EXHIBIT 10.2 DePuy James A. Lent PO Box 988 President Warsaw, IN 46580 219 267 8143 ______________________________________________________________________________ DePuy logo A Division of Boehringer Mannheim Corporation July 13, 1992 Mr. Mike Dormer The Cottage Elgavin Court High Street Lymington Hants S041 9AA United Kingdom Dear Mike: It was delightful to meet with you and discuss the opportunity for you to join the DePuy team. I know from personal experience it is a very difficult decision to leave a fine company like Johnson & Johnson, but also from personal experience, there is life after J&J. To review our discussion, and subsequent telephone contact, the following points now constitute the offer being put forward by DePuy: Job Title: Executive Vice President, International. Responsibilities: Four International V. P. 's responsible for Sales and Marketing and all subsidiaries and distributors, as well as the Director of Operations report directly to the position. Basic Salary: (Pounds)90,000 Salary Review: Upon promotion to President, International, but no later than 1 July '93. Bonus 1992: Guaranteed at (Pounds)20,000 (paid February '93). Signing Bonus: (Pounds)40,000 (This is increased to this level in consideration of the loss in appreciation on your J&J stock options. My feeling is that it is unfair to penalize you for the mid-year timing of the move to DePuy.) Payable first day of employment. Long-Term Incentive Plan: Awards based upon exceeding DePuy Worldwide financial objectives with guaranteed award Page Two Mr. Mike Dormer July 13, 1992 value for 1992 of (Pounds)20,000. (There is also a second long-term incentive plan based on BMI performance that you would be eligible for as President, International.) Private Medical Cover: Family cover at the Company's expense Company Car: Company provided with selection options. Car Telephone: All costs met by DePuy. Pension: Directors' benefits (accrue pensionable services at 1/30th of pensionable salary per year of service plus 4 X annual salary life assurance cover. Retirement age - 60 years). Contractual Notice: 3 months from either side. Secrecy Agreement/ Confidentiality Agreement: To be signed. Relocation: To be discussed and agreed upon with inclusion of: 1. Buying and selling of real estate agency fees. 2. Household removal expenses. 3. Disturbance allowance (settling-in) of (Pounds)12,000. 4. Temporary accommodations. 5. House-hunting trips, including spouse. Compensation Payment: In the event that DePuy ends your employment at any time, otherwise than in circumstances in which your conduct justifies dismissal, DePuy will compensate you by paying to you (Pounds)10,416 monthly for a period of 24 mouths. This is to provide compensation for and is full settlement for all claims you might have against DePuy including salary, bonuses, and long-term incentive plans. These monthly payments would cease should you take employment with a competitor of DePuy during the 24-month period. I have also taken the liberty of providing you with a prospective financial package for July 1993 or upon promotion to President, International. Base Salary: (Pounds)105,000 1993 Bonus: (Pounds)40-50,000 (payable February 1994) Page Three Mr. Mike Dormer July 13, 1992 Long-Term Incentive Plan(s): (Pounds)40-50,000 total This package assumes a high standard of performance which we would expect Mike Dormer to accomplish, and we are sure you expect that of yourself. Mike, both Bill Tidmore and I feel you are the right man to eventually be the President of DePuy International and expect that you would advance beyond that in your career with Boehringer Mannheim International. We hope you feel that your future is best served by joining DePuy and that your decision is affirmative. Look forward to hearing from you in the next two weeks. Best regards, JAL James A. Lent Chairman and CEO, DePuy Worldwide JAL/ps cc: Detlef Halbach Taylor Seward Bill Tidmore P.S. Mike, if possible logistically, it would be prudent for you to meet with the members of our BMI Executive Committee. In this regard, Mr. Detlef Halbach, COO of BMI, will be contacting you at your home. ACCEPTED: M. Dormer Date: 5.8.92 - -------------------------------- -------------------