Document:

Exhibit 10.30

THIS AGREEMENT dated the 27th day of October 2005 is made BETWEEN:-

(1)  NARROWSTEP LIMITED (registered number 4412126) whose registered office is
     at 60 Parsons Green Lane, London SW6 4HU ("the Employer"); and

(2)  Steve Beaumont (the "Employee") of 35 Van Alen Building, Marine Parade,
     Brighton East Sussex BN2 1WP.

IT IS AGREED as follows:-

1.   DEFINITIONS

1.1. In this Agreement the following words have the following meanings:-

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<S>                                     <C>
"Board"                                 The appointed Directors of Narrowstep Inc

"Business"                              the business of and any other trade or commercial
                                        activity of the Employer and the other Group
                                        Companies with which the Employee is concerned or
                                        involved to any material extent during his employment
                                        or which the Employer or any Group Company shall at
                                        the Termination Date have determined to carry on in
                                        the immediate or foreseeable future.

"Confidential Information"              information relating to the Business, products,
                                        affairs and finances of the Company or of any Group
                                        Company or of any of its or their suppliers, clients
                                        or customers that is now or hereafter confidential to
                                        it or to them or treated by it or them as such and
                                        trade secrets (including, without limitation,
                                        technical data, intellectual property rights as
                                        defined hereunder, processes, inventions, programming
                                        code both compiled and uncompiled, and know-how)
                                        relating to the business of the Company or of any
                                        Group Company or of any of its or their suppliers,
                                        clients or customers.

"Connected Person"                      with reference to any person, any person who is a
                                        connected person within the meaning of section 839 of
                                        the Income and Corporation Act 1988.

"Customer"                              any person:-
                                        with whom the Employee has dealt in relation to
                                        Restricted Products or Restricted Services or of whom
                                        or he has knowledge
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<S>                                     <C>
                                        by virtue of his duties under this Agreement in the
                                        12 months preceding the Termination Date; and

                                        b) who shall at the Termination Date be negotiating
                                        with the Employer or any Group Company for the supply
                                        of any Restricted Products or the provision of any
                                        Restricted Services;

                                        c) to whom the Employer or any Group Company shall at
                                        any time during the period of 12 months prior to the
                                        Termination Date have supplied any Restricted
                                        Products or Restricted Services.

"Effective Date"                        1st November 2005

"Employment"                            the employment created as a result of this agreement.

"Group Company"                         any of:-
                                        a) the employer;

                                        b) any holding company for the time being of the
                                        Employer;

                                        c) any subsidiary for the time being of the Employer
                                        or any such holding company.

"Intellectual Property Rights"          all inventions, patents, registered designs,
                                        know-how, trade marks and service marks (whether
                                        registered or not), any trade, brand or business
                                        names and any distinctive sounds used to
                                        differentiate the goods and services of a business,
                                        domain names, utility models, copyright (including
                                        all such rights in computer software, information,
                                        know-how, techniques and records and any databases),
                                        moral rights and the goodwill attaching to any of
                                        them and applications for any of them and any rights
                                        or forms of protection of a similar nature and having
                                        equivalent or similar effect to any of them which may
                                        subsist anywhere in the world.

"Intellectual Property Material"        inventions, discoveries, processes, copyright works,
                                        designs, drawings, computer programs and codes and
                                        all other forms of data or records, procedures or
                                        systems in respect of which, in any case,
                                        Intellectual Property Rights subsist (or are
</TABLE>
<PAGE>

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<S>                                     <C>
                                        capable of subsisting, subject to the making of the
                                        appropriate application or registration) and all
                                        other similar or analogous items.

"Material Interest"                     a) the holding of any position as director, officer,
                                        employee, consultant, adviser, partner, principal or
                                        agent;

                                        b) the direct or indirect control or ownership
                                        (whether jointly or alone) of any shares (or voting
                                        rights attached to them) or debentures (except for
                                        the ownership for investment purposes only of not
                                        more than 3% of the issued ordinary shares of any
                                        company whose shares are listed on any recognised
                                        investment exchange);

                                        c) the direct or indirect provision of financial
                                        assistance.

"recognised investment exchange"        shall have the meaning given by section 207 of the
                                        Financial Services Act 1986.

"Restricted Period"                     a period of 12 months commencing on the Termination
                                        Date.

"Restricted Products"                   any products of a kind which have been during the
                                        period of 12 months prior to the Termination Date
                                        dealt in, produced, marketed or sold by the Employer
                                        or Group Company in the ordinary course of business.

"Restricted Services"                   any services of a kind which have been in the period
                                        of 12 months prior to the Termination Date provided
                                        by the Employer or Group Company in the ordinary
                                        course of business.

"SSP"                                   statutory sick pay.

"Supplier"                              any person who shall at the Termination Date be
                                        negotiating with the Employer or Group Company to
                                        supply any Restricted Products or provide any
                                        Restricted Services or from whom the Employer or
                                        Group Company shall at any time during the period of
                                        one year prior to the Termination Date have acquired
                                        any Restricted Products or any Restricted Services
                                        including any person with whom the Employer or Group
                                        Company placed any
</TABLE>
<PAGE>

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<S>                                     <C>
                                        order or entered into any contract to acquire or
                                        receive any goods or services or was entitled or
                                        obliged under any order to supply the Employer or
                                        Group Company with any goods or services with whom
                                        the Employee had business dealings on behalf of the
                                        Employer or Group Company.

"Termination Date"                      the date on which the Employee's employment under
                                        this Agreement terminates.
</TABLE>

1.2. In this Agreement:-

     1.2.1. references to clauses are to clauses of this Agreement;

     1.2.2. references to persons include bodies corporate, unincorporated
         associations, governments, states, partnerships and trusts (in each
         case, whether or not having separate legal personality);

     1.2.3. the headings of clauses are for convenience only and shall not
         affect the interpretation of this Agreement;

     1.2.4. any reference to a statutory provision includes a reference to any
         modification, consolidation or re-enactment of the provision for the
         time being in force and all subordinate instruments, orders or
         regulations made under it;

     1.2.5. the eiusdem generis rule shall not apply so that general words shall
         not be given a restrictive interpretation by reason of their being
         preceded or followed by words indicating a particular class of acts,
         matters or things;

     1.2.6. "subsidiary" and "holding company" shall have the meanings given to
         them by sections 736 and 736A of the Companies Act 1985;

     1.2.7. references to a person acting "directly or indirectly" include
         acting alone or jointly with or by means of any other person;

     1.2.8. references to any document (including this Agreement) or a provision
         of such document shall be construed as a reference to that document or
         provision as from time to time supplemented varied or replaced.

2.   EMPLOYMENT

2.1. The Employer shall employ the Employee with the Title and Role defined in
     Schedule 1 or in such other position and roles as the Board from time to
     time may direct on the terms and subject to the provisions of this
     Agreement.

2.2. The Employee's employment shall (subject to termination as provided
     elsewhere in this Agreement) commence on the Effective Date and shall
     continue thereafter unless and until terminated by either party giving to
     the Notice Period stipulated in Schedule 1.
<PAGE>

2.3. The Date of Commencement of the Employee's period of continuous employment
     is as specified in Schedule 1.

3.   DUTIES

3.1. The Employee shall perform all duties associated with their role. The
     Employee shall perform such other duties as may from time to time be
     assigned to him by or under the authority of the Board and shall comply
     with all reasonable directions made by or under the authority of the Board.
     The Employee may be required in pursuance of employment to be engaged not
     only on work on behalf of the Employer but also on work on behalf of any
     other Group Company.

3.2. During his employment, unless prevented by incapacity or otherwise agreed
     with the Employer, the Employee shall:-

     3.2.1. use his best efforts to promote the Employer's interests;

     3.2.2. devote the whole of his time, attention and abilities during normal
         business hours to the Employer's affairs;

     3.2.3. faithfully and diligently serve the Employer and the Group and
         perform his duties under this Agreement;

     3.2.4. conform to such hours of work as may from time to time reasonably be
         required of him;

     3.2.5. in all respects comply with all lawful and reasonable directions
         made by or under the authority of the Board; and

     3.2.6. keep the Board or a person duly authorised by the Board promptly and
         fully informed (in writing if so required) of his conduct of the
         business or affairs of the Employer or any other Group Company and
         provide such explanation as the Board or its nominee may require.

3.3. The Employee shall carry out his duties and exercise his powers jointly
     with any other Employee appointed by the Board from time to time.

3.4. The Employee may from time to time be required to spend periods of time
     travelling either in the United Kingdom or abroad in the discharge of his
     duties under this Agreement.

3.5. The Employee shall promptly disclose to the Board any interest of his own
     (or of any Connected Person):-

     3.5.1. in any trade, business or occupation which is in competition with
         the Employer or any Group Company;

     3.5.2. in any trade or business carried on by any supplier or customer of
         the Employer or any Group Company; and

     3.5.3. in any actual or proposed contract, arrangement or transaction
         entered into or to be entered into by the Employer or any Group
         Company.
<PAGE>

3.6. During the period of his employment (including any period of suspension and
     any notice period) the Employee shall not (without the Board's prior
     written consent) hold or provide any Material Interest in or to any person
     which:-

     3.6.1. directly or indirectly competes with the Business; or

     3.6.2. impairs or might reasonably be thought by the Employer to impair his
         ability to act at all times in the best interests of the Employer or
         any Group Company.

3.7. The place where the Employee will normally work will be at the Employer's
     address stated above. However, if called upon to do so and without any
     further remuneration the Employee shall perform his duties at such other
     location or locations as the Employer shall require whether on a temporary
     or permanent basis.

4.   SALARY

4.1. The Employee's Annual Salary shall be as stipulated in Schedule 1, payable
     monthly in arrears by credit transfer.

4.2. The Employee's annual salary shall be reviewed on the Review Date specified
     in Schedule 1 of each year to take effect from that time and will be
     subject to the Employer's Performance Review Scheme. The Employer reserves
     the right to reduce the Employee's salary in the case of under performance.

4.3. The Employee's salary shall be deemed to accrue from day to day and shall
     be inclusive of all director's fees (if any) to which the Employee may be
     entitled and all remuneration which may become payable to the Employee by
     or in respect of services rendered by him to any Group Company.

4.4. The Employer reserves the right to deduct from the Employee's salary any
     amount of any statutory benefits receivable by him in the case of sickness.

4.5. The Employee shall be eligible to participate in the company's Stock option
     Scheme as detailed in Schedule 2

4.6. The Employee shall be eligible for bonus payments upon meeting certain
     criteria as outlined in Schedule 3

4.7. The Employee shall be eligible for additional benefits as stated in
     Schedule 4

5.   EXPENSES

5.1. The Employer (or another Group Company if appropriate) shall reimburse the
     Employee any travelling, hotel, entertainment and other out of pocket
     expenses properly incurred by the Employee in the course of the Employment
     subject to the production by the Employee of relevant invoices or other
     appropriate proof of expenditure to a maximum value of (pound)500 per
     calendar month. Expenses in excess of (pound)500 per month will require
     prior approval by the Employer.

5.2. The Employer shall reimburse the Employee for approved professional fees
     and membership of professional bodies at the discretion of the Employer.
<PAGE>

6.   HOURS OF WORK AND HOLIDAYS

6.1. The normal business hours of the Employer are 09:00 - 18:00 Monday to
     Friday and shall apply to the Employee provided that the Employee shall
     work such further hours as may be necessary for the proper performance of
     his duties.

6.2. The Employee agrees that, notwithstanding the provisions of Regulation 4 of
     the Working Time Regulations 1998 relating to maximum weekly working time
     of 48 hours, the limit on maximum working time shall not apply to the
     Employee's employment. The Employee's agreement set out in this clause is
     given for an indefinite period, but shall be terminable on the Employee
     giving three months' prior written notice to the Employer.

6.3. The Employer's holiday year runs from 1st January. The Employee shall be
     entitled in each holiday year to 20 days Holiday Entitlement with full
     salary (in addition to statutory holidays) to be taken at times agreed with
     and approved by the Employer with a minimum of two weeks' advance notice.

6.4. The Employee shall be entitled to an additional 1 day of annual holiday for
     each complete year he has worked for the Employer after the completion of
     one year, up to a maximum of 8 additional days.

6.5. The Employee's holiday entitlement shall accrue pro rata (to the nearest
     whole day) to the proportion of a holiday year worked. In the year in which
     he joins the Employer the Employee shall be entitled to the appropriate pro
     rata holiday entitlement.

6.6. The Employee shall not be entitled to carry forward unused holiday
     entitlement from one holiday year to the next.

6.7. There will be no payment in lieu of any untaken holiday entitlement except
     in the year of termination of employment when the Employee will be entitled
     to a payment in lieu of accrued holiday pro rata in respect of each
     completed month of service in the holiday year in which the Employment
     terminates (rounded up or down to the nearest whole day). If the Employee
     has at the date of termination of employment taken more than holiday
     entitlement for that holiday year the Employer will be entitled to make an
     appropriate deduction from his final salary payment.

7.   SICKNESS ABSENCE AND SICK PAY

7.1. If the Employee is prevented by illness, accident or any other incapacity
     from fully carrying out his duties he shall comply with the following
     reporting procedure:-

     7.1.1. he must inform the Employer by telephone on the first morning of his
         absence indicating, if possible, its likely duration;

     7.1.2. if incapable of fully carrying out his duties for more than two
         consecutive working days, he must submit a self-certification sickness
         form or a medical certificate from a qualified and practising medical
         practitioner to Cliff Webb or Fiona Lemon;
<PAGE>

     7.1.3. a medical certificate signed by a qualified and practising medical
         practitioner must be promptly submitted to the Employer if the Employee
         is incapable of fully carrying out his duties for more than seven
         consecutive days;

     7.1.4. thereafter the Employee should promptly submit certificates at
         weekly intervals covering the whole period of absence.

     7.1.5 the Employer reserves the right to call for medical certificates to
         cover absences of less than seven days.

     7.1.6 Statutory Sickness Pay will be paid by the Employer where appropriate
         in accordance with the legislation in force at the time of absence.
         Details of the payment of SSP can be obtained from Cliff Webb or Fiona
         Lemon.

7.2. Where practicable, the Employee shall use all reasonable efforts to recover
     compensation for loss of earnings and benefits over the period for which
     any salary has been or will be paid to him by the Employer under this
     clause and, unless deducted pursuant to one of the above provisions, shall
     account to the Employer for any such compensation less any costs and
     expenses borne by the Employee incurred in recovering such compensation (in
     an amount not exceeding the actual net salary paid to him). The Employee
     shall keep the Employer informed of the commencement, progress and outcome
     of any such claim.

8.   PENSIONS

The Employer does not operate a pension scheme in relation to the Employment.

9.   CONFIDENTIALITY AND COMPANY DOCUMENTS

9.1. The Employee shall keep secret and shall not at any time during the
     Employment or after its termination for whatever reason:-

     9.1.1. use any Confidential Information for his own or another's advantage;
         or

     9.1.2. disclose any Confidential Information to any person; or

     9.1.3. through any failure to exercise due care and diligence cause or fail
         to prevent any unauthorised disclosure of any Confidential Information.

9.2. The restriction contained in the above clause shall not apply:-

     9.2.1. to any disclosure or use authorised by the Board in writing or
         required to be made by law (other than by reason of a contractual
         obligation) or by the rules of any recognised investment exchange to
         which the Employer or any Group Company is subject; or

     9.2.2. where the information has become available to the public generally
         other than through unauthorised disclosure by the Employee or another.

10.   POST-TERMINATION RESTRICTIONS

10.1. The Employee shall not without the previous consent in writing of the
      Board (such consent not to be unreasonably withheld) directly or
      indirectly whether on his own account or on behalf of any other person:-

     10.1.1. during the Restricted Period:-
<PAGE>

         in competition with the Employer or Group Company seek, canvass or
         solicit in any capacity whatsoever any business, orders or custom for
         any Restricted Products or Restricted Services from any Customer; or

     10.1.2. at any time after the Termination Date:-

         10.1.2.1. induce or seek to induce by any means any Customer to cease
             dealing with the Employer or Group Company or any supplier to cease
             supplying the Employer or Group Company or to restrict or vary the
             terms upon which any such Customer or supplier deals with the
             Employer or Group Company; or

         10.1.2.2. represent himself or permit himself to be held out by any
             person as being in any way connected with or interested in the
             Employer or Group.

10.2. The above restrictions shall apply to any action taken by the Employee or
      any interest which he may have (whether as agent, representative,
      principal, employee, partner, secondee or consultant or as a director of
      any company) and/or by any spouse of the Employee and/or by any company
      controlled, or business carried on, by him or any such spouse or through
      the means of any management agreement or technical assistance agreement in
      which the Employee has any interest.

11.   PROVISIONS RELATING TO RESTRICTIONS
The Employee acknowledges and agrees that:-

11.1. the Employer and each Group Company possesses a valuable body of
      Confidential Information and he has been given and will be given access to
      such Confidential Information to enable him to carry out his duties under
      this Agreement;

11.2. such duties include, amongst other things, a duty of trust and confidence
      and a duty to act at all times in the best interests of the Employer and
      the Group;

11.3. the Employer requires all of its senior employees to accept restrictions
      which are similar to those set out in this Agreement for the mutual
      protection of the Business and employees;

11.4. each of the restrictions contained in the preceding clauses constitutes an
      entirely separate and independent restriction on him;

11.5. the duration, extent and application of each of the restrictions are to
      protect the Employer's and the Group's trade connections with its
      suppliers and customers and to maintain the services of its key employees
      and are no greater than is necessary for the protection of the interests
      of the Employer and the other Group Companies;

11.6. if any such restriction shall be adjudged to be void as going beyond what
      is reasonable in the circumstances for the protection of the interests of
      the Employer and the other Group Companies but would be valid if part of
      the wording of such restriction was deleted and/or the period of such
      restriction was reduced was reduced the said restriction shall apply
      within the jurisdiction of that court with such modifications as may be
      necessary to make it valid and effective;
<PAGE>

11.7. any breach of the undertakings contained in this Agreement could cause the
      Employer and any other Group Company irreparable injury in that monetary
      damages would not be an adequate remedy for any such breach. In the event
      of a breach or threatened breach by the Employee of any provision of this
      Agreement the Employee agrees that the Employer and any other Group
      Company shall be entitled to obtain an injunction restraining the Employee
      from breaching these provisions. Nothing contained in this Agreement shall
      be construed as prohibiting the Employer and any other Group Company from
      pursuing any other remedies available to it or them including recovery of
      monetary damages; and

11.8. the Employee acknowledges that he has an obligation to draw the
      restriction contained in this Agreement to the attention of any third
      party who may at any time either before or after the date of termination
      of the Employee's employment offer employment to the Employee.

12.   TERMINATION

12.1. The Employee's employment may be terminated by either party giving notice
      to the other in accordance with the notice provisions contained in this
      Agreement.

12.2. The Employee's employment under this Agreement shall in any event
      automatically terminate upon the day on which the Employee attains the age
      of 65 years (being the Employer's normal retirement age).

12.3. The Employer may terminate the Employee's employment by written notice
      having immediate effect or on the expiry of such period of written notice
      as the Employer may consider appropriate and without any obligation to pay
      any further sums to the Employee whether by way of damages, compensation
      or otherwise in respect of any notice period (but without prejudice to the
      rights and remedies of the Employer for any breach of this Agreement and
      to the Employee's continuing obligations hereunder) if the Employee:-

     12.3.1. commits any act of dishonesty or serious or persistent misconduct;

     12.3.2. becomes bankrupt or has a receiving or administration order made
         against or makes any formal arrangement or composition with creditors;
         or

     12.3.3. commits any serious breach of or persistently does not observe any
         of the provisions of this Agreement or refuses, neglects or fails to
         carry out his duties to the reasonable satisfaction of the Board or
         has, in the reasonable opinion of the Board, carried out his duties in
         a way which amounts to gross negligence; or

     12.3.4. becomes of unsound mind or a patient within the meaning of the
         Mental Health Act 1983; or

     12.3.5. is convicted of any criminal offence (other than an offence under
         the Road Traffic Acts for which a custodial sentence, either immediate
         or suspended, is not imposed) which prevents him from fulfilling his
         employment; or

     12.3.6. is guilty of any conduct which in the reasonable opinion of the
         Board brings him or the Employer or any other Group Company into
         disrepute; or
<PAGE>

     12.3.7. is disqualified from driving or if he ceases to hold a valid United
         Kingdom or European Union driving licence (unless the Employee is able
         to make alternative travel arrangements in connection with the
         discharge of his duties under this Agreement at his own expense to the
         satisfaction of the Board); or

     12.3.8. fails to perform his duties to standards reasonably required by the
         Board (including reaching performance requirements set by the Board
         after receiving a written warning regarding poor performance from the
         Board).

12.4. Upon the giving of notice of termination for whatever reason by either
      party, the Employee shall:-

     12.4.1.deliver to the Employer (or to its order) all Intellectual Property
         Material, Confidential Information relating to the Employer (and any
         Group Company) and all books, documents, disks, software, papers
         (including copies), materials, credit cards, and other property
         relating to the business of the Employer (or any other Group Company)
         which may then be in his possession or under his control;

     12.4.2. upon request immediately resign any position in or office of the
         Employer or any other Group Company and if he should fail to do so
         within seven days the Employer is hereby irrevocably authorised to
         appoint some person as the Employee's attorney in his name and on his
         behalf to sign any documents or do any thing necessary to or desirable
         to give effect to this clause;

     12.4.3. not enter onto the premises of the Employer or of any other Group
         Company;

     12.4.4. upon request transfer to the Employer in accordance with the
         articles of association any shares held by him in the Company;

     12.4.5. not at any time after termination represent himself as being
         employed by or in any way connected with the Employer any Group
         Company; and

     12.4.6. immediately repay all outstanding debts to or loans from the
         Employer any Group Company and the Employer is hereby authorised to
         deduct from any sums due under this Agreement to the Employee a sum in
         repayment of all or any part of any such debts or loans.

12.5. During any notice period the Employee shall not contact or deal with the
      Employer's or any Group Company's customers, suppliers or employees.

12.6. The termination of the Employee's employment and/or this Agreement shall
      not affect such of the provisions of this Agreement as are expressed so
      that they have effect or are to operate after termination.

13.   INVENTIONS AND DESIGNS

13.1. The parties foresee that the Employee may make, discover or create
      Intellectual Property Rights in the course of his duties under this
      Agreement.

13.2. The Employee irrevocably agrees that all Intellectual Property Materials
      made, created, discovered, conceived, written, designed or originated by
      the Employee, whether alone or in conjunction with any other person, at
      any time whether before or after the Effective Date but after he became an
      employee of the Employer or of
<PAGE>

      any other Group Company, whether capable of being patented or registered
      or not, and whether or not made, created, discovered, conceived, written
      designed or originated in the course of his employment, relating to the
      business of the Employer or any other Group Company or in any way capable
      of being used or adapted for use in or in connection with such businesses
      shall be immediately disclosed to the Employer (together, where relevant,
      with all information and data in his possession as to the exact mode of
      working, producing and using the same) and the Employee shall immediately
      assign to the Employer such Intellectual Property Materials and all
      Intellectual Property Rights relating thereto upon their creation,
      discovery, conception, drafting, design or origination (or to such other
      Group Company as the Employer may nominate for the purpose) together with,
      where necessary, all rights to apply for the Intellectual Property Rights.

13.3. The Employee shall if required to do so by the Employer at the Employer's
      expense do all things and execute all documents necessary to vest all such
      Intellectual Property Rights absolutely in the Employer or its nominees as
      absolute legal and beneficial owner (without payment to the Employee for
      them) and to secure, preserve and enforce all appropriate forms of
      protection therefore in any part of the world.

13.4. For the purpose of this clause, the Employee irrevocably appoints the
      Employer to be his attorney in his name and on his behalf to sign or
      execute any instrument or do any thing and generally to use his name for
      the purpose of giving to the Employer (or its nominee) the full benefit of
      the provisions of this clause and in favour of any third party a
      certificate in writing signed by any director or the secretary of the
      Employer that any instrument or act falls within the authority conferred
      by this clause shall be conclusive evidence that such is the case.

13.5. If the Employee makes or discovers or participates in the making or
      discovery of any Intellectual Property Right during his employment under
      this Agreement but which is not the property of the Employer under the
      preceding provisions of this section the Employer shall subject only to
      the provisions of the Patents Act 1977 have the right to acquire for
      itself or its nominee the Employee's rights in the Intellectual Property
      Right on fair and reasonable terms to be agreed or settled by a single
      arbitrator.

13.6. The Employee waives all moral rights (as defined in the Copyright, Designs
      and Patents Act 1988) in relation to the Intellectual Property Rights
      which are the property of the Employer by virtue of the preceding
      provision of this section.

13.7. Rights and obligations under this clause shall continue in force after
      termination of this Agreement in respect of Intellectual Property Rights
      made or discovered during the Employee's employment under this Agreement
      and shall be binding upon his personal representatives.

14.   GRIEVANCE AND DISCIPLINARY PROCEDURES

14.1. If the Employee has any grievance relating to his employment he may seek
      redress orally or in writing by initially referring the grievance to the
      Employee's Manager, as defined in Schedule 1, who will investigate the
      matter after discussion with the Employee and inform the Employee of the
      outcome of the investigation.
<PAGE>

14.2. If the Employee's grievance is not resolved to his satisfaction he may
      refer the matter to the Employer's Compensation Committee who will also
      discuss the matter with the Employee and investigate before reaching a
      decision that will be regarded as final and binding.

14.3. All disciplinary matters will be dealt with in accordance with the
      Employer's Disciplinary Procedure.

15.   COMPANY RULES AND POLICIES

The Employee is required to familiarise himself with all of the Employer's rules
regulations and policies and to comply with all those rules, regulations, policy
statements and quality procedures which apply to him. Failure to do so may, in
appropriate circumstances, lead to disciplinary action.

16.   COLLECTIVE AGREEMENTS

There are no collective agreements applicable to the Employee's employment.

17.   NOTICES

17.1. Any communications given under this Agreement shall be in writing and
      delivered personally or sent by facsimile transmission or recorded,
      special delivery or first class post (or air mail post if to an address
      outside the United Kingdom) to the address or facsimile number of the
      party who is to receive such communication or to such other address or
      facsimile number in the United Kingdom as may from time to time be
      specified by the relevant party as its address for the purpose of this
      clause. During the Employee's employment (including any notice period but
      excluding any period of suspension) any communications to the Employee by
      the Employer may also be sent by e1ectronic mail.

17.2. A communication shall be deemed to have been received:-

     17.2.1. if delivered personally, at the time of delivery; and

     17.2.2.if sent by prepaid recorded, special delivery or first class post,
         on the second business day after posting.

17.3. A communication received or deemed to be received on a day which is not a
      business day or after 5.00pm on any business day (according to local time
      in the place of receipt) shall be deemed to be received at 9.00am on the
      next business day.

18.   RIGHTS OF THIRD PARTIES

18.1. The Employee and the Employer agree that the obligations and duties to the
      Employer accepted by the Employee under this Agreement shall also be owed
      by him to any Group Company for which he performs services, carries out
      duties or to which he is seconded and that this Agreement may be enforced
      by any Group Company pursuant to section 1 of the Contracts (Rights of
      Third Parties) Act 1999.

18.2. Where a Group Company is entitled to enforce a term of this Agreement, the
      consent of such Group Company is not required for any amendment, variation
      or rescission of any provision of this Agreement.

18.3. Any benefits provided by the Employer to the Employee or his family which
      are not expressly referred to in this Agreement shall be regarded as ex
      gratia benefits
<PAGE>

      provided at the Employer's discretion and shall not form part of the
      Employee's contract of employment.

18.4. Any benefits referred to in this Agreement as being provided to the
      Employee or his family shall be enforceable only by the Employee and by no
      other person.

19.   GENERAL

19.1. This Agreement takes effect in substitution for all previous agreements or
      arrangements whether written or oral between the parties all of which
      shall be deemed to have been terminated by mutual agreement as from the
      date of commencement of this Agreement and superseded by the terms of this
      Agreement.

19.2. Any provision of this Agreement which is expressed or intended to have
      effect on, or to continue in force, after termination of the Employee's
      employment or this Agreement shall have such effect or (as the case may
      be) continue in force after such termination.

19.3. The various provisions of this Agreement are severable and if any such
      provision shall, to any extent, be invalid, illegal or unenforceable, the
      validity, legality and enforceability of the remaining provisions shall
      not in any way be affected or impaired thereby and each of the provisions
      of this Agreement shall be valid, legal and enforceable to the fullest
      extent permitted by law.

19.4. The Employee warrants:-

     19.4.1. that in entering into this Agreement he will not thereby breach any
         other contract of employment or any other Agreement and agrees to
         indemnify the Employer against all costs, claims or demands suffered by
         it as a result of any alleged breach of contract by the Employee
         arising out of the acceptance of such offer by him; and

     19.4.2. he has no outstanding claims of any kind against the Employer or
         any other Group Company or against its or their assets (otherwise than
         in respect of remuneration and other benefits to which he is entitled
         accrued to the date of this Agreement but not yet received).

19.5. No amendment to this Agreement shall be effective unless made in writing
      and signed by or on behalf of the Employer and the Employee.

19.6. The Employer shall be entitled and authorised to set off and/or make
      deductions from the Employee's salary and/or from any other sums due to
      the Employee from the Employer any amount equal to any overpayment of any
      kind made to the Employee and/or any amount equal to any debt or other sum
      due from the Employee to the Employer.

19.7. The information in this Agreement constitutes a written statement of the
      terms of employment of the Employee in accordance with the provisions of
      the Employment Rights Act 1996.

19.8. No waiver by the Employer of any breach by the Employee of the terms of
      this Agreement, other by conduct or otherwise, nor any failure or
      forbearance or delay by the Employer in exercising any of its rights or
      remedies shall be deemed a
<PAGE>

      waiver of any such breach nor shall it prevent the Employer from
      subsequently taking any action or making any claim in respect of such
      breach.

19.9. Any notice to be given by either party to the other may be served by
      sending the same by first class recorded delivery post addressed to the
      other party, in the case of the Employer at its registered office or in
      the case of the Employee last known residential address. Any notice so
      given shall be deemed to have been served at the expiration of 48 hours
      from the time of posting.

19.10. This Agreement shall be governed by and construed in accordance with the
       provisions of English law and any disputes or proceedings arising from it
       shall be subject to the exclusive jurisdiction of the English Courts.

IN WITNESS whereof this Agreement has been executed by the Employee as a deed on
the date specified above

SIGNED AS A DEED

by Employee /s/ Steve Beaumont
            -----------------------------------------------
in the presence of:-

Witness' signature: /s/ Kathe Maxwell
                    ---------------------------------------
Witness' name:      MS. KATHE MAXWELL
                    ---------------------------------------

Witness' address:   35 VAN ALEN BLDG.
                    ---------------------------------------
                    BRIGHTON, UK BN21WP

SIGNED AS A DEED
for and on behalf of Narrowstep Limited /s/ Clifford Webb
                     --------------------------------------

in the presence of:-

Witness' signature: /s/ S. Fairman
                    ---------------------------------------
Witness' name:      S. FAIRMAN
                    ---------------------------------------

Witness' address:   33 Mornington Rd. London SE84BN
                    ---------------------------------------
<PAGE>

Schedule 1

<TABLE>
<S>                                  <C>
Title:                               Senior Vice President

Notice Period:                       One calendar month.

Date of Commencement:                1st November 2005

Annual Salary:                       (pound)80,000 (Eighty-thousand Pounds
                                     Sterling).

Review Date:                         Annually at the company's financial year
                                     end.

Holiday Entitlement:                 20 days, plus 1 day extra for each year
                                     worked to a maximum of 28 days.

Reporting to:                        The Narrowstep Board
</TABLE>

Schedule 2 - Stock Option Plan

      a) As per separate agreement in accordance with the company's policy on
      Employee Share Options.

      b) 200,000 share options will be granted to you. 100,000 on joining at
      closing price on date of grant, which vest immediately, and 100,000 on
      completion of 3 months from joining, assuming neither party wishes to
      terminate the employment;

Schedule 3 - Bonus Payments

To be appointed by the Board at their discretion.

Schedule 4 - Additional Benefits

      a) 50,000 share options will be granted to you upon the company achieving
      audited quarterly profitability, which vest after audit signed off at
      closing price on date of grant;

      b) 100,000 share options will be granted to you upon the company achieving
      audited annual profitability which vest after audit signed off at closing
      price on date of grant;

      c) Period for qualifying - date of commencement to February 28, 2007
      (Narrowstep year end):

      d) A new incentive program for the following fiscal year to be agreed.Exhibit 10,1

    
      

    

     

    Exhibit
      10.1

     

    
      	
              Appalachian
                Community Bank

              Salary
                Continuation Agreement

            

    

    

 

    APPALACHIAN
      COMMUNITY BANK

    SALARY
      CONTINUATION AGREEMENT

    

    

    THIS
      SALARY CONTINUATION AGREEMENT, as amended (the “Agreement”) is adopted as of
      the 9th day of May, 2006, by and among APPALACHIAN COMMUNITY BANK, a
      state-chartered commercial bank located in Ellijay, Georgia (the "Bank"),
      APPALACHIAN BANCSHARES, INC., the parent company of the Bank (the “Holding
      Company”), and JOSEPH T. MOSS, JR. (the "Executive").

     

    The
      purpose of this Agreement is to provide to the Executive, as a member of a
      select group which contributes materially to the continued growth, development
      and future business success of the Bank and the Holding Company, the specified
      benefits, as well as incentives for continued employment with the Bank and
      Holding Company, as set forth herein. This Agreement shall be unfunded for
      tax
      purposes and for purposes of Title I of the Employee Retirement Income Security
      Act of 1974 (“ERISA”), as amended from time to time. The Bank will pay the
      benefits provided under this Agreement from its general assets.

    

    The
      Bank,
      the Holding Company and the Executive, for and in consideration of the above
      stated contributions of the Executive and other good and valuable consideration,
      do hereby agree as follows:

    

    Article
      1

    Definitions

    

    Whenever
      used in this Agreement, the following words and phrases shall have the meanings
      specified:

    

    
      	
              1.1

            	
              “Accrual
                Balance”
                means the liability that should be accrued by the Bank, under Generally
                Accepted Accounting Principles (”GAAP”), for the Bank’s obligation to the
                Executive under this Agreement, by applying the Discount Rate. Any
                amortization method, if acceptable under GAAP, may be used to determine
                the Accrual Balance. However, once chosen, the method must be consistently
                applied. The Accrual Balance for each Plan Year shall be reported
                annually
                by the Bank to the Executive in the form of Schedule
                A
                of
                this Agreement. 

            

    

    

    
      	
              1.2

            	
              “Beneficiary”
                means each designated person, or the estate of the deceased Executive,
                entitled to benefits, if any, upon the death of the Executive, and
                as
                otherwise determined pursuant to Article 3 and Article
                4.

            

    

    

    
      	
              1.3

            	
              “Beneficiary
                Designation Form”
                means the form established from time to time by the Plan Administrator
                that the Executive completes, signs and returns to the Plan Administrator
                to designate one or more
                Beneficiaries.

            

    

     

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    

    
      	
              1.4

            	
              “Change
                of Control”
                means the occurrence of any of the following
                conditions:

            

    

    

    (i)    
      Any
      “Person” [which term, for purposes of this Section 1.4, shall mean an individual
      (other than the Executive), individuals acting in concert or as a “group” under
      the Securities Exchange Act of 1934, or a corporation, partnership, trust or
      other form of entity, (other than the Holding Company, the Bank, a securities
      underwriter of the shares of the Holding Company or the Bank, a corporation
      owned by stockholders of the Holding Company in the same proportions as their
      ownership of stock in the Holding Company, or a fiduciary holding securities
      under an employee benefit plan of the Holding Company or Bank)] becomes,
      directly or indirectly, the “beneficial owner” (as defined in Rule 13d-3 under
      the Securities Exchange Act of 1934) of securities of the Holding Company or
      Bank which represent twenty-five percent (25%) or more of the voting power
      of
      the then outstanding securities of the Holding Company or Bank; or

    

    (ii)     
      Any
      Person acquires, directly or indirectly, the ability to control the election
      of
      a majority of the directors of either the Bank or the Holding Company;
      or

    

    (iii)    
      Any
      Person acquires, directly or indirectly, the ability to exercise a controlling
      influence over the management of policies of either the Holding Company or
      the
      Bank; or

    

    (iv)    
      During
      any period of two (2) consecutive years, the “Continuing Directors” (which term,
      for purposes of this Section 1.4, means these individuals who, (a) at the
      beginning of such two-year period, constitute the board of directors of either
      the Holding Company or the Bank or (b) whose election or nomination as directors
      of the Holding Company or the Bank were approved by a vote of least two-thirds
      of these previously elected directors) cease for any reason to constitute at
      least two-thirds of the board of directors of either the Holding Company or
      the
      Bank; or

    

    (v)    
      The
      consummation of a merger or statutory share exchange of the Holding Company
      or
      the Bank with any Person, other than a merger or statutory share exchange which
      would (a) result in the voting securities of the Holding Company or Bank
      outstanding immediately prior thereto, continuing to represent at least
      seventy-five percent (75%) of the combined voting power of the voting securities
      of the Holding Company, Bank or such other surviving entity, outstanding
      immediately after such merger or statutory share exchange, in substantially
      the
      same proportions as their ownership immediately prior to such merger or
      statutory share exchange, or (b) effect or implement a recapitalization of
      the
      Holding Company or Bank (or similar transaction), in which no Person acquires
      more than fifty percent (50%) of the combined voting power of the
      then-outstanding securities of the Holding Company or Bank; or

     

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    (vi)    
      The
      shareholders of the Holding Company or Bank approve a plan of complete
      liquidation of the Holding Company or the Bank, or an agreement for the sale
      or
      disposition by the Holding Company or the Bank of all or substantially all
      of
      the assets of the Holding Company or the Bank.

    

    
      	
              1.5

            	
              “Change
                of Control Benefit”
                means the benefit provided to the Executive under Section 2.4 of
                this
                Agreement, and as set forth in Schedule
                A
                of
                this Agreement, pursuant to the terms of this Agreement. The amount
                of the
                Change of Control Benefit, as determined under Section 2.4 and as
                set
                forth in Schedule
                A,
                is an annual amount equal to the projected annual benefit to be paid
                to
                the Executive at the Executive’s Normal Retirement Age, as set forth in
                Section 2.1.1, which annual amount shall be paid to the Executive
                in equal
                monthly payments for each of the fifteen (15) consecutive twelve
                (12)
                month periods next following the Executive’s Normal Retirement
                Age.

            

    

    

    
      	
              1.6

            	
              “Code”
                means the Internal Revenue Code of 1986, as
                amended.

            

    

    

    
      	
              1.7

            	
              “Disability”
                means the Executive’s suffering a sickness, accident or injury which has
                been determined by the insurance carrier of any individual or group
                disability insurance policy covering the Executive, or by the Social
                Security Administration, or by the Board of Executives of the Bank
                or the
                Holding Company, to be a disability rendering the Executive totally
                and
                permanently disabled. The Executive, upon the request of the Plan
                Administrator, must submit proof of Disability, satisfactory to the
                Plan
                Administrator, including, if required, the determination thereof
                by the
                insurance carrier or Social Security Administration.
                

            

    

    

    
      	
              1.8

            	
              “Disability
                Benefit”
                means the benefit provided to the Executive under Section 2.3 of
                this
                Agreement, and as set forth in Schedule
                A
                of
                this Agreement, pursuant to the terms of this Agreement. The amount
                of the
                Disability Benefit, as determined under Section 2.3 and as set forth
                in
                Schedule
                A,
                is an annual amount equal to the projected annual benefit to be paid
                to
                the Executive at the Executive’s Normal Retirement Age, as set forth in
                Section 2.1.1, which annual amount shall be paid to the Executive
                in equal
                monthly payments for each of the fifteen (15) consecutive twelve
                (12)
                month periods next following the Executive’s Normal Retirement Age.
                

            

    

    

    
      	
              1.9

            	
              “Discount
                Rate”
                means the rate used by the Plan Administrator for determining the
                Accrual
                Balance. The initial Discount Rate is seven percent (7%). However,
                the
                Plan Administrator, in its sole discretion, may adjust the Discount
                Rate
                to maintain the rate within reasonable standards according to
                GAAP.

            

    

    

    
      	
              1.10

            	
              “Early
                Termination”
                means the Termination of Employment before Normal Retirement Age,
                for
                reasons other than death, Disability, Termination for Cause or following
                a
                Change of Control.

            

    

    

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	
              1.11

            	
              “Early
                Termination Benefit”
                means the benefit provided to the Executive under Section 2.2 of
                this
                Agreement, and as set forth in Schedule
                A
                of
                this Agreement, as updated annually pursuant to the terms of this
                Agreement. The amount of the Early Termination Benefit, as determined
                under Section 2.2 and as set forth in Schedule
                A,
                is a one-time, lump-sum amount to be paid to the Executive within
                thirty
                (30) days following the Executive’s Early Termination Date, or at such
                later date as may be required by applicable
                law.

            

    

    

    
      	
              1.12

            	
              “Early
                Termination Date”
                means the date on which Early Termination
                occurs.

            

    

    

    
      	
              1.13

            	
              “Effective
                Date”
                means April 1, 2006.

            

    

    

    
      	
              1.14

            	
              “Normal
                Retirement Age”
                means the earlier of the Executive’s 65th
                birthday or the date upon which the Executive completes 20 years
                of
                employment with the Bank and/or Holding
                Company.

            

    

    

    
      	
              1.15

            	
              “Normal
                Retirement Benefit”
                means the benefit provided to the Executive pursuant to the provisions
                of
                Section 2.1 of this Agreement, and as set forth in Schedule
                A
                of
                this Agreement, as updated annually pursuant to the terms of this
                Agreement. The amount of the Normal Retirement Benefit, as determined
                under Section 2.1 and as set forth in Schedule
                A,
                is an annual amount to be paid to the Executive in equal monthly
                payments
                for each of the fifteen (15) consecutive twelve (12) month periods
                next
                following the Executive’s Normal Retirement
                Date.

            

    

    

    
      	
              1.16

            	
              “Normal
                Retirement Date”
                means the date of the Executive’s Termination of Employment (other than a
                Termination for Cause) occurring on or after the Executive’s Normal
                Retirement Age. 

            

    

    

    
      	
              1.17

            	
              “Plan
                Administrator”
                means the plan administrator described in Article
                8.

            

    

    

    
      	
              1.18

            	
              “Plan
                Year”
                means each twelve-month period commencing on the Effective
                Date.

            

    

    

    
      	
              1.19

            	
              “Termination
                for Cause”
                has that meaning set forth in Article
                5.

            

    

    

    
      	
              1.20

            	
              “Termination
                of Employment”
                means that the Executive ceases to be employed by the Bank or the
                Holding
                Company for any reason, voluntary or involuntary, other than by reason
                of
                a leave of absence approved by the Bank or the Holding
                Company.

            

    

    

    Article
      2

    Benefits
      During Lifetime

    

    
      	
              2.1

            	
              Normal
                Retirement Benefit.
                The benefit payable to the Executive under this Section 2.1 is the
                Normal
                Retirement Benefit, an annual benefit set forth in Schedule
                A
                of
                this Agreement (as updated annually) for the Plan Year during which
                the
                Executive’s Normal Retirement Date occurs. Upon the Executive’s Normal
                Retirement Date, the Bank shall pay to the Executive the Normal Retirement
                Benefit, as described in this Section 2.1, in lieu of any other benefit
                under this Article.

            

    

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

     

    
 

    
      	
               

            	 

    

    
      	 	
              2.1.1

            	
              Amount
                of Benefit.
                The annual benefit under this Section 2.1 for the first Plan Year
                is
                Eighty-Five Thousand One Hundred Nineteen Dollars thousand dollars
                ($85,119). Commencing
                on the first day of the second Plan Year, and on the first day of
                each
                Plan Year thereafter, the annual benefit shall be increased three
                percent
                (3%) from the previous Plan Year, to a projected annual benefit of
                One
                Hundred Twenty-Five Thousand Dollars ($125,000) at the Executive’s Normal
                Retirement Age. 

            

    

    

    
      	 	
              2.1.2

            	
              Payment
                of Benefit.
                The Bank shall pay the Normal Retirement Benefit to the Executive
                in equal
                monthly installments, commencing on the first day of the month following
                the Executive’s Normal Retirement Date. This annual benefit shall be paid
                to the Executive for each of the fifteen (15) consecutive twelve
                (12)
                month periods next following the Executive’s Normal Retirement Date, for a
                total of 180 consecutive equal monthly
                payments.

            

    

    

    
      	
              2.2

            	
              Early
                Termination Benefit.
                Upon the Executive’s Early Termination, the Bank shall pay to the
                Executive the Early Termination Benefit, as described in this Section
                2.2,
                in lieu of any other benefit under this
                Article.

            

    

    

    
      	 	
              2.2.1

            	
              Amount
                of Benefit.
                The benefit payable to the Executive under this Section 2.2 is the
                Early
                Termination Benefit, a one-time, lump-sum amount set forth on Schedule
                A
                of
                the Agreement (as updated annually) for the Plan Year during which
                the
                Executive’s Early Termination Date occurs. The amount of the Early
                Termination Benefit payable to the Executive in any Plan year shall
                be
                equal to the Executive’s Accrual Balance accrued under this Agreement for
                such Plan Year.

            

    

    

    
      	 	
              2.2.2

            	
              Payment
                of Benefit.
                The Bank shall pay the Early Termination Benefit to the Executive,
                as a
                one-time, lump-sum amount, within thirty (30) days following the
                Executive’s Early Termination Date, or at such later date as may be
                required by applicable law.

            

    

    

    
      	
              2.3

            	
              Disability
                Benefit.
                Upon the Executive’s Termination of Employment due to Disability prior to
                Normal Retirement Age, the Bank shall pay to the Executive the benefit
                described in this Section 2.3, in lieu of any other benefit under
                this
                Article.

            

    

    

    
      	 	
              2.3.1

            	
              Amount
                of Benefit.
                The benefit payable to the Executive under this Section 2.3 is the
                Disability Benefit, an annual benefit set forth on Schedule
                A
                of
                the Agreement (as updated annually) for the Plan Year during which
                the
                Termination of Employment occurs. The annual amount of the Disability
                Benefit payable to the Executive hereunder shall be equal to the
                annual
                amount of Executive’s Normal Retirement Benefit determined under this
                Agreement for the Plan Year in which the Executive’s Termination of
                Employment occurs.

            

    

     

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	 	
              2.3.2

            	
              Payment
                of Benefit.
                The Bank shall pay the Disability Benefit to the Executive in equal
                monthly installments, commencing with the month following the Executive’s
                Normal Retirement Age. This annual benefit shall be paid to the Executive
                for each of the fifteen (15) consecutive twelve (12) month periods
                next
                following the Executive’s Normal Retirement Age, for a total of 180
                consecutive equal monthly payments.

            

    

    

    
      	
              2.4

            	
              Change
                of Control Benefit.
                Upon a Change of Control followed by the Executive’s Termination of
                Employment (other than a Termination for Cause), the Bank shall pay
                to the
                Executive the Change of Control Benefit, as described in this Section
                2.4,
                in lieu of any other benefit under this Article.
                

            

    

     

    
      	 	
              2.4.1

            	
              Amount
                of Benefit.
                The benefit under this Section 2.4 is the Change of Control Benefit,
                an
                annual benefit in the amount set forth on Schedule
                A
                of
                this Agreement (as updated annually) for the Plan Year during which
                Termination of Employment occurs. 

            

    

    

    
      	 	
              2.4.2

            	
              Payment
                of Benefit. 
                The Bank shall pay the Change of Control Benefit to the Executive
                in equal
                monthly installments commencing with the month following the Executive’s
                Normal Retirement Age. This annual benefit shall be paid to the Executive
                for each of the next fifteen (15) consecutive years next following
                the
                Executive’s Normal Retirement Age, for a total of 180 consecutive equal
                monthly payments.

            

    

    

    
      	
              2.5

            	
              Failure
                to be Nominated or Reelected.
                Upon the failure of the Executive to be terminated or reelected as
                a
                director of either of the Bank or the Holding Company (for any reason
                other than for a Termination for Cause), the Bank shall pay to the
                Executive the benefit described in this Section
                2.5.

            

    

    

    
      	 	
              2.5.1

            	
              Amount
                of Benefit.
                The benefit payable under this Section 2.5 is an annual benefit in
                an
                amount equal to the projected annual benefit to be paid to the Executive
                at the Executive’s Normal Retirement Age, as set forth in Section 2.1.1 of
                this Agreement.

            

    

    

    
      	 	
              2.5.2.

            	
              Payment
                of Benefit.
                The benefit payable under this Section 2.5 shall be paid to the Executive
                in equal monthly installments commencing with the month following
                the
                Executive’s Normal Retirement Age. This annual benefit shall be paid to
                the Executive for each of the fifteen (15) consecutive years next
                following the Executive’s Normal Retirement Age, for a total of 180
                consecutive equal monthly payments.

            

    

    

     

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    Article
      3

    Death
      Benefits

    

    
      	
              3.1

            	
              Death
                During Active Employment.
                If the Executive dies while in the active employment of the Bank
                and the
                Holding Company, the Bank shall pay to the Beneficiary the benefit
                described in this Section 3.1. This benefit shall be paid in lieu
                of the
                benefits under Article 2.

            

    

    

    
      	 	
              3.1.1

            	
              Amount
                of Benefit.
                The benefit under this Section 3.1 is the Pre-Retirement Death Benefit,
                an
                annual benefit set forth on Schedule
                A
                of
                this Agreement for the Plan Year in which the Executive dies, in
                an amount
                equal to the projected annual benefit to be paid to the Executive
                at the
                Executive’s Normal Retirement Age, as set forth in Section 2.1.1 of this
                Agreement. 

            

    

    

    
      	 	
              3.1.2

            	
              Payment
                of Benefit.
                The Bank shall pay the Pre-Retirement Death Benefit, to the Beneficiary
                in
                equal monthly installments, commencing with the month following the
                Executive’s death. The Pre-Retirement Death Benefit shall be paid to the
                Beneficiary (as provided under this Article 3 and Article 4) for
                a period
                of fifteen (15) consecutive twelve (12) month periods next following
                the
                death of the Executive, for a total of 180 consecutive equal monthly
                payments.

            

    

    

    
      	
              3.2

            	
              Death
                During Payment of a Benefit.
                If the Executive dies after any benefit payments have commenced under
                Article 2 of this Agreement, but before receiving all such payments,
                the
                Bank shall pay the remaining benefits to the Beneficiary at the same
                time
                and in the same amounts that would have been paid to the Executive
                had the
                Executive survived.

            

    

    

    
      	
              3.3

            	
              Death
                After Termination of Employment But Before Payment of a Benefit
                Commences. If
                the Executive is entitled to any benefit payments under Article 2
                of this
                Agreement, but dies prior to the commencement of said benefit payments,
                the Bank shall pay the same benefit payments to the Beneficiary that
                the
                Executive was entitled to prior to death, except that the benefit
                payments
                shall commence on the first day of the month following the date of
                the
                Executive’s death.

            

    

    

    
      	
              3.4

            	
              Death
                of a Beneficiary prior to Full Payment of Benefit.
                If a Beneficiary dies prior to receipt of the full benefits to be
                paid to
                the Beneficiary under this Agreement, the remaining benefit payments,
                otherwise payable to the Beneficiary under the terms of this Agreement,
                shall be paid to the personal representative of the estate of the
                Beneficiary. The personal representative of the estate of the Beneficiary,
                and any beneficiary to whom such benefits are paid by or from the
                Beneficiary’s estate, shall each be a “Beneficiary” for purposes of this
                Agreement.

            

    

    
      	
               

            	 

    

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    
 

    Article
      4

    Beneficiaries

    

    
      	
              4.1

            	
              Beneficiary
                Designation.
                The Executive shall have the right, at any time, to designate a
                Beneficiary(ies) to receive any benefits payable under this Agreement
                upon
                the death of the Executive. The Beneficiary designated under this
                Agreement may be the same as or different from the beneficiary designation
                under any other benefit plan of the Bank in which the Executive
                participates. 

            

    

    

    
      	
              4.2

            	
              Beneficiary
                Designation: Change.
                The Executive shall designate a Beneficiary by completing and signing
                the
                Beneficiary Designation Form, and delivering it to the Plan Administrator
                or its designated agent. The Executive's Beneficiary designation
                shall be
                deemed automatically revoked if the Beneficiary predeceases the Executive
                or if the Executive names a spouse as Beneficiary and the marriage
                is
                subsequently dissolved. The Executive shall have the right to change
                a
                Beneficiary by completing, signing and otherwise complying with the
                terms
                of the Beneficiary Designation Form and the Plan Administrator’s rules and
                procedures, as in effect from time to time. Upon the acceptance by
                the
                Plan Administrator of a new Beneficiary Designation Form, all Beneficiary
                designations previously filed shall be cancelled. The Plan Administrator
                shall be entitled to rely on the last Beneficiary Designation Form
                filed
                by the Executive and accepted by the Plan Administrator prior to
                the
                Executive’s death.

            

    

    

    
      	
              4.3

            	
              Acknowledgment.
                Except as otherwise specifically provided in this Agreement, no
                designation or change in designation of a Beneficiary shall be effective
                until received, accepted and acknowledged in writing by the Plan
                Administrator, or its designated
                agent.

            

    

    

    
      	
              4.4

            	
              No
                Beneficiary Designation.
                If the Executive dies without a valid beneficiary designation, or
                if all
                designated Beneficiaries predecease the Executive, then the Executive’s
                spouse, if married to Executive at the date of Executive’s death, shall be
                the designated Beneficiary. If the Executive has no spouse at the
                Executive’s date of death, the benefits shall be made to the personal
                representative of the Executive's estate. The personal representative
                of
                the Executive’s estate and any beneficiary to whom such benefits are paid
                by or from the Executive’s estate, shall each be a “Beneficiary” for
                purposes of this Agreement.

            

    

    
      	
               

            	 

    

    
      	
              4.5

            	
              Facility
                of Payment.
                If the Plan Administrator determines in its discretion that a benefit
                is
                to be paid to a minor, to a person declared incompetent, or to a
                person
                incapable of handling the disposition of that person’s property, the Plan
                Administrator may direct payment of such benefit to the guardian,
                legal
                representative or person having the care or custody of such minor,
                incompetent person or incapable person. The Plan Administrator may
                require
                proof of incompetence, minority or guardianship as it may deem appropriate
                prior to distribution of the benefit. Any payment of a benefit shall
                be a
                payment for the account of the Executive and the Executive’s Beneficiary,
                as the case may be, and shall be a complete discharge of any liability
                under the Agreement for such payment
                amount.

            

    

     

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    Article
      5

    General
      Limitations

    

    
      	
              5.1
                

            	
              Termination
                for Cause.
                Notwithstanding any provision of this Agreement to the contrary,
                the Bank
                shall not pay any benefit under this Agreement if the board of directors
                or shareholders of either the Bank or the Holding company terminates
                the
                Executive's employment for:

            

    

    

    
      	 	
              (a)
                

            	
              Gross
                negligence or gross neglect of duties to the
                Bank;

            

    

    

    
      	 	
              (b)
                

            	
              Commission
                of a felony or of a gross misdemeanor involving moral turpitude;
                

            

    

    

    
      	 	
              (c)
                

            	
              Fraud
                or willful violation of any law or significant Bank policy committed
                in
                connection with the Executive's employment and resulting in a material
                adverse effect on the Bank; or

            

    

    

    
      	 	
              (d)
                

            	
              Issuance
                of an order for removal of the Executive by the banking regulators
                of the
                Bank or the Holding Company.

            

    

    

    
      	
              5.2

            	
              Suicide
                or Misstatement.
                The Bank shall not pay any benefit under this Agreement if the Executive
                commits suicide within two years after the Effective Date. In addition,
                the Bank shall not pay any benefit under this Agreement if the Executive
                has made any material misstatement of fact on any application for
                life
                insurance owned by the Bank on the Executive’s
                life.

            

    

    

    
      	
              5.3

            	
              Competition
                After Termination of Employment.
                The Bank shall not pay any benefit under this Agreement if the Executive,
                without the prior written consent of the Bank or, if earlier, within
                1
                year from the Executive’s Termination of Employment, engages in, directly
                or indirectly, as a sole proprietor, as a partner in a partnership,
                or as
                a holder of more than five percent (5%) of the voting shares in a
                corporation, or becomes associated with, in the capacity of employee,
                director, officer, principal, agent or trustee, any enterprise conducted
                within a 25-mile radius of any office of the Bank existing at the
                time of
                the Executive’s Termination of Employment, which enterprise is, or may
                deemed to be, competitive with the business of banking carried on
                by the
                Bank as of the date of the Executive’s Termination of Employment. 
                This section shall not apply to a Termination of Employment (other
                than a
                Termination for Cause) following a Change of Control or to an Early
                Termination which was involuntary on the part of the
                Executive.

            

    

    

    Article
      6

    Claims
      And Review Procedures

    

    
      	
              6.1

            	
              Claims
                Procedure.
                An Executive or Beneficiary (“claimant”) who has not received benefits
                under the Agreement that he or she believes should be paid shall
                make a
                claim for such benefits as follows:

            

    

    

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	 	
              6.1.1

            	
              Initiation
                - Written Claim.
                The claimant initiates a claim by submitting to the Plan Administrator
                a
                written claim for the benefits.

            

    

    

    
      	 	
              6.1.2

            	
              Timing
                of Plan Administrator Response.
                The Plan Administrator shall respond to such claimant within 90 days
                after
                receiving the claim. If the Plan Administrator determines that special
                circumstances require additional time for processing the claim, the
                Plan
                Administrator can extend the response period by an additional 90
                days by
                notifying the claimant in writing, prior to the end of the initial
                90-day
                period, that an additional period is required. The notice of extension
                must set forth the special circumstances and the date by which the
                Plan
                Administrator expects to render its
                decision.

            

    

    

    
      	 	
              6.1.3

            	
              Notice
                of Decision.
                If the Plan Administrator denies part or all of the claim, the Plan
                Administrator shall notify the claimant in writing of such denial.
                The
                Plan Administrator shall write the notification in a manner calculated
                to
                be understood by the claimant. The notification shall
                include:

            

    

    

    (a) The
      specific reasons for the denial;

    (b) A
      reference to the specific provisions of the Agreement on which the denial is
      based;

    (c) A
      description of any additional information or material necessary for the claimant
      to perfect the claim and an explanation of why it is needed; and

    (d) A
      description of the applicable review procedures and the time limits applicable
      to such procedures. 

    

    
      	
              6.2

            	
              Review
                Procedure.
                If the Plan Administrator denies part or all of the claim, the claimant
                shall have the opportunity for a full and fair review by the Plan
                Administrator of the denial, as
                follows:

            

    

    

    
      	 	
              6.2.1

            	
              Initiation
                - Written Request.
                To initiate the review, the claimant, within 60 days after receiving
                the
                Plan Administrator’s notice of denial, must file with the Plan
                Administrator a written request for
                review.

            

    

    

    
      	 	
              6.2.2

            	
              Additional
                Submissions - Information Access.
                The claimant shall then have the opportunity to submit written comments,
                documents, records and other information relating to the claim. The
                Plan
                Administrator shall also provide the claimant, upon request and free
                of
                charge, reasonable access to, and copies of, all documents, records
                and
                other information relevant to the claimant’s claim for
                benefits.

            

    

    

    
      	 	
              6.2.3

            	
              Considerations
                on Review.
                In considering the review, the Plan Administrator shall take into
                account
                all materials and information the claimant submits relating to the
                claim,
                without regard to whether such information was submitted or considered
                in
                the initial benefit determination.

            

    

     

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	 	
              6.2.4

            	
              Timing
                of Plan Administrator Response.
                The Plan Administrator shall respond in writing to such claimant
                within 60
                days after receiving the request for review. If the Plan Administrator
                determines that special circumstances require additional time for
                processing the claim, the Plan Administrator can extend the response
                period by an additional 60 days by notifying the claimant in writing,
                prior to the end of the initial 60-day period, that an additional
                period
                is required. The notice of extension must set forth the special
                circumstances and the date by which the Plan Administrator expects
                to
                render its decision.

            

    

    

    
      	 	
              6.2.5

            	
              Notice
                of Decision.
                The Plan Administrator shall notify the claimant in writing of its
                decision on review. The Plan Administrator shall write the notification
                in
                a manner calculated to be understood by the claimant. The notification
                shall include: 

            

    

    

    (a) The
      specific reasons for the denial;

    (b) A
      reference to the specific provisions of the Agreement on which the denial is
      based; and

    (c) A
      statement that the claimant is entitled to receive, upon request and free of
      charge, reasonable access to, and copies of, all documents, records and other
      information relevant to the claimant’s claim for benefits. 

    

    Article
      7

    Amendments
      and Termination

    

    This
      Agreement may be amended or terminated only by a written agreement signed by
      the
      Bank and the Executive. Provided, however, if the Bank’s Board of Directors
      determines that the Executive is no longer a member of a select group of
      management or highly compensated employees, as that phrase applies to ERISA,
      for
      reasons other than death, Disability or retirement, the Bank may amend or
      terminate this Agreement. Upon such amendment or termination, the Bank shall
      pay
      benefits to the Executive as if Early Termination occurred on the date of such
      amendment or termination, regardless of whether Early Termination actually
      occurs. Additionally, the Bank may also amend this Agreement to conform with
      written directives to the Bank from its banking regulators.

    

    Article
      8

    Administration
      of Agreement

    

    
      	
              8.1

            	
              Plan
                Administrator Duties.
                This Agreement shall be administered by a Plan Administrator which
                shall
                consist of the Board, or such committee or person(s) as the Board
                shall
                appoint. The Executive may be a member of the Plan Administrator.
                The Plan
                Administrator shall also have the discretion and authority to (i)
                make,
                amend, interpret and enforce all appropriate rules and regulations
                for the
                administra-tion of this Agreement and (ii) decide or resolve any
                and all
                ques-tions including interpretations of this Agreement, as may arise
                in
                connection with the Agreement.

            

    

     

    
 

    

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	
              8.2

            	
              Agents.
                In the administration of this Agreement, the Plan Administrator may
                employ
                agents and delegate to them such administrative duties as it sees
                fit,
                (including acting through a duly appointed representative), and may
                from
                time to time consult with counsel who may be counsel to the
                Bank.

            

    

    

    
      	
              8.3

            	
              Binding
                Effect of Decisions.
                The decision or action of the Plan Administrator with respect to
                any
                question arising out of or in connection with the administration,
                interpretation and application of the Agreement and the rules and
                regulations promulgated hereunder shall be final and conclusive and
                binding upon all persons having any interest in the Agreement. No
                Executive or Beneficiary shall be deemed to have any right, vested
                or
                nonvested, regarding the continued use of any previously adopted
                assumptions, including but not limited to the Discount
                Rate.

            

    

    

    
      	
              8.4

            	
              Indemnity
                of Plan Administrator.
                The Bank shall indemnify and hold harmless the members of the Plan
                Administrator against any and all claims, losses, damages, expenses
                or
                liabilities arising from any action or failure to act with respect
                to this
                Agreement, except in the case of willful misconduct by the Plan
                Administrator or any of its
                members.

            

    

    

    
      	
              8.5

            	
              Bank
                Information.
                To enable the Plan Administrator to perform its functions, the Bank
                shall
                supply full and timely information to the Plan Administrator on all
                matters relating to the date and circum-stances of the retirement,
                Disability, death, or Termination of Employment of the Executive,
                and such
                other pertinent information as the Plan Administrator may reasonably
                require.

            

    

    

    
      	
              8.6

            	
              Annual
                Statement.
                The Plan Administrator shall provide to the Executive, within 120
                days
                after the end of each Plan Year, in the form of Schedule
                A
                of
                this Agreement, a statement setting forth the benefits payable under
                this
                Agreement. It is hereby agreed that such annual statement, in the
                form of
                Schedule
                A,
                shall be incorporated into, and thereby shall be a part of, this
                Agreement.

            

    

    

    Article
      9

    Miscellaneous

    

    
      	
              9.1

            	
              Binding
                Effect.
                This Agreement shall bind the Executive, the Company and the Bank,
                and
                their beneficiaries, survivors, executors, successors, administrators
                and
                transferees.

            

    

    

    
      	
              9.2

            	
              No
                Guarantee of Employment.
                This Agreement is not a policy or contract regarding the continued
                employment of the Executive, as a director of the Bank and/or the
                Holding
                Company. It does not give the Executive the right to remain as an
                employee
                or director of the Bank or the Holding Company, nor does it interfere
                with
                the right of the Bank or the Holding Company, or their respective
                shareholders, to remove the Executive from office. It also does not
                require the Executive to remain a director of the Bank or Holding
                Company
                nor interfere with the Executive's right to terminate employment
                with the
                Bank or Holding Company at any
                time.

            

    

     

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	
              9.3

            	
              Non-Transferability.
                Benefits under this Agreement cannot be sold, transferred, assigned,
                pledged, attached or encumbered in any
                manner.

            

    

    

    
      	
              9.4

            	
              Tax
                Withholding.
                The Bank shall withhold any taxes that, in its reasonable judgment,
                are
                required to be withheld from the benefits provided under this Agreement.
                The Executive acknowledges that the Bank’s sole liability regarding taxes
                is to forward any amounts withheld to the appropriate taxing
                authority(ies).

            

    

    

    
      	
              9.5

            	
              Applicable
                Law.
                The Agreement and all rights hereunder shall be governed by the laws
                of
                the State of Georgia, except to the extent preempted by the laws
                of the
                United States of America. Further, the parties intend for this Agreement,
                including the payment of benefits hereunder, to comply with the provisions
                of Section 409A of the Internal Revenue Code of 1986, as said Section
                may
                be amended from time to time, and, therefore, hereby agree that the
                provisions of this Agreement and the benefits payable hereunder shall
                be,
                and hereby are, modified, but only to the extent necessary, to achieve
                compliance therewith. 

            

    

    

    
      	
              9.6

            	
              Unfunded
                Arrangement.
                The Executive and Beneficiary (and any other parties with rights
                under
                this Agreement) are general unsecured creditors of the Bank for the
                payment of benefits under this Agreement. The benefits represent
                the mere
                promise by the Bank to pay such benefits. The rights to benefits
                are not
                subject in any manner to anticipation, alienation, sale, transfer,
                assignment, pledge, encumbrance, attachment, or garnishment by creditors.
                Any insurance on the Executive's life is a general asset of the Bank
                to
                which the Executive and Beneficiary have no preferred or secured
                claim.

            

    

     

    
      	
              9.7

            	
              Reorganization. Neither
                the Bank nor the Holding Company shall merge or consolidate into
                or with
                another company or bank, or reorganize, or sell substantially all
                of its
                assets to another company or bank, firm, or person unless such succeeding
                or continuing company, bank, firm, or person agrees to assume and
                discharge the obligations of the Bank and Holding Company under this
                Agreement. Upon the occurrence of such event, the terms “Bank” and
                “Holding Company”, as used in this Agreement, shall also be deemed to
                refer to the successor or survivor company or
                bank.

            

    

    

    
      	
              9.8

            	
              Entire
                Agreement. This
                Agreement constitutes the entire agreement between and among the
                Bank, the
                Holding Company and the Executive as to the subject matter hereof.
                No
                rights are granted to the Executive by virtue of this Agreement other
                than
                those specifically set forth
                herein.

            

    

    

    
      	
              9.9

            	
              Interpretation.
                Wherever the fulfillment of the intent and purpose of this Agreement
                requires, and the context will permit, the use of the masculine gender
                includes the feminine and use of the singular includes the
                plural.

            

    

     

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	
              9.10

            	
              Alternative
                Action.
                In the event it shall become impossible for the Bank, the Holding
                Company
                or the Plan Administrator to perform any act required by this Agreement,
                the Bank, the Holding Company or Plan Administrator may in its discretion
                perform such alternative act as most nearly carries out the intent
                and
                purpose of this Agreement and is in the best interests of the
                Bank.

            

    

    

    
      	
              9.11

            	
              Headings.
                Article and section headings are for convenient reference only and
                shall
                not control or affect the meaning or construction of any of its
                provisions.

            

    

    

    
      	
              9.12

            	
              Validity.
                In case any provision of this Agreement shall be illegal or invalid
                for
                any reason, said illegality or invalidity shall not affect the remaining
                parts hereof, but this Agreement shall be construed and enforced
                as if
                such illegal and invalid provision has never been inserted
                herein.

            

    

    

    
      	
              9.13

            	
              Notice.
                Any notice or filing required or permitted to be given to the Bank
                or Plan
                Administrator under this Agreement shall be sufficient if in writing
                and
                hand-delivered, or sent by registered or certified mail, to the address
                below: 

            

    

     

    
      	
              Appalachian
                Community Bank

            
	
              829
                Industrial Blvd.

            
	
              Ellijay,
                Georgia 30540

            

    

     

    Such
      notice shall be deemed given as of the date of delivery or, if delivery is
      made
      by mail, as of the date shown on the postmark on the receipt for registration
      or
      certification.

    

    Any
      notice or filing required or permitted to be given to the Executive under this
      Agreement shall be sufficient if in writing and hand-delivered, or sent by
      mail,
      to the last known address of the Executive.

    

    

    IN
      WITNESS WHEREOF, the Executive and a duly authorized representative of each
      of
      the Bank and Holding Company have signed this Agreement.

     

     

    
 

    
      	 	
              “EXECUTIVE:”

              

              /s/
                Joseph T. Moss, Jr.

              Joseph
                T. Moss, Jr., 

              President
                and Chief Operating Officer

              

              

              “BANK:”

               

              
                Appalachian
                  Community Bank

                
                  /s/
                    Tracy R. Newton

                  By:
                    Tracy R. Newton 

                

                
                  Title: 
                    Chief Executive
                    Officer

                

              

            

    

    

     

     

    
       

      
        
          
          

        

        
          14

          
            

          

        

        
          
          

        

      

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    

    
      	 	 
	 	
              “HOLDING
                COMPANY:”

            
	 	 
	 	
              Appalachian
                Bancshares, Inc.

            
	 	
              
                
                  /s/
                    Tracy R. Newton

                

              

            
	 	
              By: 
                Tracy R. Newton

            
	 	
              Title: 
                Chief Executive Officer

            

    

    

     

     

     

     

     

     

     

     

    

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

     

     

    
      	

              Appalachian
                Community Bank

              Salary
                Continuation Agreement

              BENEFICIARY
                DESIGNATION FORM

            

    

     

    I
      designate the following as beneficiary of benefits under the Agreement payable
      following my death:

    

    Primary:    _________________________________________________________________

    

    _____________________________________________________________________________

    

    Contingent:    _______________________________________________________________

    

    _____________________________________________________________________________

    

    Note:
      To name a trust as beneficiary, please provide the name of the trustee(s) and
      the exact
      name and date of the trust agreement.

    

    I
      understand that I may change these beneficiary designations by delivering a
      new
      written designation to the Plan Administrator. I further understand that the
      designations will be automatically revoked if the beneficiary predeceases me,
      or, if I have named my spouse as beneficiary and our marriage is subsequently
      dissolved.

    

    Name:        _______________________________

    

    Signature:       
      _______________________________ Date: _______

    

    
      
        	
                SPOUSAL
                  CONSENT (Required if Spouse not named beneficiary):

                

                I
                  consent to the beneficiary designation above, and acknowledge that
                  if I am
                  named beneficiary and our marriage is subsequently dissolved, the
                  designation will be automatically revoked.

                

                Spouse
                  Name: _______________________________

                

                Signature: _______________________________ Date: _______

                

              

      

    

     

     

    

    

    Received
      by the Plan Administrator this ________ day of ___________________,
      20___.

    

    By: _________________________________

    

    Title: _________________________________

     

     

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    
       

      
        	
                Appalachian
                  Community Bank

                Salary
                  Continuation Agreement

              

      

      

    

    
      

      

      
        	
                Executive
                  Name

              	 	 	
                Plan
                  Anniversary Date

              	
                06/01

              
	
                Normal
                  Retirement Age

              	
                *

              	 	
                Normal
                  Retirement Date (Estimated)

              	 

      

     

     

    
      	
              Discount
                Rate

            	
              Plan
                Year Ending

            	
              Accrual
                Balance

            	
              Normal

              Retirement
                

              Benefit

              (annual

              benefit

              amount)

            	
              Early

              Termination

              Benefit

              (one-time,

              lump-sum

              benefit

              amount)

            	
              **

              Disability

              Benefit

              (annual

              benefit

              amount)

            	
              **

              Change
                of

              Control

              Benefit

              (annual

              benefit

               

              amount)

            	
              **

              Pre-retirement

              Death

              Benefit

              (annual

              benefit

              amount)

            
	
              7%

            	 	
              $

            	
              $

            	
              $

            	
              $

            	
              $

            	
              $

            

    

     

     

    

    The
      parties to this Salary Continuation Agreement hereby further agree that this
      Schedule
      A
      shall be
      updated annually to include any changes in the Accrual Balance and the various
      benefit levels described hereon. Further, this Schedule
      A,
      as it
      now exists and as it may be further updated, is and shall continue to be a
      part
      of this Salary Continuation Agreement.

    

    

    *The
      earlier of Age 65 or the Age at which a Executive completes 20 years of
      employment as a director of the Bank and/or the Holding
      Company.

    

    **This
      annual benefit amount to be entered here for the Executive should be the
      projected annual benefit amount set forth in Section 2.1.1 of the
      Agreement.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00103-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00103-of-00352.parquet"}]]