EX-10.1(H)



 





Exhibit 10.1(h)




FIRST AMENDMENT

TO THE

VISION BANK

SALARY CONTINUATION PLAN

DATED JULY 14, 2004

FOR

J. DANIEL SIZEMORE




          THIS AMENDMENT is adopted this 26th day of June, 2006, effective as of the first
day of January, 2005, by and between Vision Bank a state-chartered commercial bank located in
Panama City, Florida (the “Company”) and J. Daniel Sizemore (the “Executive”).




          The Company and the Executive executed the Salary Continuation Plan on July 14, 2004 effective
as of the first day of April 2004 (the “Agreement”).




          The undersigned hereby amend the Agreement for the purpose of bringing the agreement into
compliance with Section 409A of the Internal Revenue Code. Therefore, the following changes shall
be made:




          Section 1.6 of the Agreement shall be deleted in its entirety.




          Section 1.7 of the Agreement shall be restated as follows:





	1.7	 	“Disability” shall mean a condition under which the Executive is determined to be
totally and permanently disabled by the Social Security Administration. Upon the request of
the Plan Administrator, the Executive must submit proof to the Plan Administrator of the
Social Security Administration’s determination.





          Section 1.9 of the Agreement shall be restated as follows:





	1.9	 	“Voluntary Termination” means the Termination of Employment prior to Normal
Retirement Age for reasons other than death, Disability, Involuntary Termination or
Termination for Cause.





          Section 1.13 of the Agreement shall be restated as follows:





	1.13	 	“Involuntary Termination of Employment” means the Executive is notified in writing by
the Company, that employment with the Company is terminated for reasons other than an approved
leave of absence, Voluntary Termination, or Termination for Cause.





          Section 1.19 of the Agreement shall be deleted in its entirety and replaced by the following:




          (a) 1.19 “Termination of Employment” means the Executive’s separation from
service as an employee of the Company for purposes of Section 409A of the Code




 









 









and any interpretive guidance or regulations issued pursuant thereto other than for
death or Disability.



          The following Section 1.21 shall be added to the Agreement immediately following Section 1.20:





	1.21	 	“Specified Employee” means a key employee (as defined in Section 416(i) of the Code
without regard to paragraph 5 thereof) of the Company if any stock of the Company is publicly
traded on an established securities market or otherwise.





          Section 2.4.1 of the Agreement shall be restated as follows:





	2.4.1	 	Amount of Benefit. The annual benefit under this Section 2.4 if the
Disability Benefit set forth on Schedule A for the Plan Year during which the Termination of
Employment occurs. This benefit is determined by vesting the Executive in one hundred
percent (100%) in the Disability benefit set forth in such Schedule A.





          Section 2.5 of the Agreement shall be restated as follows:





	2.5	 	Change of Control Benefit. Upon a Change of Control followed by the Executive’s
Termination of Employment, the Company shall pay to the Executive the benefit described in
this Section 2.5 in lieu of any other benefit under this Article.






	 	2.5.1	 	Amount of Benefit. The annual benefit under this Section 2.5 is the Change of
Control Benefit set forth in Schedule A for the Plan Year during which Termination of
Employment occurs. This benefit is determined by vesting the Executive in one hundred
percent (100%) in the Change of Control benefit set forth on such Schedule A.
	 
	 	2.5.2	 	Payment of Benefit. The Company shall pay the annual benefit to the Executive
in twelve (12) equal monthly installments commencing with the month following Normal
Retirement Age. The annual benefit shall be paid to the Executive for fifteen (15) years.





          The following Sections 2.6, 2.7 and 2.8 shall be added to the Agreement immediately following
Section 2.5:





	2.6	 	Restriction on Timing of Distribution. Notwithstanding any provision of this
Agreement to the contrary, if the Executive is considered a Specified Employee at Termination
of Employment under such procedures as established by the Company in accordance with Section
409A of the Code, benefit distributions that are made upon Termination of Employment may not
commence earlier than six (6) months after the date of such Termination of Employment.
Therefore, in the event this Section 2.6 is applicable to the Executive, any distribution
which would otherwise be paid to the Executive within the first six months following the
Termination of Employment shall be accumulated and paid to the Executive in a lump sum on the
first day of the seventh month following the Termination of Employment. All subsequent
distributions shall be paid in the manner specified.




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	2.7	 	Distributions Upon Income Inclusion Under Section 409A of the Code. Upon the
inclusion of any amount into the Executive’s income as a result of the failure of this
nonqualified deferred compensation plan to comply with the requirements of Section 409A of the
Code, to the extent such tax liability can be covered by the Executive’s Accrual Balance, a
distribution shall be made as soon as is administratively practicable following the discovery
of the plan failure.
	 
	2.8	 	Change in Form or Timing of Distributions. All changes in the form or timing of
distributions hereunder must comply with the following requirements. The changes:






	 	(a)	 	may not accelerate the time or schedule of any distribution,
except as provided in Section 409A of the Code and the regulations thereunder;
	 
	 	(b)	 	must, for benefits distributable under Sections 2.1, 2.2, 2.3,
2.4 and 2.5 delay the commencement of distributions for a minimum of five (5)
years from the date the first distribution was originally scheduled to be made;
and
	 
	 	(c)	 	must take effect not less than twelve (12) months after the
election is made.





The following sentence shall be added to the end of Section 5.3 of the Agreement:




This Section 5.3 shall have no force and effect on and after the occurrence of a Change of
Control; provided the Executive is employed by the Company or an affiliate thereof on the
effective date of such Change of Control.




          Article 7 of the Agreement shall be deleted in its entirety and replaced by the following:




Article 7

Amendments and Termination





	7.1	 	Amendments. This Agreement may be amended only by a written agreement signed by the
Company and the Executive. However, the Company may unilaterally amend this Agreement to
conform with written directives to the Company from its auditors or banking regulators or to
comply with legislative changes or tax law, including without limitation Section 409A of the
Code and any and all Treasury regulations and guidance promulgated thereunder.






	7.2	 	Plan Termination. This Agreement may be terminated only by a written agreement
signed by the Company and the Executive. Upon such termination, benefit distributions will be
made at the earliest distribution event permitted under Article 2.





          Section 9.10 of the Agreement shall be restated as follows:





	9.10	 	Alternative Action. In the event it shall become impossible for the Company or the
Plan Administrator to perform any act required by this Agreement, the Company or Plan
Administrator may in its discretion perform such alternative act as most nearly carries out
the intent and purpose of this Agreement and is in the best interests of the Company.




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          The following Sections 9.14 and 9.15 shall be added to the Agreement immediately following
Section 9.13:





	9.14	 	Compliance with Section 409A. This Agreement shall at all times be administered and
the provisions of this Agreement shall be interpreted consistent with the requirements of
Section 409A of the Code and any and all regulations thereunder, including such regulations as
may be promulgated after the effective date of this Amendment.






	9.15	 	Rescission. Any modification to the terms of this Agreement that would inadvertently
result in an additional tax liability on the part of the Executive, shall have no effect
provided the change in the terms of the plan is rescinded by the earlier of a date before the
right is exercised (if the change grants a discretionary right) and the last day of the
calendar year during which such change occurred.





          IN WITNESS OF THE ABOVE, the Executive and the Company hereby consent to this First Amendment.




	 	 	 	 	 	 	 
	Executive:	 	 	 	Vision Bank:
	 
	/s/ J. Daniel Sizemore

	 	 	 	By
	 	/s/ William E. Blackmon
	 

	 	 	 	 	 	 
	J. Daniel Sizemore

	 	 	 	Title
	 	CFO
	 

	 	 	 	 	 	 






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