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|   | A. | Chief Executive Officer |
|--------|----|-------------------------|

|   | B. | Chief Operating Officer |
|--------|----|-------------------------|

|   | C. | Senior Vice President and Chief Financial Officer |
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|   | D. | Senior Vice President and Deposit Operations Manager |
|--------|----|------------------------------------------------------|

|   | E. | Senior Vice President and Senior Loan Officer |
|--------|----|-----------------------------------------------|

|   | A. | The Board of Directors of First Keystone Community Bank may amend, suspend, or terminate the Plan at any time. |
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|   | B. | The Plan shall be administered by the Human Resource Committee with assistance from Executive Management. |
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|   | C. | The Human Resource Committee shall adopt such rules and regulations and shall make determinations and interpretations of the Plan thereunder as it shall deem appropriate.  All such rules, regulations, and determinations, as approved by the Board of Directors, shall be conclusive and binding upon all parties. |
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|   | D. | Eligibility for participation in the Plan is based upon the eligibility requirements as stated herein. |
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|   | E. | Supplementary Plan Documents relating to participants, the targeted incentive plan pool, and other pertinent matters will be prepared by the Committee, and approved by the Board of Directors, during the first quarter of each Plan Year. |
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|   | F. | The incentive plan pool may be funded, within the discretion of the Board of Directors, with the following to be used as a general guideline: |
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| Fund as a        |   |  % of Budget |   |
|----------------------------|--------|-----------------------------|--------|
| % of Budget      |   | Beyond Goal            |   |
|                       |   |                        |   |
| Greater than 90% of budget |   |                        | 5      | % |
| up to 95% of budget        |   |                        |   |   |
|                       |   |                        |   |   |
| Greater than 95% of budget |   |                        | 10     | % |
| up to 100% of budget       |   |                        |   |   |
|                       |   |                        |   |   |
| In excess of budget        |   |                        | 15     | % |

|   | G. | Allocation of the plan pool will be made in accordance with the guidelines shown in Section VI of this Plan document.  As noted in these guidelines, individual performance standards must be met before an eligible participant will receive all or part of his/her eligible portion of the pool. |
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|   | H. | Within thirty (30) days following the end of the Plan Year, or as soon as financial and operating results are known, eligible participants will receive their appropriate incentive plan payment.  Unless otherwise determined and approved by the Board of Directors, this payment will be made in cash. |
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|   | I. | Basic Incentive Plan guidelines for any Plan Year shall be reviewed with the participants at the beginning of each Plan Year. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------|

|   | J. | Partial payments under the Plan shall be administered as follows: |
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|   | 1. | Retirement:  In the event of termination of employment through retirement, the employee may, at the discretion of the Committee, be considered to have earned one-twelfth (1/12) of the annual incentive compensation award of a particular year for each month of employment in the Plan Year of his/her retirement. |
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|   | 2. | Death:  If a participant dies, the amount of the award may be prorated for each month of employment during the Plan Year at the discretion of the Committee, and paid to the estate or designated beneficiary. |
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|   | 3. | Termination for Reasons Other Than Death or Retirement:  In the event of termination of employment for reasons other than death or retirement, the participant, at the discretion of the Committee, will forfeit all unpaid incentive awards. |
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|   | K. | No right or interest of any participant in the plan shall be assignable or transferable, or subject to any lien, directly, by operation of law, or otherwise, including levy, garnishment, attachment, pledge, or bankruptcy, except to a beneficiary upon the death of a participant as herein provided. |
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|   | L. | An award under the Plan shall not confer any right on the participant to continue in the employ of the bank, or limit in any way the right of the bank to terminate the participant's employment at any time.  The receipt of an award for any one year shall not guarantee an employee the right to receive an award for any subsequent year. |
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|   | M. | The Bank shall have the right to deduct from all payments under this Plan any federal or state taxes required by law to be withheld with respect to such payments. |
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|   | N. | The Committee, with concurrence of the Board of Directors, may terminate, amend, or modify this Plan at any time. |
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|   | O. | The amount of the pool shall be capped in the amount of $75,000 in order to protect the interest of the Bank. |
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| Job Title                                                     |   | Maximum % of Pool |   |
|--------------------------------------------------------------------|--------|----------------------------------|--------|
|                                                               |   |                             |   |
| 1.  Chief Executive Officer                              |   |                             | 45     | % |
| 2.  Chief Operating Officer                              |   |                             | 25     | % |
| 3.  Senior Vice President and Chief Financial Officer    |   |                             | 10     | % |
| 4.  Senior Vice President and Deposit Operations Manager |   |                             | 10     | % |
| 5.  Senior Vice President and Senior Loan Officer        |   |                             | 10     | % |

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