<SEC-DOCUMENT>0001144204-12-058032.txt : 20121026
<SEC-HEADER>0001144204-12-058032.hdr.sgml : 20121026
<ACCEPTANCE-DATETIME>20121026160428
ACCESSION NUMBER:		0001144204-12-058032
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20121025
ITEM INFORMATION:		Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20121026
DATE AS OF CHANGE:		20121026

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			DGSE COMPANIES INC
		CENTRAL INDEX KEY:			0000701719
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-JEWELRY STORES [5944]
		IRS NUMBER:				880097334
		STATE OF INCORPORATION:			NV
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-11048
		FILM NUMBER:		121164518

	BUSINESS ADDRESS:	
		STREET 1:		11311 REEDER ROAD
		CITY:			DALLAS
		STATE:			TX
		ZIP:			75229
		BUSINESS PHONE:		9724843662

	MAIL ADDRESS:	
		STREET 1:		11311 REEDER ROAD
		CITY:			DALLAS
		STATE:			TX
		ZIP:			75229

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	DALLAS GOLD & SILVER EXCHANGE INC /NV/
		DATE OF NAME CHANGE:	19930114

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	AMERICAN PACIFIC MINT INC
		DATE OF NAME CHANGE:	19920703

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	CANYON STATE CORP
		DATE OF NAME CHANGE:	19860819
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>v326757_8k.htm
<DESCRIPTION>FORM 8-K
<TEXT>
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<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">UNITED STATES</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">SECURITIES
AND EXCHANGE COMMISSION</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Washington, D.C. 20549</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center; text-indent: 0in"></P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">FORM 8-K</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">CURRENT
REPORT</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">Pursuant
to Section 13 or 15(d) of the<BR>
Securities Exchange Act of 1934</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>Date of Report</B> (Date of earliest
event reported):<BR>
<B>October 26, 2012</B> (October 25, 2012)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center"><U>DGSE
COMPANIES, INC.</U></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"> </P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(Exact name of registrant as specified in
its charter)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<TR STYLE="vertical-align: top">
    <TD STYLE="width: 32%; border-bottom: windowtext 1pt solid; font-weight: bold; text-align: center">Nevada</TD>
    <TD STYLE="width: 2%; font-weight: bold; text-align: center">&nbsp;</TD>
    <TD STYLE="width: 32%; border-bottom: windowtext 1pt solid; font-weight: bold; text-align: center"><FONT STYLE="color: black"><B>1-11048</B></FONT></TD>
    <TD STYLE="width: 2%; font-weight: bold; text-align: center">&nbsp;</TD>
    <TD STYLE="width: 32%; border-bottom: windowtext 1pt solid; font-weight: bold; text-align: center"><FONT STYLE="color: black"><B>88-0097334</B></FONT></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: center">(State or Other<BR> Jurisdiction of<BR> Incorporation)</TD>
    <TD STYLE="text-align: center">&nbsp;</TD>
    <TD STYLE="text-align: center">(Commission<BR> File Number)</TD>
    <TD STYLE="text-align: center">&nbsp;</TD>
    <TD STYLE="text-align: center">(IRS Employer<BR> Identification No.)</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><FONT STYLE="color: black"><B>11311 Reeder
Rd.</B></FONT><BR>
<FONT STYLE="color: black"><B><U>Dallas, Texas</U></B></FONT><B><U> 75229</U></B><BR>
(Address of Principal Executive Offices) (Zip Code)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><FONT STYLE="color: black"><B><U>(972) 484-3662</U></B></FONT><BR>
(Registrant&rsquo;s telephone number, including area code)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center; text-indent: 0in"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center; text-indent: 0in">(Former Name or Former Address, if Changed Since Last Report)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">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
(<I>see </I>General Instruction A.2. below):</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 19.5pt; text-align: justify; text-indent: -19.5pt">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 19.5pt"><FONT STYLE="font-family: Wingdings">&uml;</FONT></TD><TD STYLE="text-align: justify">Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 19.5pt; text-align: justify; text-indent: -19.5pt">&nbsp;</P>

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<TD STYLE="width: 0"></TD><TD STYLE="width: 19.5pt"><FONT STYLE="font-family: Wingdings">&uml;</FONT></TD><TD STYLE="text-align: justify">Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 19.5pt; text-align: justify; text-indent: -19.5pt">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 19.5pt"><FONT STYLE="font-family: Wingdings">&uml;</FONT></TD><TD STYLE="text-align: justify">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: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 19.5pt; text-align: justify; text-indent: -19.5pt">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 19.5pt"><FONT STYLE="font-family: Wingdings">&uml;</FONT></TD><TD STYLE="text-align: justify">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: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in">&nbsp;</P>

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<TD STYLE="width: 0in"></TD><TD STYLE="width: 0.75in; text-align: left"><B>Item 5.02</B></TD><TD STYLE="text-align: justify"><B>Departure of Directors or Certain Officers; Election
of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers</B></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">(a)&#9;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">(b)&#9;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On October 25, 2012,
William H. Oyster resigned as Chief Executive Officer (&ldquo;<U>CEO</U>&rdquo;), President, Principal Executive Officer and as
a director of DGSE Companies, Inc., a Nevada corporation (the &ldquo;<U>Registrant</U>&rdquo;). Mr. Oyster had no disagreements
with the Registrant on any matter related to the Registrant&rsquo;s operations, policies or practices.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">(c)&#9;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On October 25, 2012,
the board of directors of the Registrant (the &ldquo;<U>Board</U>&rdquo;) appointed James J. Vierling to the position of Chief
Executive Officer, President and Principal Executive Officer of the Registrant. Since 2009, Mr. Vierling, 50, has been the President
of SBT, Inc., DBA Southern Bullion Coin &amp; Jewelry (&ldquo;<U>SBT</U>&rdquo;). In this position, Mr. Vierling grew SBT into
a 23-location, highly successful operation. During this growth, Mr. Vierling implemented numerous policies, procedures, systems
and controls, many of which the Registrant now utilizes. The Registrant acquired SBT on September 14, 2011 in an acquisition from
Mr. Vierling, NTR Metals, LLC&mdash;the Registrant&rsquo;s largest vendor and largest shareholder&mdash;and the other members of
SBT (the &ldquo;<U>SBT Transaction</U>&rdquo;).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">Mr. Vierling has been instrumental
in advising on the process of assembling the new management team and coordinating the restatement process. Mr. Vierling is also
part-owner of Estate Gold and Silver, LLC. Prior to joining SBT, from 2005 until 2009, Mr. Vierling was Chief Marketing Officer
and Strategic Planner of A-1 Premium Acceptance, an installment loan company. Mr. Vierling holds a BS in Economics with a minor
in Marketing from the University of Missouri. He graduated in 1984.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">Mr. Vierling has no family
relationship with any officer or director of the Registrant or any of its subsidiaries. Prior to the SBT Transaction, Mr. Vierling
was a member of SBT. As a result of the SBT Transaction, Mr. Vierling received a payment of restricted shares of the common stock
of the Registrant, as more fully described in the Registrant&rsquo;s Current Report on Form 8-K, as filed with the Securities and
Exchange Commission on September 16, 2011, which is hereby incorporated by reference.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">Pursuant to that certain
Employment Agreement, dated October 25, 2012, by and between the Registrant and Mr. Vierling, attached hereto as <U>Exhibit 10.1</U>,
which has an initial term of three years, and in consideration for Mr. Veirling&rsquo;s service, (i) the Registrant shall pay Mr.
Vierling a salary of $535,000 per year (his &ldquo;<U>Annual Salary</U>&rdquo;); (ii) beginning in 2013, Mr. Vierling shall be
eligible for a performance bonus in an amount equal to 25% of his Annual Salary if certain performance targets are met and (iii)
Mr. Vierling shall be entitled, so long as he remains an employee of the Registrant, to receive grants of an option to purchase
50,000 shares of the common stock of the Registrant on January 1 of 2013, 2014 and 2015, respectively.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">(d)&#9;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On October 25, 2012,
the Board also appointed Mr. Vierling to serve as a director of the Registrant and as Chairman of the Board. Mr. Vierling has not
been assigned to any committees on the Board at this time. Mr. Vierling was appointed to the Board due to his knowledge of the
industry as well as his knowledge of the day-to-day operations of the Registrant and its subsidiary, SBT.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.2pt; text-align: justify; text-indent: -70.2pt"><B>&nbsp;</B></P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0in"></TD><TD STYLE="width: 1in; text-align: left"><B>Item 9.01</B></TD><TD STYLE="text-align: justify"><B>Financial Statements and Exhibits</B></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0.5in"></TD><TD STYLE="width: 0.5in; text-align: left">(a)</TD><TD STYLE="text-align: justify">Not applicable<I>.</I></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0.5in"></TD><TD STYLE="width: 0.5in; text-align: left">(b)</TD><TD STYLE="text-align: justify">Not applicable<I>.</I></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0.5in"></TD><TD STYLE="width: 0.5in; text-align: left">(c)</TD><TD STYLE="text-align: justify">Not applicable<I>.</I></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><I>&nbsp;</I></P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0.5in"></TD><TD STYLE="width: 0.5in; text-align: left">(d)</TD><TD STYLE="text-align: justify"><B>Exhibits</B><I>.</I></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 13%; border-bottom: windowtext 1pt solid">Exhibit No.</TD>
    <TD STYLE="width: 3%">&nbsp;</TD>
    <TD STYLE="width: 84%; border-bottom: windowtext 1pt solid">Description</TD></TR>
<TR STYLE="vertical-align: top">
    <TD>10.1</TD>
    <TD>&nbsp;</TD>
    <TD>Employment Contract, dated October 25, 2012, by and between James J. Vierling and DGSE Companies, Inc.</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>EXHIBITS</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 13%; border-bottom: windowtext 1pt solid">Exhibit No.</TD>
    <TD STYLE="width: 3%">&nbsp;</TD>
    <TD STYLE="width: 84%; border-bottom: windowtext 1pt solid">Description</TD></TR>
<TR STYLE="vertical-align: top">
    <TD>10.1</TD>
    <TD>&nbsp;</TD>
    <TD>Employment Contract, dated October 25, 2012, by and between James J. Vierling and DGSE Companies, Inc.</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">SIGNATURES</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left; text-indent: 0in">Pursuant to the requirements
of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD COLSPAN="2" STYLE="text-align: justify">DGSE COMPANIES, INC.</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD COLSPAN="2" STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 50%">Date: October 26, 2012</TD>
    <TD STYLE="width: 3%">By:</TD>
    <TD STYLE="width: 47%; border-bottom: Black 1pt solid">/s/ James D. Clem</TD></TR>
<TR STYLE="vertical-align: top">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>James D. Clem</TD></TR>
<TR STYLE="vertical-align: top">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>Chief Operating Officer</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B><U>EMPLOYMENT AGREEMENT</U></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">THIS EMPLOYMENT AGREEMENT
(&quot;<U>Agreement</U>&quot;) is entered into and made to be effective as of October 25, 2012, (the &quot;<U>Effective Date</U>&quot;)
by and between DGSE COMPANIES, INC. (formerly Dallas Gold &amp; Silver Exchange, Inc.), a Nevada corporation (the &quot;<U>Company</U>&quot;),
and <FONT STYLE="text-transform: uppercase">James J. Vierling</FONT>, an executive employee of the Company (&quot;<U>Executive</U>&quot;;
the Company and Executive are collectively referred to as the &quot;<U>Parties</U>&quot;).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>WITNESSETH:</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">WHEREAS, prior to the
Effective Date hereof, Executive was employed by SBT, INC., a wholly owned subsidiary of the Company, as its President and Chief
Executive Officer.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">WHEREAS, the Company
desires for Executive to be its President, Chief Executive Officer and Chairman of the Board in order to provide the necessary
leadership and senior management skills that are important to the Company, and believes that retaining Executive's services and
business expertise are of material importance to the Company and its shareholders.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">WHEREAS, Executive
is willing to accept such employment with the Company in accordance with the terms and conditions set forth in this Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">NOW, THEREFORE, for
and in consideration of the foregoing recitals and the mutual agreements contained herein, the Parties agree as follows:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>DEFINITlONS</U></B>.
The following capitalized terms shall have the meanings set forth below.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Board</U>&quot;
</B>shall mean the Board of Directors of the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Cause</U>&quot;</B>
shall mean the occurrence of any of the following during the Employment Term: (a) conviction of a felony involving dishonest acts;
(b) any willful and material misapplication by Executive of the Company's funds, or any other willful and material act of dishonesty
committed by Executive; or (c) Executive's willful and material breach of this Agreement or willful and material failure to substantially
perform his duties hereunder (other than any such failure resulting from mental or physical illness) after written demand for substantial
performance is delivered by the Board which specifically identifies the manner in which the Board believes Executive has not substantially
performed his duties and Executive fails to cure his nonperformance. Executive shall not be deemed to have been terminated for
Cause without first having been (i) provided written notice of not less than thirty (30) days setting forth the specific reasons
for the Company's intention to terminate Executive for Cause, (ii) an opportunity for Executive, together with his counsel, to
be heard before the Board, and (iii) delivery to Executive of a notice of termination from the Board stating that a majority of
the Board found, in good faith, that Executive had engaged in the willful and material conduct referred to in such notice. For
purposes of this Agreement, no act, or failure to act, on Executive's part shall be considered &quot;willful&quot; unless done,
or omitted to be done, by Executive in bad faith and without reasonable belief that Executive's action or omission was in the best
interest of the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Change
of Control</U>&quot;</B> shall occur if (i) any &quot;person&quot; (as such term is used in Section 13(d) and 14(d)(2) of the Securities
Exchange Act of 1934), other than NTR Metals, LLC, a Texas limited liability company (&quot;<U>NTR</U>&quot;), Ohio Precious Metals,
LLC (&quot;<U>OPM</U>&quot;) and/or Global Metals Holdings, LLC (&quot;<U>GMH</U>&quot;), becomes the beneficial owner, directly
or indirectly, of securities of the Company representing twenty percent (20%) or more of the combined voting power of the Company's
then-outstanding securities, (ii) starting January 1, 2014, during any period of twelve (12) months, individuals who constitute
the Board at the beginning of such period cease for any reason to constitute a majority of the Board thereof, (iii) NTR, OPM and/or
GMH, individually or collectively, become the beneficial owner, in the aggregate, directly or indirectly, of securities of the
Company representing seventy percent (70%) or more of the combined voting power of the Company's then outstanding securities, (iv)
during any period of twelve (12) months, individuals who hold a majority of the membership interests of NTR at the beginning of
such period cease for any reason to hold a majority of such membership interests, or (v) a person (as defined in clause (i) above)
acquires (or has acquired during the twelve (12) month period ending on the date of the most recent acquisition by such person
or group of persons) gross assets of the Company that have an aggregate fair market value greater than or equal to over fifty percent
(50%) of the fair market value of all of the gross assets of the Company immediately prior to such acquisition or acquisitions.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>COBRA</U>&quot;
</B>shall mean the Consolidated Omnibus Reconciliation Act of 1985.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.5&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Confidential
Information</U>&quot; </B>shall mean trade secrets, confidential or proprietary information, and all other information, documents
or materials owned, developed or possessed by the Company, or its predecessors and successors, that is not generally known to the
public. Confidential Information includes, but is not limited to, customer lists, financial information, business plans, product
cost or pricing, information regarding future development, locations or acquisitions, personnel records and software programs.
Confidential Information shall not include any information (i) that is or becomes generally publicly available (other than as a
result of violation of this Agreement by Executive), (ii) that Executive receives on a nonconfidential basis from a source (other
than the Company) that is not known by him to be bound by an obligation of secrecy or confidentiality to the Company, or (iii)
that was in the possession of Executive prior to disclosure by the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.6&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Employment
Term</U>&quot; </B>shall mean the period during which Executive is employed by the Company pursuant to this Agreement, including
the Initial Term and any Renewal Terms as defined in <U>Section 2</U> below.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.7&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Incapacity</U>&quot;
</B>with respect to Executive, shall mean that Executive (i) is unable to engage in any substantial gainful activity by reason
of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last
for a continuous period of not less than twelve (12) months, or (ii) is, by reason of any medically determinable physical or mental
impairment which can be expected to result in death or can be expected to last for a continuous period of not less than twelve
(12) months, receiving income replacement benefits for a period of not less than three (3) months under an accident and health
plan covering employees of the Company. The determination of the existence of the Executive's Incapacity shall be made by the Board
in accordance with Section 409A of the Code.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.8&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>&quot;<U>Termination
Date</U>&quot; </B>shall mean the earlier of (i) the date of expiration of the Initial Term or any Renewal Term, as applicable,
and (ii) if the Executive's employment is terminated (a) by his death, the date of his death, or (b) by his Incapacity or otherwise
pursuant to the provisions of <U>Section 7.1(b)-(e)</U>, as applicable, the date on which the Executive's employment with the Company
actually terminates.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">2.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>INITIAL
EMPLOYMENT TERM AND RENEWAL TERMS</U>.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">2.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Initial
Term</U></B>. The initial term of this Agreement (&quot;<U>Initial Term</U>&quot;) shall begin immediately upon the Effective Date
and shall continue through the third (3<SUP>rd</SUP>) anniversary thereof, subject to automatic extension as provided below and
unless terminated earlier in accordance with <U>Section 7</U> below.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">2.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Renewal</U></B>.
Beginning with the third (3<SUP>rd</SUP>) anniversary of the Effective Date and continuing with each anniversary date thereafter,
the Employment Term shall automatically be extended in additional, successive one-year increments (&quot;<U>Renewal Term(s)</U>&quot;),
unless Executive or the Company provide written notice not less than one hundred twenty (120) days prior to the expiration of the
Initial Term or any Renewal Term, as applicable, of his/its intention to not renew the Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">3.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>DUTIES</U>.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">3.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Executive
agrees to perform the duties of President, Chief Executive Officer and Chairman of the Board of the Company. Executive shall render
such services as are described for such positions in the Company's Bylaws, including implementation of Company strategy, business
development and growth, and such other or additional duties as may from time to time be assigned to Executive by the Board.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">3.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;While
employed pursuant to this Agreement, Executive shall obey the lawful directions of the Board and shall use his reasonable good
faith efforts to promote the interests of the Company and to maintain and promote the reputation thereof. During the Employment
Term, Executive may from time to time engage in any businesses or activities that do not compete directly and materially with the
Company and any of its subsidiaries, provided that such businesses or activities do not materially interfere with his performance
of the duties set forth in this Agreement. Notwithstanding the foregoing, Executive is specifically permitted to (i) invest his
personal assets as a passive investor in such form or manner as will not contravene the best interests of the Company, (ii) serve
as an officer, director, trustee or otherwise participate in educational, welfare, social, charitable, religious and civic organizations,
and (iii) participate in the activities, ownership, management and operations described in <U>Section 9.1(a) &ndash; (c)</U> and
<U>Section 9.2</U> hereof.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">3.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Parties agree that during the Employment Term, Executive shall be based in Dallas, Texas and may not be assigned to any other location
outside the Dallas-Fort Worth metropolitan area. Should the Company elect to relocate or transfer Executive to a location that
is outside the Dallas-Fort Worth metropolitan area and otherwise not acceptable to Executive, Executive shall have the option to
terminate this Agreement with Good Reason as defined in <U>Section 7.3</U> below.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">4.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>COMPENSATION
AND BENEFITS</U>.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Salary</U>.</B>
As compensation for the performance of services to the Company, the Company shall pay Executive an annual salary of at least Five
Hundred Thirty-Five Thousand and No/100 Dollars ($535,000.00) (said amount, together with any periodic increases, referred to as
&quot;<U>Salary</U>&quot;). The Salary shall be payable in equal bi-weekly installments, subject only to such payroll and withholding
deductions as may be required by law and other deductions applied generally to employees of the Company for employee benefits.
The Board shall review Executive's overall annual compensation at least annually, and Executive's Salary may be increased by the
Board from time to time by an amount that in the opinion of the Board is justified by Executive's performance.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Performance
Bonus</U>.</B> Starting in 2013, Executive shall be entitled to receive an annual Performance Bonus from the Company upon the conclusion
of each calendar year occurring during the Employment Term (each a &quot;<U>Performance Bonus</U>&quot;) in an amount equal to
25% of his then existing Salary paid as a lump-sum on or before March 31st of each calendar year for the prior calendar year provided
that the Company's EBIT, as determined pursuant to GAAP, is 10% higher on the last business day of the applicable calendar year
than it was on December 31st of the prior calendar year or provided that the Company&rsquo;s Compensation Committee and the Executive
agree on other reasonable performance goals to govern this performance bonus</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Medical
Insurance Benefits</U>. </B>During the Employment Term, the Company shall maintain hospitalization and medical insurance coverage
on Executive and his spouse as may be provided by the Company for its senior executive employees in accordance with the provisions
of any such plans.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Other
Employee Benefit Plans</U>. </B>Executive shall be eligible to participate at a level commensurate with other senior executives
of the Company in any employee equity purchase plans or programs that may be adopted for the benefit of the Company's officers
or employees generally and in any employee fringe or other employee benefits and pension and/or profit sharing plans that may be
provided by the Company for its senior executive employees in accordance with the provisions of any such plans, as the same may
be in effect from time to time.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.5&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Vacation
and Leave of Absence</U>. </B>Executive shall be entitled to take a minimum of four (4) weeks paid vacation per calendar year.
Executive shall also be entitled to all paid holidays and personal days given by the Company to its senior executives.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.6&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Sick
Leave and Disability</U></B>. Executive shall be entitled to sick leave, sick pay and disability benefits in accordance with any
Company policy that may be applicable to senior executive employees from time to time.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.7&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Expense
Reimbursement</U>.</B> Upon Executive's furnishing to the Company of customary and reasonable documentary support evidencing costs
and expenses incurred by him in the performance of his services and duties hereunder (including, without limitation, travel and
entertainment expenses), the Company shall promptly reimburse Executive for such costs and expenses in accordance with its normal
expense reimbursement policy.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.8&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Legal
and/or Accounting Expenses</U>.</B> Upon providing receipts, during the Employment Term, the Company agrees to provide an allowance
to Executive of Two Thousand Five Hundred and No/100 Dollars ($2,500.00) per year for costs and expenses incurred by Executive
for professional legal and/or accounting services rendered personally to Executive, which amount shall be paid to Executive on
December 1 of each year (or such earlier time that Executive and the Company may otherwise agree). If at any time during the Employment
Term or afterwards there should arise any dispute as to the validity, interpretation or application of any term or condition of
this Agreement, the Company agrees, upon written demand by Executive (and Executive shall be entitled upon application to any court
of competent jurisdiction, to the entry of a mandatory injunction, without the necessity of posting any bond with respect thereto,
compelling the Company) to promptly provide sums, up to $250,000, sufficient to pay on a current basis (either directly or by reimbursing
Executive) Executive's attorneys' fees (including expenses of investigation and disbursements for the fees and expenses of experts,
etc.) incurred by Executive in connection with any such dispute or any litigation. The provisions of this <U>Section 4.9</U> shall
survive the expiration or termination of this Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.9&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Other
Executive Employee Benefits</U></B>. During the Employment Term, Executive shall be eligible to participate in any additional incentive
compensation benefit, insurance benefit or other plan or arrangement of the Company now or hereafter created for the benefit of
executive employees of the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">4.10&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>D&amp;O
Coverage and Indemnity</U>. </B>The Company shall (a) provide Executive with director and officer liability insurance with companies
and in amounts reasonably satisfactory to Executive, which insurance shall cover Executive for the Employment Term and/or the applicable
statute of limitations after the Employment Term, (b) provide Executive with a broad form Excess A-Side coverage policy tailored
specifically to cover Executive, with such coverage and amount to be satisfactory to Executive, (c) pay for and reimburse Executive
for a personal liability umbrella policy in an amount equal to or in excess of $10,000,000.00, and (d) fully indemnify Executive
and hold Executive harmless from and against any and all claims, actions, causes of action, demands, suits, liabilities, losses,
costs, expenses and obligations (collectively, &quot;<U>Claims</U>&quot;) asserted, incurred or arising from, an account of or
in connection with the Company, all Company operations, all public and private security matters, all shareholder suits including
any derivative and class action suits, all governmental and private investigations, sanctions, suits and other Claims, and all
facts, circumstances and outcomes from or relating to any of the foregoing for all periods before, during and after the Employment
Term.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">5.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>COMPANY
STOCK OPTIONS</U></B>. As long as the Executive is employed by the Company on January 1 of each calendar year listed below, the
Executive will be granted the following options to purchase common stock in the Company pursuant to the following terms:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><B>&nbsp;</B></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 16%; border-bottom: windowtext 1pt solid; text-align: center; font-weight: bold">Grant Date</TD>
    <TD STYLE="width: 2%; text-align: center; font-weight: bold">&nbsp;</TD>
    <TD STYLE="width: 14%; border-bottom: windowtext 1pt solid; text-align: center; font-weight: bold"># of Options</TD>
    <TD STYLE="width: 3%; text-align: center; font-weight: bold">&nbsp;</TD>
    <TD STYLE="width: 65%; border-bottom: windowtext 1pt solid; text-align: center; font-weight: bold">Grant Price</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: center; font-weight: bold">&nbsp;</TD>
    <TD STYLE="text-align: center; font-weight: bold">&nbsp;</TD>
    <TD STYLE="text-align: center; font-weight: bold">&nbsp;</TD>
    <TD STYLE="text-align: center; font-weight: bold">&nbsp;</TD>
    <TD STYLE="text-align: center; font-weight: bold">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: center">January 1, 2013</TD>
    <TD STYLE="text-align: center">&nbsp;</TD>
    <TD STYLE="text-align: center">50,000</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Unless otherwise provided in the applicable option plan or applicable option agreement, quoted bid price at market close on the last working day of the prior calendar year</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: center">January 1, 2014</TD>
    <TD STYLE="text-align: center">&nbsp;</TD>
    <TD STYLE="text-align: center">50,000</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Unless otherwise provided in the applicable option plan or applicable option agreement, quoted bid price at market close on the last working day of the prior calendar year</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: center">January 1, 2015</TD>
    <TD STYLE="text-align: center">&nbsp;</TD>
    <TD STYLE="text-align: center">50,000</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Unless otherwise provided in the applicable option plan or applicable option agreement, quoted bid price at market close on the last working day of the prior calendar year</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 6.3pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 6.3pt; text-align: justify">The Parties agree and acknowledge
that all options referred to above will be vested ratably over a three (3) year period after the date of the grant of such options,
with twenty-five percent (25%) of the options vesting on the day of the grant of such options and twenty-five percent (25%) of
such options vesting on January 1 of each of the subsequent three (3) calendar years after the grant of such options.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 6.3pt; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">6.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>CONFIDENTIAL
INFORMATION</U></B>. Executive hereby covenants, agrees and acknowledges as follows:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">6.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Access
to Confidential Information</U></B>. During the Term of this Agreement, Executive will have access to Confidential Information
of the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">6.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Non-Disclosure
and Non-Use</U></B>. During the Employment Term, Executive shall not use or disclose, or make known for another's benefit other
than for the benefit of the Company, any Confidential Information of the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">6.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Return
of Confidential Information</U></B>. Executive agrees that upon termination of his employment with the Company for any reason,
Executive shall forthwith return to the Company all Confidential Information in whatever form maintained (including, without limitation,
computer discs and other electronic media).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">6.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Survival</U></B>.
The obligations of Executive under this <U>Section 6</U> shall, except as otherwise provided herein, survive the termination of
the Employment Term and the expiration or termination of this Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">7.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>TERMINATION</U>.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">7.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Termination
of Employment</U></B>. &#9;Executive's employment hereunder shall be terminated upon the occurrence of any of the following:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Incapacity
or death of Executive;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;the
Company giving written notice to Executive that Executive's employment is being terminated for Cause as defined in <U>Section 1.2</U>
above;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;the
Company giving written notice to Executive that his employment is being terminated without Cause or the Agreement is not being
renewed following expiration of the Initial Term or any Renewal Term(s);</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Executive
terminating his employment hereunder for Good Reason (as defined in <U>Section 7.3</U> below); or</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(e)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Executive
terminating his employment hereunder for any reason whatsoever (whether by reason of retirement, resignation, or otherwise), other
than for Good Reason, upon sixty (60) days' written notice to the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">7.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Compensation
following Termination</U></B>.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Termination
By Reason of Incapacity or Death</U></B>. If Executive's employment relationship is terminated pursuant to <U>Section 7.1(a)</U>
above due to Executive's Incapacity or death, then Executive (or in the event of Executive's death, Executive's legal representative)
will be entitled to those benefits that are provided by retirement and benefits plans and programs specifically adopted and approved
by the Company for Executive that are earned and vested at the date of termination due to death or Incapacity. In the event of
Executive's Incapacity or death, Executive (or in the event of Executive's death, Executive's legal representative), even though
no longer employed by the Company, shall continue to receive the Salary in effect at the time of Executive's Incapacity or death
for one (1) year following the date of termination. Executive (or in the event of Executive's death, Executive's legal representative)
shall further be entitled to receive payment of an amount equal to a pro-rata share of the Performance Bonus paid to Executive
for the calendar year immediately preceding his termination, which amount shall be paid within thirty (30) days from the date of
termination. Executive's right to exercise stock options and Executive's rights in other stock plans, if any, shall remain governed
by the terms and conditions of the appropriate stock plan.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Termination
by Company for Cause</U>. </B>The Company may terminate Executive for Cause only if he engages in any of the acts or omissions
listed in the definition of Cause set forth in <U>Section 1.2</U> above. If the Company terminates Executive's employment for Cause
pursuant to <U>Sections 1.2 and 7.1(b)</U> above, then all compensation and benefits shall cease as of the date of termination
other than (i) such amounts, if any, of Executive's Salary as shall have accrued and remain unpaid as of the date of such termination
for Cause, (ii) payment of an amount equal to a pro-rata share of the Performance Bonus paid to Executive for the calendar year
immediately preceding his termination, and (iii) such other amounts, if any, which may be payable to Executive pursuant to the
terms of the Company's benefits plans or pursuant to <U>Section 4.7</U> above. Any amounts payable pursuant to this <U>Section
7.2(b)</U> shall be tendered to Executive within thirty (30) days from the date of termination.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Termination
by Company Without Cause or by Executive for Good Reason</U>. </B>If the Company terminates Executive's employment for any reason
other than Cause, or if Executive terminates his employment for Good Reason pursuant to <U>Section 7.1(d)</U> above, then Executive,
even though no longer employed by the Company, shall be entitled to receive (i) a lump sum payment within thirty (30) days after
the Termination Date equal to the remainder of Executive's current year's Salary, (ii) a lump sum payment within thirty (30) days
after the Termination Date in an amount equal to the maximum amount of Performance Bonus to which Executive would have been eligible
to receive through the end of the Employment Term, and (iii) a lump sum payment within sixty (60) days following termination in
an amount equal to two (2) years' Salary based on the Executive's Salary in effect immediately prior to termination of this Agreement.
In addition to the foregoing, the Company shall also adopt such resolutions as shall be necessary and effective to declare any
and all stock options, restricted stock units, or any other equity awards issued pursuant to any incentive or equity plan offered
by the Company to its senior executives to be fully and immediately vested and exercisable as of the Termination Date.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Termination
by Executive Without Good Reason</U>.</B> In the event that Executive terminates this Agreement pursuant to <U>Section 7.1(e)</U>
above, then Executive shall be entitled to receive within thirty (30) days after the Termination Date a lump sum payment equal
to the remainder of Executive&rsquo;s accrued but unpaid salary.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">7.3&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Good
Reason</U>.</B> (a) For purposes of this Agreement, Executive shall have a Good Reason for terminating employment with the Company
if any one or more of the following occur without Executive's written consent:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(i)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a
material diminution in Executive's authority, duties or responsibilities with the Company;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(ii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;the
assignment to Executive of any duties or responsibilities that, in Executive's reasonable judgment, are materially inconsistent
with Executive's then-existing duties or responsibilities;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(iii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;layoff
or involuntary termination of Executive's employment by the Company, except in connection with the termination of Executive's employment
for Cause or as a result of Executive's Incapacity or death;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(iv)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a
reduction by the Company in Executive's Salary;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(v)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a
Change of Control occurring (A) after January 1, 2014 with respect to any Change of Control described in <U>Section 1.3(i)-(iii)</U>
hereof, and (B) after the date hereof with respect to any Change of Control described in <U>Section 1.3(iv)</U> and <U>(v)</U>
hereof;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(vi)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;the
failure by the Company to continue in effect any employee benefit plan in which Executive is participating at the Effective Date
other than as a result of the normal expiration of any such plan in accordance with its terms, except to the extent that the Company
provides Executive with substantially equivalent benefits;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(vii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;the
imposition of any requirement that Executive be based outside the Dallas-Fort Worth metropolitan area;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(viii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;the
Company's failure to obtain the express assumption of this Agreement by any successor to the Company as provided by <U>Section
8.2</U> hereof; or</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0.5in">(ix)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;any
violation by the Company of any agreement (including this Agreement) between it and Executive, provided that the Company be given
an opportunity to cure any violation within thirty (30) days of written notice from the Executive.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any
Good Reason shall not be deemed to be waived by Executive's continued employment following an act or omission giving rise to such
Good Reason; <U>provided,</U> that a condition described in this <U>Section 7.3</U> shall not constitute Good Reason unless it
is communicated by the Executive to the Company in writing within ninety (90) days of the initial existence of the condition, and
is not corrected by the Company within thirty (30) days of the date of the Company's receipt of such written notice.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">7.4&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Insurance
Benefits following Termination</U>. </B>Following the expiration of the Employment Term due to termination or non-renewal of this
Agreement for any reason or no reason at all by either Executive or the Company, the Company shall continue to provide medical
health benefits and coverage to Executive and his wife, which is at least equal to or better than the medical health benefits and
coverage provided to Executive and his wife immediately prior to the expiration of the Employment Term (under either the Company's
health and insurance plans or such other health and insurance plans as may be necessary) at no cost to Executive or his wife; <U>provided</U>,
that with respect to taxable coverage provided to the Executive or his dependents, the entire applicable premium cost shall be
charged to the Executive for such coverage and the Company shall reimburse the Executive for the cost of the premium in excess
of the applicable employee-paid portion; <U>provided</U>, <U>further</U>, such reimbursement shall be available only to the extent
that (a) such premium expense is actually incurred for any particular calendar year and reasonably substantiated; (b) such reimbursement
shall be made no later than thirty (30) days following the request for reimbursement of such expense that is incurred by the Executive
or his applicable dependents, (c) no reimbursement provided for any expense incurred in one taxable year shall affect the amount
available in another taxable year, and (d) the right to this reimbursement is not subject to liquidation or exchange for another
benefit. Notwithstanding the foregoing, the Company's obligation to provide such benefits and coverage will end upon the earlier
of (i) eighteen (18) months following the Termination Date, or (ii) the date both Executive and his wife become covered by a comparable
health insurance plan provided by a subsequent employer.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">7.5&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Section
280G Treatment</U>. </B>Notwithstanding anything in this Agreement to the contrary, in the event it is determined by an accounting
firm chosen by mutual agreement of the Parties that any economic benefit, payment or distribution by the Company to or for the
benefit of the Executive, whether paid, payable, distributed or distributable pursuant to the terms of this Agreement or otherwise
(a &quot;<U>Payment</U>&quot;), would be subject to the excise tax imposed by Section 4999 of the Internal Revenue Code of 1986,
as amended (the &quot;<U>Code</U>&quot;), (such excise tax referred to in this Agreement as the &quot;<U>Excise Tax</U>&quot;),
then the value of any such Payments payable under this Agreement which constitute &quot;parachute payments&quot; under Section
280G(b)(2) of the Code, as determined by the accounting firm, will be reduced so that the present value of all Payments (calculated
in accordance with Section 280G of the Code and the regulations thereunder), in the aggregate, equals the Safe Harbor Amount. The
&quot;Safe Harbor Amount&quot; is equal to 2.99 times the Executive's &quot;base amount,&quot; within the meaning of Section 280G(b)(3)
of the Code.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">7.6&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Mitigation
Not Required</U>. </B>Executive shall not be required to mitigate the amount of any payment(s) provided for in this Agreement either
by seeking employment or otherwise. Furthermore, the Company shall not be entitled to set off or reduce any payments owed to Executive
under this Agreement by the amount of earnings or benefits received by Executive in any future employment.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">8.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>ASSIGNMENT
AND SUCCESSION</U>.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">8.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>No
Assignment by Executive</U>. </B>This Agreement is personal to Executive and shall not be assignable by Executive other than by
will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by Executive's legal
representatives.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">8.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Succession</U>.
</B>This Agreement shall inure to the benefit of and be binding upon the Company and its successors and assigns. The Company may
assign this Agreement only to an assignee that agrees to perform this Agreement in the same manner and to the same extent that
the Company would be required to perform if no such succession had taken place. The failure of any assignee of the Company to
expressly assume and agree to perform all obligations under this Agreement in writing, which failure is not remedied within ten
(10) business days after receipt of written notice from Executive notifying the Company or the Company's assignee of such failure,
shall, at the election of Executive, constitute Good Reason for Executive to terminate this Agreement pursuant to <U>Section 7.1(d)</U>.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">9.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>RESTRICTIVE
COVENANTS</U>.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">9.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Competition</U>.</B>
During the Employment Term, and in the event Executive's employment is terminated pursuant to <U>Section 7.1(b)</U> for a period
of two (2) years from the Termination Date, Executive, in consideration of compensation to be paid to Executive hereunder, will
not directly or indirectly (as a director, officer, executive employee, manager, consultant, independent contractor, advisor or
otherwise) engage in competition with, or own any interest in, manage, control, perform any services for, participate in or be
connected with any business or organization which engages in competition with the Company within the geographic borders of each
State in which the Company conducts business during the Employment Term; <U>provided</U>, <U>however</U>, that the provisions of
this <U>Section 9.1</U> shall not be deemed to prohibit (a) Executive's ownership of not more than 4.9% of the total shares of
all classes of stock outstanding of any publicly held company, whether through direct or indirect stock holdings so long as Executive
has no active participation in such company, (b) any of the current activities in which Executive is currently involved or which
are otherwise permitted by <U>Section 3.2</U> above, or (c) ownership in, and management and operation of, Estate Gold and Silver,
LLC.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">9.2&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>Activities
Excluded</U>.</B> The Parties acknowledge and agree that if Executive shall enter into any license or franchise agreement or comparable
arrangement with the Company or any subsidiary or affiliate of the Company for the operation of a business also conducted by the
Company or such subsidiary or affiliate, Executive shall not be deemed to be &quot;engaged&quot; in any business in competition
with the business conducted by the Company for purposes of <U>Section 9.1</U>, provided Executive has first obtained the approval
of the Board.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">10.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>INDEMNIFICATION</U>.
</B>The Company hereby agrees to indemnify Executive and hold him harmless to the fullest extent permitted by law against any and
all actions, claims, demands, proceedings, damages, losses or suits, including all costs and expenses of defense (including but
not limited to attorneys' fees) resulting from Executive's good faith performance of his duties and obligations with the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">11.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>NOTICES</U>.
</B>All notices which are required or may be given pursuant to the terms of this Agreement shall be in writing and shall be sufficient
in all respects if given in writing and (i) delivered personally, (ii) mailed by certified or registered mail, return receipt requested
and postage prepaid, (iii) sent via a nationally recognized overnight courier, or (iv) sent via facsimile or email confirmed in
writing as follows:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 90%; border-collapse: collapse; margin-left: 0.5in">
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">If to the Company:</TD>
    <TD COLSPAN="2" STYLE="text-align: justify">DGSE Companies, Inc.</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD COLSPAN="2" STYLE="text-align: justify">11311 Reeder Road</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD COLSPAN="2" STYLE="text-align: justify">Dallas, Texas 75229</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD COLSPAN="2" STYLE="text-align: justify">Attention: Board<FONT STYLE="font: 9pt Sans-Serif; color: Red"><B></B></FONT> of Directors</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 33%; text-align: justify">&nbsp;</TD>
    <TD STYLE="width: 10%; text-align: justify">Telephone:</TD>
    <TD STYLE="width: 27%; text-align: justify; border-bottom: Black 1pt solid">&nbsp;</TD>
    <TD STYLE="width: 30%; text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Facsimile:</TD>
    <TD STYLE="text-align: justify; border-bottom: Black 1pt solid">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Email:</TD>
    <TD STYLE="text-align: justify; border-bottom: Black 1pt solid">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 90%; border-collapse: collapse; margin-left: 0.5in">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 33%; text-align: justify">If to Executive:</TD>
    <TD STYLE="width: 67%; text-align: justify">James Vierling</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">4561 Hitching Post</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Plano, Texas 75024</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Telephone:&nbsp; (972) 739-9792</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Facsimile:&nbsp; (972) 739-9795</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">Email: <U>jvierling@sbcoin.com</U></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">or to such other address or addresses as
either party shall have designated in writing to the other party hereto, <U>provided</U>, <U>however</U>, that any notice sent
by certified or registered mail shall be deemed delivered on the date of delivery as evidenced by the return receipt.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">12.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>GOVERNING
LAW AND VENUE</U>.</B> This Agreement shall be governed by and construed in accordance with the laws of the State of Texas, without
giving effect to any principle of conflict of laws that would require the application of the law of any other jurisdiction. The
venue for any dispute arising out of this Agreement or Executive's employment with the Company shall be exclusively in the State
District Court of Dallas County, Texas.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">13.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>SEVERABILITY</U>.</B>
The Parties agree that in the event that any court of competent jurisdiction shall hold any provision of this Agreement to be unenforceable,
then such provision shall be deemed to be severed from the remainder of this Agreement for the purpose only of the particular legal
proceedings in question and all other covenants and provisions of this Agreement shall in every other respect continue in full
force and effect and no covenant or provision shall be deemed dependent upon any other covenant or provision.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">14.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>WAIVER</U>.</B>
Failure to insist upon strict compliance with any of the terms, covenants or conditions hereof shall not be deemed a waiver of
such term, covenant or condition, nor shall any waiver or relinquishment of any right or power hereunder at any one or more times
be deemed a waiver or relinquishment of such right or power at any other time or times.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">15.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>ENTIRE
AGREEMENT; MODIFICATIONS</U>.</B> Unless otherwise specified, this Agreement constitutes the entire and final expression of the
agreement of the Parties with respect to the subject matters hereof and supersede all prior agreements, oral and written, between
the Parties with respect to the subject matter hereof. This Agreement may be modified or amended only by an instrument in writing
signed by the Company and Executive. The Parties agree that if the terms of this Agreement conflict with any future merger agreements,
asset purchase agreements or other agreements relating to a Change of Control of the Company, then the terms of this Agreement
shall govern with respect to Executive notwithstanding any provision to the contrary in any other agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">16.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>CONSTRUCTION</U>.</B>
This Agreement shall be construed as a whole according to its fair meaning. The headings of paragraphs and sections are for convenience
of reference and are not part of this Agreement and shall not affect the interpretation of any of its terms. The Parties acknowledge
that each of them has reviewed this Agreement and has had the opportunity to have it reviewed by their respective attorneys, and
that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the
interpretation of this Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">17.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<FONT STYLE="font: 9pt Sans-Serif; color: Red"><B></B></FONT><B><U>COUNTERPARTS</U>.</B> This Agreement may be executed in two or more counterparts, each of which shall be
deemed an original, but all of which together shall constitute one and the same instrument.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">18.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><U>COMPLIANCE
WITH SECTION 409A</U>.</B> The Parties intend that this Agreement complies with Section 409A of the Code, where applicable, and
this Agreement will be interpreted in a manner consistent with that intention. Notwithstanding any other provisions of this Agreement
to the contrary, and solely to the extent necessary for compliance with Section 409A of the Code and not otherwise eligible for
exclusion from the requirements of Section 409A, if as of the date of Executive's &quot;separation from service&quot; (within the
meaning of Section 409A of the Code and the applicable regulations) from the Company, (a) Executive is deemed to be a &quot;Specified
Employee&quot;, and (b) the Company or any member of a controlled group including the Company is publicly traded on an established
securities market or otherwise, no payment or other distribution required to be made to Executive hereunder (including any payment
of cash, any transfer of property and any provision of taxable benefits) solely as a result of Executive's separation from service
shall be made earlier than the first day of the seventh month following the date on which the Executive separates from service
with the Company.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">IN WITNESS WHEREOF,
the Parties have entered into this Agreement as of the date first written above.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="text-align: justify; font-weight: bold"><B><U>COMPANY</U>:</B></TD>
    <TD STYLE="text-align: justify; font-weight: bold">&nbsp;</TD>
    <TD STYLE="text-align: justify; font-weight: bold"><B><U>EXECUTIVE</U>:</B></TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify; font-weight: bold">&nbsp;</TD>
    <TD STYLE="text-align: justify; font-weight: bold">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="text-align: justify">DGSE COMPANIES, INC</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2" STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify"></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 6%; text-align: left">By:</TD>
    <TD STYLE="width: 46%; text-align: left; border-bottom: Black 1pt solid">&nbsp;</TD>
    <TD STYLE="width: 2%; text-align: justify">&nbsp;</TD>
    <TD STYLE="border-bottom: Black 1pt solid; text-align: left; width: 46%">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: left">Name:</TD>
    <TD STYLE="text-align: left; border-bottom: Black 1pt solid">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">James J. Vierling</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="text-align: left">Title:</TD>
    <TD STYLE="text-align: left; border-bottom: Black 1pt solid">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD>
    <TD STYLE="text-align: justify">&nbsp;</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

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