Document:

EX-10.4

 Exhibit 10.4 

CU BANCORP 
 2007 EQUITY
AND INCENTIVE PLAN 
 AS AMENDED AND RESTATED JULY 31, 2014 

 

	1.	ESTABLISHMENT, PURPOSE AND TERM OF PLAN. 

1.1 Establishment. The California United Bank (the “Bank”) 2007
Equity and Incentive Plan (the “Plan”) was established effective as of June 1, 2007, the date of its approval by the stockholders of the Bank. 

1.2 History of the Plan. Pursuant to the Agreement and Plan of Merger by and between CU Bancorp
(the “Company” and as defined in 2.1(i) herein) and California United Bank and Premier Commercial Bancorp and Premier Commercial Bank, N.A. dated as of December 8, 2011 and exhibits thereto, as approved by the
shareholders on July 23, 2012, the Plan was transferred and assumed by CU Bancorp and was automatically deemed to be an equity incentive plan of CU Bancorp effective on July 31, 2012. The Plan was amended and restated on July 31, 2014
(the “Restatement Date”), and approved by the shareholders on November 14, 2014, to (i) allow the Company to grant performance based awards that are not subject to the deduction limitation of
Section 162(m) of the Code, (ii) expressly prohibit the repricing of previously granted Options and (iii) eliminate a provision in the Plan that provided for an automatic annual increase in the shares available for Awards under the
Plan. 
 1.3 Purpose. The purpose of the Plan is to advance the interests of the Company and
its stockholders by providing an incentive to attract, retain and reward key employees, officers (whether or not directors) and non-employee directors of the Company and by motivating such persons to contribute to the growth and profitability of the
Company. The Plan seeks to achieve this purpose by providing for Awards in the form of Options, Restricted Stock Awards, Performance Awards, and Restricted Stock Units. 

1.4 Term of Plan. The Plan shall continue in effect until the earlier of its termination by the Board or the
date on which all of the shares of Stock available for issuance under the Plan have been issued and all restrictions on such shares under the terms of the Plan and the agreements evidencing Awards granted under the Plan have lapsed. However, all
Awards shall be granted, if at all, within ten (10) years from the Restatement Date. 
  

	2.	DEFINITIONS AND CONSTRUCTION. 

2.1 Definitions. Whenever used herein, the following terms shall have their respective meanings set forth
below: 
 (a) “Affiliate” means (i) an entity, that directly, or indirectly through one or more intermediary
entities, controls the Company or (ii) an entity, other than a Subsidiary Corporation, that is controlled by the Company directly, or indirectly through one or more intermediary entities. For this purpose, the
term “control” (including the term “controlled by”) means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of the relevant entity,
whether through the ownership of voting securities, by contract or otherwise. 
 (b) “Award” means any Option,
Restricted Stock Purchase Right, Restricted Stock Bonus, Performance Unit, Restricted Stock Unit, or Cash Bonus Award. 

(c) “Award Agreement” means a written agreement between the Company and a Participant setting forth the terms,
conditions and restrictions of the Award granted to the Participant. An Award Agreement may be an “Option Agreement,” a “Restricted Stock Purchase Agreement,” a “Restricted Stock Bonus Agreement,” a “Performance
Unit Agreement,” a “Restricted Stock Unit Agreement,” or a Cash Bonus Award Agreement.” 

 (d) “Board” means any Board of Directors of the Company. 

(e) “Cash Bonus Award” means a cash bonus payment, as determined by the Committee, pursuant to Section 8,
based upon performance. 
 (f) “Cause” means, unless otherwise defined by the Participant’s Award Agreement
or contract of employment or service, any of the following: (i) the Participant’s theft, dishonesty, or falsification of Company documents or records; (ii) the Participant’s improper use or disclosure of the Company’s
confidential or proprietary information; (iii) any action by the Participant which has a significant detrimental effect on the Company’s reputation or business; (iv) the Participant’s failure or inability to perform any
reasonable assigned duties after written notice from the Company of, and a reasonable opportunity to cure, such failure or inability; (v) any material breach by the Participant of any employment or service agreement between the Participant and
the Company, which breach is not cured pursuant to the terms of such agreement; or (vi) the Participant’s conviction (including any plea of guilty or nolo contendere) of any criminal act which impairs the Participant’s ability to
perform his or her duties with the Company. 
 (g) “Code” means the Internal Revenue Code of 1986, as amended,
and any applicable regulations promulgated thereunder. 
 (h) “Committee” means the Company’s Compensation,
Nominating and Corporate Governance Committee or other committee of the Board duly appointed to administer the Plan and having such powers as shall be specified by the Board. If no committee of the Board has been appointed to administer the Plan,
the Board shall exercise all of the powers of the Committee granted herein, and, in any event, the Board may in its discretion exercise any or all of such powers. Notwithstanding the foregoing, with respect to the grant and administration of any
Restricted Stock Award, Restricted Stock Unit or Performance Award which is intended to qualify as performance-based compensation under Section 162(m) of the Code and regulations thereunder, the Committee shall be composed only of
“outside” Directors as defined in Treas. Reg. Section 1.162-27(e)(3). 
 (i) “Company” means CU
Bancorp, any successor corporation thereto or any subsidiary of CU Bancorp, including but not limited to California United Bank. 

(j) “Director” means a member of any Board of Directors of the Company. 

(k) “Disability” means the permanent and total disability of the Participant, within the meaning of
Section 22(e)(3) of the Code. 
 (l) “Dividend Equivalent” means a credit, made at the discretion of the
Committee or as otherwise provided by the Plan, to the account of a Participant in an amount equal to the cash dividends paid on one share of Stock for each share of Stock represented by an Award held by such Participant. 

(m) “Employee” means any person treated as an employee (including an Officer or a member of a Board of Directors
who is also treated as an employee) in the records of the Company and, with respect to any Incentive Stock Option granted to such person, who is an employee for purposes of Section 422 of the Code; provided, however, that neither service as a
member of the Board nor payment of a director’s fee shall be sufficient to constitute employment for purposes of the Plan. The Company shall determine in good faith and in the exercise of its discretion whether an individual has become or has
ceased to be an Employee and the effective date of such individual’s employment or termination of employment, as the case may be. For purposes of an individual’s rights, if any, under the Plan as of the time of the Company’s
determination, all such determinations by the Company shall be final, binding and conclusive, notwithstanding that the Company or any court of law or governmental agency subsequently makes a contrary determination. 

(n) “Exchange Act” means the Securities Exchange Act of 1934, as amended. 

 (o) “Fair Market Value” means, as of any date, the value of a share
of Stock or other property as determined by the Committee, in its discretion, or by the Company, in its discretion, if such determination is expressly allocated to the Company herein, subject to the following: 

(i) If, on such date, the Stock is readily tradable on an established securities market, the Fair Market Value of a share of Stock shall be
the closing price of a share of Stock as reported on such market at the close of the trading day on such date (or, if the Stock has not traded on such date, on the last preceding day on which the Stock was traded). 

(ii) If, on such date, the Stock is not readily tradable on an established securities market, the Fair Market Value of a share of Stock shall
be as determined by the Committee by reasonable application of a reasonable valuation method, consistently applied. 
 Notwithstanding the foregoing, no
Award granted under the Plan is intended to provide for a deferral of compensation within the meaning of Section 409A such that the Fair Market Value of a share of Stock shall be determined in all respects in a manner that is consistent with
that intention. 
 (p) “Incentive Stock Option” means an Option intended to be (as set forth in the Award
Agreement) and which qualifies as an incentive stock option within the meaning of Section 422(b) of the Code. 

(q) “Insider” means an Officer, a member of the Board or any other person whose transactions in Stock are subject
to Section 16 of the Exchange Act. 
 (r) “Nonstatutory Stock Option” means an Option not intended to be
(as set forth in the Award Agreement) an incentive stock option within the meaning of Section 422(b) of the Code. 

(s) “Officer” means any person designated by the Board as an officer of the Company. 

(t) “Option” means the right to purchase Stock at a stated price for a specified period of time granted to a
Participant pursuant to Section 6 of the Plan. An Option may be either an Incentive Stock Option or a Nonstatutory Stock Option. 

(u) “Parent Corporation” means any present or future “parent corporation” of the Company, as defined in
Section 424(e) of the Code. 
 (v) “Participant” means any eligible person who has been granted one or more
Awards. 
 (w) “Performance Award” means an Award of Performance Units or Cash Bonus Award. 

(x) “Performance Award Formula” means, for any Performance Award, a formula or table established by the Committee
pursuant to Section 8.3 of the Plan which provides the basis for computing the value of a Performance Award at one or more threshold levels of attainment of the applicable Performance Goal(s) measured as of the end of the applicable Performance
Period. 
 (y) “Performance Goal” means a performance goal established by the Committee pursuant to
Section 8.3 of the Plan. 
 (z) “Performance Period” means a period established by the Committee pursuant
to Section 8.3 of the Plan at the end of which one or more Performance Goals are to be measured. 
 (aa) “Performance
Unit” means a bookkeeping entry representing a right granted to a Participant pursuant to Section 8 of the Plan to receive a payment equal to the value of a Performance Unit, as determined by the Committee, based upon performance.

 (bb) “Restricted Stock Award” means an Award of a Restricted Stock Bonus or a Restricted Stock Purchase
Right. 
 (cc) “Restricted Stock Bonus” means Stock granted to a Participant pursuant to Section 7 of the
Plan. 

 (dd) “Restricted Stock Purchase Right” means a right to purchase
Stock granted to a Participant pursuant to Section 7 of the Plan. 
 (ee) “Restricted Stock Unit” means a
bookkeeping entry representing a right granted to a Participant pursuant to Section 9 of the Plan to receive a share of Stock on the date at which Vesting Conditions applicable to the Restricted Stock Unit are satisfied determined in accordance
with the provisions of Section 9 and the Participant’s Award Agreement. 
 (ff) “Restriction
Period” means the period established in accordance with Section 7.5 of the Plan during which shares subject to a Restricted Stock Award are subject to Vesting Conditions. 

(gg) “Rule 16b-3” means Rule 16b-3 promulgated by the Securities and Exchange Commission under the Exchange
Act, as amended from time to time, or any successor rule or regulation. 
 (hh) “Section 162(m)” means
Section 162(m) of the Code. 
 (ii) “Section 280G” means Section 280G of the Code. 

(jj) “Section 409A” means Section 409A of the Code. 

(kk) “Securities Act” means the Securities Act of 1933, as amended. 

(ll) “Service” means a Participant’s employment or service with the Company, whether in the capacity of an
Employee or a Director. A Participant’s Service shall not be deemed to have terminated merely because of a change in the capacity in which the Participant renders such Service or a change in the employer for which the Participant renders such
Service, provided that there is no interruption or termination of the Participant’s Service and that such employer is an Affiliate or Subsidiary Corporation of the Company. Furthermore, a Participant’s Service shall not be deemed to have
terminated if the Participant takes any military leave, sick leave, or other bona fide leave of absence approved by the Company. However, if any such leave taken by a Participant exceeds ninety (90) days, then on the one hundred eighty-first
(181st) day following the commencement of such leave any Incentive Stock Option held by the Participant shall cease to be treated as an Incentive Stock Option and instead shall be treated thereafter as a Nonstatutory Stock Option, unless the
Participant’s right to return to Service with the Company is guaranteed by statute or contract. Notwithstanding the foregoing, unless otherwise designated by the Company or required by law, a leave of absence shall not be treated as Service for
purposes of determining vesting under the Participant’s Award Agreement. A Participant’s Service shall be deemed to have terminated either upon an actual termination of Service. Subject to the foregoing, the Company, in its discretion,
shall determine whether the Participant’s Service has terminated and the effective date of such termination. 

(mm) “Stock” means the common stock of CU Bancorp, as adjusted from time to time in accordance with
Section 4.2 of the Plan. 
 (nn) “Subsidiary Corporation” means any present or future “subsidiary
corporation” of the Company, as defined in Section 424(f) of the Code. 
 (oo) “Ten Percent
Owner” means a Participant who, at the time an Option is granted to the Participant, owns stock possessing more than ten percent (10%) of the total combined voting power within the meaning of Section 422(b)(6) of the Code of
all classes of stock of the Company. 
 (pp) “Treasury Regulations” means Proposed, Temporary and Final Regulations of the
United States Treasury Department issued under Title 26 of the Code of Federal Regulations. 
 (qq) “Vesting
Conditions” mean those conditions established in accordance with Section 6.2, Section 7.5, Section 8.4 or Section 9.3 of the Plan prior to the satisfaction of which Options or shares subject to a Restricted Stock
Award, Restricted Stock Unit Award or Performance Award, as applicable, remain subject to forfeiture or a repurchase option in favor of the Company upon the Participant’s termination of Service. 

 2.2 Construction. Captions and titles contained herein are for
convenience only and shall not affect the meaning or interpretation of any provision of the Plan. Except when otherwise indicated by the context, the singular shall include the plural and the plural shall include the singular. Use of the term
“or” is not intended to be exclusive, unless the context clearly requires otherwise. 
  

	3.	ADMINISTRATION. 

 3.1 Administration by the
Committee. The Plan shall be administered by the Committee. All questions of interpretation of the Plan or of any Award shall be determined by the Committee, and such determinations shall be final and binding upon all persons having an
interest in the Plan or such Award. 
 3.2 Authority of Officers. Any Officer shall have the authority to
act on behalf of the Company with respect to any matter, right, obligation, determination or election which is the responsibility of or which is allocated to the Company herein, provided the Officer has apparent authority with respect to such
matter, right, obligation, determination or election. The Board may, in its discretion, delegate to a committee comprised of one or more Officers the authority to grant one or more Awards, without further approval of the Board or the Committee, to
any Employee, other than a person who, at the time of such grant, is an Insider; provided, however, that (a) such Awards shall not be granted for shares in excess of the maximum aggregate number of shares of Stock authorized for issuance
pursuant to Section 4.1, (b) the exercise price per share of each such Award which is an Option shall be not less than the Fair Market Value per share of the Stock on the date of grant and (c) each such Award shall be subject to the
terms and conditions of the appropriate standard form of Award Agreement approved by the Board or the Committee and shall conform to the provisions of the Plan and such other guidelines as shall be established from time to time by the Board or the
Committee. 
 3.3 Administration with Respect to Insiders. With respect to participation by Insiders in the
Plan, at any time that any class of equity security of the Company is registered pursuant to Section 12 of the Exchange Act, the Plan shall be administered in compliance with the requirements, if any, of Rule 16b-3. 

3.4 Committee Complying with Section 162(m). If the Company is a “publicly held corporation”
within the meaning of Section 162(m), the Board may establish a Committee of “outside directors” within the meaning of Section 162(m) to approve the grant of any Award which might reasonably be anticipated to qualify as
“performance-based compensation” as that term is used in the Treasury Regulations issued under Section 162(m). 

3.5 Powers of the Committee. In addition to any other powers set forth in the Plan and subject
to the provisions of the Plan, the Committee shall have the full and final power and authority, in its discretion: 
 (a) to determine the
persons to whom, and the time or times at which, Awards shall be granted and the number of shares of Stock, Options to purchase shares of Stock or units to be subject to each Award; 

(b) to determine the type of Award granted and to designate Options as Incentive Stock Options or Nonstatutory Stock Options; 

(c) to determine the Fair Market Value of shares of Stock or other property; 

(d) to determine the terms, conditions and restrictions applicable to each Award (which need not be identical) and any shares acquired
pursuant thereto, including, without limitation, (i) the exercise or purchase price of shares purchased pursuant to any Award, (ii) the method of payment for shares purchased pursuant to any Award, (iii) the method for satisfaction of
any tax withholding obligation arising in connection with any Award, including by the withholding or delivery of shares of Stock, (iv) the timing, terms and conditions of the exercisability or Vesting Conditions of any Award or any shares
acquired pursuant thereto, (v) the Performance Award Formula and Performance Goals applicable to any Award and the extent to which such Performance Goals have been attained, (vi) the time of the expiration of any Award, (vii) the
effect of the Participant’s termination of Service on any of the foregoing, and (viii) all other terms, conditions and restrictions applicable to any Award or shares acquired pursuant thereto not inconsistent with the terms of the Plan;

 (e) to determine whether an Award of Performance Units will be settled in shares of Stock, cash,
or in any combination thereof; 
 (f) to approve one or more forms of Award Agreement; 

(g) to amend, modify, extend, cancel or renew any Award or to waive any restrictions or conditions applicable to any Award or any shares
acquired pursuant thereto; 
 (h) to accelerate, continue, extend or defer the exercisability or Vesting Conditions of any Award or any
shares acquired pursuant thereto, including with respect to the period following a Participant’s termination of Service; 
 (i) to
amend, modify or correct any defect in the Plan or any Award in order to avoid the application of Sections 162(m), 280G or 409A to any Award or to the Plan; 

(j) to prescribe, amend or rescind rules, guidelines and policies relating to the Plan, or to adopt sub-plans or supplements to, or
alternative versions of, the Plan, including, without limitation, as the Committee deems necessary or desirable to comply with the laws or regulations of or to accommodate the tax policy, accounting principles or custom of, foreign jurisdictions
whose citizens may be granted Awards; and 
 (k) to correct any defect, supply any omission or reconcile any inconsistency in the Plan or
any Award Agreement and to make all other determinations and take such other actions with respect to the Plan or any Award as the Committee may deem advisable to the extent not inconsistent with the provisions of the Plan or applicable law. 

3.6 Indemnification. In addition to such other rights of indemnification as they may have as members of the
Board or the Committee or as officers or employees of the Company, members of the Board or the Committee and any officers or employees of the Company to whom authority to act for the Board, the Committee or the Company is delegated shall be
indemnified by the Company against all reasonable expenses, including attorneys’ fees, actually and necessarily incurred in connection with the defense of any action, suit or proceeding, or in connection with any appeal therein, to which they
or any of them may be a party by reason of any action taken or failure to act under or in connection with the Plan, or any right granted hereunder, and against all amounts paid by them in settlement thereof (provided such settlement is approved by
independent legal counsel selected by the Company) or paid by them in satisfaction of a judgment in any such action, suit or proceeding, except in relation to matters as to which it shall be adjudged in such action, suit or proceeding that such
person is liable for gross negligence, bad faith or intentional misconduct in duties; provided, however, that within sixty (60) days after the institution of such action, suit or proceeding, such person shall offer to the Company, in writing,
the opportunity at its own expense to handle and defend the same. 
  

	4.	SHARES SUBJECT TO PLAN. 

 4.1 Maximum Number of Shares
Issuable. Subject to adjustment as provided in Section 4.2, the maximum aggregate number of shares of Stock that may be issued under the Plan shall be One Million Four Hundred Ninety Thousand Five Hundred Forty-Seven Shares
(1,490,547) and shall consist of authorized but unissued or reacquired shares of Stock or any combination thereof. If an outstanding Award for any reason expires or is terminated or canceled without having been exercised or settled in full, or
if shares of Stock acquired pursuant to an Award subject to forfeiture or repurchase are forfeited or repurchased by the Company at the Participant’s purchase price, the shares of Stock allocable to the terminated portion of such Award or such
forfeited or repurchased shares of Stock shall again be available for issuance under the Plan. Shares of Stock shall not be deemed to have been issued pursuant to the Plan (a) with respect to any portion of an Award that is settled in cash or
(b) to the extent such shares are withheld in satisfaction of tax withholding obligations pursuant to Section 13. If the exercise price of an Option is paid by tender to the Company, or attestation to the ownership, of shares of Stock
owned by the Participant, the number of shares available for issuance under the Plan shall be reduced by the net number of shares for which the Option is exercised. 

 4.2 Adjustments for Changes in Capital
Structure. Subject to any required action by the stockholders of the Company, in the event of any change in the Stock effected without receipt of consideration by the Company, whether through merger, consolidation,
reorganization, reincorporation, recapitalization, reclassification, stock dividend, stock split, reverse stock split, split-up, split-off, spin-off, combination of shares, exchange of shares, or similar change in the capital structure of the
Company, or in the event of payment of a dividend or distribution to the stockholders of the Company in a form other than Stock (excepting normal cash dividends) that has a material effect on the Fair Market Value of shares of Stock, appropriate
adjustments shall be made in the number and class of shares subject to the Plan and to any outstanding Awards, and in the exercise or purchase price per share under any outstanding Award in order to prevent dilution or enlargement of
Participants’ rights under the Plan. For purposes of the foregoing, conversion of any convertible securities of the Company shall not be treated as “effected without receipt of consideration by the Company.” Any fractional share
resulting from an adjustment pursuant to this Section 4.2 shall be rounded down to the nearest whole number, and in no event may the exercise or purchase price under any Award be decreased to an amount less than the par value, if any, of the
stock subject to such Award. The adjustments determined by the Committee pursuant to this Section 4.2 shall be final, binding and conclusive. 
  

	5.	ELIGIBILITY AND AWARD LIMITATIONS. 

 5.1 Persons Eligible
for Awards. Awards may be granted only to Employees and Directors. For purposes of the foregoing sentence, “Employees” and “Directors” shall include prospective Employees and prospective Directors to whom Awards are
granted in connection with written offers of an employment or other service relationship with the Company; provided, however, that no Stock subject to any such Award shall vest, become exercisable or be issued prior to the date on which such person
commences Service. The maximum number of shares of Stock with respect to an Award or Awards may be granted to any Participant shall not exceed ten percent (10%) of the total outstanding shares of Stock issued and outstanding. 

5.2 Award Limitations. Notwithstanding any provision of the Plan and subject to adjustment as provided in
Section 4.2, the maximum aggregate number of shares of Stock with respect to one or more Awards that may be granted to any one person during a calendar year shall be two hundred thousand (200,000) (50,000 shares of stock in the case of
non-employee Directors) and the maximum aggregate amount that may be paid to any one person during a calendar year with respect to one or more Cash Bonus Awards shall be two million dollars ($2,000,000). 

5.3 Participation. Awards are granted solely at the discretion of the Committee. Eligible persons may be
granted more than one (1) Award. However, eligibility in accordance with this Section shall not entitle any person to be granted an Award, or, having been granted an Award, to be granted an additional Award. 

5.4 Incentive Stock Option Limitations. 

(a) Persons Eligible. An Incentive Stock Option may be granted only to a person who, on the effective date of grant,
is an Employee of the Company, a Subsidiary Corporation, or a Parent Corporation, (each being an “ISO-Qualifying Corporation”). Any person who is not an Employee of an ISO-Qualifying Corporation on the effective date of
the grant of an Option to such person may be granted only a Nonstatutory Stock Option. An Incentive Stock Option granted to a prospective Employee upon the condition that such person become an Employee of an ISO-Qualifying Corporation shall be
deemed granted effective on the date such person commences Service with an ISO-Qualifying Corporation, with an exercise price determined as of such date in accordance with Section 6.1. 

(b) One Hundred Thousand Dollar Annual Fair Market Value Limitation. To the extent that options designated as
Incentive Stock Options (granted under all stock option plans of the Company, including the Plan and the stock option plans of any Subsidiary Corporation and its Parent Corporation) become exercisable by a Participant for the first time during any
calendar year for stock having a Fair Market Value greater than One Hundred Thousand Dollars ($100,000), the portion of such Options which exceeds such amount shall be treated as Nonstatutory Stock Options. For purposes of this Section, Options
designated as Incentive Stock Options shall be taken into account in the order in which they were granted, and the Fair Market Value of Stock shall be determined as of the time the Option with respect to such Stock is granted. If the Code is amended
to provide for a different limitation from that set forth in this Section, such different limitation shall be deemed incorporated herein effective 

 
as of the date and with respect to such Options as required or permitted by such amendment to the Code. If an Option is treated as an Incentive Stock Option in part and as a Nonstatutory Stock
Option in part by reason of the limitation set forth in this Section, the Participant may designate which portion of such Option the Participant is exercising. In the absence of such designation, the Participant shall be deemed to have exercised the
Incentive Stock Option portion of the Option first. Upon exercise, shares issued pursuant to each such portion shall be separately identified. 
  

	6.	TERMS AND CONDITIONS OF OPTIONS. 

 Options shall be evidenced by Award Agreements
specifying a fixed number of shares of Stock subject to the Option on the original date of grant of the Option, in such form as the Committee shall from time to time establish. No Option or purported Option shall be a valid and binding obligation of
the Company unless evidenced by a fully executed Award Agreement. Award Agreements evidencing Options may incorporate all or any of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions: 

6.1 Exercise Price. The exercise price for each Option shall be determined by the Committee;
provided, however, that (a) the exercise price per share shall be not less than the Fair Market Value of a share of Stock on the date of grant of the Option and (b) no Incentive Stock Option granted to a Ten Percent Owner shall have an
exercise price per share less than one hundred ten percent (110%) of the Fair Market Value of a share of Stock on the effective date of grant of the Option. Notwithstanding the foregoing, an Option (whether an Incentive Stock Option or a
Nonstatutory Stock Option) may be substituted for another option or an Option may be assumed in a corporate transaction and not be treated as the grant of an Option if the substitution or modification qualifies under the provisions of
Section 424(a) of the Code and the Treasury Regulations issued thereunder or under Section 409A, as applicable. 

6.2 Exercisability and Term of Options. Options shall be exercisable at such time or times, or
upon such event or events, and subject to such terms, conditions, performance criteria and restrictions, including Vesting Conditions based upon the satisfaction of Service requirements, as shall be determined by the Committee and set forth in the
Award Agreement evidencing such Option; provided, however, that (a) no Option shall be exercisable after the expiration of ten (10) years after the date of grant of such Option, (b) no Incentive Stock Option granted to a Ten Percent
Owner shall be exercisable after the expiration of five (5) years after the date of grant of such Option, and (c) no Option granted to a prospective Employee or prospective Director may become exercisable prior to the date on which such
person commences Service. Subject to the foregoing, unless otherwise specified by the Committee in the grant of an Option, any Option granted hereunder shall terminate ten (10) years after the date of grant of the Option, unless earlier
terminated in accordance with its provisions. 
 6.3 Payment of Exercise Price. 

(a) Forms of Consideration Authorized. Except as otherwise provided below, payment of the exercise price for the
number of shares of Stock being purchased pursuant to any Option shall be made (i) in cash, by check or in cash equivalent, (ii) by tender to the Company, or attestation to the ownership, of shares of Stock owned by the Participant having
a Fair Market Value not less than the exercise price, (iii) by delivery of a properly executed notice of exercise together with irrevocable instructions to a broker providing for the assignment to the Company of the proceeds of a sale or loan
with respect to some or all of the shares being acquired upon the exercise of the Option (including, without limitation, through an exercise complying with the provisions of Regulation T as promulgated from time to time by the Board of
Governors of the Federal Reserve System) (a “Cashless Exercise”), (iv) by such other consideration as may be approved by the Committee from time to time to the extent permitted by applicable law, or (v) by any
combination thereof. The Committee may at any time or from time to time grant Options which do not permit all of the foregoing forms of consideration to be used in payment of the exercise price or which otherwise restrict one or more forms of
consideration. 
 (b) Limitations on Forms of Consideration. 

(i) Tender of Stock. Notwithstanding the foregoing, an Option may not be exercised by tender to the Company, or attestation
to the ownership, of shares of Stock to the extent such tender or attestation would constitute a violation of the provisions of any law, regulation or agreement restricting the redemption of the 

 
Company’s stock. Unless otherwise provided by the Committee, an Option may not be exercised by tender to the Company, or attestation to the ownership, of shares of Stock held by an officer
(within the meaning of Section 16 of the Exchange Act) unless such shares either have been owned by the Participant for more than six (6) months (and not used for another Option exercise by attestation during such period) or were not
acquired, directly or indirectly, from the Company. 
 (ii) Cashless Exercise. The Company reserves, at any and all times,
the right, in the Company’s sole and absolute discretion, to establish, decline to approve or terminate any program or procedures for the exercise of Options by means of a Cashless Exercise, including with respect to one or more Participants
specified by the Company notwithstanding that such program or procedures may be available to other Participants. 

6.4 Effect of Termination of Service. 

(a) Option Exercisability. Subject to earlier termination of the Option as otherwise provided herein and
unless otherwise provided by the Committee in the grant of an Option and set forth in the Award Agreement, an Option shall be exercisable after a Participant’s termination of Service only during the applicable time period determined in
accordance with this Section and thereafter shall terminate: 
 (i) Disability. If the Participant’s Service
terminates because of the Disability of the Participant, the Option, to the extent unexercised and exercisable on the date on which the Participant’s Service terminated, may be exercised by the Participant (or the Participant’s guardian or
legal representative) at any time prior to the expiration of one (1) year) (or such longer period of time as determined by the Board or Committee, in its discretion) after the date on which the Participant’s Service terminated, but in
any event no later than the date of expiration of the Option’s term as set forth in the Award Agreement evidencing such Option (the “Option Expiration Date”). 

(ii) Death. If the Participant’s Service terminates because of the death of the Participant, the Option, to the extent
unexercised and exercisable on the date on which the Participant’s Service terminated, may be exercised by the Participant’s legal representative or other person who acquired the right to exercise the Option by reason of the
Participant’s death at any time prior to the expiration of one (1) year) (or such longer period of time as determined by the Board or Committee, in its discretion) after the date on which the Participant’s Service terminated, but
in any event no later than the Option Expiration Date. The Participant’s Service shall be deemed to have terminated on account of death if the Participant dies within ninety (90) days (or such longer period of time as determined by the
Board, in its discretion) after the Participant’s termination of Service. 
 (iii) Termination for
Cause. Notwithstanding any other provision of the Plan to the contrary, if the Participant’s Service is terminated for Cause, the Option shall terminate and cease to be exercisable immediately upon such termination of Service. 

(iv) Other Termination of Service. If the Participant’s Service terminates for any reason, except Disability, death or
Cause, the Option, to the extent unexercised and exercisable by the Participant on the date on which the Participant’s Service terminated, may be exercised by the Participant at any time prior to the expiration of ninety (90) days (or such
longer period of time as determined by the Board or Committee, in its discretion) after the date on which the Participant’s Service terminated, but in any event no later than the Option Expiration Date. 

(b) Extension if Exercise Prevented by Law. Notwithstanding the foregoing, other than termination of Service
for Cause, if the exercise of an Option within the applicable time periods set forth in Section 6.4(a) is prevented by the provisions of Section 12 below, the Option shall remain exercisable until ninety (90) days (or such longer
period of time as determined by the Board or Committee, in its discretion) after the date the Participant is notified by the Company that the Option is exercisable, but in any event no later than the Option Expiration Date. 

(c) Extension if Participant Subject to Section 16(b). Notwithstanding the foregoing, other than
termination of Service for Cause, if a sale within the applicable time periods set forth in Section 6.4(a) of shares acquired upon the exercise of the Option would subject the Participant to suit under Section 16(b) of the Exchange

 
Act, the Option shall remain exercisable until the earliest to occur of (i) the tenth (10th) day following the date on which a sale of such shares by the Participant would no longer be
subject to such suit, (ii) the one hundred and ninetieth (190th) day after the Participant’s termination of Service, or (iii) the Option Expiration Date. 

6.5 Transferability of Options. During the lifetime of the Participant, an Option shall be exercisable only by
the Participant or the Participant’s guardian or legal representative. Prior to the issuance of shares of Stock upon the exercise of an Option, the Option shall not be subject in any manner to anticipation, alienation, sale, exchange, transfer,
assignment, pledge, encumbrance, or garnishment by creditors of the Participant or the Participant’s beneficiary, except transfer by will or by the laws of descent and distribution. 

6.6 Prohibition Against Option Repricing. Except as provided in Section 4.2 and notwithstanding any other
provision of this Plan, neither the Board nor the Committee shall have the right or authority following the grant of any Option pursuant to the Plan to amend or modify the Exercise Price of any such Option, or to cancel the Option at a time when the
Exercise Price is greater than the Fair Market Value of the Shares in exchange for another Option or Award. 
  

	7.	TERMS AND CONDITIONS OF RESTRICTED STOCK AWARDS. 

 Restricted Stock Awards shall
be evidenced by Award Agreements specifying whether the Award is a Restricted Stock Bonus or a Restricted Stock Purchase Right and the number of shares of Stock subject to the Award, in such form as the Committee shall from time to time establish.
No Restricted Stock Award or purported Restricted Stock Award shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award Agreement. Award Agreements evidencing Restricted Stock Awards may incorporate all or any
of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions: 

7.1 Types of Restricted Stock Awards Authorized. Restricted Stock Awards may be in the form of either a
Restricted Stock Bonus or a Restricted Stock Purchase Right. Restricted Stock Awards may be granted upon such conditions as the Committee shall determine, including, without limitation, upon the attainment of one or more Performance Goals described
in Section 8.4. If either the grant of a Restricted Stock Award or the lapse of the Restriction Period is to be contingent upon the attainment of one or more Performance Goals, the Committee shall follow procedures substantially equivalent to
those set forth in Sections 8.3 through 8.5(a). 
 7.2 Purchase Price. The purchase price for shares of
Stock issuable under each Restricted Stock Purchase Right shall be established by the Committee in its discretion. No monetary payment (other than applicable tax withholding) shall be required as a condition of receiving shares of Stock pursuant to
a Restricted Stock Bonus, the consideration for which shall be services actually rendered to the Company or for its benefit. Notwithstanding the foregoing, the Participant shall furnish consideration in the form of cash or past services rendered to
the Company or for its benefit. 
 7.3 Purchase Period. A Restricted Stock Purchase Right shall be
exercisable within a period established by the Committee, which shall in no event shall extend to any period which shall cause the Restricted Stock Purchase Right to be treated as a deferral of compensation within the meaning of Section 409A or
exceed thirty (30) days from the date of the grant of the Restricted Stock Purchase Right. In addition, no Restricted Stock Purchase Right granted to a prospective Employee or prospective Director may become exercisable prior to the date on
which such person commences Service. 
 7.4 Payment of Purchase Price. Except as otherwise provided below,
payment of the purchase price for the number of shares of Stock being purchased pursuant to any Restricted Stock Purchase Right shall be made (a) in cash, by check, or in cash equivalent, (b) by such other consideration as may be approved
by the Committee from time to time to the extent permitted by applicable law, or (iii) by any combination thereof. The Committee may at any time or from time to time grant Restricted Stock Purchase Rights which do not permit all of the
foregoing forms of consideration to be used in payment of the purchase price or which otherwise restrict one or more forms of consideration. Restricted Stock Bonuses shall be issued in consideration for past services actually rendered to the Company
or for its benefit. 
 7.5 Vesting and Restrictions on Transfer. Shares issued pursuant to any Restricted
Stock Award may or may not be made subject to Vesting Conditions based upon the satisfaction of such Service requirements, conditions, restrictions or performance criteria, including, without limitation, Performance Goals as described in
Section 8.4, as shall be established by the Committee and set forth in the Award Agreement evidencing such 

 
Award. During any Restriction Period in which shares acquired pursuant to a Restricted Stock Award remain subject to Vesting Conditions, such shares may not be sold, exchanged, transferred,
pledged, assigned or otherwise disposed of other than pursuant to a Change in Control, as defined in Section 11.1, or as provided in Section 7.8. Upon request by the Company, each Participant shall execute any agreement evidencing such
transfer restrictions prior to the receipt of shares of Stock hereunder and shall promptly present to the Company any and all certificates representing shares of Stock acquired hereunder for the placement on such certificates of appropriate legends
evidencing any such transfer restrictions. 
 7.6 Voting Rights; Dividends and Distributions. Except as
provided in this Section, Section 7.5 and any Award Agreement, during the Restriction Period applicable to shares subject to a Restricted Stock Award, the Participant shall have all of the rights of a stockholder of the Company holding shares
of Stock, including the right to vote such shares and to receive all dividends and other distributions paid with respect to such shares. However, in the event of a dividend or distribution paid in shares of Stock or any other adjustment made upon a
change in the capital structure of the Company as described in Section 4.2, then any and all new, substituted or additional securities or other property (other than normal cash dividends) to which the Participant is entitled by reason of the
Participant’s Restricted Stock Award shall be immediately subject to the same Vesting Conditions as the shares subject to the Restricted Stock Award with respect to which such dividends or distributions were paid or adjustments were made. 

7.7 Effect of Termination of Service. Unless otherwise provided by the Committee in the grant of a Restricted
Stock Award and set forth in the Award Agreement, if a Participant’s Service terminates for any reason, whether voluntary or involuntary (including the Participant’s death or disability), then (a) the Company shall have the option to
repurchase for the purchase price paid by the Participant any shares acquired by the Participant pursuant to a Restricted Stock Purchase Right which remain subject to Vesting Conditions as of the date of the Participant’s termination of Service
and (b) the Participant shall forfeit to the Company any shares acquired by the Participant pursuant to a Restricted Stock Bonus which remain subject to Vesting Conditions as of the date of the Participant’s termination of Service. The
Company shall have the right to assign at any time any repurchase right it may have, whether or not such right is then exercisable, to one or more persons as may be selected by the Company. 

7.8 Nontransferability of Restricted Stock Award Rights. Prior to the issuance of shares of Stock pursuant to
a Restricted Stock Award, rights to acquire such shares shall not be subject in any manner to anticipation, alienation, sale, exchange, transfer, assignment, pledge, encumbrance or garnishment by creditors of the Participant or the
Participant’s beneficiary, except transfer by will or the laws of descent and distribution. All rights with respect to a Restricted Stock Award granted to a Participant hereunder shall be exercisable during his or her lifetime only by such
Participant or the Participant’s guardian or legal representative. 
  

	8.	TERMS AND CONDITIONS OF PERFORMANCE AWARDS. 

 Performance Awards shall be
evidenced by Award Agreements in such form as the Committee shall from time to time establish. No Performance Award or purported Performance Award shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award
Agreement. Award Agreements evidencing Performance Awards may incorporate all or any of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions: 

8.1 Types of Performance Awards Authorized. Performance Awards may be in the form of Performance Units or Cash
Bonus Awards. Each Award Agreement evidencing a Performance Award shall specify the number of Performance Units or Cash Bonus Award opportunity subject thereto, the Performance Award Formula, the Performance Goal(s) and Performance Period applicable
to the Award, and the other terms, conditions and restrictions of the Award. 
 8.2 Value of Performance
Awards. The final value payable to the Participant in settlement of a Performance Award determined on the basis of the applicable Performance Award Formula will depend on the extent to which Performance Goals established by the Committee
are attained within the applicable Performance Period established by the Committee. 

 8.3 Establishment of Performance Period, Performance Goals and
Performance Award Formula. In granting each Performance Award, the Committee shall establish in writing the applicable Performance Period, Performance Award Formula and one or more Performance Goals which, when measured at the end of the
Performance Period, shall determine on the basis of the Performance Award Formula the final value of the Performance Award to be paid to the Participant. Unless otherwise permitted in compliance with the requirements under Section 162(m) with
respect to “performance-based compensation,” the Committee shall establish the Performance Goal(s) and Performance Award Formula applicable to each Performance Award no later than the earlier of (a) the date ninety (90) days
after the commencement of the applicable Performance Period or (b) the date on which 25% of the Performance Period has elapsed, and, in any event, at a time when the outcome of the Performance Goals remains substantially uncertain. Once
established, the Performance Goals and Performance Award Formula shall not be changed during the Performance Period. The Company shall notify each Participant granted a Performance Award of the terms of such Award, including the Performance Period,
Performance Goal(s) and Performance Award Formula. 
 8.4 Measurement of Performance Goals. Performance
Goals shall be established by the Committee on the basis of targets to be attained (“Performance Targets”) with respect to one or more measures of business or financial performance (each, a “Performance
Measure”), subject to the following: 
 (a) Performance Measures. Performance Measures shall have the
same meanings as used in the Company’s financial statements, or, if such terms are not used in the Company’s financial statements, they shall have the meaning applied pursuant to generally accepted accounting principles, or as used
generally in the Company’s industry. Performance Measures shall be calculated with respect to the Company, its Parent Corporation and each Subsidiary Corporation consolidated therewith for financial reporting purposes or such division or other
business unit as may be selected by the Committee. For purposes of the Plan, the Performance Measures applicable to a Performance Award shall exclude the effect (whether positive or negative) of any change in accounting standards or any
extraordinary, unusual or nonrecurring item, as determined by the Committee, occurring after the establishment of the Performance Goals applicable to the Performance Award; provided, however, no such adjustment shall made be if the exercise of such
authority by the Committee would constitute the exercise of “impermissible discretion,” within the meaning of Treas. Reg. Section 1.162-27(e)(2)(iii), or would otherwise cause Restricted Stock Awards, Restricted Stock Units or
Performance Awards granted under the Plan that are intended to qualify as “performance-based compensation” under Section 162(m) of the Code and regulations thereunder to otherwise fail to qualify as “performance-based
compensation” under Section 162(m) and regulations thereunder. Performance Measures may be one or more of the following, as determined by the Committee: revenue; net interest income; non-interest income; net interest margin; operating
income; earnings before taxes; earnings before interest taxes depreciation and amortization; earnings before interest and taxes; pre-tax income; net income; market share; business unit volume; capital; tangible book value; expense management; the
market price of the Stock; total shareholder return; return on equity; return on capital; return on assets; return on tangible equity; return on tangible common equity; efficiency ratio; number of customers; number of accounts; assets; asset mix;
deposits; non-interest bearing deposits; deposit mix; loans; loan mix; asset quality; credit quality; regulatory exam results; audit results; customer satisfaction (determined based on objective criteria approved by the Committee); and execution of
strategic initiatives (determined based on objective criteria approved by the Committee); cost of funds; cost of deposits; Texas ratio. A Performance Measure may be expressed in any form that the Committee determines, including, but not limited to:
absolute value, ratio, average, percentage growth, absolute growth, cumulative growth, performance in relation to an index, performance in relation to peer company performance, per share of common stock outstanding, or per full-time equivalent
employee. 
 (b) Performance Targets. Performance Targets may include a minimum, maximum, target level and
intermediate levels of performance, with the final value of a Performance Award determined under the applicable Performance Award Formula by the level attained during the applicable Performance Period. A Performance Target may be stated as an
absolute value or as a value determined relative to a standard selected by the Committee. 
 8.5 Settlement of
Performance Awards. 
 (a) Determination of Final Value. As soon as practicable following the completion of the
Performance Period applicable to an Award, the Committee shall certify in writing the extent to which the 

 
applicable Performance Goals have been attained and the resulting final value of the Award earned by the Participant and to be paid upon its settlement in accordance with the applicable
Performance Award Formula. 
 (b) Discretionary Adjustment of Award Formula. In its discretion, the Committee may,
either at the time it grants a Performance Award or at any time thereafter, provide for the positive or negative adjustment of the Performance Award Formula applicable to a Performance Award granted to any Participant who is not a “covered
employee” within the meaning of Section 162(m) (a “Covered Employee”) to reflect such Participant’s individual performance in his or her position with the Company or such other factors as the Committee may
determine. If permitted under a Covered Employee’s Award Agreement, the Committee shall have the discretion, on the basis of such criteria as may be established by the Committee, to reduce some or all of the value of the Performance Award that
would otherwise be paid to the Covered Employee upon its settlement notwithstanding the attainment of any Performance Goal and the resulting value of the Performance Award determined in accordance with the Performance Award Formula. No such
reduction may result in an increase in the amount payable upon settlement of another Participant’s Performance Award. 

(c) Effect of Leaves of Absence. Unless otherwise required by law, payment of the final value, if any, of a
Performance Award held by a Participant who has taken in excess of thirty (30) days in leaves of absence during a Performance Period shall be prorated on the basis of the number of days of the Participant’s Service during the Performance
Period during which the Participant was not on a leave of absence. 
 (d) Notice to Participants. As soon as
practicable following the Committee’s determination and certification in accordance with Sections 8.5(a) and (b), the Company shall notify each Participant of the determination of the Committee. 

(e) Payment in Settlement of Performance Awards. As soon as practicable following the Committee’s determination
and certification in accordance with Sections 8.5(a) and (b), payment shall be made to each eligible Participant (or such Participant’s legal representative or other person who acquired the right to receive such payment by reason of the
Participant’s death) of the final value of the Participant’s Performance Award. Payment of such amount shall be made in cash, shares of Stock, or a combination thereof as determined by the Committee. Unless otherwise provided in the Award
Agreement evidencing a Performance Award, payment shall be made in a lump sum. In no event shall payment of a Performance Award be made later than the 15th day of the third month following the taxable year of the Participant in which the Participant
has a legally binding right to the Performance Award. 
 (f) Provisions Applicable to Payment in Shares. If payment
is to be made in shares of Stock, the number of such shares shall be determined by dividing the final value of the Performance Award by the Fair Market Value of a share of Stock. Shares of Stock issued in payment of any Performance Award may be
fully vested and freely transferable shares or may be shares of Stock subject to Vesting Conditions as provided in Section 7.5. Any shares subject to Vesting Conditions shall be evidenced by an appropriate Award Agreement and shall be subject
to the provisions of Sections 7.5 through 7.8 above. 
 8.6 Effect of Termination of Service. Unless
otherwise provided by the Committee in the grant of a Performance Award and set forth in the Award Agreement, the effect of a Participant’s termination of Service on the Performance Award shall be as follows: 

(a) Death or Disability. If the Participant’s Service terminates because of the death or Disability of the
Participant before the completion of the Performance Period applicable to the Performance Award, the final value of the Participant’s Performance Award shall be determined by the extent to which the applicable Performance Goals have been
attained with respect to the entire Performance Period and shall be prorated based on the number of months of the Participant’s Service during the Performance Period. Payment shall be made following the end of the Performance Period in any
manner permitted by Section 8.5. 
 (b) Other Termination of Service. If the Participant’s Service
terminates for any reason except death or Disability before the completion of the Performance Period applicable to the Performance Award, such Award shall be forfeited in its entirety. 

 8.7 Nontransferability of Performance Awards. Prior to
settlement in accordance with the provisions of the Plan, no Performance Award shall be subject in any manner to anticipation, alienation, sale, exchange, transfer, assignment, pledge, encumbrance, or garnishment by creditors of the Participant or
the Participant’s beneficiary, except transfer by will or by the laws of descent and distribution. All rights with respect to a Performance Award granted to a Participant hereunder shall be exercisable during his or her lifetime only by such
Participant or the Participant’s guardian or legal representative. 
  

	9.	TERMS AND CONDITIONS OF RESTRICTED STOCK UNIT AWARDS. 

 Restricted Stock Unit
Awards shall be evidenced by Award Agreements specifying the number of Restricted Stock Units subject to the Award, in such form as the Committee shall from time to time establish. No Restricted Stock Unit Award or purported Restricted Stock Unit
Award shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award Agreement. Award Agreements evidencing Restricted Stock Units may incorporate all or any of the terms of the Plan by reference and shall comply
with and be subject to the following terms and conditions: 
 9.1 Grant of Restricted Stock Unit
Awards. Restricted Stock Unit Awards may be granted upon such conditions as the Committee shall determine, including, without limitation, upon the attainment of one or more Performance Goals described in Section 8.4. If either the
grant of a Restricted Stock Unit Award or the Vesting Conditions with respect to such Award is to be contingent upon the attainment of one or more Performance Goals, the Committee shall follow procedures substantially equivalent to those set forth
in Sections 8.3 through 8.5(a). 
 9.2 Purchase Price. No monetary payment (other than applicable
tax withholding, if any) shall be required as a condition of receiving a Restricted Stock Unit Award. 

9.3 Vesting. Restricted Stock Units may or may not be made subject to Vesting Conditions based upon the
satisfaction of such Service requirements, conditions, restrictions or performance criteria, including, without limitation, Performance Goals as described in Section 8.4, as shall be established by the Committee and set forth in the Award
Agreement evidencing such Award. 
 9.4 Voting Rights, Dividend Equivalent Rights and
Distributions. Participants shall have no voting rights with respect to shares of Stock represented by Restricted Stock Units until the date of the issuance of such shares (as evidenced by the appropriate entry on the books of the Company
or of a duly authorized transfer agent of the Company). However, the Committee, in its discretion, may provide in the Award Agreement evidencing any Restricted Stock Unit Award that the Participant shall be entitled to receive Dividend Equivalents
with respect to the payment of cash dividends on Stock having a record date prior to date on which Restricted Stock Units held by such Participant are settled. Such Dividend Equivalents, if any, shall be paid by crediting the Participant with
additional whole Restricted Stock Units as of the date of payment of such cash dividends on Stock. The number of additional Restricted Stock Units (rounded to the nearest whole number) to be so credited shall be determined by dividing (a) the
amount of cash dividends paid on such date with respect to the number of shares of Stock represented by the Restricted Stock Units previously credited to the Participant by (b) the Fair Market Value per share of Stock on such date. Such
additional Restricted Stock Units shall be subject to the same terms and conditions and shall be settled in the same manner and at the same time (or as soon thereafter as practicable) as the Restricted Stock Units originally subject to the
Restricted Stock Unit Award. In the event of a dividend or distribution paid in shares of Stock or any other adjustment made upon a change in the capital structure of the Company as described in Section 4.2, appropriate adjustments shall be
made in the Participant’s Restricted Stock Unit Award so that it represents the right to receive upon settlement any and all new, substituted or additional securities or other property (other than normal cash dividends) to which the Participant
would entitled by reason of the shares of Stock issuable upon settlement of the Award, and all such new, substituted or additional securities or other property shall be immediately subject to the same Vesting Conditions as are applicable to the
Award. 
 9.5 Effect of Termination of Service. Unless otherwise provided by the Committee in the grant of a
Restricted Stock Unit Award and set forth in the Award Agreement, if a Participant’s Service terminates for any reason, whether voluntary or involuntary (including the Participant’s death or disability), then the Participant shall forfeit
to the Company any Restricted Stock Units pursuant to the Award which remain subject to Vesting Conditions as of the date of the Participant’s termination of Service. 

 9.6 Settlement of Restricted Stock Unit Awards. The Company
shall issue to a Participant on the earlier of the date on which Restricted Stock Units subject to the Participant’s Restricted Stock Unit Award satisfy applicable Vesting Conditions or on such other date determined by the Committee, in its
discretion, and set forth in the Award Agreement one (1) share of Stock (and/or any other new, substituted or additional securities or other property pursuant to an adjustment described in Section 9.4) for each Restricted Stock Unit then
becoming vested or otherwise to be settled on such date, subject to the withholding of applicable taxes. 

9.7 Nontransferability of Restricted Stock Unit Awards. Prior to the issuance of shares of Stock in settlement
of a Restricted Stock Unit Award, the Award shall not be subject in any manner to anticipation, alienation, sale, exchange, transfer, assignment, pledge, encumbrance, or garnishment by creditors of the Participant or the Participant’s
beneficiary, except transfer by will or by the laws of descent and distribution. All rights with respect to a Restricted Stock Unit Award granted to a Participant hereunder shall be exercisable during his or her lifetime only by such Participant or
the Participant’s guardian or legal representative. 
  

	10.	STANDARD FORMS OF AWARD AGREEMENT. 

 10.1 Award
Agreements. Each Award shall comply with and be subject to the terms and conditions set forth in the appropriate form of Award Agreement approved by the Committee and as amended from time to time. Any Award Agreement may
consist of an appropriate form of Notice of Grant and a form of Agreement incorporated therein by reference, or such other form or forms as the Committee may approve from time to time. 

10.2 Authority to Vary Terms. The Committee shall have the authority from time to time to vary
the terms of any standard form of Award Agreement either in connection with the grant or amendment of an individual Award or in connection with the authorization of a new standard form or forms; provided, however, that the terms and conditions of
any such new, revised or amended standard form or forms of Award Agreement are not inconsistent with the terms of the Plan. 
  

	11.	CHANGE IN CONTROL. 

 11.1 Definition. 

(a) An ”Ownership Change Event” shall be deemed to have occurred if any of the following
occurs with respect to the Company: (i) the direct or indirect sale or exchange in a single or series of related transactions by the stockholders of the Company of more than fifty percent (50%) of the voting stock of the Company;
(ii) a merger or consolidation in which the Company is a party; (iii) the sale, exchange, or transfer of all or substantially all of the assets of the Company (other than a sale, exchange or transfer to one or more subsidiaries of the
Company); or (iv) a liquidation or dissolution of the Company. 
 (b) A “Change in Control” shall
mean an Ownership Change Event or series of related Ownership Change Events (collectively, a “Transaction”) in which the stockholders of the Company immediately before the Transaction do not retain
immediately after the Transaction, in substantially the same proportions as their ownership of shares of the Company’s voting stock immediately before the Transaction, direct or indirect beneficial ownership of more than fifty percent
(50%) of the total combined voting power of the outstanding voting securities of the Company or, in the case of an Ownership Change Event described in Section 11.1(a)(iii), the entity to which the assets of the Company were transferred
(the “Transferee”), as the case may be. For purposes of the preceding sentence, indirect beneficial ownership shall include, without limitation, an interest resulting from ownership of the voting securities
of one or more corporations or other business entities which own the Company or the Transferee, as the case may be, either directly or through one or more subsidiary corporations or other business entities. The Committee shall have the right to
determine whether multiple sales or exchanges of the voting securities of the Company or multiple Ownership Change Events are related, and its determination shall be final, binding and conclusive. 

11.2 Effect of Change in Control on Options. 

(a) Accelerated Vesting. Notwithstanding any other provision of the Plan to the contrary, the Committee, in its sole
discretion, may provide in any Award Agreement or, in the event of a Change in Control, may 

 
take such actions as it deems appropriate to provide for the acceleration of the exercisability and vesting in connection with such Change in Control of any or all outstanding Options and shares
acquired upon the exercise of such Options upon such conditions and to such extent as the Committee shall determine. 

(b) Assumption or Substitution. In the event of a Change in Control, the surviving, continuing, successor, or purchasing
entity or parent thereof, as the case may be (the “Acquiror”), may, without the consent of any Participant, either assume the Company’s rights and obligations under outstanding Options (“Assumed
Options”) or substitute for outstanding Options substantially equivalent options (“Substituted Options”) (as the case may be) for the Acquiror’s stock; provided, however that such Assumed Options or such
Substituted Options shall provide or contain a provision that accelerates the exercisability and vesting of such Assumed or Substituted Options if within eighteen (18) months of the occurrence of the Ownership Change Event any one or more of
the following occurs: (i) the termination of Service of the Participant by the Acquiror without Cause, (ii) the change in the location where the Participant regularly performs Service to a place more than twenty five (25) miles from
the location where the Participant regularly performed Service prior to the Ownership Change Event, or (iii) the base salary of the Participant is reduced by ten percent (10%) or more. Any unvested Options which are not assumed by the
Acquiror or exchanged for Substituted Options in connection with a Change in Control shall become immediately exercisable five (5) days prior to the time of consummation of the Change in Control. and each affected Participant shall be provided
ten (10) days’ notice by the Company of the Acquiror’s intention not to assume the Options or grant Substituted Options. 

(c) Cash-Out of Options. The Committee may, in its sole discretion and without the consent of any Participant, determine
that, upon the occurrence of a Change in Control, each or any Option outstanding immediately prior to the Change in Control shall be canceled in exchange for a payment with respect to each share of Stock, vested or unvested (at the discretion of the
Committee), subject to such canceled Option in (i) cash, (ii) stock of the Company or of a corporation or other business entity a party to the Change in Control, or (iii) other property which, in any such case, shall be in an amount
having a Fair Market Value equal to the excess of the Fair Market Value of the consideration to be paid per share of Stock in the Change in Control over the exercise price per share under such Option (the “Spread”). In
the event such determination is made by the Committee, the Spread (reduced by applicable withholding taxes, if any) shall be paid to Participants in respect of their canceled Options as soon as practicable following the date of the Change in
Control. 
 11.3 Effect of Change in Control on Restricted Stock Awards. The Committee may, in its
discretion, provide in any Award Agreement evidencing a Restricted Stock Award that, in the event of a Change in Control, the lapsing of the Restriction Period applicable to the shares subject to the Restricted Stock Award held by a Participant
whose Service has not terminated prior to the Change in Control shall be accelerated effective immediately prior to the consummation of the Change in Control to such extent as specified in such Award Agreement. Any acceleration of the lapsing of the
Restriction Period that was permissible solely by reason of this Section 11.3 and the provisions of such Award Agreement shall be conditioned upon the consummation of the Change in Control. 

11.4 Effect of Change in Control on Performance Awards. The Committee may, in its discretion, provide in any
Award Agreement evidencing a Performance Award that, in the event of a Change in Control, the Performance Award held by a Participant whose Service has not terminated prior to the Change in Control shall become payable effective as of the date of
the Change in Control to such extent as specified in such Award Agreement. 
 11.5 Effect of Change in Control on
Restricted Stock Unit Awards. The Committee may, in its discretion, provide in any Award Agreement evidencing a Restricted Stock Unit Award that, in the event of a Change in Control, the Restricted Stock Unit Award held by a Participant
whose Service has not terminated prior to such date shall be settled effective as of the date of the Change in Control to such extent as specified in such Award Agreement. 
  

	12.	COMPLIANCE WITH SECURITIES LAW. 

 The grant of Awards and the issuance of shares
of Stock pursuant to any Award shall be subject to compliance with all applicable requirements of federal, state and foreign law with respect to such securities (including the Securities Act and any equivalent requirements under state laws) and the
requirements of any stock exchange or 

 
market system upon which the Stock may then be listed. The inability of the Company to obtain from any regulatory body having jurisdiction the authority, if any, deemed by the Company’s
legal counsel to be necessary to the lawful issuance and sale of any shares hereunder shall relieve the Company of any liability in respect of the failure to issue or sell such shares as to which such requisite authority shall not have been
obtained. As a condition to issuance of any Stock, the Company may require the Participant to satisfy any qualifications that may be necessary or appropriate, to evidence compliance with any applicable law or regulation and to make any
representation or warranty with respect thereto as may be requested by the Company. 
  

	13.	TAX WITHHOLDING. 

 13.1 Tax Withholding in
General. The Company shall have the right to deduct from any and all payments made under the Plan, or to require the Participant, through payroll withholding, cash payment or otherwise, including by means of a Cashless Exercise of an
Option, to make adequate provision for the federal, state, local and foreign taxes, if any, required by law to be withheld by the Company with respect to an Award or the shares of Stock acquired pursuant thereto. The Company shall have no obligation
to deliver shares of Stock, or to make any payment in cash under the Plan until the Company’s tax withholding obligations have been satisfied by the Participant. 

13.2 Withholding in Shares. The Company shall have the right, but not the obligation, to deduct from the
shares of Stock issuable to a Participant upon the exercise or settlement of an Award, or to accept from the Participant the tender of, a number of whole shares of Stock having a Fair Market Value, as determined by the Company, equal to all or any
part of the tax withholding obligations of the Company. The Fair Market Value of any shares of Stock withheld or tendered to satisfy any such tax withholding obligations shall not exceed the amount determined by the applicable minimum statutory
withholding rates. 
  

	14.	AMENDMENT OR TERMINATION OF PLAN. 

 The Committee may amend, suspend or terminate
the Plan at any time. However, without the approval of the Company’s stockholders, there shall be (a) no increase in the maximum aggregate number of shares of Stock that may be issued under the Plan (except by operation of the provisions
of Section 4.2), (b) no change in the class of persons eligible to receive Incentive Stock Options, and (c) no other amendment of the Plan that would require approval of the Company’s stockholders under any applicable law,
regulation or rule. No amendment, suspension or termination of the Plan shall affect any then outstanding Award unless expressly provided by the Committee. In any event, no amendment, suspension or termination of the Plan may adversely affect any
then outstanding Award without the consent of the Participant unless necessary to comply with any applicable law, regulation or rule. 
  

	15.	MISCELLANEOUS PROVISIONS. 

 15.1 Repurchase
Rights. Shares issued under the Plan may be subject to one or more repurchase options, or other conditions and restrictions as determined by the Committee in its discretion at the time the Award is granted. The Company shall
have the right to assign at any time any repurchase right it may have, whether or not such right is then exercisable, to one or more persons as may be selected by the Company. Upon request by the Company, each Participant shall execute any agreement
evidencing such transfer restrictions prior to the receipt of shares of Stock hereunder and shall promptly present to the Company any and all certificates representing shares of Stock acquired hereunder for the placement on such certificates of
appropriate legends evidencing any such transfer restrictions. 
 15.2 Provision of Information. Each
Participant shall be given access to information concerning the Company equivalent to that information generally made available to the Company’s common stockholders. 

15.3 Rights as Employee or Director. No person, even though eligible pursuant to Section 5, shall have a
right to be selected as a Participant, or, having been so selected, to be selected again as a Participant. Nothing in the Plan or any Award granted under the Plan shall confer on any Participant a right to remain an Employee or Director or interfere
with or limit in any way any right of the Company to terminate the Participant’s Service at any time. To the extent that an Employee of an employer other than the Company receives an Award under the Plan, that Award shall in no event be
understood or interpreted to mean that the Company is the Employee’s employer or that the Employee has an employment relationship with the Company. 

 15.4 Rights as a Stockholder. A Participant shall have no rights
as a stockholder with respect to any shares covered by an Award until the date of the issuance of such shares (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company). No adjustment
shall be made for dividends, distributions or other rights for which the record date is prior to the date such shares are issued, except as provided in Section 4.2 or another provision of the Plan. 

15.5 Fractional Shares. The Company shall not be required to issue fractional shares upon the exercise or
settlement of any Award. 
 15.6 Severability. If any one or more of the provisions (or any part thereof) of this
Plan shall be held invalid, illegal or unenforceable in any respect, such provision shall be modified so as to make it valid, legal and enforceable, and the validity, legality and enforceability of the remaining provisions (or any part thereof) of
the Plan shall not in any way be affected or impaired thereby. 
 15.7 Beneficiary Designation. Subject to
local laws and procedures, each Participant may file with the Company a written designation of a beneficiary who is to receive any benefit under the Plan to which the Participant is entitled in the event of such Participant’s death before he or
she receives any or all of such benefit. Each designation will revoke all prior designations by the same Participant, shall be in a form prescribed by the Company, and will be effective only when filed by the Participant in writing with the Company
during the Participant’s lifetime. If a married Participant designates a beneficiary other than the Participant’s spouse, the effectiveness of such designation may be subject to the consent of the Participant’s spouse. If a
Participant dies without an effective designation of a beneficiary who is living at the time of the Participant’s death, the Company will pay any remaining unpaid benefits to the Participant’s legal representative. 

15.8 Regulatory Law Compliance. 

(a) If the Company’s capital falls below minimum regulatory requirements, as determined by the California Department of Financial
Institutions (the “DFI”) or the Federal Deposit Insurance Corporation (the “FDIC”) (collectively, referred to as “Supervisory Authority”), the Supervisory Authority may direct the Company to require Optionees to
exercise or forfeit some or all of their Stock Options. 
 (b) The grant of any Stock Options is subject to the review and approval from
time to time of the Supervisory Authority and that in the event any Supervisory Authority interposes an objection to the issuance of Stock Options granted or to be granted hereunder, or otherwise requires or recommends that the Company cancel some
or all of Stock Options Shares, or change the terms or conditions hereof, the Company, through the Stock Option Committee or such other Committee which may be designated as empowered to make determinations with regard to this Plan, shall have the
right to take all such action required or recommended by such Supervisory Authority including, without limitation, the cancellation of Stock Options hereunder at no additional consideration to Optionees holding such Stock Options.EX-10.5

 Exhibit 10.5 

1ST ENTERPRISE BANK 

2006 STOCK INCENTIVE PLAN 

as Amended and Restated 

March 18, 2009 
 Section 1. Purpose

 The purpose of 1st Enterprise Bank 2006 Stock Incentive Plan, as amended (the
“Plan”) is to (i) encourage selected employees and directors of 1st Enterprise Bank (the “Bank”) and its subsidiaries to acquire a proprietary and vested interest in
the growth and performance of the Bank; (ii) generate an increased incentive to contribute to the Bank’s future success and prosperity, thus enhancing the value of the Bank for the benefit of shareholders; and (iii) enhance the
ability of the Bank and its subsidiaries to attract and retain individuals of exceptional talent upon whom, in large measure, the sustained progress, growth and profitability of the Bank depend. 

Section 2. Definitions 
 For purposes
of the Plan, the following terms have the following meanings: 
 (a) “Award” means any Option or Restricted Stock Award. 

(b) “Award Agreement” means, with respect to each Award, the signed written agreement between the Bank and the Participant setting
forth the terms and conditions of the Award. 
 (c) “Board” means the Board of Directors of the Bank. 

(d) “Code” means the Internal Revenue Code of 1986, as amended from time to time, and any successor statute. 

(e) “Consultants” means professionals and other individuals with banking or management experience who provide services to the Bank
or its subsidiaries. 
 (f) “Fair Market Value” means the fair market value of the Common Stock as determined by the Board (or
committee thereof) in good faith in accordance with any reasonable valuation method, consistent with all applicable requirements under the Code or other applicable laws, and regulations promulgated thereunder. 

(g) “Founders” means the initial Founders of the Bank who are neither officers or directors of the Bank and who advanced pre-opening expenses in connection with the Bank’s organization. 

 (h) “Holder” means the holder of a Restricted Stock Award granted under Section 7.

 (i) “Incentive Option” means any Option intended to be and designated as an “incentive stock option” within the
meaning of Section 422 of the Code. 
 (j) “Issue Date” shall mean the date established by the Board (or committee thereof)
on which Certificates representing shares of Restricted Stock shall be issued by the Bank pursuant to the terms of Section 7(b). 
 (k)
“Non-Qualified Option” means any Option that is not an Incentive Option. 
 (l)
“Option” means an option granted under Section 6. 
 (m) “Optionee” means the holder of an Option granted under
Section 6. 
 (n) “Participant” means an employee, director, Founder or Consultant who is selected by the Board (or committee
thereof) to receive an Award under the Plan. 
 (o) “Restricted Stock” or “Restricted Stock Award” means an Award of
Stock subject to restrictions, as more fully described in Section 7. 
 (p) “Restriction Period” means the period determined
by the Board (or committee thereof) under Section 7(b). 
 (q) “Stock” means the Common Stock, no par value, of the Bank, and
any successor security. 
 (r) “Terminating Event” means: (i) a reorganization, merger, or consolidation of the Bank with one
or more corporations as a result of which the Bank will not be the surviving corporation, (ii) a sale of substantially all the assets and property of the Bank to another person, corporation or entity, or (iii) a “change in
control”, i.e., any other single transaction involving the Bank (such as a tender offer) where there is a change in ownership of at least fifty-one percent (51%) of the Bank’s outstanding shares, unless such change in ownership
results from (i) a transfer of shares to another corporation in exchange for at least eighty percent (80%) control of that corporation (such as in a holding company reorganization), or (ii) the issuance of additional shares of stock
by the Bank in a public stock offering, private placement or similar transaction. Notwithstanding anything else to the contrary set forth herein, a “Terminating Event” shall not include any sale of stock or securities, merger, transfer of
assets, consolidation, reorganization or any other transaction instituted by or at the request of the California Commissioner of Financial Institutions or the Federal Deposit Insurance Corporation to resolve any supervisory concerns respecting the
Bank. 
 (s) “Termination” means, for purposes of the Plan, with respect to a Participant, that (a) if the Participant is a
director of the Bank, he or she has ceased to be, for any reason, a director and (b) if the Participant is an employee, he or she has ceased to be, for any reason, employed by the Bank or a subsidiary. 

  
 2 

 (t) “Termination for Cause” in the case of an employee, shall mean termination for
malfeasance or gross misfeasance in the performance of duties, conviction of illegal activity in connection therewith, any conduct seriously detrimental to the interests of the Bank or a subsidiary corporation, or removal pursuant to the exercise of
regulatory authority by the Department of Financial Institutions (“DFI”), the FDIC or other bank supervisory agency; and, in any event, the determination of the Board of Directors with respect thereto shall be final and conclusive. In the
case of a director, termination for cause shall include removal pursuant to Sections 302 or 304 of the California Corporations Code or removal pursuant to the exercise of regulatory authority by the DFI, the FDIC or other bank supervisory agency.

 (u) “Vesting Date” means, for an Option or a portion of an Option, the first date on which the Option or such portion may be
exercised by the Optionee and, for shares of Restricted Stock, the date on which the shares cease to be forfeitable and become freely transferable shares in the hands of the Participant. 

Section 3. Administration 
 (a)
General. This Plan shall initially be administered by the Board of Directors of the Bank (the “Board of Directors”). The Board of Directors may, in its sole discretion, from time to time, delegate such power and authority over the
administration of the Plan as the Board of Directors deems appropriate to a committee composed of not fewer than three (3) directors of the Bank. Nothing contained herein shall prevent the Board of Directors from delegating to such committee
full power and authority over the administration of the Plan. 
 Any action of the Board of Directors (or committee) with respect to
administration of the Plan shall be taken pursuant to a majority vote of its members; provided, however, that with respect to action by the Board of Directors (or committee) in granting an option to an individual director, such action must be
authorized by the required number of directors without counting the interested director, who shall abstain as to any vote on his or her option. An interested director may be counted in determining the presence of a quorum at a meeting of the Board
of Directors (or committee) where such action will be taken. 
 (b) Authority. The Board (or committee) shall grant Awards to
eligible participants. In particular and without limitation, the Board (or committee), subject to the terms of the Plan, shall: 
 (i) select
the eligible participants to whom Awards may be granted; 
 (ii) determine whether and to what extent Awards are to be granted under the
Plan; 
 (iii) determine the number of shares to be covered by each Award granted under the Plan; and 

(iv) determine the terms and conditions of any Award granted under the Plan based upon factors determined by the Board (or committee). 

  
 3 

 (c) Board and Committee Determinations Binding. Subject to the express provisions of the
Plan, the Board (or committee) shall have the authority to construe and interpret the Plan, any Award and any Award Agreement; to define the terms used therein; to prescribe, amend, and rescind rules and regulations relating to administration of the
Plan, to determine the duration and purposes of leaves of absence which may be granted to Participants without constituting a termination of their employment for purposes of the Plan; and to make all other determinations necessary or advisable for
administration of the Plan. Any determination made by the Board (or committee) pursuant to the provisions of the Plan with respect to any Award shall be made in its sole discretion at the time of the grant of the Award or, unless in contravention of
any express term of the Plan or Award, at any later time. Determinations of the Board (or committee) on matters referred to in this section shall be final and conclusive, and shall be binding on all persons, including the Bank and Participants. 

Section 4. Stock Subject to Plan 

(a) Shares Available for Awards. The total number of shares of Stock reserved and available for issuance pursuant to Awards under this
Plan shall be 795,175 shares (30% of the amount of the Bank’s initial issuance of common stock, minus 29,825 shares which have been issued pursuant to the exercise of Options under the Plan as of March 18, 2009), subject to adjustment as
provided in Section 4(b). If any Option terminates or expires without being exercised in full, or if any shares of Stock subject to a Restricted Stock Award are forfeited, the shares issuable under such Option or Award shall again be available
for issuance in connection with Awards. Any Award under this Plan shall be governed by the terms of the Plan and any applicable Award Agreement. 

(b) Adjustments. In the event of any merger, reorganization, consolidation, recapitalization, stock dividend, stock split or
other change in corporate structure affecting the Stock without receipt of consideration by the Bank, such substitution or adjustments shall be made in the aggregate number of shares of Stock reserved for issuance under the Plan, in the number and
exercise price of shares subject to outstanding Options, and in the number of shares subject to other outstanding Awards, as may be determined to be appropriate by the Board (or committee), in its sole discretion; provided, however, that no
fractional shares of Stock shall be issued under the Plan on account of any such adjustment. 
 Section 5. Eligibility 

Awards may be granted to all employees, officers (whether or not they are also directors), non-employee
directors, Founders, and Consultants of the Bank and its subsidiaries. However, Founders, Consultants, and non-employee directors who are not also officers or employees of the Bank or a subsidiary corporation
are not eligible to receive Incentive Options under the Plan, but only Non-Qualified Options or Restricted Stock Awards. 

Section 6. Stock Options 
 (a)
Types. Any Option granted under the Plan shall be in such form as the Board (or committee) may from time to time approve. The Board (or committee) shall have the authority to grant to any eligible Participant Incentive Options, Non-Qualified Options or both types of Options. 

  
 4 

 (b) Incentive Options. Incentive Options may be granted only to employees of the Bank or a
Subsidiary. Any portion of an Option that is not designated as, or does not qualify as, an Incentive Option shall constitute a Non-Qualified Option. 

(c) Terms and Conditions. Options granted under the Plan shall be subject to the following terms and conditions: 

(i) Option Term. Each Option and all rights or obligations thereunder shall expire on such date as the Board (or committee) may
determine, but not later than ten (10) years from the date such Option is granted, and shall be subject to earlier termination as provided elsewhere in the Plan. As to any Incentive Option granted to an Optionee who, immediately before the
option is granted, owns beneficially more than ten percent (10%) of the outstanding stock of the Bank (whether acquired upon exercise of Options or otherwise), such option must not be exercisable by its terms after five (5) years from the
date of its grant. 
 (ii) Grant Date. The time an Option is granted, sometimes referred to as the date of grant, shall be the day of
the action of the Board (or committee) described in Section 3(a) hereof, provided that Optionees do not have the ability to further negotiate the terms of their grants, and provided further that the material terms of the grants are communicated
to Optionees within a relatively short period of time following the Board’s action. In addition, if required by applicable accounting rules, the date of grant will not be deemed to occur unless any shareholder approvals required for the grant
of an option under the Plan or applicable amendments thereto have been obtained. In addition, if appropriate resolutions of the Board (or committee) indicate that an Option is to be granted as of and on some future date, the time such Option is
granted shall be such future date. If action by the Board (or committee) is taken by the unanimous written consent of its members, the action of the Board (or committee) shall be deemed to be at the time the last Board member signs the consent,
subject to the same requirements concerning communication with Optionees set forth in the first sentence of this paragraph. 
 (iii)
Exercise Price. The exercise price per share of stock subject to each Option shall be determined by the Board (or committee) but shall not be less than one hundred percent (100%) of the Fair Market Value of such stock at the time such
Option is granted. As to any Incentive Option granted to an Optionee who, immediately before the Option is granted, owns beneficially more than ten percent (10%) of the outstanding stock of the Bank, the purchase price must be at least one
hundred ten percent (110%) of the Fair Market Value of the stock at the time when such Option is granted. 
 (iv)
Exercisability. Each Option shall be exercisable in such installments, which need not be equal, and upon such conditions as the Board (or committee) shall determine; provided, however, that until the Bank has been in operation for three full
years, all option grants shall comply with the FDIC Statement of Policy on Applications for Deposit Insurance, dated August 31, 1998. Specifically, no options granted to officers, employees or directors may become exercisable more rapidly than
in approximately equal percentages over the first three years of the option term, with no discretionary acceleration during such period. Options granted to Founders may vest immediately on the date of grant, subject to shareholder approval of the
Plan. 

  
 5 

 If an Optionee shall not in any given installment period purchase all of the shares which such
Optionee is entitled to purchase in such installment period, such Optionee’s right to purchase any shares not purchased in such installment period shall continue until the expiration of such Option. No Option or installment thereof shall be
exercisable except with respect to whole shares, and fractional share interests shall be disregarded except that they may be accumulated in accordance with the next preceding sentence. 

(v) Limit on Exercisability. The aggregate fair market value (determined as of the time the Option is granted) of the stock for
which any officer or employee may be granted Incentive Options which are first exercisable during any one calendar year (under all Incentive Stock Option Plans of the Bank and its subsidiaries) shall not exceed One Hundred Thousand Dollars
($100,000). 
 (vi) Method of Exercise; Payment. Options may be exercised by ten (10) days written notice delivered to the Bank
stating the number of shares with respect to which the Option is being exercised, together with cash in the amount of the purchase price for such shares. No fewer than ten (10) shares may be purchased at one time unless the number purchased is
the total number which may be purchased under the Option. 
 Options may also be exercised by delivery to the Bank of ten (10) days
written notice stating the number of shares with respect to which the Option is being exercised, and by delivery to the Bank of (i) an exercise notice instructing the Bank to deliver the certificates for the shares purchased to a designated
brokerage firm which shall sell the stock in the market as soon as the Option is exercised; and (ii) a copy of irrevocable instructions delivered to the brokerage firm to sell the shares acquired upon exercise of the Option and to deliver to
the Bank from the sale proceeds sufficient cash to pay the exercise price and applicable withholding taxes arising as a result of the exercise, with the balance of the sales proceeds, if any, after payment of any broker’s commission, credited
to the Optionee’s brokerage account. 
 (vii) Compliance With Applicable Laws. No shares of Common Stock shall be issued upon
exercise of any Option, and an Optionee shall have no right or claim to such shares, unless and until: (i) payment in full as provided hereinabove has been received by the Bank; (ii) any applicable requirements of law and of regulatory
bodies having jurisdiction over such issuance and delivery have been fully complied with; and (iii) if required by federal or state law or regulation, the Optionee shall have paid to the Bank the amount, if any, required to be withheld on the
amount deemed to be compensation to the Optionee as a result of the exercise of his or her Stock Option, or made other arrangements satisfactory to the Bank, in its sole discretion, to satisfy applicable income tax withholding requirements. 

(viii) Cessation of Employment; Disability. Except as provided in Subsections 6(c)(i) above, if an Optionee ceases to be employed by or
to serve as a director of the Bank or a subsidiary corporation for any reason other than death, disability, or cause such Optionee’s Option shall expire three (3) months thereafter, and during such period after such Optionee ceases to be
an employee or director, such Option shall be exercisable only as to those 

  
 6 

 
shares with respect to which installments, if any, had accrued as of the date on which the Optionee ceased to be employed by or ceased to serve as a director of the Bank or such subsidiary
corporation. Except as provided in Subsections 6(c)(i) above or 6(c)(ix) below, if an Optionee ceases to be employed by or ceases to serve as a director of the Bank or a subsidiary corporation by reason of disability (within the meaning of
Section 22(e)(3) of the Code), such Optionee’s Option shall expire not later than one (1) year thereafter, and during such period after such Optionee ceases to be an employee or director such Option shall be exercisable only as to
those shares with respect to which installments, if any, had accrued as of the date on which the Optionee ceased to be employed by or ceased to serve as a director of the Bank or such subsidiary corporation. 

(ix) Termination of Employment for Cause. If an Optionee’s employment by or service as a director of the Bank or a subsidiary
corporation is terminated for Cause, such Optionee’s Option shall expire immediately; provided, however, that the Board (or committee) may, in its sole discretion, within thirty (30) days of such termination, waive the expiration of the
Option by giving written notice of such waiver to the Optionee at such Optionee’s last known address. In the event of such waiver, the Optionee may exercise the Option only to such extent, for such time, and upon such terms and conditions as if
such Optionee had ceased to be employed by or ceased to serve as a director of the Bank or such subsidiary corporation upon the date of such termination for a reason other than Cause, disability, or death. 

(x) Death of Optionee. Except as provided in Subsection 6(c)(i) above, if any Optionee dies while employed by or serving as a director
of the Bank or a subsidiary corporation or during the three-month or one-year period referred to in Subsection 6(c)(viii) above, such Optionee’s Option shall expire one (1) year after the date of such death. After such death but before
such expiration, the persons to whom the Optionee’s rights under the Option shall have passed by Will or by the applicable laws of descent and distribution shall have the right to exercise such Option to the extent that installments, if any,
had accrued as of the date of such Optionee’s death. 
 Section 7. Restricted Stock Awards 

(a) General. Restricted Stock Awards may be issued hereunder to Participants, for no cash consideration or for such amount as the Board
(or committee) in its discretion shall determine, either alone or in addition to other Awards granted under the Plan. The provisions of Restricted Stock Awards need not be the same with respect to each Participant. The Board (or committee) may
provide upon grant of a Restricted Stock Award that any shares of Restricted Stock that may be purchased by the Holder in cash and are subsequently forfeited by the Holder prior to the Vesting Date therefor shall be reacquired by the Bank at the
purchase price originally paid therefor by the Holder, if applicable. 
 (b) Issue Date and Vesting Date. At the time of the grant of
a Restricted Stock Award, the Board (or committee) shall establish an Issue Date or Issue Dates and a Vesting Date or Vesting Dates with respect to such shares. The Board (or committee) may provide upon grant of a Restricted Stock Award that
different numbers or portions of the shares subject to the Award shall have different Vesting Dates. The Board (or committee) may also provide that the Vesting Dates will be accelerated upon the subsequent occurrence of such event (e.g., early
retirement of 

  
 7 

 
the Holder) as the Board (or committee) may specify. The Board (or committee) also may establish upon grant of a Restricted Stock Award that some or all of the shares subject thereto shall be
subject after the Vesting Date to additional restrictions upon transfer or sale, although not to forfeiture. 
 (c) Issuance of
Certificates. Reasonably promptly after the Issue Date with respect to shares of Restricted Stock, the Bank shall cause to be issued a stock certificate, registered in the name of the Participant to whom such shares were granted, evidencing such
shares; provided, that the Bank shall not cause such a stock certificate to be issued unless it has received a stock power duly endorsed in blank with respect to such shares. Each such stock certificate shall bear the following legend: 

“The transferability of this certificate and the shares of stock represented hereby are subject to the restrictions, terms and conditions
(including forfeiture provisions and restrictions against transfer) contained in 1st Enterprise Bank 2006 Stock Incentive Plan, as amended, and related Award Agreement and such rules,
regulations and interpretations as 1st Enterprise Bank Board of Directors or Compensation Committee may adopt. Copies of the Plan, Award Agreement and rules, regulations and interpretations,
if any, are on file at the principal executive office of 1st Enterprise Bank, 818 West Seventh Street, Suite 220, Los Angeles, California 90017.” 

Such legend shall not be removed until such shares vest pursuant to the terms hereof. 

Each certificate issued pursuant to this Section 7(c) together with the stock powers relating to the shares of Restricted Stock evidenced
by such certificate, shall be held by the Bank unless the Board (or committee) determines otherwise. 
 (d) Consequences of Vesting.
Upon the vesting of a share of Restricted Stock pursuant to the terms of the Plan and the applicable Award Agreement, the restrictions on transfer described in Section 7(c) shall cease to apply to such share. Reasonably promptly after a
Restricted Stock Award becomes fully vested, the Bank shall cause to be delivered to the Participant to whom such shares were granted, a certificate evidencing such share, free of the legend set forth in Section 7(c). If a Restricted Stock
Award is partially vested, the Bank may continue to hold the originally issued certificate until fully vested unless the Participant specifically requests the issuance of a certificate for just the vested shares. Reasonably promptly after any such
request, the Bank shall cause the certificates to be issued separately for the restricted and unrestricted shares, and shall deliver the unrestricted certificate to the Participant. 

(e) Dividends. If and to the extent the Board (or committee) so specifies upon grant, the Holder of shares of Restricted Stock shall be
entitled to receive from the Bank, after the grant date and until the Vesting Date, dividends or other distributions with respect to the shares identical or comparable in financial value to the dividends and other distributions that would have been
received by the Holder had the shares not been subject to the restrictions on Restricted Stock imposed under the Plan, and the Holder shall not be required to return any such distributions to the Bank in the event of forfeiture of the Restricted
Stock; provided that any such dividends or distribution payable to the Holder that constitute Stock or other equity securities of the Bank shall be issued in the same manner and subject to the same restrictions and conditions

  
 8 

 
as apply to the shares of Restricted Stock as to which such dividends and distributions are paid. The Board (or committee) in its discretion may require that any dividends paid on shares of
Restricted Stock shall be held in escrow until all restrictions on such shares have lapsed. 
 (f) Voting Rights. If and to the
extent the Board (or committee) so specifies upon grant, the Holder of shares of Restricted Stock shall be entitled to vote or direct the voting of such shares after the grant date and until the Vesting Date. 

(g) Termination. Except to the extent otherwise provided in the Award Agreement and pursuant to this section, in the event of a
Termination of employment or directorship during the Restriction Period, all shares still subject to restriction shall be forfeited by the Participant. If the recipient has paid cash for the Award, the stock will be repurchased at the same price
originally paid by the Participant. In the event that the Bank requires such a return of shares, it also shall have the right to require the return of all dividends paid on such shares, whether by termination of any escrow arrangement under which
such dividends are held or otherwise, unless otherwise specified in the applicable Award Agreement. 
 Section 8. Terminating Events 

(a) Impact of Event. In the event of a “Terminating Event” as defined in Section 2(r), any surviving corporation or
entity or acquiring corporation or entity, or affiliate of such corporation or entity, may assume any Options or Restricted Stock Awards outstanding under the Plan or may substitute similar awards for those outstanding under the Plan. In the event
any surviving or acquiring corporation or entity in a Terminating Event does not assume such Options or Awards or does not substitute similar Options or other Awards for those outstanding under the Plan, then (i) the vesting of such Options or
other Awards outstanding under the Plan shall be accelerated and made fully exercisable and all restrictions thereon shall lapse ten (10) days prior to the closing of the Terminating Event; and (ii) upon the closing of the Terminating
Event, any Options outstanding under the Plan shall be terminated if not exercised prior to the closing, unless the Board (or committee) in its sole discretion determines prior to the effective date of the Terminating Event that all outstanding
Options and the Plan itself should continue in full force and effect. In the case of such a determination by the Board (or committee), or in the event that any pending Terminating Event does not occur, the Plan and all outstanding Options and other
Awards thereunder shall continue in force with all original vesting schedules in effect. 
 (b) Notice to Participants of Terminating
Event. Not less than thirty (30) days prior to a Terminating Event, the Board (or committee) of Directors shall notify each Participant of the pendancy of the Terminating Event. With respect to Holders of Restricted Stock, the notice shall
simply inform such Participants of the pendancy of the Terminating Event and of the fact that the restrictions on their Restricted Stock will lapse. In the case of Optionees, the notice shall inform such Optionees that their Options shall,
notwithstanding the provisions of Sections 6(c)(iv) hereof, become exercisable in full and not only as to those shares with respect to which installments, if any, have then accrued, subject, however, to earlier expiration or termination as provided
elsewhere in the Plan, and further subject to the condition that the Terminating Event in fact occurs. Optionees shall then be entitled to exercise any Options or portions thereof commencing on the tenth (10th) day, and ending on the third
(3rd) day, prior to the Terminating Event, or at such other times as may be specified by the Board (or committee) in connection with the Terminating Event. 

  
 9 

 Section 9. Acceleration of Options or other Awards. 

Notwithstanding the provisions of Sections 6(c)(iv) or 7(b) hereof or any provision to the contrary contained in any Award Agreement, the Board
(or committee), in its sole discretion, may accelerate the vesting of all or any Award then outstanding. The decision by the Board (or committee) to accelerate an Award or to decline to accelerate an Award shall be final. In the event of the
acceleration of Options as the result of a decision by the Board (or committee) pursuant to this Section 9, each outstanding Option so accelerated shall be exercisable for a period from and after the date of such acceleration and upon such
other terms and conditions as the Board (or committee) may determine in its sole discretion, provided that such terms and conditions (other than terms and conditions relating solely to the acceleration of exercisability and the related termination
of an Option) may not adversely affect the rights of any Participant without the consent of the Participant so adversely affected. Any outstanding Option which has not been exercised by the holder at the end of such period shall terminate
automatically at that time. 
 Section 10. General Provisions 

(a) Award Grants. Any Award may be granted either alone or in addition to other Awards granted under the Plan. Subject to the terms and
restrictions set forth elsewhere in the Plan, the Board (or committee) shall determine the consideration, if any, payable by the Participant for any Award and, in addition to those set forth in the Plan, any other terms and conditions of the Awards.
The Board (or committee) may condition the grant or payment of any Award upon the attainment of specified performance goals or such other factors or criteria, including vesting based on continued service on the Board or employment, as the Board (or
committee) shall determine. Performance objectives may vary from Participant to Participant and among groups of Participants and shall be based upon such Bank, subsidiary, group or division factors or criteria as the Board (or committee) may deem
appropriate, including, but not limited to, earnings per share or return on equity. The other provisions of Awards also need not be the same with respect to each recipient. Unless specified otherwise in the Plan or by the Board (or committee), the
date of grant of an Award shall be the date of action by the Board (or committee) to grant the Award, provided that Participants do not have the ability to further negotiate the terms of their awards, and provided further that the awards will be
communicated to Participants within a relatively short period of time following the Board’s (or committee)’s action. 
 (b)
Award Agreements. As soon as practicable after the date of an Award grant, the Bank and the Participant shall enter into a written Award Agreement identifying the date of grant, and specifying the terms and conditions of the Award. Options
are not exercisable until after execution of the Award Agreement by the Bank and the Participant, but a delay in execution of the Award Agreement shall not affect the validity of the Option grant. 

(c) Certificates; Transfer Restrictions. All certificates for shares of Stock or other securities delivered under the Plan shall be
subject to such stock transfer orders, legends and 

  
 10 

 
other restrictions as the Board (or committee) may deem advisable under the rules, regulations and other requirements of the SEC, any market in which the Stock is then traded and any applicable
federal, state or foreign securities laws. 
 (d) Tax Withholding. Whenever shares of Stock are issued or to be issued pursuant to
Awards, the Bank shall have the right to require the Participant to remit to the Bank an amount sufficient to satisfy federal, state, local or other withholding tax requirements if, when, and to the extent required by law (whether so required to
secure for the Bank an otherwise available tax deduction or otherwise) prior to the delivery of any certificate or certificates for such shares. The obligations of the Bank under the Plan shall be conditional on satisfaction of all such withholding
obligations and the Bank shall, to the extent permitted by law, have the right to deduct any such taxes from any payment of any kind otherwise due to the Participant. With the approval of the Board (or committee), which it shall have sole discretion
to grant, the Participant may elect to satisfy an applicable withholding requirement, in whole or in part, by having the Bank withhold from delivery shares of Stock having a value equal to the amount of tax to be withheld. Such shares shall be
valued at their fair market value on the date as of which the amount of tax to be withheld is determined. Fractional share amounts shall be settled in cash. 

(e) Notification of Election Under Section 83(b) of the Code. If any Participant shall, in connection with the acquisition of
shares of Restricted Stock under the Plan, make the election permitted under Section 83(b) of the Code (i.e., an election to include in gross income in the year of transfer the amounts specified in Section 83(b)), such Participant shall
notify the Bank of such election within ten days of filing notice of the election with the Internal Revenue Service, in addition to any filing and notification required pursuant to regulations issued under the authority of Section 83(b). 

(f) Transferability. No Award shall be assignable or otherwise transferable by the Participant other than by will or by the laws of
descent and distribution. During the life of a Participant, an Award shall be exercisable, and any elections with respect to an Award may be made, only by the Participant or the Participant’s guardian or legal representative. 

(g) Adjustment of Awards; Waivers. The Board (or committee) may adjust the performance goals and measurements applicable to Awards
(i) to take into account changes in law and accounting and tax rules, (ii) to make such adjustments as the Board (or committee) deems necessary or appropriate to reflect the inclusion or exclusion of the impact of extraordinary or unusual
items, events or circumstances in order to avoid windfalls or hardships, and (iii) to make such adjustments as the Board (or committee) deems necessary or appropriate to reflect any material changes in business conditions. In the event of
hardship or other special circumstances of a Participant and otherwise in its discretion, the Board (or committee) may waive in whole or in part any or all restrictions, conditions, vesting, or forfeiture with respect to any Award granted to such
Participant. 
 (h) Non-Competition. The Board (or committee) may condition its discretionary waiver of a forfeiture, the
acceleration of vesting at the time of Termination of a Participant holding any unexercised or unearned Award, the waiver of restrictions on any Award, or the extension of the expiration period to a period not longer than that provided by the Plan
upon such Participant’s agreement (and compliance with such agreement) (i) not to engage in any business 

  
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or activity competitive with any business or activity conducted by the Bank and (ii) to be available for consultations at the request of the Bank’s management, all on such terms and
conditions (including conditions in addition to (i) and (ii)) as the Board (or committee) may determine. 
 (i) Rights as
Shareholder. Unless the Plan, the Board (or committee) expressly specifies otherwise, an Optionee shall have no rights as a shareholder with respect to any shares covered by an Option until the stock certificates representing the shares are
actually delivered to the Optionee. Except as specified in Section 4(b), no adjustment shall be made for dividends or other rights for which the record date is prior to the date the certificates are delivered. The rights of Holders shall be as
specified in their Award Agreements, as determined by the Board (or committee) in accordance with Section 7 hereof. No Participants holding any other types of Awards shall have any rights as shareholders unless and until stock certificates
issued pursuant to such Awards are delivered to the Participants. 
 (j) Beneficiary Designation. The Board (or committee), in its
discretion, may establish procedures for a Participant to designate a beneficiary to whom any amounts payable in the event of the Participant’s death are to be paid. 

(k) Regulatory Compliance. 

(i) Exercise or Forfeiture of Options in the Event of Order to Increase Capital. Notwithstanding any other provision of any Option
granted hereunder, if the Bank becomes subject to any written order or directive by the DFI or the FDIC requiring the Bank to increase capital, the Optionees must immediately exercise or forfeit any outstanding Options. 

(ii) Compliance with FDIC Statement of Policy During Initial Years of Operation. Until the Bank has been in operation for three full
years, all Option grants and other Awards shall comply with the FDIC Statement of Policy on Applications for Deposit Insurance. 
 (iii)
Securities Laws Compliance; Notice of Proposed Sale. No shares shall be issued upon the exercise of any Option, or pursuant to any other Award, unless and until any then applicable requirements of any regulatory agencies having
jurisdiction, and of any exchanges upon which stock of the Bank may be listed, shall have been complied with fully. The Bank will diligently endeavor to comply with all applicable securities laws before any Awards are granted under the Plan and
before any stock is issued pursuant to any Awards. All Participants shall agree to comply with all applicable federal and state securities laws in connection with any sale or other disposition of such common stock. Additionally, all Participants
shall give the Bank notice of any sale or other disposition of any such shares not more than five (5) days after such sale or other disposition. 

(l) Additional Plans. Nothing contained in the Plan shall prevent the Bank or a subsidiary from adopting other or additional
compensation arrangements for its directors and employees. 
 (m) No Employment Rights; No Right to Directorship. Neither the
adoption of this Plan nor the grant of any Award hereunder shall (i) confer upon any employee any right to continued employment nor shall it interfere in any way with the right of the Bank or a subsidiary

  
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to terminate the employment of any employee at any time; or (ii) confer upon any Participant any right with respect to continuation of the Participant’s membership on the Board or
interfere in any way with provisions in the Bank’s Articles of Incorporation and Bylaws relating to the election, appointment, terms of office, and removal of members of the Board. 

(n) Governing Law. The Plan and all Awards shall be governed by and construed in accordance with the laws of the State of California.

 (o) Use of Proceeds. All cash proceeds to the Bank under the Plan shall constitute general funds of the Bank. 

(p) Assumption by Successor. The obligations of the Bank under the Plan and under any outstanding Award may be assumed by any successor
corporation, which for purposes of the Plan shall be included within the meaning of “Bank.” 
 Section 11. Amendments and Termination

 The Board may amend, alter or discontinue the Plan or any Award, but no amendment, alteration or discontinuance shall be made which
would impair the rights of a Participant under an outstanding Award without the Participant’s consent. No amendment, alteration or discontinuance shall require shareholder approval unless it would: 

(a) increase in the total number of shares reserved for issuance pursuant to Awards under the Plan; 

(b) change the minimum option price for Options; 

(c) increase the maximum term of Awards provided for herein; 

(d) expand the types of awards which may be issued under the Plan; or 

(e) expand the class of eligible Participants. 

Any amendment or modification requiring shareholder approval shall be deemed adopted as of the date of the action of the Board effecting such
amendment or modification and shall be effective immediately, unless otherwise provided therein, subject to approval thereof within twelve (12) months before or after the effective date by shareholders of the Bank holding not less than a
majority of the voting power of the Bank. 
 Section 12. Effective Date of Plan 

The effective date of the Plan is March 15, 2006. 

Section 13. Term of Plan 
 The Plan
shall remain in effect until March 15, 2016 unless terminated earlier by the Board, and no Award shall be granted on or after that date, but Awards granted prior to March 15, 2016 may extend beyond that date. 

  
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