Gerald H. Lipkin Change in Control Agreement




	



November 30, 2004 



AMENDED AND RESTATED 

CHANGE IN CONTROL AGREEMENT 
(GERALD H. LIPKIN)
2004 



        
        THIS
AMENDED AND RESTATED CHANGE IN CONTROL AGREEMENT (this “Agreement”), is
made as of this 30th day of November, 2004, among VALLEY NATIONAL BANK
(“Bank”), a national banking association with its principal office at
1455 Valley Road, Wayne, New Jersey, VALLEY NATIONAL BANCORP (“Valley”),
a New Jersey corporation which maintains its principal office at 1455 Valley Road, Wayne,
New Jersey (Valley and the Bank collectively are the “Company”) and
GERALD H. LIPKIN (the “Executive”). 



BACKGROUND 



        
        WHEREAS,
the Executive has been employed by Valley and the Bank for many years; 



        
        WHEREAS,
 the  Executive  throughout  his tenure has worked  diligently  in his  position  in the
business of the Bank and Valley; 



        
        WHEREAS,
the Boards of Directors of the Bank and Valley (either one, the “Board of
Directors” and, together, the “Company Boards”) believe that the
future services of the Executive are of great value to the Bank and Valley and that it is
important for the growth and development of the Bank that the Executive continue in his
position; 



        
        WHEREAS,
if the Company receives any proposal from a third person concerning a possible business
combination with, or acquisition of equities securities of, the Company, the Company
Boards believe it is imperative that the Company and the Company Boards be able to rely
upon the Executive to continue in his position, and that they be able to receive and rely
upon his advice, if they request it, as to the best interests of the Company and its
shareholders, without concern that the Executive might be distracted by the personal
uncertainties and risks created by such a proposal; 
















	




        
        WHEREAS,
to achieve that goal, and to retain the Executive’s services prior to any such
activity, the Company Boards and the Executive have agreed to enter into this Agreement to
govern the Executive’s termination benefits in the event of a Change in Control of
the Company, as hereinafter defined; and 



        
        WHEREAS,
the Executive and the Company had entered into a Change in Control Agreement dated January
1, 1995, which was amended and restated on January 1, 1999, and have agreed to further
amend and restate that agreement with this Agreement. 



        
        NOW,
THEREFORE, to assure the Company that it will have the continued dedication of the
Executive and the availability of his advice and counsel notwithstanding the possibility,
threat or occurrence of an acquisition or a bid to take over control of the Company, and
to induce the Executive to remain in the employ of the Company, and for other good and
valuable consideration, the Company and the Executive, each intending to be legally bound
hereby, agree as follows: 



        
        1.
            Definitions 



        
                   a.            Cause.
For purposes of this Agreement “Cause” with           respect to the
termination by the Company of Executive’s employment shall           mean (i)
willful and continued failure by the Executive to perform his duties           for the
Company under this Agreement after at least one warning in writing from           the
Board of Directors identifying specifically any such failure; (ii) the           willful
engaging by the Executive in misconduct which causes material injury to           the
Company as specified in a written notice to the Executive from the Board of
          Directors; or (iii) conviction of a crime (other than a traffic violation),
          habitual drunkenness, drug abuse, or excessive absenteeism (other than for
          illness), after a warning (required with respect to drunkenness or absenteeism
          only) in writing from the Board of Directors to refrain from such behavior. No
          act or failure to act on the part of the Executive shall be considered willful
          unless done, or omitted to be done, by the Executive not in good faith and
          without reasonable belief that the action or omission was in the best interests
          of the Company.  



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                   b.            Change
in Control. “Change in Control” means any of the           following
events: (i) when Valley or a Valley Subsidiary acquires actual           knowledge that
any person (as such term is used in Sections 13(d) and 14(d)(2)           of the Exchange
Act), other than an affiliate of Valley or a Valley Subsidiary           or an employee
benefit plan established or maintained by Valley, a Valley           Subsidiary or any of
their respective affiliates, is or becomes the beneficial           owner (as defined in
Rule 13d-3 of the Exchange Act) directly or indirectly, of           securities of Valley
representing more than twenty-five percent (25%) of the           combined voting power
of Valley’s then outstanding securities (a           “Control Person”);
(ii) upon the first purchase of           Valley’s common stock pursuant to a tender
or exchange offer (other than a           tender or exchange offer made by Valley, a
Valley Subsidiary or an employee           benefit plan established or maintained by
Valley, a Valley Subsidiary or any of           their respective affiliates); (iii) the
consummation of (A) a transaction, other           than a Non-Control Transaction,
pursuant to which Valley is merged with or into,           or is consolidated with, or
becomes the subsidiary of another corporation, (B) a           sale or disposition of all
or substantially all of Valley’s assets or (C) a           plan of liquidation or
dissolution of Valley; (iv) if during any period of two           (2) consecutive years,
individuals (the “Continuing Directors”)           who at the beginning
of such period constitute the Board of Directors of Valley           (the “Valley
Board”) cease for any reason to constitute at           least 60% thereof or,
following a Non-Control Transaction, 60% of the board of           directors of the
Surviving Corporation; provided that any individual           whose election or
nomination for election as a member  



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of the Valley Board (or, following a
Non-Control Transaction, the board of directors of the Surviving Corporation) was approved
by a vote of at least two-thirds of the Continuing Directors then in office shall be
considered a Continuing Director; or (v) upon a sale of (A) common stock of the Bank if
after such sale any person (as such term is used in Section 13(d) and 14(d)(2) of the
Exchange Act) other than Valley, an employee benefit plan established or maintained by
Valley or a Valley Subsidiary, or an affiliate of Valley or a Valley Subsidiary, owns a
majority of the Bank’s common stock or (B) all or substantially all of the
Bank’s assets (other than in the ordinary course of business). For purposes of this
paragraph: (I) Valley will be deemed to have become a subsidiary of another corporation if
any other corporation (which term shall include, in addition to a corporation, a limited
liability company, partnership, trust, or other organization) owns, directly or
indirectly, 50 percent or more of the total combined outstanding voting power of all
classes of stock of Valley or any successor to Valley; (II) “Non-Control
Transaction” means a transaction in which Valley is merged with or into, or is
consolidated with, or becomes the subsidiary of another corporation pursuant to a
definitive agreement providing that at least 60% of the directors of the Surviving
Corporation immediately after the transaction are persons who were directors of Valley on
the day before the first public announcement relating to the transaction; (III) the
“Surviving Corporation” in a transaction in which Valley becomes the
subsidiary of another corporation is the ultimate parent entity of Valley or Valley’s
successor; (IV) the “Surviving Corporation” in any other transaction
pursuant to which Valley is merged with or into another corporation is the surviving or
resulting corporation in the merger or consolidation; and (V) “Valley
Subsidiary” means any corporation in an unbroken chain of corporations, beginning
with Valley, if each of the corporations other than the last corporation in the unbroken
chain owns stock possessing 50% or more of the total combined voting power of all classes
of stock in one of the other corporations in such chain. 



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                   c.            Contract
Period. “Contract Period” shall mean the period           commencing
the day immediately preceding a Change in Control and ending on the           earlier of
(i) the third anniversary of the Change in Control or (ii) the death           of the
Executive. For the purpose of this Agreement, a Change in Control shall           be
deemed to have occurred at the date specified in the definition of Change in
          Control.  



        
                   d.            Exchange
Act. “Exchange Act” means the Securities           Exchange Act of
1934, as  amended.




        
                   e.            Good
Reason. When used with reference to a voluntary termination by           Executive of
his employment with the Company, “Good Reason”          shall mean any
of the following, if taken without Executive’s express prior           written
consent:  



        
                                   (1)                      The
assignment to Executive of any duties inconsistent with, or the reduction of
          powers or functions associated with, Executive’s position, title, duties,
          responsibilities and status with the Company immediately prior to a Change in
          Control; any removal of Executive from, or any failure to re-elect Executive
to,           any position(s) or office(s) Executive held immediately prior to such
Change in           Control.  



        
                                   (2)                      A
reduction by the Company in Executive’s annual base compensation as in
          effect immediately prior to a Change in Control or the failure to award
          Executive annual increases in accordance herewith;  



        
                                   (3)                      A
failure by the Company to continue any bonus plan in which Executive
          participated immediately prior to the Change in Control (except that the
Company           may institute plans, programs or arrangements providing the Executive
          substantially similar benefits) or a failure by the Company to continue
          Executive as a participant in such plans on at least the same basis as
Executive           participated in such plan prior to the Change in Control; or a
failure to pay           the Executive the bonus provided for in Section 4.b hereof at
the time and in           the manner therein specified;  



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                                   (4)                      The
Company’s transfer of Executive to another geographic location outside           of
New Jersey or more than 25 miles from his present office location, except for
          required occasional travel on the Company’s business to an extent
          consistent with Executive’s business travel obligations immediately prior
          to such Change in Control;  



        
                                   (5)                      The
failure by the Company to continue in effect any employee benefit plan,           program
or arrangement (including, without limitation the Company’s           retirement
plan, benefit equalization plan, split-dollar life insurance           agreement for the
Executive, health and accident plan, disability plan, deferred           compensation
plan or long term stock incentive plan) in which Executive is           participating
immediately prior to a Change in Control (except that the Company           may institute
or continue plans, programs or arrangements providing Executive           with
substantially similar benefits); the taking of any action by the Company           which
would adversely affect Executive’s participation in or materially           reduce
Executive’s benefits under, any of such plans, programs or           arrangements;
the failure to continue, or the taking of any action which would           deprive
Executive, of any material fringe benefit enjoyed by Executive           immediately
prior to such Change in Control; or the failure by the Company to           provide
Executive with the number of paid vacation days to which Executive was           entitled
immediately prior to such Change in Control;  



        
                                   (6)                      The
failure by the Company to obtain an assumption in writing of the obligations           of
the Company to perform this Agreement by any successor to the Company and to
          provide such assumption to the Executive prior to any Change in Control; or  



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                                   (7)                      Any
purported termination of Executive’s employment by the Company during           the
term of this Agreement which is not effected pursuant to all of the
          requirements of this Agreement; and, for purposes of this Agreement, no such
          purported termination shall be effective.  



        
                   2.            Employment.
The Company hereby agrees to employ the Executive, and the           Executive hereby
accepts employment, during the Contract Period upon the terms           and conditions
set forth herein.  



        
                   3.            Position.
During the Contract Period the Executive shall be employed as           Chairman and
Chief Executive Officer of Valley and the Bank, or such other           corporate or
divisional profit center as shall then be the principal successor           to the
business, assets and properties of the Company, with the same title and           with
the same duties and responsibilities as before the Change in Control. The
          Executive shall devote his full time and attention to the business of the
          Company, and shall not during the Contract Period be engaged in any other
          business activity. This paragraph shall not be construed as preventing the
          Executive from managing any investments of his which do not require any service
          on his part in the operation of such investments or from continuing to serve on
          any boards of directors or trustees which he served prior to the Change in
          Control or for which consent is provided by the Valley Board after a Change in
          Control.  



        
                   4.            Cash
Compensation. The Company shall pay to the Executive compensation           for his
services during the Contract Period as follows:  



        
                                   a.            Base
Salary. A base annual salary equal to the annual salary in effect as           of the
Change in Control. The annual salary shall be payable in installments in
          accordance with the Company’s usual payroll method.  



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                   b.            Annual
Bonus. An annual cash bonus equal to at least the average of the           bonuses
paid to the Executive in the three years prior to the Change in Control.           The
bonus shall be payable at the time and in the manner which the Company paid
          such bonuses prior to the Change in Control.  



        
                   c.            Annual
Review. The Board of Directors during the Contract Period shall           review
annually, or at more frequent intervals which the Board of Directors           determines
is appropriate, the Executive’s compensation and shall award him
          additional compensation to reflect the Executive’s performance, the
          performance of the Company and competitive compensation levels, all as
          determined in the discretion of the Board of Directors.  



        
        5.       Expenses
and Fringe Benefits.  



        
                   a.            Expenses.
During the Contract Period, the Executive shall be entitled to           reimbursement
for all business expenses incurred by him with respect to the           business of the
Company in the same manner and to the same extent as such           expenses were
previously reimbursed to him immediately prior to the Change in           Control.  



        
                   b.            Benefit
Equalization Plan. During the Contract Period, if the Executive           was
entitled to benefits under the Company’s Benefit Equalization Plan           (“BEP”)
prior to the Change in Control, the Executive shall be           entitled to continued
benefits under the BEP after the Change in Control and           such BEP may not be
modified or terminated to reduce or eliminate such benefits           during the Contract
Period.  



        
                   c.            Club
Membership and Automobile. If prior to the Change in Control, the           Executive
was entitled to membership in a country club and/or the use of an           automobile,
during the Contract Period he shall be entitled to the same           membership and/or
use of an automobile at least comparable to the automobile           provided to him
prior to the Change in Control.  



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                   d.            Other
Benefits. During the Contract Period, the Executive also shall be           entitled
to vacations and sick days, in accordance with the practices and           procedures of
the Company, as such existed immediately prior to the Change in           Control. During
the Contract Period, the Executive also shall be entitled to           hospital, health,
medical and life insurance and any other benefits enjoyed,           from time to time,
by senior officers of the Company, all upon terms as           favorable as those enjoyed
by other senior officers of the Company.           Notwithstanding anything in this
paragraph 5(d) to the contrary, if the Company           adopts any change in the
benefits provided for senior officers of the Company,           and such policy is
uniformly applied to all officers of the Company (and any           successor or acquiror
of the Company, if any), including the chief executive           officer of such
entities, then no such change shall be deemed to be contrary to           this paragraph.  



        
        6.       Termination
for Cause. During the Contract Period, the Company shall have           the right to
terminate the Executive for Cause, upon written notice to him of           the
termination which notice shall specify the reasons for the termination. In           the
event of termination for Cause the Executive shall not be entitled to any
          further compensation or benefits under this Agreement.  



        
        7.       Disability.
During the Contract Period if the Executive becomes           permanently disabled, or is
unable to perform his duties hereunder for 4           consecutive months, the Company
may terminate the employment of the Executive.           In such event, the Executive
shall be paid within 10 days of termination a lump           sum equal to one-twelfth of
the highest annual salary (including 401(k) plan           deferral) paid to the
Executive during any calendar year in each of the three           calendar years
immediately prior to the Change in Control, but shall not be           entitled to any
further compensation or benefits under this Agreement, except as           provided in
the next sentence and in Section 12. If the Company fails to pay the           Executive
the lump sum amount due him under this Section 7 or the payments under           Section
12, the Executive, after giving 10 days’ written notice to the           Company
identifying the Company’s failure, shall be entitled to recover           from the
Company on a monthly basis as incurred all of his reasonable legal fees           and
expenses incurred in connection with his enforcement against the Company of           the
terms of this Agreement. The Executive shall be denied payment of his legal
          fees and expenses only if a court finds that the Executive sought payment of
          such fees without reasonable cause and not in good faith.  



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        8.       Death
Benefits. During the Contract Period (defined without regard to his           death),
upon the Executive’s death his estate shall be paid within 20           business
days of his death a lump sum equal to one-twelfth of the highest annual           salary
(including 401(k) plan deferral) paid to the Executive during any           calendar year
in each of the three calendar years immediately prior to the           Change in Control,
but shall not be entitled to any further compensation or           benefits under this
Agreement, except as provided in the next sentence and in           Section 12. If the
Company fails to pay the Executive’s estate the lump sum           amount due it
under this Section or the payments under Section 12, the           Executive’s
estate, after giving 10 days’ written notice to the           Company identifying
the Company’s failure, shall be entitled to recover           from the Company on a
monthly basis as incurred all of its reasonable legal fees           and expenses
incurred in connection with its enforcement against the Company of           the terms of
this Agreement. The Executive’s estate shall be denied payment           of its
legal fees and expenses only if a court finds that the Executive sought           payment
of such fees without reasonable cause and not in good faith.  



        
        9.       Termination
Without Cause or Resignation for Good Reason. The Company may           terminate the
Executive without Cause during the Contract Period by written           notice to the
Executive providing four weeks notice. The Executive may resign           for Good Reason
during the Contract Period upon four weeks written notice to the           Company
specifying the facts and circumstances claimed to support the Good           Reason. The
Executive shall be entitled to give a Notice of Termination that his           or her
employment is being terminated for Good Reason at any time during the           Contract
Period, not later than twelve months after any occurrence of an event           stated to
constitute Good Reason. If during the Contract Period the Company           terminates
the Executive’s employment without Cause or the Executive           Resigns for Good
Reason, then the Executive shall be entitled to the following:           (i) the Company
shall within 20 business days of the termination of employment           pay the
Executive a lump sum severance payment in an amount equal to three times           the
highest annual compensation, consisting solely of salary (including any           401(k)
plan deferral) and bonus, paid to (or in the case of bonus accrued for)           the
Executive during any calendar year in each of the three calendar years
          immediately prior to the Change in Control; (ii) the Company shall continue to
          provide the Executive for a period of three years after termination with
health,           hospitalization and medical insurance, as well as life and disability
insurance,           as were provided at the time of the termination of his employment
with the           Company, at the Company’s cost (subject to payment by the
Executive of the           same contribution amount and deductibles as Executive
previously paid); (iii)           the Company shall credit Executive under the BEP
immediately upon termination           with additional years of credited service as if he
had continued to work for the           Company for three years after the date of
termination, the benefit plans covered           thereby had remained the same during
such period, and the BEP was not changed or           modified after the Change in
Control or otherwise during such period.  



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        The
Executive shall not have a duty to mitigate the damages suffered by him in connection with
the termination by the Company of his employment without Cause or a resignation for Good
Reason during the Contract Period. If the Company fails to pay the Executive the lump sum
amount due him hereunder or to provide him with the health, hospitalization and medical
insurance, life disability or BEP benefits due under this section or the payments under
Section 12, the Executive, after giving 10 days’ written notice to the Company
identifying the Company’s failure, shall be entitled to recover from the Company on a
monthly basis as incurred all of his reasonable legal fees and expenses incurred in
connection with his enforcement against the Company of the terms of this Agreement. The
Executive shall be denied payment of his legal fees and expenses only if a court finds
that the Executive sought payment of such fees without reasonable cause and not in good
faith. 



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        10.       Resignation
Without Good Reason. The Executive shall be entitled to           resign from the
employment of the Company at any time during the Contract Period           without Good
Reason, but upon such resignation the Executive shall not be           entitled to any
additional compensation for the time after which he ceases to be           employed by
the Company, and shall not be entitled to any of the other benefits           provided
hereunder. No such resignation shall be effective unless in writing           with four
weeks’ notice thereof.  



        
        11.       Non-Disclosure
of Confidential Information.  



        
                   a.            Non-Disclosure
of Confidential Information. Except in the course of his           employment with
the Company and in the pursuit of the business of the Company or           any of its
subsidiaries or affiliates, the Executive shall not, at any time           during or
following the Contract Period, disclose or use, any confidential           information or
proprietary data of the Company or any of its subsidiaries or           affiliates. The
Executive agrees that, among other things, all information           concerning the
identity of and the Company’s relations with its customers           is confidential
information.  



        
                   b.            Specific
Performance. Executive agrees that the Company does not have an           adequate
remedy at law for the breach of this section and agrees that he shall           be
subject to injunctive relief and equitable remedies as a result of the breach
          of this section. The invalidity or unenforceability of any provision of this
          Agreement shall not affect the force and effect of the remaining valid
portions.           No alleged breach of this Section 11 shall give the Company the right
to           withhold or offset against any payments due the Executive under this
Agreement.  



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                   c.            Survival.
This section shall survive the termination of the           Executive’s employment
hereunder and the expiration of this Agreement.  



        
        12.
Gross Up for Taxes.



        
                   a.            Additional
Payments. If, for any taxable year, Executive shall be liable           for the
payment of an excise tax under Section 4999 or other substitute or           similar tax
assessment (the “Excise Tax”) of the Internal           Revenue Code of
1986, as amended (the “Code”), including the           corresponding
provisions of any succeeding law, with respect to any payments or           benefits
under Section 9 of this Agreement or Sections 7 or 8 or any other           provision of
this Agreement, including but not limited to this Section 12 or           under any
benefit plan of the Company applicable to Executive individually or           generally
to executives or employees of the Company, then, notwithstanding any           other
provisions of this Agreement, the Company shall pay to the Executive an
          additional amount (the “Gross-Up Payment”) such that the net
          amount retained by the Executive, after deduction of the Excise Tax imposed on
          all such payments and benefits and of the federal, state and local income tax
          and Excise Tax imposed upon payments provided for in this Section 12, shall be
          equal to the payments and benefits due to the Executive hereunder and the
          payments and/or benefits due to the Executive under any benefit plan of the
          Company. Each Gross-Up Payment shall be made to Executive or as provided in
          Section 16 hereof, upon the later of (i) five (5) days after the date the
          Executive notifies the Company of its need to make such Gross-Up Payment, or
          (ii) the date of any payment causing the liability for such Excise Tax. The
          amount of any Gross-Up Payment under this section shall be computed by a
          nationally recognized certified public accounting firm designated jointly by
the           Company and the Executive. The cost of such services by the accounting firm
          shall be paid by the Company. If the Company and the Executive are unable to
          designate jointly the accounting firm, then the firm shall be the accounting
          firm used by the Company immediately prior to the Change in Control.  



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                   b.            IRS
Disputed Claims. The Executive shall notify the company in writing of           any
claim by the Internal Revenue Service (“IRS”) that, if
          successful, would require the payment by the Company of a Gross-Up Payment in
          addition to that payment previously paid by the Company pursuant to this
          section. Such notification shall be given an soon as practicable but no later
          than fifteen (15) business days after the Executive is informed in writing of
          such claim and shall apprise the Company of the nature of such claim, the date
          on which such claim is requested to be paid, and attach a copy of the IRS
          notice. The Executive shall not pay such claim prior to the expiration of the
          thirty (30) day period following the date on which the Executive gives such
          notice to the Company (or such shorter period ending on the date that any
          payment of taxes with respect to such claim is due). If the Company notifies
the           Executive in writing prior to the expiration of such period that it desires
to           contest such claim, the Executive shall:  



        
                                   (i)                      Give
the Company any information reasonably requested by the Company relating to such claim;  



        
                                   (ii)                      Take
such action in connection with contesting such claim as the Company shall reasonably
request in writing from time to time, including, without limitation, accepting legal
representation with respect to such claim by an attorney reasonably selected by the
Company;  



        
                                   (iii)                      Cooperate
with the Company in good faith in order effectively to contest such claim; and  



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                                   (iv)                      Permit
the Company to participate in any proceedings relating to such  claim;
provided, however that the Company shall pay directly all costs and expenses (including
legal and accounting fees, as well as other expenses and any additional interest and
penalties) incurred by the Executive and the Company in connection with an IRS levy,
contest or claim. 



        
                   c.                      This
Section shall survive the termination of Executive’s employment           hereunder
and the expiration of the Contract Period.  



        
        13.       Term
and Effect Prior to Change in Control.  



        
                   a.            Term.
This Agreement shall commence on the date hereof and shall remain           in effect for
a period of 3 years from the date hereof (the “Initial           Term”)
or until the end of the Contract Period, whichever is later. The           Term shall be
automatically extended for an additional one year period on the           anniversary
date hereof (so that the Initial Term on any anniversary date is           always 3
years) unless the Valley Board, by a majority vote by resolution of a           majority
of Directors then in office votes not to extend the Initial Term any           further.  



        
                   b.            No
Effect Prior to Change in Control. This Agreement shall not affect any
          rights of the Company or the Executive prior to a Change in Control or any
          rights of the Executive granted in any other agreement or contract or plan with
          the Company. The rights, duties and benefits provided hereunder shall only
          become effective upon a Change in Control. If the employment of the Executive
by           the Company is ended for any reason prior to a Change in Control, this
Agreement           shall thereafter be of no further force and effect.  



        
        14.       Severance
Compensation and Benefits Not in Derogation of Other Benefits.           Anything to
the contrary herein contained notwithstanding, the payment or           obligation to pay
any monies, or granting of any benefits, rights or privileges           to Executive as
provided in this Agreement shall not be in lieu or derogation of           the rights and
privileges that the Executive now has or will have under any           plans or programs
of or agreements with the Company, except that if the           Executive receives the
lump severance payment due under paragraph 9 hereof, the           Executive shall not be
entitled to the lump sum severance payment due under           paragraph 1 of the
Severance Agreement (the “Severance           Agreement”), dated August
17, 1994, between the Company and the           Executive, or to severance payments under
any other plan or program of the           Company providing for severance pay, and shall
not be entitled to health,           hospital, medical and other benefits under Paragraph
4 of the Severance           Agreement to the extent such post-employment benefits
duplicate the benefits           hereunder. The compensation and benefits payable under
paragraph 2 (death) of           the Severance Agreement shall not be effected by this
Agreement, but shall be in           addition to the benefits provided hereunder. [The
provisions of Paragraph 3 of           the Severance Agreement (minimum retirement
benefit) shall continue to apply.]  



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        15.       Notice.
During the Contract Period, any notice of termination of the           employment of the
Executive by the Company or by the Executive to the Company           shall be
communicated by written Notice of Termination to the other party           hereto. For
purposes of this Agreement, a “Notice of           Termination” shall
mean a dated notice which shall (i) indicate the           specific termination provision
in this Agreement relied upon; (ii) set forth, if           necessary, in reasonable
detail the facts and circumstances claimed to provide a           basis for termination
of the employment of the Executive or from the Company           under the provision so
indicated; (iii) specify a date of termination, which           shall be not less than
two weeks nor more than six weeks after such Notice of           Termination is given,
except in the case of termination of employment by the           Company of the Executive
for Cause pursuant to Section 6 hereof, in which case           the Notice of Termination
may specify a date of termination as of the date such           Notice of Termination is
given; and (iv) be given by personal delivery or, if           the individual is not
personally available, by certified mail to the last known           address of the
individual. Upon the death of the Executive, no Notice of           Termination need be
given.  



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        16.       Payroll
and Withholding Taxes. All payments to be made or benefits to be           provided
hereunder by the Company shall be subject to applicable federal and           state
payroll or withholding taxes. Any Gross-Up Payment to be made by the           Company
may be made in the form of withholding taxes, but shall be timely           directed to
the IRS (or any state division of taxation) on the Executive’s           behalf.  



        
        17.       Miscellaneous.
This Agreement is the joint and several obligation of the           Bank and Valley. The
terms of this Agreement shall be governed by, and           interpreted and construed in
accordance with the provisions of, the laws of New           Jersey. Except as set forth
herein, this Agreement supersedes all prior           agreements and understandings with
respect to the matters covered hereby,           including expressly any prior agreement
with the Company concerning Change in           Control benefits. This Agreement
expressly replaces the Amended and Restated           Change in Control Agreement dated
January 1, 1999. Except as expressly specified           in Section 14 with regard to the
Severance Agreement, this Agreement does not           effect or reduce the benefits or
obligations of the parties under the           Split-Dollar Agreement, dated as of July
7, 1995 (and any supplement or           amendment to, or replacement for that agreement)
between the Company, the           Executive and his spouse or the Severance Agreement
(or any supplement or           amendment to or replacement for that agreement). The
amendment or termination of           this Agreement may be made only in a writing
executed by the Company and the           Executive, and no amendment or termination of
this Agreement shall be effective           unless and until made in such a writing. This
Agreement shall be binding upon           any successor (whether direct or indirect, by
purchase, merge, consolidation,           liquidation or otherwise) to all or
substantially all of the assets of the           Company. This Agreement is personal to
the Executive and the Executive may not           assign any of his rights or duties
hereunder but this Agreement shall be           enforceable by the Executive’s legal
representatives, executors or           administrators. This Agreement may be executed in
two or more counterparts, each           of which shall be deemed an original, and it
shall not be necessary in making           proof of this Agreement to produce or account
for more than one such           counterpart.  



17 
















	




        
        IN
WITNESS WHEREOF, Valley National Bank and Valley National Bancorp each have caused this
Agreement to be signed by their duly authorized representatives pursuant to the authority
of their respective Boards of Directors, and the Executive has personally executed this
Agreement, all as of the day and year first written above. 














	ATTEST:



  
——————————————

                                          , Secretary
 		VALLEY NATIONAL BANCORP



By:  
——————————————

    Robert McEntee, Chairman of
    the Compensation Committee







	ATTEST:



  
——————————————

                                          , Secretary
 		VALLEY NATIONAL BANK



By:  
——————————————

    Robert McEntee, Chairman of
    the Compensation Committee






	WITNESS:



  
——————————————

            
 		




——————————————

Gerald H. Lipkin, Executive






	



18