DISCOVERY PARTNERS INTERNATIONAL, INC.
THIS CONSULTING AGREEMENT (this “Agreement”) is made and entered into as of January 1, 2003 (the “Effective
Date”) by and between Discovery Partners International, Inc., a Delaware corporation (the “Company”), and Arnold Hagler
(“Consultant”). The Company desires to retain Consultant as an independent contractor to perform consulting services for the
Company and Consultant is willing to perform such services, on terms set forth more fully below. In consideration of the mutual
promises contained herein, the parties agree as follows:
1. SERVICES AND COMPENSATION
(a) The Company agrees to engage Consultant, and Consultant agrees to provide services to the Company
under the terms and conditions herein provided. Consultant agrees to provide services to the Company, up to a maximum of
forty (40) days per year, in such capacity or capacities as may be agreed upon from time to time by the Company and
Consultant. Such services may include the provision of advice, input, and support for the Company’s internal research planning
and targeted external business development, marketing, publications, and communications activities. Consultant will not
perform any services for the Company except as and when authorized or requested by the Company.
(b) The Company shall pay Consultant for his services hereunder fifty thousand dollars ($50,000) per year,
payable semimonthly in the amount of $2,083.33. The Company shall reimburse Consultant for pre-approved and reasonable
expenses, such as telephone, travel and lodging expenses, incurred by Consultant at the Company’s request, consistent with
the Company’s general policies for employee/consultant expenses.
The parties acknowledge that during the Term of this Agreement Consultant shall be permitted to provide services to
third parties, including competitors of the Company, which services may be similar to the services provided by Consultant to