Exhibit 10.1

PURCHASE AND ASSUMPTION AGREEMENT

BY AND BETWEEN

PEOPLE’S UNITED BANK, NATIONAL ASSOCIATION

AND

BAR HARBOR BANK & TRUST

        

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TABLE OF CONTENTS
ARTICLE I DEFINITIONS;
ACCOUNTING.......................................................................................................
1
Section 1.1.
Defined
Terms.............................................................................................................................
1
Section 1.2.
Accounting
Terms.......................................................................................................................
10
ARTICLE II PURCHASE AND SALE OF PURCHASED ASSETS AND ASSUMPTION OF ASSUMED
LIABILITIES............................................................................................................................................................
10
Section 2.1.
Purchase and Sale of Purchased
Assets.......................................................................................
10
Section 2.2.
Assumption of Assumed
Liabilities............................................................................................
11
Section 2.3.
No Other Assets Purchased; Unassignable Assets and
Liabilities..............................................
11
Section 2.4.
Excluded
Liabilities.....................................................................................................................
12
ARTICLE III PURCHASE PRICE; PAYMENT; SETTLEMENT; TAX ALLOCATION;
PRORATION.............................................................................................................................................................
12
Section 3.1.
Purchase
Price.............................................................................................................................
12
Section 3.2.
Payments at
Closing....................................................................................................................
12
Section 3.3.
Post-Closing Consents and Second
Closing................................................................................
13
Section 3.4.
Adjustment of Estimated
Amounts..............................................................................................
13
Section 3.5.
Allocation of Purchase
Price.......................................................................................................
14
Section 3.6.
Proration; Other Closing Date
Adjustments................................................................................
15
ARTICLE IV
TAXES................................................................................................................................................
15
Section 4.1.
Sales, Transfer and Use
Taxes.....................................................................................................
15
Section 4.2.
Information
Reports....................................................................................................................
15
Section 4.3.
Taxes Related to the
Business.....................................................................................................
16
ARTICLE V REPRESENTATIONS AND WARRANTIES OF
SELLER...........................................................
16
Section 5.1.
Organization................................................................................................................................
16
Section 5.2.
Authority......................................................................................................................................
16
Section 5.3.
Non-Contravention......................................................................................................................
17
Section 5.4.
Compliance with
Law..................................................................................................................
17
Section 5.5.
Legal
Proceedings.......................................................................................................................
17
Section 5.6.
Consents and
Approvals..............................................................................................................
17
Section 5.7.
Community Reinvestment
Act....................................................................................................
17
Section 5.8.
Leases; Owned Real
Properties...................................................................................................
17
Section 5.9.
Necessary
Permits.......................................................................................................................
18
Section 5.10.
Environmental
Matters................................................................................................................
18
Section 5.11.
Title to Purchased
Assets.............................................................................................................
19
Section 5.12.
Deposit
Liabilities.......................................................................................................................
19
Section 5.13.
Labor and Employment
Matters..................................................................................................
19
Section 5.14.
Tax
Matters..................................................................................................................................
20
Section 5.15.
Wealth Management
Relationships.............................................................................................
20
Section 5.16.
Loans...........................................................................................................................................
20
Section 5.17.
No
Broker....................................................................................................................................
21
Section 5.18.
Limitations on Representations and
Warranties..........................................................................
21
ARTICLE VI REPRESENTATIONS AND WARRANTIES OF
PURCHASER................................................
22
Section 6.1.
Organization................................................................................................................................
22
Section 6.2.
Authority......................................................................................................................................
22
Section 6.3.
Non-Contravention......................................................................................................................
22
Section 6.4.
Compliance with
Law..................................................................................................................
22

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Section 6.5.
Legal
Proceedings.......................................................................................................................
23
Section 6.6.
Consents and Other Regulatory
Matters.....................................................................................
23
Section 6.7.
Community Reinvestment
Act....................................................................................................
24
Section 6.8.
WARN
Act...................................................................................................................................
24
Section 6.9.
Capital and Funding
Available....................................................................................................
24
Section 6.10.
Eligibility.....................................................................................................................................
24
Section 6.11.
No
Broker....................................................................................................................................
24
Section 6.12.
Limitations on Representations and
Warranties..........................................................................
24
ARTICLE VII COVENANTS OF
SELLER...........................................................................................................
24
Section 7.1.
Conduct of the
Business..............................................................................................................
24
Section 7.2.
Regulatory
Approvals..................................................................................................................
26
Section 7.3.
Landlord
Consents.......................................................................................................................
26
Section 7.4.
Other Third Party
Consents.........................................................................................................
27
Section 7.5.
Updated
Schedules......................................................................................................................
27
Section 7.6.
Servicing Prior to
Closing...........................................................................................................
28
Section 7.7.
Insurance.....................................................................................................................................
28
Section 7.8.
Non-Solicitation of Customers and
Employees..........................................................................
28
ARTICLE VIII COVENANTS OF
PURCHASER................................................................................................
29
Section 8.1.
Regulatory Approvals and
Standards..........................................................................................
29
Section 8.2.
Consents......................................................................................................................................
30
Section 8.3.
Solicitation of
Accounts..............................................................................................................
30
Section 8.4.
Recording of Instruments of
Assignment....................................................................................
31
Section 8.5.
Transferred
Employees................................................................................................................
31
ARTICLE IX ACCESS; EMPLOYEE AND CUSTOMER
COMMUNICATIONS..........................................
34
Section 9.1.
Access by
Purchaser....................................................................................................................
34
Section 9.2.
Communications to Employees;
Training...................................................................................
34
Section 9.3.
Communications with
Customers...............................................................................................
35
Section 9.4.
Public
Announcements................................................................................................................
35
ARTICLE X CONDITIONS TO
CLOSING..........................................................................................................
36
Section 10.1.
Conditions to Obligations of
Seller.............................................................................................
36
Section 10.2.
Conditions to Obligations of
Purchaser.......................................................................................
36
ARTICLE XI
CLOSING..........................................................................................................................................
37
Section 11.1.
Closing; Closing
Date.................................................................................................................
37
Section 11.2.
Seller’s
Deliveries.......................................................................................................................
37
Section 11.3.
Purchaser’s
Deliveries.................................................................................................................
39
ARTICLE XII TRANSITIONAL
MATTERS........................................................................................................
39
Section 12.1.
Payment of Deposit
Liabilities....................................................................................................
39
Section 12.2.
Delivery of Customer
Notice......................................................................................................
40
Section 12.3.
Delivery of Purchaser’s Check
Forms.........................................................................................
41
Section 12.4.
Uncollected Checks Returned to
Seller.......................................................................................
41
Section 12.5.
Telephone
Numbers.....................................................................................................................
41
Section 12.6.
New ATM/Debit
Cards................................................................................................................
41
Section 12.7.
Deactivation of ATMs and ATM/Debit
Cards.............................................................................
41
Section 12.8.
Installation of Equipment by
Purchaser.......................................................................................
42
Section 12.9.
Signage........................................................................................................................................
42
Section 12.10.
Actions With Respect to IRA and 401(k) Plan Deposit
Liabilities.............................................
43

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Section 12.11.
UCC-1 Assignment and Other
Documents.................................................................................
44
Section 12.12.
Conversion...................................................................................................................................
45
ARTICLE XIII POST-CLOSING
MATTERS.......................................................................................................
45
Section 13.1.
Further
Assurances......................................................................................................................
45
Section 13.2.
Access to Books and
Records.....................................................................................................
46
Section 13.3.
Deposit
Histories.........................................................................................................................
46
ARTICLE XIV
INDEMNITY..................................................................................................................................
46
Section 14.1.
Seller’s
Indemnity........................................................................................................................
46
Section 14.2.
Purchaser’s
Indemnity.................................................................................................................
47
Section 14.3.
Indemnification
Procedure..........................................................................................................
47
Section 14.4.
Limitations on
Liability...............................................................................................................
48
Section 14.5.
General........................................................................................................................................
49
ARTICLE XV
TERMINATION..............................................................................................................................
50
Section 15.1.
Termination.................................................................................................................................
50
Section 15.2.
Effect of
Termination...................................................................................................................
50
ARTICLE XVI
MISCELLANEOUS......................................................................................................................
51
Section 16.1.
Expenses......................................................................................................................................
51
Section 16.2.
Trade Names and
Trademarks.....................................................................................................
51
Section 16.3.
Confidentiality.............................................................................................................................
51
Section 16.4.
Notices.........................................................................................................................................
52
Section 16.5.
Interpretation...............................................................................................................................
53
Section 16.6.
Modification or
Amendment.......................................................................................................
53
Section 16.7.
Waiver..........................................................................................................................................
53
Section 16.8.
Binding Effect;
Assignment........................................................................................................
54
Section 16.9.
Severability..................................................................................................................................
54
Section 16.10.
Governing
Law............................................................................................................................
54
Section 16.11.
Consent to Jurisdiction; Waiver of Jury
Trial..............................................................................
54
Section 16.12.
Specific
Performance..................................................................................................................
55
Section 16.13.
No Third Party
Beneficiaries.......................................................................................................
55
Section 16.14.
Counterparts................................................................................................................................
55
Section 16.15.
Entire
Agreement.........................................................................................................................
55
Section 16.16.
Survival.......................................................................................................................................
55

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EXHIBITS

Exhibit A    Form of Assignment and Assumption Agreement
Exhibit B    Form of Deed
Exhibit C    Form of Lease Assignment
Exhibit D    Form of Bill of Sale
Exhibit E    Form of Seller’s Officer’s Certificate
Exhibit F    Form of Seller’s Limited Power of Attorney
Exhibit G    Form of Purchaser’s Officer’s Certificate

SCHEDULES

Schedule 1.1(a)    ATM Leases
Schedule 1.1(b)    Branches
Schedule 1.1(c)    Wealth Management Relationship Customers
Schedule 1.1(d)    Employees
Schedule 1.1(e)    Excluded Fixed Assets
Schedule 1.1(f)    Knowledge
Schedule 1.1(g)(i)    Landlord Consents
Schedule 1.1(g)(ii)    Required Landlord Consents
Schedule 1.1(h)    Leases
Schedule 1.1(i)    Loans
Schedule 1.1(j)    Owned Real Properties
Schedule 1.1(k)    Regulatory Approvals
Schedule 2.3(a)    Split Customers
Schedule 5.3        Necessary Consents
Schedule 8.5(i)    Employee Severance
Schedule 12.12    Terms of Data Processing Conversion

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PURCHASE AND ASSUMPTION AGREEMENT

This Purchase and Assumption Agreement (this “Agreement”) is made and entered
into as of July 8, 2019 by and between PEOPLE’S UNITED BANK, NATIONAL
ASSOCIATION, a national bank with its principal office at 850 Main Street,
Bridgeport, Connecticut 06604 (“Seller”) and BAR HARBOR BANK & TRUST, a
Maine-chartered bank with its principal office at 82 Main St., Bar Harbor, Maine
04609 (“Purchaser”). Seller and Purchaser are from time to time referred to
collectively as the “Parties,” or each individually as a “Party.”
WHEREAS, Seller desires to sell to Purchaser, and Purchaser desires to acquire
from Seller, certain of Seller’s assets in accordance with the terms and
provisions of this Agreement; and
WHEREAS, Seller desires to transfer to Purchaser, and Purchaser desires to
assume from Seller, certain of Seller’s liabilities in accordance with the terms
and provisions of this Agreement.
NOW, THEREFORE, in consideration of the premises and the mutual promises and
covenants contained in this Agreement, and other good and valuable
consideration, the receipt and sufficiency of which are acknowledged by the
Parties, the Parties agree as follows:

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ARTICLE I
DEFINITIONS; ACCOUNTING

Section 1.1.    Defined Terms. As used in this Agreement, the following terms
shall have the following meanings:
“2019 Incentives” has the meaning set forth in Section 8.5(j).
“401(k) Plan” means a retirement savings account as set forth in subsection
401(k) of the Code.
“Accrued Interest” means, as of any date, (a) with respect to the Deposit
Liabilities, any interest, fees, costs and other charges that have been accrued
on but not been paid or credited to the Deposit Liabilities, each as reflected
on Seller’s general ledger, and (b) with respect to the Purchased Assets, any
interest, fees, premiums, costs and other charges (including fees associated
with the Safe Deposit Agreements) that have accrued on or been charged to such
Purchased Assets (whether billed or unbilled) but have not been paid by the
applicable borrower, guarantor, surety or other obligor, or otherwise collected
by offset, recourse to collateral or otherwise, as reflected on Seller’s general
ledger.
“ACH” means the Automated Clearing House.
“Adjusted Deposit Premium” means the Deposit Premium calculated based on the
Average Deposit Liabilities as of the second (2nd) Business Day prior to the
Closing Date.
“Adjusted Payment Amount” means the amount by which the aggregate balance
(including Accrued Interest) of the Deposit Liabilities transferred to Purchaser
as of the Effective Time exceeds the Purchase Price as of the Effective Time,
which Purchase Price shall include any additional Purchase Price pursuant to
Section 3.3.
“Advance Lines” means the overdraft lines of credit to owners of the Deposit
Liabilities as of the Effective Time, plus any and all Accrued Interest on such
lines of credit.
“Affiliate” means, with respect to any Person, any other Person that directly or
indirectly through one or more intermediaries, controls, is controlled by, or is
under common control with, such Person, or any director, officer, partner, joint
venture or member of such Person, and any successors of such Persons.
“Agreement” has the meaning set forth in the preamble, together with all
attached exhibits and schedules.
“Assignment and Assumption Agreement” means an assignment and assumption
agreement with respect to the Assumed Liabilities in substantially the form of
Exhibit A.
“Assumed Liabilities” has the meaning set forth in Section 2.2.
“ATM” means an automated teller machine.

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“ATM Leases” means the lease agreements described on Schedule 1.1(a), as such
agreements have been amended, renewed or extended prior to the date of this
Agreement, and as may be further amended, renewed, extended or terminated in the
ordinary course of business and in accordance with this Agreement following the
date of this Agreement and prior to the Closing Date, pursuant to which Seller
or any of its subsidiaries leases real property on which ATMs are located, in
connection with the Business.
“Average Deposit Liabilities” means, as of any particular date, the average
daily balance of the Deposit Liabilities for ten (10) consecutive Business Days
which immediately precede such date.
“Base Date” means 11:59 p.m. Eastern Time on the Business Day immediately
preceding the date the Draft Closing Statement is delivered.
“Branches” means, collectively, the bank branches set forth on Schedule 1.1(b).
“Brokered Deposits” means any deposit of any Branch or the Milford Branch that
is a “brokered deposit” as defined in 12 C.F.R. § 337.6(a)(2).
“Business” means (a) the Advance Lines, the Loans, the Letter of Credit, the
Branches, the Cash, the Wealth Management Relationships, the Safe Deposit
Agreements, the Employees, the Fixed Assets, the Leases, the ATM Leases and the
Owned Real Properties; (b) the Deposit Liabilities; and (c) any and all
liabilities and obligations relating to the foregoing described in clauses (a)
and (b) above.
“Business Day” means any day that is not a Saturday, a Sunday or a day on which
banks are required or authorized by law to be closed in the State of Maine.
“Cash” means all petty cash, vault cash, teller cash, ATM cash, the value of
foreign currency, if any, in each Branch and the Milford Branch as of the
Effective Time or such other time mutually agreed to in writing by the Parties.
“Closing” has the meaning set forth in Section 11.1.
“Closing Date” means the date on which the Closing takes place which, except as
the Parties otherwise may mutually agree in writing or as provided in Section
10.2(a), shall be the first Friday which is at least three (3) Business Days
following the satisfaction or waiver of all conditions to the obligations of the
Parties set forth in Article XIII (other than obligations to be performed at the
Closing).
“Closing Wealth Management Revenues” means the aggregate Wealth Management
Revenues for all Wealth Management Relationship Customers (excluding
Non-Consenting Customers) as of the Closing Date or the Second Closing Date, as
applicable.
“Code” means the Internal Revenue Code of 1986, as amended.

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“Comparable Job” means, with respect to any Employee, a position with Purchaser
or any of its Affiliates (a) with at least the same annual base salary or wage
rate as the annual base salary or wage rate paid by Seller to such Employee
immediately prior to the Closing; (b) with at least the same cash bonus
opportunities provided by Seller to such Employee in respect of the calendar
year in which the Closing Date occurs; (c) with at least the same, or
substantially similar, job duties and responsibilities as immediately preceding
the Closing; (d) with no significant changes in work schedule as compared to
such Employee’s work schedule immediately preceding the Closing; and (e) to be
performed at the same location, or a location no further than thirty-five (35)
miles from the location, where such Employee provides services immediately
preceding the Closing.
“Confidentiality Agreement” means that certain Confidentiality Agreement between
an Affiliate of Purchaser and an Affiliate of Seller, dated as of April 12,
2019.
“CRA” means the Community Reinvestment Act of 1977, as amended (12 U.S.C. §§
2901 et seq.).
“Customer” means any of (a) the Persons named as the owners of the Deposit
Accounts, (b) the Persons listed on Schedule 1.1(c) (the “Wealth Management
Relationship Customers”), subject to Section 7.5, and (c) the Persons to whom
Seller or any of its Affiliates has made any outstanding Loan.
“Customer Notices” means a letter, notice, statement or other form of
communication sent to Customers and announcing the transactions in accordance
with Section 9.3 and Section 12.2.
“Damages” means, collectively, claims, losses, liabilities, demands and
obligations of any nature whatsoever (including reasonable legal fees and
expenses).
“Deductible Amount” has the meaning set forth in Section 14.4(a).
“Deed” means deeds with respect to the respective Owned Real Properties, each in
substantially the form of Exhibit B.
“Deposit Account” means a deposit account that represents a Deposit Liability.
“Deposit Liabilities” or “Deposit Liability” means all of Seller’s deposit
liabilities and obligations, with respect to deposit accounts of Customers
assigned to a Branch or the Milford Branch that constitute “deposits” for the
purposes of the FDIA, including, without limitation, all passbook accounts,
statement savings accounts, checking, money market and NOW accounts,
certificates of deposit, and all Accrued Interest on such accounts. Deposit
Liabilities shall include accounts subject to sweep, repurchase or similar
arrangements. Deposit Liabilities shall include the Negative Deposits. Deposit
Liabilities shall exclude (a) all Deposit Liabilities that are Excluded
IRA/401(k) Plan Deposits, (b) all liabilities, notwithstanding Section 7.4, that
are not transferable pursuant to applicable law or regulation and (c) Brokered
Deposits.
“Deposit Premium” has the meaning set forth in Section 3.1(a).

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“Draft Closing Statement” means a closing statement, in a form agreed to by the
Parties, as of the Base Date, setting forth an estimate of the Purchase Price,
the Estimated Deposit Premium, the Estimated Payment Amount, and any other
information mutually agreed to by the Parties.
“Earned Portion” has the meaning set forth in Section 8.5(j).
“Effective Time” means 11:59 p.m. Eastern Time on the Closing Date or the Second
Closing Date only with respect to the Purchased Assets transferred at the Second
Closing.
“Employees” means the employees of Seller or any of its Affiliates working in,
assigned to or affiliated with any Branch or the Milford Branch or the Business,
as applicable, as set forth on Schedule 1.1(d), as such Schedule may be updated
prior to the date that is (20) Business Days prior to the Closing Date, or in
connection with the Closing, as set forth in Section 7.5, to (i) exclude any
such employees who (x) transfer jobs within Seller or any of its Affiliates to a
location not in a Branch or the Milford Branch or (y) leave Seller’s or any of
its Affiliates employ between the date of this Agreement and the Effective Time
and (ii) include (x) replacements of such employees described in clause (i) of
this definition made in the ordinary course of business between the date of this
Agreement and the Closing Date and (y) any Person who fills a vacant position at
a Branch or the Milford Branch in the ordinary course of business between the
date of this Agreement and the Closing Date to provide Branch or the Milford
Branch services to Customers.
“ERISA” means the Employee Retirement Income Security Act of 1974, as amended.
“Estimated Deposit Premium” means the Deposit Premium calculated based on the
Average Deposit Liabilities as of the date the Draft Closing Statement is
delivered.
“Estimated Payment Amount” means the amount by which the aggregate balance
(including Accrued Interest) of the Deposit Liabilities exceeds the Purchase
Price, in each case as determined as of the Base Date.
“Excluded Fixed Assets” means (a) all artwork, supplies, signs, marketing aids,
trade fixtures or equipment specifically identifying or relating in any way to
Seller or any of its Affiliates or containing any trade name, trademark or
service mark, logo or corporate name or other symbol of Seller or any of its
Affiliates and located in the Branches on the Closing Date; (b) all software,
source and object code, associated licenses, user manuals and related documents
and all updates, upgrades or other revisions to such assets and all copies or
duplicates of such assets located in the Branches on the Closing Date; (c) all
computers; (d) all electronic mail records and databases; (e) all Internet
domain names and uniform resource locators; (f) any Fixed Assets not acquired by
Purchaser pursuant to Section 7.3(b); and (g) any other furniture, fixtures,
equipment, leasehold improvements and other assets set forth on Schedule 1.1(e),
which may be amended by the mutual agreement of the Parties between the date of
this Agreement and the Closing Date.
“Excluded IRA/401(k) Plan Deposits” has the meaning set forth in Section
12.10(a).
“FDIA” means the Federal Deposit Insurance Act, as amended (12 U.S.C. § 1811 et
seq.).

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“FDIC” means the Federal Deposit Insurance Corporation.
“Federal Funds Rate” means, for the applicable period, the rate set forth in the
cell beneath the most recent “week ending” column opposite the “Federal Funds
(Effective)” row set forth in the H.15(519) published immediately prior to the
date of the related calculation. H.15(519) means the weekly statistical release
designated as such, or any successor publication, published by the Board of
Governors of the Federal Reserve System.
“Final” means, as applied to any governmental order or action, that such order
or action has not been stayed, vacated or otherwise rendered ineffective and
either (a) the time period for taking an appeal from such order or action shall
have passed without an appeal having been taken, or (b) if any such appeal shall
have been dismissed or resolved, all applicable periods for further appeal of
such order or action shall have passed.
“Final Approval Date” means, with respect to the transactions contemplated by
this Agreement, the date upon which all Regulatory Approvals have been obtained
and any related waiting periods shall have expired or been terminated.
“Final Closing Statement” means a statement, in a form agreed to by the Parties
and signed by the Parties, setting forth (a) the Purchase Price (which shall
include any additional Purchase Price pursuant to Section 3.3) and each
component of the Purchase Price as of the applicable Effective Time, (b) the
amount of Deposit Liabilities transferred to Purchaser as of the applicable
Effective Time, (c) the Adjusted Deposit Premium and the Adjusted Payment
Amount, (d) all adjustments and prorations contemplated by Section 3.6, and (e)
any other items mutually agreed to by the Parties.
“Fixed Assets” means all of the furniture, fixtures, equipment, safe deposit
boxes (exclusive of contents), computers, ATMs, leasehold improvements and other
assets owned by Seller and located in the Branches or in a location subject to
an ATM Lease as of the Effective Time. Fixed Assets shall exclude the Excluded
Fixed Assets and any proprietary information or any trade name, trademark or
service mark, logo or corporate name of Seller or any of its Affiliates
contained within or relating to such Fixed Assets.
“GAAP” means generally accepted accounting principles in effect in the United
States of America.
“Governmental Entity” means any federal, state, or local agency, court,
tribunal, administrative body, arbitration panel, department or other
legislative, judicial, governmental, quasi-governmental entity or
self-regulatory organization.
“Indemnified Party” means a party entitled to indemnification under this
Agreement.
“Indemnitor” means a party having an indemnification obligation under this
Agreement.
“IRA” shall mean an account created by a trust for the benefit of an individual
or his or her beneficiary and that complies with the provisions of Section 408
or 408A of the Code.

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“IRS” means the Internal Revenue Service of the United States of America.
“Items” means checks, drafts, negotiable orders of withdrawal, electronic
debits, ACH transactions and items of a like kind which are drawn on or
deposited and credited to the Deposit Liabilities.
“Knowledge” means, (i) with respect to Seller, the knowledge, after reasonable
investigation, of any of Seller’s officers listed on Schedule 1.1(f)(i) and (ii)
with respect to Purchaser, the knowledge, after reasonable investigation, of any
of Purchaser’s officers listed on Schedule 1.1(f)(ii).
“Landlord Consents” means the written consents of the landlords to the
assignment of the Leases or ATM Leases, as applicable, which consents are
required pursuant to the terms of the Leases or ATM Leases, as applicable, prior
to the assignment of the Leases or ATM Leases, as applicable, by Seller to
Purchaser on the Closing Date and are set forth on Schedule 1.1(g)(i).
“Lease Assignment” means a lease assignment and assumption agreement with
respect to a Lease or ATM Lease, as applicable, in substantially the form of
Exhibit C, subject to comments and changes thereto requested by landlords.
“Leases” means the lease agreements for the six (6) Branches described on
Schedule 1.1(h), as such agreements have been amended, renewed or extended prior
to the date of this Agreement, and as may be further amended, renewed, extended
or terminated in the ordinary course of business and in accordance with this
Agreement following the date of the Agreement and prior to the Closing Date.
“Letter of Credit” means any letter of credit, including any standby letter of
credit, issued by Seller for the account of any Customer.
“Lien” means any lien, easement, right of way, covenant, restrictions, pledge,
encumbrance, encroachment, security interest, mortgage, deed of trust, lease,
license, option or other adverse claim of any kind or description.
“Loan Documents” means the files and documents included therein maintained by
Seller in the ordinary course of business relating specifically to the Loans,
including loan applications, notes, security agreements, deeds of trust,
mortgages, loan agreements, appraisals, credit reports, titles to collateral
(titles to cars, boats, etc.), all verifications (including employment
verification, deposit verification, etc.), financial statements of borrowers and
guarantors, independently prepared financial statements, commitment letters,
guarantees, pledge agreements, intercreditor agreements, participation
agreements, security and collateral agreements, sureties and insurance policies
(including title insurance policies) and all written modifications, waivers and
consents relating to any of the foregoing, in each case, in Seller’s possession
as of the date of this Agreement (it being understood and agreed that “Loan
Documents” shall not include any proprietary or internal Seller information
including “credit scoring” reports and valuations, financial models,
underwriting or approval memoranda and similar materials).

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“Loans” means the loans and other extensions of credit set forth on Schedule
1.1(i). “Loans” shall not include any loan subject to or affected by the
Specified Litigation.
“Material Adverse Effect” means any circumstance, change in or effect on the
Purchased Assets or the Assumed Liabilities that is materially adverse to the
business, operations, results of operations or the condition (financial or
otherwise) of the Business taken as a whole; provided, however that “Material
Adverse Effect” shall not include any circumstance, change in or effect on the
Business: (a) arising out of or relating to (i) changes in general economic,
monetary or political conditions, including the outbreak of war or acts of
terrorism, (ii) changes in prevailing interest rates, (iii) changes in GAAP or
in laws, rules, regulations or agency guidelines applicable to the banking
industry, or in the interpretation thereof by Governmental Entities, (iv)
compliance with the terms of this Agreement, or (v) any actions expressly
provided for pursuant to this Agreement or actions or omissions taken pursuant
to the written request or consent of Purchaser, or (b) directly arising out of
or attributable to the announcement of the transactions contemplated by this
Agreement.
“Milford Branch” means the bank branch located at 12 Main Street, Milford, Maine
04461.
“Necessary Consents” has the meaning set forth in Section 5.3.
“Negative Deposits” means overdrafts in Deposit Accounts which are not covered
by Advance Lines, and any and all Accrued Interest on such Deposit Accounts, all
as reflected on Seller’s general ledger as of the Effective Time.
“New Wealth Management Relationship Customer” means any Person that becomes a
Wealth Management Relationship Customer after the date hereof.
“Non-Consenting Customer” means each Wealth Management Relationship Customer
(including any New Wealth Management Relationship Customer) for which Seller has
not obtained all third-party consents required to assign the related Wealth
Management Relationship pursuant to Section 7.4.
“OCC” means the Office of the Comptroller of the Currency.
“Owned Real Property” means each of the two (2) Branches owned by Seller or any
of its Affiliates, each as described on Schedule 1.1(j).
“Party” or “Parties” has the meaning set forth in the preamble.
“Permitted Liens” means (a) Liens for taxes, assessments, governmental charges
or levies not yet due and payable or which although delinquent are being
contested in good faith by appropriate proceedings; (b) Liens resulting from a
filing by a lessor as a precautionary filing for a lease; (c) landlords’ Liens
under the Leases or ATM Leases other than as a result of an uncured default by
the tenant thereunder; (d) Liens imposed by law, such as carriers’,
warehousemen’s and mechanics’ Liens and other similar Liens arising in the
ordinary course of business which secure payment of obligations not more than
ninety (90) days past due, which are being contested in good faith by

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appropriate proceedings, or which are otherwise bonded or insured over; (e)
zoning, land use and other similar laws, ordinances or rules applicable to real
property which are not violated in any material respect; (f) Liens on real
property (including title defects or imperfections, easements, covenants, rights
of way and similar restrictions) that (A) are matters of record, (B) would be
disclosed by a current, accurate survey or physical inspection of such real
property, or (C) do not materially interfere with the present uses of such real
property; (g) any matters that may be disclosed by title insurance policies,
reports or commitments; or (h) any other Liens affecting the Purchased Assets
which do not adversely affect the ownership, operation or value of such
Purchased Assets in any material respect.
“Person” means any individual, partnership, joint venture, corporation,
association, trust, limited liability company, unincorporated organization,
Governmental Entity or other entity.
“PTO” has the meaning set forth in Section 8.5(e).
“Purchase Price” has the meaning set forth in Section 3.1.
“Purchased Assets” has the meaning set forth in Section 2.1.
“Purchaser” has the meaning set forth in the preamble.
“Purchaser 401(k) Plans” has the meaning set forth in Section 8.5(c).
“Purchaser Benefit Arrangement” has the meaning set forth in Section 8.5(e).
“Purchaser’s Account” means an account established by or on behalf of Purchaser
and identified to Seller no later than three (3) Business Days prior to the
Closing Date.
“Records” means (a) as to the Loans, the Loan Documents and (b) as to other
Purchased Assets and Assumed Liabilities, all records and original documents, or
where reasonable and appropriate copies thereof, that are in Seller’s or any of
its Affiliates’ possession, to the extent transferable without violating
applicable law, relating primarily to such Purchased Assets and Assumed
Liabilities or the operation of the Branches or the Milford Branch.
“Regulatory Approvals” means the consents, approvals, authorizations or other
orders of or actions by the Governmental Entities necessary to consummate the
transactions contemplated by this Agreement, which are set forth on Schedule
1.1(k).
“Representative” means, with respect to any Person, any and all directors,
officers, employees, consultants, financial advisors, counsel, accountants and
other agents of such Person.
“Residual Processing Account” means a demand deposit account containing
sufficient funds for the purposes set forth in this Agreement that is
established and maintained by Purchaser with Seller during the period beginning
on the Closing Date and ending on the ninetieth (90th) day following the Closing
Date for the purposes contemplated by this Agreement.

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“Safe Deposit Agreements” means the agreements relating to safe deposit boxes
located in the Branches as of the Effective Time.
“Second Closing” has the meaning set forth in Section 3.3.
“Second Closing Date” has the meaning set forth in Section 3.3.
“Seller” has the meaning set forth in the preamble.
“Seller’s Account” means an account established by or on behalf of Seller and
identified to Purchaser no later than three (3) Business Days prior to the
Closing Date.
“Specified Litigation” means Old Town Utility & Technology Park, LLC v.
Consolidated Edison Solutions, Inc., No. 2:19-cv-00029-JDL (Me. Super. Ct. filed
Jan. 11, 2019), and any related litigation, action, claim, proceeding,
investigation, prosecution, defense, negotiation or settlement.
“Transferred Employees” means all Employees who accept offers of employment from
Purchaser as contemplated by Section 8.5(a).
“Treasury Regulations” means the regulations promulgated by the United States
Department of the Treasury pursuant to and in respect of provisions of the Code.
“WARN Act” means the Worker Adjustment and Retraining Notification Act as
amended (29 U.S.C. § 2101 et seq.).
“Wealth Management Relationship Customers” has the meaning set forth in Section
1.1.
“Wealth Management Relationships” means the relationships with the Wealth
Management Relationship Customers relating to the provision by Seller or an
Affiliate of financial planning, annuities, life insurance, securities
brokerage, investment advisory and similar services, as well as all assets under
management or custody, associated with each of such relationships.
“Wealth Management Revenues” means (i) the revenue run-rate for all Wealth
Management Relationship Customers as set forth on Schedule 1.1(c) and (ii) for
any New Wealth Management Relationship Customers, an amount (A) equal to the
amount of assets under management or custody by Seller as of the Effective Date
multiplied by the applicable annualized fee rate for such Customer or (B)
otherwise set forth on updated Schedule 1.1(c) delivered pursuant to Section
7.5.

Section 1.2.    Accounting Terms. All accounting terms not otherwise defined in
this Agreement shall have the respective meanings assigned to them in accordance
with GAAP.

ARTICLE II    
PURCHASE AND SALE OF PURCHASED ASSETS AND
ASSUMPTION OF ASSUMED LIABILITIES

Section 2.1.    Purchase and Sale of Purchased Assets. Subject to the terms and
conditions of this Agreement, as of the Closing or the Second Closing, as
applicable, Seller shall, and shall cause its applicable Affiliate to, sell,
convey, assign, transfer and deliver to Purchaser, and Purchaser shall purchase
and accept from Seller, all of Seller’s and such Affiliate’s right, title and
interest in and to the following (collectively, the “Purchased Assets”):
(a)    the Advance Lines and the Loans, together with all related collateral in
the possession of or otherwise granted to Seller or any Affiliate thereof;
(b)    the Cash;
(c)    the Fixed Assets;
(d)    the Wealth Management Relationships;
(e)    the Letters of Credit issued by Seller, together with all reimbursement
agreements, related documents (including any collateral documents) and all
related collateral in the possession of or otherwise granted to Seller or any
Affiliate thereof;
(f)    the Leases and ATM Leases and all security deposits held by the lessor
under any Lease or ATM Lease;
(g)    the Owned Real Properties;
(h)    all of Seller’s rights with respect to the contracts and relationships
arising from and relating to the Deposit Liabilities, including, without
limitation, deposit account, online banking and cash management agreements;
(i)    the Safe Deposit Agreements and all keys for the safe deposit boxes;
(j)    all insurance premiums paid by Seller to the FDIC which are allocated to
the deposit insurance coverage for the Deposit Liabilities following the Closing
Date, to the extent that a proration or adjustment is made with respect to such
premiums pursuant to Section 3.6;
(k)    any of Seller’s prepaid expenses related to the operations of the
Business to the extent that a proration or adjustment is made with respect to
such expenses pursuant to Section 3.6; and
(l)    to the extent permitted by applicable law and regulation, all of Seller’s
right, title and interest in and to all Records concerning the Purchased Assets
set forth in clauses (a) through (k) above and the Assumed Liabilities in the
possession of Seller.

Section 2.2.    Assumption of Assumed Liabilities. Subject to the terms and
conditions of this Agreement, Purchaser shall, as of the Closing or the Second
Closing as applicable, and pursuant to the Assignment and Assumption Agreement,
assume the following liabilities and obligations of Seller (collectively, the
“Assumed Liabilities”):
(a)    the Deposit Liabilities;
(b)    those liabilities and obligations (i) assumed pursuant to Section 8.5 or
(ii) arising after Closing with respect to the Transferred Employees;
(c)    any of Seller’s accrued and unpaid expenses related to the operations of
the Business to the extent a proration or adjustment is made with respect to
such expenses pursuant to Section 3.6; and
(d)    any and all other liabilities and obligations relating to or arising out
of the Purchased Assets or the other Assumed Liabilities, to be performed after
the Closing or arising from and after the Closing Date, including all
obligations to make additional extensions of credit under the credit agreements
pursuant to which the Loans were made, or otherwise arising from or relating to
the conduct of the Business or the operation of the Business from and after the
Closing, but only to the extent that such liabilities or obligations arise or
accrue after the Effective Time.

Section 2.3.    No Other Assets Purchased; Unassignable Assets and Liabilities.
(a)    Purchaser understands and agrees that it is only purchasing the Purchased
Assets and except as may be expressly provided for in this Agreement, Purchaser
will not have any interest in any loans or other business relationship which
Seller or any of its Affiliates has or may have with (i) any Customer set forth
in Schedule 2.3(a) (with respect to the products and services listed therein) or
(ii) any other customer of Seller or any of its Affiliates. Purchaser further
understands and agrees that Seller and its Affiliates are retaining any and all
rights and claims which any of them may have, including, but not limited to,
indemnification or reimbursement rights, with respect to the Purchased Assets
and the Assumed Liabilities, to the extent that such rights or claims relate to
the conduct of the Business prior to the Closing.
(b)    Notwithstanding anything in this Agreement to the contrary, Seller shall
not be obligated to assign any Purchased Asset or Assumed Liability, or any
claim, right or any benefit arising or resulting from such Purchased Asset or
Assumed Liability, if (i) the consent of a third party is required for such
assignment and such consent cannot be obtained pursuant to Section 7.3 or
Section 7.4 or (ii) such assignment would be contrary to applicable law.

Section 2.4.    Excluded Liabilities.
(a)    Except for the Assumed Liabilities or as otherwise set forth in this
Agreement, Purchaser shall not assume or be bound by any liabilities or
obligations of Seller or any of its Affiliates.
(a)    Purchaser shall not assume or be bound by any liabilities or obligations
arising from any actions, suits or proceedings by Customers or Employees
concerning the Business that are pending or, to the Knowledge of Seller,
threatened, as of the Closing Date, including the Specified Litigation.

ARTICLE III    
PURCHASE PRICE; PAYMENT;
SETTLEMENT; TAX ALLOCATION; PRORATION

Section 3.1.    Purchase Price. The purchase price for the Purchased Assets
shall be an amount computed as follows (the “Purchase Price”):  
(a)    an amount equal to 6.3 percent (6.3%) of the Average Deposit Liabilities
(the “Deposit Premium”); PLUS
(b)    (i) $3,000,000 for the Owned Real Property and Fixed Assets of the Branch
and attached premises located at 183 & 201 Main Street, Bangor, Maine and (ii)
the aggregate net book value of (A) the Fixed Assets located in the other
Branches, and (B) the other Owned Real Properties, in each case of clauses (A)
and (B), as reflected on the general ledger of Seller as of the close of
business on the last day of the calendar month immediately preceding the
calendar month in which the Closing Date occurs; PLUS
(c)    an amount equal to the product of (i) 1.2 multiplied by (ii) the
applicable aggregate Closing Wealth Management Revenues; PLUS
(d)    the aggregate unpaid principal balance of and Accrued Interest on the
Advance Lines, the Letters of Credit and the Loans, as reflected on the general
ledger of Seller as of the Effective Time; PLUS
(e)    the aggregate amount of Cash as of the Effective Time; LESS
(f)    the Earned Portion.

Section 3.2.    Payments at Closing. Seller shall deliver the Draft Closing
Statement to Purchaser on or prior to the third (3rd) Business Day immediately
preceding the Closing Date or such other date as the Parties otherwise may
mutually agree in writing. On or before noon Eastern Time on the Closing Date,
Seller shall pay to Purchaser by wire transfer of immediately available funds to
Purchaser’s Account the Estimated Payment Amount. Seller shall make available to
Purchaser such work papers, schedules and other supporting documentation as may
be reasonably requested by Purchaser to enable it to verify the amounts set
forth in the Draft Closing Statement.

Section 3.3.    Post-Closing Consents and Second Closing. If the Closing has
occurred and there is any Non-Consenting Customer as of Closing, then Purchaser
and Seller shall each use their commercially reasonable efforts to attempt to
obtain the missing consents over a period not to exceed ninety (90) days after
Closing. If by the end of such ninety (90) day period Seller shall have received
all necessary consents to transfer the accounts of one or more of such
Non-Consenting Customers, there shall be held a one-time second Closing (the
“Second Closing”) at or before noon Eastern Time on the Second Closing Date, at
which (i) Purchaser shall pay to Seller by wire transfer of immediately
available funds to Seller’s Account such additional Purchase Price for such
consenting Wealth Management Relationship Customer(s) and (ii) Seller shall
deliver to Purchaser consents of Customers relating to the Wealth Management
Relationships obtained after the Closing Date. The date on which the Second
Closing occurs shall be referred to herein as the “Second Closing Date”.

Section 3.4.    Adjustment of Estimated Amounts.  
(a)    On or before noon Eastern Time on the thirtieth (30th) Business Day
following the later of the Closing Date and the Second Closing Date, if any,
Seller shall deliver the Final Closing Statement to Purchaser. Seller shall make
available to Purchaser such work papers, schedules and other supporting data as
may be reasonably requested by Purchaser to enable it to verify the amounts set
forth in the Final Closing Statement.
(b)    If Purchaser agrees with Seller’s calculation of the Adjusted Payment
Amount, then within fifteen (15) Business Days after Seller’s delivery of the
Final Closing Statement to Purchaser, (i) if the Adjusted Payment Amount exceeds
the amount equal to (x) the Estimated Payment Amount minus (y) any additional
Purchase Price paid pursuant to Section 3.3, Seller shall pay to Purchaser by
wire transfer of immediately available funds to Purchaser’s Account, an amount
equal to such excess plus interest on such excess amount calculated at the
Federal Funds Rate for the period beginning on the Closing Date to, but
excluding, the date of such payment; or (ii) if the amount equal to (x) the
Estimated Payment Amount minus (y) any additional Purchase Price paid pursuant
to Section 3.3 exceeds the Adjusted Payment Amount, Purchaser shall refund to
Seller by wire transfer of immediately available funds to Seller’s Account, an
amount equal to such excess plus interest on such excess amount calculated at
the Federal Funds Rate for the period beginning on the Closing Date to, but
excluding, the date of such refund. Any payment or refund pursuant to this
Section 3.4(b) shall be treated as an adjustment to the Purchase Price.
(c)    If Purchaser does not agree with Seller’s calculation of the Adjusted
Payment Amount, then within fifteen (15) Business Days after Seller’s delivery
of the Final Closing Statement to Purchaser, Purchaser shall notify Seller in
writing of Purchaser’s disagreement with Seller’s calculation. If the Parties
agree upon such calculation or otherwise resolve such disagreement, in each case
in writing, by the sixtieth (60th) Business Day following the Closing Date or
the Second Closing Date, as applicable, each Party will make the appropriate
payments as required by Section 3.4(b) no later than close of business on such
date.
(d)    If the Parties cannot agree upon the Adjusted Payment Amount or the
Adjusted Deposit Premium by the sixtieth (60th) Business Day following the
Closing Date or the Second Closing Date, as applicable, the Parties shall engage
a mutually agreed upon independent public accountant to make such calculation.
The cost of such independent public accountant shall be shared equally between
the Parties. The calculation by the independent public accountant shall be final
and binding upon the Parties and shall be made on or before close of business on
the first (1st) Business Day following the delivery in writing by the
independent public accountant of the calculation to the Parties (or such other
date and time as the Parties otherwise may mutually agree in writing). Such
amounts shall be paid in such manner and with interest in accordance with the
provisions of Section 3.4(b) above.

Section 3.5.    Allocation of Purchase Price.
(a)    The Parties agree that, upon final determination of the Purchase Price,
the Purchase Price shall be allocated in accordance with the rules under Section
1060 of the Code and the Treasury Regulations promulgated thereunder, such
allocation shall be mutually agreed upon between the Parties. Purchaser shall
deliver an allocation statement to Seller within sixty (60) Business Days after
the Final Closing Statement is agreed to by the Parties or otherwise determined
as final in accordance with Section 3.4 (b) or (d). Any issues with respect to
the allocation that have not been finally resolved within seventy-five (75)
Business Days following the later of the Closing and the Second Closing, if any,
shall be referred to an independent public accountant as to which Seller and
Purchaser mutually agree whose determination shall be final and binding upon the
Parties. The Parties agree that, for federal income tax purposes, the Purchase
Price shall be treated as being an amount equal to the aggregate Assumed
Liabilities assumed by Purchaser under this Agreement, reduced by the aggregate
net amount paid by Seller to Purchaser under this Agreement.
(b)    The Parties shall report the transactions contemplated by this Agreement
(including income tax reporting requirements imposed pursuant to Section 1060 of
the Code) in accordance with the allocation set forth on the statement prepared
pursuant to Section 3.5(a) and shall cooperate in the preparation of any tax
returns or filings related to such allocation, including any forms required to
be filed pursuant to Section 1060 of the Code or the Treasury Regulations
promulgated thereunder. In the event either Party receives notice of a tax audit
proposed adjustment with respect to the allocation of the Purchase Price set
forth in this Agreement, such Party shall immediately notify the other Party in
writing as to the date and subject of such audit.
(c)    If any federal, state or local tax return report or filing by either
Party relating to the transactions contemplated by this Agreement and filed on
the basis of the allocation set forth on the statement prepared pursuant to
Section 3.5(a) is challenged by the taxing authority with which such return,
report or filing was filed, the filing Party shall assert and maintain in good
faith the validity and correctness of such allocation during the audit of the
filing Party until the issuance by the taxing authority of a “30 Day Letter”, or
a determination of an equivalent liability, to such Party, whereupon such Party
shall, in its sole discretion, have the right to pay, compromise, settle,
dispute or otherwise deal with its alleged tax liability. If such a tax return,
report or filing is challenged as described in this Agreement, the Party filing
such return, report or filing shall timely keep the other Party apprised of its
decisions and the current status and progress of all administrative and judicial
proceedings, if any, that are undertaken at the election of the filing Party.

Section 3.6.    Proration; Other Closing Date Adjustments.
(a)    Except as otherwise provided in this Agreement, it is the intention of
the Parties that Seller will operate the Branches and the Milford Branch for its
own account and own the Purchased Assets until the Effective Time, and that
Purchaser shall operate the Branches, own the Purchased Assets and assume the
Assumed Liabilities for its own account from and after the Effective Time. Thus,
except as otherwise specifically provided in this Agreement, all items of income
and expense shall be prorated as of the Effective Time, and shall be settled
between the Parties in accordance with Section 3.4 or as otherwise agreed to by
the Parties.
(b)    For purposes of this Agreement, items of proration and other adjustments
shall include, without limitation, (i) rental and other payments under the
Leases or ATM Leases, excluding security deposits; (ii) sales, real estate, use
and property taxes (other than such sales, real estate, use and property taxes
that arise as a result of the transactions contemplated by this Agreement which
shall be paid by Seller in accordance with Section 4.1); (iii) insurance
premiums and assessments paid or payable to the FDIC attributable to insurance
coverage for the Deposit Liabilities for the period from and after the Closing
Date (which shall be prorated solely for the assessment for the calendar quarter
during which the Closing occurs); (iv) fees for customary annual or periodic
licenses or permits; (v) water, sewer, fuel and utility charges; and (vi) other
prepaid items of income and expense, in each case calculated as of the Effective
Time. Notwithstanding the foregoing, if accurate arrangements cannot be made as
of the Closing Date for any items of proration, the Parties shall apportion the
charges for any such items of proration on the basis of the bill for such item
for the most recent billing period prior to the Closing Date or as otherwise
agreed to by the Parties.

ARTICLE IV    
TAXES

Section 4.1.    Sales, Transfer and Use Taxes. Any sales, transfer, use, stamp
or other taxes, which are payable or arise as a result of this Agreement or the
consummation of the transactions contemplated by this Agreement, shall be paid
by Seller.

Section 4.2.    Information Reports. The Parties shall each provide to the IRS
on a timely basis and otherwise as required by IRS Forms 1099INT, 1099R, W-2P,
5498 and any other required forms and reports with respect to each Deposit
Liability concerning interest paid on, or contributions to and distributions
from, the Deposit Accounts, as appropriate, for the periods during which each
Party, respectively, administered such Deposit Accounts, including, without
limitation, any information required by the IRS pursuant to any request for
back-up withholding and taxpayer identification number certification records and
documents. Seller shall make such reports for interest paid or credited to
Customers through the Closing Date and Purchaser shall make such reports after
the Closing Date.

Section 4.3.    Taxes Related to the Business. Except for taxes described in
Section 3.6(b) or Section 4.1, all taxes concerning the Business and incurred on
or prior to the Closing Date or, with respect to Customers relating to the
Wealth Management Relationships for which any consent is obtained after the
Closing Date and that are transferred at the Second Closing, on or prior to the
Second Closing Date, shall be paid by Seller as provided by applicable law.
Except for taxes described in Section 3.6(b), all taxes related to the Business
and incurred after the Closing Date or, with respect to Customers relating to
the Wealth Management Relationships for which any consent is obtained after the
Closing Date and that are transferred at the Second Closing, after the Second
Closing Date, shall be paid by Purchaser. For purposes of any property taxes,
“incurred” means the portion of the taxes attributable to the time that either
Party owned the related property, as applicable, for the period of time of
reference.

ARTICLE V    
REPRESENTATIONS AND WARRANTIES OF SELLER
Seller represents and warrants to Purchaser as follows:

Section 5.1.    Organization. Seller is a national banking association validly
existing and in good standing under the laws of the United States and has the
corporate power and authority to own (or lease, as applicable) and operate the
Branches and conduct the Business and to effect the transactions contemplated by
this Agreement.

Section 5.2.    Authority. Seller has the power and authority to enter into and
perform this Agreement and any other instruments and documents executed pursuant
to this Agreement. This Agreement and any other documents or instruments
executed pursuant to this Agreement and the execution, delivery and performance
of this Agreement and any such documents or instruments have been duly
authorized and approved by all necessary corporate action on the part of Seller
and no other proceeding on the part of Seller or any of its direct or indirect
equityholders are necessary to authorize the execution and delivery of this
Agreement and any documents to be executed pursuant to this Agreement and the
consummation by Seller of the transactions contemplated hereby and thereby, and,
assuming due authorization, execution and delivery by Purchaser (as applicable),
this Agreement and the instruments and documents executed pursuant to this
Agreement constitute, or when executed will constitute, the legal, valid and
binding obligations of Seller, enforceable against Seller in accordance with
their terms, except as enforcement may be limited by receivership,
conservatorship and supervisory powers of bank regulatory agencies generally as
well as by bankruptcy, insolvency, reorganization, moratorium or other laws of
general applicability relating to or affecting creditors’ rights, or the
limiting effect of rules of law governing specific performance, equitable relief
and other equitable remedies or the waiver of rights or remedies (the
“Bankruptcy and Equity Exception”).

Section 5.3.    Non-Contravention. The execution and delivery of this Agreement
and any instruments and documents executed pursuant to this Agreement by Seller
do not and, subject to the receipt of all Regulatory Approvals, written notice
of the transactions contemplated hereby to be given by Seller to the OCC, the
Landlord Consents and the consents or notices required with respect to the
Wealth Management Relationships, Letters of Credit, IRAs and 401(k) Plans, which
consents are set forth on Schedule 5.3 (collectively, the “Necessary Consents”),
the consummation of the transactions contemplated by this Agreement will not
constitute (a) a breach or violation of or a default under any law, rule,
regulation, judgment, order, governmental permit or license of Seller or to
which Seller is subject, (b) a breach or violation of or a default under the
Articles of Association or Bylaws of Seller, or (c) a material breach or
violation of or a material default (or an event that with notice or lapse of
time, or both, would constitute a default) under, result in the termination of
or a right of termination or cancellation under, accelerate the performance
required by, or result in the creation of any Lien (other than any Permitted
Lien) upon any of the Purchased Assets or Assumed Liabilities under, any
material note, bond, mortgage, indenture, deed of trust, license, lease,
agreement or other material instrument or obligation to which Seller is a party
or by which Seller is bound.

Section 5.4.    Compliance with Law. The operations of the Business are being
conducted in compliance in all material respects with all applicable laws, rules
and regulations. Seller has all material licenses, franchises, permits,
certificates of public convenience, orders and other authorizations of all
federal, state and local governments and Governmental Entities necessary for the
lawful conduct of its business at each of the Branches as now conducted and, all
such licenses, franchises, permits, certificates of public convenience, orders
and other authorizations are valid and in good standing and, to the Knowledge of
Seller, are not subject to any suspension, modification or revocation or
proceedings related thereto.

Section 5.5.    Legal Proceedings. There are no actions, suits, or proceedings
pending as of the date of this Agreement or, to the Knowledge of Seller,
threatened as of the date of this Agreement, against Seller, which relate to the
Business or which would prevent or materially delay Seller from performing its
obligations under this Agreement, in either case, in any material respect.

Section 5.6.    Consents and Approvals. Except for the Regulatory Approvals and
written notice of the transactions contemplated hereby to be given by Seller to
the OCC, no consent, approval, authorization, filing or registration with or
notification to any Governmental Entity is required in connection with Seller’s
consummation of the transactions contemplated by this Agreement.

Section 5.7.    Community Reinvestment Act. Seller was rated “satisfactory”
following its most recent CRA examination by the OCC and such rating remains in
effect as of the date of this Agreement.

Section 5.8.    Leases; Owned Real Properties.
(a)    Seller has delivered to Purchaser true and correct copies of each Lease.
Each of the Leases is in full force and effect. With respect to each Lease,
there does not exist with respect to Seller’s obligations thereunder, or, to the
Knowledge of Seller, with respect to the obligations of any other party thereto,
any material default, or event or condition that constitutes or, after notice or
passage of time or both, would constitute a material default on the part of
Seller or any other party thereto.
(b)    There are no subleases relating to any Branch created or suffered to
exist by Seller.
(c)    To the Knowledge of Seller, all permits and approvals of all Governmental
Entities necessary to conduct the Business as it is presently conducted have
been issued and are in full force and effect in connection with Seller’s use of
the Owned Real Properties and the premises under the Leases.
(d)    Seller or an Affiliate thereof has good and valid title to each Owned
Real Property, free and clear of all Liens except for Permitted Liens.
(e)    Seller has not received any written notice of any actual, and has no
Knowledge of any pending, condemnation proceeding relating to any Owned Real
Property or any of the premises under the Leases.
(f)    Seller has no outstanding agreements, options, rights of first refusal or
commitments of any nature obligating Seller to transfer any Owned Real Property
or rights or interests therein to any other Person.

Section 5.9.    Necessary Permits. Seller possesses all material permits,
licenses, orders, ratings and approvals of all Governmental Entities necessary
to operate the Business substantially as presently operated.

Section 5.10.    Environmental Matters.
(a)    To the Knowledge of Seller, (i) Seller is currently in material
compliance with all environmental laws applicable to any Branch premises, and
(ii) Seller has not received any written notice that there is or has been any
failure (other than any failure that has been remediated) to comply with
environmental laws applicable to any Branch premises.
(b)    Seller has not received written notice of any, and to the Knowledge of
Seller, there is no pending or threatened, suit, claim, demand, action,
proceeding or investigation alleging any material violation of, or material
liability under, applicable environmental law with respect to any Branch
premises.
(c)    To the Knowledge of Seller, there has not been any material release of
hazardous materials into the environment (other than any material release that
has been remediated) at any Branch premises.
(d)    To the Knowledge of Seller, there are no (i) active or abandoned
underground storage tanks, (ii) gasoline or service stations or
(iii) dry-cleaning facilities or operations at, on, in or under any Branch
premises.

Section 5.11.    Title to Purchased Assets. Seller (or its Affiliate) is the
lawful owner of each of the Purchased Assets free and clear of all Liens other
than Permitted Liens and except for any Necessary Consents, Seller has or its
Affiliate has, and Seller or its Affiliate will at the Closing or the Second
Closing, as applicable, have, the right to sell, convey, transfer, assign and
deliver to Purchaser all of its right, title and interest in and to the
Purchased Assets. Subject to the terms and conditions of this Agreement, at the
Closing or the Second Closing, as applicable, Purchaser will acquire valid title
to, or in the case of the Leases (subject to receipt of the Landlord Consents),
a valid leasehold interest in, all of the Purchased Assets, free and clear of
any Liens other than Permitted Liens, subject to Section 7.3.

Section 5.12.    Deposit Liabilities. Seller has provided to Purchaser a true
and accurate data file of all Deposit Liabilities, including all Accrued
Interest thereon, prepared as of a date such data file was provided. Seller has
the right to transfer and assign each of the Deposit Liabilities to Purchaser,
free and clear of any Liens other than Permitted Liens. The Deposit Liabilities
have been solicited, originated and administered in accordance with the terms of
the respective documents governing the relevant type of Deposit Account and all
applicable laws and regulations, in each case, in all material respects. The
Deposit Liabilities are fully insured to applicable limits by the FDIC in
accordance with the FDIA, and Seller has paid all premiums and assessments due
thereunder and has filed all reports required to be filed by it with the FDIC
concerning the Deposit Liabilities.

Section 5.13.    Labor and Employment Matters.
(a)    Seller has provided to Purchaser an accurate and complete list of: (i)
the names, titles, employment dates and current compensation amounts, including
wage rates, salaries, commissions, current potential bonus and other
incentive-based compensation payable, as applicable, for all Employees; (ii) the
employing entity for each Employee; (iii) each Employee’s classification as
exempt or non-exempt employee under the Fair Labor Standards Act and similar
applicable state laws; and (iv) a statement of sick leave, vacation, or PTO that
is accrued and unused for each Employee.
(b)    All Employees are employed on an “at will” basis. No Employee is a party
to any individual agreement with Seller or any of its Affiliates for the
employment of the employee or the provision of severance or change in control
benefits.
(c)    Each “employee pension benefit plan” (as defined in Section 3(2) of
ERISA) sponsored by the Seller or its Affiliates in which any Employee
participates and which is intended to be qualified within the meaning of Section
401(a) of the Code is so qualified and has received a favorable determination
letter as to its qualification, or if such plan is a prototype plan, the opinion
or notification letter for each such plan, and nothing has occurred, whether by
action or failure to act, that could reasonably be expected to cause the loss of
such qualification.
(d)    With respect to the Employees, (i) neither the Seller nor any of its
Affiliates is a party to any collective bargaining agreement or has agreed to
recognize any union; (ii) to the Knowledge of Seller, there are no
organizational campaigns, applications or other unionization activities seeking
certification of a collective bargaining unit; (iii) neither Seller nor any of
its Affiliates has experienced any labor strike, material slowdown or work
stoppage, lockout, material unfair labor practice charges, material grievances,
arbitration or other material labor controversy within the past two (2) years;
and (iv) the Seller and its Affiliates are, and in the preceding two (2) years
have been, in compliance in all material respects with all applicable laws
relating to labor and employment practices.

Section 5.14.    Tax Matters. Seller has filed all material tax returns and
reports, including amendments, which are materially correct, complete and comply
in all material respects with applicable law, and has paid all material real and
personal property taxes and assessments, and all material payroll and
unemployment taxes, including any related penalties, interest, and deficiencies,
that have become due and payable with respect to, or may result in a lien upon,
the Employees or any of the Purchased Assets. Seller has withheld and paid to
the appropriate governmental agencies all material amounts of withholding taxes
relating to the payment of wages to the Employees.

Section 5.15.    Wealth Management Relationships.
(a)    Seller has provided to Purchaser a true and accurate data file of all
Wealth Management Relationships, including, with respect to each Wealth
Management Relationship Customer, a true and accurate statement of the total
amount of such Customer’s assets under Purchaser’s management, prepared as of a
date within ten (10) days prior to the date of this Agreement, except as
otherwise provided therein.
(b)    Each Wealth Management Relationship has been originated and serviced in
all material respects in compliance with applicable law. To the Knowledge of
Seller, each instrument or agreement governing a Wealth Management Relationship
has been duly and validly executed and delivered by Seller and the other
contracting parties, and each such instrument or agreement constitutes a valid,
binding and enforceable obligation of the parties thereto, subject to the
Bankruptcy and Equity Exception.
(c)    To the Knowledge of Seller, the Employees associated with the Wealth
Management Relationships, in their capacities as employees, have complied with
applicable laws in all material respects.

Section 5.16.    Loans.
(a)    Seller has provided to Purchaser a true and accurate data file of all
Loans, including the name of the Customers of such Loans, the outstanding
principal balance of and the amount of Accrued Interest on such Loans, prepared
as of a date within ten (10) days prior to the date of this Agreement, except as
otherwise provided therein.
(b)    Each Loan (i) is evidenced by notes, agreements, or other evidences of
indebtedness that are true, genuine and what they purport to be; (ii) to the
Knowledge of Seller, constitutes a legal, valid and binding obligation of the
respective borrower(s) or obligor(s), subject to the Bankruptcy and Equity
Exception, (iii) to the Knowledge of Seller, is free from all material claims,
defenses, rights of rescission, any discount, allowance, set-off, counterclaim,
presently pending bankruptcy or other defenses by the borrower, and (iv)
complies in all material respects with applicable law, including all applicable
lending laws and regulations.
(c)    Each Loan was solicited and originated, and is and has been administered
and, where applicable, serviced, and the relevant Loan files are being
maintained, in all material respects in accordance with the applicable Loan
Documents, Seller’s written underwriting standards and in accordance with
applicable law.  
(d)    Each Loan was made or acquired by Seller in the ordinary course of
business.
(e)    None of the Loans are presently serviced by third parties.
(f)    Except as set forth in this Section 5.16, Seller does not make any
representation or warranty to Purchaser relating to the Loans.

Section 5.17.    No Broker. No broker or finder, or other party or agent
performing similar functions, has been retained by Seller or its Affiliates or
is entitled to be paid based on any arrangements, agreements or understandings
made by Seller or any of its Affiliates in connection with any of the
transactions contemplated by this Agreement, and no brokerage fee or other
commission has been agreed to be paid by Seller or any of its Affiliates on
account of such transactions.  

Section 5.18.    Limitations on Representations and Warranties. Except as
otherwise addressed in this Article V, notwithstanding anything to the contrary
contained in this Agreement or in any other document or agreement delivered in
connection with this Agreement:
(a)    Seller makes no representations or warranties as to the physical
condition of the Fixed Assets, all of which are being sold or transferred and
assigned “AS IS”, “WHERE IS”, without recourse and with all faults, without any
obligation on the part of Seller, at the Closing Date or the Second Closing
Date, as applicable.
(b)    Seller makes no representations or warranties with respect to the
physical condition of the Branches, which are being transferred and assigned “AS
IS”, “WHERE IS”, without recourse and with all faults, without any obligation on
the part of Seller, at the Closing Date or the Second Closing Date, as
applicable.
(c)    Seller makes no representations or warranties as to whether, or to the
length of time during which, any Deposit Accounts will be maintained by the
owners of such Deposit Liabilities after the Closing Date or the Second Closing
Date, as applicable.
(d)    Except as specifically provided in this Agreement, Seller expressly
disclaims and makes no representations nor warranties with respect to the
Business, Purchased Assets or Assumed Liabilities, and disclaims any liability
and responsibility for any representation, warranty, statement or information
otherwise made or communicated to Purchaser in connection with or relating to
the transactions contemplated by this Agreement.

ARTICLE VI    
REPRESENTATIONS AND WARRANTIES OF
PURCHASER
Purchaser represents and warrants to Seller as follows:

Section 6.1.    Organization. Purchaser is a state-chartered non-member bank
validly existing and in good standing under the laws of Maine and has the
corporate power and authority to effect the transactions contemplated by this
Agreement.

Section 6.2.    Authority. Purchaser has the power and authority to enter into
and perform this Agreement and any other instruments and documents executed
pursuant to this Agreement. This Agreement and any other documents or
instruments executed pursuant to this Agreement and the execution, delivery and
performance of this Agreement and any such documents or instruments have been
duly authorized and approved by all necessary corporate action on the part of
Purchaser and no other proceeding on the part of Purchaser or any of its direct
or indirect equityholders are necessary to authorize the execution and delivery
of this Agreement and any documents to be executed pursuant to this Agreement
and the consummation by Purchaser of the transactions contemplated hereby and
thereby, and, assuming due authorization, execution and delivery by Seller, this
Agreement and the instruments and documents executed pursuant to this Agreement
constitute, or when executed will constitute, the legal, valid and binding
obligations of Purchaser, enforceable against Purchaser in accordance with their
terms, subject to the Bankruptcy and Equity Exception.

Section 6.3.    Non-Contravention. The execution and delivery of this Agreement
and any instruments and documents executed pursuant to this Agreement by
Purchaser do not and, subject to the receipt of all Regulatory Approvals, the
consummation of the transactions contemplated by this Agreement will not
constitute (a) a breach or violation of or a default under any law, rule,
regulation, judgment, order, governmental permit or license of Purchaser or to
which Purchaser is subject, (b) a breach or violation of or a default under the
charter or bylaws (or similar organizational documents) of Purchaser or (c) a
breach or violation of or a default (or an event that with notice or lapse of
time, or both, would constitute a default) under, result in the termination of
or a right of termination or cancellation under, accelerate the performance
required by any note, bond, mortgage, indenture, deed of trust, license, lease,
agreement or other instrument or obligation to which Purchaser is a party or by
which Purchaser is bound which would reasonably be expected to have a material
adverse effect on Purchaser’s ability to consummate the transactions
contemplated hereby on a timely basis.

Section 6.4.    Compliance with Law. Purchaser is conducting its business in
accordance with all applicable laws, rules and regulations, other than any laws,
rules and regulations the violation of which would not individually or in the
aggregate be reasonably expected to have a material adverse effect on
Purchaser’s ability to consummate the transactions contemplated hereby on a
timely basis. Purchaser has all material licenses, franchises, permits,
certificates of public convenience, orders and other authorizations of all
federal, state and local governments and Governmental Entities necessary for the
lawful conduct of its business as now conducted and, except as would not
individually or in the aggregate be reasonably expected to have a material
adverse effect on Purchaser’s ability to consummate the transactions
contemplated hereby on a timely basis.

Section 6.5.    Legal Proceedings. There are no actions, suits, or proceedings
pending as of the date of this Agreement or, to the Knowledge of Purchaser,
threatened as of the date of this Agreement, against Purchaser which would
reasonably be expected to prevent or materially delay Purchaser from performing
its obligations under this Agreement or prevent or materially delay Purchaser’s
ability to consummate the transactions contemplated by this Agreement on a
timely basis.

Section 6.6.    Consents and Other Regulatory Matters.
(a)    No consents, approvals, authorization or other order of or action by, or
filings with or notifications to any other Persons are necessary in connection
with the execution, delivery and performance of this Agreement and the other
instruments and documents to be entered into in connection with this Agreement
by Purchaser except for (i) the Regulatory Approvals and (ii) any consent,
approval, authorization, filing or registration with or notification to any
other Person the failure of which to be obtained or made would not, individually
or in the aggregate, reasonably be expected to have a material adverse effect on
Purchaser’s ability to consummate the transactions contemplated hereby.
(b)    There are no pending, or to the Knowledge of Purchaser, threatened
disputes or controversies between Purchaser and any federal, state or local
Governmental Entity, including, without limitation, with respect to capital
requirements that would reasonably be expected (i) to prevent or materially
delay Purchaser from being able to perform its obligations under this Agreement
or prevent or materially delay Purchaser’s ability consummate the transactions
contemplated by this Agreement on a timely basis or (ii) to impair the validity
or consummation of this Agreement or the transactions contemplated by this
Agreement. Purchaser has not received any indication from any federal, state or
other Governmental Entity that such Governmental Entity would oppose or refuse
to grant or issue its consent or approval, if required, with respect to the
transactions contemplated by this Agreement, and has no reason to believe that
such consents or approvals will not be received. Purchaser believes that it can
satisfy all capital and other regulatory requirements necessary to obtain all
Regulatory Approvals and to timely consummate the transactions contemplated by
this Agreement.
(c)    The deposits of Purchaser are fully insured to applicable limits by the
FDIC in accordance with the FDIA, and Purchaser has paid all premiums and
assessments due thereunder and has filed all reports required to be filed by it
by the FDIC.
(d)    As of the date of this Agreement, Purchaser (i) is “well capitalized” as
defined in Section 38 of the FDIA and applicable regulations thereunder, and
(ii) meets all capital requirements, standards and ratios required by each
federal and state bank regulator with jurisdiction over Purchaser, and no such
regulator has indicated that it will condition any of the Regulatory Approvals
upon an increase in Purchaser’s capital or compliance with any capital
requirement, standard or ratio.

Section 6.7.    Community Reinvestment Act. Purchaser was rated “satisfactory”
following its most recent CRA examination by the FDIC and such rating remains in
effect as of the date of this Agreement.

Section 6.8.    WARN Act. Purchaser is not planning or contemplating, nor has
made or taken, any decisions or actions concerning the Transferred Employees
after the Closing that would require the service of notice under the WARN Act.

Section 6.9.    Capital and Funding Available. Purchaser has sufficient capital
and available funds to acquire the Business and the Purchased Assets, to assume
the Assumed Liabilities and to perform its other obligations under this
Agreement and under any of the other instruments or documents executed in
connection with this Agreement; it being understood by the Parties that
Purchaser’s obligation to acquire the Business and the Purchased Assets, to
assume the Assumed Liabilities and to perform its other obligations under this
Agreement is not conditioned on raising any equity capital, obtaining specific
financing or obtaining the consent of any lender.  

Section 6.10.    Eligibility. As of the date hereof, Purchaser or an Affiliate
of Purchaser satisfies, and as of the Closing Date will satisfy, all standards
and requirements under applicable law to (a) acquire the Wealth Management
Relationships and (b) employ the financial advisors associated with the Wealth
Management Relationships.

Section 6.11.    No Broker. No broker or finder, or other party or agent
performing similar functions, has been retained by Purchaser or its Affiliates
or is entitled to be paid based on any arrangements, agreements or
understandings made by Purchaser or any of its Affiliates in connection with any
of the transactions contemplated by this Agreement, except for Griffin Financial
Group LLC, and no brokerage fee or other commission has been agreed to be paid
by Purchaser or any of its Affiliates on account of such transactions, except
for fees and commissions of Griffin Financial Group LLC for which Purchaser
shall be solely liable.

Section 6.12.    Limitations on Representations and Warranties. Except as
otherwise specifically provided in this Agreement, Purchaser makes no
representation or warranty to Seller, express or implied, at law or in equity,
with respect to the transactions contemplated by this Agreement.

ARTICLE VII    
COVENANTS OF SELLER
Seller covenants and agrees with Purchaser as follows:

Section 7.1.    Conduct of the Business. From the date of this Agreement through
the Closing, Seller shall (unless Seller receives Purchaser’s written consent to
do otherwise, which consent shall not be unreasonably delayed, withheld or
conditioned):
(a)    conduct the Business in the usual, regular and ordinary course consistent
with past practice;
(b)    use commercially reasonable efforts to maintain and preserve its
relationships generally with the Employees and the Customers;
(c)    except as required by applicable law, (i) not grant any increase in pay
or benefits to any Employee other than in the ordinary course of business,
consistent with past practices, and (ii) not enter into any employment,
severance or similar agreement with any Employee;
(d)    not hire any new Employees, transfer the employment of any individual to
the Branches or the Milford Branch such that they would be considered an
Employee, transfer the employment of any Employees such that they no longer
would be considered Employees or conduct any group layoff, in each case, except
in the ordinary course of business, consistent with past practices;
(e)    take no action which would materially adversely affect or delay the
ability of either Party to obtain any Regulatory Approval or to perform its
covenants and agreements under this Agreement;
(f)    not dispose of any assets or liabilities related to the Business, except
in the ordinary course of business consistent with past practice;
(g)    not materially alter any of its policies or practices with respect to the
rates, fees, charges, level of services or products available to Customers
except for such alterations as may be instituted generally by Seller in
accordance with the ordinary course of business consistent with past practices;
(h)    not transfer to or from any Branch or the Milford Branch and from or to
any of Seller’s other operations or branches any material Purchased Assets or
any material Deposit Liability, except (A) pursuant to an unsolicited customer
request where it would be customary banking practice to honor such request or
(B) as provided in Section 7.1(m);
(i)    not amend, modify or extend any Loan, except in the ordinary course of
business consistent with past practice;
(j)    except in the ordinary course or as may be required under any Lease or
applicable law, (i) not make or agree to make any material improvements to any
Owned Real Property or any property subject to a Lease, except normal
maintenance or refurbishing purchased or any other improvements made in the
ordinary course of business; (ii) not close, sell, consolidate, relocate or
materially alter any Branch or otherwise file any application or give any notice
to relocate or close any Branch; or (iii) not terminate or extend or amend any
Lease in any material respect;
(k)    except in the ordinary course of business consistent with past practice,
not release, compromise or waive any material claim or right that is part of or
affects in any material respect any of the Purchased Assets or the Assumed
Liabilities;
(l)    not agree or otherwise commit to take any of the actions prohibited by
the foregoing clauses (a) through (k); and
(m)    use its commercially reasonable efforts (A) to legally transfer the
Purchased Assets and Assumed Liabilities (including Deposit Liabilities) in or
assigned to the Milford Branch to a different Branch and (B) to take all actions
to close the Milford Branch at or prior to Closing.

Section 7.2.    Regulatory Approvals. Seller shall use its reasonable best
efforts to take, or cause to be taken, all actions and to do, or cause to be
done, all things necessary to assist Purchaser in obtaining the Regulatory
Approvals. To the extent permitted by applicable law, Seller shall furnish to
Purchaser or the appropriate Governmental Entities such necessary information as
soon as reasonably practicable and provide reasonable assistance as Purchaser
may reasonably require in connection with the foregoing.

Section 7.3.    Landlord Consents.
(a)    Seller shall use its commercially reasonable efforts (which shall not
require Seller or any other Person to pay any money or other consideration to
any Person or to initiate any claim or proceeding against any Person) to obtain
the Landlord Consents.
(b)    Notwithstanding anything in this Agreement to the contrary, Seller’s
failure to obtain any Landlord Consent after using commercially reasonable
efforts shall not (i) entitle Purchaser to terminate this Agreement, (ii) be a
condition to Purchaser’s obligations under this Agreement as provided in Section
10.2 or otherwise, (iii) be or be deemed to contribute to a Material Adverse
Effect, or (iv) entitle Purchaser to any remedy or action other than as provided
in this Section 7.3(b), except that delivery of the Landlord Consents set forth
on Schedule 1.1(g)(ii) is a condition to Purchaser’s obligations under this
Agreement as provided in Section 10.2(d). In the event any Landlord Consent
cannot be obtained through Seller’s commercially reasonable efforts (including
if such consent cannot be obtained without the payment of an assignment fee,
lump sum or rent increase or other consideration or initiation of a claim or
proceeding against any Person), Purchaser shall not be obligated to purchase the
Fixed Assets located in such Branch or ATM location and Purchaser shall not be
obligated to assume the Lease or ATM Lease related to such Branch or ATM
location, as applicable, or the Deposit Liabilities relating to such Branch, or
be liable for any severance obligations with respect to any Employees associated
with such Branch, solely to the extent such Employee is not a Transferred
Employee.
(c)    In the event any Landlord Consent cannot be obtained through Seller’s
commercially reasonable efforts (including if such consent cannot be obtained
without the payment of an assignment fee, lump sum or rent increase or other
consideration or initiation of a claim or proceeding against any Person) and the
Closing occurs, Seller shall, if permitted without the consent of the landlord
under the Lease or ATM Lease, as applicable, sublease the Branch or ATM location
to Purchaser pursuant to a sublease agreement, as applicable, which shall be, to
the extent permitted, for the remainder of the existing term of the Lease or ATM
Lease, as applicable, and which shall provide for Purchaser to perform all of
the obligations of Seller under such Lease or ATM Lease, as applicable, and
which shall contain other mutually agreeable terms. In such event, in addition
to assuming the related Deposit Liabilities relating to the applicable Branch or
ATM location and paying the Purchase Price, Purchaser shall be obligated to
purchase the Fixed Assets located in such Branch or ATM location, and Section
8.5 shall apply with respect to the Employees associated with such Branch.

Section 7.4.    Other Third Party Consents. Seller shall use its commercially
reasonable efforts (which shall not require Seller or any other Person to pay
any money or other consideration to any Person or to initiate any claim or
proceeding against any Person) (i) to obtain any third party consent to assign
any Purchased Asset or Assumed Liability, or any claim, right, or benefit
arising or resulting from such Purchased Asset or Assumed Liability, including
with respect to the consents required with respect to the Wealth Management
Relationships, Letters of Credit, IRAs and 401(k) Plans and (ii) to the extent
such consents are not obtained despite such efforts, to secure, with
commercially reasonable cooperation from Purchaser, an arrangement reasonably
satisfactory to Purchaser ensuring that Purchaser will receive the benefits
under the agreement for which such consent is being sought following the
Closing, which arrangement, with respect to the Letters of Credits, may include
back-to-back or standby letters of credit arrangements or other commercially
reasonable methods; provided, however, (x) that Seller shall not have any
obligation to obtain such consent or to provide such an alternative arrangement
other than the undertaking to use commercially reasonable efforts to obtain the
same as set forth in this Section 7.4 and Purchaser shall remain obligated to
close the transactions contemplated by this Agreement, subject to the other
provisions of this Agreement, and shall have no remedy for Seller’s failure to
obtain any such consent or to provide any such alternative arrangement and (y)
clause (ii) shall not apply to Wealth Management Relationships with
Non-Consenting Customers after the Second Closing. In the event that Seller is
unable to obtain the consent required with respect to any Wealth Management
Relationship or Letter of Credit after using its commercially reasonable
efforts, Purchaser shall not be required to assume such Wealth Management
Relationship or Letter of Credit and the Closing shall be completed without an
assignment of such Wealth Management Relationship or Letter of Credit, subject
to Section 3.3.

Section 7.5.    Updated Schedules.
(a)    On the day Seller delivers the Draft Closing Statement to Purchaser
pursuant to Section 3.2, Seller shall deliver to Purchaser updated versions of
the following Schedules, so that they are as of the Base Date: Schedule 1.1(c)
(Wealth Management Relationship Customers); Schedule 1.1(d) (Employees),
Schedule 1.1(e) (Excluded Fixed Assets); and Schedule 1.1(i) (Loans). The
Parties acknowledge that the updated versions of the foregoing Schedules shall
be prepared using the same methodology and criteria used in preparing the
Schedules attached to this Agreement, except that the last column of Schedule
1.1(c) need not be updated except for New Wealth Management Relationship
Customers.
(b)    In connection with delivery of the Final Closing Statement, Seller shall
deliver to Purchaser updated versions of the following Schedules, so that they
are as of the applicable Effective Time: Schedule 1.1(c) (Wealth Management
Relationship Customers); Schedule 1.1(d) (Employees), Schedule 1.1(e) (Excluded
Fixed Assets); and Schedule 1.1(i) (Loans). The Parties acknowledge that the
updated versions of the foregoing Schedules shall be prepared using the same
methodology and criteria used in preparing the Schedules attached to this
Agreement, except that the last column Schedule 1.1(c) need not be updated
except for New Wealth Management Relationship Customers.
(c)    Any disclosure in any updated Schedules delivered by Seller pursuant to
Section 7.5(a) or 7.5(b) shall not be deemed to have cured any inaccuracy in or
breach of any representation or warranty contained in this Agreement, including
for purposes of the indemnification or termination rights contained in this
Agreement or of determining whether or not the conditions set forth in Section
10.2 have been satisfied.

Section 7.6.    Servicing Prior to Closing. With respect to each of the Loans,
from the date hereof until the Closing Date, Seller shall service such Loans in
a manner that is consistent with Seller’s general loan servicing policies and
practices.

Section 7.7.    Insurance. Seller will use reasonable best efforts to maintain
in effect until the Closing Date all casualty and commercial general liability
policies relating to the Branches and maintained by Seller on the date hereof or
to procure comparable replacement coverage and maintain such policies or
replacement coverage in effect until the Closing. Purchaser shall provide all
casualty and commercial general liability insurance for the Branches after the
Closing. In the event of any damage, destruction or condemnation affecting the
Owned Real Properties between the date hereof and the time of the Closing which
materially impairs the banking operations in the Branch located in such Owned
Real Properties, Purchaser shall have the right to require Seller to take
reasonable steps to repair or replace the damaged or destroyed property, or
require Seller to deliver to Purchaser any insurance proceeds and other
payments, to the extent of the fair market value or the replacement cost of the
Owned Real Properties, received by Seller as a result thereof unless, in the
case of damage or destruction, Seller has repaired or replaced the damaged or
destroyed property. In the event of any damage, destruction or condemnation
materially impairing the banking operations of a leased Branch, Seller shall use
commercially reasonable efforts to exercise its rights provided in the
applicable Lease as the tenant thereunder with respect to the repair or
replacement of such damaged, destroyed or condemned property.

Section 7.8.    Non-Solicitation of Customers and Employees.
(a)    For a period of two (2) years following the Closing Date, Seller agrees
that it will not use Customer information files to solicit financial services
business from any Customer, including deposits, loans and other financial
products, of the type offered through the Branches or the Milford Branch as of
the date hereof; provided, however, that nothing in this Section 7.8(a) shall be
deemed to prohibit Seller from (i) advertisements in any medium, or marketing
efforts and solicitations that do not exclusively target the Customers, (ii)
providing any products and services to any Person who has not been exclusively
solicited by Seller and who requested such products and services from Seller,
(iii) any advertising, marketing, soliciting, obtaining, or providing products
and services of or to (A) any Person who is not a Customer or (B) any Person
having any product, service and account with Seller that is not transferred,
acquired or assumed by Purchaser pursuant to this Agreement and (iv) providing
any notices or communications to Customers in furtherance of or related to the
transactions contemplated by this Agreement.
(b)    For a period of two (2) years following the Closing Date, Seller will
not, and shall cause its Affiliates not to, solicit for employment any
Transferred Employee; provided, however, that nothing in this Section 7.8(b)
shall be deemed to prohibit Seller or its Affiliates from (i) making general
solicitations not targeted at Transferred Employees (including job announcements
in newspapers and industry publications or on the Internet), (ii) soliciting any
Transferred Employee whose employment is terminated by Purchaser prior to
Seller, or any of its Affiliates, soliciting such Transferred Employee or (iii)
using employee search firms, so long as such employee search firms are not
instructed to and do not engage in solicitations of Transferred Employees not
otherwise permitted under this Section 7.8(b), and, in the case of (i), (ii) or
(iii), thereafter employing such Transferred Employee.
(c)    If any provision or part of this Section 7.8 is held by a court or other
authority of competent jurisdiction to be invalid or unenforceable, the Parties
agree that the court or authority making such determination will have the power
to reduce the duration or scope of such provision or to delete specific words or
phrases as necessary (but only to the minimum extent necessary) to cause such
provision or part to be valid and enforceable. If such court or authority does
not have the legal authority to take the actions described in the preceding
sentence, the Parties agree to negotiate in good faith a modified provision that
would, in so far as possible, reflect the original intent of this Section 7.8
without violating applicable law.

ARTICLE VIII    
COVENANTS OF PURCHASER
Purchaser covenants and agrees with Seller as follows:

Section 8.1.    Regulatory Approvals and Standards.
(a)    Purchaser shall use its reasonable best efforts to obtain as
expeditiously as possible the Regulatory Approvals and shall file within fifteen
(15) Business Days following the execution of this Agreement all necessary
applications, notices or other filings of Purchaser to obtain the Regulatory
Approvals. Purchaser shall provide to Seller, reasonably in advance of filing,
copies of all draft regulatory applications, notices and other filings (other
than material filed in connection therewith under a claim of confidentiality and
relating solely to the Purchaser and its Affiliates) and shall use reasonable
efforts to reflect any comments of Seller in such filings. As of the Closing,
Purchaser shall satisfy all of the standards and requirements imposed as a
condition to obtaining, or necessary to comply with, the Regulatory Approvals.
Purchaser shall pay any fees, costs or expenses relating to the Regulatory
Approvals. Purchaser shall not take any action that would reasonably be expected
to prevent or materially delay the ability of Purchaser to obtain any Regulatory
Approval or to perform its covenants and agreements under this Agreement.
Purchaser shall, to the extent not prohibited by applicable law, notify Seller
promptly (and in no event later than one (1) Business Day following notice) of
any significant development with respect to any application, notice or other
filing Purchaser files with any Governmental Entity in connection with the
transactions contemplated by this Agreement. If any regulatory authority shall
require the modification of any terms and provisions of this Agreement as a
condition to granting any Regulatory Approval, the Parties hereto will negotiate
in good faith to seek a mutually agreeable adjustment to the terms of the
transaction contemplated hereby, such agreement not to be unreasonably withheld,
conditioned or delayed.
(b)    Purchaser agrees that it shall be solely responsible for complying with
any required branch closing, consolidation, relocation or other notices or
applications to any Governmental Entity and the Customers in the event Purchaser
should at any time determine to close, consolidate or relocate any of the
Branches or to close, consolidate or relocate any branch of Purchaser in
connection with or relating to the transactions contemplated by this Agreement.
Purchaser shall not be permitted to deliver or otherwise provide any such
notices or applications to any Governmental Entity and the Customers regarding a
proposed closing, consolidation or relocation of any such Branch or branch prior
to the Closing Date.

Section 8.2.    Consents. Purchaser shall provide such financial and other
information as shall be reasonably requested by any landlord under the Leases or
by any other Person in connection with obtaining their consent to the transfer
to Purchaser of a Purchased Asset or Assumed Liability.

Section 8.3.    Solicitation of Accounts. Prior to the Closing, neither
Purchaser nor any of its Affiliates shall solicit Customers through advertising
specifically referencing or targeted to Customers nor transact their respective
businesses in such a way which is reasonably likely to (a) induce Customers to
close a Deposit Account with Seller and open a deposit account directly with
Purchaser or any of its Affiliates or (b) result in the transfer of all or a
portion of an existing Deposit Liability from Seller. Notwithstanding the
foregoing sentence, Purchaser and its Affiliates shall be permitted to (w)
engage in advertising, solicitations or marketing campaigns in the ordinary
course of business consistent with past practice and not primarily directed to
or targeted at Customers, (x) engage in lending, deposit, safe deposit, trust or
other financial services relationships existing as of the date of this Agreement
with Customers through branch offices of Purchaser, (y) respond to unsolicited
inquiries by Customers with respect to banking or other financial services
offered by Purchaser and (z) provide notices or communications relating to the
transactions contemplated by this Agreement in accordance with the provisions of
this Agreement.

Section 8.4.    Recording of Instruments of Assignment. No later than six (6)
months following the Closing Date, Purchaser shall have recorded all instruments
required, necessary or reasonably desirable to evidence the acquisition,
assignment and assumption of the Purchased Assets and the Assumed Liabilities by
Purchaser.

Section 8.5.    Transferred Employees.
(a)    At least twenty (20) Business Days prior to the Closing Date, Purchaser
may at its sole election offer, or cause one of its Affiliates to offer,
employment beginning as of, and subject to the occurrence of, the Effective
Time, to all of the Employees, including Employees on military leave, disability
or other temporary leave of absence at the time of such offer, upon terms and
conditions described in this Section 8.5.
(b)    Without limiting the foregoing, with respect to each Transferred
Employee, for the one (1) year period immediately following the Closing Date, to
the extent such Transferred Employee remains employed during such period,
Purchaser shall, or shall cause its Affiliates to, provide to each Transferred
Employee:
(i)    A base salary or wage rate that is at least equal to the base salary or
wage rate specified in the offer letter provided to such Transferred Employee
pursuant to Section 8.5(a); and
(ii)    Incentive compensation opportunities and employee benefits (other than
as set forth in Section 8.5(g), Section 8.5(i) and Section 8.5(j)) that are, in
each case, substantially comparable to those provided by Purchaser or its
applicable Affiliate to its similarly-situated employees as of the Effective
Time.
(c)    Purchaser shall, or shall cause its Affiliates to, provide that each
Transferred Employee will be eligible, immediately following the Effective Time,
to participate in any qualified profit sharing plan/401(k) plan or plans of
Purchaser or its Affiliates (“Purchaser 401(k) Plans”), based on each plan’s
eligibility criteria as of the Effective Time and shall be credited with the
period of years of service recognized under Seller’s 401(k) plan in determining
eligibility to participate, vesting and level of matching contributions in such
Purchaser 401(k) Plans. To the extent permitted by the terms of the applicable
Purchaser 401(k) Plan and applicable law, as of the Effective Time, Purchaser
(or its applicable Affiliate) shall cause the applicable Purchaser 401(k) Plan,
at the Transferred Employee’s election, to accept a roll over, including direct
rollovers, of any cash distributions received from Seller’s 401(k) plans.
(d)    Immediately following the Closing, each Transferred Employee will be
eligible to participate in Purchaser’s or its Affiliates qualified pension plan
or plans, based on each such plan’s eligibility criteria as of the Effective
Time. Each Transferred Employee shall be credited with the period of years of
service recognized under Seller’s pension plan in determining eligibility to
participate and vesting (but not for benefits or benefit accruals) in
Purchaser’s or its Affiliates pension plan(s).
(e)    Effective as of the Effective Time, Purchaser shall, and shall cause each
of its Affiliates, to give each Transferred Employee full credit for years of
service with Seller or its Affiliates for purposes of, and to the extent that
years of service is a factor in, eligibility, vesting, determination of level of
benefits, under any employee benefit plans policies, programs, or arrangements
of Purchaser or its Affiliates, including, without limitation, policies,
programs or arrangements which provide vacation or other Paid-Time Off (“PTO”),
severance, leaves of absence, education assistance, sick leave or other similar
benefits (each a “Purchaser Benefit Arrangement”).
(f)    Without limiting the generality of the foregoing provisions, Purchaser
shall, or shall cause each of its Affiliates to, provide that each Transferred
Employee will become eligible, effective as of the Effective Time, to
participate in Purchaser Benefit Arrangements which provide health and welfare
benefits, including, medical, dental, vision, life insurance, disability,
retiree medical benefits and health care or dependent care flexible spending
accounts, as such Purchaser Benefit arrangements may exist, without the need to
provide any evidence of insurability. Purchaser shall waive any eligibility
waiting periods and any pre-existing condition limitations with respect to such
Transferred Employee and his or her dependents and such Transferred Employee and
his or her eligible dependents shall be given credit for amounts paid under a
corresponding plan of Seller or its Affiliates for purposes of satisfying all
deductible, coinsurance and maximum out-of-pocket requirements applicable to
such Transferred Employee and his or her covered dependents for the applicable
plan year as if such amounts had been paid in accordance with the Purchaser
Benefit Arrangement.
(g)    Any PTO balance to which a Transferred Employee is entitled pursuant to
Seller’s PTO policy as of the Closing Date shall be paid in full by Seller on or
before the first regularly scheduled payroll date of Seller immediately
following the Closing Date. No such PTO balance shall carryover to Purchaser, in
whole or in part, and Purchaser shall not have any responsibility therefor.
Subject to Section 8.5(e), Purchaser shall, or shall cause each of its
Affiliates to, provide that, effective as of the Effective Time, each
Transferred Employee shall be eligible to participate in Purchaser’s PTO policy
on the same terms and conditions as those applicable to similarly-situated
employees of Purchaser, pro-rated to reflect the number of days between the
Closing Date and the end of the calendar year in which the Closing Date occurs.
Purchaser shall provide each such Transferred Employee with a fair and
reasonable opportunity to use all such PTO pursuant to Purchaser’s PTO policy.
(h)    Immediately following the Effective Time, Purchaser or its Affiliates
shall be responsible for providing all notices, and, as of the Effective Time,
shall assume all liabilities in respect of continuation coverage, required under
Section 4980B of the Code and Sections 601 through 608 of ERISA to all
individuals who are or become “M&A Qualified Beneficiaries” (as such term is
defined in Treas. Reg. § 54.4980B-9) as a result of the consummation of the
transactions contemplated by this Agreement.
(i)    Purchaser shall be liable for all severance obligations arising out of
the termination of any (i) Employee who does not receive an offer of employment
for a Comparable Job from Purchaser or any of its Affiliates pursuant to Section
8.5(a) or (ii) Transferred Employee’s employment on, or during the one (1) year
period following, the Closing Date, in each case, pursuant to the terms and
conditions of the severance plans, policies and procedures of Seller applicable
to such Employee set forth on Schedule 8.5(i) with the period of years of
service with Seller and its Affiliates and Purchaser and its Affiliates credited
towards the calculation of severance benefits paid by Purchaser, as applicable.
Subsequent to the first anniversary of the Closing Date, the Transferred
Employee shall be eligible for severance in accordance with the Purchaser’s
then-applicable severance plans, policies and procedures with the period of
years of service with Seller and its Affiliates and Purchaser and its Affiliates
credited towards the calculation of severance benefits paid by Purchaser.
(j)    Notwithstanding anything in this Agreement to the contrary, if the
Effective Time occurs before the payment of Seller’s annual cash incentive
awards relating to calendar year 2019 (the “2019 Incentives”), (i) Seller shall
finally and conclusively determine, in good faith and consistent with the terms
and conditions of the applicable cash incentive plan, the amount of the 2019
Incentives earned by each Transferred Employee through the Closing Date, which
will be prorated, if the Effective Time occurs in 2019, for the portion of the
year elapsed between January 1, 2019 and the Closing Date or through December
31, 2019 if the Closing Date is on or after December 31, 2019 (the “Earned
Portion”) and (ii) Purchaser shall pay or cause to be paid to each Transferred
Employee the Earned Portion of such Transferred Employee’s 2019 Incentives when
annual cash incentives in respect of 2019 are paid to similarly situated
employees of Purchaser and its Affiliates, but in no event later than March 15,
2020, provided that, subject to Section 8.5(i), each such Transferred Employee
remains employed by Purchaser or its Affiliates on the date of payment. Subject
to Section 8.5(b)(ii) and Section 8.5(e), Purchaser shall determine, in its sole
discretion, the amount of bonuses and other cash incentives, if any, to be paid
to any Transferred Employee in respect of any period following the Closing Date.
(k)    Subject to the provisions of this Section 8.5, Transferred Employees will
be subject to the employment terms, conditions and rules of Purchaser. Nothing
contained in this Agreement shall be construed as an employment contract between
Purchaser and any Transferred Employee or as altering the at-will nature of any
Transferred Employee. The Parties intend that this Agreement shall not benefit
or create any right or cause of action in or on behalf of any Person other than
the Parties. No future or present Employee of either Party nor any of their
Affiliates, successors or assigns or other Person shall be treated as a
third-party beneficiary in or under this Agreement (including this Section 8.5).
Nothing in this Section 8.5, express or implied, shall be deemed an amendment of
any plan providing benefits to any employees of Seller or Purchaser.
(l)    The Parties agree to utilize, or cause their respective Affiliates to
utilize, the alternative procedure set forth in Revenue Procedure 2004-53,
I.R.B. 204-34 (Aug. 23, 2004) for wage reporting with respect to the Transferred
Employees.

ARTICLE IX    
ACCESS; EMPLOYEE AND CUSTOMER COMMUNICATIONS

Section 9.1.    Access by Purchaser. Upon execution of this Agreement, Seller
shall provide Purchaser and its Representatives reasonable access during normal
business hours and upon reasonable prior notice to Seller to the Branches, the
Milford Branch, Employees, deposit records, and all other documents and other
information concerning the Branches or the Milford Branch, the Purchased Assets,
the Assumed Liabilities, and Employees as Purchaser may reasonably request;
provided, however, that one or more representatives of Seller or its Affiliates
shall be permitted to be present at all times and provided, further that with
respect to information concerning Employees, Seller’s sole obligation shall be
to provide Purchaser with information concerning the name, position, date of
hire and salary of the Employees and Seller shall not be required to provide
Purchaser with access to or copies of any personnel files or other
individualized employee files or documents, all of which is, and following the
Closing shall remain, the sole property of Seller. Notwithstanding the
foregoing, in no event shall Seller or any of its Affiliates be required to
provide (a) any information which Seller, in its reasonable discretion, deems
proprietary, including, without limitation, Seller’s “credit scoring” system,
branch or credit practices, policies or procedures, or staffing models, (b) any
information which is protected by attorney-client privilege, (c) any records or
minutes of Seller’s Board of Directors or any committee of the Board of
Directors, or (d) Seller’s or any of its Affiliates’ tax returns.

Section 9.2.    Communications to Employees; Training.
(a)    At mutually agreed upon times following the initial announcement of the
transactions contemplated by this Agreement, Purchaser shall be permitted to
meet with the Employees to conduct introductory meetings and discuss matters
relating to the transition of employment to Purchaser, such as benefits
enrollment, provided that one or more Representatives of Seller or its
Affiliates shall be permitted to attend such meetings. The Parties shall
mutually agree as to the scope and content of all communications to the
Employees. Except as specifically provided in this Section 9.2(a), in no event
prior to the Final Approval Date shall Purchaser contact any Employee without
the prior written consent of Seller, which consent may be granted in Seller’s
sole discretion.
(b)    At mutually agreed upon times following the initial announcement of the
transactions contemplated by this Agreement, Purchaser shall be permitted to
meet with the Employees to discuss employment opportunities with Purchaser,
provided that one of more Representatives of Seller or its Affiliates shall be
permitted to attend any such meetings. From and after the Final Approval Date,
Purchaser shall also be permitted to conduct training sessions outside of normal
business hours or at other times as Seller may agree (which agreement shall not
be unreasonably withheld, conditioned or delayed), with the Employees and may,
in Seller’s sole discretion, conduct such training seminars at any Branch or the
Milford Branch; provided that Purchaser must in good faith attempt to schedule
such training sessions in a manner which does not unreasonably interfere with
Seller’s normal business operations. Purchaser shall reimburse the Employees for
transportation costs to and from the locations where Purchaser may train such
Employees, to the extent such trainings are not conducted at the Employee’s
customary work locations, and compensate the Employees or reimburse Seller at
each Employee’s respective applicable standard or overtime rates for the time
spent in such training and traveling to such training to the extent such
overtime and travel pay is required by applicable federal or state law or
consistent with the past practice of Seller. Such transportation costs shall be
reimbursed according to the standard mileage rate provided in the IRS
regulations.

Section 9.3.    Communications with Customers.
(a)    Not earlier than fifteen (15) days or such longer period if required by
applicable law or regulation prior to the anticipated Closing Date, or as the
Parties otherwise may mutually agree in writing, Purchaser shall send a Customer
Notice to each Customer at Purchaser’s sole cost and expense. The form and
content of each Customer Notice shall be subject to the approval of both
Parties. Following the Final Approval Date, Purchaser shall also be entitled to
provide, at its sole cost and expense, such other notices or communications to
Customers relating to the transactions contemplated by this Agreement as may be
required by applicable law; provided that the text of any such notice or
communication and the timing of such notice or communication which is provided
prior to the Closing shall be approved in advance by Seller, which approval
shall not unreasonably be withheld or delayed. Purchaser shall provide Seller
with advance copies of any Customer Notices and other notices or communications
in order for Seller to have a reasonable opportunity to review and comment on
such notices and communications.
(b)    Except as specifically provided in this Agreement, in no event will
Purchaser or its Affiliates contact any Customers prior to the Closing Date
without the prior written consent of Seller, which may not be unreasonably
withheld or delayed; provided that Purchaser may contact Customers in connection
with (i) advertising, solicitations or marketing campaigns not primarily
directed to or targeted at Customers, (ii) lending, deposit, safe deposit, trust
or other financial services relationships of Purchaser with Customers through
branch offices of Purchaser existing as of the date of this Agreement, (iii)
unsolicited inquiries by Customers to Purchaser with respect to banking or other
financial services provided by Purchaser, and (iv) notices or communications
relating to the transactions contemplated by this Agreement in accordance with
the provisions of this Agreement.

Section 9.4.    Public Announcements. The Parties each agree, from the date of
this Agreement, not to issue any press release or make any other public
announcement regarding this Agreement or any of the transactions contemplated by
this Agreement without first consulting with the other Party upon the substance
and timing of such announcement or comment and obtaining the advance approval of
such Parties, which approval shall not be unreasonably withheld or delayed;
provided that a Party may, without the prior written consent of the other Party
(but after prior consultation, to the extent practicable in the circumstances)
issue such press release or make such public statement as may upon the advice of
outside counsel be required by law or the rules and regulations of the
applicable national security exchange. Further, Purchaser acknowledges the
sensitivity of this transaction to the Employees and agrees that prior to the
Closing, no announcements or communications with the Employees shall be made
without prior written approval of Seller.

ARTICLE X    
CONDITIONS TO CLOSING

Section 10.1.    Conditions to Obligations of Seller. The obligations of Seller
under this Agreement are subject to the satisfaction or, if applicable, waiver
in the sole discretion of Seller except as to the conditions described in
Section 10.1(c) and Section 10.1(d) which cannot be waived, on or before the
Closing Date, of each of the following conditions:
(a)    all of the covenants and other agreements required by this Agreement to
be complied with and performed by Purchaser on or before the Closing Date shall
have been duly complied with and performed in all material respects;
(b)    the representations and warranties made by Purchaser in this Agreement
and in any certificate or other document delivered pursuant to the provisions of
this Agreement or in connection with the transactions contemplated by this
Agreement, shall be true and correct in all material respects, on and as of the
date of this Agreement and the Closing Date, with the same force and effect as
though such representations and warranties had been made on the Closing Date;
provided, however, that for the purposes of determining the satisfaction, no
effect shall be given to any exception or qualification in such representations
relating to materiality or a material adverse effect;
(c)    the Regulatory Approvals shall have been obtained and shall be Final;
(d)    no court or other Governmental Entity of competent jurisdiction shall
have enacted, issued, promulgated, enforced or entered any statute, rule,
regulation, judgment, decree, injunction or other order (whether temporary,
preliminary or permanent) which is in effect to enjoin, or which prohibits or
makes illegal, consummation of the transactions contemplated by this Agreement;
and
(e)    Seller shall have received an Officer’s Certificate dated as of the
Closing Date and executed by a duly authorized officer of Purchaser to the
effect that each of the conditions specified above in Sections 10.1(a) and (b)
are satisfied in all respects.

Section 10.2.    Conditions to Obligations of Purchaser. The obligations of
Purchaser under this Agreement are subject to the satisfaction or, if
applicable, waiver in the sole discretion of Purchaser, except as to the
condition described in Section 10.2(c) and Section 10.2(e) which cannot be
waived on or before the Closing Date, of each of the following conditions:
(a)    all of the covenants and agreements required by this Agreement to be
complied with and performed by Seller on or before the Closing Date shall have
been duly complied with and performed in all material respects;
(b)    the representations and warranties made by Seller in this Agreement and
in any certificate or other document delivered pursuant to the provisions of
this Agreement or in connection with the transactions contemplated by this
Agreement, shall be true and correct in all material respects, on and as of the
date of this Agreement and the Closing Date, with the same force and effect as
though such representations and warranties had been made on the Closing Date;
provided, however, that for the purposes of determining the satisfaction, no
effect shall be given to any exception or qualification in such representations
relating to materiality or a Material Adverse Effect;
(c)    the Regulatory Approvals shall have been obtained and shall be Final;
(d)    the Landlord Consents set forth on Schedule 1.1(g)(ii) shall have been
obtained;
(e)    no court or other Governmental Entity of competent jurisdiction shall
have enacted, issued, promulgated, enforced or entered any statute, rule,
regulation, judgment, decree, injunction or other order (whether temporary,
preliminary or permanent) which is in effect to enjoin, or which prohibits or
makes illegal, consummation of the transactions contemplated by this Agreement;
and
(f)    Purchaser shall have received an Officer’s Certificate dated as of the
Closing Date and executed by a duly authorized officer of Seller to the effect
that each of the conditions specified above in Sections 10.2(a) and (b) are
satisfied in all respects.

ARTICLE XI    
CLOSING

Section 11.1.    Closing; Closing Date. Subject to the terms and conditions of
this Agreement, the closing (the “Closing”) of the transactions contemplated by
this Agreement shall take place on the Closing Date either by telephone or
confirmed by electronic transmission, letter or wire as the parties shall agree,
and shall be effective as of the Effective Time.

Section 11.2.    Seller’s Deliveries. On or before the Closing Date, Seller
shall deliver to Purchaser, duly executed and acknowledged where required:
(a)    the Estimated Payment Amount;
(b)    a bill of sale for the Purchased Assets in substantially the form of
Exhibit D, pursuant to which such Purchased Assets shall be transferred to
Purchaser “AS IS”, “WHERE IS”, with all faults;
(c)    the Assignment and Assumption Agreement;
(d)    the Lease Assignments with respect to all of the Leases and the ATM
Leases that are Purchased Assets, subject to Section 7.3;
(e)    the Deeds;
(f)    the Landlord Consents, subject to Section 7.3;
(g)    consents of Customers relating to the Wealth Management Relationships,
subject to Section 7.4;
(h)    consents of beneficiaries under the Letters of Credit, subject to Section
7.4;
(i)    an Officer’s Certificate in substantially the form of Exhibit E;
(j)    a certificate of non-foreign status in a form reasonably acceptable to
Purchaser that is consistent with the provisions of the Treasury Regulations
promulgated under Section 1445 of the Code;
(k)    the Draft Closing Statement;
(l)    the updated Schedules contemplated by Section 7.5(a);
(m)    a limited power of attorney granting Purchaser the authority to execute
certain documents on behalf of Seller in substantially the form of Exhibit F;
(n)    physical possession of Purchased Assets capable of physical delivery,
provided, however, that the delivery of Purchased Assets shall not convey to
Purchaser any right of ownership or use to any proprietary information or trade
name, trademark or service mark, logo or corporate name that may be contained
within or relating to any such Purchased Assets;
(o)    to the extent transferrable without violating the applicable law and
regulation, possession of the Records capable of delivery regarding the Deposit
Liabilities and other Purchased Assets and Assumed Liabilities (which may be
facsimiles or other electronic records of the same in lieu of originals, with
all originals, to the extent available, to be delivered to Purchaser within
thirty (30) days after the Closing Date), including possession of, or access to,
all Loan Documents in whatever form or medium, all collateral in the custody or
possession of Seller or its Affiliates, and all funds held in escrow, in each
case, relating to the Loans and the Letters of Credit (other than, in each case,
Records relating to the Business which cannot, without unreasonable effort or
expense, be separated from Records maintained by Seller and its Affiliates
relating to retained businesses, provided that in such situations Seller shall
use commercially reasonable efforts to provide Purchaser with access to any such
retained Records as reasonably necessary for the operation of the Business after
the Closing);
(p)    possession of the Safe Deposit Agreements and the Records regarding the
Safe Deposit Agreements (which may be facsimiles or other electronic records of
the same in lieu of originals, with all originals, to the extent available, to
be delivered to Purchaser within thirty (30) days after the Closing Date);
(q)    possession of all other Records (which may be facsimiles or other
electronic records of the same in lieu of originals, with all originals, to the
extent available, to be delivered to Purchaser within thirty (30) days after the
Closing Date), subject to the last clause of paragraph (o) above; and
(r)    such other documents as are necessary to effect the transactions
contemplated by this Agreement as Purchaser shall reasonably request.

Section 11.3.    Purchaser’s Deliveries. At or before the Closing, Purchaser
shall deliver to Seller, duly executed and acknowledged where required:
(a)    the Assignment and Assumption Agreement;
(b)    the Lease Assignments and such other instruments and documents as any
landlord under a Lease or ATM Lease, as applicable, may reasonably require as
necessary or desirable for providing for the assumption by Purchaser of such
Lease or ATM Lease, as applicable, each such instrument and document in the form
and substance reasonably satisfactory to the Parties and dated as of the Closing
Date;
(c)    an Officer’s Certificate in substantially the form of Exhibit G; and
(d)    such other documents as are necessary to effect the transactions
contemplated by this Agreement as Seller shall reasonably request.

ARTICLE XII    
TRANSITIONAL MATTERS

Section 12.1.    Payment of Deposit Liabilities.
(a)    From and after the Closing Date, Purchaser shall (i) pay all properly
drawn and presented Items that are presented to Purchaser by Customers who hold
a Deposit Account, whether drawn on Item forms provided by Seller or by
Purchaser and (ii) in all other respects discharge, in the usual course of the
banking business, all of the duties and obligations of Seller with respect to
the balances due and owing to the Customers who hold a Deposit Account.
Purchaser shall notify Customers no later than thirty (30) days following the
Closing Date that any Items which are drawn on Seller will not be honored by
Seller upon the expiration of the period beginning on the Closing Date and
ending on the sixtieth (60th) day thereafter. The form of such notice shall be
subject to the prior written approval of Seller and such notice shall be
delivered by first class U.S. mail and by posting signs in the Branches during
the period beginning on the Closing Date and ending on the sixtieth (60th) day
thereafter.
(b)    Purchaser acknowledges that if, after the Closing Date, any Customer who
holds a Deposit Account, instead of accepting the obligation of Purchaser to pay
the Deposit Liabilities (including Accrued Interest) shall demand payment from
Seller for all or any part of any such Deposit Liabilities (including Accrued
Interest), Seller shall not be liable or responsible for making such payment and
shall have no liability or responsibility for its actions or omissions relating
to this Section 12.1(b).
(i)    Prior to the Closing, Purchaser shall establish the Residual Processing
Account and shall maintain in such account funds necessary to process the
transactions contemplated by this Article XII. Purchaser authorizes Seller to
debit and credit the Residual Processing Account as provided in this Article
XII. Each Party shall identify to the other and make available on a daily basis
individuals to serve as liaisons between the Parties in order to resolve any
settlement or other reconciliation issues relating to the Purchased Assets and
the Assumed Liabilities.
(ii)    During the period beginning on the Closing Date and ending on the
sixtieth (60th) day thereafter, Seller shall, by commercially reasonable efforts
and at Purchaser’s sole cost and expense: (A) accept for forwarding to Purchaser
all Items which are presented to Seller for payment in any manner including,
without limitation, through Seller’s Federal Reserve cash letters or
correspondent bank cash letters or deposited by Customers, correspondent banks
or others but excluding ATM withdrawals, deposits and transfers unless initiated
with an ATM card issued by Purchaser; (B) batch all such Items and deliver them
to Purchaser; (C) notify Purchaser by telephone by noon Eastern Time of the
Business Day following Seller’s receipt of any Item in excess of ten thousand
dollars ($10,000) that Seller has received such Item, whereupon Purchaser will
direct Seller to either return, pay or deliver over such Item and Seller shall
promptly comply with such direction; and (D) debit the Residual Processing
Account for the amount of any Items that Seller has paid unless Purchaser has
directed Seller to return such Item.
(iii)    After the Closing Date, Purchaser will make every reasonable effort to
notify all originators of ACH entries to Deposit Accounts of the terms and
effect of the transactions contemplated by this Agreement and that all such
entries shall be transmitted to Purchaser following the Closing Date. During the
period beginning on the Closing Date and ending on the sixtieth (60th) day
thereafter, Seller shall, on each Business Day, deliver to Purchaser each
previous Business Day’s transactions via an encrypted transmission, an ACH
format tape or a paper listing of all ACH entries received by Seller from an
electronic funds transfer clearing house or firm for debit or credit to a
Deposit Account and Seller shall debit or credit the Residual Processing
Account, as applicable.
(iv)    Seller shall be under no obligation to accept after the Closing Date any
deposits to a Deposit Account. In the event that Seller accepts any deposits to
a Deposit Account on or after the Closing Date, Seller will promptly credit the
Residual Processing Account for the amount of any such deposits and will deliver
deposit tickets for such deposits to Purchaser. Seller will credit the Residual
Processing Account for any electronic credits to the Deposit Accounts which
Seller receives and processes and will promptly notify Purchaser of such
credits. Purchaser agrees to promptly credit Customers in the amount of such
deposits and electronic credits and to process any such Items so deposited and
transferred to Purchaser for collection. Promptly following the Closing Date,
Purchaser shall notify originators of electronic credits of the new account
number assigned by Purchaser for each transferred Deposit Account.

Section 12.2.    Delivery of Customer Notice. Purchaser shall, at its sole cost
and expense, notify all Customers who own a Deposit Account of Purchaser’s
impending assumption of the Deposit Liabilities by the Customer Notice described
in Section 9.3(a) and any additional later notices sent at least five (5) days
prior to the Closing Date (or such other time as may be required by applicable
law or regulation) as Purchaser may elect to send; provided that the substance
of such later notice shall be reasonably acceptable to Seller. Such notices
shall include a notification to such Customers whose Deposit Accounts are then
covered by any type of overdraft protection offered by Seller, including, but
not limited to, an Advance Line, that from and after the Closing Date all such
overdraft protection from Seller shall terminate.

Section 12.3.    Delivery of Purchaser’s Check Forms. After the Closing Date,
Purchaser shall furnish each Customer who holds a Deposit Account with checks,
deposit tickets, or other similar instruments using the forms of Purchaser,
which shall be appropriately encoded with Purchaser’s routing number and with
accurate account numbers, and with instructions to the Customer to utilize such
checks, deposit tickets, or other similar instruments on Purchaser’s forms on
and after the Closing Date and after the Closing Date to destroy any unused
checks on Seller’s forms. Such delivery of checks by Purchaser shall be by first
class U.S. mail.

Section 12.4.    Uncollected Checks Returned to Seller. After the Closing Date,
Seller shall be entitled to debit from the Residual Processing Account, or if
funds are not available in the Residual Processing Account, Purchaser shall
promptly pay to Seller, an amount equivalent to the amount of any Items (net of
the applicable deposit premium paid by Purchaser with respect to the Deposit
Liabilities represented by any such Item) credited as of the Effective Time to
any Deposit Account which are returned uncollected to Seller after the Closing
Date, which shall include an amount equivalent to holds placed upon such Deposit
Accounts for Items cashed by Seller (net of the applicable deposit premium paid
by Purchaser with respect to the Deposit Liabilities represented by any such
Item), as of the Effective Time which Items are subsequently dishonored.

Section 12.5.    Telephone Numbers. The phone numbers associated with each
Branch or the Milford Branch shall be transferred to Purchaser as of the
Business Day immediately following the Closing Date, and Purchaser shall be
responsible for related charges and expenses following the Closing Date.

Section 12.6.    New ATM/Debit Cards. Purchaser shall, at its sole cost and
expense, furnish ATM and debit cards to Customers who own Deposit Accounts to
replace Seller’s ATM and debit cards in the Customer Notice described in Section
9.3(a) or such later notice sent at least five (5) days prior to the Closing
Date (or such other time as may be required by applicable law or regulation);
provided that the substance of such later notice shall be reasonably acceptable
to Seller. Seller shall, no later than five (5) days prior to the Closing Date,
notify affected Customers to destroy Seller’s ATM and debit cards as of the
Closing Date and shall notify such Customers of Purchaser’s withdrawal limits
immediately following the Closing by form of notice reasonably acceptable to
Purchaser.

Section 12.7.    Deactivation of ATMs and ATM/Debit Cards. Seller shall
deactivate all ATMs and all ATM and debit cards issued with respect to all
Deposit Accounts (and electronically block access of such cards to such Deposit
Accounts), no later than 4:00 p.m. Eastern Time on the Closing Date or at such
other time as mutually agreed upon by the Parties. The Parties each acknowledge
the sensitivity of this transaction to Customers and agree that the deactivation
of such ATMs and cards shall be completed in the least disruptive manner.
Point-of-sale transactions shall be settled between the Parties for a period of
forty-five (45) days after the Closing Date through the Residual Processing
Account as provided in this Agreement.

Section 12.8.    Installation of Equipment by Purchaser. Subsequent to the Final
Approval Date and prior to the Closing Date, Seller shall cooperate with and
permit Purchaser, at Purchaser’s option and sole cost and expense, to make
provision for the installation of equipment in the Branches; provided, however,
that Purchaser shall arrange for the installation of such equipment at such
times and in a manner that does not significantly interfere with the normal
business activities and operation of the Branches.

Section 12.9.    Signage.
(a)    Purchaser, directly or through a vendor approved by Seller, shall with
Seller’s prior consent remove and dispose of all of Seller’s existing fixed
signage at the Branches, and Purchaser shall cause signage of its own choosing
to be installed at the Branches, provided, however, that: (i) Purchaser shall
provide Seller with a mutually agreeable schedule for signage conversion; (ii)
the removal and disposal of all of Seller’s signage shall be at Purchaser’s sole
cost and expense; (iii) all of Seller’s signage shall be disposed of in a manner
determined by Purchaser in its reasonable discretion which ensures such signage
will not be reused or rebranded in any way, with certification of such disposal
to be provided to Seller by Purchaser within seven (7) days of the Closing Date;
(iv) the installation of all of Purchaser’s signage shall be at Purchaser’s sole
cost and expense and such installation shall be performed by Purchaser in a
manner that does not significantly interfere with the normal business activities
and operations of the Branches; (v) all of Purchaser’s installed signage shall
be covered in such a way as to be unreadable at all times prior to the Closing
Date and with a banner, adhesive or other covering clearly displaying Seller’s
name; (vi) any such banner, adhesive and other covering shall be approved by
Seller prior to its installation at a Branch; (vii) the preparation and
installation of such banners, adhesives or other coverings shall be at
Purchaser’s sole cost and expense, provided that Seller shall provide any
graphic materials or content necessary for the production of the banners,
adhesives and other coverings; (viii) Seller shall remove all non-fixed signage
and merchandising equipment at the Branches within five (5) Business Days of the
Closing Date, provided that Purchaser provides Seller with reasonable access to
the Branches for such purposes; and (ix) any vendor with which Purchaser
contracts for the removal and disposal of Seller’s signage shall provide a
certificate of insurance in appropriate form and coverage naming Seller as an
additional insured on a primary and non-contributing basis prior to removing or
disposing any of Seller’s signage as contemplated by this Section 12.9. If, for
any reason, Purchaser shall not be able to cause the installation of any of its
signage or banners, adhesives or other coverings at a Branch, the Parties agree
that immediately following the Closing Date, Seller shall, at Purchaser’s
expense, remove all of its existing fixed signage at such Branch as promptly as
practicable following the Closing, and Purchaser shall, at its sole cost and
expense, install signage of its choosing at such Branch.
(b)    In the event that the Closing is not consummated, Purchaser shall, at its
sole cost and expense, immediately remove any of its signage installed at the
Branches and shall indemnify and hold harmless Seller for any and all costs and
expenses incurred by Seller with respect to Purchaser’s actions taken pursuant
to this Section 12.9, including, without limitation, reinstallation of Seller’s
signage at the Branches.
(c)    Purchaser shall defend, indemnify and hold harmless Seller and its
Affiliates and their respective successors, permitted assigns, directors,
shareholders, officers, members, managers, employees and Representatives from
and against all Damages that any of them shall receive, suffer or incur, arising
out of or resulting from any act or omission of Purchaser or any signage vendor
with which Purchaser contracts relating to the removal or disposal of Seller’s
signage as contemplated by this Section 12.9.

Section 12.10.    Actions With Respect to IRA and 401(k) Plan Deposit
Liabilities.
(a)    At or before the Closing, Seller shall (i) resign as of the Effective
Time as the trustee or custodian, as applicable, of each IRA and 401(k) Plan of
which it is the trustee or custodian (or cause the resignation of any such
trustee or custodian, in the event Seller is not the trustee or custodian), (ii)
to the extent permitted by the governing documents of each such IRA or 401(k)
Plan and applicable law, appoint Purchaser as successor trustee or custodian, as
applicable, of each such IRA or 401(k) Plan (or cause such appointment, in the
event Seller is not the trustee or custodian), and Purchaser agrees to accept
each such trusteeship or custodianship under the terms and conditions of
Seller’s plan documents for each such IRA or 401(k) Plan and assume all
fiduciary and custodial obligations with respect to each such IRA or 401(k) Plan
as of the Effective Time, and (iii) deliver to each IRA participant or the
401(k) Plan employer sponsor such notice of the foregoing as is required by the
governing documents of each such IRA or 401(k) Plan or by applicable law.
Purchaser shall be solely responsible for delivering its IRA or 401(k) Plan
documents to the applicable participant or 401(k) Plan employer sponsor,
including, but not limited to, a beneficiary designation form to be completed by
the applicable IRA or 401(k) Plan participant; provided, however, that in the
event that an IRA or 401(k) Plan participant dies before such time as Purchaser
receives a properly completed beneficiary designation form, Seller shall make
available to Purchaser such information as may exist in Seller’s files regarding
any beneficiary designation it may have regarding such decedent. If, pursuant to
the terms of the governing documents of any such IRA or 401(k) Plan or
applicable law, (A) Purchaser is not permitted to be appointed as successor
trustee or custodian, or the IRA participant or the 401(k) Plan objects in
writing to such designation, or is entitled to, and does, in fact, name a
successor trustee or custodian other than Purchaser, or (B) such IRA or 401(k)
Plan includes assets which are not Deposit Liabilities and are not being
transferred to Purchaser or the assumption of such deposit liabilities included
in such IRA would result in a loss of qualification of such IRA or 401(k) Plan
under the Code or applicable IRS regulations, all deposit liabilities of Seller
held under such IRA or 401(k) Plan shall be excluded from the Deposit
Liabilities (such excluded deposits liabilities being referred to in this
Agreement as the “Excluded IRA/401(k) Plan Deposits”) and Seller may remain as
trustee or custodian of such Excluded IRA/401(k) Plan Deposits. Upon appointment
as a successor trustee or custodian, as applicable, for such IRAs or /401(k)
Plans, Purchaser shall perform the services and carry out the duties and
obligations required of it under the applicable accounts, the Code and
applicable law.
(b)    To the extent the Deposit Liabilities include certain IRAs and 401(k)
Plans that are required to make certain periodic distributions to the IRA or
401(k) Plan participant (or beneficiary) either at the participant’s request or
because the participant has attained age 70 1/2, effective as of the Closing
Date, Purchaser shall continue to make such periodic distributions in accordance
with the reasonable distribution instructions forwarded by Seller to Purchaser.
Purchaser agrees to assume as of the Effective Time the obligation to pay each
minimum distribution required by federal law by December 31 of the calendar year
in which the Closing occurs and, in consideration of such obligation, Seller
agrees not to withhold the amount of such distributions from the aggregate
amount of the Deposit Liabilities.

Section 12.11.    UCC-1 Assignment and Other Documents.
(a)    Seller shall use its commercially reasonable efforts to deliver to
Purchaser at the Closing all signed UCC-1 financing statements and UCC-3
assignments of financing statements, endorsed notes, participations, assignments
of mortgagees in recordable form and all other documentation necessary to effect
the assignment of the Loans (including all related collateral) and the Letters
of Credit that are Purchased Assets to Purchaser. The out-of-pocket-costs and
expenses of preparing and filing any such documentation shall be split equally
between Seller and Purchaser.
(b)    In accordance with Article 9 of the UCC, from the date hereof until the
applicable Closing Date, Seller shall make all filings of continuation
statements necessary to maintain perfection of security interests related to
Loans that are Purchased Assets.
(c)    Seller shall use its commercially reasonable efforts to deliver on or
before the sixtieth (60th) day after the Closing Date the Loans that are
Purchased Assets, duly and properly endorsed, to Purchaser by Seller together
with all notes, guarantees, agreements and other evidence thereof and all
collateral and security interests securing such Loans in the possession of
Seller and all necessary assignments (if applicable, in recordable form),
endorsements and other instruments of conveyance as may be necessary under the
circumstances; provided that all such assignments, endorsements and other
instruments of conveyance shall be without recourse as to collection to Seller.
If and to the extent that, and for so long as, any of such collateral remains in
the possession of Seller after the Closing Date, then Seller shall use
commercially reasonable efforts to hold such collateral in a manner designed to
ensure the uninterrupted perfection of the security interests in such collateral
for the sole benefit of Purchaser. From the Closing until such delivery, Seller
shall hold any such undelivered documentation related to the Loans that are
Purchased Assets as the agent exclusively for Purchaser, and shall exercise the
same degree of care that Seller exercises over its own similar documentation.

Section 12.12.    Conversion.
(a)    Seller shall deconvert, and Purchaser shall convert, account information
as to the Deposit Liabilities on the Closing Date in accordance with the
provisions of Schedule 12.12. Each Party shall bear all costs and expenses
imposed by such Party’s core processor in connection with such deconversion and
conversion.
(b)    All tasks and obligations concerning the provision of data processing
services to or for the Business after the Closing Date, shall be performed
solely and exclusively by Purchaser. Purchaser acknowledges its assumption of
all such tasks and obligations, and further acknowledges that any delay,
failure, or inability on its part to perform such tasks or comply with such
obligations, except as and to the extent attributable to any delay, failure, or
inability on the part of Seller in performing its obligations in accordance with
Schedule 12.12, shall not result in any liability or obligation of Seller or any
of its Affiliates and shall not affect any of the rights of Seller under this
Agreement.

ARTICLE XIII    
POST-CLOSING MATTERS

Section 13.1.    Further Assurances. From and after the Closing Date:
(a)    Except as specifically provided otherwise in this Agreement, Seller shall
assist Purchaser in the orderly transition of the operations of the Business and
Seller shall give such further assurances and execute, acknowledge and deliver
all such instruments as may be reasonably necessary and appropriate to
effectively vest in Purchaser title in the Purchased Assets in the manner
contemplated by this Agreement; provided that Seller need not incur any
out-of-pocket costs or expenses in connection with its agreements in this
Section 13.1(a) unless such costs or expenses are pre-approved by Purchaser and
are immediately reimbursed by Purchaser.
(b)    Except as specifically provided otherwise in this Agreement, Purchaser
shall give such further assurances to Seller and shall execute, acknowledge and
deliver all such acknowledgments and other instruments and take all such further
action as may be reasonably necessary and appropriate to effectively relieve and
discharge Seller from any obligations remaining with respect to the Deposit
Liabilities or other Assumed Liabilities; provided that Purchaser need not incur
any out-of-pocket costs or expenses in connection with its agreements in this
Section 13.1(b) unless such costs or expenses are pre-approved by Seller and are
immediately reimbursed by Seller.
(c)    Purchaser agrees that in the event that any asset or liability of Seller
which is not a Purchased Asset or an Assumed Liability is erroneously
transferred to Purchaser as part of the Purchased Assets or Assumed Liabilities,
Purchaser shall promptly upon knowledge of such erroneous transfer execute,
acknowledge and deliver all such instruments as may be necessary or appropriate
to effectively vest in Seller title to such erroneously transferred asset or
liability, as is reasonably agreed to by each Party.
(d)    Seller agrees that in the event that any asset or liability of Seller
which is a Purchased Asset or an Assumed Liability is erroneously not
transferred to Purchaser at the Closing, Seller shall, promptly upon knowledge
of such erroneous transfer, execute, acknowledge and deliver all such
instruments as may be necessary or appropriate to effectively vest in Purchaser
title to such asset or liability, as is reasonably agreed to by each Party.
(e)    In the event any such erroneously transferred or not transferred asset or
liability is transferred to either Party pursuant to Section 13.1(c) or Section
13.1(d), the Parties shall, as between themselves, treat any such asset or
liability as having been or not been transferred, as the case may be, on the
Closing Date with an appropriate adjustment in the Purchase Price, so that the
Parties will receive the benefits and be subject to the obligations as they
would have received if such asset or liability had been properly transferred or
not transferred, as reasonably agreed to by the Parties.

Section 13.2.    Access to Books and Records. For a period of seven (7) years
from the Closing Date, each Party shall, subject to applicable law regarding the
confidentiality of bank records, have commercially reasonable access to any
books and records of the other Party relating to the Business, and the
requesting Party, at its own expense, may make copies and extracts when such
copies and extracts are required by regulatory authorities, for litigation
purposes, or for tax or accounting purposes or as otherwise appropriate for the
requesting Party’s legitimate business needs; provided that in the event that as
of the end of such period any tax year of Seller is under examination by any
taxing authority, Seller shall have such access to such books and records until
a final determination of the tax liability of Seller for that year has been
made. If such access, copies and extracts require use of a Party’s time,
equipment or facilities, the user shall promptly reimburse the other Party for
all out-of-pocket costs incurred, as well as pay a fee reasonably determined by
the Parties.

Section 13.3.    Deposit Histories. For a period of twelve (12) months following
the Closing Date, in case of any dispute with or inquiry by any Customer who
owns a Deposit Account, which dispute or inquiry relates to the servicing of
such Deposit Account by Seller prior to the date for which a deposit history has
been provided to Purchaser, Seller will provide Purchaser, where available and
to the extent reasonably requested by Purchaser and not already provided to
Purchaser, information regarding the Deposit Account and copies of pertinent
documents or instruments with respect to such dispute or inquiry so as to permit
Purchaser to respond to such Customer within a period of time and in a manner
which would comply with all applicable laws, provided that Seller has been given
a reasonable period of time to respond to Purchaser’s request. Seller shall be
reimbursed by Purchaser for all out-of-pocket costs incurred in connection with
such request.

ARTICLE XIV    
INDEMNITY

Section 14.1.    Seller’s Indemnity. Seller shall indemnify, hold harmless and
defend Purchaser and its Affiliates, and their respective successors, permitted
assigns, directors, shareholders, officers and employees from and against all
Damages which Purchaser or its Affiliates or their respective successors,
permitted assigns, directors, shareholders, officers or employees shall receive,
suffer or incur, arising out of or resulting from:
(a)    Any liability of Seller which is not an Assumed Liability;
(b)    The breach of or inaccuracy in any representation or warranty made by the
Seller in this Agreement, including any inaccuracy in or omission from any
schedule, certificate or other instrument furnished by Seller pursuant to this
Agreement;
(c)    The breach of any covenant or agreement by Seller in this Agreement or
any other document or instrument furnished or to be furnished by Seller pursuant
to this Agreement;
(d)    Any and all taxes payable by Seller pursuant to Section 3.6(b), Section
4.1 or Section 4.3, including, without limitation, those arising upon subsequent
audit by any taxing authority, including any interest or penalties; or
(e)    The Specified Litigation.

Section 14.2.    Purchaser’s Indemnity. Purchaser shall indemnify, hold harmless
and defend Seller and its Affiliates and their respective successors, permitted
assigns, directors, shareholders, officers and employees from and against all
Damages which Seller or its Affiliates or their respective successors, permitted
assigns, directors, shareholders, officers or employees shall receive, suffer or
incur, arising out of or resulting from:
(a)    The Assumed Liabilities;
(b)    Any act or omission of Purchaser from or after the Effective Time
relating to the Purchased Assets, the Assumed Liabilities or the Transferred
Employees;
(c)    The breach of or inaccuracy in any representation or warranty made by
Purchaser in this Agreement, including any inaccuracy in or omission from any
schedule, certificate or other instrument furnished by Purchaser pursuant to
this Agreement;
(d)    The breach of any covenant or agreement made by Purchaser in this
Agreement or any other document or instrument furnished by Purchaser pursuant to
this Agreement; or
(e)    Any and all taxes payable by Purchaser pursuant to Section 3.6(b) or
Section 4.3, including, without limitation, those arising upon subsequent audit
by any taxing authority, including any interest or penalties.

Section 14.3.    Indemnification Procedure. If an Indemnified Party is aware
that a claim, demand or other circumstance exists that has given or would
reasonably be expected to give rise to a right of indemnification under this
Article XIV (whether or not the amount of the claim is then quantifiable), the
Indemnified Party shall promptly give written notice of such claim, demand or
circumstance to the Indemnitor, and the Indemnified Party will thereafter keep
the Indemnitor reasonably informed with respect to such claim, demand or
circumstance, provided that failure of the Indemnified Party to give the
Indemnitor prompt notice as provided in this Agreement shall not relieve the
Indemnitor of its obligations under this Agreement except to the extent, if any,
that the Indemnitor’s rights shall have been actually prejudiced by reason of
such failure. The Indemnified Party shall supply the Indemnitor with such
information regarding such claim, action, suit or other proceeding as the
Indemnitor reasonably requests. If any claim, action, suit or other proceeding
is brought against an Indemnified Party, the Indemnitor shall be entitled to
participate in (and, in its discretion, to assume) the defense of such claim,
action, suit or other proceeding with counsel reasonably satisfactory to the
Indemnified Party, provided, however, that the Indemnified Party shall be
entitled to participate in any such claim, action, suit or other proceeding with
counsel of its own choice at the expense of the Indemnitor if, in the good faith
judgment of the Indemnified Party’s counsel, representation by the Indemnitor’s
counsel may present a conflict of interest or there may be defenses available to
the Indemnified Party which are different from or in addition to those available
to the Indemnitor. If the Indemnitor assumes the defense of any claim, action,
suit or other proceeding as provided in this Section 14.3, the Indemnified Party
shall be permitted to join in the defense of such claim, action, suit or other
proceeding with counsel of its own selection and at its own expense (unless
provided otherwise in this Section 14.3). If the Indemnitor shall not promptly
assume the defense of any claim, action, suit or other proceeding, the
Indemnified Party may defend against such claim, action, suit or proceeding in
such manner as it may deem appropriate at the expense of the Indemnitor. Neither
Party shall settle, compromise, discharge or consent to an entry of judgment
with respect to a claim, action, suit or other proceeding subject to
indemnification under this Article XIV without the other Party’s prior written
consent (which consent shall not be unreasonably withheld, conditioned or
delayed); provided that the Indemnitor may agree without the prior written
consent of the Indemnified Party to any settlement, compromise, discharge or
consent to an entry of judgment in each case that by its terms (i)
unconditionally releases the Indemnified Party and its Affiliates from all
liability or obligation in connection with such claim and (ii) does not impose
injunctive or other non-monetary equitable relief against the Indemnified Party
or its Affiliates, or their respective businesses.

Section 14.4.    Limitations on Liability.
(a)    Notwithstanding anything to the contrary contained in this Agreement, (i)
no Party shall be entitled to indemnification pursuant to Section 14.1(b) or
Section 14.2(c), unless and until its aggregate Damages exceed 200,000 dollars
($200,000) (the “Deductible Amount”), after which such Party shall be entitled
to indemnification for the amount of its Damages in excess of such Deductible
Amount; and (ii) in no event shall the Damages payable by (x) Seller pursuant to
Section 14.1(b) or (y) Purchaser pursuant to Section 14.2(c) in the aggregate
exceed 3,500,000 dollars ($3,500,000), respectively. Notwithstanding the
foregoing, (1) the limitations set forth in clause (i) of the immediately
preceding sentence shall not apply to Damages based upon, arising out of, with
respect to or by reason of any inaccuracy in or breach of any representation or
warranty contained in Section 5.11, 5.17 or 6.11; (2) with respect to the
Damages based upon, arising out of, with respect to or by reason of any
inaccuracy in or breach of any representation or warranty contained in Section
5.10, the reference to 3,500,000 dollars ($3,500,000) in clause (ii) of the
immediately preceding sentence shall be read as a reference to the Deposit
Premium; and (3) the limitations set forth clauses (i) and (ii) of the
immediately preceding sentence shall not apply to Damages based upon, arising
out of, with respect to or by reason of fraud of the Indemnitor.
(b)    EACH OF THE PARTIES TO THE FULLEST EXTENT PERMITTED BY LAW IRREVOCABLY
WAIVES ANY RIGHTS THAT THEY MAY HAVE TO PUNITIVE, SPECIAL, INCIDENTAL, INDIRECT
(INCLUDING, WITHOUT LIMITATION, LOST PROFITS), EXEMPLARY AND CONSEQUENTIAL
DAMAGES IN RESPECT OF ANY CLAIM BASED UPON, ARISING OUT OF, OR IN CONNECTION
WITH, THIS AGREEMENT OR ANY OTHER AGREEMENT, INSTRUMENT OR DOCUMENT CONTEMPLATED
BY THIS AGREEMENT OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS OR
ACTIONS OF ANY OF THEM RELATING TO ANY SUCH CLAIM. NOTWITHSTANDING THE
FOREGOING, IN THE EVENT A NONAPPEALABLE COURT ORDER REQUIRES A PARTY TO PAY A
THIRD PARTY THAT IS NOT AN AFFILIATE SUCH DAMAGES AND SUCH DAMAGES ARE SUBJECT
TO THE OTHER PARTY’S INDEMNIFICATION OBLIGATION CONTAINED IN THIS AGREEMENT AND
AS LIMITED BY OTHER PROVISIONS IN THIS AGREEMENT, SUCH DAMAGES SHALL NOT BE
SUBJECT TO THE LIMITATION ON LIABILITY CONTAINED IN THIS SECTION 14.4(b).

Section 14.5.    General.
(a)    Each Indemnified Party shall be obligated in connection with any claim
for indemnification under this Article XIV to use all commercially reasonable
efforts to obtain any insurance proceeds available to such Indemnified Party
with regard to the applicable claims. The amount which any Indemnitor is or may
be required to pay to any Indemnified Party pursuant to this Article XIV shall
be reduced (retroactively, if necessary) by any insurance proceeds or other
amounts actually recovered (net of any direct relevant collections costs and
increases in premiums) by or on behalf of such Indemnified Party in reduction of
the related Damages. If an Indemnified Party shall have received the payment
required by this Agreement from the Indemnitor in respect of Damages and shall
subsequently receive insurance proceeds or other amounts in respect of such
Damages, then such Indemnified Party shall promptly refund to the Indemnitor a
sum equal to the amount of such insurance proceeds or other amounts actually
received (net of any direct relevant collection costs and increase in premiums).
(b)    In addition to the requirements of Section 14.5(a), each Indemnified
Party shall be obligated in connection with any claim for indemnification under
this Article XIV to use all commercially reasonable efforts to mitigate Damages
upon and after becoming aware of any event which could reasonably be expected to
give rise to such Damages.
(c)    Once Damages are agreed to by the Indemnitor or finally adjudicated to be
payable pursuant to this Article XIV, the Indemnitor shall satisfy its
indemnification obligations under this Article XIV within ten (10) Business Days
of such final adjudication by wire transfer of immediately available funds to
the Indemnified Party. The Parties agree that should an Indemnitor not make full
payment of any such obligations within such ten (10) Business Day period, any
amount payable but not paid shall accrue interest from and including the date of
agreement of the Indemnitor or final adjudication to and including the date such
payment has been made at a rate per annum equal to the Federal Funds Rate.
(d)    Except for the Parties’ rights to specific performance and injunctive
relief, the remedies set forth in this Article XIV constitute the sole remedies
available under this Agreement, unless specifically stated otherwise in this
Agreement.
(e)    All indemnification payments under this Article XIV shall be deemed
adjustments to the Purchase Price.

ARTICLE XV    
TERMINATION

Section 15.1.    Termination. This Agreement shall terminate upon the occurrence
of any of the following:
(a)    Upon mutual written agreement of the Parties;
(b)    Upon written notice by either Party to the other Party following receipt
by either Party of notice from any Governmental Entity that such Party has been
denied any Regulatory Approval by Final order;
(c)    By either Party (provided that the terminating Party is not then in
material breach of any representation, warranty, covenant or other agreement
contained in this Agreement) upon written notice to the other Party if there has
been a breach of any of the representations, warranties, covenants or other
agreements set forth in this Agreement or any other instruments and documents
executed pursuant to this Agreement, on the part of the other Party, which
breach would constitute grounds, either individually or in the aggregate, for
the non-breaching Party to elect not to consummate the transactions contemplated
by this Agreement pursuant to Section 10.1(a), 10.1(b), 10.2(a) or 10.2(b), as
applicable, and is not cured within thirty (30) days following written notice to
the Party committing such breach, or which breach, by its nature, cannot be
cured prior to the Closing; and
(d)    By either Party upon written notice to the other Party if the Closing has
not occurred by January 8, 2020 (provided that the terminating Party is not then
in material breach of any representation, warranty, covenant or other agreement
contained in this Agreement).

Section 15.2.    Effect of Termination. Upon termination of this Agreement
pursuant to Section 15.1, this Agreement shall become void and have no effect,
and neither Party shall have any liability under this Agreement, or in
connection with the transactions contemplated by this Agreement, except that (a)
Section 9.4, this Article XV and Article XVI (except Section 16.16) and (b) the
Confidentiality Agreement shall survive any termination of this Agreement;
provided that neither Party shall be relieved or released from any liabilities
or damages arising out of its “willful and material” breach of any provision of
this Agreement. For purposes of this Agreement, “willful and material breach”
means a material breach that is a consequence of any act undertaken by the
breaching Party with knowledge (actual or constructive) that the taking of such
act would, or would reasonable be expected to, cause a breach of this Agreement.

ARTICLE XVI    
MISCELLANEOUS

Section 16.1.    Expenses.
(a)    Except as otherwise provided in this Agreement, each Party shall pay all
of its own out-of-pocket expenses in connection with this Agreement and the
transactions contemplated by this Agreement, including investment banking,
appraisal, accounting, consulting, professional and legal fees, if any, whether
or not the transactions contemplated by this Agreement are consummated.
(b)    Except as otherwise provided in this Agreement, Purchaser shall pay all
(i) recording, filing or other fees, costs and expenses relating to the transfer
of the Purchased Assets to Purchaser and the assumption of the Assumed
Liabilities by Purchaser and (ii) all costs and expenses relating to the
preparation, execution and recording of assignments of mortgages, financing
statements, notes, security agreements or other instruments applicable to or
arising in connection with the transfer, assignment or assumption of the
Purchased Assets and Assumed Liabilities.

Section 16.2.    Trade Names and Trademarks.
(a)    Purchaser acknowledges and agrees that notwithstanding anything in this
Agreement to the contrary, it does not have, nor following the Closing will
have, any interest in or to the name, “People’s United” or any derivative or
variation thereof or any other trade name, trademark or service mark, logo or
corporate name of Seller or any of its Affiliates. Except as provided in Section
16.2(b), after the Closing, Purchaser and its Affiliates shall not use any such
trade names, trademarks, service marks, logos or corporate names of Seller or
any of its Affiliates.
(b)    From and after the Closing, Purchaser agrees not to use any forms or
other documents bearing any trade or corporate name, trademark, service mark or
logo of Seller or any of its Affiliates, without the prior written consent of
Seller, which consent may be denied or given and limited in Seller’s sole
discretion. If such consent is given, Purchaser agrees that all forms or other
documents to which such consent relates will be stamped or otherwise marked in
such a way that identifies Purchaser as the Party using such form or document.

Section 16.3.    Confidentiality.
(a)    From and after the date of this Agreement, the Parties and their
Affiliates shall keep confidential the terms of this Agreement, the negotiations
relating to this Agreement and all documents and information obtained by a Party
from another Party in connection with the transactions contemplated by this
Agreement, except (i) to the extent this Agreement and such negotiations need to
be disclosed to obtain a Regulatory Approval, (ii) for disclosures made in
accordance with the terms of this Agreement, and (iii) to the extent required by
applicable law, regulations or rules of any applicable national securities
exchange or otherwise.
(b)    Except as otherwise required by applicable law, regulations or rules,
including the rules of any self-regulatory organization (as defined in the
Securities Exchange Act of 1934, as amended), the Parties shall each furnish to
the other the text of all notices and communications proposed to be sent by the
furnishing Party regarding the transactions contemplated by this Agreement.
Except as otherwise required by law, regulations or rules, including the rules
of the Financial Industry Regulatory Authority or any national stock exchange,
the furnishing Party shall not send or transmit such notices or communications
or otherwise make them public unless and until the consent of the other Party is
received, which consent shall not be unreasonably withheld or delayed.
Notwithstanding anything in this Agreement to the contrary, the provisions of
this Section 16.3 shall not apply to notices and communications from Seller to
its Customers and its regulatory authorities.

Section 16.4.    Notices. Any notice, demand, request or report required or
permitted to be given or made to a Party under this Agreement shall be in
writing and shall be deemed given or made when delivered in person or when sent
by registered or certified mail, return receipt requested, postage prepaid, by
electronic mail (e-mail) or by nationally-recognized overnight delivery service
to the Parties at the addresses set forth below:
if to Seller:
People’s United Bank, National Association
850 Main Street
Bridgeport, CT 06604
Attention: John B. Eagan, Corporate Counsel
Email: John.Eagan@peoples.com

with a copy to (which shall not constitute notice):

Simpson Thacher & Bartlett LLP
425 Lexington Avenue
New York, NY 10017
Attention: Lee Meyerson
Email: lmeyerson@stblaw.com

and if to Purchaser addressed to:

Bar Harbor Bank & Trust
82 Main Street | P.O. Box 400
Bar Harbor, ME 04609
Attention: Curtis Simard, President & CEO
Email: csimard@barharbor.bank

with a copy to (which shall not constitute notice):

K&L Gates LLP
State Street Financial Center
One Lincoln Street
Boston, MA 02111
Attention: Stanley V. Ragalevsky
Email: stanley.ragalevsky@klgates.com

Either Party may change the persons or addresses to whom or to which notices may
be sent by written notice to the other Party.

Section 16.5.    Interpretation. All article or section titles or captions in
this Agreement are for convenience only. Such titles or captions shall not be
deemed part of this Agreement and in no way define, limit, extend or describe
the scope or intent of any provisions of this Agreement. Except as specifically
provided otherwise, references to “Articles” and “Sections” are to Articles and
Sections of this Agreement. All Exhibits and Schedules to this Agreement shall
be construed with and as an integral part of this Agreement to the same extent
as if they were set forth verbatim in this Agreement. Except as specifically
provided otherwise, references to “Exhibits” and “Schedules” are to Exhibits and
Schedules of this Agreement. As used in this Agreement, “include,” “includes”
and “including” are deemed to be followed by “without limitation” whether or not
they are in fact followed by such words or words of like import. Whenever the
word “or” is used in this Agreement, it shall not be deemed exclusive. The word
“extent” in the phrase “to the extent” shall mean the degree to which a subject
or other theory extends, and such phrase shall not mean “if.” References to a
Person in this Agreement are also to its successors and assigns; except as the
context may otherwise require. Whenever the context may require, any pronoun
used in this Agreement shall include the corresponding masculine, feminine or
neuter forms, and the singular form of nouns, pronouns and verbs shall include
the plural and vice versa. References in this Agreement to any agreement,
instrument or other document are to such agreement, instrument or document as
amended and supplemented from time to time. The Parties acknowledge that each
Party and its counsel have reviewed and revised this Agreement and that the
normal rule of construction to the effect that any ambiguities are to be
resolved against the drafting Party shall not be employed in the interpretation,
construction and enforcement of this Agreement or any amendment, schedule or
exhibit to this Agreement. Any reference in this Agreement to $ shall mean
United States dollars.

Section 16.6.    Modification or Amendment. No modification or amendment of any
provision of this Agreement shall be binding unless in writing and executed by
the Party or Parties sought to be bound by such amendment.

Section 16.7.    Waiver. The failure of either Party at any time or times to
enforce or require performance of any provision of this Agreement shall in no
way operate as a waiver or affect the right of such Party at a later time to
enforce such provision. No waiver by either Party of any condition or the breach
of any term, covenant, representation or warranty contained in this Agreement,
shall be deemed to be or construed as a further or continuing waiver of any such
condition or breach, or a waiver of any other condition or of any breach of any
other term, covenant, representation or warranty contained in this Agreement.
Performance of or compliance with any obligation, agreement or condition
contained in this Agreement or satisfaction of any obligation, agreement or
condition may be waived in writing by the Parties to whom compliance with such
obligation, agreement or condition is owed, except as otherwise provided in this
Agreement or to the extent any such obligation, agreement or condition is
required by applicable law.

Section 16.8.    Binding Effect; Assignment. This Agreement shall be binding
upon and shall inure to the benefit of the Parties and their respective
successors and permitted assigns; provided, however, that neither this Agreement
nor any rights, privileges, duties or obligations of either Party may be
assigned without the prior written consent of the other Party, except for
assignments by operation of law.

Section 16.9.    Severability. Whenever possible, each provision of this
Agreement shall be interpreted in such manner as to be effective and valid under
applicable law, but if any provision of this Agreement is held to be prohibited
by or invalid under applicable law, then such provision shall be ineffective
only to the extent of such prohibition or invalidity, without invalidating the
remainder of such provision or the remaining provisions of this Agreement.

Section 16.10.    Governing Law. This Agreement shall be construed in accordance
with the laws of the State of New York, without regard to the principles of
conflicts of law, except to the extent preempted by federal law.

Section 16.11.    Consent to Jurisdiction; Waiver of Jury Trial.
(a)    EACH PARTY, TO THE EXTENT IT MAY LAWFULLY DO SO, SUBMITS TO THE
JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK AND ANY FEDERAL COURTS
SITTING IN THE STATE OF NEW YORK, AS WELL AS TO THE JURISDICTION OF ALL COURTS
FROM WHICH AN APPEAL MAY BE TAKEN OR OTHER REVIEW SOUGHT FROM THE AFORESAID
COURTS, FOR THE PURPOSE OF ANY SUIT, ACTION, OTHER PROCEEDING OR COUNTERCLAIM
BASED UPON, ARISING OUT OF OR IN CONNECTION WITH SUCH PARTY’S OBLIGATIONS UNDER
OR WITH RESPECT TO THIS AGREEMENT OR ANY OF THE OTHER AGREEMENTS, INSTRUMENTS OR
DOCUMENTS CONTEMPLATED BY THIS AGREEMENT, AND EXPRESSLY WAIVES ANY AND ALL
OBJECTIONS IT MAY HAVE AS TO VENUE IN ANY OF SUCH COURTS. EACH PARTY FURTHER
AGREES THAT ANY SUIT, ACTION, OTHER PROCEEDING OR COUNTERCLAIM SHALL BE BROUGHT
SOLELY IN THE STATE OR FEDERAL COURTS SITTING IN THE STATE OF NEW YORK.
(b)    EACH PARTY UNCONDITIONALLY AND IRREVOCABLY WAIVES TRIAL BY JURY IN ANY
SUIT, ACTION, OTHER PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR IN ANY WAY
CONCERNED WITH THIS AGREEMENT OR ANY OF THE OTHER AGREEMENTS, INSTRUMENTS OR
DOCUMENTS CONTEMPLATED BY THIS AGREEMENT. NO PARTY, NOR ANY ASSIGNEE OR
SUCCESSOR OF A PARTY, SHALL SEEK A JURY TRIAL IN ANY LAWSUIT, PROCEEDING,
COUNTERCLAIM OR ANY OTHER LITIGATION PROCEDURE BASED UPON, ARISING OUT OF, OR IN
CONNECTION WITH THIS AGREEMENT OR ANY OF THE OTHER AGREEMENTS, INSTRUMENTS OR
DOCUMENTS CONTEMPLATED BY THIS AGREEMENT. NO PARTY WILL SEEK TO CONSOLIDATE ANY
SUCH ACTION, IN WHICH A JURY TRIAL HAS BEEN WAIVED, WITH ANY OTHER ACTION IN
WHICH A JURY TRIAL CANNOT BE OR HAS NOT BEEN WAIVED. THE PROVISIONS OF THIS
SECTION 16.11 HAVE BEEN FULLY DISCUSSED BY THE PARTIES, AND THE PROVISIONS SHALL
BE SUBJECT TO NO EXCEPTIONS. NO PARTY HAS IN ANY WAY AGREED WITH OR REPRESENTED
TO ANY OTHER PARTY THAT THE PROVISIONS OF THIS SECTION 16.11 WILL NOT BE FULLY
ENFORCED IN ALL INSTANCES.

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Section 16.12.    Specific Performance. The Parties hereto agree that
irreparable damage would occur in the event that the provisions contained in
this Agreement are not performed in accordance with their specific terms or are
otherwise breached. It is accordingly agreed that the Parties shall be entitled
to an injunction or injunctions, without the posting of any bond, to prevent
breaches of this Agreement and to enforce specifically the terms and provisions
hereof (including consummation of the transactions contemplated by this
Agreement), this being in addition to any other remedy to which they are
entitled at law or in equity. Except as otherwise provided herein, any and all
remedies herein expressly conferred upon a Party will be deemed cumulative and
not exclusive of any other remedy conferred hereby, or by law or equity upon
such Party, and the exercise by a Party of any one remedy will not preclude the
exercise of any other remedy.

Section 16.13.    No Third Party Beneficiaries. The Parties intend that this
Agreement shall not benefit or create any right or cause of action in or on
behalf of any Person other than the Parties. No future or present employee or
customer of either Party nor any of its Affiliates, successors or assigns or
other Person shall be treated as a third party beneficiary in or under this
Agreement.

Section 16.14.    Counterparts. This Agreement may be executed in one or more
counterparts, all of which shall be considered one and the same agreement and
shall become effective when one or more counterparts have been signed by each of
the Parties. For the purposes of this Agreement, facsimile or other electronic
signatures (including pdf) shall be deemed originals.

Section 16.15.    Entire Agreement. This Agreement, including the attached
exhibits and schedules, contains the entire agreement among the Parties with
respect to the subject matter of this Agreement, and supersedes any other prior
written or oral understandings or agreements among the Parties relating to the
subject matter of this Agreement, provided that the terms of the Confidentiality
Agreement, to the extent consistent with the terms of this Agreement, shall
continue to apply to the Parties.

Section 16.16.    Survival. All representations and warranties contained in this
Agreement shall survive and continue in full force and effect for a period of
twelve (12) months after the Closing Date and thereafter shall terminate;
provided, however, that (i) the representations and warranties set forth in
Section 5.10 shall survive for a period of three (3) years after the Closing
Date; (ii) the representations and warranties set forth in Section 5.14 shall
survive until sixty (60) days after the applicable statute of limitations; and
(iii) the representations and warranties set forth in Sections 5.11, 5.17 and
6.11 shall survive indefinitely. All covenants and agreements contained in this
Agreement shall survive indefinitely in accordance with their own terms.
Notwithstanding anything to the contrary in this Section 16.16, (i) any
representation, warranty, covenant or agreement that would otherwise terminate
in accordance with the foregoing will continue to survive if a written notice
for a claim for indemnification with respect thereto shall have been timely
given on or prior to the expiration of the applicable survival date until the
related claim for indemnification has been satisfied or otherwise resolved it
being understood that claims not made within such period shall not survive and
no Party will be entitled to indemnification for any such claims and (ii)
Section 16.3 and this Section 16.16 shall survive without limitation.
[Remainder of page intentionally left blank; signature page follows.]

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IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date
first written above.

PEOPLE’S UNITED BANK, NATIONAL ASSOCIATION

By: /s/ Jeffrey J. Tengel
Name: Jeffrey J. Tengel
Title: Senior Executive Vice President

BAR HARBOR BANK & TRUST

By: /s/ Curtis Simard
Name: Curtis Simard
Title: President and Chief Executive Officer