PEAK INTERNATIONAL LTD
EMPLOYMENT AGREEMENT, DATED DECEMBER 1, 2000, BY AND BETWEEN THE COMPANY AND JER
<DOCUMENT>
<TYPE>EX-10.16
<SEQUENCE>4
<FILENAME>dex1016rymo.txt
<DESCRIPTION>EMPLOYMENT AGREEMENT, DATED DECEMBER 1, 2000, BY AND BETWEEN THE COMPANY AND JERRY MO
<TEXT>
<PAGE>

                                                                  EXHIBIT 10.16

                              EMPLOYMENT AGREEMENT

                                     between

                           PEAK INTERNATIONAL LIMITED

                                       and

                                    JERRY MO

                             Dated: December 1, 2000

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THIS AGREEMENT is made as of the first day of December, 2000 between PEAK
INTERNATIONAL LIMITED, a company incorporated in Bermuda, with its principal
office at 44091 Nobel Drive, Fremont, CA 94538 (the "Company"); and Jerry Mo,
residing at Flat B2, 5th Floor, 1 to 2 Hok Yu Lane, Kowloon, Hong Kong (the
"Employee").

The parties agree as follows:

1.       PAYMENT UPON TERMINATION OF EMPLOYMENT

         1.1. The term ("Term") of this Agreement shall commence on the date of
              execution of this Agreement and shall remain in effect for a
              period of three years from the date of this agreement (the
              "Employment").

         1.2. Subject to clauses 1.4 and 3, the Employee shall be entitled to a
              lump-sum payment in an amount equal to the amount, if any, to
              which he is entitled under the Employment Ordinance (Cap. 57) plus
              such amount the total of which shall be equal to 12 months base
              salary at the greater of the rate in effect on the effective date
              or as increased from time to time hereafter, and any accrued but
              unused vacation pay (the "Termination Payment") within 15 days of
              the termination of the Employment during the term hereof, and all
              of Employee's stock options which would have vested within 18
              months of the date of termination of the Employment shall
              immediately vest in full and, notwithstanding anything to the
              contrary contained in any other document, be fully exercisable for
              a period of one year.

         1.3. The Termination Payment shall be in full and final settlement of
              any rights, payments or benefits to which the Employee is entitled
              under any other agreement or arrangement pursuant to which he is
              employed by the Company or any of its subsidiaries or affiliates
              other than:

              1.3.1.   benefits pursuant to any life, disability, health, or
                 other insurance policy or benefit plan provided by the Company;

              1.3.2.   stock options issued to Employee pursuant to any stock
                 option plan of the Company.

         1.4. The Employee shall not be entitled to the Termination Payment when
              the Employment is terminated in any of the following circumstances
              (the Employee being entitled, in such circumstances, only to
              payment for accrued and unused vacation, any payments to which he
              is otherwise entitled pursuant to life, disability, health or
              other insurance plan, and to exercise any stock option to the
              extent otherwise vested and exercisable under the terms of such
              plan and stock option agreements):

              1.4.1.   the conviction of the Employee of a felony involving
                 dishonesty;

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         1.4.2.  termination of the Employee for Cause. "Cause" shall mean (i)
              Employee's conviction of or guilty plea to the commission of an
              act or acts constituting a felony under the laws of the United
              States or any state thereof, (ii) action by the Employee involving
              personal dishonesty, theft or fraud in connection with the
              Employee's duties as an officer of the Company, or (iii) a breach
              of any one or more material terms of this Agreement (including but
              not limited to the confidentiality and non-solicitation provisions
              contained herein.)

         1.4.3.  any material breach by the Employee of the terms of this
              Agreement that the Employee has failed to cure within 10 days of
              receipt of written notice of such breach from the Company;

         1.4.4.  the death of the Employee;

         1.4.5.  the inability of the Employee due to ill health or physical or
              mental condition to perform the duties and responsibilities in the
              ordinary and usual manner required of a person in the Employee's
              position for 180 consecutive days;

         1.4.6.  the resignation by the Employee, except if such resignation is
              the result of any of the following actions by the company: (1) the
              assignment to the Employee of any duties materially inconsistent
              with the Employee's position with the Company on the date of this
              Agreement or a substantial adverse alteration in the nature of the
              Employee's responsibilities from those in effect on the date of
              this Agreement; or (2) a material reduction by the Company of the
              Employee's annual base salary in effect on the date hereof or as
              the same may be increased from time to time.

2.  CHANGE IN CONTROL

    2.1. "Change in Control" of the Company means any transaction or series of
         transactions in which any of the following occurs:

         2.1.1.  the acquisition by any "person" (as such term is used in
              Section 13(d) and 14(d) of the Securities Exchange Act of 1934, as
              amended (the "Exchange Act") (other than by an Excluded Person (as
              defined below) or by the Company or a person that directly or
              indirectly controls, is controlled by, or is under common control
              with, the Company) of the "beneficial ownership" (as defined in
              Rule 13d-3 under the Exchange Act), directly or indirectly, of
              securities of the Company representing fifty percent (50%) or more
              of the total voting power represented by the Company's then
              outstanding voting securities,

         2.1.2.  the consummation of a merger or consolidation of the Company
              with or into any other corporation, other than a merger or
              consolidation that would result in the voting securities of the
              Company outstanding prior thereto continuing to represent (either
              by remaining outstanding or by being converted into voting
              securities of the surviving entity) at least fifty percent (50%)
              of the total voting power represented

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                  by the voting securities of the Company or such surviving
                  entity outstanding immediately after such merger or
                  consolidation, or

              2.1.3. the consummation of a plan of complete liquidation of the
                  Company or of the sale or disposition by the Company of all or
                  substantially all of the Company's assets; provided, however,
                  that a Change of Control shall not be deemed to have occurred
                  as a result of the consummation of transactions pursuant to
                  that certain Purchase Agreement relating to the Common Stock
                  between Luckygold 18A Limited and Peak TrENDS Trust dated as
                  of May 28, 1998. As used herein, "Excluded Person" means T.L.
                  Li, any of his immediate family members, trusts established
                  for the exclusive benefit of T.L. Li or any of his immediate
                  family members and any person who controls, is controlled by
                  or is under common control with T.L. Li, including without
                  limitation, Luckygold 18A Limited; provided, however, that for
                  the purposes of the definition of Excluded Person, "control"
                  means the beneficial ownership of more than 50% of the total
                  voting power of a person normally entitled to vote in the
                  election of directors, managers or trustees, as applicable to
                  a person.

         2.2. In the event Employee's employment with the Company is
              terminated in anticipation of or within two years following a
              Change of Control (i) by the Company without Good Cause or (ii) by
              Employee with Good Reason (as defined below), then, in addition to
              the payments Employee shall be entitled to pursuant to paragraph
              1, above, all of Employee's stock options shall immediately vest
              in full and, notwithstanding anything to the contrary contained in
              any other document, be fully exercisable for a period of one year.

3.       LIMITATION ON PAYMENTS

         3.1.     In the event that the payments to Employee under this
              Agreement (i) constitute "parachute payments" within the meaning
              of Section 280G of the Code, and (ii) but for this Section 3,
              would be subject to the excise tax imposed by Section 4999 of the
              Internal Revenue Code or any similar or successor provision, then
              the payments shall be reduced to such lesser amount that would
              result in no portion of the payments being subject to excise tax
              under Section 4999 of the Internal Revenue Code. Any determination
              required under this Section 3 shall be made by the Company's
              independent accountants (the "Accountants"), whose determination
              shall be conclusive and binding upon Employee and the Company for
              all purposes. For purposes of making the calculations required by
              this Section 3, the Accountants may make reasonable assumptions
              and approximations concerning applicable taxes and may rely on
              reasonable, good faith interpretations concerning the application
              of Sections 280G and 4999 of the Code. The Company and Employee
              shall furnish to the Accountants such information and documents as
              the Accountants may reasonably request in order to make a
              determination under this Section 3.

4.       CONFIDENTIALITY

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     4.1. The Employee understands that by virtue of the Employment, the
          Employee has been and will be exposed to confidential information,
          including all ideas, information and materials, tangible or
          intangible, relating to the business of the Company and its
          subsidiaries, their personnel (including their officers, directors,
          shareholders, trustees, agents, employees and contractors), their
          customers, clients, vendors, suppliers, distributors, consultants, and
          others with whom the Company and its subsidiaries do business
          ("Confidential Information").

     4.2. The Employee agrees not to disclose any Confidential Information
          obtained during the Employment for a period of 12 months after the
          termination of the Employment and thereafter not to disclose the same
          unless the Employee shall have procured that the proposed recipient of
          the Confidential Information has entered into an undertaking with the
          Employee to keep the same confidential on terms no less exacting than
          those set out herein; and provided always that the Employee shall not
          be obliged to keep confidential any Confidential Information required
          to be disclosed as a matter of law or to the extent that it becomes
          generally known to the public other than as a result of any breach by
          the Employee of the terms herein.

     4.3. The Employee covenants and undertakes that after the termination of
          the Employment, the Employee

          4.3.1. shall not for a period of 12 months after the termination of
                 the Employment use any Confidential Information for any
                 purpose;

          4.3.2. shall not retain or take with the Employee any Confidential
                 Information in a tangible form, which includes ideas,
                 information or materials in written or graphic form, on a
                 computer disc or other medium, or otherwise stored in or
                 available through electronic or other form ("Tangible Form");
                 and

          4.3.3. shall immediately deliver to the Company any Confidential
                 Information in a Tangible Form that the Employee may then or
                 thereafter hold or control, as well as all other property,
                 equipment, documents or things that the Employee was issued or
                 otherwise received or obtained during the Employment.

5.   RESTRICTIVE COVENANTS

     5.1. The Employee covenants and undertakes that for a period of 12 months
          following the termination of the Employment for any reason, the
          Employee shall not:

     5.2. directly or indirectly induce any person who is an employee of the
          Company (or any of its subsidiaries) to terminate his or her
          employment with the Company (or any of its subsidiaries), whether or
          not such termination constitutes a breach of that person's employment
          contract;

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     5.3. directly or indirectly solicit the customer or business of any person
          who, as at the date of termination of the Employment, is (or, within
          the preceding period of 12 months, was) a client or customer of the
          Company or its subsidiaries, with the intention or for the purpose of
          supplying (or procuring the supply of) precision engineered
          semiconductor packing material (including, without limitation, the
          collecting and recycling of semiconductor packing material); or

     5.4. directly or indirectly and whether on his own account or on account of
          any future employer, partner or associate, compete with the Company or
          otherwise engage in or provide services related to the precision
          engineered semiconductor packing business (including, without
          limitation, the business of collecting and recycling semiconductor
          packing material) in Hong Kong, Singapore, Malaysia or the United
          States of America.

     5.5. Notwithstanding the term specified in clause 3.1, the Employee may
          accept employment with, or provide services as an independent
          contractor to, a client or customer of the Company or its subsidiaries
          if, to do so, will not breach any term or condition of this Agreement.

6.   RELEASE

     6.1. In consideration of, and as an express condition precedent to, the
          Company's obligation to make the Termination Payment, the Employee
          shall sign and deliver to the Company a General Release in the form
          attached hereto as Appendix 1.

     6.2. The Company shall not be obliged to make the Termination Payment in
          the event that the General Release is not signed and delivered to the
          Company within 15 days of receipt of notice following termination of
          the Employment and the Company shall, thereafter, be released of its
          duties and obligations or further duties and obligations under this
          Agreement and the Employee shall waive or cause to be waived any
          claims that the Employee may have under this Agreement.

7.   ASSIGNMENT

     7.1. The rights and obligations under this Agreement shall inure to and be
          binding upon the parties hereto and their respective heirs, successors
          and assigns.

8.   NOTICES

     8.1. All notices and other communications provided for hereunder must be in
          writing and must be sent by courier to the party's address indicated
          above or to such other address as may be designated by a party by
          notice.

     8.2. Notices hereunder shall be effective when delivered.

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9.   MISCELLANEOUS

     9.1.  This Agreement shall supersede any and all prior written or oral
           agreements and discussions between the Employee and the Company
           regarding the subject matter hereof and this Agreement contains the
           entire understanding of the parties in respect of the subject matter
           hereof.

     9.2.  If any of the restrictions contained in this Agreement shall be void
           or unenforceable, then the remainder of this Agreement shall be
           enforced to the fullest extent permitted by law.

     9.3.  This Agreement is made in and shall be governed by and construed in
           accordance with the laws of Hong Kong.

10.  DISPUTES

     10.1. Any dispute hereunder shall be settled by binding arbitration in Hong
           Kong in the English language before a single arbitrator pursuant to
           the rules of the International Chamber of Commerce. Each party shall
           bear its own legal fees and costs. The cost of arbitration shall be
           paid by the Company.

IN WITNESS WHEREOF the parties hereto have duly executed this Agreement the day
and year first above written.

/s/ Jerry Mo
----------------------
Jerry Mo



SIGNED by  /s/ Calvin Reed
          -------------------------
duly authorized for and on behalf of
PEAK INTERNATIONAL LIMITED

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                                   APPENDIX I

                                 GENERAL RELEASE

[Insert Date]

I, Jerry Mo, hereby release Peak International Limited (the "Company") of
certain duties and obligations and waive any rights or remedies that I may have
against the Company as provided in this letter. This letter is delivered
pursuant to the Employment Agreement entered into between the Company and me
dated December 1, 2000 (the "Employment Agreement").

In consideration of the promises and mutual covenants contained in the
Employment Agreement, and for good and valuable consideration, the receipt and
sufficiency of which is expressly acknowledged, I hereby:

     1.  release and discharge the Company and its subsidiaries, and each of
         their respective past and present officers, directors, shareholders,
         managers, employees and agents, and their respective successors and
         assigns (collectively the "Released Parties"), from any and all claims
         or demands, that I may have, whether past, present or future, against
         the Released Parties, statutory or otherwise, to the fullest extent
         permissible by law; and

     2.  waive the obligations, duties and liabilities that the Company may
         have, whether past, present or future, statutory or otherwise, to the
         fullest extent permissible by law; arising out of or relating in any
         way to my employment with or termination of my employment with the
         Company.

This letter shall be governed by, subject to and construed and enforced pursuant
to the terms and conditions of the Employment Agreement.

____________________
Jerry Mo

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