Document:

Exhibit
4.7

 

DESCRIPTION OF CAPITAL STOCK

 

As of December 31, 2021, SB Financial Group, Inc. (the “Company,” “we,” “us” or “our”) had one class of securities registered under Section 12 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”): our common shares, without par value (our “common stock”). 

 

The following is a summary of the material terms, limitations, voting powers and relative rights of our capital stock. This summary does not purport to be a complete description of the terms and conditions of our capital stock in all respects and is subject to and qualified in its entirety by reference to all of the provisions of our articles of incorporation and our code of regulations, each as amended, which are incorporated by reference as an exhibit to this Annual Report on Form 10-K, and the applicable provisions of Chapter 1701 of the Ohio Revised Code (the “Ohio General Corporation Law”).

 

Authorized Capital Stock

 

Under our articles of incorporation, we are authorized to issue up to 10,500,000 shares of common stock and up to 200,000 shares of preferred shares, without par value (our “preferred stock”). As of February 22, 2022, there were 7,211,549 shares of our common stock issued and outstanding and no shares of our preferred stock issued and outstanding.

 

Preferred Stock

 

Our 200,000 authorized but unissued shares of preferred stock are typically referred to as “blank check” preferred stock. This term refers to preferred stock for which the rights and restrictions are determined by the board of directors of a corporation at the time the shares of preferred stock are issued. Under our articles of incorporation, our Board of Directors has the authority, without any further shareholder vote or action, to issue preferred shares in one or more series, from time to time, and, in connection with the creation of any such series, to adopt an amendment or amendments to our articles of incorporation determining, in whole or in part, the express terms of any such series to the fullest extent permitted under Ohio law, including, but not limited to, determining: the division of such shares into series and the designation and authorized number of shares of each series; dividend or distribution rights; dividend rate; liquidation rights, preferences and price; redemption rights and price; sinking fund requirements; voting rights; pre-emptive rights; conversion rights; restrictions on the issuance of shares; and other relative, participating, optional or other special rights and privileges of each such series and the qualifications, limitations or restrictions thereof. Notwithstanding the foregoing, in no event may the voting rights of any series of preferred stock be greater than the voting rights of our common stock. 

 

Common Stock

 

Liquidation rights

 

Each share of common stock of the Company entitles the holder thereof to share ratably in the Company’s net assets legally available for distribution to shareholders in the event of the Company’s liquidation, dissolution or winding up, after (i) payment in full of all amounts required to be paid to creditors or provision for such payment and (ii) provision for the distribution of any preferential amounts to the holders of any shares of preferred stock that our Board of Directors may designate and issue in the future.

 

Preemptive rights

 

Our shareholders do not have pre-emptive rights.

 

Subscription, preference, conversion, exchange and redemption rights

 

The holders of shares of our common stock do not have subscription, preference, conversion or exchange rights, and there are no mandatory redemption provisions applicable to shares of our common stock. The rights, preferences and privileges of the holders of our common stock are subject to, and may be adversely affected by, the rights, preferences and privileges of holders of any shares of preferred stock that our Board of Directors may designate and issue in the future.

 

     

     

    

 

Dividends

 

We may pay dividends on our outstanding shares of common stock in accordance with the terms of the Ohio General Corporation Law. The Ohio General Corporation Law generally provides that the board of directors may declare and pay dividends to shareholders, provided that the dividend does not exceed the combination of the surplus of the corporation, which is defined generally as the excess of the corporation’s assets plus stated capital over its liabilities, and is not in violation of the rights of the holders of shares of any other class. In addition, no dividend may be paid when a corporation is insolvent or there is reasonable ground to believe that by payment of the dividend the corporation would be rendered insolvent.

 

Our ability to obtain funds for the payment of dividends and for other cash requirements largely depends on the amount of dividends that may be declared and paid by our subsidiaries. Thus, as a practical matter, any restrictions on the ability of our subsidiaries, including The State Bank and Trust Company (“State Bank”), to pay dividends will act as restrictions on the amount of funds available for payment of dividends by State Bank.

 

The ability of State Bank to pay dividends is subject to limitations under various laws and regulations and to prudent and sound banking principles. Generally, subject to certain minimum capital requirements, State Bank may declare a dividend without the approval of the State of Ohio Division of Financial Institutions so long as the total of the dividends in a calendar year does not exceed State Bank’s total net income for that year combined with its retained net income for the two preceding years.

 

We are also subject to policies issued by the Federal Reserve Board that may, in certain circumstances, limit our ability to pay dividends. These policies require, among other things, that we satisfy the capital adequacy regulations applicable to bank holding companies that qualify as financial holding companies, including having a capital conservation buffer that is greater than 2.5%. The Federal Reserve Board may also determine, under certain circumstances relating to our financial condition, that the payment of dividends would be an unsafe or unsound practice and prohibit the payment thereof. Specifically, the Federal Reserve Board has issued a policy statement providing that a financial holding company or other bank holding company should eliminate, defer or significantly reduce dividends if (i) its net income available to common shareholders is not sufficient to fully fund the dividends, (ii) the prospective rate of earnings retention is not consistent with the financial or bank holding company’s capital needs and overall financial condition or (iii) the financial or bank holding company will not meet or is in danger of not meeting its required regulatory capital adequacy ratios. In addition, the Federal Reserve Board expects us to serve as a source of strength to State Bank, which may require us to retain capital for further investments in State Bank, rather than use those funds for dividends for our shareholders.

 

The ability of our subsidiaries to pay dividends to us is also subject to their profitability, financial condition, capital expenditures and other cash flow requirements and contractual obligations.

 

Listing

 

Our common stock is listed under The NASDAQ Capital Market under the symbol “SBFG.”

 

Transfer agent and registrar

 

The transfer agent and registrar for our common stock is Registrar and Transfer Company located in Cranford, New Jersey.

 

Voting rights

 

Each share of common stock of the Company entitles the holder to one vote for the election of directors and for all other matters submitted to the shareholders of the Company for their consideration. Our articles of incorporation provide that shareholders do not have the right to vote cumulatively in the election of directors.

 

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Supermajority voting requirement 

 

Our articles of incorporation provide that, notwithstanding any provision of the Ohio General Corporation law requiring for any purpose the vote, consent, waiver or release of holders of shares entitling them to exercise two-thirds or any other proportion of the voting power of the Company, such action, unless otherwise provided by statute, may be taken by the vote, consent, waiver or release of the holders of shares entitling them to exercise a majority of the voting power of the Company.

 

However, our articles of incorporation provide that, unless two-thirds of the whole authorized number of directors recommends the approval of the following matters, such matters require the affirmative vote of the holders of shares entitling them to exercise at least 80% of the Company’s voting power:

 

	 	●	a proposed amendment to the articles;

 

	 	●	proposed new regulations, or an alteration, amendment or repeal of the regulations;

 

	 	●	an agreement providing for the merger or consolidation of the Company with or into one or more other corporations;

 

	 	●	a proposed combination or majority share acquisition involving the issuance of shares of the Company and requiring shareholder approval;

 

	 	●	a proposal to sell, lease, or exchange all or substantially all of the property and assets of the Company;

 

	 	●	a proposed dissolution of the Company; or

 

	 	●	a proposal to fix or create the number of directors by action of the shareholders of the Company.

 

Shareholder vote required to approve business combinations with principal shareholders 

 

Our articles of incorporation require the affirmative vote of the holders of shares entitling them to exercise at least 80% of the voting power of the Company and the affirmative vote of at least two-thirds of the outstanding shares not held by a “Controlling Person,” to approve certain “Business Combinations.” A “Controlling Person” is any shareholder who beneficially owns shares entitling the shareholder to exercise 20% or more of the voting power of the Company in the election of directors. A “Business Combination” is defined to include:

 

	 	●	any merger or consolidation of the Company with or into a Controlling Person or an affiliate or associate of a Controlling Person;

 

	 	●	any sale, lease, exchange, transfer or other disposition of all or any substantial part of the assets of the Company or a subsidiary, including, without limitation, any voting securities of a subsidiary of the Company, to a Controlling Person or an affiliate or associate of a Controlling Person;

 

	 	●	any merger into the Company or a subsidiary of the Company of a Controlling Person or an affiliate or associate of a Controlling Person;

 

	 	●	any sale, lease, exchange, transfer or other disposition of all or any part of the assets of a Controlling Person or an affiliate or associate of a Controlling Person to the Company or a subsidiary of the Company, excluding certain insignificant sales or dispositions;

 

	 	●	any reclassification of the common stock of the Company, or any recapitalization involving the common stock of the Company consummated within five years after the Controlling Person becomes a Controlling Person; and

 

	 	●	any agreement, contract or other arrangement providing for any of the above transactions.

 

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The shareholder vote requirements described above do not apply, however, if the Business Combination will result in an involuntary sale, redemption, cancellation or other termination of ownership of all shares of common stock of the Company owned by shareholders who do not vote in favor of, or consent in writing to, the Business Combination and the consideration to be received by such shareholders is at least equal to the “Minimum Price Per Share,” as defined in our articles of incorporation.

 

Classified board of directors and election of directors

 

Our articles of incorporation provide for a classified board of directors consisting of not less than nine directors, with the directors divided into three classes and elected for three-year terms. Each year the term of one class expires. As a result, approximately one-third of the directors are elected at each annual meeting of shareholders. This can delay the ability of a significant shareholder or group of shareholders to gain control of our board of directors.

 

Our code of regulations provide that the number of directors cannot be fewer than nine nor more than 15, Currently, our board of directors consists of nine directors. Pursuant to the code of regulations, any change in the number of directors cannot have the effect of shortening the term of any incumbent director; and no action may be taken to increase the number of directors unless at least two-thirds of the directors then in office concur in such action. A director or directors may be removed from office, only by the vote of the holders of shares entitling them to exercise not less than 80% of the voting power of the Company entitling them to elect directors in place of those to be removed. Under the Ohio General Corporation Law, the removal of a director or directors of the Company may only be effected for cause. This will prevent a shareholder or group of shareholders from removing incumbent directors and simultaneously gaining control of the board by filling the vacancies created by removals with their own nominees. 

 

Failure to elect a director to fill the unexpired term of any director removed shall be deemed to create a vacancy in the board. Under Ohio law, unless a corporation’s articles of incorporation or code of regulations otherwise provide, the remaining directors of a corporation may fill any vacancy on the board by the affirmative vote of a majority of the remaining directors. Vacancies at the Company, and newly created directorships resulting from any increase in the authorized number of directors, may be filled by the affirmative vote of two-thirds of the whole authorized number of directors or by the affirmative vote of the holders of at least four-fifths of the outstanding voting power of the corporation voting at a meeting of the shareholders called for such purpose or in any other manner provided by law, the articles or the code of regulations.

 

Our code of regulations requires that notice in writing of proposed shareholder nominations for the election of directors be given to our secretary prior to the meeting. The notice must contain certain information about the non-incumbent nominee, including name, age, business or residence address of each nominee proposed in such notice, the principal occupation or employment of each such nominee, and the number of shares of common stock of the Company owned beneficially and/or of record by each such nominee and the length of time any such shares have been so owned.

 

Pursuant to our code of regulations, special meetings of shareholders may be called only by the following: the chairman of the board, the president or, in case of the president’s absence, death, or disability, the vice president authorized to exercise the authority of the president; a majority of the directors acting with or without a meeting; or the holders of at least 25% of all shares outstanding and entitled to vote.

 

To be timely, shareholder notice of a nomination for election of a director at an annual meeting must be received by the secretary of the Company on or before the later of (i) February l, immediately preceding such annual meeting or (ii) the 60th day prior to the first anniversary of the most recent annual meeting of shareholders held for the election of directors; provided, however, that if the annual meeting for the election of directors in any year is not held on or before the 31st day next following such anniversary, then the written notice must be received by the secretary within a reasonable time prior to the date of such annual meeting. In the case of a nominee proposed by a shareholder for election as a director at a special meeting of shareholders at which directors are to be elected, such written notice of a proposed nominee shall be received by the secretary no later than the close of business on the seventh day following the day on which notice of the special meeting was mailed to shareholders.

 

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Anti-takeover
statutes

 

Certain state laws make a change in control of the Company more difficult, even if desired by the holders of the majority of our shares of common stock. Provided below is a summary of the Ohio anti-takeover statutes.

 

Ohio Control Share Acquisition Statute. The Ohio Revised Code provides in Section 1701.831 that specified notice and informational filings and special shareholder meetings and voting procedures must occur before consummation of a proposed “control share acquisition.” A control share acquisition is defined as any acquisition of an issuer’s shares that would entitle the acquirer to exercise or direct the voting power of the issuer in the election of directors within any of the following ranges:

 

	 	●	one-fifth or more, but less than one-third, of the voting power;

 

	 	●	one-third or more, but less than a majority, of the voting power; or

 

	 	●	a majority or more of the voting power.

 

Assuming compliance with the notice and information filing requirements, the proposed control share acquisition may take place only if, at a duly convened special meeting of shareholders, the acquisition is approved by both a majority of the voting power of the issuer represented at the meeting and a majority of the voting power remaining after excluding the combined voting power of the intended acquirer and the directors and officers of the issuer. The control share acquisition statute does not apply to a corporation whose articles of incorporation or regulations so provide. We have not opted out of the application of the control share acquisition statute.

 

Ohio Merger Moratorium Statute. Chapter 1704 of the Ohio Revised Code prohibits specified business combinations and transactions between an “issuing public corporation” and an “interested shareholder” for at least three years after the interested shareholder attains 10% ownership, unless the board of directors of the issuing public corporation approves the transaction before the interested shareholder attains 10% ownership. An interested shareholder is a person who owns 10% or more of the shares of the corporation. An issuing public corporation is defined as an Ohio corporation with 50 or more shareholders that has its principal place of business, principal executive offices, or substantial assets within the State of Ohio, and as to which no close corporation agreement exists. Examples of transactions regulated by the merger moratorium provisions include mergers, consolidations, voluntary dissolutions, and the disposition of assets and the transfer of shares. After the three-year period, a moratorium transaction may take place provided that certain conditions are satisfied, including that:

 

	 	●	the board of directors approves the transaction;

 

	 	●	the transaction is approved by the holders of shares with at least two-thirds of the voting power of the corporation (or a different proportion set forth in the articles of incorporation), including at least a majority of the outstanding shares after excluding shares controlled by the interested shareholder; or

 

	 	●	the business combination results in shareholders, other than the interested shareholder, receiving a fair price plus interest for their shares, as determined in accordance with the statute.

 

Although the merger moratorium provisions may apply, a corporation may elect not to be covered by the merger moratorium provisions, or subsequently elect to be covered, with an appropriate amendment to its articles of incorporation. We have not opted out of the Ohio merger moratorium statute.

 

Ohio Anti-Greenmail Statute. Pursuant to the Ohio Anti-Greenmail Statute, a public corporation formed in Ohio may recover profits that a shareholder makes from the sale of the corporation’s securities within 18 months after making a proposal to acquire control or publicly disclosing the possibility of a proposal to acquire control. The corporation may not, however, recover from a person who proves either: (1) that his sole purpose in making the proposal was to succeed in acquiring control of the corporation and there were reasonable grounds to believe that he would acquire control of the corporation; or (2) that his purpose was not to increase any profit or decrease any loss in the stock. Also, before the corporation may obtain any recovery, the aggregate amount of the profit realized by such person must exceed $250,000. Any shareholder may bring an action on behalf of the corporation if a corporation refuses to bring an action to recover these profits. The party bringing such an action may recover his attorneys’ fees if the court having jurisdiction over such action orders recovery of any profits.

 

The Anti-Greenmail Statute does not apply to a corporation if its articles of incorporation or code of regulations so provide. We have not opted out of the application of the Anti-Greenmail Statute.

 

    5Exhibit 10.7

 

SB
FINANCIAL GROUP, INC.

AMENDED
AND RESTATED CHANGE OF CONTROL AGREEMENT

FOR
DAVID HOMOELLE

 

This
AGREEMENT between SB Financial Group, Inc. (the “Company”) and David Homoelle is effective as of the 22nd day
of January, 2018 (the “Effective Date”). This Agreement replaces the SB Financial Group, Inc. Change of Control Agreement
for David Homoelle dated June 30, 2016 (the “COC Agreement”).

 

WHEREAS,
the Executive is employed by the Company as its Regional President, Columbus; and

 

WHEREAS,
the Company and the Executive previously entered into the COC Agreement to provide the Executive with the benefits described therein;
and

 

WHEREAS,
the Company and the Executive wish to make changes as set forth herein.

 

NOW,
THEREFORE, in consideration of the services performed in the past and to be performed in the future, as well as of the mutual promises
and covenants herein contained, the parties agree as follows:

 

ARTICLE
1: 

DEFINITIONS

 

For
purposes of this Agreement, the following capitalized words and phrases shall have the following meanings unless another context clearly
requires another meaning:

 

1.1 Act.
The Securities Exchange Act of 1934, as amended.

 

1.2 Accrued
Obligations. Any accrued but unpaid base salary through the date of any Termination, which shall be paid within thirty (30) days
following the date of Termination, and any unreimbursed business expenses or other payments and benefits to which the Executive is then
entitled under the employee benefit plans of the Company as of the date of such Termination, payable in accordance with the terms of
such plan(s).

 

1.3 Affiliate.
Any corporation (including any non-profit corporation), general or limited partnership, limited liability company, joint venture,
trust, association or organization which is, directly or indirectly, controlled by, or under common control with, the Company.

 

1.4 Agreement.
This SB Financial Group, Inc. Change of Control Agreement for David Homoelle, as it may be amended from time to time.

 

1.5 Annual
Direct Salary. The Executive’s annualized base salary based on the highest base salary rate in effect for any pay period ending
with or within the 36 consecutive calendar month period ending on or immediately before the date on which it is being calculated, multiplied
by 12. Annual Direct Salary will be determined without including any employee or fringe benefits, bonuses, incentives or other compensation
(other than base salary) paid or earned during the calculation period.

 

     

     

    

 

1.6 Beneficiary.
The person or persons whom the Executive has designated as set forth in Exhibit A to receive payments pursuant to this Agreement
in the event of his death. If the Executive has not designated any Beneficiary, or if the Executive’s designated Beneficiary does
not survive the Executive, the Executive’s estate shall be his Beneficiary.

 

1.7 Board.
The Board of Directors of the Company.

 

1.8 Cause.
The occurrence of one or more of the following:

 

		(a)	The
                                            willful failure by the Executive to substantially perform his duties hereunder (other than
                                            a failure attributable to an event constituting Good Reason or resulting from the Executive’s
                                            incapacity because of death or disability), after notice from the Company or an Affiliate,
                                            and a failure to cure such violation within 20 days of said notice;

 

		(b)	The
                                            willful engaging by the Executive in misconduct injurious to the Company or  an Affiliate;

 

		(c)	Dishonesty,
                                            insubordination or gross negligence of the Executive in the performance of the Executive’s
                                            duties;

 

		(d)	The
Executive’s breach of fiduciary duty involving personal profit;

 

		(e)	Conduct
                                            on the part of the Executive which brings public discredit to the Company or an Affiliate
                                            and, if the effect may be cured, a failure to cure within 20 days of the date notice of such
                                            conduct is delivered to the Executive;

 

		(f)	The
                                            Executive’s conviction of or plea of guilty or nolo contendere to a felony (including
                                            conviction of or plea of guilty or nolo contendere to a misdemeanor that was originally charged
                                            as a felony but was reduced to a misdemeanor as a result of a plea bargain), crime of falsehood
                                            or a crime involving moral turpitude, or the actual incarceration of the Executive for a
                                            period of 20 consecutive days or more;

 

		(g)	The
                                            Executive’s theft or abuse of the Company’s or an Affiliate’s property
                                            or the property of the Company’s or an Affiliate’s customers, employees, contractors,
                                            vendors or business associates;

 

		(h)	The
                                            direction or recommendation of a state or federal bank regulatory authority to remove the
                                            Executive from his position(s) with the Company or an Affiliate;

 

		(i)	The
                                            Executive’s willful failure to follow the good faith lawful instructions of the Board
                                            (or the board of directors of an Affiliate) with regard to its operations, after written
                                            notice and, if the event may be cured, a failure to cure such violation within 20 days of
                                            the date said notice is delivered to the Executive;

 

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		(j)	Material
                                            breach of any contract or agreement that the Executive entered with the Company or an Affiliate,
                                            including breach of any of the obligations described in Article 4 and, if the breach may
                                            be cured, a failure to cure such breach within 20 days of the date notice of such breach
                                            is delivered to the Executive;

 

		(k)	Unauthorized
                                            disclosure of the trade secrets or Confidential Information of the Company or an Affiliate,
                                            or any of their trade partners or vendors; and

 

		(l)	Any
                                            intentional cooperation with any party attempting to effect a Change of Control unless (i)
                                            the Board has approved or ratified that action before the Change of Control or (ii) that
                                            cooperation is required by law.

 

However,
Cause will not arise solely because the Executive is absent from active employment during periods of vacation, consistent with the Company’s
or an Affiliate’s applicable vacation policy or other period of absence initiated by the Executive and approved by the Company
or such Affiliate.

 

Also,
if, after the Executive Terminates employment, the Company learns that the Executive has actively concealed conduct or an event that,
if discovered before employment Terminated, would have constituted “Cause,” the Company may recover any and all amounts paid
to the Executive (or to his or her Beneficiaries) under this Agreement in excess of the Accrued Obligations.

 

1.9 Change
Entity. The entity resulting from a Change of Control or succeeding to the Company’s interests as a result of a Change of Control.

 

1.10 Change
of Control. The earliest to occur of any of the following:

 

		(a)	Any
                                            transaction of a nature that would be required to be reported in response to Item 6(e) of
                                            Schedule 14A of Regulation 14A or any successor rule or regulation promulgated under the
                                            Act;

 

		(b)	A
                                            merger or consolidation of the Company with, or purchase of all or substantially all of the
                                            Company’s assets by another “person” or group of “persons”
                                            (as such term is defined or used in Sections 13(d)(3) and 14(d) of the Act) and, as a result
                                            of such merger, consolidation or sale of assets, less than a majority of the outstanding
                                            voting stock of the surviving, resulting or purchasing person is owned, immediately after
                                            the transaction, by the holders of the voting stock of the Company before the transaction,
                                            regardless of when or how their voting stock was acquired;

 

		(c)	Any
                                            “person” (as such term is defined in Section 3(a)(9) of the Act and as used in
                                            Sections 13(d)(3) and 14(d)(2) of the Act) becomes through any means a “beneficial
                                            owner” (as defined in Rule 13d-3 under the Act), directly or indirectly, of securities
                                            of the Company representing fifty percent (50%) or more of the combined voting power of the
                                            Company’s then outstanding securities eligible to vote for the election of the Board;

 

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		(d)	Any
                                            “person” as defined above, other than the Company, the Executive or the Company’s
                                            ESOP, is or becomes the “beneficial owner” (as defined in Rule 13d-3 and Rule
                                            13d-5, or any successor rule or regulation, promulgated under the Act), directly or indirectly,
                                            of securities of the Company which represent twenty-five percent (25%) or more of the combined
                                            voting power of the securities of the Company then outstanding but disregarding any securities
                                            with respect to which that acquirer has filed SEC Schedule 13G indicating that the securities
                                            were not acquired and are not held for the purpose of or with the effect of changing or influencing,
                                            directly or indirectly, the Company’s management or policies, unless and until that
                                            entity or person files SEC Schedule 13D, at which point this exception will not apply to
                                            such securities, including those previously subject to a SEC Schedule 13G filing; and

 

		(e)	Individuals
                                            who, on the Effective Date, constituted the Board (the “Incumbent Directors”)
                                            cease for any reason to constitute at least a majority of the members of Board; provided
                                            that any person becoming a director subsequent to the Effective Date whose election or nomination
                                            for election was approved by a vote of at least two-thirds (2/3) of the then Incumbent Directors
                                            (either by a specific vote or by approval of the proxy statement of the Company in which
                                            such person is named as a nominee for director, without written objection to such nomination)
                                            shall be an Incumbent Director; and further provided, however, that no individual elected
                                            or nominated as a director of the Company initially as a result of an actual or threatened
                                            election contest with respect to directors or any other actual or threatened solicitation
                                            of proxies or consents by or on behalf of any person other than the Board shall ever be deemed
                                            to be an Incumbent Director.

 

If
more than one event that constitutes a Change of Control occurs during a Protection Period, the Executive shall be entitled to the amount
that produces the largest after-tax amount generated by any of the Changes of Control.

 

Notwithstanding
any other provision of the Agreement, the Executive will not be entitled to any amount under this Agreement if the Executive acted in
concert with any person or group (as defined above) to effect a Change of Control, other than at the specific direction of the Board
and in the Executive’s capacity as an employee of the Company.

 

1.11 Code.
The Internal Revenue Code of 1986, as amended.

 

1.12 Company.
SB Financial Group, Inc., an Ohio corporation having a place of business at 401 Clinton Street, Defiance, Ohio.

 

1.13 Confidential
Information. Any and all information (other than information in the public domain) related to the Company’s, any Affiliate’s
or the Change Entity’s business, including all processes, inventions, trade secrets, computer programs, technical data, drawings
or designs, information concerning pricing and pricing policies, marketing techniques, plans and forecasts, new product information,
information concerning methods and manner of operations and information relating to the identity and location of all past, present and
prospective customers and suppliers.

 

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1.14 Date
of the Change of Control. The date the first of any of the events described in Section 1.10 occurs.

 

1.15 Disability.
A medically determinable physical or mental impairment that can be expected to result in death or to last for a continuous period
of not less than twelve (12) months and that entitles the Executive to receive disability benefits under the Company’s group disability
insurance policy.

 

1.16 Effective
Date. January 22, 2018.

 

1.17 Excise
Taxes. The tax imposed on any excess parachute payments by Section 4999 of the Code.

 

1.18 Executive.
David Homoelle, an individual.

 

1.19 Good
Reason. The Executive will have “Good Reason to terminate the Executive’s employment with the Company if any of the events
specified in the safe harbor definition of good reason in the rules and regulations under Internal Revenue Code Section 409A occur during
the Protection Period without the Executive’s consent (provided that the Company does not cure the effect of such event within
thirty (30) days following its receipt of written notice of such event from the Executive). The safe harbor definition of good reason
is currently contained in Rule 1.409A-1(n)(2)(ii). Notwithstanding the foregoing, Good Reason shall cease to exist for an event on the
ninetieth (90th) day following the later of its occurrence or the Executive’s knowledge thereof, unless the Executive
has given the Company written notice of such event and the Executive’s intent to terminate for Good Reason prior to such date.

 

1.20 Non-Competition
Area. The geographic area within 50 miles from the Executive’s principal office location, as may be amended pursuant to Section
4.1.

 

1.21 Non-Competition
Period. The period beginning on the effective date of this Agreement and extending throughout the two year period following the Executive’s
Termination, as may be amended pursuant to Section 4.1.

 

1.22 Protection
Period. The period beginning six (6) months before the date of the Change of Control and ending twenty-fourth (24) months after the
Change of Control.

 

1.23 Release.
The “Release” described in Section 3.5.

 

1.24 Term.
The term of this Agreement, including any extensions or renewals, as set forth in Article 2.

 

1.25 Terminates.
The Executive’s “separation from service” within the meaning of Section 409A of the Code from the Company and all
persons with whom the Company would be considered a single employer under Sections 414(b) and (c) of the Code.

 

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ARTICLE
2:

TERM

 

2.1 Term
and Renewal. The Term of this Agreement shall be from the Effective Date through the end of the 36th consecutive calendar month beginning
on or immediately after the Effective Date. Unless the Company notifies the Executive in writing to the contrary at least 90 days before
the end of the 12th consecutive calendar month beginning after the Effective Date (and, thereafter, anniversaries of the Effective Date),
the Term of this Agreement will automatically be extended for an additional 12 calendar month period. No such notice of non-renewal may
be delivered during any Protection Period and this Agreement will not expire (except as specifically provided below) and will remain
in effect throughout any Protection Period regardless of whether that Protection Period ends after the date the Agreement otherwise would
expire.

 

2.2 Expiration
of Term. Notwithstanding the foregoing, this Agreement will terminate on the earliest of the following to occur:

 

		(a)	The
                                            Executive agrees, in writing, to terminate this Agreement, whether or not it is replaced
                                            with a similar agreement; or

 

		(b)	All
                                            payments due under this Agreement have been fully paid.

 

ARTICLE
3:

PAYMENTS
UPON TERMINATION

 

3.1
 Termination for Cause.  If the Executive is Terminated for Cause or voluntarily Terminates
without Good Reason, all rights of the Executive under this Agreement shall cease as of the effective date of such Termination, except
that the Executive shall be entitled to receive the Accrued Obligations.

 

3.2 Termination
Without Cause or for Good Reason. If, during a Protection Period, the Executive is involuntarily Terminated other than for Cause
or voluntarily Terminates for Good Reason, the Company shall:

 

		(a)	Provided
                                            that the Release has become irrevocable, within 60 days following the Executive’s Termination,
                                            pay to the Executive a lump sum cash amount equal to two times the Executive’s Annual
                                            Direct Salary, subject to applicable withholdings and taxes;

 

		(b)	Provided
                                            that the Release has become irrevocable, within sixty (60) days following the Executive’s
                                            Termination, pay to the Executive a lump sum cash amount equal to eighteen (18) times the
                                            sum of (i) the monthly COBRA premium for the group health, dental and vision insurance in
                                            which the Executive (and the Executive’s family, if applicable) was enrolled immediately
                                            before the Executive’s Termination, and (ii) the monthly premium for the Company’s
                                            group life and disability insurance coverage for the Executive, subject to applicable withholdings
                                            and taxes; and

 

    6

     

    

 

		(c)	Pay
                                            to the Executive the Accrued Obligations.

 

Notwithstanding
the foregoing, if the sixty (60) day window would span two years, the payment will be made in the second year.

 

3.3 [reserved]

 

3.4 Six
Month Distribution Delay for Specified Employees. Notwithstanding anything in this Agreement to the contrary, in the event that the
Executive is a “specified employee” (as defined in Section 409A of the Code) of the Company, determined pursuant to the Company’s
policy for identifying specified employees, on the date of his Termination, no payment on account of the Executive’s Termination
shall be made until the first day of the  seventh month following the date of Termination (or, if earlier, the date of his death).
The cumulative amount paid on such day shall include any payments that could not be made during such period.

 

3.5 Release.
As a condition to receiving any payments under this Agreement, other than payment of the Accrued Obligations, the Executive must release
the Company, the Change Entity and all of their Affiliates, and all of their employees and directors (the “Released Parties”)
from any and all claims that the Executive may have against the Released Parties up to and including the date the Executive signs a Waiver
and Release of Claims (the “Release”) in the form provided by the Company and that release has become irrevocable. Notwithstanding
anything to the contrary in this Agreement, the Executive acknowledges that the Executive is not entitled to receive, and will not receive,
any payments pursuant to this Agreement unless and until the Executive provides the Company with said Release prior to the first date
that payment is to be made or is to commence.

 

ARTICLE
4:

COVENANTS

 

4.1 Non-Competition.
In consideration of the benefits provided under this Agreement:

 

		(a)	The
                                            Executive hereby acknowledges and recognizes the highly competitive nature of the business
                                            of the Company and its Affiliates. Accordingly, in consideration of the compensation and
                                            benefits described in this Agreement, during the Non-Competition Period, the Executive shall
                                            not:

 

		(i)	Within
                                            the Non-Competition Area, provide financial or executive assistance to any person, firm,
                                            corporation or enterprise engaged in: (1) the banking or financial services industry
                                            (including bank holding companies); or (2) any other activity in which the Company or an
                                            Affiliate engaged as of either the beginning of the Non-Competition Period or the Date of
                                            the Change of Control; or

 

    7

     

    

 

		(ii)	Directly
                                            or indirectly contact, solicit or induce any person, corporation or other entity who or which
                                            is a customer or referral source of the Company or an Affiliate during the term of the Executive’s
                                            employment or on the date of the Termination of Executive’s employment, to become a
                                            customer or referral source for any person or entity other than the Company and its Affiliates;
                                            or

 

		(iii)	Directly
                                            or indirectly solicit, induce or encourage any employee of the Company or its Affiliates,
                                            who is employed during the term of the Executive’s employment or on the date of Termination
                                            of Executive’s employment, to leave the employ of the Company or its Affiliates or
                                            to seek, obtain or accept employment with any person or entity other than the Company or
                                            its Affiliates.

 

		(b)	It
                                            is expressly understood and agreed that, although the Executive and the Company and its Affiliates
                                            consider the restrictions contained in this Section 4.1 reasonable for the purpose of preserving
                                            the goodwill and other proprietary rights of the Company and its Affiliates, if a final judicial
                                            determination is made by a court having jurisdiction that the Non-Competition Area, the Non-Competition
                                            Period or any other restriction contained in this Section 4.1 is an unreasonable or otherwise
                                            unenforceable restriction against the Executive, the provisions of Section 4.1 shall not
                                            be rendered void, but shall be deemed amended to apply as to such maximum time and territory
                                            and to such other extent as such court may judicially determine or indicate to be reasonable.

 

		(c)	The
                                            existence of any immaterial claim or cause of action of the Executive against the Company
                                            or its Affiliates, whether predicated on this Agreement or otherwise, shall not constitute
                                            a defense to the enforcement by the Company or its Affiliates of this covenant. The Executive
                                            agrees that any breach of the restrictions set forth in this Section 4.1 will result in irreparable
                                            injury to the Company and its Affiliates for which they will have no adequate remedy at law
                                            and the Company and its Affiliates shall be entitled to injunctive relief in order to enforce
                                            the provisions hereof and/or seek specific performance and damages.

 

4.2 Unauthorized
Disclosure. During the term of the Executive’s employment, or at any later time, the Executive shall not, without the written
consent of the Board (or the board of directors of an Affiliate) or a person authorized thereby, knowingly use or disclose to any person,
other than an authorized employee of the Company or such Affiliate, or a person to whom disclosure is reasonably necessary or appropriate
in connection with the performance by the Executive of his duties as an executive of the Company and its Affiliates any material Confidential
Information obtained by him while in the employ of the Company and its Affiliates with respect to any of the services, products, improvements,
formulas, designs or styles, processes, customers, customer lists, methods of business or any business practices of the Company and its
Affiliates, the disclosure of which could be or will be damaging to the Company and its Affiliates; provided, however, that Confidential
Information shall not include any information known generally to the public (other than as a result of unauthorized disclosure by the
Executive or any person with the assistance, consent or direction of the Executive) or any information of a type not otherwise considered
confidential by persons engaged in the same business or a business similar to that conducted by the Company and its Affiliates or any
information that must be disclosed as required by law.

 

    8

     

    

 

4.3 Non-Disparagement.
The Executive agrees that during the Term and following the termination of the Executive’s employment, the Executive shall
not make any public statements that disparage the Company or any Affiliate or any of their respective directors, officers or employees,
and the Company and its Affiliates shall make reasonable efforts to prevent their directors, officers or employees from making any public
statements that disparage the Executive. Nothing in the foregoing is intended to prohibit the Executive or the Company and its Affiliates,
its directors, officers or employees from making truthful statements required by order of a court, governmental body or regulatory body
having appropriate jurisdiction.

 

4.4
 Return of Property. The Executive agrees that, upon the termination of the Executive’s
employment, the Executive shall promptly return to the Company any keys, credit cards, passes, confidential documents or material, or
other property belonging to the Company or any Affiliate, and the Executive shall also return all writings, files, records, correspondence,
notebooks, notes and other documents and things (including any copies thereof) containing confidential information or relating to the
business or proposed business of the Company or any Affiliate or containing any Confidential Information relating to the Company or any
Affiliate, except any personal diaries, calendars, rolodexes or personal notes or correspondence.

 

4.5
 Cooperation. The Executive agrees that during the Term and following the termination
of the Executive’s employment, the Executive shall be reasonably available to testify truthfully on behalf of the Company and its
Affiliates in any action, suit, or proceeding, whether civil, criminal, administrative, or investigative, and to assist the Company and
its Affiliates, in all reasonable respects in any such action, suit, or proceeding, by providing information and meeting and consulting
with the Board, or their representatives or counsel, or representatives or counsel to the Company and its Affiliates, as requested; provided,
however that the same does not materially interfere with Executive’s then-current professional activities, and that Executive shall
be reasonably compensated for the Executive’s time.

 

    9

     

    

 

ARTICLE
5:

MISCELLANEOUS

 

5.1 Notice.
For the purposes of this Agreement, notices and all other communications provided for in this Agreement shall be in writing and shall
be deemed to have been duly given when delivered or mailed by United States certified mail, return receipt requested, postage prepaid,
addressed as follows:

 

	 	If to the Executive:
	David Homoelle
	 	 	at the last address on file with
the Company
	 	 	 
	 	If to the Company:	SB Financial Group, Inc.
	 	 	 
	 	 	Human Resource Director
	 	 	401 Clinton Street
	 	 	Defiance, OH 43512
	 	 	 
	 	If to the Change Entity:	At the address provided

 

or
to such other address as the Executive, the Company or the Change Entity may have furnished to the other in writing in accordance herewith,
except that notices of change of address shall be effective only upon receipt.

 

5.2 Successors;
Binding Agreement. This Agreement shall inure to the benefit of and be binding upon the Company and its Affiliates and Executive,
their respective personal representatives, heirs, assigns or successors, provided, however, that the Executive may not commute, anticipate,
encumber, dispose of or assign any payment herein except as specifically set forth in Sections 5.10(d) and (e) of this Agreement.

 

5.3 Severability.
 If any provision of this Agreement is declared unenforceable for any reason, the remaining provisions of this Agreement shall be
unaffected thereby and shall remain in full force and effect.

 

5.4 Waiver;
Amendment. No provision of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is
agreed to in writing and signed by the Executive and an executive officer specifically designated by the Board. No waiver by either party,
at any time, of any breach by the other party of, or compliance with, any condition or provision of this Agreement to be performed by
such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent
time. This Agreement may be amended or canceled only by mutual agreement of the parties in writing.

 

5.5 Limitation
of Damages for Breach of Agreement. (a) In the event of a breach of this Agreement, by either the Company or the Executive, each
hereby waives to the fullest extent permitted by law, the right to assert any claim against the others for punitive or exemplary damages.
The Executive is not required to mitigate the amount of any payment described in this Agreement by seeking other employment or otherwise,
nor will the amount of any payment or benefit provided for in this Agreement be reduced by any compensation or benefits the Executive
earns, or is entitled to receive, in any capacity after Termination or by reason of the Executive’s receipt of or right to receive
any retirement or other benefits attributable to employment.

 

    10

     

    

 

(b) The
Company is aware that after a Change of Control management could cause or attempt to cause the Company to refuse to comply with its obligations
under this Agreement, or could institute or cause or attempt to cause the Company to institute litigation seeking to have this Agreement
declared unenforceable, or could take or attempt to take other action to deny Executive the benefits intended under this Agreement. In
these circumstances the purpose of this Agreement would be frustrated. The Company intends that the Executive not be required to incur
expenses associated with enforcement of rights under this Agreement, whether by litigation or other legal action, because the cost and
expense thereof would substantially detract from the benefits intended to be granted to the Executive hereunder. The Company intends
that the Executive not be forced to negotiate settlement of rights under this Agreement under threat of incurring expenses. Accordingly,
if after a Change of Control it appears to the Executive that (x) the Company has failed to comply with any of its obligations
under this Agreement, or (y) the Company or any other person has taken any action to declare this Agreement void or unenforceable,
or instituted any litigation or other legal action designed to deny, diminish, or recover from the Executive the benefits intended to
be provided to the Executive hereunder, the Company irrevocably authorizes the Executive to retain counsel of the Executive’s choice,
at the Company’s expense as provided in this Section 5.5(b), to represent the Executive in the initiation or defense of any litigation
or other legal action, whether by or against the Company or any director, officer, stockholder, or other person affiliated with the Company,
in any jurisdiction. Despite any existing or previous attorney-client relationship between the Company and any counsel chosen by the
Executive under this Section 5.5(b), the Company irrevocably consents to the Executive entering into an attorney-client relationship
with that counsel, and the Company and the Executive agree that a confidential relationship exists between the Executive and that counsel.
The fees and expenses of counsel selected by the Executive will be paid or reimbursed to the Executive by the Company on a regular, periodic
basis upon presentation by the Executive of a statement or statements prepared by counsel in accordance with counsel’s customary
practices, regardless of whether suit is brought and regardless of whether incurred in arbitration, trial, bankruptcy, or appellate proceedings.
The Company’s obligation to pay the Executive’s legal fees under this Section 5.5(b) operates separately from and in addition
to any legal fee reimbursement obligation the Company may have with the Executive under any separate employment, severance, or other
agreement. If Section 5.6 would impose a limitation on the Executive’s right to recover or obtain reimbursement or payment of costs,
including but not limited to attorneys’ fees, under this Section 5.5(b), the Company and the Executive agree that this Section
5.5(b) is intended to be an exception to the limitations of Section 5.6 and that any conflict between this Section 5.5(b) and Section
5.6 is to be resolved in favor of this Section 5.5(b).

 

5.6 Arbitration.
Any controversy or claim arising out of, or relating to this Agreement, or the breach thereof, except for any claims brought by the
Company or its Affiliates for equitable relief or an injunction to enforce the restrictive covenants contained in Article 4, will be
settled by arbitration in Defiance County, Ohio in accordance with the Rules of the American Arbitration Association, and judgment upon
the award rendered by the arbitrator or arbitrators may be entered in any court having jurisdiction thereof. The arbitrator shall not
be bound by the rules of evidence and procedure of the courts of the State of Ohio, but shall be bound by the substantive law applicable
to this Agreement. The decision of the arbitrator, absent fraud, duress, incompetence or gross and obvious error of fact, shall be final
and binding upon the parties and shall be enforceable in courts of proper jurisdiction.

 

    11

     

    

 

The
Company will bear all reasonable costs of arbitration, including reimbursement of reasonable attorneys’ fees, for any dispute arising
under this Agreement. Any payment of such costs shall be subject to the following limitations: (i) the costs eligible for payment shall
include any costs arising during the lifetime of the Executive; (ii) the amount of costs paid during any taxable year of the Executive
may not affect the amount of costs eligible for payment in any other taxable year; (iii) any costs being paid shall be paid no later
than December 31 of the year following the year in which they were incurred; and (iv) the right to payment may not be subject to liquidation
or exchange for another benefit.

 

5.7 Law
Governing.  This Agreement shall be governed by and construed in accordance with the laws of the State of Ohio, without regard to
its conflicts of law principles.

 

5.8 Validity.
The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other
provision of this Agreement, which shall remain in full force and effect.

 

5.9 Headings.
The section headings of this Agreement are for convenience only and shall not control or affect the meaning or construction or limit
the scope or intent of any of the provisions of this Agreement.

 

5.10 Other
Provisions.

 

		(a)	Except
                                            as expressly provided in this Agreement, the Executive’s right to receive the payments
                                            described in this Agreement will not decrease the amount of, or otherwise adversely affect,
                                            any other benefits payable to the Executive under any other plan, agreement or arrangement.

 

		(b)	The
                                            Executive is not required to mitigate the amount of any payment described in this Agreement
                                            by seeking other employment or otherwise, nor will the amount of any payment or benefit provided
                                            for in this Agreement be reduced by any compensation or benefits the Executive earns, or
                                            is entitled to receive, in any capacity after Termination or by reason of the Executive’s
                                            receipt of or right to receive any retirement or other benefits attributable to employment.

 

		(c)	Except
                                            as expressly provided elsewhere in this Agreement, the amount of any payment made under this
                                            Agreement will be reduced by amounts the Company or its Affiliate, as applicable, is required
                                            to withhold in payment (or in anticipation of payment) of any income, wage or employment
                                            taxes imposed on the payment.

 

		(d)	The
                                            right of an Executive or any other person to receive any amount under this Agreement may
                                            not be assigned, transferred, pledged or encumbered except by will or by applicable laws
                                            of descent and distribution. Any attempt to assign, transfer, pledge or encumber any amount
                                            that is or may be receivable under this Agreement will be null and void and of no legal effect.
                                            However, this Section 5.10 will not preclude payment of any benefit to which a deceased Executive
                                            is entitled.

 

    12

     

    

 

		(e)	Subject
                                            to Section 5.10(d), this Agreement inures to the benefit of and may be enforced by the Executive’s
                                            personal or legal representatives, executors, administrators, successors, heirs, distributees,
                                            devisees and legatees.

 

		(f)	If
                                            the Executive’s employment relationship shifts between the Company and any related
                                            entity before a Change of Control or after a Change of Control, between the Change Entity
                                            and any entity related to the Change Entity and there has been no intervening Termination,
                                            this Agreement will remain in full force and effect and for all purposes of this Agreement,
                                            the Executive’s new employer will be substituted for the Executive’s prior employer.

 

		(g)	If
                                            the entity that employs the Executive ceases to be related to the Company, whether or not
                                            as part of a transaction that constitutes a Change of Control, this Agreement will remain
                                            in full force and effect.

 

5.11 Entire
Agreement. This Agreement contains the entire agreement of the parties relating to the subject matter hereof, and the parties have
made no agreement, representations, or warranties relating to the subject matter of this Agreement that are not set forth herein. This
Agreement may be amended only by mutual written agreement of the parties. This Agreement and any amendment thereto may be executed in
one or more counterparts.

 

5.12 Regulatory
Limitations.  Notwithstanding anything to the contrary contained herein, the Executive acknowledges and agrees that any payments
made to the Executive pursuant to this Agreement, or otherwise, are subject to and conditioned on compliance with the provisions of 12
U.S.C. §1828(k) and Part 359 of the FDIC’s regulations (12 C.F.R. Part 359), which provisions contain certain prohibitions
and limitations on the making of “golden parachute” and certain indemnification payments by FDIC-insured institutions and
their holding companies. In the event any payments to the Executive pursuant to this Agreement are prohibited or limited by the provisions
of such statute and/or regulation, the Company (a) shall pay the maximum amount that may be paid after applying such limitations;
and (b) will use its commercially reasonable efforts to obtain the consent of the appropriate regulatory authorities to the payment of
any amount that otherwise cannot be paid due to the application of such limitations. The Executive agrees that the Company shall not
have breached its obligations under this Agreement if it is not able to pay all or some portion of any payment due to the Executive as
a result of the application of these limitations.

 

5.13 Section
409A of the Code.  This Agreement is intended to comply with the requirements of Section 409A of the Code and, to the maximum extent
permitted by law, shall be interpreted, construed and administered consistent with this intent. None of the Company or its Affiliates
or any other person shall have liability in the event this Agreement fails to comply with the requirements of Section 409A of the Code.
Nothing in this Agreement shall be construed as the guarantee of any particular tax treatment to the Executive.

 

5.14 Remedies
Cumulative. No remedy conferred upon a party by this Agreement is intended to be exclusive of any other remedy, and each and every
remedy shall be cumulative and shall be in addition to any other remedy given under this Agreement or current or future law or in equity.
The failure of either party to insist in any instance on the strict performance of any provision of this Agreement or to exercise any
right hereunder will not constitute a waiver of such provision or right in any other instance.

 

5.15 Opportunity
to Review. The Executive represents that the Executive has been provided with an opportunity to review the terms of this Agreement
with legal counsel.

 

5.16 No
Presumption. The parties agree that this Agreement is the product of negotiations between parties representing by legal counsel and
that the presumption of interpreting ambiguities against the drafter of this Agreement shall not apply.

 

5.17 No
Employment Contract. This Agreement is not an employment contract. Nothing contained herein shall guarantee or assure the Executive
of continued employment by the Company, any Affiliate or the Change Entity.

 

    13

     

    

 

IN
WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have caused this Agreement to be duly executed in their respective
names and, in the case of the Company, by its authorized representative on the date first written above.

 

	SB FINANCIAL
    GROUP, INC.	 
	 	 	 
	By	/s/
    Mark A. Klein	 
	Its	Chairman, President and CEO	 
	 	 	 
	EXECUTIVE	 
	 	 	 
	/s/
    David Homoelle	 
	David Homoelle	 

 

    14

     

    

 

EXHIBIT
A

 

SB
FINANCIAL GROUP, INC.

AMENDED
AND RESTATED CHANGE OF CONTROL AGREEMENT

FOR
DAVID HOMOELLE

 

DESIGNATION
OF BENEFICIARY

 

Pursuant
to the terms of the SB Financial Group, Inc. Amended and Restated Change of Control Agreement dated January 22, 2018 (“Agreement”)
between myself and SB Financial Group, Inc., I, David Homoelle, hereby designate the following beneficiary(ies) to receive payments which
may be due under such Agreement after my death:

 

	Primary
    Beneficiary:	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	Name	 	Address	 	Relationship
	 	 	 	 	 
	Contingent Beneficiary(ies):	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	Name	 	Address	 	Relationship
	 	 	 	 	 
	 	 	 	 	 
	Name	 	Address	 	Relationship

 

The
primary beneficiary named above shall be the Beneficiary defined in the Agreement if he or she is living at the time a payment thereunder
becomes due and payable, and the contingent beneficiary named above shall be the designated beneficiary referred to in the Agreement
only if he or she is living at the time a payment becomes payable and the primary beneficiary is not then living.

 

This
designation hereby revokes any prior designation which may have been in effect.

 

	 	Date:	
	 	 	 
	 	 	 
	 	David Homoelle
	 	 
	 	 
	 	Acknowledged by:
	 	 
	 	 
	 	(Company Officer)

 

    A-1

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