Document:

-- Converted by SECPublisher 3.1.0.1, created by BCL Technologies Inc., for SEC Filing

     
Exhibit 10.3

BANCORP 

EMPLOYMENT AGREEMENT

FOR 

BOBBY L. DUMILIEU 

Dated as of March 1, 2006 

	
Table of Contents
	
	
 
		
 		
 
		
 		
 
		
 		
Page 
	
	
 
	
	
1. 
		
 		
EMPLOYMENT 
		
 		
1 
	
	
2. 
		
 		
TERM OF AGREEMENT 
		
 		
1 
	
	
 
		
 		
2.1 
		
 		
Initial Term/Automatic Renewal 
		
 		
1 
	
	
 
		
 		
2.2 
		
 		
Perpetual Term After Change in Control 
		
 		
2 
	
	
 
		
 		
2.3 
		
 		
Termination Upon Retirement 
		
 		
2 
	
	
3. 
		
 		
NO TERM OF EMPLOYMENT 
		
 		
2 
	
	
4. 
		
 		
DUTIES 
		
 		
2 
	
	
 
		
 		
4.1 
		
 		
Duties 
		
 		
2 
	
	
 
		
 		
4.2 
		
 		
Obligations 
		
 		
2 
	
	
5. 
		
 		
COMPENSATION 
		
 		
2 
	
	
 
		
 		
5.1 
		
 		
Base Salary 
		
 		
2 
	
	
 
		
 		
5.2 
		
 		
Vacation 
		
 		
2 
	
	
 
		
 		
5.3 
		
 		
Stock Options 
		
 		
3 
	
	
 
		
 		
5.4 
		
 		
Long-Term Care Insurance 
		
 		
3 
	
	
 
		
 		
5.5 
		
 		
Club Dues 
		
 		
3 
	
	
 
		
 		
5.6 
		
 		
Other Benefits 
		
 		
3 
	
	
 
		
 		
5.7 
		
 		
Reimbursements 
		
 		
3 
	
	
 
		
 		
5.8 
		
 		
Other Benefit Agreements 
		
 		
3 
	
	
6. 
		
 		
TERMINATION 
		
 		
4 
	
	
 
		
 		
6.1 
		
 		
For Cause 
		
 		
4 
	
	
 
		
 		
6.2 
		
 		
Without Cause 
		
 		
4 
	
	
 
		
 		
6.3 
		
 		
For Good Reason 
		
 		
4 
	
	
 
		
 		
6.4 
		
 		
Resignation 
		
 		
4 
	
	
 
		
 		
6.5 
		
 		
Death or Disability 
		
 		
4 
	
	
 
		
 		
6.6 
		
 		
Retirement 
		
 		
4 
	
	
7. 
		
 		
DEFINITIONS 
		
 		
5 
	
	
 
		
 		
7.1 
		
 		
Cause 
		
 		
5 
	
	
 
		
 		
7.2 
		
 		
Good Reason 
		
 		
5 
	
	
 
		
 		
7.3 
		
 		
Disability 
		
 		
7 
	
	
 
		
 		
7.4 
		
 		
Change in Control 
		
 		
7 
	
	
8. 
		
 		
PAYMENT UPON TERMINATION 
		
 		
8 
	
	
9. 
		
 		
RETIREMENT BENEFITS 
		
 		
8 
	
	
 
		
 		
9.1 
		
 		
Stock Option Vesting 
		
 		
8 
	
	
 
		
 		
9.2 
		
 		
401(k) Contribution 
		
 		
8 
	
	
 
		
 		
9.3 
		
 		
Retiree Health Insurance 
		
 		
8 
	
	
 
		
 		
9.4 
		
 		
Long-Term Care Insurance 
		
 		
8 
	
	
10. 
		
 		
CONSIDERATION FOR RELEASE OF CLAIMS 
		
 		
9 
	
	
 
		
 		
10.1 
		
 		
Normal Retirement Benefits 
		
 		
9 
	
	
11. 
		
 		
CONSIDERATION FOR NOT COMPETING 
		
 		
9 
	
	
 
		
 		
11.1 
		
 		
Self-Imposed Limitation 
		
 		
9 
	
	
 
		
 		
11.2 
		
 		
Amount/Payment of Consideration 
		
 		
9 
	
	
12. 
		
 		
CHANGE IN CONTROL RETENTION BONUS 
		
 		
9 
	
	
 
	
	
                       
 
		
 		
 
		
 		
 
		
 		
 
	
	
 

i 

	
13. 
		
 		
IRC 280G ADJUSTMENT 
		
 		
10 
	
	
14. 
		
 		
CONFIDENTIALITY AND CREATIVE WORK 
		
 		
10 
	
	
 
		
 		
14.1 
		
 		
Nondisclosure 
		
 		
10 
	
	
 
		
 		
14.2 
		
 		
Return of Material 
		
 		
11 
	
	
 
		
 		
14.3 
		
 		
Injunctive Relief 
		
 		
11 
	
	
 
		
 		
14.4 
		
 		
Creative Work 
		
 		
11 
	
	
15. 
		
 		
DISPUTE RESOLUTION 
		
 		
11 
	
	
 
		
 		
15.1 
		
 		
Arbitration 
		
 		
11 
	
	
 
		
 		
15.2 
		
 		
Expenses/Attorneys' Fees 
		
 		
12 
	
	
 
		
 		
15.3 
		
 		
Injunctive Relief 
		
 		
12 
	
	
16. 
		
 		
NOTICES 
		
 		
12 
	
	
17. 
		
 		
GENERAL PROVISIONS 
		
 		
12 
	
	
 
		
 		
17.1 
		
 		
Governing Law 
		
 		
12 
	
	
 
		
 		
17.2 
		
 		
Saving Provision 
		
 		
13 
	
	
 
		
 		
17.3 
		
 		
Survival Provision 
		
 		
13 
	
	
 
		
 		
17.4 
		
 		
Captions and Counterparts 
		
 		
13 
	
	
 
		
 		
17.5 
		
 		
Entire Agreement 
		
 		
13 
	
	
 
		
 		
17.6 
		
 		
Previous Agreement 
		
 		
13 
	
	
 
		
 		
17.7 
		
 		
Waiver/Amendment 
		
 		
13 
	
	
 
		
 		
17.8 
		
 		
Assignment 
		
 		
13 
	
	
18. 
		
 		
ADVICE OF COUNSEL 
		
 		
14 
	
	
                     
		
 	
 	
 	
 

ii

EMPLOYMENT AGREEMENT

             This Employment Agreement (this "Agreement") by and among BANCORP, an Oregon corporation (the "BANCORP"), PREMIERWEST BANK, an Oregon state chartered bank (the "BANK") (PREMIERWEST BANK and the BANK are, collectively, referred to
as "PREMIERWEST") and BOBBY L. DUMILIEU ("EXECUTIVE"), is dated March 1, 2006.

RECITALS

   
      A. Incentive to Continued Service. PREMIERWEST recognizes that EXECUTIVE possesses unique skills, knowledge, and experience related to
PREMIERWEST'S business and EXECUTIVE has made and is expected to continue to make major contributions to the profitability, growth and financial strength of PREMIERWEST and its affiliates. To assure itself of the continuity of management,
PREMIERWEST desires to provide incentives for EXECUTIVE to remain employed until retirement age and following a Change in Control. 

          B. No Currently Anticipated Change in Control. As of the date of this Agreement none of the conditions or events included in the definition
of the term "golden parachute payment" that is set forth in Section 18(k)(4)(A)(ii) of the Federal Deposit Insurance Act [12 U.S.C. 1828(k)(4)(A)(ii)] and in Federal Deposit Insurance Corporation Rule 359.1(f)(l)(ii) [12 CFR 359.1(f)(l)(ii)] exists
or, to the best knowledge of PREMIERWEST, is contemplated insofar as PREMIERWEST or any affiliates are concerned. 

AGREEMENT

        1. EMPLOYMENT. The BANK shall continue to employ EXECUTIVE to serve as Executive Vice President - Branch Administration according to the terms and conditions of this Agreement, for the period stated in Section 2 below. 

        2. 
TERM OF AGREEMENT. 

                2.1 Initial Term/Automatic Renewal. The initial term of this Agreement shall
expire on December 31, 2006. On each anniversary of the expiration date, this Agreement shall be extended automatically for one (1) additional year unless the BANK'S Board of Directors (the "Board") determines that the term shall
not be extended. If the Board determines not to extend the term, it shall promptly notify EXECUTIVE in writing and this Agreement will remain in force only until its term expires. The Board's decision not to extend the term of this Agreement may be
exercised at any time, at its sole discretion. The termination of employment that results from such action shall be deemed a termination prior to the expiration of this Agreement pursuant to the provisions of Section 6, below, and, as a result
thereof, EXECUTIVE may be entitled to benefits as provided in Section 8, 9, 10 and/or 11, below. 

1

       
     2.2 Perpetual Term After Change in Control. Following a Change in Control, this Agreement will be subject to a perpetual term and will only
be terminable with EXECUTIVE'S written consent. 

       
     2.3 Termination Upon Retirement. Unless sooner terminated, EXECUTIVE'S employment shall terminate automatically when he reaches age 65.

     3. NO TERM OF EMPLOYMENT. Notwithstanding the term of this Agreement, the BANK may terminate EXECUTIVE'S
employment at any time for any lawful reason or for no reason at all, subject to the provisions of this Agreement. 

     4. 
DUTIES. 

                4.1 Duties. As Executive Vice President - Branch Administration,
EXECUTIVE shall serve under the direction of the President & Chief Executive Officer (the "Supervisor") and in accordance with the Articles of Incorporation and Bylaws (as each may be amended or restated from time to time) of
the BANK.

                4.2 Obligations.

               
     (a) EXECUTIVE agrees that to the best of EXECUTIVE'S ability and experience, EXECUTIVE will at all times loyally and conscientiously perform
all of the duties and obligations required of EXECUTIVE pursuant to the express and implicit terms of this Agreement and as directed by the Supervisor.

               
     (b) EXECUTIVE shall devote EXECUTIVE'S entire working time, attention and efforts to PREMIERWEST'S business and affairs, shall faithfully and
diligently serve PREMIERWEST'S interests and shall not engage in any business or employment activity that is not on PREMIERWEST'S behalf (whether or not pursued for gain or profit) except for (a) activities approved in writing in advance by the
Supervisor and (b) passive investments that do not involve EXECUTIVE providing any advice or services to the businesses in which the investments are made. 

    5. COMPENSATION. For all services performed under this Agreement, PREMIERWEST agrees to pay the following compensation and benefits: 

       
     5.1 Base Salary. EXECUTIVE'S annual base salary is $120,000.00 payable in
semi-monthly installments (the "Base Salary"). EXECUTIVE'S base salary shall be subject to annual review by the Board's Compensation Committee. Taking into account the committee's recommendation, the BANK may increase the Base Salary, but the Base
Salary shall not be reduced.

       
     5.2 Vacation. EXECUTIVE is entitled to not less than four (4) weeks of paid
vacation per calendar year to be used in accordance with the terms and conditions of the PREMIERWEST'S personnel policies. Paid vacation for a partial year's employment shall be prorated on a daily basis. Notwithstanding anything in the personnel
policies to the contrary, up to two weeks of EXECUTIVE'S four weeks of paid vacation may be carried over from one year

2

to the next if unused by the end of the year, but EXECUTIVE shall not be entitled under any circumstance to payment for unused vacation. 

             5.3 Stock Options. EXECUTIVE is eligible to participate in the PREMIERWEST'S stock option plans and other stock-based compensation, incentive, bonus, or purchase plans currently existing or adopted during the term of this Agreement for the benefit of officers or employees. 

       
     5.4 Long-Term Care Insurance. PREMIERWEST may commence paying the premiums on long
term care insurance policies for EXECUTIVE and EXECUTIVE'S spouse, provided EXECUTIVE and EXECUTIVE'S SPOUSE qualify for such insurance. PREMIERWEST may cease to pay such premiums at any time prior to a Change in Control or prior to vesting of such benefits under Section 9 or 10 below, but following a Change in Control or vesting of the benefits under Section 9 or
10 below, PREMIERWEST shall continue to pay all remaining premium payments, if PREMIERWEST has made a premium payment on the policy the preceding 12 months. 

       
     5.5 Club Dues. During the term of this Agreement, PREMIERWEST shall pay EXECUTIVE'S
monthly golf and social dues at the Rogue Valley Country Club. 

       
     5.6 Other Benefits. EXECUTIVE is entitled to participate in all officer or employee
compensation, bonus, incentive, and benefit plans in effect from time to time throughout the term of this Agreement which PREMIERWEST generally makes available to its officers and employees, including without limitation plans providing medical,
dental, disability, and group life benefits, and 401(k) retirement plans, and to receive any and all other fringe benefits generally made available by PREMIERWEST to its officers and employees, from time to time, provided that EXECUTIVE satisfies
the eligibility requirements for any such plans or benefits. 

       
     5.7 Reimbursements. EXECUTIVE shall be entitled to reimbursement for all reasonable business expenses incurred
in performing his obligations under this Agreement, including but not limited to all reasonable business travel and entertainment expenses incurred while acting at the request of or in the service of PREMIERWEST, provided such expenses are incurred
and accounted for in accordance with the policies and procedures established from time to time by PREMIERWEST. 

             5.8 Other Benefit Agreements. Contemporaneously with the execution of this Agreement, EXECUTIVE and
PREMIERWEST shall join in executing the are already parties to the following additional benefit agreements, the benefits under which shall be governed solely by the terms of those agreements:      

                    (a) Supplemental EXECUTIVE Retirement Plan Agreement
(SERP) (retirement benefits); and

                       (b) Deferred Compensation Agreement. 

3

   
     6. TERMINATION. EXECUTIVE'S employment may be terminated before the expiration of this Agreement as described
in this Section, in which event EXECUTIVE'S compensation and benefits shall terminate except as otherwise provided in this Agreement. Any purported termination by PREMIERWEST or by EXECUTIVE shall be communicated by written notice of termination to
the other. The notice must state (i) the specific termination provision of this Agreement relied upon, (ii) the date on which termination shall become effective and (iii) if Termination For Cause or Termination For Good Reason the notice must state
in reasonable detail the facts and circumstances forming the basis for termination. Employment shall terminate: 

                 6.1 For Cause. Upon delivery to EXECUTIVE of notice of termination of EXECUTIVE for
Cause (as defined in Section 7.1 below), along with a copy of the duly adopted Board resolution finding Cause, as described below ("Termination For Cause").

                             (a) As a prerequisite to Termination For Cause, at a meeting called and held for such purpose the Board must adopt a resolution which (i) contains findings that, in the good faith opinion of the Board, EXECUTIVE has committed
an act constituting Cause, and (ii) specifies the particulars thereof in detail. The resolution must be adopted by the affirmative vote of at least 75% of the directors of the Board. 

                             (b) Notice of that meeting and the proposed Termination For Cause shall be given to EXECUTIVE a reasonable amount of time before the meeting. EXECUTIVE and his counsel (if EXECUTIVE chooses to have counsel present) shall have a
reasonable opportunity to be heard at the meeting. Nothing in this Agreement limits EXECUTIVE'S or his beneficiaries' right to contest the validity or propriety of the Board's determination of Cause. 

           
     6.2 Without Cause. Upon PREMIERWEST'S termination of EXECUTIVE without Cause, upon
90 days' written notice, at any time in PREMIERWEST'S sole discretion, for any reason other than for Cause or for no reason ("Termination Without Cause"). A Change in Control does not in itself constitute Termination Without Cause. 

           
     6.3 For Good Reason. Upon EXECUTIVE'S termination of the employment for Good Reason
(as defined in Section 7.2 below) ("Termination For Good Reason"). 

           
     6.4 Resignation. Upon EXECUTIVE'S voluntary resignation without Good Reason
("Resignation"), written notice of which EXECUTIVE must give to PREMIERWEST at least 90 days in advance of Resignation.

                 6.5 Death or Disability. Upon EXECUTIVE'S death or Disability (as defined in
Section 7.3 below). 

           
     6.6 Retirement. Upon EXECUTIVE reaching the retirement age of 65 ("Retirement Age"). The automatic termination upon reaching Retirement Age is referred to as "Retirement." 

4

        7. 
DEFINITIONS.
 

            7.1 Cause. "Cause" for EXECUTIVE'S termination will exist upon the
occurrence of one or more of the following events:

                     (a) Fraudulent Conduct. An intentional act of fraud, embezzlement, or theft by EXECUTIVE in the course of his employment with the BANK. No
act or failure to act on EXECUTIVE'S part shall be deemed to have been intentional if it was due primarily to an error in judgment or negligence. An act or failure to act on EXECUTIVE'S part shall be considered intentional if it is not in good faith
and if it is without a reasonable belief that the action or failure to act is in PREMIERWEST'S best interests; 

                     (b) Material Breach of Agreement. A material breach by EXECUTIVE of this Agreement if such breach is not remedied or is not being remedied to the Board's satisfaction within 30 days after written notice including a detailed description of the breach has been delivered by the Board to
EXECUTIVE; 

           
         (c) Gross Negligence/Insubordination. Gross negligence or insubordination by EXECUTIVE in the performance of his duties as an officer of the
BANK if such gross negligence or insubordination is not remedied or is not being remedied to the Board's satisfaction within 30 days after written notice including a detailed description of the gross negligence or insubordination has been delivered
by the Board to EXECUTIVE;

               
     (d) Breach of Fiduciary Duties. A breach by EXECUTIVE of his fiduciary duties to the BANK and its stockholders or misconduct involving
dishonesty in his capacity as an officer of the BANK;

                     (e) Criminal Conviction. Conviction of EXECUTIVE for a felony or conviction of a misdemeanor involving moral turpitude; 

               
     (f) Violation of Law. Intentional violation of any law or significant policy of BANCORP or the BANK committed in connection with EXECUTIVE'S
employment, which has a material adverse effect on BANCORP or the BANK; or 

                     (g) FDIC Removal Order. Removal of EXECUTIVE from office or permanent prohibition of EXECUTIVE from participating in the conduct of
PREMIERWEST BANK'S affairs by an order issued under section 8(e)(4) or (g)(l) of the Federal Deposit Insurance Act, 12 U.S.C. 1818(e)(4) or (g)(l). 

             7.2 Good Reason. "Good Reason" for EXECUTIVE'S resignation of employment will exist
upon the occurrence, without EXECUTIVE'S consent, of one or more of the following events, if EXECUTIVE has informed PREMIERWEST in writing of the circumstances described below in this Section 7.2 that could give rise to Termination For Good Reason
and PREMIERWEST has not removed the circumstances within 30 days of the written notice: 

5

                 (a)  Reduction in Base Salary. A reduction of EXECUTIVE'S Base Salary;

           
     (b) Reduced Participation in Bonus, Incentive, Compensation, and Other Plans. A reduction of EXECUTIVE'S
bonus, incentive, and other compensation award opportunities under BANCORP'S benefit plans and the BANK'S benefit plans, unless in the case of either, a company-wide reduction of all officers' award opportunities occurs simultaneously; 

           
     (c)  Participation in Benefit Plans. Discontinuance of EXECUTIVE'S participation in any officer or employee
benefit plan maintained by BANCORP or by the BANK, unless the plan is discontinued by reason of law or loss of tax deductibility to PREMIERWEST with respect to contributions to the plan, or is discontinued as a matter of BANCORP policy or
PREMIERWEST BANK policy applied equally to all participants in the plan; 

                (d) 
A Reduction in Responsibilities or Status based on one of the following: 

                        
(1) Assignment to EXECUTIVE of duties or responsibilities
that
are materially inconsistent with EXECUTIVE'S position as stated in this Agreement or that represent a material reduction of his authority; 

                   
     (2)  Any other action by PREMIERWEST that results in a material reduction or material adverse change in EXECUTIVE'S position, authority, duties
or responsibilities; or 

                   
     (3)  Failure to appoint or reappoint EXECUTIVE to the position stated in this Agreement; 

                   
     (4)  Following a Change in Control, failure to retain EXECUTIVE in an executive officer position with authority, duties or responsibilities
consistent with that of an executive officer.

(Subsections (d)(1), (2) and (3) do not apply following a Change in Control); 

       
     (e)  Failure to Obtain Assumption Agreement. The failure of a successor or assign of the BANK to assume and
agree to perform this Agreement, if assignment and assumption does not occur automatically under operation of law; 

       
     (f)  Termination without Compliance with this Agreement. Termination by PREMIERWEST of EXECUTIVE'S employment
without the notice required under this Agreement; 

       
     (g) Material Breach. A material breach of this Agreement by PREMIERWEST that is not corrected within a
reasonable time; or 

       
     (h) Relocation of EXECUTIVE. Requiring EXECUTIVE to change his principal work location, to any location that is more than 35 miles from the
location of EXECUTIVE'S office. 

6

             7.3 Disability. "Disability" shall mean that (i) EXECUTIVE has been unable to
perform EXECUTIVE'S duties under this Agreement as a result of EXECUTIVE'S incapacity due to physical or mental illness for at least 90 consecutive calendar days or 150 calendar days during any consecutive 12 month period and (ii) a physician
selected by PREMIERWEST and its insurers and acceptable to EXECUTIVE or EXECUTIVE'S legal representative (with such Agreement on acceptability of the physician not to be unreasonably withheld), determines the incapacity to be continuing, to the
extent that EXECUTIVE cannot continue to perform essential functions of EXECUTIVE'S position with or without reasonable accommodation. EXECUTIVE shall not be deemed to be disabled, however, if he returns to work on a full-time basis, with the
ability to perform al essential functions of EXECUTIVE'S position, within 30 days after PREMIERWEST gives him notice of termination due to Disability. PREMIERWEST may require EXECUTIVE to submit to such physical or mental evaluations and tests as
the board of directors deems appropriate. 

            7.4 Change in Control. For purposes of this Agreement, a "Change in Control" shall be deemed to have occurred when any of the following events take place: 

           
     (a)  Merger. BANCORP merges into or consolidates with another corporation, or merges another corporation into
BANCORP, and as a result, less than 50% of the combined voting power of the resulting corporation immediately after the merger or consolidation is held by persons who were the holders of BANCORP'S voting securities immediately before the merger or
consolidation. The term "person" means an individual, corporation, partnership, trust, association, joint venture, pool, syndicate, sole proprietorship, unincorporated organization or other
entity. 

           
     (b) Acquisition of Significant Share Ownership. A report on Schedule 13D or another form or schedule (other
than Schedule 13G) is filed or is required to be filed under sections 13(d) or 14(d) of the Securities Exchange Act of 1934, if the schedule discloses that the filing person or persons acting in concert has or have become the beneficial owner of 25%
or more of a class of BANCORP'S voting securities, but this paragraph (b) shall not apply to beneficial ownership of voting shares of BANCORP owned by a qualified retirement plan or held in a fiduciary capacity by an entity in which PREMIERWEST
directly or indirectly beneficially owns, or has the right to vote, 50% or more of the outstanding voting securities; 

                 (c)  Change in Board Composition. During any period of two (2) consecutive years, individuals who constitute
BANCORP'S board of directors at the beginning of the two-year period cease for any reason to constitute at least a majority thereof; provided, however, that for purposes of this paragraph
(c), each director who is first elected by the board (or first nominated by the board for election by stockholders) by a vote of at least two-thirds of the directors who were directors at the beginning of the period shall be deemed to have been a
director at the beginning of the two-year period. 

                 (d) Sale of Assets. BANCORP sells to a third party all or substantially all of BANCORP'S assets. For this
purpose, sale of all or substantially all of BANCORP'S assets includes sale of PREMIERWEST BANK. 

7

   
     8. PAYMENT UPON TERMINATION. Upon termination of EXECUTIVE'S employment for any of the reasons set forth in
Section 6 above, EXECUTIVE or EXECUTIVE'S estate, as appropriate, will receive payment for all Base Salary earned through the date of termination and, except in the event of Termination For Cause or Resignation, all unpaid bonus or incentive
compensation due to EXECUTIVE for the previous calendar year. Such amount shall be paid by the end of the business day following termination or sooner if required by applicable law.

   
     9. RETIREMENT BENEFITS. Upon Retirement, EXECUTIVE shall additionally be entitled to the following
benefits:

                 9.1 Stock Option Vesting. EXECUTIVE shall also be fully vested in any stock
options, restricted stock grants, or other similar equity compensation arrangements regardless of whether the respective plan provides for accelerated vesting.

           
     9.2 401(k) Contribution. PREMIERWEST shall contribute or cause to be contributed to
EXECUTIVE'S 401(k) plan account the matching and profit sharing contributions, if any, that would have been made had EXECUTIVEs employment not terminated before the end of the plan year.

           
     9.3 Retiree Health Insurance. Subject to the conditions set forth in this Section
9.3, EXECUTIVE shall be entitled to retiree health care coverage for himself and his spouse for 15 years after termination of employment as follows: (1) until EXECUTIVE and his spouse, respectively, reach the eligible age for Medicare, the retiree
health care coverage for each shall be substantially similar to coverage maintained for PREMIERWEST employees ("Group Coverage") and (2) after EXECUTIVE and his spouse, respectively, reach the eligible age for Medicare, PREMIERWEST will provide
Medicare Supplemental Insurance comparable to the best of such policies offered by a major insurance carrier in the market area. Eligibility to participate in the Group Coverage shall be conditioned upon: i) coverage under similar insurance programs
not being available to EXECUTIVE and EXECUTIVEs spouse under benefit plans provided by another employer of EXECUTIVE or his spouse; and ii) coverage under similar insurance programs immediately prior to enrollment in the Group Coverage programs. If
EXECUTIVE dies within 15 years after termination of employment, EXECUTIVE'S spouse shall continue to receive retiree health care coverage on the same terms and conditions that EXECUTIVE would have; provided, however, such spousal coverage will
expire no later than 15 years after termination of EXECUTIVE'S employment. 

           
     9.4 Long-Term Care Insurance. To the extent premiums on EXECUTIVE and EXECUTIVE'S
spouse's long-term care insurance remain to be paid, if PREMIERWEST has made a payment within the previous 12 months, PREMIERWEST shall continue to pay the remaining long-term care insurance premiums for EXECUTIVE and EXECUTIVE'S spouse until fully
paid or until EXECUTIVE'S death. If EXECUTIVE dies and EXECUTIVE'S spouse is the beneficiary of the death benefit under EXECUTIVE Survivor Income Agreement, EXECUTIVE'S spouse has the option to request that PREMIERWEST pay the remaining premiums on
her long term care insurance policy and in exchange PREMIERWEST will reduce the amount of the payment to EXECUTIVE'S spouse under EXECUTIVE Survivor Income Agreement by the amount of such remaining premium payments. 

8

         10. CONSIDERATION FOR RELEASE OF CLAIMS. In the event of (i) Termination Without Cause, (ii) Termination for
Good Reason, or (iii) if termination occurs for any reason other than Termination For Cause more than six (6) months after a Change in Control, (each an "Eligible Termination Event") PREMIERWEST will offer and EXECUTIVE may choose to execute the
Separation Agreement, attached hereto as Exhibit A, which provides for the release of claims against PREMIERWEST. Provided EXECUTIVE executes and does not revoke Section 7(a) of the Separation Agreement, EXECUTIVE will be entitled to the benefits
listed below in this Section 10 in consideration for the release of claims.

                 10.1 Normal Retirement Benefits. EXECUTIVE will be entitled to all of the benefits in Section 9 that EXECUTIVE
would have received had the employment terminated due to Retirement. 

        11.
CONSIDERATION FOR NOT COMPETING.

                11.1 Self-Imposed Limitation. In the event of an Eligible Termination Event
(as defined in Section 10 above), EXECUTIVE may choose to indicate in the Separation Agreement that EXECUTIVE does not intend to engage in certain activities competitive to PREMIERWEST, identified in Section 2 of the Separation
Agreement attached hereto as Exhibit A. For as long as EXECUTIVE does not engage in such activities, up to a maximum of one year (the "Optional Restriction Period"), PREMIERWEST will pay EXECUTIVE the consideration set forth in Section 11.2. Unless
EXECUTIVE executes the Separation Agreement (regardless of whether EXECUTIVE revokes Section 7(a) of the Separation Agreement) and indicates EXECUTIVE'S intention not to engage in the competitive activities, PREMIERWEST will not compensate EXECUTIVE
for refraining from engaging in such activities.

                11.2 Amount/Payment of Consideration.

                        (a) As consideration for each month during the Optional Restriction Period that EXECUTIVE does not engage in the competitive activities, PREMIERWEST will continue to pay EXECUTIVE'S monthly Base
Salary. Payment of the consideration will be made starting the next regular pay period following EXECUTIVE'S execution of the Separation Agreement. 

                             (b) If the Eligible Termination Event occurs after a Change in Control, the monthly Base Salary payment shall be increased by one-twelfth (1/12) of the amount of any bonuses or incentive compensation earned for the calendar
year ended immediately before the year in which the Change in Control occurred, or the subsequent year, if ended, whichever is greater. For purposes of this Section, Termination for Cause or Termination for Good Reason will be deemed to have
occurred after a Change in Control if termination of employment occurs after discussions between PREMIERWEST and a third party regarding a Change in Control commence, if those discussions ultimately conclude with a Change in Control.]

         12. CHANGE IN CONTROL RETENTION BONUS. If EXECUTIVE remains employed with PREMIERWEST or its successor for six (6) months following a Change in Control, as additional
compensation for assisting PREMIERWEST with the Change in Control transition and as a reward for continued service, upon termination of employment (other than 

9

Termination For Cause), PREMIERWEST will pay EXECUTIVE an amount of cash equal to the amount of interest that would have accrued had PREMIERWEST, upon the six month anniversary of the Change in Control, paid to EXECUTIVE'S
Deferral Account under the Deferred Compensation Agreement, an amount equal to one times the sum of (i) EXECUTIVE'S annual Base Salary and (ii) the amount of any bonuses or incentive compensation earned for the calendar year ended immediately before
the year in which the Change in Control occurred, or the subsequent year, if ended, whichever is greater.

         13. IRC 280G. If all or any portion of the amounts payable to EXECUTIVE pursuant to this Agreement, the Benefit Agreements described in Section 5.10 and the Stock Option Agreement described in Section
5.3, either alone or together with other payment which the EXECUTIVE has the receive to receive from PREMIERWEST, constitute "excess parachute payments" within the meaning of Section 280G of the Internal Revenue Code of 1986, as amended (the
"Code"), that are subject to the excise tax imposed by Section 4999 of the Code (or similar tax and/or assessment), EXECUTIVE shall be responsible for the payment of such excise tax and PREMIERWEST shall be responsible for any loss of deductibility
related thereto; provided, however, that PREMIERWEST and EXECUTIVE shall cooperate with each other and use all reasonable efforts to minimize to the fullest extent possible the amount of excise tax imposed by Section 4999 of the Code. If, at a later
date, it is determined (pursuant to final regulations or published rulings of the Internal Revenue Service, final judgment of a court of competent jurisdiction, or otherwise) that the amount of excise taxes payable by EXECUTIVE is greater than the
amount initially so determined, then EXECUTIVE shall pay an amount equal to the sum of such additional excise taxes and any interest, fines and penalties resulting from such underpayment. The determination of the amount of any such excise taxes
shall be made by the independent accounting firm employed by PREMIERWEST immediately prior to the Change in Control or such other independent accounting firm or advisor as may be mutually agreeable to PREMIERWEST and EXECUTIVE in the exercise of
their reasonable good judgment. 

        14. 
CONFIDENTIALITY AND CREATIVE WORK.

                14.1 Nondisclosure. EXECUTIVE covenants and agrees that he will not reveal
to any person, firm, or corporation any Confidential Information of any nature concerning PREMIERWEST or its business, or anything connected therewith. "Confidential Information" means all of PREMIERWEST'S confidential and proprietary information and trade secrets in existence on the date hereof or existing at any time during the term of this Agreement, including but not limited to:

                   
     (a) the whole or any portion or phase of any business plans, financial information, purchasing data, supplier data, accounting data, or other
financial information; 

                   
     (b) the whole or any portion or phase of any research and development information, design procedures, algorithms or processes, or other
technical information; 

10

               
     (c) the whole or any portion or phase of any marketing or sales information, sales records, customer lists, prices, sales projections, or other
sales information; and

               
     (d) trade secrets, as defined from time to time by the laws of the State of Oregon. 

Notwithstanding the foregoing, Confidential Information excludes information that, as of the date hereof or at any time after the date hereof, is published or disseminated without obligation of confidence or that becomes a part of
the public domain (1) by or through action of PREMIERWEST, or (2) by or through action of another person not in violation of non-disclosure covenant with PREMIERWEST. This Section does not prohibit disclosure required by an order of a court having
jurisdiction or a subpoena from an appropriate governmental agency or disclosure made by EXECUTIVE in the ordinary course of business and within the scope of his authority. 

                 14.2 Return of Material. EXECUTIVE agrees to deliver or return to PREMIERWEST upon termination of employment, or as soon thereafter as possible, all written information and any other similar items furnished by PREMIERWEST or prepared by EXECUTIVE in connection with his services hereunder.
EXECUTIVE will retain no copies thereof after termination of EXECUTIVE'S employment. 

           
     14.3 Injunctive Relief. EXECUTIVE acknowledges that it is impossible to measure in money the damages that will
accrue to PREMIERWEST if EXECUTIVE fails to observe the obligations imposed on him by this Section. Accordingly, if PREMIERWEST institutes an action to enforce the provisions hereof, EXECUTIVE hereby waives the claim or defense that an adequate
remedy at law is available to PREMIERWEST, and EXECUTIVE agrees not to urge in any such action the claim or defense that an adequate remedy at law exists.

           
     14.4 Creative Work. EXECUTIVE agrees that all creative work and work product, including but not limited to all
technology, business management tools, processes, software, patents, trademarks, and copyrights developed by EXECUTIVE during his employment with PREMIERWEST, regardless of when or where such work or work product was produced, constitutes work made
for hire, all rights of which are owned by PREMIERWEST. EXECUTIVE hereby assigns to BANCORP and to PREMIERWEST BANK all rights, title, and interest, whether by way of copyrights, trade secret, trademark, patent, or otherwise, in all such work or
work product, regardless of whether the same is subject to protection by patent, trademark, or copyright laws. 

        15. 
DISPUTE RESOLUTION.

                15.1 Arbitration. The parties agree to submit any dispute arising under this
Agreement to final, binding, private arbitration in Medford, Oregon. The disputes subject to arbitration include not only disputes involving the meaning or performance of the Agreement, but disputes about its negotiation,
drafting, or execution. The dispute will be determined by a single arbitrator and governed by the then-existing rules of arbitration procedure in Jackson County Circuit Court, except as set forth herein. Instead of filing of a civil complaint in
Jackson

11

County Circuit Court, a party will commence the arbitration process by noticing the other party. The parties will choose an arbitrator who specializes in employment conflicts from the arbitration list for Jackson County Circuit
Court. If no such arbitrator is available, the parties will choose a similarly qualified arbitrator from any other arbitration list for other Circuit Courts in Oregon. If the parties are unable to agree on an arbitrator within ten (10) days of
receipt of the list of arbitrators, each party will select one attorney from the list, and those two attorneys shall select the arbitrator from the list (with each of the two selecting attorneys then concluding their services and each being
compensated by the party selecting each attorney, subject to recovery of such fees under Section 15.2) . The arbitrator may charge his or her standard arbitration fees rather than the fees prescribed in the Jackson County Circuit Court arbitration
procedures. The arbitrator will have full authority to determine all issues, including arbitrability, to award any remedy, including permanent injunctive relief, and to determine any request for attorneys' fees, costs and expenses in accordance with
Section 15.2. There shall be no right to review of the arbitrator's decision in court. The arbitrator's award may be reduced to final judgment or decree in Jackson County Circuit Court.

           
     15.2 Expenses/Attorneys' Fees. The prevailing party shall be awarded all costs and expenses of the proceeding,
including, but not limited to, attorneys' fees, filing and service fees, witness fees, and arbitrators' fees. If arbitration is commenced, the arbitrator will have full authority and complete discretion to determine the "prevailing party" and the
amount of costs and expenses to be awarded. 

           
     15.3 Injunctive Relief. Notwithstanding any other provision of this Agreement, an aggrieved party may seek a
temporary restraining order or preliminary injunction in Jackson County Circuit Court to preserve the status quo during the arbitration proceeding, provided however, that the party seeking relief agrees that ultimate resolution of the dispute will
still be determined through arbitration and not through court process. The filing of the court action for injunctive relief shall not hinder or delay the arbitration process. 

   
     16. NOTICES. All notices, requests, demands, and other communications provided for by this Agreement will be
in writing and shall be deemed sufficient upon receipt, when delivered personally or by a nationally-recognized delivery service (such as Federal Express), or three (3) business days after being deposited in the U.S. mail as certified mail, return
receipt requested, with postage prepaid, if such notice is properly addressed. Unless otherwise changed in writing, notice shall be properly addressed to EXECUTIVE if addressed to the address of EXECUTIVE on the books and records of PREMIERWEST at
the time of mailing of such notice, and properly addressed to PREMIERWEST if addressed to BANCORP 503 Airport Road, Medford, OR 97504 Attention: Corporate Secretary. 

        17.
GENERAL PROVISIONS. 

                17.1 Governing Law. The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the State of Oregon.

12

       
     17.2 Saving Provision. If any part of this Agreement is held to be unenforceable, it shall not affect any
other part. If any part of this Agreement is held to be unenforceable as written, it shall be enforced to the maximum extent allowed by applicable law.

             17.3 Survival Provision. If any benefits provided under this Agreement are still owed, or claims pursuant to
this Agreement are still pending, at the time of termination of this Agreement, this Agreement shall continue in force, with respect to those obligations or claims, until such benefits are paid in full or claims are resolved in full. The Sections
related to Confidential Information and Creative Work shall survive after termination of this Agreement and shall be enforceable regardless of any claim Employee may have against PREMIERWEST. 

       
     17.4 Captions and Counterparts. The captions in this Agreement are solely for convenience. The captions in no
way define, limit, or describe the scope or intent of this Agreement. This Agreement may be executed in several counterparts, each of which shall be deemed to be an original but all of which together shall constitute one and the same instrument.

       
     17.5 Entire Agreement. Except as otherwise stated herein, this Agreement constitutes the sole Agreement of the
parties regarding EXECUTIVE'S benefits upon termination of employment and together with PREMIERWEST'S employee handbook governs the terms of EXECUTIVE'S employment. Where there is a conflict between the employee handbook and this Agreement, the
terms of this Agreement shall govern.

       
     17.6 Previous Agreement. This Agreement supersedes all prior oral and written agreements between EXECUTIVE and
PREMIERWEST, or any affiliates or representatives of PREMIERWEST regarding the subject matters set forth herein. 

       
     17.7 Waiver/Amendment. This Agreement may not be amended, released, discharged, abandoned, changed, or
modified in any manner, except by an instrument in writing signed by each of the parties hereto. The failure of any party hereto to enforce at any time any of the provisions of this Agreement shall in no way be construed to be a waiver of any such
provision, nor in any way to affect the validity of this Agreement or any part thereof or the right of any party thereafter to enforce each and every such provision. No waiver or any breach of this Agreement shall be held to be a waiver of any other
or subsequent breach. 

        17.8 Assignment.

               
     (a) EXECUTIVE shall not assign or transfer any of EXECUTIVE'S rights pursuant to this Agreement, wholly or partially, to any other person or to delegate the performance of its duties under the terms
of this Agreement. If EXECUTIVE attempts an assignment or transfer that is contrary to this Section, PREMIERWEST shall have no liability to pay any amount to the assignee or transferee.

               
     (b) The rights and obligations of PREMIERWEST under this Agreement shall inure to the benefit of and be binding in each and every respect upon the direct and indirect successors and assigns of
PREMIERWEST'S, regardless of the manner in which the successors or assigns succeed to the interests or assets of PREMIERWEST'S. If this Agreement is not otherwise transferred to and assumed by PREMIERWEST'S successor or assign by operation of

13

law, PREMIERWEST shall require such successor of substantially all of the business or assets of BANCORP to expressly assume and agree to perform PREMIERWEST'S obligations hereunder.

                 (c) This Agreement shall not be terminated by the voluntary or involuntary dissolution of PREMIERWEST, by any merger, consolidation or acquisition where PREMIERWEST is not the surviving corporation,
by any transfer of all or substantially all of PREMIERWEST'S assets, or by any other change in PREMIERWEST'S structure or the manner in which PREMIERWEST'S business or assets are held. EXECUTIVE'S employment shall not be deemed terminated upon the
occurrence of one of the foregoing events.

                (d) This Agreement will inure to the benefit of and be enforceable by EXECUTIVE'S personal or legal representatives, executives, administrators, successors, heirs, distributees and legatees. 

   
     18. ADVICE OF COUNSEL. EXECUTIVE acknowledges that, in executing this Agreement,
EXECUTIVE has had the opportunity to seek the advice of independent legal counsel, and has read and understood all of the terms and provisions of this Agreement. This Agreement shall not be construed against any party by reason of the drafting or
preparation hereof. 

        IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. 

	
PREMIERWEST BANCORP 
		
 		
  EXECUTIVE 
	
	
By:  _____________________________	
 		
  _____________________________
	
 
		
 		
  BOBBY L. DUMILIEU 
	
	
Its: President & Chief Executive Officer 
		
 		
 
	
	
 	
 	
 
	
PREMIERWEST BANK 
		
 		
 
	
	
By  _____________________________	
 		
 
	
	
Its: President & Chief Executive Officer 
		
 		
 
	
	
 
	

14

Exhibit A - Employment Agreement

SEPARATION AGREEMENT

     This SEPARATION AGREEMENT (this "Agreement") is entered into as of this ____ day of  _______, 20__ , by and among BANCORP, an Oregon corporation, PREMIERWEST BANK, an Oregon-chartered bank and wholly owned subsidiary of BANCORP (the "BANK"), and BOBBY L.
DUMILIEU (the "EXECUTIVE"). (BANCORP, the BANK, and their subsidiaries and affiliates, including any entity or organization controlling, controlled by, or under common control with BANCORP or the BANK, are hereinafter sometimes referred to
collectively or individually as the "Corporation"). 

     WHEREAS, EXECUTIVE, BANCORP, and the BANK entered into an Employment Agreement dated
effective as of ______________, 2006 (as the same may be amended, the "Employment Agreement") which provided that the Corporation would provide certain benefits to EXECUTIVE after termination of his employment under certain circumstances
specified in the Employment Agreement as consideration for EXECUTIVE'S for release of claims against PREMIERWEST and certain other benefits as consideration for EXECUTIVE'S agreement not to engage in certain competitive activities for a specified
period of time; 

     WHEREAS, EXECUTIVE'S employment will terminate on __________, 20____ (the
"Termination Date"); 

     WHEREAS, EXECUTIVE has consulted with counsel of EXECUTIVE'S choice concerning this
Agreement, or EXECUTIVE has chosen not to consult with counsel, and EXECUTIVE, and as applicable EXECUTIVE'S counsel, have had the opportunity to discuss with the Corporation the terms and conditions of this Agreement; and 

     NOW THEREFORE, in consideration of these premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the Corporation and EXECUTIVE hereby agree as follows. 

             1. Consideration for Release of Claims. Provided EXECUTIVE does not revoke Section 7(a) and complies with the terms of this Agreement, the Corporation will provide EXECUTIVE the benefits set forth in Section 10 of the Employment Agreement. 

       
     2. Declared Intent Not to Compete. EXECUTIVE hereby indicates that EXECUTIVE intends / does not intend [indicate by crossing through the inapplicable language] to refrain from engaging in certain activities specified in
Section 2.1 ("Competitive Activities") for some period of time following termination of employment. If EXECUTIVE has indicated an intent not to engage in Competitive Activities, in consideration for each month EXECUTIVE refrains from engaging in
Competitive Activities, the Corporation will pay EXECUTIVE the monthly payments as described in Section 11 of the Employment Agreement until the earlier of (i) when EXECUTIVE engages in a Competitive Activity or (ii) the end of the Optional
Restriction Period, which is [one year/two years] after the date on which EXECUTIVE'S termination of employment becomes effective. 

1

                2.1 Competitive Activities. Competitive Activities include:

                         (a) Becoming associated with any entity, whether as an owner, principal, partner, director, trustee, employee, agent, consultant, or stockholder (except as a holder of 1% or less of the outstanding voting stock of a company) that
is engaged or proposes to engage in any business that solicits, deposits or offers loans and is located within a 30 mile radius of any of the Corporation's offices or branches (a "Competitor");

                         (b) Encouraging or soliciting or assisting any other person or firm in encouraging or soliciting any person who, during the two-year period preceding EXECUTIVE'S termination of employment, is or was engaged in a business
relationship with the Corporation to terminate the person's relationship with the Corporation or to engage in a business relationship with a Competitor; or

                         (c) Inducing any employee of the Corporation to terminate employment with the Corporation and, either individually or as owner, principal, partner, director, trustee, agent, employee, consultant or otherwise, employing, offering
employment, or causing employment to be offered to any person who is or was employed by the Corporation unless such person shall have ceased to be employed by such entity for a period of at least six months. 

             2.2 Notice of Activities. If EXECUTIVE has indicated above an intent not to engage in Competitive Activities, EXECUTIVE will notify the Corporation before engaging in any
such activities. If EXECUTIVE fails to give such notice and continues to receive payments under this Section, EXECUTIVE shall not be entitled to keep any payments received after engaging in a Competitive Activity.

             2.3 Not Enforceable Covenant. This is not a covenant not to compete and the Corporation may not seek injunctive relief to prohibit EXECUTIVE from engaging in a
Competitive Activity. If EXECUTIVE chooses to engage in a Competitive Activity, the Corporation will cease making monthly payments of the consideration. 

     3. Nondisclosure. EXECUTIVE covenants and agrees that he will not
reveal to any person, firm, or corporation any Confidential Information of any nature concerning the Corporation or concerning the business of any of them. As used in this Agreement, the term "Confidential Information" means all of the Corporation's
confidential and proprietary information and trade secrets in existence on the date hereof or existing at any time during the term of this Agreement, including but not limited to - 

     (a) the whole or any portion or phase of any business plans, financial information, purchasing data, supplier data, accounting data, or other
financial information, 

     (b) the whole or any portion or phase of any research and development information, design procedures, algorithms or processes, or other
technical information, 

     (c) the whole or any portion or phase of any marketing or sales information, sales records, customer lists, prices, sales projections, or other
sales information, and

2

(d) trade secrets, as defined from time to time by the laws of the State of Oregon.

Notwithstanding the foregoing, Confidential Information excludes information that, as of the date hereof or at any time after the date hereof, is published or disseminated without obligation of confidence or that becomes a part of
the public domain (1) by or through action of the Corporation, or (2) by or through action of another person not in violation of a nondisclosure covenant with the Corporation. This Section does not prohibit disclosure required by an order of a court
having jurisdiction or a subpoena from an appropriate governmental agency or disclosure made by EXECUTIVE in the ordinary course of business and within the scope of his authority. 

     4. Return of Materials. EXECUTIVE agrees to deliver or return to the
BANK upon termination of employment or as soon thereafter as possible all written information and any other similar items furnished by the Corporation or prepared by EXECUTIVE in connection with his service to the Corporation. EXECUTIVE will retain
no copies thereof after termination of employment. 

     5. Creative Work. EXECUTIVE agrees that all creative work and work
product, including but not limited to all technology, business management tools, processes, software, patents, trademarks, and copyrights developed by EXECUTIVE during the term of his employment with the Corporation, regardless of when or where such
work or work product was produced, constitutes work made for hire, all rights of which are owned by the Corporation. EXECUTIVE hereby assigns to BANCORP and to the BANK all rights, title, and interest, whether by way of copyrights, trade secret,
trademark, patent, or otherwise, in all such work or work product, regardless of whether the same is subject to protection by patent, trademark, or copyright laws. 

    6. Agreement to Cooperate with the Corporation Through the Date of Termination.  
EXECUTIVE agrees to cooperate as directed by the Corporation with the Corporation and its customers through the Termination Date and throughout the term of any post-employment consulting agreement, if any. If EXECUTIVE fails to
cooperate to the Corporation's satisfaction as reasonably determined by the Corporation, EXECUTIVE shall be deemed to have resigned for purposes of determining benefits under the Employment Agreement, but the other provisions of this Agreement shall
remain in full force and effect. 

    7. 
Release of Claims. 

           
(a) Release and Covenant Not to Sue. As consideration for receipt of certain benefits
specified in the Employment Agreement, EXECUTIVE, on his or her own behalf and on behalf of EXECUTIVE'S heirs, executors, successors, and assigns hereby releases the Corporation, its directors, officers, executives, managers, and
employees from any and all debts, claims, demands, rights, actions, causes of action, suits, or damages whatsoever and of every kind and nature, whether known or unknown, contingent or otherwise (collectively the "Claims"), against the Corporation
and the others released herein, relating to or arising out of EXECUTIVE'S termination, except to the extent such Claims cannot under applicable law be released. EXECUTIVE also covenants not to sue or file or cause to be filed any complaint with any federal, state, or local agency or in any court against the Corporation or the others released herein regarding any matter related to
EXECUTIVE'S termination of employment with the Corporation,

3

including but not limited to any Claims under the Age Discrimination in Employment Act or any similar federal, state or local law, except to the extent such Claims cannot under applicable law be released. The release of liability
set forth herein does not extend to rights or claims that may arise from events occurring after execution of this Agreement, including but not limited to claims for the enforcement of this Agreement, or to EXECUTIVE'S exercise of rights under the
Consolidated Omnibus Budget Reconciliation Act of 1986 to continued insurance, if applicable. 

       
     (b) Acceptance and Revocation Period. EXECUTIVE shall have a period of 21 days from the date of delivery of this Agreement to accept Section
7(a) of this Agreement. EXECUTIVE shall have a period of seven days after his execution of this Agreement during which EXECUTIVE may revoke his acceptance of Section 7(a) of this Agreement by providing written notice of revocation to BANCORP. Any
such acceptance or revocation must be addressed to the Chairman, BANCORP, 503 Airport Road, Medford, Oregon 97504 or such other address as EXECUTIVE may be directed in writing by BANCORP to provide such acceptance or revocation. To be effective, the
acceptance or revocation must be received no later than 5:00 p.m. Pacific Time within the applicable time period. The 21-day acceptance period may be waived by EXECUTIVE, but the seven-day revocation period may not be waived. If EXECUTIVE'S
acceptance of Section 7(a) of this Agreement is not affirmatively revoked in writing by EXECUTIVE during the seven-day revocation period, it shall be deemed to have been accepted and not revoked. Section 7(a) of this Agreement shall not be effective
or enforceable until the seven-day revocation period has expired. If EXECUTIVE properly executes his right to revoke acceptance of Section 7(a), the remainder of this Agreement shall nevertheless remain in full force and effect. 

     8.  No Admission of Wrongdoing. EXECUTIVE acknowledges and agrees that
nothing in this Agreement constitutes or shall be construed as an admission of liability or wrongdoing on the part of the Corporation or the others released herein. 

     9. Successors. This Agreement shall be
binding upon and inure to the benefit of and be enforceable by the Corporation and its successors and assigns. 

     10. Severabilitv. The provisions of this Agreement shall be deemed
severable. The invalidity or unenforceability of any provision shall not affect the validity or enforceability of the other provisions of this Agreement. Any provision held to be invalid or unenforceable shall be reformed to the extent (and only to
the extent) necessary to make it valid and enforceable. 

     11. Governing Law. The validity,
interpretation, construction and performance of this Agreement shall be governed by and construed in accordance with the substantive laws of the State of Oregon, without giving effect to the principles of conflict of laws of such State. 

     12. Arbitration. The parties agree
to submit any dispute arising under this Agreement to final, binding, private arbitration in Medford, Oregon. The disputes subject to arbitration include not only disputes involving the meaning or performance of the Agreement, but disputes about its
negotiation, drafting, or execution. The dispute will be determined by a single arbitrator and governed by the then-existing rules of arbitration procedure in Jackson County Circuit Court, except as set forth herein. Instead of filing of a civil
complaint in Jackson County Circuit Court, a party will commence the arbitration process by noticing the other party. The parties will choose

4

an arbitrator who specializes in employment conflicts from the arbitration list for Jackson County Circuit Court. If no such arbitrator is available, the parties will choose a similarly qualified arbitrator from any other
arbitration list for other Circuit Courts in Oregon. If the parties are unable to agree on an arbitrator within ten (10) days of receipt of the list of arbitrators, each party will select one attorney from the list, and those two attorneys shall
select the arbitrator from the list (with each of the two selecting attorneys then concluding their services and each being compensated by the party selecting each attorney, subject to recovery of such fees under Section 13). The arbitrator may
charge his or her standard arbitration fees rather than the fees prescribed in the Jackson County Circuit Court arbitration procedures. The arbitrator will have full authority to determine all issues, including arbitrability, to award any remedy,
including permanent injunctive relief, and to determine any request for attorneys' fees, costs and expenses in accordance with Section 13. There shall be no right to review of the arbitrator's decision in court. The arbitrator's award may be reduced
to final judgment or decree in Jackson County Circuit Court. 

     13. Expense/Attorneys' Fees. The prevailing party shall be awarded all costs and expenses of the
proceeding, including, but not limited to, attorneys' fees, filing and service fees, witness fees, and arbitrators' fees. If arbitration is commenced, the arbitrator will have full authority and complete discretion to determine the "prevailing
party" and the amount of costs and expenses to be awarded. 

     14. Injunctive Relief. Notwithstanding any other provision of this
Agreement, an aggrieved party may seek a temporary restraining order or preliminary injunction in Jackson County Circuit Court to preserve the status quo during the arbitration proceeding, provided however, that the party seeking relief agrees that
ultimate resolution of the dispute will still be determined through arbitration and not through court process. The filing of the court action for injunctive relief shall not hinder or delay the arbitration process. 

     15. This Agreement is Not Exclusive. This Agreement does not supersede
any other agreement to which EXECUTIVE may be party with the Corporation relating to noncompetition, nondisclosure, or the other matters referred to in this Agreement, whether those noncompetition, nondisclosure, or other provisions are contained in
an employment agreement, a severance agreement, a salary continuation agreement, or any other agreement. This Agreement is in addition to any such other agreement(s). In case of conflict between this Agreement, on one hand, and any such other
agreement(s), on the other, the Corporation shall have sole and exclusive authority to determine whether this Agreement or such other agreement(s) shall govern in the particular case and whether to enforce its rights under this Agreement, under such
other agreement(s), or under both. 

     16. Defined Terms. Terms used but not
defined in this Agreement shall have the meanings given to them in the Employment Agreement. 

[Signature Page to Follow]

5

     IN WITNESS WHEREOF, EXECUTIVE, BANCORP, and the BANK have executed this Separation
Agreement effective as of the day and year first set forth above. 

 

	 	 	 	 	
PREMIERWEST BANCORP:
	 	 	 	 	
 
	 	 	 	 	
By:  ____________________________

 
	 	 	 	 	
Its: ____________________________

 
	 	 	 	 	
 
	 	 	 	 	
PREMIERWEST BANK

	 	 	 	 	
By:  ____________________________

 
	 	 	 	 	
Its: ____________________________

 
	 	 	 	 	
 

     By signing below, I hereby agree to and accept all provisions of this Separation Agreement, specifically including but not limited to the release and covenant not to sue that is set forth in Section
7(a) of this Separation Agreement. I understand that I have seven days after the date of my execution of this Separation Agreement to revoke my acceptance of the release and covenant not to sue contained in Section 7(a) of the Separation Agreement,
and that if I do not revoke my acceptance by 5:00 p.m. Pacific Time on that date the release and covenant not to sue will become effective. I understand that if I do revoke my acceptance of the release and covenant not to sue, I will forfeit all
consideration for the release of claims as set forth in Section 10 of the Employment Agreement. 

	 	 	 	 	
EXECUTIVE:

	 	 	 	 	
By: 

       ____________________________

     
BOBBY L. DUMILIEU
	 	 	 	 	
 
	 	 	 	 	
Date signed: _________________, 20___
	 	 	 	 	
 
	 	 	 	 	
 

6-- Converted by SECPublisher 3.1.0.1, created by BCL Technologies Inc., for SEC Filing

EXHIBIT 10.6

PREMIERWEST BANK 

EXECUTIVE SURVIVOR INCOME AGREEMENT 

     THIS EXECUTIVE SURVIVOR INCOME AGREEMENT is made this 12th day of November, 2002. by and between PremierWest
Bank, an Oregon-chartered. FDIC-insured bank with its main office in Medford,
Oregon (the "Bank"), and John L. Anhorn, President & Chief Executvie Officer (the "Executive"). 

     WHEREAS, to encourage the Executive to remain an employee of the Bank, the Bank is willing to provide benefits to the Executive's beneficiary(ies) if (i)
the Executive dies prior to terminating employment, or (ii) if the Executive dies after Termination of Employment provided the Executive terminated employment due to Disability, Change in Control, or attaining Normal Retirement Age. The Bank will
pay the benefits from its general assets, but only so long as one of its general assets is a life insurance policy on the Executive's life. 

AGREEMENT

	 	
The Executive and the Bank agree as follows:

Article 1

Definitions

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

	
      		
 
	 
	 	
 
	 

    1.1  
"Change in Control" means if any one of the following events occurs: 

    (a) Merger. Premier West Bancorp ("Bancorp") merges into or consolidates with another
corporation, or merges another corporation into Bancorp, and as a result less than 50% of the combined voting power of the resulting corporation immediately after the merger or consolidation is held by persons who were the
holders of Bancorp's voting securities immediately before the merger or consolidation. 

     (b) Acquisition of Significant Share Ownership. (1) a report on Schedule 13D or
another form or schedule (other than Schedule 13G) is filed or is required to be filed under sections 13(d) or 14(d) of the Securities Exchange Act of 1934, if the schedule discloses that the filing person or persons acting in concert has or have
become the beneficial owner of 25% or more of a class of Bancorp's voting securities, or (2) a person or persons acting in concert has or have become the beneficial owner of 10% or more of a class of Bancorp's voting securities and the person or the
person's or group's nominee becomes the Chairman of the Board of Bancorp, but this paragraph (b) shall not apply to beneficial ownership of voting shares of Bancorp held in a fiduciary capacity by an entity in which Bancorp directly or indirectly
beneficially owns 50% or more of the outstanding voting securities, 

     (c) Change in Board Composition, during any period of two consecutive years,
individuals who constitute Bancorp's board of directors at the beginning of the two-year period cease for any reason to constitute at least a majority thereof; provided, however, that - for purposes of this paragraph (c) - each director who is first elected by the board (or first nominated by the board for election by stockholders) by a vote of at least two-thirds (b) of the directors who were directors at the
beginning of the period shall be deemed to have been a director at the beginning of the two-year period, or 

     (d) Sale of Assets. Bancorp sells to a third party all or substantially all of
Bancorp's assets. For this purpose, sale of all or substantially all of Bancorp's assets includes sale of the shares or assets of the Bank. 

     1.2 "Disability" means the Executive suffers a sickness, accident, or injury which has been determined by the carrier of
any individual or group disability insurance policy covering the Executive, or by the Social Security Administration, to be a disability rendering the Executive disabled. The Executive must submit 

proof to the Bank of the carrier's or the Social Security Administration's determination upon the request of the Bank. 

     1.3 "Good Reason " means the occurrence of any of the events or conditions described in clauses (a) through (f) hereof
without the Executive's express written consent - 

(a)     
a material reduction in Executive's title or responsibilities; 

(b)     
a reduction in base salary as in effect on the date of a Change in Control; 

(c)     
relocation of the Bank's principal executive offices, or requiring the Executive to change his principal work location, to any location that is more than 15 miles from the location of the Bank's principal executive offices on the date of this Agreement;  

(d) the failure by the Bank to continue to provide the Executive with compensation and benefits substantially similar to those provided to him under any
of the employee benefit plans in which the Executive becomes a participant, or the taking of any action by the Bank which would directly or indirectly materially reduce any of such benefits or deprive the Executive of any material fringe benefit
enjoyed by him at the time of the Change in Control; or 

(e) the failure of the Bank to obtain a satisfactory agreement from any successor or assignee of the Bank to assume and agree to perform this Agreement.

     1.4 
"Normal Retirement Age" means the Executive's 65" birthday. 

      1.5 
"Normal Retirement Date" means the later of the Normal Retirement Age or Termination of 

Employment.  

     1.6 "Termination for Cause " means the definition of termination for cause
specified in any employment agreement existing on the date hereof or hereafter entered into between the Executive and the Bank. If the Executive is not a party to an employment agreement containing a definition of termination for cause, Termination
for Cause means the Bank has terminated the Executive's employment for any of the following reasons: 

	
 	
(a)      		
Gross negligence or gross neglect of duties;	
	 	 
	
 	
(b)      		
Commission of a felony or of a gross misdemeanor involving moral turpitude: or	
	 	 
	
 	
(c)      		
Fraud, disloyalty, or willful violation of any law or significant Bank policy committed in connection with the Executive's employment and resulting in an adverse effect on the Bank.	

     
1.7 "Termination of Employment'" with the Bank means that the Executive shall have ceased to be employed by the Bank for any reason whatsoever, excepting a leave of absence approved by the Bank. For purposes of this Agreement, if there is a dispute over the employment status of the Executive or the date of termination
of the Executive's employment, the Bank shall have the sole and absolute right to decide the dispute, unless a Change in Control shall have occurred. 

Article 2 

Entitlement to Benefit

     2.1 Pre-Termination of Employment Survivor Income Benefit. If the Executive dies
in active service to the Bank, the Bank shall pay to the Executive's designated beneficiary in a single lump sum the survivor income benefit described in Section 2.5.1. 

     2.2 Disability Continuation. If the Executive terminates employment due to
Disability and then dies, the Bank shall pay to the Executive's designated beneficiary in a single lump sum the survivor income benefit described in Section 2.5.2. 

     2.3 Change in Control Continuation. If the Executive's employment with the Bank
terminates involuntarily within 24 months after a Change in Control (excepting Termination for Cause) or in the event the Executive terminates employment voluntarily for Good Reason within 24 months after such Change in Control, the Bank shall pay
the Executive's designated beneficiary the survivor income benefit described in Section 2.5.2 following the Executive's death. 

     2.4 Normal Retirement Benefit. If the Executive terminates employment on or after
Normal Retirement Age, the Bank shall pay to the Executive's designated beneficiary in a single lump sum the survivor income benefit described in Section 2.5.2 following the Executive's death. 

     2.5 Amount of Benefits. The Bank shall pay one of the following benefits to the
Executive's beneficiary in a single lump sum within 90 days following submission of a proof of a claim substantiating the Executive's death. 

	
 	
 	
2.5.1      		
Pre-Retirement Death Benefit. If the Executive was employed by the Bank at the time of death, the death benefit shall be $250,000.	
	 	 	 
	
 	
 	
2.5.2      		
Post-Retirement Death Benefit. If the Executive was no longer employed by the Bank at the time of death but had terminated employment	
	 	 	 	
	 

	
due to Disability.	
	 	 	 	
	 

	
involuntarily within two years after Change in Control, or in the event the Executive had terminated employment voluntarily for Good Reason within two years of such Change in Control, or	
	 	 	 	
	 

	
on or after Normal Retirement Age,	
	 	 	 
	 	 	 	 	
the death benefit shall be $250,000.	

Article 3 

Beneficiaries

     3.1 Beneficiary Designations. The Executive shall designate a beneficiary by
filing a written designation with the Bank. 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. If the Executive dies without a valid beneficiary designation, all payments shall be made to the Executive's estate. 

     3.2 Facility of Payment. If a benefit is payable to a minor, to a person declared
incompetent, or to a person incapable of handling the disposition of his or her property, the Bank may pay such benefit to the guardian, legal representative, or person having the care or custody of such minor, incompetent person or incapable
person. The Bank may require proof of incompetence, minority, or guardianship as it may deem appropriate prior to distribution of the benefit. Such distribution shall completely discharge the Bank from all liability with respect to such benefit.

Article 4

General Limitations

     4.1 Termination for Cause. Notwithstanding any provision of this Agreement to the contrary, the Bank shall not pay any
benefit under this Agreement if Termination of Employment is due to the Executive's actions resulting in Termination for Cause. 

     4.2 Suicide or Misstatement. The Bank shall not pay any benefit under this Agreement if the Executive commits suicide
within three years after the date of this Agreement. 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 or resume provided to the Bank, or on any
application for any benefits provided by the Bank to the Executive, 

     4.3 Removal If the Executive is removed from office or permanently prohibited from
participating in the conduct of the Bank's affairs by an order issued under Section 8(e)(4) or (g)(l) of the Federal Deposit Insurance Act, 12 U.S.C. §1818(e)(4) or (g)(l), all obligations of the Bank under this Agreement shall terminate as of
the effective date of the order. 

     4.4 Insolvency. If the Commissioner of the Oregon Department of Banking appoints
the Federal Deposit Insurance Corporation as receiver for the Bank under Oregon Revised Statutes section 711.405, all obligations under this Agreement shall terminate as of the date of the Bank's declared insolvency. 

     4.5 Termination of Participation. The Executive's rights under this Agreement
shall cease if the Executive's employment with the Bank is terminated prior to the Normal Retirement Age. except as provided in section 2.2 (termination because of Disability) or section 2.3 (termination within 24 months after a Change in Control).

Article 5

Claims and Review Procedures

     5.1 Claims Procedure. A participant 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: 

	
 	
 	
5.1.1      		
Initiation - Written Claim. The claimant initiates a claim by submitting to the Bank a written claim for the benefits.	
	 	 	 
	
 	
 	
5.1.2      		
Timing of Bank Response. The Bank shall respond to such claimant within 90 days after receiving the claim. If the Bank determines that special circumstances require additional time
for processing the claim, the Bank 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 Bank expects to render its decision.	
	 	 	 
	 	 	
5.1.3

 	
Notice of Decision. 
If the Bank denies part or all of the claim, the Bank shall notify the claimant
in writing of such denial. The Bank shall write the notification in a manner
calculated to be understood by the claimant. The notification shall set forth: 	
	 	 	 
	 	 	 	 	
(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;	
	 	 	 
	 	 	 	 	
(d)      		
An explanation of the Agreement's review procedures and the time limits applicable to such procedures; and	
	 	 	 
	 	 	 	 	
(e)      		
A statement of the claimant's right to bring a civil action under ERISA (Employee Retirement Income Security Act) Section 502(a) following an adverse benefit determination on review.	
	 	 	 
	 	 	 	
     		
 
	 	 	 

        5.2
Review Procedure. If the Bank denies part or all of the claim, the claimant shall have
the opportunity for a full and fair review by the Bank of the denial, as follows:

5.2.1     
Initiation - Written Request. To initiate the review, the claimant, within 60 days after receiving the Bank's notice of denial, must file with the Bank a written request for
review. 

5.2.2     
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 Bank shall also provide the claimant, upon request and free of charge, reasonable access to, and copies of, all documents,
records, and other information relevant (as defined in applicable ERTSA regulations) to the claimant's claim for benefits.

5.2.3 Considerations on Review. In considering the review, the Bank 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. 

5.2.4 Timing of Bank Response. The Bank shall respond in writing to such claimant within 60 days after receiving
the request for review. If the Bank determines that special circumstances require additional time for processing the claim, the Bank 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 Bank expects to render its decision. 

5.2.5 Notice of Decision. The Bank shall notify the claimant in writing of its decision on review. The Bank
shall write the notification in a manner calculated to be understood by the claimant. The notification shall set forth: 

	
 	
 	
(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 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 (as defined in applicable ERISA regulations) to the claimant's claim for benefits; and
	
	 	 	 
	
 	
 	
(d)     		
A statement of the claimant's right to bring a civil action under ERISA Section 502(a). 	
	 	 	 
	 	 	 

     Article 6 

Miscellaneous 

     6.1 Amendments and Termination. The Bank may amend or terminate this Agreement at
any time if, pursuant to legislative, judicial, or regulatory action, continuation of the Agreement would (i) cause benefits to be taxable to the Executive prior to actual receipt, or (ii) result in significant financial penalties or other
significantly detrimental ramifications to the Bank (other than the financial impact of paying the benefits). 

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

     6.3 No Guarantee of Employment. This Agreement is not a contract for employment. It does not give the Executive the
right to remain an employee of the Bank, nor does it interfere with the Bank's right to discharge the Executive. It also does not require the Executive to remain an employee nor interfere with the Executive's right to terminate employment at any
time. 

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

     6.5 Successors; Binding Agreement. By an assumption agreement in form and
substance satisfactory to the Executive, the Bank will require any successor (whether direct or indirect, by purchase, merger, consolidation, or otherwise) to all or substantially all of the business or assets of the Bank to expressly assume
and

agree to perform this Agreement in the same manner and to the same extent mat the Bank would be required to perform this Agreement if no such succession had occurred. 

        6.6 Tax Withholding. The Bank shall withhold any taxes that are required to be withheld from the
benefits provided under this Agreement. 

        6.7 Applicable Law. Except to the extent preempted by the laws of the United States of America, the validity,
interpretation, construction, and performance of this Agreement shall be governed by and construed in accordance with the laws of the State of Oregon, without giving effect to the principles of conflict of laws of such state. 

        6.8 Unfunded Arrangement. The Executive's beneficiary(ies) 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 the Executive's beneficiary(ies) have no preferred or secured claim. 

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

        6.10 Administration. The Bank shall have all powers which are necessary to administer this Agreement, including but not
limited to: 

	
 	
 	
(a)      		
Interpreting the provisions of the Agreement;	
	 	 	 
	
 	
 	
(b)      		
Establishing and revising the method of accounting for the Agreement;	
	 	 	 
	
 	
 	
(c)      		
Maintaining a record of benefit payments; and	
	 	 	 
	
 	
 	
(d)      		
Establishing rules and prescribing any forms necessary or desirable to administer the
Agreement.
	 	 	 

   
    6.11 Named Fiduciary. For purposes of the Employee Retirement Income Security Act of 1974. if applicable, the Bank shall be the named fiduciary and plan administrator under this
Agreement.
The named fiduciary may delegate to others certain
aspects of the management and operation responsibilities of the plan including
the employment of advisors and the delegation of ministerial duties to qualified
individuals.

        
6.12
 Severability. If for any reason any provision of this Agreement is held invalid, such invalidity shall not affect any other provision of this Agreement not held so invalid, and each such other provision shall, to the foil extent consistent with the law, continue in full force and effect. If any provision of this
Agreement shall be held invalid in part, such invalidity shall in no way affect the remainder of such provision, not held so invalid and the remainder of such provision, together with all other provisions of this Agreement shall, to the full extent
consistent with the law, continue in full force and effect. 

         6.13 Headings. The headings of Sections herein are included solely for convenience
of reference and shall not affect the meaning or interpretation of any provision of this Agreement. 

         6.14 Notices. All notices, requests, demands and other communications hereunder
shall be in writing and shall be deemed to have been duly given if delivered by hand or mailed, certified or registered mail, return receipt requested, with postage prepaid, to the following addresses or to such other address as either party may
designate by like notice. 

	
 	
(a)

 
(b)

 
	
If to the Bank, to: 

Board of Directors 

PremierWest Bank 

P.O. Box 40 

Medford, Oregon 97501-0003

If to the Executive, to: 

668 Farnsworth

Central Point, OR 97502 

  
    
      

and to such other or additional person or persons as either party shall have designated to the other party in writing by like notice. 

      

    

  

     6.15 IRC§1035 Exchanges. The Executive recognizes and agrees that the Bank may after this Agreement is adopted wish
to exchange the policy of life insurance on the Executive's life for another contract of life insurance insuring the Executive's life. Provided that the policy is replaced (or intended to be replaced) with a comparable policy of life insurance, the
Executive agrees to provide medical information and cooperate with medical insurance-related testing required by a prospective insurer for implementing the policy or, if necessary, for modifying or updating to a comparable insurer. 

IN WITNESS WHEREOF, the Executive and a duly authorized Bank officer have signed this Agreement. 

	

Executive:  
		
  		

Bank:  
	
	
 
		
 		
PremierWest Bank 
	
	
 
	
	
By: /s/ John L.
Anhorn 
		
 		
By: /s/ Patrick G. Huycke  
	
	
       John L. Anhorn 
		
 		
Its: Vice Chairman 
	
	
Title: President & CEO 
		
 		
 
	

AGREEMENT TO COOPERATE WITH INSURANCE UNDERWRITING INCIDENT TO I.R.C. §1035 EXCHANGE 

     I acknowledge that I have read the Executive Income Survivor Agreement and agree to be bound by its terms, particularly the covenant on my part set forth in section 6.15 of the Executive Income
Survivor Agreement to provide medical information and cooperate with medical insurance-related testing required by an insurer to issue a comparable insurance policy to cover the benefit provided under this Executive Income Survivor Agreement. 

	
/s/ Tom Anderson 
		
 		
 	
/s/ John L. Anhorn 
	
	
Witness 
		
 		
 	
Executive 
	

Beneficiary Designation 

PremierWest Bank EXECUTIVE SURVIVOR

INCOME AGREEMENT 

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

	
 	
Primary: 
		
 	
Carolyn O. Anhorn 
	
	
 	
Contingent: 
		
 		
Estate of John L. Anhorn 
	

 

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 filing a new written designation with the Bank. 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. 

	
Signature /s/  
John L. Anhorn

	
Date November 12, 2002

	
Received by the Bank this 12th day of November, 2002.

	
By: /s/ Tom Anderson

Title: EVP & CFO

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00099-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00099-of-00352.parquet"}]]