Document:

exv10w2

 

Exhibit 10.2

Employment Letter Agreement between Access National Bank and Robert C. Shoemaker

     THIS EMPLOYMENT AGREEMENT (this “Agreement”), dated this 29th day of March, 2005, between
Access National Bank, a national banking association (the “Employer”) and Robert C.
Shoemaker (the “Executive”).

WITNESSETH

     WHEREAS, the Executive has served as the Executive Vice President and Chief Credit Officer of
the Employer since December 1, 1999; and

     WHEREAS, the Employer considers the continued availability of the Executive’s services to be
important to the management and conduct of the Employer’s business and desires to secure for
themselves the continued availability of the Executive’s services; and

     WHEREAS, the Executive is willing to make his services available to the Employer on the same
terms and subject to the same conditions set forth herein.

     NOW THEREFORE, in consideration of the premises and the mutual agreements contained herein,
the parties hereby agree as follows:

     1. Employment. The Executive shall be employed as Executive Vice President of the Employer.
The Executive shall have such duties and responsibilities as are commensurate with such positions
and shall also render such other services and duties as may be reasonably assigned to him from time
to time by the Board of Directors of the Employer, consistent with his positions. The Executive
hereby accepts and agrees to such employment.

     Ownership Covenant. For so long as this agreement remains in effect, the Executive Agrees to
maintain an ownership position in the common stock of the Employer in an amount equal to no less
than two and one-half (2.5) times the initial Base Salary of the Executive as set forth below. As
of the Effective date, said minimum level of ownership shall be $487,500 (Four Hundred Eighty-Seven
Thousand Five Hundred Dollars). The Employer shall not provide any financing to the Executive for
the purpose of purchasing or carrying this investment.

     2. Term of Employment. The term of employment shall begin on January 1, 2005 (the
“Commencement Date”) and continue for five years; provided, however, that the term
shall be extended automatically for an additional period of two years at the end of the initial and
all subsequent two year terms, unless either the Executive or the Employer gives written notice to
the other at least 120 days prior to the end of any such term of such party’s election not to
extend the term of this Agreement. The last day on the last term or extended term of this
Agreement is referred to herein as the “Expiration Date.” All benefits and obligations of the
respective parties under this Agreement shall cease as of the Expiration Date unless specifically
provided for in this Agreement or related contract or plan.

     3. Compensation and Benefits.

     (a) Base Salary. For all services rendered by the Executive under this Agreement, the
Employer shall pay the Executive an annual base salary of $195,000 per year (the “Base Salary”).
The Base Salary shall be increased anytime thereafter at the discretion of the Board of Directors.
The Board of Directors and CEO shall review performance and the appropriateness of the Base Salary
no less often then annually. The Executive’s salary shall be payable in accordance with payroll
practices of Employer to the officers of the company.

     (b) Annual Cash Bonus. As additional compensation, the Executive shall be
eligible to receive an annual cash bonus from the Employer in an amount up to 60% of Base Salary as
based upon a performance evaluation by the Board of Directors based upon the “Executive Evaluation
Guide” maintained by the Compensation Committee and contemplates the following:

	 	(vi)  	   Regulatory Exams/ Audit Results;
	 
	 	(vii)  	   Asset Quality;
	 
	 	(viii)  	   Return on Equity;
	 
	 	(ix)  	   General Budget Performance;
	 
	 	(x)  	   Leadership and Governance.

 

 

The Bonus shall include a “Base” level of 35% (of Base Salary) predicated upon the above criteria
as well as an “Additional Amount” of up to 60%, in the aggregate, intended to measure and reward
exceptional performance in the measures of Return on Equity and Return on Assets, both at nominal
levels and in relation to peers.

     (c) Stock Options. As additional compensation, the Executive shall have the right to
receive stock options of the Employer in an amount equal to 7,000 shares issued at market and shall
vest and be exercisable in accordance with the terms of the Stock Option Plan adopted by the
Employer’s Board of Directors and shareholders. The stock option awards shall be predicated upon a
satisfactory performance. In the event the Employer discontinues or makes other material changes
in the reduction or increase in the general use of stock options as a means of compensation for
Directors, Executives and Officers of the Employer, then this benefit shall be adjusted
accordingly. Furthermore and provided it is true of all other participants in the Stock Option
Plan, the future awards shall not be adjusted for any stock splits or dividends. However, at the
time of any stock split or dividend, any previously issued awards shall be adjusted accordingly.

     (d) Benefits and Vacation. During the term of the Agreement, Executive shall be
entitled to participate in and receive the benefits of certain pension and other retirement benefit
plans, profit sharing, stock option, or other plans, benefits, and privileges given to executives
of Employer, to the extent commensurate with his then duties and responsibilities as determined by
the Board of Directors. The Executive shall also be entitled to four (4) weeks of vacation per
year. The Employer shall pay 100% of the Executive’s health insurance premiums for family
coverage and disability insurance as prescribed under the Employer sponsored health plan.

     (e) Business Expenses. The Employer shall reimburse Executive or otherwise provide
for or pay for all reasonable expenses incurred by Executive in furtherance of, or in connection
with the business of the Employer, including, but not by way of limitation, travel expenses, car
allowance of $ 600.00 per month, and memberships in professional organizations, and similar
benefits, subject to reasonable documentation and other limitations as may be established by the
Board of Directors.

     4. Termination and Termination Benefits.

     (a) Termination for Cause. The Executive’s employment may be terminated for Cause at
any time without further liability on the part of the Employer. Only the following shall
constitute “Cause” for such termination:

          (i) gross incompetence, gross negligence, willful misconduct in office or breach of material
fiduciary duty owed to the Employer;

          (ii) conviction of a felony, a crime of moral turpitude or commission of an act of
embezzlement or fraud against the Employer or any subsidiary or affiliate thereof;

          (iii) failure to cure a material breach by the Executive of a material term of this Agreement
after sixty (60) days written notice of the breach; or

          (iv) deliberate dishonesty of the Executive with respect to the Employer or any subsidiary or
affiliate thereof.

     (b) Termination as a Consequence of Death or Disability. If the Executive dies or
becomes disabled while employed by Employer, Executive and/or his estate shall be entitled to the
following:

          (i) Employer shall pay Executive or his estate commission and bonus payments accrued by
Executive prior to his death or disability, regardless of their closing date, together with
information indicating the manner and basis upon which such commissions and bonuses were
calculated; and

          (ii) Employer shall pay Executive or his estate any bonuses that would have been paid to
Executive for a period of six (6) months following his death or disability, together with
information indicating the manner and basis upon which such bonuses were calculated.

For purposes of this Section 4, Executive is “disabled” if he is unable to perform substantially
all of his duties and responsibilities hereunder, which disability lasts for an uninterrupted
period of at least 180 days or a total of at least 240 days in any calendar year (as determined by
the opinion of an independent physician selected by the Board of Directors).

 

 

     (c) Termination by the Executive. The Executive may terminate his employment
hereunder with or without Good Reason (as defined below) by written notice to the Board of
Directors of the Employer effective thirty (30) days after receipt of such notice by the Board of
Directors. In the event the Executive terminates his employment hereunder for Good Reason, the
Executive shall be entitled to the benefits specified in Section 4(d) and the Executive shall not
be required to render any further services to the Employer. Upon termination of employment by the
Executive without Good Reason, the Executive shall be entitled to no further compensation or
benefits under this Agreement. “Good Reason” includes:

     (i) the failure by the Employer to comply with the provisions of Section 3 or material breach
by the Employer of any other provision of this Agreement, which failure or breach shall continue
for more than sixty (60) days after the date on which the Board of Directors of the Employer
receives a written notice;

     (ii) the assignment of the Executive without his consent to a position, responsibilities, or
duties of a materially lesser status or degree of responsibility than his position,
responsibilities, or duties at the Commencement Date;

     (iii) the requirement by the Employer that the Executive be based at any office location that
is greater than thirty (30) miles from Executive’s current office location;

     (vi) actions on the part of the Employer that are designed to or have the effect of making it
impossible for Executive to or materially impair Executive’s ability to perform his duties and
responsibilities hereunder;

     (vii) any Change of Control (as defined in Section 14) of Access.

A transaction described in clause (v) above shall only be deemed to be “Good Reason” if the
Executive terminates his employment by written notice to the Board of Directors of the Employer
within 180 days after the occurrence thereof.

     (d) Certain Termination Benefits. In the event of termination by the Employer without
Cause, or by the Executive with Good Reason, the Executive shall be entitled to the following
benefits:

     (i) A lump sum payment equal to 1.25 multiplied times the total of the Executive’s trailing
Base and Cash Bonus compensation as paid over the 12 months preceding the date of termination;

     (ii) For the period subsequent to the date of termination until the Expiration Date, the
Executive shall continue to receive medical, life and liability insurance benefits pursuant to
plans made available by the Employer to its employees at the expense of the Employer to
substantially the same extent the Executive received such benefits on the date of termination (it
being acknowledged that the post-termination plans may be different from the plans in effect on the
date of termination). For purposes of application of such benefits, the Executive shall be treated
as if he had remained in the employ of the Employer, with an annual Base Salary at the rate in
effect on the date of termination.

     (iii) The Employer’s obligation to provide the Executive with medical and other insurance
benefits pursuant to Section 4(d)(iv) hereof shall terminate with respect to each particular type
of insurance in the event the Executive becomes employed and has made available to him in
connection with such employment that particular type of insurance, so long as such insurance is
substantially similar to the insurance provided by the Employer.

All benefits and obligations of the respective parties under this Agreement shall cease as of the
Termination Date unless specifically provided for in this Agreement or related contract or plan.

     5. Noncompetition and Confidential Information.

     (a) Noncompetition. During the initial term and any successive term of this Agreement
and for one year following the termination or cessation of his employment for any reason other than
a termination by Employer without Cause or a termination by Executive for Good Reason (other than a
termination by the Executive pursuant to Sections 4(c)(v) and (vi) in which case this Section 6(a)
will apply) (the “Restricted Period”), Executive will not, directly or indirectly, whether as
owner, partner, shareholder (except as a passive investor owning less than 5% of any class of
voting securities of any entity), consultant, agency, executive, co-venturer or otherwise, or
through any Person compete with Employer’s business (as defined below) in any location within a ten
(10) mile radius of an office in which the Employer is conducting business at the time of the
termination or cessation. In addition, during the Restricted Period, Executive will not (i) hire
or attempt to hire any officer or employee of Employer or encourage any such officer or employee to
terminate his or her relationship with Employer, (ii) solicit or encourage any customer of Employer
to terminate its relationship with Employer, or (iii) conduct with any Person any business or
activity which such Person conducts with Employer, (iv) organize a business that will engage in any
business

 

 

activity of the employer’s business. For purposes of this Employment Agreement, the
Employer’s business shall be defined to include retail mortgage originations or the management of a
retail mortgage origination operation, loans and commercial and retail banking.

     (b) Confidential Information. Executive acknowledges and agrees that all Confidential
Information (as defined below) and all physical manifestations thereof, are confidential to and
shall be and remain the sole and exclusive property of Employer. Upon request by Employer, and in
any event upon termination of Executive’s employment with Employer for any reason, Executive shall
promptly deliver to Employer all property belonging to Employer including, without limitation, all
Confidential Information (and all manifestations thereof then in his custody, control or
possession). Executive agrees that during the term of this contract with Employer and for a period
of two years following the termination of such employment, Executive shall not disclose or make
available, directly or indirectly, any Confidential Information to any Person, except in the proper
performance of his duties and responsibilities hereunder, with the prior written consent of the
Board of Directors of Employer, or as required by law.

     (c) Definition of Confidential Information. For purposes of this Agreement,
“Confidential Information” shall mean any and all data and information relating to the business of
Employer and its affiliated companies, which (i) is disclosed to Executive during the course of his
employment with Employer, and (ii) has value to Employer and is not generally known by its
competitors. Confidential Information shall not include any data or information that (i) has been
voluntarily disclosed to the public by Employer or has become generally known to the public (except
where such public disclosure has been made by or through Executive or by a third person or entity
with the knowledge of Executive in violation of this Agreement), (ii) has been independently
developed and disclosed by parties other than Executive or Employer to Executive or the public
generally without breach of any obligation of confidentiality by any such person running directly
or indirectly to Employer, or (iii) otherwise enters the public domain through lawful means.
Confidential information may include, but is not limited to information relating to the financial
affairs, customers, products, processes, services, executives, Executive compensation, and
marketing of Employer and its affiliated companies, or public information that has been assembled
and analyzed by Employer or its affiliated companies so as to make its use unique and beneficial to
Employer or its affiliated companies and not available to the public in the manner, format or
methods developed by Employer or its affiliated companies.

     (d) Specific Performance. The Executive recognizes and agrees that the violation of
Section 6(a) or Section 6(b) (collectively, the “Restrictive Covenants”) may not be reasonably or
adequately compensated in damages and that, in addition to any other relief to which the Employer
may be entitled by reason of such violation, it shall also be entitled to permanent and temporary
injunctive and equitable relief and, pending determination of any dispute with respect to such
violation, no bond or security shall be required in connection therewith.

     (e) Definition of “Person”. For all purposes of this Section 6, the term “Person”
shall mean an individual, a corporation, a limited liability company, an association, a
partnership, an estate, a trust and any other entity or organization.

All benefits and obligations of the respective parties under this Agreement shall cease as of the
Termination Date unless specifically provided for in this Agreement or related contract or plan.

     6. Withholding. All payments required to be made by the Employer hereunder to the Executive
shall be subject to the withholding of such amounts, if any, relating to tax and other payroll
deductions as the Employer may reasonably determine should be withheld pursuant to any applicable
law or regulation.

     7. Assignability. Subject to Section 4(c) hereof, the Employer may assign this Agreement and
its rights and obligations hereunder in whole, but not in part, to any corporation, company or
other entity with or into which the Employer may hereafter merge or consolidate or to which the
employer may transfer all or substantially all of its assets, if in any such case said corporation,
company or other entity shall by operation of law or expressly in writing assume all obligations of
the Employer hereunder as fully as if it had been originally made a party hereto, but may not
otherwise assign this Agreement or their rights and obligations hereunder. The Executive may not
assign or transfer this Agreement or any rights or obligations hereunder.

     8. 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 sent via
regular mail or certified mail, facsimile, or overnight delivery addressed to the respective
addresses set forth below:

To the Employer: Chairman, Compensation Committee

Access National Bank

 

 

1800 Robert Fulton Drive Suite 310

Reston, Virginia 20191

Copy to:Jacob A. Lutz, III, Esquire

Troutman Sanders L.L.P.

P.O. Box 1122

1111 East Main Street

Richmond, Virginia 23219

To the Executive: Robert C. Shoemaker

Access National Bank

1800 Robert Fulton Drive Suite 310

Reston, Virginia 20191

     9. Amendment; Waiver. No provisions of this Agreement may be modified, waived or discharged
unless such waiver, modification or discharge is agreed to in writing signed by the Executive and
such officer or officers as may be specifically designated by the Boards of Directors of the
Employer to sign on their behalf. No waiver by any party hereto at any time of any breach by any
party hereto 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.

     10. Governing Law. This Agreement shall be governed by and construed in accordance with the
laws of the Commonwealth of Virginia.

     11. Nature of Obligations. Nothing contained herein shall create or require the Employer to
create a trust of any kind to fund any benefits which may be payable hereunder, and to the extent
that the Executive acquires a right to receive benefits from the Employer hereunder, such right
shall be no greater than the right of any unsecured general creditor of the Employer.

     12. Change in Control. For all purposes of this Agreement, a “Change of Control” shall mean:

     (a) The acquisition by an individual, entity or group (within the meaning of Section 13(d)(3)
or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) (a “Person”),
of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of
20% or more of the then outstanding shares of common stock of Access (the “Outstanding Access
Common Stock”); provided, however, that the following acquisitions shall not constitute a Change of
Control; (i) any acquisition directly from Access (excluding an acquisition by virtue of the
exercise of a conversion privilege), (ii) any acquisition by any employee benefit plan (or related
trust) sponsored or maintained by Access, or (iii) any acquisition by any corporation pursuant to a
transaction described in subsection (c) of this Section 14 if, upon consummation of the
transaction, all of the conditions described in subsection (c) are satisfied;

     (b) Individuals who, as of the date hereof, constitute the Board (the “Incumbent Board”) cease
for any reason to constitute a majority of such Board; provided, however, that any individual
becoming a director subsequent to the date hereof whose election, or nomination for election by
Access’s shareholders, was approved by a vote of at least two-thirds of the directors then
comprising the Incumbent Board shall be considered as though such individual were a member of the
Incumbent Board, but excluding for this purpose any such individual whose initial assumption of
office occurs as a result of either an actual or threatened election contest (as such terms are
used in Rule 14a-11 of Regulation 14A promulgated under the Exchange Act) or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or

     (c) Approval by the shareholders of Access of either (1) a reorganization, merger, share
exchange or consolidation of Access by, with or into any other corporation or (2) the sale or
disposition of all or substantially all of the assets of Access (any of the foregoing transactions,
a “Reorganization”); provided, however, that approval by the shareholders of a Reorganization shall
not constitute a Change in Control if, upon consummation of the Reorganization, each of the
following conditions is satisfied:

(i) more than 60% of the then outstanding shares of common stock of the corporation resulting from
the Reorganization (including the transferee in the case of a sale or disposition of assets) is
then beneficially owned, directly or indirectly, by all or substantially all of the individuals and
entities who were beneficial owners of the Outstanding Access Common Stock

 

 

immediately prior to the Reorganization in substantially the same proportions as their ownership,
immediately prior to such transaction, of the Access Company Common Stock;

(ii) no Person (excluding any employee benefit plan (or related trust) of Access) beneficially
owns, directly or indirectly, 20% or more of either (1) the then outstanding shares of common stock
of the corporation resulting from the Reorganization (including the transferee in the case of a
sale or disposition of assets), or (2) the combined voting power of the then outstanding voting
securities of such corporation entitled to vote generally in the election of directors; and

(iii) at least a majority of the members of the board of directors of the corporation resulting
from the Reorganization (including the transferee in the case of a sale or disposition of assets)
were members of the Incumbent Board at the time of the execution of the initial agreement providing
for the Reorganization.

     13. Arbitration. If any dispute between Employer and Executive shall arise under this
agreement, the Executive or his estate will select, within 5 days, a nationally or regionally
recognized independent accounting firm mutually acceptable to each party (the agreement to the
selection of which shall not be unreasonably withheld) to resolve any such differences (the
“Arbitrator”). The Arbitrator shall settle any remaining disputed items by selecting the position
of the party that the Arbitrator determines, in its sole discretion, to be the most correct, and
the fees and expenses of such Arbitrator shall be borne by the party whose position was not
selected by the Arbitrator. The determination of the Arbitrator shall be set forth in writing,
delivered to each of the Employer and the Executive or his estate and shall be final and binding on
the parties hereto.

     14. No Mitigation. The Executive shall not be required to mitigate the amount of any benefits
hereunder by seeking other employment or otherwise, nor shall the amount of any such benefits be
reduced by any compensation earned by the Executive as a result of employment by another employer
after the Date of Termination or otherwise.

     15. Headings. The section headings contained in this Agreement are for reference purposes
only and shall not affect in any way the meaning or interpretation of this Agreement.

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

     17. Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original but all of which together will constitute one and the same
instrument.

     IN WITNESS WHEREOF, this Agreement has been executed as of the date first above written.

     ACCESS NATIONAL BANK

	 	 	 	 	 	 	 	 	 
	 	 	By:                                                                                	 	 
	

	 	 	 	 	 	Director	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	EXECUTIVE	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	By:                                                                                	 	 
	

	 	 	 	 	 	Robert C. Shoemakerexv10w4

 

Exhibit 10.4

Employment Agreement between Access National Mortgage Corporation and Dean Hackemer

     THIS EMPLOYMENT AGREEMENT (this “Agreement”), dated this 29th day of March 2005, between
Access National Mortgage Corporation (“ANMC”), a Virginia corporation and direct wholly-owned
subsidiary of Access National Bank, a national banking association (“Access”) (collectively with
ANMC, the “Employer”) and Dean Hackemer (the “Executive”).

WITNESSETH

     WHEREAS, the Executive has heretofore been employed, and currently is rendering services to
ANMC, as President;

     WHEREAS, the Employer considers the continued availability of the Executive’s services to be
important to the management and conduct of the Employer’s business and desire to secure for
themselves the continued availability of the Executive’s services; and

     WHEREAS, the Executive is willing to make his services available to the Employer and Access on
the terms and subject to the conditions set forth herein.

     NOW THEREFORE, in consideration of the premises and the mutual agreements herein contained,
the parties hereby agree as follows:

     1. Employment. The Executive shall be employed as President of ANMC and Senior Vice President
of Access. The Executive shall have such duties and responsibilities as are commensurate with such
positions and shall also render such other services and duties as may be reasonably assigned to him
from time to time by the Employer, consistent with his positions. The Executive hereby accepts and
agrees to such employment.

     2. Term of Employment. The term of employment shall begin on the effective date (the
“Commencement Date”) and continue for three years; provided, however, that the term
shall be extended automatically for an additional period of one year at the end of the initial
three year term and all subsequent one-year terms, unless either the Executive or the Employer
gives written notice to the other at least 120 days prior to the end of any such term of such
party’s election not to extend the term of this Agreement. The last day of the last term or
extended term of this Agreement is referred to herein as the “Expiration Date.” Commencement Date
is January 1, 2005.

     3. Compensation and Benefits.

     (a) Base Salary. For all services rendered by the Executive under this Agreement, the
Employer shall pay the Executive an annual base salary of $250,000 (the “Base Salary”), which may
be increased each year by an amount to be determined by the Board of Directors. The Executive’s
salary shall be payable in accordance with payroll practices of Employer applicable to officers of
the company.

     (b) Annual Bonus. As additional compensation, the Employer shall pay to the Executive
an annual bonus of up to 100% of the Base Salary, in cash or other form of compensation as mutually
agreed. The bonus shall be paid annually upon the final close out of the Fiscal Year End Audit for
the applicable Fiscal Year for which performance is being evaluated. In no event later then March
31st of the year following the Fiscal Year, the Bonus shall be set by the Compensation
Committee established by the Access Board of Directors. The amount of the Bonus shall be
determined substantially within the framework of the Executive Performance Evaluation as attached
as Exhibit A and is further contingent on satisfactory performance by the Executive as evaluated by
the ANM Board of Directors and the Access CEO. The precise form and content of the Executive
Performance Evaluation may be changed during the term of this Agreement by mutual consent.

     (d) Benefits and Vacation. During the term of the Agreement, Executive shall be
entitled to participate in and receive the benefits, sick leave, or certain pension or other
retirement benefit plan, profit sharing, stock option, or other plans, benefits and privileges
given to executives of Employer or Access, to the extent commensurate with his then duties and
responsibilities as fixed by the Board of Directors of ANMC or Access CEO including, but not
limited to, family paid health insurance. The Executive shall also be entitled to four (4) weeks
of vacation per year.

     (e) Business Expenses. The Employer shall reimburse Executive or otherwise provide
for or pay for all

 

 

reasonable expenses incurred by Executive in furtherance of, or in connection with the
business of the Employer, including, but not by way of limitation, travel expenses, car allowance
of $500 per month, and memberships in professional organizations, subject to such reasonable
documentation and other limitations as may be established by the Board of Directors of the
Employer.

4. Termination and Termination Benefits.

     (a) Termination for Cause. The Executive’s employment may be terminated for Cause at
any time without further liability on the part of the Employer. Only the following shall
constitute “Cause” for such termination:

          (i) gross incompetence, gross negligence, willful misconduct in office or breach of material
fiduciary duty owed to the Employer;

          (ii) conviction of a felony, a crime of moral turpitude or commission of an act of
embezzlement or fraud against the Employer or any subsidiary or affiliate thereof;

          (iii) failure to cure a material breach by the Executive of a material term of this Agreement
after sixty (60) days written notice of the breach;

          (iv) deliberate dishonesty of the Executive with respect to the Employer or any subsidiary or
affiliate thereof; or

          (v) deliberate violation of employer policy or banking regulation.

     (b) Termination as a Consequence of Death or Disability. If the Executive dies or
becomes disabled while employed by Employer, Executive and/or his estate shall be entitled to all
compensation accrued by Executive prior to his death or disability, including a pro rata portion of
the Annual Bonus assessed as of the date of Termination.

For purposes of this Section 4, Executive is “disabled” if he is unable to perform substantially
all of his duties and responsibilities hereunder, which disability lasts for an uninterrupted
period of at least 180 days or a total of at least 240 days in any calendar year (as determined by
the opinion of an independent physician mutually agreed upon by the employee and Board of Directors
of Access).

     (c) Termination by the Executive. The Executive may terminate his employment
hereunder with or without Good Reason (as defined below) by written notice to the Board of
Directors of the Employer effective thirty (30) days after receipt of such notice by the Board of
Directors. In the event the Executive terminates his employment hereunder for Good Reason, the
Executive shall be entitled to the benefits specified in Section 4(d) and the Executive shall not
be required to render any further services to the Employer. Upon termination of employment by the
Executive without Good Reason, the Executive shall be entitled to no further compensation or
benefits under this Agreement. “Good Reason” includes:

     (i) the failure by the Employer to comply with the provisions of Section 3 or material breach
by the Employer of any other provision of this Agreement, which failure or breach shall continue
for more than sixty (60) days after the date on which the Board of Directors of the Employer
receives a written notice;

     (ii) the assignment of the Executive without his consent to a position, responsibilities, or
duties of a materially lesser status or degree of responsibility than his position,
responsibilities, or duties at the Commencement Date;

     (iii) the requirement by the Employer that the Executive be based at any office location that
is greater than fifty (50) miles from Executive’s current office location;

     (viii) actions on the part of the Employer that are designed to or have the effect of making
it impossible for Executive to or materially impair Executive’s ability to perform his duties and
responsibilities hereunder;

     (ix) any transaction or series of related transactions in which the Employer ceases to be a
direct or indirect wholly-owned subsidiary of Access; or

     (x) any Change of Control (as defined in Section 14) of Access.

A transaction described in clause (v) or (vi) above shall only be deemed to be “Good Reason” if the
Executive terminates his

 

 

employment by written notice to the Board of Directors of the Employer within 180 days after the
occurrence thereof.

     (d) Certain Termination Benefits. In the event of termination by the Employer without
Cause, or by the Executive with Good Reason, the Executive shall be entitled to the following
benefits:

     (i) For the period subsequent to the date of termination until the Expiration Date, Employer
shall continue to pay the Executive his Base Salary in effect on the date of termination, such
payments to be made on the same periodic dates as salary payments would have been made to the
Executive had this employment not been terminated, unless the Employer elects to make a lump sum
severance payment in an equivalent amount within thirty (30) days of the date of termination or the
Executive requests a lump sum payment ; provided, however, that the Employer shall be required to
make a lump sum severance payment in an equivalent amount within thirty (30) days of the date of
termination in the event the Executive terminates his employment for Good Reason as a result of a
Change of Control.

     (ii) For the period subsequent to the date of termination until the Expiration Date, Employer
shall pay Executive any bonuses that would have been paid to Executive from the date of termination
to the Expiration Date, together with information indicating the manner and basis upon which such
bonuses were calculated.

     (iii) For the period subsequent to the date of termination until the Expiration Date, the
Executive shall continue to receive medical and life insurance benefits pursuant to plans made
available by the Employer to its employees at the expense of the Employer to substantially the same
extent the Executive received such benefits on the date of termination (it being acknowledged that
the post-termination plans may be different from the plans in effect on the date of termination).
For purposes of application of such benefits, the Executive shall be treated as if he had remained
in the employ of the Employer, with an annual Base Salary plus commission and bonus at the rate in
effect on the date of termination.

     (iv) The Employer’s obligation to provide the Executive with medical and other insurance
benefits pursuant to Section 4(d)(iii) hereof shall terminate with respect to each particular type
of insurance in the event the Executive becomes employed and has made available to him in
connection with such employment that particular type of insurance, so long as such insurance is
substantially similar to the insurance provided by the Employer.

     5. Section Intentionally Omitted

     6. Non-competition and Confidential Information.

     (a) Non-competition and Non-solicitation. During the initial term and any successive
term of this Agreement and for six months following the termination or cessation of his employment
for any reason other than a termination by Employer without Cause or a termination by Executive for
Good Reason (other than a termination by the Executive pursuant to Sections 4(c) (v) and (vi) in
which case this Section 6(a) will apply), but only to the extent of the lesser of six months or the
remaining term of this contract (the “Restricted Period”), Executive will not, directly or
indirectly, whether as owner, partner, shareholder (except as a passive investor owning less than
5% of any class of voting securities of any entity), consultant, agency, executive, co-venturer or
otherwise, or through any Person compete with Employer’s business (as defined below) in any
location within a fifty (50) mile radius of an office in which the Employer is conducting business
at the time of the termination or cessation. In addition, during the Restricted Period, Executive
will not (i) hire or attempt to hire any officer or employee of Employer or encourage any such
officer or employee to terminate his or her relationship with Employer, (ii) solicit or encourage
any customer of Employer to terminate its relationship with Employer, (iii) organize a business
that will engage in any business activity of the employer’s business. Employer Business will be
defined as origination of residential mortgages and commercial banking.

     (b) Confidential Information. Executive acknowledges and agrees that all Confidential
Information (as defined below) and all physical manifestations thereof, are confidential to and
shall be and remain the sole and exclusive property of Employer. Upon request by Employer, and in
any event upon termination of Executive’s employment with Employer for any reason, Executive shall
promptly deliver to Employer all property belonging to Employer including, without limitation, all
Confidential Information (and all manifestations thereof then in his custody, control or
possession). Executive agrees that during the term of this contract with Employer and for a period
of two years following the termination of such employment, Executive shall not disclose or make
available, directly or indirectly, any Confidential Information to any Person, except in the proper
performance of his duties and responsibilities hereunder, without the prior written consent of the
Board of Directors of Employer, or as required by law.

     (c) Definition of Confidential Information. For purposes of this Agreement,
“Confidential Information” shall mean any and all data and information relating to the business of
Employer and its affiliated companies, which (i) is disclosed

 

 

to Executive during the course of his employment with Employer, and (ii) has value to Employer
and is not generally known by its competitors. Confidential Information shall not include any data
or information that (i) has been voluntarily disclosed to the public by Employer or has become
generally known to the public (except where such public disclosure has been made by or through
Executive or by a third person or entity with the knowledge of Executive in violation of this
Agreement), (ii) has been independently developed and disclosed by parties other than Executive or
Employer to Executive or the public generally without breach of any obligation of confidentiality
by any such person running directly or indirectly to Employer, or (iii) otherwise enters the public
domain through lawful means. Confidential information may include, but is not limited to
information relating to the financial affairs, customers, products, processes, services,
executives, Executive compensation, and marketing of Employer and its affiliated companies, or
public information that has been assembled and analyzed by Employer or its affiliated companies so
as to make its use unique and beneficial to Employer or its affiliated companies and not available
to the public in the manner, format or methods developed by Employer or its affiliated companies.

     (d) Violation of Restrictive Covenants. The Executive recognizes and agrees that the
violation of Section 6(a) or Section 6(b) (collectively, the “Restrictive Covenants”) may not be
reasonably or adequately compensated in damages and that, the employer may be entitled to
additional remedies as provided for under applicable law.

     (e) Definition of “Person”. For all purposes of this Section 6, the term “Person”
shall mean an individual, a corporation, a limited liability company, an association, a
partnership, an estate, a trust and any other entity or organization.

     7. Withholding. All payments required to be made by the Employer hereunder to the Executive
shall be subject to the withholding of such amounts, if any, relating to tax and other payroll
deductions as the Employer may reasonably determine should be withheld pursuant to any applicable
law or regulation.

     8. Certain Damages. If Executive terminates his employment under this Agreement without Good
Reason (as defined in Section 4(c)) or if the Employer terminates such employment with Cause (as
defined in Section 4(a)), then notwithstanding anything to the contrary in this or any other
agreement between the parties: (i) Executive shall forfeit all rights to any benefits under this
Agreement except as required by law to be granted to such a former employee; (ii) Executive shall
continue to abide by the provisions of Section 6; and (iii) Executive shall pay within fifteen (15)
days of such termination the Damage Amount. For purposes of this Agreement, the parties agree
Executive’s continued employment under the terms of this Agreement is essential to the Employer,
and the damages from his termination as described in this Section 8 would be difficult to quantify.
The parties agree, therefore, that the Damage Amount shall equal $50,000 during the first year,
$40,000 during the second year, and $30,000 during the third year. No Damage Amount will be
payable after the third anniversary date of this Employment Agreement. Either party may elect to
pay the Damage Amount through offset, in the case of the Employer, or through cancellation, in the
case of Executive, of any note payable to the Executive from the Employer. If such note does not
bear interest, the present value of such offset or cancellation shall be determined using a 5.00%
discount factor. The parties agree that this amount to be paid will be the entire damage for such
termination, although it will not affect the Employer’s other rights against the Executive for,
among other things, breaches of Section 6. The parties agree that the provisions of this Section 8
are not a penalty, but are a good faith attempt to ascertain the amount of damage here described.

     9. Assignability. Subject to Section 4(c) hereof, the Employer may assign this Agreement and
its rights and obligations hereunder in whole, but not in part, to any corporation, company or
other entity with or into which the Employer may hereafter merge or consolidate or to which the
employer may transfer all or substantially all of its assets, if in any such case said corporation,
company or other entity shall by operation of law or expressly in writing assume all obligations of
the Employer hereunder as fully as if it had been originally made a party hereto, but may not
otherwise assign this Agreement or their rights and obligations hereunder. The Executive may not
assign or transfer this Agreement or any rights or obligations hereunder.

     10. 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
sent via regular mail or certified mail, facsimile, or overnight delivery addressed to the
respective addresses set forth below:

To the Employer:

Michael W. Clarke, President

Access National Bank

1800 Robert Fulton Drive

Reston, Virginia 20191

To the Executive:

 

 

Dean Hackemer

Access National Mortgage Corporation

1800 Robert Fulton Drive

Reston, Virginia 20191

     11. Amendment; Waiver. No provisions of this Agreement may be modified, waived or discharged
unless such waiver, modification or discharge is agreed to in writing signed by the Executive and
such officer or officers as may be specifically designated by the Boards of Directors of the
Employer to sign on their behalf. No waiver by any party hereto at any time of any breach by any
party hereto 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.

     12. Governing Law. This Agreement shall be governed by and construed in accordance with the
laws of the Commonwealth of Virginia.

     13. Nature of Obligations. Nothing contained herein shall create or require the Employer to
create a trust of any kind to fund any benefits which may be payable hereunder, and to the extent
that the Executive acquires a right to receive benefits from the Employer hereunder, such right
shall be no greater than the right of any unsecured general creditor of the Employer.

     14. Changes in Control. For all purposes of this Agreement, a “Change of Control” shall mean:

     (a) The acquisition by an individual, entity or group (within the meaning of Section 13(d)(3)
or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) (a “Person”),
of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of
20% or more of the then outstanding shares of common stock of Access (the “Outstanding Access
Common Stock”); provided, however, that the following acquisitions shall not constitute a Change of
Control; (i) any acquisition directly from Access (excluding an acquisition by virtue of the
exercise of a conversion privilege), (ii) any acquisition by any employee benefit plan (or related
trust) sponsored or maintained by Access, or (iii) any acquisition by any corporation pursuant to a
transaction described in subsection (c) of this Section 14 if, upon consummation of the
transaction, all of the conditions described in subsection (c) are satisfied;

     (b) Individuals who, as of the date hereof, constitute the Board (the “Incumbent Board”) cease
for any reason to constitute a majority of such Board; provided, however, that any individual
becoming a director subsequent to the date hereof whose election, or nomination for election by
Access’s shareholders, was approved by a vote of at least two-thirds of the directors then
comprising the Incumbent Board shall be considered as though such individual were a member of the
Incumbent Board, but excluding for this purpose any such individual whose initial assumption of
office occurs as a result of either an actual or threatened election contest (as such terms are
used in Rule 14a-11 of Regulation 14A promulgated under the Exchange Act) or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or

     (c) Approval by the shareholders of Access of either (1) a reorganization, merger, share
exchange or consolidation of Access by, with or into any other corporation or (2) the sale or
disposition of all or substantially all of the assets of Access (any of the foregoing transactions,
a “Reorganization”); provided, however, that approval by the shareholders of a Reorganization shall
not constitute a Change in Control if, upon consummation of the Reorganization, each of the
following conditions is satisfied:

(i) more than 60% of the then outstanding shares of common stock of the corporation resulting from
the Reorganization (including the transferee in the case of a sale or disposition of assets) is
then beneficially owned, directly or indirectly, by all or substantially all of the individuals and
entities who were beneficial owners of the Outstanding Access Common Stock immediately prior to the
Reorganization in substantially the same proportions as their ownership, immediately prior to such
transaction, of the Access Company Common Stock;

(ii) no Person (excluding any employee benefit plan (or related trust) of Access) beneficially
owns, directly or indirectly, 20% or more of either (1) the then outstanding shares of common stock
of the corporation resulting from the Reorganization (including the transferee in the case of a
sale or disposition of assets), or (2) the combined voting power of the then outstanding voting
securities of such corporation entitled to vote generally in the election of directors; and

 

 

(iii) at least a majority of the members of the board of directors of the corporation resulting
from the Reorganization (including the transferee in the case of a sale or disposition of assets)
were members of the Incumbent Board at the time of the execution of the initial agreement providing
for the Reorganization.

     15. Arbitration. If any dispute between Employer and Executive shall arise under this
agreement, the parties agree to arbitrate the dispute pursuant to the rules for the resolution of
employment disputes of the American Arbitration Association. The Arbitrator shall settle any such
disputes by selecting the position of the party that the Arbitrator determines, in its sole
discretion, to be the most correct. The Arbitrator’s fees and expenses shall be divided equally
between the parties, and each party shall bear their own costs. The determination of the
Arbitrator shall be set forth in writing, delivered to the Employer and the Executive, or his
estate, and shall be final and binding on the parties.

     16. No Mitigation. The Executive shall not be required to mitigate the amount of any benefits
hereunder by seeking other employment or otherwise, nor shall the amount of any such benefits be
reduced by any compensation earned by the Executive as a result of employment by another employer
after the Date of Termination or otherwise.

     17. Headings. The section headings contained in this Agreement are for reference purposes
only and shall not affect in any way the meaning or interpretation of this Agreement.

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

     19. Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original but all of which together will constitute one and the same
instrument.

     IN WITNESS WHEREOF, this Agreement has been executed as of the date first above written.

	 	 	 	 	 	 	 
	 	 	ACCESS NATIONAL MORTGAGE CORPORATION
	 
	 	 	 	 	 	 
	 	 	By:                                                                                	 	 
	

	 	 	 	Michael W. Clarke, Chairman	 	 
	 
	 	 	 	 	 	 
	 	 	ACCESS NATIONAL BANK	 	 
	 
	 	 	 	 	 	 
	 	 	By:                                                                                	 	 
	

	 	 	 	Michael W. Clarke, President	 	 
	 
	 	 	 	 	 	 
	 	 	EXECUTIVE	 	 
	 
	 	 	 	 	 	 
	 	 	By:                                                                                	 	 
	

	 	 	 	Dean Hackemer

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