EMPLOYMENT CONTRACT This Employment Contract is entered into by and between Rutgers, The State University of New Jersey ("Rutgers" or "the University' and Michael T. Rice Rice") and is effective as ofMay 6, 2010. WHEREAS, Mr. Rice is employed as Head Men's Basketball Coach at Rutgers and has been so employed pursuant to a Memorandum of Agreement dated May 6, 2010; and WHEREAS, the MOA contemplated that the MOA would be expanded and incorporated into an Employment Contract; and WHEREAS, Rutgers and Mr. Rice now desire to expand the MOA into this Employment Contract; NOW, THEREFORE, in consideration of the promises and the mutual covenants hereinafter set forth, it is agreed as follows: I. TERM The term of Mr. Rice's employment shall be effective from May 6, 2010 through April 7, 2015, subject to the provisions in this Employment Contract ("Contract"). II. DUTIES A. Mr. Rice is hereby employed as the Head Coach of Men's Basketball (herein "Head Coach") at Rutgers' New Brunswick campus. Mr. Rice may not be reassigned by Rutgers during the term of this Contract to another position with different duties except with the prior written permission of Mr. Rice. B. Mr. Rice will devote the entire calendar year to the duties of Head Coach except for his allowed vacation. He faithfully and diligently shall be responsible for, and shall devote his full- time attention, skill and diligent efforts to, coaching, administering and recruiting the basketball team in a manner consistent with Rutgers' policies and practices governing intercollegiate athletics so as to allow the team to compete effectively in the Big East Conference (or any other conference of which Rutgers is, or shall become, a member) and National Collegiate Athletic Association (NCAA) play. C. Mr. Rice shall participate in a reasonable number of non-commercial fimd-raising events in support of Rutgers as is reasonably required of him by the Director of Intercollegiate Athletics ("Director"), and subject to his other duties and obligations as Head Coach of Men's Basketball. By way of example only, such activities may include, but not be limited to, Athletics Development programs, alumni/ae meetings and booster club programs, and other Athletic or University fundraising events. Similarly, Mr. Rice shall participate in a reasonable number of public relations, promotional and personal appearance activities on behalf of Rutgers and the Rice Rutgers Employment Agreement 070212 FINAL men's basketball program as is reasonably required of him by the Director, subject to his other duties and obligations as Head Coach of Men's Basketball. D. Rutgers reserves the right to produce and market radio and television shows concerning Rutgers, its men's basketball or athletic program, or the State of New Jersey, and to negotiate and contract with third parties for the production and marketing of same. Mr. Rice shall cooperate in these efforts, shall make himself reasonably available and shall participate in these activities as is reasonably required of him by the Director, subject to his other duties and obligations as Head Coach of Men's Basketball. E. Rutgers reserves the right to negotiate and contract, either on its own or through its agent, with third parties to procure sponsors and financial support for Rutgers for the men's basketball program and for the Division of Intercollegiate Athletics. Mr. Rice shall cooperate in these efforts, shall make himself reasonably available for, and shall make, commercial endorsements of sponsors and financial supporters as is reasonably required of him by the Director, subject to his other duties and obligations as Head Coach of Men's Basketball. F. During the term of Mr. Rice's employment, Rutgers reserves the right to use as it sees fit, and at times as it may determine, all productions and commercial activities described in this Contract. Upon expiration of this Contract or upon termination of Mr. Rice's employment for any reason, Rutgers shall continue to be able to use Mr. Rice's name and likeness for historical, promotional (Rutgers-only), and retrospective non-commercial purposes to promote the men's basketball program. COMPENSATION A. Base Salary: Mr. Rice's base salary shall be paid at the following annual rates during the following periods of time. Salary shall be paid in accordance with the University's regular payroll practices. May 6, 2010 through April 7, 2011: $250,000 April 8, 2011 through April 7, 2012: $275,000 April 8, 2012 through April 7, 2013: $300,000 April 8, 2013 through April 7, 2014: $325,000 April 8, 2014 through April 7, 2015: $350,000 B. Additional Guaranteed Compensation: In addition to the base salary set forth in Section A above, Mr. Rice shall be paid Additional Guaranteed Compensation at the following annual rates during the following periods of time. Additional Guaranteed Compensation shall be paid in accordance with the University's regular payroll practices. May 6, 2010 through April 7, 2011: $300,000 April 8, 2011 through April 7, 2012: $325,000 April 8, 2012 through April 7, 2013: $350,000 April 8, 2013 through April 7, 2014: $375,000 April 8, 2014 through April 7, 2015: $400,000 Rice Rutgers Employment Agreement 070212 FINAL IV. ANNUAL BONUS INCENTIVES A. Annual Academic Bonus Incentives: Mr. Rice shall have the opportunity to earn bonuses, which shall not be added to the base salary or to the additional guaranteed compensation that are described in Section A and above, based on academic achievement of the men's basketball program. The applicable thresholds and corresponding bonus amounts are set forth below. 1. Grade Point Average (GPA): $7,500 for team average cumulative GPA of 2.7 or better for student-athletes receiving athletic financial aid. $12,500 for team average cumulative GPA of 3.0 or better for student-athletes receiving athletic financial aid. The above bonuses for GPA are not cumulative. The GPA shall be calculated by the Office of the University Registrar in accordance with its regular academic practices. The calculation shall be made at the conclusion of the summer session after grades are submitted and, if earned, bonus shall be paid prior to November 30. 2. Academic Progress Rate (APR): $10,000 for team multi-year APR of 950 or above, as determined by the NCAA based upon data and other information submitted by Rutgers in accordance with Rutgers' regular practices, for student-athletes receiving athletic financial aid. The bonus, if earned, shall be paid within sixty (60) days following release by the NCAA of its APR report. If during the term of this Contract the NCAA alters or eliminates the current scale used for calculating the APR, Rutgers and Mr. Rice shall reasonably agree in good faith upon revised language for this bonus that would provide for the possibility of an APR bonus based upon the revised or successor scale and that would most closely approximate the 950 standard set forth herein. 3. Graduation $5,000 for each student-athlete receiving athletic financial aid who graduates within five (5) years from when the student-athlete first enrolled as a fiJll-time student. For purposes of this bonus provision, a year from when one first enrolled as a full-time student shall mean twelve (12) months from the commencement of the academic semester or term fall semester, winter session term, spring semester, or summer session term) in which the student-athlete first enrolled as a full-time student. The bonus, if earned, shall be paid within sixty (60) days from spring commencement. Rice Rutgers Employment Agreement 070212 FINAL This provision shall apply to all student athletes in the Men's Basketball program even if they commenced their collegiate studies prior to May 6, 2010. Annual Performance Bonus Incentives: Mr. Rice shall have the opportunity to earn bonuses, which shall not be added to the base salary or to the additional guaranteed compensation that are described in Section A and above, based on the athletic performance of the men's basketball program. The applicable thresholds and corresponding bonus amounts are set forth below. Performance bonuses are cumulative, except where noted. The bonuses, if earned, shall be paid within sixty (60) days from the conclusion of the Division I college basketball season. 1. Overall Record: $15,000 for a final overall record consisting of at least 20 wins (including all regular season games, conference tournament games and post-season games, but excluding exhibition games) Conference Record: $10,000 for an overall conference record consisting of at least 10 conference wins (includes conference tournament games) Conference Regular Season Charnpionshm: $15,000 for winning or tying Conference Regular Season Championship Conference Tournament Championship: $20,000 for winning Conference Tournament Championship NCAA Tournament Invitation and Appearance: $20,000 for NCAA Tournament invitation and appearance NCAA Tourn_a_ment "Sweet Sixteen:" $20,000 for advancing to NCAA Tournament "Sweet Sixteen" NCAA Tournament "Elite $20,000 for advancing to NCAA Tournament "Elite 8" NCAA Tournament "Final Four:" $25,000 for advancing to NCAA Tournament "Final Four" Rice Rutgers Employment Agreement 070212 FINAL 9. NCAA Tournament National Championship $50,000 for winning the NCAA Tournament National Championship 10. NIT Invitation and Appearance: $10,000 for NIT Invitation and Appearance 1 1. NIT Championship: $15,000 for winning the NIT Championship 12. Conference Coach of the Year: $5,000 for being named Conference Coach of the Year 13. National Coach of the Year: 10,000 for being named National Coach of the Year by the Associated Press, US Basketball Writers Association, National Association of Basketball Coaches or The Sporting News. The bonus in this category National Coach of the Year) is not cumulative. Annual Attendance Bonus Incentives: Mr. Rice shall have the opportunity to eam bonuses, which shall not be added to the base salary or to the additional guaranteed compensation that are described in Section A and above, based on paid attendance for the men's home basketball games (excluding exhibition games), which excludes students sitting in sections set aside for them, as calculated by the Division of Intercollegiate Athletics in accordance with its regular business practices. Calculations made for the purpose of determining whether these bonus thresholds have been achieved shall be provided by the Division of Intercollegiate Athletics to Mr. Rice. The applicable thresholds and corresponding bonus amounts are set forth below. The bonuses, if earned, shall be paid within sixty (60) days from the conclusion of the Division I college basketball season. 1. Increase in Paid Season Ticket Sales: $7,500 if paid season ticket sales for each season covered by this Contract increase by at least 20%. This will be measured by comparing the final paid season ticket sales for the recently concluded season against the final paid season ticket sales for the prior season. 2. Number of Paid Season Ticl_