Executive Employment Agreement
This Executive Employment Agreement (the “ Agreement ”) is entered into between Polymer Group,
Inc., (“ PGI ”) a Delaware corporation, and Veronica M. Hagen (“ Executive ”) effective as of April 23, 2007
(the “ Effective Date ”). PGI and Executive agree as follows:
ARTICLE 1: EMPLOYMENT, COMPENSATION AND BENEFITS
1.1 Term and Position . PGI agrees to employ Executive and Executive agrees to be employed by
PGI as Chief Executive Officer of PGI. As Chief Executive Officer, Executive shall be a member of PGI’s
Board of Directors (the “ Board ”). Executive shall have the normal duties, responsibilities, functions and
authority of the Chief Executive Officer and shall devote full working time to the successful conduct of the
business of PGI; however, Executive shall be permitted to serve on the board of directors of one for-profit
corporation (provided such corporation is not in competition with PGI) and one not-for-profit corporation.
Executive will report directly to the Board and Executive’s specific duties shall be determined by the Board. The
term of the Agreement shall be for a period of 3 years, commencing on April 23, 2007 and ending on April 22,
2010 (the “ Term ”); provided, however, that the Term shall be automatically extended for additional one (1)
year periods commencing on the third anniversary of the Effective Date unless written notice of termination of the
automatic extension is provided by either the Executive or PGI at least three months prior to the third anniversary
of the Effective Date, or each successive anniversary, as applicable; provided further, that if a “Change in
Control” of PGI (as defined below) occurs during the Term (including any extension thereof), the Term shall
automatically extend to the third anniversary of the Change in Control.
1.2 Compensation .
a. Base Compensation . For all services rendered by Executive during the Term,
Executive shall receive base compensatio