VALIGN="top" ALIGN="left">(d)</TD>
<TD ALIGN="left" VALIGN="top">Exhibits </TD></TR></TABLE> <P STYLE="margin-top:12pt; margin-bottom:0pt; margin-left:10%; font-size:10pt; font-family:Times New Roman">The following exhibits are filed as part of this report: </P>
<P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TD VALIGN="top" NOWRAP> <P STYLE="margin-left:1.00em; text-indent:-1.00em; font-size:10pt; font-family:Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;</FONT></TD>
<TD VALIGN="top" NOWRAP>10.1</TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="top">Executive Employment Agreement between Northwest Pipe Company and Gary A. Stokes dated as of March&nbsp;31, 2014.</TD></TR>
</TABLE>

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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>SIGNATURE </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized on April&nbsp;4, 2014. </P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><DIV ALIGN="right">
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<TD VALIGN="top" COLSPAN="3"> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>NORTHWEST PIPE COMPANY</B></P>
<P STYLE="margin-top:0pt; margin-bottom:1pt; font-size:10pt; font-family:Times New Roman">(Registrant)</P></TD></TR>
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<TD VALIGN="top">By</TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;</FONT></TD>
<TD VALIGN="bottom"> <P STYLE="margin-top:0pt; margin-bottom:1pt; border-bottom:1px solid #000000; font-size:10pt; font-family:Times New Roman">/s/ ROBIN GANTT</P></TD></TR>
<TR STYLE="font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top"></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;</FONT></TD>
<TD VALIGN="bottom" ALIGN="center"><B>Robin Gantt,</B></TD></TR>
<TR STYLE="font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top"></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;</FONT></TD>
<TD VALIGN="bottom" NOWRAP ALIGN="center"><B>Senior Vice President and Chief Financial Officer</B></TD></TR>
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<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>d706443dex101.htm
<DESCRIPTION>EX-10.1
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<HTML><HEAD>
<TITLE>EX-10.1</TITLE>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right"><B>Exhibit 10.1 </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right"><B>EXECUTION COPY </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>EXECUTIVE EMPLOYMENT AGREEMENT </B></P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<TABLE CELLSPACING="0" CELLPADDING="0" WIDTH="100%" BORDER="0" STYLE="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:10pt" ALIGN="center">


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<TD VALIGN="top" ALIGN="right"><B>PARTIES:</B></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="bottom"> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Northwest Pipe Company</P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">5721 SE Columbia Way,
Suite 200</P> <P STYLE="margin-top:0pt; margin-bottom:1pt; font-size:10pt; font-family:Times New Roman">Vancouver, WA 98661</P></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="top">(&#147;Company&#148;)</TD></TR>
<TR>
<TD HEIGHT="16"></TD>
<TD HEIGHT="16" COLSPAN="2"></TD>
<TD HEIGHT="16" COLSPAN="2"></TD></TR>
<TR STYLE="font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top" ALIGN="right">and</TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="bottom"> <P STYLE="margin-top:0pt; margin-bottom:1pt; font-size:10pt; font-family:Times New Roman">Gary A. Stokes</P></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="top">(&#147;Executive&#148;)</TD></TR>
<TR>
<TD HEIGHT="16"></TD>
<TD HEIGHT="16" COLSPAN="2"></TD>
<TD HEIGHT="16" COLSPAN="2"></TD></TR>
<TR STYLE="font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top" ALIGN="right"><B>DATE:</B></TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="bottom">April 15, 2014</TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;&nbsp;&nbsp;&nbsp;</FONT></TD>
<TD VALIGN="top">(&#147;Effective Date&#148;)</TD></TR>
</TABLE> <P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>RECITAL </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:8%; font-size:10pt; font-family:Times New Roman">WHEREAS, Executive has worked for the Company for many years, most recently in the position of Senior Vice President of Sales and Marketing,
Water Transmission; and </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:8%; font-size:10pt; font-family:Times New Roman">WHEREAS, Executive desire to step down from the above position as of the Effective Date; and </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:8%; font-size:10pt; font-family:Times New Roman">WHEREAS, Company wishes to continue to employ Executive for the term of this Agreement, and Executive wishes to provide his services for such
period, all upon the terms and conditions set out in this Agreement. </P> <P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>AGREEMENT </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:8%; font-size:10pt; font-family:Times New Roman">NOW, THEREFORE, for valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: </P>
<P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 1 </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>EMPLOYMENT,
DUTIES AND TERM </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:8%; font-size:10pt; font-family:Times New Roman"><B>1.1 <U>Employment</U>.</B> Upon the terms and conditions set forth in this Agreement, starting as of the Effective
Date, Company hereby employs Executive in the position of Water Transmission Sales Advisor, working with the senior management team, and Executive accepts such employment. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:8%; font-size:10pt; font-family:Times New Roman"><B>1.2 <U>Duties</U>.</B> Executive shall devote eight (8)&nbsp;hours per month of his time and best efforts to Company and to fulfilling the
duties of his position, which shall include advising the Company on the WSP Municipal Market, training and mentoring the existing and new sales force, and participating in discussions of markets for possible growth opportunities. Any work by
Executive in excess of eight (8)&nbsp;hours in any month shall be paid at an hourly rate of $125.00. </P>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>1.2.1</B> Executive agrees to abide by all policies, practices, procedures
or rules of the Company to the extent they are not inconsistent with this Agreement, in which case the provisions of this Agreement prevail. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>1.2.2</B> Executive shall not take personal advantage of any business opportunities which arise during his employment and
which would harm the Company. All material facts regarding such opportunities must be promptly reported to the Chief Executive Officer for consideration by the Company. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>1.2.3</B> To the extent possible, during the Term, Company will not provide Executive with any confidential, non-public
information that would cause Executive to be unable to buy or sell Company&#146;s securities. Executive acknowledges, however, that his responsibility to abide the federal and state securities laws remains his own personal obligation. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>1.3 <U>Term</U>.</B> The term of this Agreement shall begin on the Effective Date and extend until the earlier of the following events,
after which this Agreement shall end unless extended in a writing signed by the parties hereto: (i)&nbsp;termination pursuant to Article 3 of this Agreement or, (ii)&nbsp;three (3)&nbsp;years from the Effective Date of this Agreement (the
&#147;Term&#148;). Twelve months before the end of the Term, Company shall give notice to Executive whether or not it desires to extend the Agreement beyond the Term. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>1.4 <U>Cooperation</U>.</B> Executive agrees that both during and after the Term he shall, at the request of the Company, provide
information, answer questions and attend meetings in connection with any litigation, threatened litigation, or governmental agency action, investigation or proceeding involving the Company or any director, officer, employee, or agent of the Company.
To the extent such assistance is provided after Executive&#146;s employment with Company has ended, Company shall pay Executive for Executive&#146;s time in providing such assistance at an hourly rate of $125.00, plus expenses. </P>
<P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 2 </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>COMPENSATION
</B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>2.1 <U>Base Salary</U>.</B> For all services rendered under this Agreement, Company shall pay Executive a base salary at the rate
of Eight Thousand Three Hundred and Thirty Three Dollars ($8,333.00) per month, payable in accordance with Company&#146;s usual payroll practices (&#147;Base Salary&#148;). All compensation provided to Executive under this Agreement, whether by way
of Base Salary or otherwise, shall be reduced by such amounts as are required to be withheld by law. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>2.2 <U>Incentive Compensation and
Fringe Benefits</U></B>. Executive shall not be eligible to participate in any of Company&#146;s bonus plans or short-term or long-term incentive plans and shall not continue to vest in any bonus and short-term or long-term incentive awards made to
Executive, except as described in Paragraph 2.4 below. Executive is ineligible for and therefore shall not be entitled to participate in Company-sponsored fringe benefit plans made available to other executives of Company (medical, dental, 401K,
automobile allowance, etc.), except that coverage will be provided to Executive and his spouse under the Company&#146;s medical, dental and vision plans, with Executive to pay the normal employee rate. </P>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>2.3 <U>Business Expenses</U>.</B> Company shall, in accordance with and to the extent of,
its policies in effect from time to time, reimburse all ordinary and necessary business expenses reasonably incurred by Executive in performing his duties as an employee of Company, provided that Executive accounts promptly for such expenses to
Company in the manner prescribed by Company and they are approved by the Chief Executive Officer. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>2.4 <U>LTIP Vesting</U>. </B>All
Long-Term Incentive Compensation Plan (&#147;LTIP&#148;) grants made to Executive prior to the Effective Date shall continue to vest during the Term as provided for in those grants. </P>
<P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 3 </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>TERMINATION
</B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.1 <U>Termination</U>.</B> This Article 3 governs termination of this Agreement at any time during the Term. Termination of this
Agreement shall also operate to terminate Employee&#146;s employment. This Agreement shall be terminated by written notice to a party specifying the Section of the Agreement pursuant to which the Agreement is being terminated. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.2 <U>Termination for Cause</U>.</B> Company may terminate this Agreement and Executive&#146;s employment immediately for
&#147;Cause&#148; as that term is defined herein, upon notice to Executive. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.2.1 <U>Definition of Cause</U></B>.
&#147;Cause&#148; means a determination by Company in its reasonable discretion of any one or more of the following: (1)&nbsp;failure or neglect by Executive to obey instructions given to him or substantially perform his duties; (2)&nbsp;Executive
engaging in misconduct, including without limitation any misconduct in connection with the performance of any of Executive&#146;s duties, misappropriation of funds or property of the Company, securing or attempting to secure personally any profit in
connection with any transaction entered into on behalf of the Company, misrepresentation to the Company, or any violation of law or regulations on Company premises or to which the Company is subject; disloyalty by Executive, including without
limitation, aiding a competitor; or any breach of this Agreement or any other agreement between Executive and Company, or violation of Company rules; or (3)&nbsp;commission by Executive of an act involving moral turpitude, dishonesty, theft or
unethical business conduct, or conduct which may impair or injure the reputation of, or otherwise harm, the Company. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.2.2 <U>Payment upon Termination for Cause</U></B>.<B></B> In the event of termination for Cause pursuant to this
Section&nbsp;3.2, the Company shall be released from any and all further obligations under this Agreement, except for the Accrued Obligations. The &#147;Accrued Obligations&#148; shall equal accrued Base Salary owing to Executive through the date of
termination and reimbursement of reimbursable business expenses incurred through the date of termination. Executive shall not be entitled to any severance pay or benefits continuation (except as may otherwise be required by law) or any other
compensation of any kind. </P>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.3 <U>Termination in the Event of Death or Disability</U>.</B> This Agreement and
Executive&#146;s employment shall terminate immediately in the event of Executive&#146;s death and Company may terminate the Agreement in the event of Executive&#146;s Disability. In the event of termination due to death or Disability, Executive
shall be entitled to receive his Base Salary through the date of termination and neither Executive nor his or her estate shall be entitled to further compensation, severance or bonus compensation or benefits of any kind under this Agreement. Company
shall pay amounts owed upon termination due to Executive&#146;s death in accordance with State law. &#147;Disability&#148; shall mean, as reasonably determined in Company&#146;s discretion, after consultation with a physician selected by Company,
the inability of Executive to perform, with reasonable accommodation, if necessary, any essential function of his position under this Agreement because of physical or mental incapacity for a period of ninety (90)&nbsp;days in the aggregate during
any twelve-month period. Executive shall cooperate in any physical examination and shall produce such medical records as may assist Company in making a determination regarding Disability. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.4 <U>Sole Remedy</U>.</B> The compensation provided for in this Article 3 shall constitute Executive&#146;s sole remedy for termination
or breach of this Agreement. Executive shall not be entitled to any other termination or severance payment which may be payable to the Executive under any other agreement between the Executive and the Company or under any policy in effect at,
preceding or following the date of termination. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>3.5 <U>Change in Control</U>.</B> In the event of a Change in Control as defined in
Attachment A hereto, Company shall pay Executive the remaining Base Salary owing for the Term. Executive&#146;s LTIP grants shall immediately vest pro rata in the manner described in the LTIP plan documents for a Change in Control event. </P>
<P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 4 </B></P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>RESTRICTIVE
COVENANTS </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.1 <U>Confidentiality</U>.</B> &#147;Confidential Information&#148; is data, in both tangible and intangible form, that
has been researched, compiled, developed and/or maintained by Company, and that is not generally known within the industry. Confidential Information includes, but is not limited to, trade secrets, customer lists, techniques, plans, methods, data,
tables, calculations, information, ideas, knowledge, data, and know-how related to products, processes, software, designs, formulae, tests, research, business and/or marketing plans and strategies, costs, profits, pricing, personnel and financial
information, capitalization and other corporate data and information, and information about or obtained from customers, authors, suppliers, consultants, licensees, or affiliates. Confidential Information also includes information Company has
received from third parties in confidence. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.1.1</B> Executive shall not use or disclose Confidential Information, in
any form, for any purpose, except in the course of and for the purposes of Executive&#146;s employment with Company. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.1.2</B> Executive will obtain no right, title or interest in the Confidential Information, or any related information or
data. The Confidential Information and related information shall remain the sole property of Company. </P>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.1.3</B> Executive shall return all Confidential Information, including
all copies in any form, to Company immediately upon termination of Executive&#146;s employment with Company, or earlier upon request. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.2 <U>Return of Property</U></B>. In the course of Executive&#146;s employment with Company, Executive may be provided with equipment,
supplies, keys, credits cards, software, and other property for business use (collectively, &#147;Company Property&#148;). Executive shall return all Company Property immediately upon termination of Executive&#146;s employment, or otherwise
immediately on Company&#146;s request. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.3 <U>Non-solicitation</U></B>. For a period of three years following the Effective Date,
Executive shall not (a)&nbsp;directly or indirectly solicit business from any person or entity which then is or was a Company customer, client or prospect, (b)&nbsp;induce any such person or entity to cease or reduce their business relationship with
Company; (c)&nbsp;induce any person to leave the employment of Company; or (d)&nbsp;directly or indirectly hire or use the services of any Company employee unless Executive obtains Company&#146;s written consent. Executive will not aid others in
doing anything Executive is prohibited from doing himself under this paragraph, whether as an employee, officer, director, shareholder, partner, consultant or otherwise. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>4.4 <U>Consent to Injunction</U></B>. Executive acknowledges that Company would suffer irreparable harm for which monetary damages alone
would not adequately compensate Company if Executive breached his obligations under this Article IV. For that reason, Executive agrees Company shall be entitled to injunctive relief to enjoin any breach or threatened breach under this Article IV and
that the amount of any bond required to be posted by Company in support of injunctive relief shall be no more than Five Hundred Dollars ($500). The injunctive relief provided for in this Section&nbsp;4.4 shall be in addition to any other available
remedies. </P> <P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 5 </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>CONFLICT OF INTEREST </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>5.1</B> During the Term of employment with Company, Executive will engage in no activity or employment which may conflict with the interest
of Company, and shall comply with Company&#146;s policies and guidelines pertaining to business conduct and ethics. Prohibited atcivities and employment include the following: </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>5.1.1</B> Directly or indirectly working for any competitor of Company anywhere Company is doing or planning to do business;
</P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>5.1.2</B> Engaging in any activity that would conflict with Company&#146;s business, or interfere with Executive&#146;s
obligations to Company; </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>5.1.3</B> Having any financial interest in, joining, operating, controlling or participating
in, or being connected as an officer, employee, agent, independent contractor, partner, principal or shareholder (except as holder of not more than five percent (5%)&nbsp;of the outstanding stock of any class of a corporation, the stock of which is
actively publicly traded) with a compeitor of Company; </P>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; margin-left:4%; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>5.1.4</B> Providing services in any capacity (whether as an employee,
consultant, or contractor) to those participating in the ownership, management, operation or control of a person or entity that competes with Company. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>5.2</B> Notwithstanding anything to the contrary contained in this Article 5, Executive may serve on the Board of D.P. Nicoli during the
Term of this Agreement. </P> <P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 6 </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>MUTUAL RELEASES </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">In
consideration of the benefits provided in this Agreement, Executive releases Company (including its directors, officers, agents, employees, attorneys, insurers, related corporations, successors and assigns), and Company (including its directors,
officers, agents, employees, attorneys, insurers, related corporations, successors and assigns) releases Executive from any and all liability, claims or causes of action, whether known or unknown, whether in tort, contract, or under state or federal
statute, that either may have against the other as of the Effective Date. </P> <P STYLE="margin-top:24pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ARTICLE 7 </B></P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>MISCELLANEOUS </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>7.1
<U>Survival of Obligations</U>.</B> Except to the extent this Agreement provides otherwise, the restrictions of and Executive&#146;s obligations under this Agreement will cease after Executive&#146;s employment terminates, regardless of the reason
for termination. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>7.2 <U>Notices</U>.</B> All notices, requests and demands given to or made pursuant hereto shall, except as otherwise
specified herein, be in writing and be delivered or mailed to such party at its address as set forth at the beginning of this Agreement (&#147;Notice&#148;). Either party may change its address, by Notice to the other party given in the manner set
forth in this Section. Any Notice, if mailed properly addressed, postage prepaid, registered or certified mail, shall be deemed dispatched on the registered date or that stamped on the certified mail receipt, and shall be deemed received within the
third business day thereafter or when it is actually received, whichever is sooner. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>7.3 <U>Jury Waiver; Time Limit on
Proceedings</U></B>. The parties agree that it is more economical and efficient to waive the right to a jury trial and to have any legal disputes decided by the court. Accordingly, each party waives the right to trial by jury in any action arising
under this Agreement or relating to Executive&#146;s employment with Company. Any legal action or proceeding relating to or arising out of Executive&#146;s employment and/or this Agreement must be brought by Executive within six months of the date
the cause of action arose or it shall be time-barred. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>7.4 <U>Governing Law and Jurisdiction</U>.</B> This Agreement shall be
interpreted and enforced in accordance with the laws of the State of Oregon without regard to conflict of law principles. The exclusive jurisdiction for any action to interpret or enforce this Agreement shall be Multnomah County, Oregon. </P>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B>7.5 <U>Waiver</U>.</B> Company&#146;s failure to demand strict performance of any
provision of this Agreement shall not constitute a waiver of any provision, term, covenant, or condition of this Agreement or of the right to demand strict performance in the future.<B> </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B><U>7.6 Successors and Assigns</U>.</B> This Agreement shall be binding upon Executive and Executive&#146;s heirs, executors, administrators
or other legal representatives and may be assigned and enforced by Company, its successors and assigns.<B> </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B><U>7.7 Entire
Agreement</U>.</B> This Agreement constitutes the entire agreement of Company and Executive with respect to the subject matter of this Agreement and supersedes all prior or contemporaneous agreements with respect to its subject matter. This
Agreement may only be modified or amended in a writing signed by the parties hereto.<B> </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B><U>7.8 Severability and
Enforcement</U>.</B> The provisions of this Agreement are severable. If any provision of this Agreement or its application is held invalid, it shall be modified as necessary to render it valid and enforceable. If any provision of this Agreement or
its application is held invalid and cannot be modified to render it valid and enforceable, the invalidity shall not affect other obligations, provisions, or applications of this Agreement which can be given effect without the invalid provisions or
applications.<B> </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman"><B><U>7.9 Opportunity for Review</U>.</B> Executive acknowledges that he/she has carefully read the foregoing
Agreement, understands its contents, and has signed it voluntarily.<B> </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">IN WITNESS WHEREOF, each of the parties has executed this
Agreement, in the case of the Company by its duly authorized officer, as of the day and year stated below. </P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TD VALIGN="top" COLSPAN="3"><B>COMPANY</B></TD></TR>
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<TD VALIGN="top">By:</TD>
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<TD VALIGN="bottom"> <P STYLE="line-height:3.0pt;margin-top:0pt;margin-bottom:2pt;border-bottom:1px solid #000000">&nbsp;</P></TD></TR>
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<TD VALIGN="top">Name:</TD>
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<TD VALIGN="top">Title:</TD>
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<TD VALIGN="top">Date:</TD>
<TD VALIGN="bottom"><FONT STYLE="font-size:8pt">&nbsp;</FONT></TD>
<TD VALIGN="top"> <P STYLE="margin-top:0pt; margin-bottom:1pt; border-bottom:1px solid #000000; font-size:10pt; font-family:Times New Roman">&nbsp;</P></TD>
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 <p STYLE="margin-top:0pt;margin-bottom:0pt ; font-size:8pt">&nbsp;</P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Page 7 &#150; EXECUTIVE EMPLOYMENT
AGREEMENT (Gary A. Stokes) </B></P>


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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right"><B>EXECUTION COPY </B></P>
<p STYLE="margin-top:0pt;margin-bottom:0pt ; font-size:8pt">&nbsp;</P>
 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>ATTACHMENT A </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B><U>Change in Control; Person </U></B></P> <P STYLE="font-size:6pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
<TABLE STYLE="BORDER-COLLAPSE:COLLAPSE; font-family:Times New Roman; font-size:10pt" BORDER="0" CELLPADDING="0" CELLSPACING="0" WIDTH="100%">
<TR>
<TD WIDTH="4%">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="top" ALIGN="left">A.</TD>
<TD ALIGN="left" VALIGN="top">For purposes of this Agreement, a &#147;Change in Control&#148; shall mean the occurrence of any of the following events: </TD></TR></TABLE>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:8%; font-size:10pt; font-family:Times New Roman">The approval by the shareholders of the Company of: </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:13%; text-indent:4%; font-size:10pt; font-family:Times New Roman">(a) any consolidation, merger or plan of share exchange involving the Company (a &#147;Merger&#148;) in which the Company is
not the continuing or surviving corporation or pursuant to which shares of Common Stock of the Company (&#147;Company Shares&#148;) would be converted into cash, securities or other property, other than a Merger involving Company Shares in which the
holders of Company Shares immediately prior to the Merger have the same proportionate ownership of common stock of the surviving corporation immediately after the Merger. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:13%; text-indent:4%; font-size:10pt; font-family:Times New Roman">(b) Any sale, lease, exchange or other transfer (in one transaction or a series of related transactions) of all, or
substantially all, the assets of the Company: or </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:13%; text-indent:4%; font-size:10pt; font-family:Times New Roman">(c) the adoption of any plan or proposal for the liquidation or
dissolution of the Company. </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:13%; font-size:10pt; font-family:Times New Roman"><B>2</B>. At any time during the period of two consecutive years, individuals who at the beginning of such
period constituted the Board ( &#147;Incumbent Directors&#148;) shall cease for any reason to constitute at least a majority thereof unless each new director elected during such a two-year period was nominated or elected by two-thirds of the
Incumbent Directors then in office and voting (with new directors nominated or elected by two-thirds of the Incumbent Directors also being deemed to be the Incumbent Directors); or </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:13%; font-size:10pt; font-family:Times New Roman"><B>3</B>. Any Person (as hereinafter defined) shall, as a result of a tender or exchange offer, open market purchases, or privately negotiated
purchases from anyone other than the Company, have become the beneficial owner (within the meaning of Rule 13d &#150; 3 under the Securities Exchange act of 1934), directly in indirectly, of securities of the Company ordinarily having the right to
vote for the election of directors (&#147;Voting Securities&#148;) representing thirty percent (30%)&nbsp;or more of the combined voting power of the then outstanding Voting Securities. </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:13%; text-indent:4%; font-size:10pt; font-family:Times New Roman">Notwithstanding anything in the foregoing to the contrary, unless otherwise determined by the Board, no Change in Control
shall be deemed to have occurred for the purpose of this Agreement if (1)&nbsp;you acquire (other than on the same basis as all other holders of the Company Shares) an equity interest in the entity that acquires the Company in a Change in Control
otherwise described above, or (2)&nbsp;you are part of a group that constitutes a Person which becomes beneficial owner of Voting Securities in a transaction that otherwise would have resulted in a Change in Control. </P>
 <p STYLE="margin-top:0pt;margin-bottom:0pt ; font-size:8pt">&nbsp;</P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Page 8 &#150; EXECUTIVE EMPLOYMENT
AGREEMENT (Gary A. Stokes) </B></P>


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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right"><B>EXECUTION COPY </B></P>
<p STYLE="margin-top:0pt;margin-bottom:0pt ; font-size:8pt">&nbsp;</P>

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<TR>
<TD WIDTH="4%">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="top" ALIGN="left">B.</TD>
<TD ALIGN="left" VALIGN="top">For purposes of this Agreement, the term &#147;Person&#148; shall mean and include any individual, corporation, partnership, group, association or other &#147;person&#148; as such term is used in Section&nbsp;13 (d)(3)
or Section&nbsp;14 (d)(2) of the Securities Exchange Act of 1934 (the &#147;Exchange Act&#148;), other than the Company or any employee benefits plan(s) sponsored by the Company. </TD></TR></TABLE>
 <p STYLE="margin-top:0pt;margin-bottom:0pt ; font-size:8pt">&nbsp;</P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Page 9 &#150; EXECUTIVE EMPLOYMENT
AGREEMENT (Gary A. Stokes) </B></P>

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