ex10_8.htm


     

     Capitol Federal
Financial

     

     

    Exhibit
10.8

     

     

    Named Executive Officer
Salary and Bonus Arrangements

     

     

    Base
Salaries

     

     

    The base
salaries, effective July 5, 2008, for the executive officers (the "named
executive officers") of Capitol Federal Financial who will be named in the
compensation table that appears in the Company's annual meeting proxy statement
for the fiscal year ended September 30, 2008 are as follows:

     

    
      	
              Name and Title

            	
              Base Salary

            
	 
      	 
      
	
              John
      B. Dicus

              President
      and Chief Executive Officer

            	
              $490,000

            
	 
      	 
      
	
              John
      C. Dicus

              Chairman
      of the Board

            	
              $412,000

            
	 
      	 
      
	
              R.
      Joe Aleshire

              Executive
      Vice President

            	
              $220,000

            
	 
      	 
      
	
              Larry
      K. Brubaker

              Executive
      Vice President

            	
              $220,000

            
	 
      	 
      
	
              Kent
      G. Townsend

              Chief
      Financial Officer

            	
              $220,000

            


    

    


     

    Bonus
Plans

     

    On
December 12, 2005, the Compensation Committee of the Company’s board of
directors approved a short-term performance plan (the “STPP”).  The
STPP was filed on December 14, 2005 as Exhibit 10.10 to the Annual Report on
Form 10-K for the fiscal year ended September 30, 2005.  The STPP will
expire following the payment of bonuses for fiscal 2013.  The STPP
provides for annual bonus awards, as a percentage of base salary, to selected
management personnel based on the achievement of pre-established corporate and
individual performance criteria.  Awards, if any, are typically made
in January for the fiscal year ended the preceding September 30th.  On
November 25, 2008, the Compensation Committee of the Company’s board of
directors approved changes to the STPP.  Two changes were made to the
plan.  The first change limits the number of combinations of
institutional performance criteria and personal performance criteria for officer
levels to two and the second provides for an officer's maximum bonus amount to
be adjusted for promotion or demotion.  The STPP is included as
Exhibit 10.10 to the Annual Report on Form 10-K for the fiscal year ended
September 30, 2008.

    


    The
corporate performance criteria under the STPP are comprised of targeted levels
of the Company’s return on average equity, basic earnings per share and
efficiency ratio.  For each executive officer named below, 90% of his
award will continue to be based on the attainment of corporate performance
goals, with the remainder based on his achievement of individual performance
objectives.

    


    Under the
STPP, the maximum potential annual bonus awards for the executive officers whom
the Company believes are likely to be named in the summary compensation table in
the Company’s proxy statement for its annual meeting of stockholders following
the end of fiscal year 2008 are as follows:  John C. Dicus, Chairman,
60% of base salary; John B. Dicus, President and Chief


    
      
         


      

      
         

        
          

        

      

      
         


      

    


    Executive
Officer, 60% of base salary; Larry K. Brubaker, Executive Vice President for
Corporate Services, 40% of base salary; Kent G. Townsend, Executive Vice
President and Chief Financial Officer, 40% of base salary; and Richard J.
Aleshire, Executive Vice President for Retail Operations, 40% of base
salary.

    


    On
December 7, 2006, the Compensation Committee of the Company’s board of directors
approved a deferred incentive bonus plan (the “DFIB”).  The DFIB was
originally filed on December 14, 2006 as Exhibit 10.4 to the Annual Report on
Form 10-K for the fiscal year ended September 30, 2006.  An amended
DFIB was filed on August 4, 2008 and is incorporated by reference as Exhibit
10.4 to the Quarterly Report on Form 10-Q for the quarter ended June 30,
2008.  The DFIB was amended to comply with Internal Revenue Service
regulations.  Under the DFIB, a portion of the bonus awarded under the
STPP (from $2 thousand to as much as 50% of the award, up to a maximum of $100
thousand) to an officer eligible to participate in the DFIB may be deferred
under the DFIB for a three year period.  The total amount of the
deferred bonus, plus a 50% Company match, is deemed to be invested in the
Company’s common stock at the closing price as of the December 31st immediately
preceding the deferral date.  If the participant is still employed at
the end of the deferral period, the participant will receive a cash payment
equal to the sum of: (1) the deferred amount, (2) the Company match, (3) the
value of all dividend equivalents paid during the deferral period on the Company
common stock in which the participant is deemed to have invested and (4) the
appreciation, if any, during the deferral period on the Company common stock in
which the participant is deemed to have invested.