Form of Key Employee Retention Program Agreement

Exhibit 10(s)

Handleman Company

Form of Handleman Company Key Employee Retention Program Agreement

, 2007

Dear : Because Handleman Company (the " Company" ) has determined that you are important to the Company' s ability to conduct its critical business functions as it manages its business in a rapidly changing industry while pursuing its diversified strategic goal, the Company has agreed to pay you a Key Employee Retention Plan (" KERP" ) bonus of $ in the percentages and on the payment dates described on Attachment 1 to this agreement (the " KERP Bonus" ). The Company' s payment of the KERP Bonus to you is subject to the following conditions:

(a) Unless the Company terminates your employment, you agree to continue your employment with the Company through at least December 15, 2007 and March 15, 2009 (the " Payment Dates" ). You will not be entitled to the Bonus if you voluntarily terminate your employment with, or are terminated for cause, by the Company prior to the Payment Dates. For purposes of this agreement " cause" shall have the same meaning as it is defined in any employee handbook of the Comp ...