Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 1038

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 3
Chunk 1038
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 base salary and the average of the cash bonuses received over the
last two years, multiplied by two. In addition to the payment, we will also pay Mr. McMullan any vested and earned bonuses from previous
years that have not yet been paid. While we believe the amounts to be paid to Mr. McMullan upon termination are reasonable compensation
for services under the applicable provisions of the Internal Revenue Code, if the Bank’s independent accounting firm or independent
tax counsel determine that payments to the executive would constitute “excess parachute payments,” the payments to Mr. McMullan
will be either delivered in full or reduced such that no portion would be subject to any additional tax liability applicable to the executive
as a result of such payments, whichever results in the greatest amount of benefits to Mr. McMullan, as determined by the Bank’s
independent accounting firm or independent tax counsel.

Employment
Agreement with Chris Webster

Mr. Webster’s
employment agreement provides for certain change in control benefits to Mr. Webster. If, within 12 months following a change in control
the Bank terminates Mr. Webster without cause or Mr. Webster terminates his employment for good reason, Mr. Webster will be entitled
to severance equal to cash compensation in a single lump sum payment in an amount equal to the sum of his then current annual base salary
plus the average of his last two years’ bonuses, such amount multiplied by two, plus any bonus awarded for previous years but which
were not yet paid. While we believe the amounts to be paid to Mr. Webster upon termination are reasonable compensation for services under
the applicable provisions of the Internal Revenue Code, if the Bank’s independent accounting firm or independent tax counsel determine
that payments to the executive would constitute “excess parachute payments,” the payments to the executive will be either
delivered in full or reduced such that no portion would be subject to any additional tax liability applicable to the executive as a result
of such payments, whichever results in the greatest amount of benefits to the executive, as determined by the Bank’s independent
accounting firm or independent tax counsel.

Change
in Control Agreement with Paul Tees

Mr. Tees’ employment
agreement provides for certain change in control benefits to Mr. Tees. If, within 12 months following a change in control the Bank terminates
Mr. Tees without cause or Mr. Tees terminates his employment for good reason, Mr. Tees will be entitled to severance equal to cash compensation
in a single lump sum