THIS EMPLOYMENT AGREEMENT (“Agreement”) is entered into as of November 1, 2006, by and
between HRB Management, Inc., a Missouri Corporation (the “Company”), and Carol Graebner (“Executive”).
1.01 Agreement as to Employment . Effective November 13, 2006, (the “Employment Date”), the
Company hereby employs Executive to serve in the capacity of Executive Vice President and General Counsel of
H&R BLOCK, INC., a Missouri Corporation (“Block”) and the indirect parent corporation of the Company,
and Executive hereby accepts such employment by the Company, subject to the terms of this Agreement. The
Company reserves the right, in its sole discretion, to change the title of Executive at any time.
1.02 Duties .
(a) Executive is employed by the Company to serve as its Executive Vice President and General Counsel,
subject to the authority and direction of Block’s Board of Directors (the “Board”) and the Chief Executive
Officer of Block. Subject to Section 1.07 hereof, the Company reserves the right to modify, delete, add, or
otherwise change Executive’s job responsibilities and job description, in its sole discretion, at any time. Executive
will perform such other duties, which may be beyond the scope of the job description, as are assigned to
Executive from time to time.
(b) So long as Executive is employed under this Agreement, Executive agrees to devote Executive’s full
business time and efforts exclusively on behalf of the Company and to competently and diligently discharge
Executive’s duties hereunder. Executive will not be prohibited from engaging in such personal, charitable, or other
nonemployment activities that do not interfere with Executive’s full-time employment hereunder and that do not
violate the other provisions of this Agreement or the H&R Block, Inc. Code of Business Ethics & Conduct,
which Executive acknowledges having read and understood. Executive will comply ful