Document:

Exhibit 10.1

  

  
    

    

    PIEDMONT LITHIUM INC.

    STOCK INCENTIVE PLAN

     

    	1.	
            Purpose

          

     

    The purpose of this Piedmont Lithium Inc. Stock Incentive Plan (the “Plan”) is to promote and closely align the interests of employees, officers, non-employee directors and other service providers of Piedmont Lithium Inc. (the “Company”) and its stockholders by providing stock-based compensation and other performance-based compensation. The objectives of the Plan are to attract and retain the best available
      employees for positions of substantial responsibility and to motivate Participants to optimize the profitability and growth of the Company through incentives that are consistent with the Company’s goals and that link the personal interests of
      Participants to those of the Company’s stockholders. The Plan provides for the grant of Options, Stock Appreciation Rights, Restricted Stock Units and Restricted Stock, any of which may be performance-based, and for Incentive Bonuses, which may be
      paid in cash or stock or a combination thereof, as determined by the Committee.

     

    	2.	
            Definitions

          

     

    As used in the Plan, the following terms shall have the meanings set forth below:

     

    (a)          “Affiliate” means any entity in which the Company has a substantial direct or indirect
        equity interest, as determined by the Committee from time to time.

     

    (b)          “Act” means the Securities Exchange Act of 1934, as amended, or any successor thereto.

     

    (c)          “Award” means an Option, Stock Appreciation Right, Restricted Stock Unit, Restricted Stock or Incentive Bonus granted to
        a Participant pursuant to the provisions of the Plan, any of which may be subject to performance conditions.

     

    (d)        “Award Agreement” means a written or electronic agreement or other instrument as may be approved from time to time by the
        Committee and designated as such implementing the grant of each Award. An Award Agreement may be in the form of an agreement to be executed by both the Participant and the Company (or an authorized representative of the Company) or certificates,
        notices or similar instruments as approved by the Committee and designated as such.

     

    (e)          “Beneficial Owner” shall have the meaning set forth in Rule 13d-3 under the Act.

     

    (f)          “Board” means the board of directors of the Company.

     

    (g)          “Change in Control” means the occurrence of any one of the following:

     

    (i)          any Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company (not including in the securities beneficially owned by such Person or any securities acquired directly from the
        Company or its Affiliates) representing more than 50% of the combined voting power of the Company’s then outstanding securities, excluding any Person who becomes such a Beneficial Owner in connection with a transaction described in clause (iii)
        below;

     

      

    
      
        

    

    
    (ii)         the following individuals cease for any reason to constitute a majority of the number of directors then serving: (A) individuals who, on the Effective Date (as defined below), constitute the Board and (B) any new
        director (other than a director whose initial assumption of office is in connection with an actual or threatened election contest, including a consent solicitation, relating to the election of directors of the Company) whose appointment or election
        by the Board or nomination for election by the Company’s stockholders was approved or recommended by a vote of at least a majority of the directors then still in office who were either directors on the Effective Date or whose appointment, election
        or nomination for election was previously so approved or recommended;

     

    (iii)        there is consummated a merger or consolidation of the Company or any direct or indirect subsidiary of the Company with any other corporation, other than a merger or consolidation which would result in the holders
        of the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or any parent
        thereof) at least 50% of the combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger or consolidation in substantially the same proportions as their ownership
        of the Company immediately prior to such merger or consolidation; or

     

    (iv)         the implementation of a plan of complete liquidation or dissolution of the Company; or

     

    (v)         there is consummated a sale or disposition by the Company of all or substantially all of the Company’s assets, other than a sale or disposition by the Company of all or substantially all of the Company’s assets to
        an entity, at least 50% of the combined voting power of the voting securities of which is owned by stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior to such sale.

     

    (h)          “Code” means the Internal Revenue Code of 1986, as amended from time to time, and the rulings and regulations issued
        thereunder.

     

    (i)          “Committee” means the Compensation Committee of the Board (or any successor committee) or such other committee as
        designated by the Board to administer the Plan under Section 6. In the absence of a Committee, the Board shall be deemed to be the Committee.

     

    (j)          “Common Stock” means the common stock of the Company, $0.01 par value per share, or such other class or kind of shares or
        other securities as may be applicable under Section 15.

     

    (k)          “Company” means Piedmont Lithium Inc., a Delaware corporation.

     

    (l)          “Dividend Equivalents” mean an amount payable in cash or Common Stock, as determined by the Committee, with respect to a
        Restricted Stock Unit Award equal to the dividends that would have been paid to the Participant if the shares underlying the Award had been owned by the Participant.

     

    
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    (m)         “Effective Date” means the date on which the Plan takes effect, as defined pursuant to Section 4 of the Plan.

     

    (n)         “Eligible Person” any current or prospective employee, officer, non-employee director or other service provider of the
        Company or any of its Subsidiaries; provided however that Incentive Stock Options may only be granted to employees.

     

    (o)         “Fair Market Value” means as of any date, the value of the Common Stock determined as follows: (i) if the Common Stock is
        listed on any established stock exchange, system or market, its Fair Market Value shall be the closing price for the Common Stock as quoted on such exchange, system or market as reported in the Wall Street Journal or such other source as the
        Committee deems reliable (or, if no sale of Common Stock is reported for such date, on the next preceding date on which any sale shall have been reported); and (ii) in the absence of an established market for the Common Stock, the Fair Market Value
        thereof shall be determined in good faith by the Committee by the reasonable application of a reasonable valuation method, taking into account factors consistent with Treas. Reg. § 409A-1(b)(5)(iv)(B) as the Committee deems appropriate.

     

    (p)       “Incentive Bonus” means a bonus opportunity awarded under Section 11 pursuant to which a Participant may become entitled
        to receive an amount based on satisfaction of such performance criteria established for a specified performance period as specified in the Award Agreement.

     

    (q)          “Incentive Stock Option” means a stock option that is intended to qualify as an “incentive stock option” within the
        meaning of Section 422 of the Code.

     

    (r)          “Nonqualified Stock Option” means a stock option that is not intended to qualify as an “incentive stock option” within
        the meaning of Section 422 of the Code.

     

    (s)          “Option” means a right to purchase a number of shares of Common Stock at such exercise price, at such times and on such
        other terms and conditions as are specified in or determined pursuant to an Award Agreement. Options granted pursuant to the Plan may be Incentive Stock Options or Nonqualified Stock Options.

     

    (t)          “Participant” means any Eligible Person to whom Awards have been granted from time to time by the Committee and any
        authorized transferee of such individual.

     

    (u)          “Person” shall have the meaning given in Section 3(a)(9) of the Act, as modified and used in Sections 13(d) and 14(d)
        thereof, except that such term shall not include (i) the Company or any of its Affiliates, (ii) a trustee or other fiduciary holding securities under an employee benefit plan of the Company or any of its Subsidiaries, (iii) an underwriter
        temporarily holding securities pursuant to an offering of such securities or (iv) a corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of stock of the Company.

     

    
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    (v)          “Plan” means the Piedmont Lithium Inc. Stock Incentive Plan as set forth herein and as amended from time to time.

     

    (w)        “Restricted Stock” means an Award or issuance of Common Stock the grant, issuance, vesting and/or transferability of
        which is subject during specified periods of time to such conditions (including continued employment or engagement or performance conditions) and terms as the Committee deems appropriate.

     

    (x)        “Restricted Stock Unit” means an Award denominated in units of Common Stock under which the issuance of shares of Common
        Stock (or cash payment in lieu thereof) is subject to such conditions (including continued employment or engagement or performance conditions) and terms as the Committee deems appropriate.

     

    (y)        “Separation from Service” or “Separates from Service” means a Termination of Employment that constitutes a “separation from service” within the meaning of Section 409A of the Code.

     

    (z)         “Stock Appreciation Right” means a right granted that entitles the Participant to receive, in cash or Common Stock or a
        combination thereof, as determined by the Committee, value equal to the excess of (i) the Fair Market Value of a specified number of shares of Common Stock at the time of exercise over (ii) the exercise price of the right, as established by the
        Committee on the date of grant.

     

    (aa)        “Subsidiary” means any business association (including a corporation or a partnership, other than the Company) in an
        unbroken chain of such associations beginning with the Company if each of the associations other than the last association in the unbroken chain owns equity interests (including stock or partnership interests) possessing 50% or more of the total
        combined voting power of all classes of equity interests in one of the other associations in such chain.

     

    (bb)       “Termination of Employment” means ceasing to serve as an employee of the Company and its Subsidiaries or, with respect to
        a non-employee director or other service provider, ceasing to serve as such for the Company and its Subsidiaries, except that with respect to all or any Awards held by a Participant (i) the Committee may determine that a leave of absence or
        employment on a less than full-time basis is considered a “Termination of Employment,” (ii) the Committee may determine that a transition from employment to service with a partnership, joint venture or corporation not meeting the requirements of a
        Subsidiary in which the Company or a Subsidiary is a party is not considered a “Termination of Employment,” (iii) service as a member of the Board shall constitute continued employment with respect to Awards granted to a Participant while he or she
        served as an employee, and (iv) service as an employee of the Company or a Subsidiary shall constitute continued employment with respect to Awards granted to a Participant while he or she served as a member of the Board or other service provider.
        The Committee shall determine whether any corporate transaction, such as a sale or spin-off of a division or Subsidiary that employs or engages a Participant, shall be deemed to result in a Termination of Employment with the Company and its
        Subsidiaries for purposes of any affected Participant’s Awards, and the Committee’s decision shall be final and binding.

     

    
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    	3.	
            Eligibility

          

     

    Any Eligible Person is eligible for selection by the Committee to receive an Award.

     

    	4.	
            Effective Date and Termination of Plan

          

     

    This Plan became effective on March 31, 2021 (the “Effective Date”). The Plan shall remain available for the grant of Awards until the 10th anniversary of the Effective Date. Notwithstanding the foregoing, the Plan may be terminated at such earlier time as the Board may determine.
      Termination of the Plan will not affect the rights and obligations of the Participants and the Company arising under Awards theretofore granted.

     

    	5.	
            Shares Subject to the Plan and to Awards

          

     

    (a)         Aggregate Limits. The aggregate number of shares of Common Stock issuable under the Plan shall not exceed 3,000,000 (the “Share Reserve”). The aggregate number of shares of Common Stock available for grant under this Plan and the number of shares of
        Common Stock subject to Awards outstanding at the time of any event described in Section 15 shall be subject to adjustment as provided in Section 15. The shares of Common Stock issued pursuant to Awards granted under this Plan may be shares that
        are authorized and unissued or shares that were reacquired by the Company, including shares purchased in the open market.

     

    (b)         Issuance of Shares. For purposes of Section 5(a), the aggregate number of shares of Common Stock issued under this Plan at any time shall
        equal only the number of shares of Common Stock actually issued upon exercise or settlement of an Award. Shares of Common Stock subject to Awards that have been canceled, expired, forfeited or otherwise not issued under an Award and shares of
        Common Stock subject to Awards settled in cash shall not count as shares of Common Stock issued under this Plan. The aggregate number of shares available for issuance under this Plan at any time shall not be reduced by (i) shares subject to Awards
        that have been terminated, expired unexercised, forfeited or settled in cash, (ii) shares subject to Awards that have been retained or withheld by the Company in payment or satisfaction of the exercise price, purchase price or tax withholding
        obligation of an Award, or (iii) shares subject to Awards that otherwise do not result in the issuance of shares in connection with payment or settlement thereof. In addition, shares that have been delivered (either actually or by attestation) to
        the Company in payment or satisfaction of the exercise price, purchase price or tax withholding obligation of an Award shall be available for issuance under this Plan.

     

    (c)         Tax Code Limits. The aggregate number of shares of Common Stock that may be issued pursuant to the exercise of Incentive Stock Options
        granted under this Plan shall be equal to 3,000,000, which number shall be calculated and adjusted pursuant to Section 15 only to the extent that such calculation or adjustment will not affect the status of any option intended to qualify as an
        Incentive Stock Option under Section 422 of the Code.

     

    
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    	6.	
            Administration of the Plan

          

     

    (a)          Administrator of the Plan. The Plan shall be administered by the Committee. The Board shall fill vacancies on, and from time to time may
        remove or add members to, the Committee. The Committee shall act pursuant to a majority vote or unanimous written consent. Any power of the Committee may also be exercised by the Board, except to the extent that the grant or exercise of such
        authority would cause any Award or transaction to become subject to (or lose an exemption under) the short-swing profit recovery provisions of Section 16 of the Act. To the extent that any permitted action taken by the Board conflicts with action
        taken by the Committee, the Board action shall control. To the maximum extent permissible under applicable law, the Committee (or any successor) may by resolution delegate any or all of its authority to one or more subcommittees composed of one or
        more directors and/or officers of the Company, and any such subcommittee shall be treated as the Committee for all purposes under this Plan. Notwithstanding the foregoing, if the Board or the Committee (or any successor) delegates to a subcommittee
        comprised of one or more officers of the Company (who are not also directors) the authority to grant Awards, the resolution so authorizing such subcommittee shall specify the total number of shares of Common Stock such subcommittee may award
        pursuant to such delegated authority, and no such subcommittee shall designate any officer serving thereon or any officer (within the meaning of Section 16 of the Act) or non-employee director of the Company as a recipient of any Awards granted
        under such delegated authority. The Committee hereby delegates to and designates the General Counsel of the Company (or such other officer with similar authority), and to his or her delegates or designees, the authority to assist the Committee in
        the day-to-day administration of the Plan and of Awards granted under the Plan, including those powers set forth in Section 6(b)(iv) through (ix), and to execute Award Agreements or other documents entered into under this Plan on behalf of the
        Committee or the Company. The Committee may further designate and delegate to one or more additional officers or employees of the Company or any Subsidiary, and/or one or more agents, authority to assist the Committee in any or all aspects of the
        day-to-day administration of the Plan and/or of Awards granted under the Plan.

     

    (b)        Powers of Committee. Subject to the express provisions of this Plan, the Committee shall be authorized and empowered to do all things that
        it determines to be necessary or appropriate in connection with the administration of this Plan, including:

     

    (i)           to prescribe, amend and rescind rules and regulations relating to this Plan and to define terms not otherwise defined herein;

     

    (ii)        to determine which persons are Eligible Persons, to which of such Eligible Persons, if any, Awards shall be granted hereunder and the timing of any such Awards;

     

    (iii)        to prescribe and amend the terms of the Award Agreements, to grant Awards and determine the terms and conditions thereof;

     

    (iv)       to establish and verify the extent of satisfaction of any performance goals or other conditions applicable to the grant, issuance, retention, vesting, exercisability or settlement of any Award;

     

    (v)          to prescribe and amend the terms of or form of any document or notice required to be delivered to the Company by Participants under this Plan;

     

    (vi)         to determine the extent to which adjustments are required pursuant to Section 15;

     

    
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    (vii)      to interpret and construe this Plan, any rules and regulations under this Plan and the terms and conditions of any Award granted hereunder, and to make exceptions to any such provisions if the Committee, in good
        faith, determines that it is appropriate to do so;

     

    (viii)       to approve corrections in the documentation or administration of any Award; and

     

    (ix)         to make all other determinations deemed necessary or advisable for the administration of this Plan.

     

    Notwithstanding anything in this Plan to the contrary, with respect to any Award that is “deferred compensation” under Section 409A of the Code, the Committee
      shall exercise its discretion in a manner that causes such Awards to be compliant with or exempt from the requirements of such Code section. Without limiting the foregoing, unless expressly agreed to in writing by the Participant holding such Award,
      the Committee shall not take any action with respect to any Award which constitutes (i) a modification of a stock right within the meaning of Treas. Reg. § 1.409A-1(b)(5)(v)(B) so as to constitute the grant of a new stock right, (ii) an extension of
      a stock right, including the addition of a feature for the deferral of compensation within the meaning of Treas. Reg. § 1.409A-1 (b)(5)(v)(C), or (iii) an impermissible acceleration of a payment date or a subsequent deferral of a stock right subject
      to Section 409A of the Code within the meaning of Treas. Reg. § 1.409A-1(b)(5)(v)(E).

     

    The Committee may, in its sole and absolute discretion, without amendment to the Plan but subject to the limitations otherwise set forth in Section 19, waive
      or amend the operation of Plan provisions respecting exercise after Termination of Employment. The Committee or any member thereof may, in its sole and absolute discretion, except as otherwise provided in Section 19, waive, settle or adjust any of
      the terms of any Award so as to avoid unanticipated consequences or address unanticipated events (including any temporary closure of an applicable stock exchange, disruption of communications or natural catastrophe).

     

    (c)          Determinations by the Committee. All decisions, determinations and interpretations by the Committee regarding the Plan, any rules and
        regulations under the Plan and the terms and conditions of, or operation of, any Award granted hereunder, shall be final and binding on all Participants, beneficiaries, heirs, assigns or other persons holding or claiming rights under the Plan or
        any Award. The Committee shall consider such factors as it deems relevant, in its sole and absolute discretion, to making such decisions, determinations and interpretations, including the recommendations or advice of any officer or other employee
        of the Company and such attorneys, consultants and accountants as it may select. Members of the Board and members of the Committee acting under the Plan shall be fully protected in relying in good faith upon the advice of counsel and shall incur no
        liability except for as a result of gross negligence or willful misconduct in the performance of their duties.

     

    (d)         Subsidiary Awards. In the case of a grant of an Award to any Participant employed by a Subsidiary, such grant may, if the Committee so
        directs, be implemented by the Company issuing any subject shares of Common Stock to the Subsidiary, for such lawful consideration as the Committee may determine, upon the condition or understanding that the Subsidiary will transfer the shares of
        Common Stock to the Participant in accordance with the terms of the Award specified by the Committee pursuant to the provisions of the Plan. Notwithstanding any other provision hereof, such Award may be issued by and in the name of the Subsidiary
        and shall be deemed granted on such date as the Committee shall determine.

     

    
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    	7.	
            Plan Awards

          

     

    (a)        Terms Set Forth in Award Agreement. Awards may be granted to Eligible Persons as determined by the Committee at any time and from time to
        time prior to the termination of the Plan. The terms and conditions of each Award shall be set forth in an Award Agreement in a form approved by the Committee for such Award, which Award Agreement may contain such terms and conditions as specified
        from time to time by the Committee, provided such terms and conditions do not conflict with the Plan. The Award Agreement for any Award (other than Restricted Stock awards) shall include the time or times at or within which and the consideration,
        if any, for which any shares of Common Stock may be acquired from the Company. The terms of Awards may vary among Participants, and the Plan does not impose upon the Committee any requirement to make Awards subject to uniform terms. Accordingly,
        the terms of individual Award Agreements may vary.

     

    (b)         Termination of Employment. Subject to the express provisions of the Plan, the Committee shall specify before, at, or after the time of grant
        of an Award the provisions governing the effect(s) upon an Award of a Participant’s Termination of Employment.

     

    (c)         Rights of a Stockholder. A Participant shall have no rights as a stockholder with respect to shares of Common Stock covered by an Award
        (including voting rights) until the date the Participant becomes the holder of record of such shares of Common Stock. No adjustment shall be made for dividends or other rights for which the record date is prior to such date, except as provided in
        Section 10(b) or Section 15 of this Plan or as otherwise provided by the Committee.

     

    	8.	
            Options

          

     

    (a)         Grant, Term and Price. The grant, issuance, retention, vesting and/or settlement of any Option shall occur at such time and be subject to
        such terms and conditions as determined by the Committee or under criteria established by the Committee, which may include conditions based on continued employment or engagement, passage of time, attainment of age and/or service requirements,
        and/or satisfaction of performance conditions. The term of an Option shall in no event be greater than 10 years; provided, however, the term of an Option (other than an Incentive Stock Option) shall be automatically extended if, at the time of its
        scheduled expiration, the Participant holding such Option is prohibited by law or the Company’s insider trading policy from exercising the Option, which extension shall expire on the 30th day following the date such prohibition no longer applies.
        The Committee will establish the price at which Common Stock may be purchased upon exercise of an Option, which, in the case of Incentive Stock Options, in no event will be less than the Fair Market Value of such shares on the date of grant. The
        exercise price of any Option may be paid in cash or such other method as determined by the Committee, including an irrevocable commitment by a broker to pay over such amount from a sale of the shares of Common Stock issuable under an Option, the
        delivery of previously owned shares of Common Stock or withholding of shares of Common Stock deliverable upon exercise.

     

    
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    (b)          No Repricing without Stockholder Approval. Other than in connection with a change in the Company’s capitalization (as described in Section
        15), the Committee shall not, without stockholder approval, reduce the exercise price of a previously awarded Option, and at any time when the exercise price of a previously awarded Option is above the Fair Market Value of a share of Common Stock,
        the Committee shall not, without stockholder approval, cancel and re-grant or exchange such Option for cash or a new Award with a lower (or no) exercise price.

     

    (c)          No Reload Grants. Options shall not be granted under the Plan in consideration for, and shall not be conditioned upon the delivery of,
        shares of Common Stock to the Company in payment of the exercise price and/or tax withholding obligation under any other employee stock option.

     

    (d)          Incentive Stock Options. Notwithstanding anything to the contrary in this Section 8, in the case of the grant of an Incentive Stock Option,
        if the Participant owns stock possessing more than 10% of the combined voting power of all classes of stock of the Company (a “10% Stockholder”), the exercise price of such Option must be at least 110% of the Fair Market Value of the shares of
        Common Stock on the date of grant and the Option must expire within a period of not more than five years from the date of grant. Notwithstanding anything in this Section 8 to the contrary, options designated as Incentive Stock Options shall not be
        eligible for treatment under the Code as Incentive Stock Options (and will be deemed to be Nonqualified Stock Options) to the extent that either (i) the aggregate Fair Market Value of shares of Common Stock (determined as of the time of grant) with
        respect to which such Options are exercisable for the first time by the Participant during any calendar year (under all plans of the Company and any Subsidiary) exceeds $100,000, taking Options into account in the order in which they were granted,
        or (ii) such Options otherwise remain exercisable but are not exercised within three months (or such other period of time provided in Section 422 of the Code) of separation of service (as determined in accordance with Section 3401(c) of the Code
        and the regulations promulgated thereunder).

     

    (e)         No Stockholder Rights. Participants shall have no voting rights and will have no rights to receive dividends or Dividend Equivalents in
        respect of an Option or any shares of Common Stock subject to an Option until the Participant has become the holder of record of such shares.

     

    	9.	
            Stock Appreciation Rights

          

     

    (a)        General Terms. The grant, issuance, retention, vesting and/or settlement of any Stock Appreciation Right shall occur at such time and be
        subject to such terms and conditions as determined by the Committee or under criteria established by the Committee, which may include conditions based on continued employment or engagement, passage of time, attainment of age and/or service
        requirements, and/or satisfaction of performance conditions. Stock Appreciation Rights may be granted to Participants from time to time either in tandem with or as a component of Options granted under the Plan (“tandem SARs”) or not in conjunction with other Awards (“freestanding SARs”). Upon exercise of a tandem SAR as to some or all of the shares covered by the grant, the related Option shall be canceled automatically to the extent of the number of shares covered by such
        exercise. Conversely, if the related Option is exercised as to some or all of the shares covered by the grant, the related tandem SAR, if any, shall be canceled automatically to the extent of the number of shares covered by the Option exercise. Any
        Stock Appreciation Right granted in tandem with an Option may be granted at the same time such Option is granted or at any time thereafter before exercise or expiration of such Option, provided that the Fair Market Value of Common Stock on the date
        of the SAR’s grant is not greater than the exercise price of the related Option. All freestanding SARs shall be granted subject to the same terms and conditions applicable to Options as set forth in Section 8 and all tandem SARs shall have the same
        exercise price as the Option to which they relate. Subject to the provisions of Section 8 and the immediately preceding sentence, the Committee may impose such other conditions or restrictions on any Stock Appreciation Right as it shall deem
        appropriate. Stock Appreciation Rights may be settled in Common Stock, cash, Restricted Stock or a combination thereof, as determined by the Committee and set forth in the applicable Award Agreement.

     

    
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    (b)          No Repricing without Stockholder Approval. Other than in connection with a change in the Company’s capitalization (as described in Section
        15), the Committee shall not, without stockholder approval, reduce the exercise price of a previously awarded Stock Appreciation Right, and at any time when the exercise price of a previously awarded Stock Appreciation Right is above the Fair
        Market Value of a share of Common Stock, the Committee shall not, without stockholder approval, cancel and re-grant or exchange such Stock Appreciation Right for cash or a new Award with a lower (or no) exercise price.

     

    (c)          No Stockholder Rights. Participants shall have no voting rights and will have no rights to receive dividends or Dividend Equivalents in
        respect of an Award of Stock Appreciation Rights or any shares of Common Stock subject to an Award of Stock Appreciation Rights until the Participant has become the holder of record of such shares.

     

    	10.	
            Restricted Stock and Restricted Stock Units

          

     

    (a)         Vesting and Performance Criteria. The grant, issuance, vesting and/or settlement of any Award of Restricted Stock or Restricted Stock Units
        shall occur at such time and be subject to such terms and conditions as determined by the Committee or under criteria established by the Committee, which may include conditions based on continued employment or engagement, passage of time,
        attainment of age and/or service requirements, and/or satisfaction of performance conditions. In addition, the Committee shall have the right to grant Restricted Stock or Restricted Stock Unit Awards as the form of payment for grants or rights
        earned or due under other stockholder-approved compensation plans or arrangements of the Company.

     

    (b)         Dividends and Distributions. Participants in whose name Restricted Stock is granted shall be entitled to receive all dividends and other
        distributions paid with respect to those shares of Common Stock, unless determined otherwise by the Committee. The Committee will determine whether any such dividends or distributions will be automatically reinvested in additional shares of
        Restricted Stock and/or subject to the same restrictions on transferability as the Restricted Stock with respect to which they were distributed or whether such dividends or distributions will be paid in cash. Shares underlying Restricted Stock
        Units shall be entitled to dividends or distributions only to the extent provided by the Committee. Notwithstanding anything herein to the contrary, in no event will dividends or Dividend Equivalents be paid during the performance period with
        respect to unearned Awards of Restricted Stock or Restricted Stock Units that are subject to performance-based vesting criteria. Dividends or Dividend Equivalents accrued on such shares shall become payable no earlier than the date the
        performance-based vesting criteria have been achieved and the underlying shares or Restricted Stock Units have been earned.

     

    
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    	11.	
            Incentive Bonuses

          

     

    (a)         Performance Criteria. The Committee shall establish the performance criteria and level of achievement versus such criteria that shall
        determine the amount payable under an Incentive Bonus, which may include a target, threshold and/or maximum amount payable and any formula for determining such achievement, and which criteria may be based on performance conditions.

     

    (b)         Timing and Form of Payment. The Committee shall determine the timing of payment of any Incentive Bonus. Payment of the amount due under an
        Incentive Bonus may be made in cash or in Common Stock, as determined by the Committee.

     

    (c)        Discretionary Adjustments. Notwithstanding satisfaction of any performance goals and, the amount paid under an Incentive Bonus on account of
        either financial performance or personal performance evaluations may be adjusted by the Committee on the basis of such further considerations as the Committee shall determine.

     

    	12.	
            Performance Awards

          

     

    The Committee may establish performance criteria and level of achievement versus such criteria that shall determine the number of shares of Common Stock,
      Restricted Stock Units, or cash to be granted, retained, vested, issued or issuable under or in settlement of or the amount payable pursuant to an Award (any such Award, a “Performance Award”). A Performance Award may be identified as “Performance Share,” “Performance Equity,” “Performance Unit” or other such term as chosen by the Committee.

     

    	13.	
            Deferral of Payment

          

     

    The Committee may, in an Award Agreement or otherwise, provide for the deferred delivery of Common Stock or cash upon settlement, vesting or other events with
      respect to Restricted Stock Units, or in payment or satisfaction of an Incentive Bonus. Notwithstanding anything herein to the contrary, in no event will any election to defer the delivery of Common Stock or any other payment with respect to any
      Award be allowed if the Committee determines, in its sole discretion, that the deferral would result in the imposition of the additional tax under Section 409A(a)(1)(B) of the Code. No Award shall provide for deferral of compensation that does not
      comply with Section 409A of the Code. The Company, any Subsidiary or Affiliate which is in existence or hereafter comes into existence, the Board and the Committee shall have no liability to a Participant, or any other party, if an Award that is
      intended to be exempt from, or compliant with, Section 409A of the Code is not so exempt or compliant or for any action taken by the Board or the Committee.

     

    
      11

      
        

    

    	14.	
            Conditions and Restrictions Upon Securities Subject to Awards

          

     

    The Committee may provide that the Common Stock issued upon exercise of an Option or Stock Appreciation Right or otherwise subject to or issued under an Award
      shall be subject to such further agreements, restrictions, conditions or limitations as the Committee in its discretion may specify prior to the exercise of such Option or Stock Appreciation Right or the grant, vesting or settlement of such Award,
      including conditions on vesting or transferability, forfeiture or repurchase provisions and method of payment for the Common Stock issued upon exercise, vesting or settlement of such Award (including the actual or constructive surrender of Common
      Stock already owned by the Participant) or payment of taxes arising in connection with an Award. Without limiting the foregoing, such restrictions may address the timing and manner of any resales by the Participant or other subsequent transfers by
      the Participant of any shares of Common Stock issued under an Award, including (i) restrictions under an insider trading policy or pursuant to applicable law, (ii) restrictions designed to delay and/or coordinate the timing and manner of sales by the
      Participant and holders of other Company equity compensation arrangements, (iii) restrictions as to the use of a specified brokerage firm for such resales or other transfers and (iv) provisions requiring Common Stock be sold on the open market or to
      the Company in order to satisfy tax withholding or other obligations.

     

    	15.	
            Adjustment of and Changes in the Stock

          

     

    (a)         The number and kind of shares of Common Stock available for issuance under this Plan (including under any Awards then outstanding), and the number and kind of shares of Common Stock subject to the limits set forth in Section 5 of this Plan,
        shall be equitably adjusted by the Committee to reflect any reorganization, reclassification, combination of shares, stock split, reverse stock split, spin-off, dividend or distribution of securities, property or cash (other than regular, quarterly
        cash dividends), or any other event or transaction that affects the number or kind of shares of Common Stock outstanding. Such adjustment may be designed to comply with Section 424 of the Code or may be designed to treat the shares of Common Stock
        available under the Plan and subject to Awards as if they were all outstanding on the record date for such event or transaction or to increase the number of such shares of Common Stock to reflect a deemed reinvestment in shares of Common Stock of
        the amount distributed to the Company’s securityholders. The terms of any outstanding Award shall also be equitably adjusted by the Committee as to price, number or kind of shares of Common Stock subject to such Award, vesting, and other terms to
        reflect the foregoing events, which adjustments need not be uniform as between different Awards or different types of Awards. No fractional shares of Common Stock shall be issued or issuable pursuant to such an adjustment.

     

    (b)         In the event there shall be any other change in the number or kind of outstanding shares of Common Stock, or any stock or other securities into which such Common Stock shall have been changed, or for which it shall have been exchanged, by
        reason of a Change in Control, other merger, consolidation or otherwise, then the Committee shall determine the appropriate and equitable adjustment to be effected, which adjustments need not be uniform between different Awards or different types
        of Awards. In addition, in the event of such change described in this paragraph, the Committee may accelerate the time or times at which any Award may be exercised, consistent with and as otherwise permitted under Section 409A of the Code, and may
        provide for cancellation of such accelerated Awards that are not exercised within a time prescribed by the Committee in its sole discretion.

     

    
      12

      
        

    

    (c)          Unless otherwise expressly provided in the Award Agreement or another contract, including an employment or services agreement, or under the terms of a transaction constituting a Change in Control, the following shall occur: (i) in the case
        of an Option or Stock Appreciation Right, the Participant shall have the ability to exercise any portion of the Option or Stock Appreciation Right not previously exercisable, (ii) in the case of any Award the vesting of which is in whole or in part
        subject to performance criteria or an Incentive Bonus, all conditions to the grant, issuance, retention, vesting or transferability of, or any other restrictions applicable to, such Award shall immediately lapse and the Participant shall have the
        right to receive a payment based on target level achievement or actual performance through a date determined by the Committee, and (iii) in the case of outstanding Restricted Stock and/or Restricted Stock Units (other than those referenced in
        subsection (ii)), all conditions to the grant, issuance, retention, vesting or transferability of, or any other restrictions applicable to, such Award shall immediately lapse. In no event shall any action be taken pursuant to this Section 15 that
        would change the payment or settlement date of an Award in a manner that would result in the imposition of any additional taxes or penalties pursuant to Section 409A of the Code.

     

    (d)         Notwithstanding anything in this Section 15 to the contrary, in the event of a Change in Control, the Committee may provide for the cancellation and cash settlement of all outstanding Awards upon such Change in Control.

     

    (e)         The Company shall notify Participants holding Awards subject to any adjustments pursuant to this Section 15 of such adjustment, but (whether or not notice is given) such adjustment shall be effective and binding for all purposes of the
        Plan.

     

    (f)          Notwithstanding anything in this Section 15 to the contrary, an adjustment to an Option or Stock Appreciation Right under this Section 15 shall be made in a manner that will not result in the grant of a new Option or Stock Appreciation
        Right under Section 409A of the Code.

     

    	16.	
            Transferability

          

     

    Each Award may not be sold, transferred for value, pledged, assigned, or otherwise alienated or hypothecated by a Participant other than by will or the laws of
      descent and distribution, and each Option or Stock Appreciation Right shall be exercisable only by the Participant during his or her lifetime. Notwithstanding the foregoing, (a) outstanding Options may be exercised following the Participant’s death
      by the Participant’s beneficiaries or as permitted by the Committee and (b) a Participant may transfer or assign an Award as a gift to an entity wholly owned by such Participant (an “Assignee Entity”), provided that such Assignee Entity shall be entitled to exercise assigned Options and Stock Appreciation Rights only during the lifetime of the assigning Participant (or
      following the assigning Participant’s death, by the Participant’s beneficiaries or as otherwise permitted by the Committee) and provided further that such Assignee Entity shall not further sell, pledge, transfer, assign or otherwise alienate or
      hypothecate such Award.

     

    	17.	
            Compliance with Laws and Regulations

          

     

    (a)        This Plan, the grant, issuance, vesting, exercise and settlement of Awards hereunder, and the obligation of the Company to sell, issue or deliver shares of Common Stock under such Awards, shall be subject to all applicable foreign, federal,
        state and local laws, rules and regulations, stock exchange rules and regulations, and to such approvals by any governmental or regulatory agency as may be required. The Company shall not be required to register in a Participant’s name or deliver
        Common Stock prior to the completion of any registration or qualification of such shares under any foreign, federal, state or local law or any ruling or regulation of any government body which the Committee shall determine to be necessary or
        advisable. To the extent the Company is unable to or the Committee deems it infeasible to obtain authority from any regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and
        sale of any shares of Common Stock hereunder, the Company and its Subsidiaries shall be relieved of any liability with respect to the failure to issue or sell such shares of Common Stock as to which such requisite authority shall not have been
        obtained. No Option shall be exercisable and no Common Stock shall be issued and/or transferable under any other Award unless a registration statement with respect to the Common Stock underlying such Option is effective and current or the Company
        has determined, in its sole and absolute discretion, that such registration is unnecessary.

     

    
      13

      
        

    

    (b)          In the event an Award is granted to or held by a Participant who is employed or providing services outside the United States, the Committee may, in its sole discretion, modify the provisions of the Plan or of such Award as they pertain to
        such individual to comply with applicable foreign law or to recognize differences in local law, currency or tax policy. The Committee may also impose conditions on the grant, issuance, exercise, vesting, settlement or retention of Awards in order
        to comply with such foreign law and/or to minimize the Company’s obligations with respect to tax equalization for Participants employed outside their home country.

     

    	18.	
            Withholding

          

     

    To the extent required by applicable federal, state, local or foreign law, the Committee may, and/or a Participant shall, make arrangements satisfactory to the
      Company for the satisfaction of any withholding tax obligations that arise with respect to any Award or the issuance or sale of any shares of Common Stock. The Company shall not be required to recognize any Participant rights under an Award, to issue
      shares of Common Stock or to recognize the disposition of such shares of Common Stock until such obligations are satisfied. To the extent permitted or required by the Committee, these obligations may or shall be satisfied by the Company withholding
      cash from any compensation otherwise payable to or for the benefit of a Participant, the Company withholding a portion of the shares of Common Stock that otherwise would be issued to a Participant under such Award or any other Award held by the
      Participant, or by the Participant tendering to the Company cash or, if allowed by the Committee, shares of Common Stock.

     

    	19.	
            Amendment of the Plan or Awards

          

     

    The Board may amend, alter or discontinue this Plan, and the Committee may amend or alter any Award Agreement or other document evidencing an Award made under
      this Plan; however, except as provided pursuant to the provisions of Section 15, no such amendment shall, without the approval of the stockholders of the Company:

     

    (a)          increase the maximum number of shares of Common Stock for which Awards may be granted under this Plan;

     

    (b)          reprice outstanding Options or SARs as described in 8(b) and 9(b);

     

    (c)          extend the term of this Plan;

     

    
      14

      
        

    

    (d)          change the class of persons eligible to be Participants; or

     

    (e)         otherwise amend the Plan in any manner requiring stockholder approval by law or the rules of any stock exchange or market or quotation system on which the Common Stock is traded, listed or quoted.

     

    No amendment or alteration to the Plan or an Award or Award Agreement shall be made which would materially impair the rights of the holder of an Award without
      such holder’s consent; provided that no such consent shall be required if the Committee determines in its sole discretion and prior to the date of any Change in Control that such amendment or alteration either (i) is required or advisable in order
      for the Company, the Plan or the Award to satisfy any law or regulation or to meet the requirements of, or avoid adverse financial accounting consequences under, any accounting standard, or (ii) is not reasonably likely to significantly diminish the
      benefits provided under such Award, or that any such diminishment has been adequately compensated.

     

    	20.	
            No Liability of Company

          

     

    The Company, any Subsidiary or Affiliate which is in existence or hereafter comes into existence, the Board and the Committee shall not be liable to a
      Participant or any other person as to: (a) the non-issuance or sale of shares of Common Stock as to which the Company has been unable to obtain from any regulatory body having jurisdiction the authority deemed by the Company’s counsel to be necessary
      to the lawful issuance and sale of any shares of Common Stock hereunder; and (b) any tax consequence expected, but not realized, by any Participant or other person due to the receipt, vesting, exercise or settlement of any Award granted hereunder.

     

    	21.	
            Non-Exclusivity of Plan

          

     

    Neither the adoption of this Plan by the Board nor the submission of this Plan to the stockholders of the Company for approval shall be construed as creating
      any limitations on the power of the Board or the Committee to adopt such other incentive arrangements as either may deem desirable, including the granting of Restricted Stock or stock options otherwise than under this Plan, and such arrangements may
      be either generally applicable or applicable only in specific cases.

     

    	22.	
            Governing Law

          

     

    This Plan and any agreements or other documents hereunder shall be interpreted and construed in accordance with the laws of the State of Delaware and
      applicable federal law. Any reference in this Plan or in the agreement or other document evidencing any Awards to a provision of law or to a rule or regulation shall be deemed to include any successor law, rule or regulation of similar effect or
      applicability.

     

    	23.	
            No Right to Employment, Reelection or Continued Service

          

     

    Nothing in this Plan or an Award Agreement shall interfere with or limit in any way the right of the Company, its Subsidiaries and/or its Affiliates to
      terminate any Participant’s employment, service on the Board or service at any time or for any reason not prohibited by law, nor shall this Plan or an Award itself confer upon any Participant any right to continue his or her employment or service for
      any specified period of time. Neither an Award nor any benefits arising under this Plan shall constitute an employment contract with the Company, any Subsidiary and/or its Affiliates. Subject to Sections 4 and 19, this Plan and the benefits hereunder
      may be terminated at any time in the sole and exclusive discretion of the Board without giving rise to any liability on the part of the Company, its Subsidiaries and/or its Affiliates.

     

    
      15

      
        

    

    	24.	
            Specified Employee Delay

          

     

    To the extent any payment under this Plan is considered deferred compensation subject to the restrictions contained in Section 409A of the Code, such payment
      may not be made to a specified employee (as determined in accordance with a uniform policy adopted by the Company with respect to all arrangements subject to Section 409A of the Code) upon Separation from Service before the date that is six months
      after the specified employee’s Separation form Service (or, if earlier, the specified employee’s death). Any payment that would otherwise be made during this period of delay shall be accumulated and paid on the sixth month plus one day following the
      specified employee’s Separation from Service (or, if earlier, as soon as administratively practicable after the specified employee’s death).

     

    	25.	
            No Liability of Committee Members

          

     

    No member of the Committee shall be personally liable by reason of any contract or other instrument executed by such member or on his or her behalf in his or
      her capacity as a member of the Committee nor for any mistake of judgment made in good faith, and the Company shall indemnify and hold harmless each member of the Committee and each other employee, officer or director of the Company to whom any duty
      or power relating to the administration or interpretation of the Plan may be allocated or delegated, against any cost or expense (including counsel fees) or liability (including any sum paid in settlement of a claim) arising out of any act or
      omission to act in connection with the Plan, unless arising out of such person’s own fraud or willful bad faith; provided, however, that approval of the Board shall be required for the payment of any amount in settlement of a claim against any such
      person. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such persons may be entitled under the Company’s Certificate of Incorporation and Bylaws (as each may be amended from time to time),
      as a matter of law, or otherwise, or any power that the Company may have to indemnify them or hold them harmless.

     

    	26.	
            Severability

          

     

    If any provision of the Plan or any Award is or becomes or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or as to any Person or Award,
      or would disqualify the Plan or any Award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to the applicable laws, or if it cannot be construed or deemed amended without, in the
      determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, Person or Award, and the remainder of the Plan and any such Award shall remain in full force and
      effect.

     

    
      16

      
        

    

    	27.	
            Unfunded Plan

          

     

    The Plan is intended to be an unfunded plan. Participants are and shall at all times be general creditors of the Company with respect to their Awards. If the
      Committee or the Company chooses to set aside funds in a trust or otherwise for the payment of Awards under the Plan, such funds shall at all times be subject to the claims of the creditors of the Company in the event of its bankruptcy or insolvency.

     

    	28.	
            Interpretation

          

     

    Headings are given to the Sections and subsections of the Plan solely as a convenience to facilitate reference and shall not be deemed in any way material or
      relevant to the construction or interpretation of the Plan or any provision thereof. Words in the masculine gender shall include the feminine gender, and where appropriate, the plural shall include the singular and the singular shall include the
      plural. The use herein of the word “including” following any general statement, term or matter shall not be construed to limit such statement, term or matter to the specific items or matters set forth immediately following such word or to similar
      items or matters, whether or not non-limiting language (such as “without limitation”, “but not limited to”, or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other items or matters that could
      reasonably fall within the broadest possible scope of such general statement, term or matter. References herein to any agreement, instrument or other document means such agreement, instrument or other document as amended, supplemented and modified
      from time to time to the extent permitted by the provisions thereof and not prohibited by the Plan.

    

    

     Adopted by the Board

    As of March 31, 2021

  

  

  

   

    

  17serpbowman

4744814v.1 CUSTOMERS BANCORP, INC.  SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN  This Customers Bancorp, Inc., Supplemental Executive Retirement Plan is adopted as of this  ____ day _________, 2021 (the “Effective Date”) by Customers Bancorp, Inc., a Pennsylvania corporation  (the “Employer” or the “Company”) for the benefit of Andrew Bowman (the “Executive”).  The purpose  of the Plan is to provide supplemental nonqualified pension benefits to the Executive and incentivize  Executive to continue to make substantial contributions to the success of the Employer.    This Plan is intended to be and shall be administered as an income tax nonqualified, unfunded plan  primarily for the purpose of providing deferred compensation for a select group of management or highly  compensated employees within the meaning of the Employee Retirement Income Security Act of 1974, as  amended (“ERISA”), Sections 201(2), 301(a)(3), and 401(a)(1).  This Plan is intended to comply with the  requirements of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and,  accordingly, the intent of the parties hereto is that the Plan shall be operated and interpreted consistent with  the requirements thereof.    ARTICLE 1  DEFINITIONS  Whenever used in this Plan, the following terms have the meanings specified:  1.1. “Account Balance” means, as of any date, the minimum liability that must be accrued by  the Company for purposes of or in connection with the Plan under generally accepted accounting principles  (“GAAP”).  1.2.  “Annuity Contract” means the following annuity contract(s) purchased and solely owned  by the Company and/or Customers Bank:  a Flexible Premium Indexed Deferred Annuity Contract issued  by Great American Life Insurance Company, contract #____________, National Western Life Insurance  Company, contract #___________ or such other annuity contracts (a) as the Company may purchase from  time to time in accordance with Section 2.3 or otherwise, the income value of which the Company  designates to serve as the measure of the Plan benefit and (b) are identified by Policy number in writing by  the Company as an “Annuity Contract” under this Plan.  1.3. “Beneficiary” means the person or entity designated, or otherwise determined in  accordance with Article 4, in writing by the Executive to receive death benefits pursuant to this Plan in the  event of the Executive’s death.     1.4. “Beneficiary Designation Form” means the form established from time to time by the  Plan Administrator that the Executive completes, signs, and returns to the Plan Administrator to designate  one or more Beneficiaries.  1.5. “Board” means the Board of Directors of the Employer.  1.6. “Change in Control” means a change in the ownership or effective control of the  Company, or in the ownership of a substantial portion of the assets of the Company under Section 4009A  of the Code.  1.7. “Disability” means the Executive (i) is unable to engage in any substantial gainful activity  by reason of any medically determinable physical or mental impairment that can be expected to result in  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 May4th 

 

2  4744814v.1  death or can be expected to last for a continuous period of net less than twelve (12) months or (ii) is, by  reason of any medically determinable physical or mental impairment that can be expected to result in death  or can be expected to last for a continuous period of not less than twelve (12) months, receiving income  replacement benefits for a period of not less than three (3) months under an accident and health plan  covering employees of the Employer.   1.8. “ERISA” means the Employee Retirement Income Security Act of 1974.  1.9 “Plan” means this Customers Bancorp, Inc., Supplemental Executive Retirement Plan for  the benefit of the Executive, as set forth herein and as may be amended from time to time.  1.10 “Rider” means the income rider attached to the Annuity Contract as an endorsement or  other product feature that operates as an income rider, with such feature providing for a withdrawal or  payment feature for the life of the annuitant.  1.11 “Normal Retirement Age” means age sixty-five (65).  1.12 “Separation from Service” means separation from service as that term is defined under  Section 409A of the Code.  ARTICLE II  ASSET FINANCING, OWNERSHIP AND RIGHTS  2.1 Annuity Contract and Other Investments.  For purposes of satisfying its obligations to  provide benefits under this Plan, the Company has initially invested in an Annuity Contract.    2.2 Ownership of the Annuity Contract.  The Company is the sole owner of the Annuity  Contract, and other such investments designated for purposes of the Plan and shall have the right to exercise  all incidents of ownership.  The Company shall be the beneficiary of the death proceeds of the Annuity  Contract.  The Company shall at all times be entitled to the Annuity Contract’s cash surrender value, as that  term is defined in the Annuity Contract.  2.3 Right to Annuity Contract.  Notwithstanding any provision hereof to the contrary, the  Company shall have the right to sell or surrender any Annuity Contract without terminating this Plan,  provided the Company replaces the Annuity Contract with a comparable annuity policy, or asset of  comparable value, with a comparable lifetime withdrawal feature and comparable benefit value.  Without  limitation, the Annuity Contract at all times shall be the exclusive property of the Company and shall be  subject to the claims of the Company’s creditors.  2.4 Rabbi Trust.  Employer may establish a “rabbi trust” to which contributions may be made  to provide the Employer with a source of funds for purposes of satisfying the obligations of the Employer  under the Plan.  The trust shall constitute an unfunded arrangement and shall not affect the status of the  Plan as an unfunded plan. Neither the Executive nor the Beneficiary shall have any beneficial ownership  interest in any assets held in the trust.  ARTICLE III  RETIREMENT AND OTHER BENEFITS  3.1 Normal Retirement Benefit. Upon the Executive’s Separation from Service after reaching  Normal Retirement Age for any reason other than death or Disability, the Executive will be entitled to the  monthly benefit payment described in this Section 3.1.  The amount of the benefit will equal the amount  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

3  4744814v.1  that is paid from the Annuity Contract through the Rider designated under this Plan to benefit the Executive,  commencing on the first (1st) day of the second month following the date of the Executive’s Separation  from Service, payable monthly and continuing for the Executive’s lifetime.  3.2 Early Termination Benefit.  In the event the Executive should incur a Separation from  Service prior to Normal Retirement Age for any reason other than death or Change in Control, the Executive  will be entitled to the vested benefit payment described in this Section 3.2.  The amount of the vested benefit  will be a fraction of the amount that is paid from the Annuity Contract through the Rider (the “Benefit  Fraction”) times a vested percentage (the “Vested Percentage”). The Benefit Fraction is equal to the ratio  of the Account Balance on the date of Separation from Service to the projected Account Balance at Normal  Retirement Age. The Vested Percentage is equal to 0% for years 1 through 6 (beginning on the Effective  Date of the Plan), 20% for year 7, 40% for year 8, 60% for year 8, 80% for year 9 and 100% thereafter. The  formula for the Early Termination Benefit is as follows:  a) The Benefit Fraction; times  b) The Vested Percentage; times  c) The amount that is payable from the Annuity Contract through the Rider at Normal  Retirement Age.  Payment of the Early Termination Benefit will commence on the first day of the second month  following the Executive’s Normal Retirement Age and will continue for the Executive's lifetime, payable  monthly.   3.3 Disability Benefit.  In the event the Executive should incur a Separation from Service as a  result of Disability prior to Normal Retirement Age, the Executive will be entitled to the vested benefit  payment described in this Section 3.3.  The amount of the vested benefit will be a fraction of the amount  that is paid from the Annuity Contract through the Rider (the “Benefit Fraction”) times a vested percentage  (the “Vested Percentage”). The Benefit Fraction is equal to the ratio of the Account Balance on the date of  Separation from Service to the projected Account Balance at Normal Retirement Age. The Vested  Percentage is equal to 0% for years 1 through 5 (beginning on the Effective Date of the Plan), 20% at the  end of year 6, 40% at the end of year 7, 60% at the end of year 8, 80% at the end of year 9 and 100% at the  end of year 10. The formula for the Early Termination Benefit is as follows:  a) The Benefit Fraction; times  b) The Vested Percentage; times  c) The amount that is payable from the Annuity Contract through the Rider at Normal  Retirement Age.  Payment of the Disability Benefit will commence on the first day of the second month following  the Executive’s Normal Retirement Age and will continue for the Executive's lifetime, payable monthly.  3.4 Change in Control Benefit.  If the Executive is actively employed at the time of a Change  in Control and incurs a Separation from Service, except for Cause, within twelve (12) months following the  Change in Control, the Executive will fully vest in the Normal Retirement Benefit.  The Employer will  establish a “rabbi trust”, if one has not already been established, for the purposes of this Plan, to which  assets will be contributed to provide the Employer with a source of funds for purposes of satisfying the  obligations of the Employer under the Plan.  The amount of the contribution to the “rabbi trust” will be the  amount sufficient to satisfy the benefit under paragraph 3.1.  Payment of benefits under this Section 3.4  will commence on the first day of the second month following the later of the Executive’s Normal  Retirement Age or Separation from Service and will continue for the Executive's lifetime.  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

4  4744814v.1  3.5 Death Benefit. Upon the death of the Executive while this Plan is in effect, whether or not  benefit payments have commenced under the Plan, any death benefit payable shall be paid pursuant that  certain Split Dollar Life Insurance Plan dated ____________, ____ between the Customers Bank and the  Executive in lieu of any benefit payable under this Plan and this Plan shall terminate; provided, however,  if such Split Dollar Life Insurance Plan is not in effect on the date of death, the Employer shall pay to the  Executive’s Beneficiary the Account Balance in a single lump sum within sixty (60) days of the date of  death.  3.6 Restriction on Timing of Distributions. Notwithstanding the applicable provisions of this  Plan regarding timing of payments, the following special rules shall apply if the stock of the Employer is  publicly traded at the time of the Executive’s Separation from Service in order for this Plan to comply with  Section 409A of the Code: (i) to the extent the Executive is a “specified employee” (as defined under  Section 409A of the Code) at the time of a distribution and to the extent such applicable provisions of  Section 409A of the Code and the regulations thereunder require a delay of such distributions by a six- month period after the date of such Executive’s Separation from Service with the Employer, no such  distribution shall be made prior to the date that is six months after the date of the Executive’s Separation  from Service with the Employer, and (ii) any such delayed payments shall be paid to the Executive in a  single lump sum within five (5) business days after the end of the six (6) month delay.  3.7 Acceleration of Payments. Except as specifically permitted herein, no acceleration of the  time or schedule of any payment may be made hereunder. Notwithstanding the foregoing, payments may  be accelerated, in accordance with the provisions of Treasury Regulation §1.409A-3G)(4) in the following  circumstances: (i) as a result of certain domestic relations orders; (ii) in compliance with the ethics laws or  conflicts of interest laws; (iii) in limited cashouts (but not in excess of the limit under Code §402(g)(l)(B));  (iv) to pay employment-related taxes; or (v) to pay any taxes that may become due at any time that the Plan  fails to meet the requirements of Section 409A.  ARTICLE IV  BENEFICIARIES  4.1 Beneficiary Designations. The Executive shall have the right to designate at any time a  Beneficiary to receive any benefits payable under this Plan to Executive’s Beneficiary upon the death of  the Executive. The Beneficiary designated under this Plan may be the same as or different from the  Beneficiary designation under any other benefit plan of the Employer in which the Executive participates.  4.2 Beneficiary Designation; Changes. The Executive shall designate a Beneficiary by  completing and signing the Beneficiary Designation Form and delivering it to the Plan Administrator or its  designated agent. The Executive’s Beneficiary designation shall be deemed automatically revoked if the  Beneficiary predeceases the Executive or if the Executive names a spouse as Beneficiary and the marriage  is subsequently dissolved. The Executive shall have the right to change a Beneficiary by completing,  signing, and otherwise complying with the terms of the Beneficiary Designation Form and the Plan  Administrator’s rules and procedures, as in effect from time to time. Upon the acceptance by the Plan  Administrator of a new Beneficiary Designation Form, all Beneficiary designations previously filed shall  be cancelled. The Plan Administrator shall be entitled to rely on the last Beneficiary Designation Form filed  by the Executive and accepted by the Plan Administrator before the Executive’s death.  4.3 Acknowledgment. No designation or change in designation of a Beneficiary shall be  effective until received in writing by the Plan Administrator or its designated agent.  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

5  4744814v.1  4.4 No Beneficiary Designation. If the Executive dies without a valid Beneficiary designation,  or if all designated Beneficiaries predecease the Executive, then the Executive’s spouse shall be the  designated Beneficiary. If the Executive has no surviving spouse, the benefits shall be distributed to the  personal representative of the Executive’s estate.  4.5 Facility of Payment. If a benefit is payable to a minor, to a person declared incapacitated,  or to a person incapable of handling the disposition of his or her property, the Employer may pay such  benefit to the guardian, legal representative, or person having the care or custody of the minor, incapacitated  person, or incapable person. The Employer may require proof of incapacity, minority, or guardianship as it  may deem appropriate before distribution of the benefit. Distribution shall completely discharge the  Employer from all liability for the benefit.  ARTICLE V  GENERAL LIMITATIONS  5.1 Limits on Payments.  Notwithstanding anything contained in this Plan to the contrary, it is  understood and agreed that the Company shall not be required to make any payment or take any action  under this Plan if: (a) such payment or action is prohibited by any governmental agency having jurisdiction  over the Company (hereinafter referred to as “Regulatory Authority”) in light of the fact that the Company  has been declared by Regulatory Authority to be troubled, or operating in an unsafe or unsound matter; or  (b) such payment or action (i) would be prohibited by or would violate any provision of state or federal law  applicable to the Company, as now in effect or hereafter amended, (ii) would be prohibited by or would  violate any applicable rules, regulations, orders or statements of policy, whether now existing or hereafter  promulgated, of any Regulatory Authority, or (iii) otherwise would be prohibited by any Regulatory  Authority.  5.2 Excess Parachute or Golden Parachute Payment. Notwithstanding any provision of this  Plan to the contrary, any benefit provided under this Plan, when added to all other amounts or benefits  provided to or on behalf of Executive in connection with a Change in Control, would result in the imposition  of an excise tax under Section 4999 of the Code, such payments shall be retroactively (if necessary) reduced  to the extent necessary to avoid such excise tax imposition, or shall be forfeited to the extent the benefit  would be a prohibited golden parachute payment pursuant to 12 C.F.R. §359.2 and for which the appropriate  federal Companying agency had not given written consent to pay pursuant to 12 C.F.R. §359.4. Upon  written notice to Executive, together with calculations of Company's independent auditors, Executive shall  remit to Company the amount of the reduction plus such interest as may be necessary to avoid the imposition  of such excise tax. Notwithstanding the foregoing or any other provision of this contract to the contrary, if  any portion of the amount herein payable to the Executive is determined to be non-deductible pursuant to  the regulations promulgated under Section 280G of the Code, the Company shall be required only to pay  to Executive the amount determined to be deductible under Section 280G of the Code.  5.3 Termination for Cause. Notwithstanding anything to the contrary contained herein, in the  event of the Executive's termination for Cause, or in the event that between the date of the Executive’s  Separation from Service without Cause and the date that benefits are scheduled to begin under Article III,  the Board determines that the Executive could have been terminated for Cause, this Plan shall terminate  and no benefits shall be payable under the Plan.  For this purpose, “Cause” shall be defined as (i) conviction  of a crime involving moral turpitude; (ii) willful misconduct or gross neglect of duties which, in either case,  has resulted, or in all probability is likely to result, in material economic damage to the Company; provided  that within 30 days after receiving notice of such misconduct or neglect, on which the Board is relying to  terminate Executive for Cause, Executive are provided the opportunity defend himself before the Board; or  (iii) a repeated failure by Executive to follow the written directives of the Board or any written Company  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

6  4744814v.1  policy or guidelines expressly approved by the Board which has resulted, or in all probability is likely to  result, in material economic damage to the Company; provided, however, that if Executive initially refuses  to obey the written directives of the board, Executive is furnished a written statement by the Board that it  believes in good faith that the acts or non-acts in respect of the direction that is given Executive are in the  best interests of the Company, and Executive is provided the opportunity to discuss with the Board reasons  for not complying with the Board's directives; provided further that Executive’s refusal to follow any  written directive of the Board that would cause Executive to commit any illegal act or engage in any illegal  course of conduct shall not be grounds for terminating Executive’s employment for Cause.  5.4 Clawback/Recoupment Policy. Notwithstanding anything contained herein to the contrary,  the Board may determine in its sole discretion that the benefits payable under the Plan shall be and, for a  period of one year from the Executive’s Separation from Service,  remain subject to any clawback or  recoupment policy currently in effect or as may be adopted by the Board (or a committee or subcommittee  of the Board) and, in each case, as may be amended from time to time. No such policy adoption or  amendment shall in any event require the prior consent of the Executive. In the event that the Board makes  such a determination, in addition to recouping any amounts previously paid to the Executive under the Plan,  this Plan shall terminate and no benefits shall thereafter be payable under the Plan.  5.5 Noncompete.  During Executive’s employment with the Company (and/or with any  subsidiary or other company under common control with the Company, hereinafter “Affiliate”) and for a  period of twelve (12) months after the cessation of Executive’s employment for any reason, Executive shall  not, directly or indirectly, within the Restricted Territory (defined below), enter into or engage directly or  indirectly in competition with the Company or its Affiliates in any financial services business conducted  by the Company or any such Affiliate at the time of such resignation or termination, either as an individual  on her own or as a partner or joint venturer, or as a director, officer, shareholder, employee, agent,  independent contractor, nor shall Executive assist any other person or entity in engaging directly or  indirectly in such competition.  “Restricted Territory” shall mean any State in which the Company (a) has  a branch, an office, or other location, or (b) otherwise engages in business.  5.6 Non-Solicitation.  Executive agrees that during Executive’s employment with the  Company (and/or with any of its Affiliates) and for a period of twelve (12) months after the cessation of  such employment, Executive shall not:  (a) (i) solicit or divert any business to any competitor of the Company or its Affiliates, (ii)  accept any business from any individual or entity that is a customer or a prospective customer of the  Company or its Affiliate, except on behalf of the Company or its Affiliates, (iii) accept any business from  any individual or entity that was a customer or a prospective customer within two years prior to Executive’s  cessation of employment. (This non-solicitation restriction with respect to prospective customers shall only  apply to those which were identifiable as such prior to the date of the Executive’s cessation of employment);  and/or  (b) (i) induce or encourage any officer and/or employee of the Company or its Affiliates to  leave the employ of the Company or its Affiliates, (ii)  hire any individual who was an employee of the  Company or its Affiliates as of the date of the cessation of the Executive’s employment, or (iii) induce or  encourage any customer, vendor, participant, agent or other business relation of the Company or its  Affiliates to cease or reduce doing business with the Company or its Affiliates or in any way interfere with  the relationship between any such customer, vendor, participant, agent or other business relation and the  Company or its Affiliates, as the case may be.  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

7  4744814v.1  5.7 Non-Disclosure.  Executive covenants and agrees that Executive will not at any time,  either during Executive’s employment with the Company or its Affiliates, and at all times after the cessation  of such employment, use, disclose or make accessible to any other person, firm, partnership, corporation or  any other entity any Confidential and Proprietary Information (as defined herein), other than to (a)  Executive’s attorney or spouse in confidence, (b) while employed by the Company or its Affiliates, in the  business and for the benefit of the Company or its Affiliates, or (c) when required to do so by a court of  competent jurisdiction, any government agency having supervisory authority over the business of the  Executive or the Company or its Affiliates, or any administrative body or legislative body, including a  committee thereof, with jurisdiction.  For purposes of this Agreement, “Confidential and Proprietary  Information” shall mean non-public, confidential, and proprietary information provided to the Executive  concerning, without limitation, the Company’s and its Affiliates’ financial condition and/or results of  operations, statistical data, products, ideas and concepts, strategic business plans, lists of customers or  customer information, information relating to marketing plans, management development reviews,  including information regarding the capabilities and experience of the Company’s and its Affiliates’  employees, compensation, recruiting and training, and human resource policies and procedures, policy and  procedure manuals, together with all materials and documents in any form or medium (including oral,  written, tangible, intangible, or electronic) concerning any of the above, and other non-public, proprietary  and confidential information of the Company and its Affiliates; provided, however, that Confidential and  Proprietary Information shall not include any information that is known generally to the public or within  the industry other than as a result of unauthorized disclosure by the Executive.  It is specifically understood  and agreed by the Executive that any non-public information received by the Executive during Executive’s  employment by the Company and/or its Affiliates is deemed Confidential and Proprietary Information for  purposes of this Agreement.  In the event the Executive’s employment is terminated or ends for any reason,  the Executive shall immediately return to the Company and/or its Affiliates upon request all Confidential  and Proprietary Information in Executive’s possession or control.  ARTICLE VI  CLAIMS AND REVIEW PROCEDURES  6.1 Claims Procedure. A person or Beneficiary (a “claimant”) who has not received benefits  under the Plan that he or she believes should be paid shall make a claim for such benefits as follows:  6.1.1 Initiation - Written Claim. The claimant initiates a claim by submitting to the Plan  Administrator a written claim for the benefits. If the claim relates to the contents of a notice received by the  claimant, the claim must be made within sixty (60) days after the notice was received by the claimant. All  other claims must be made within one hundred eighty (180) days after the date of the event that caused the  claim to arise. The claim must state with particularity the determination desired by the claimant.  6.1.2 Timing of Plan Administrator Response. The Plan Administrator shall respond to  such claimant within ninety (90) days after receiving the claim, (within forty-five (45) days for Disability  benefits). If the Plan Administrator determines that special circumstances require additional time for  processing the claim, the Plan Administrator can extend the response period by an additional ninety (90)  days, (thirty (30) days for Disability), by notifying the claimant in writing, prior to the end of the initial  ninety (90)-day period (or forty-five (45) days, as applicable), that an additional period is required. The  notice of extension must set forth the special circumstances and the date by which the Plan Administrator  expects to render its decision.  If the extension is with respect to Disability benefits, the notice shall  specifically explain the standards on which entitlement to a benefit is based, the unresolved issues that  prevent a decision on the claim, and the additional information needed to resolve those issues, and the  claimant shall be given 45 days to provide the specified information. The time period shall begin at the time  a claim is filed, whether or not all information necessary for a determination accompanies the filing. If the  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

8  4744814v.1  time period is extended due to insufficient information needed to decide a Disability claim, the period for  making the Disability determination shall be tolled from the date on which the notification of the extension  is sent to the claimant until the date on which the claimant responds to the request for additional information.  6.1.3 Notice of Decision. If the Plan Administrator denies part or all of the claim, the  Plan Administrator shall notify the claimant in writing of such denial. The Plan Administrator shall write  the notification in a manner calculated to be understood by the claimant. The notification shall set forth:  6.1.3.1 The specific reasons for the denial,  6.1.3.2 A reference to the specific provisions of the Plan on which the denial is  based,  6.1.3.3 A description of any additional information or material necessary for the  claimant to perfect the claim and an explanation of why it is needed,  6.1.3.4 An explanation of the Plan’s review procedures and the time limits  applicable to such procedures, and  6.1.3.5 in the case involving Disability, a copy of any internal rule, guideline,  protocol or other similar criterion that was relied upon in making the decision and, if based on a medical  necessity or experimental treatment or similar exclusion or limit, either an explanation of the scientific or  clinical judgment for the determination, or a statement that such explanation will be provided free of charge  upon request.  6.2 Review Procedure. If the Plan Administrator denies part or all of the claim, the claimant  shall have the opportunity for a full and fair review by the Plan Administrator of the denial, as follows:  6.2.1 Initiation - Written Request. To initiate the review, the claimant, within sixty (60)  days (180 days for a Disability claim) after receiving the Plan Administrator’s notice of denial, must file  with the Plan Administrator a written request for review.  6.2.2 Additional Submissions - Information Access. The claimant shall then have the  opportunity to submit written comments, documents, records and other information relating to the claim.  The Plan Administrator shall also provide the claimant, upon request and free of charge, reasonable access  to, and copies of, all documents, records and other information relevant (as defined in applicable ERISA  regulations) to the claimant’s claim for benefits.  6.2.3 Considerations on Review. In considering the review, the Plan Administrator shall  take into account all materials and information the claimant submits relating to the claim, without regard to  whether such information was submitted or considered in the initial benefit determination.  6.2.4 Additional Information For Disability. In a claim for Disability, the following shall  also apply:  6.2.4.1 the review shall not give any deference to the initial adverse determination;  6.2.4.2 if the appeal is based in whole or in part on a medical judgment, the  Company shall consult with a health care professional who has appropriate training and experience in the  field of medicine involved in the medical judgment;  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

9  4744814v.1  6.2.4.3 any medical or vocational experts whose advice was obtained in  connection with the adverse determination shall be identified, without regard to whether the advice was  relied upon in making the benefit determination; and  6.2.4.4 the health care professional engaged for purposes of a consultation under  (b) above shall not be the individual who was consulted in connection with the adverse determination that  is the subject of the appeal, nor the subordinate of any such individual.    6.2.5 Timing of Plan Administrator Response. The Plan Administrator shall respond in  writing to such claimant within sixty (60) days after receiving the request for review. If the Plan  Administrator determines that special circumstances require additional time for processing the claim, the  Plan Administrator can extend the response period by an additional sixty (60) days by notifying the claimant  in writing, prior to the end of the initial sixty (60)-day period, that an additional period is required. The  notice of extension must set forth the special circumstances and the date by which the Plan Administrator  expects to render its decision.  6.2.6 Notice of Decision. The Plan Administrator shall notify the claimant in writing of  its decision on review. The Plan Administrator shall write the notification in a manner calculated to be  understood by the claimant. The notification shall set forth:  6.2.6.1 The specific reasons for the denial,  6.2.6.2 A reference to the specific provisions of the Plan on which the denial is  based,  6.2.6.3 A statement that the claimant is entitled to receive, upon request and free  of charge, reasonable access to, and copies of, all documents, records and other information relevant (as  defined in applicable ERISA regulations) to the claimant’s claim for benefits, and  6.2.6.4 A statement of the claimant’s right to bring a civil action under ERISA  Section 502(a), and  6.2.6.5 in the case involving Disability benefits, a copy of any internal rule,  guideline, protocol or other similar criterion that was relied upon in making the decision and, if the adverse  determination is based on a medical necessity or experimental treatment or similar exclusion or limit, either  an explanation of the scientific or clinical judgment for the determination, or a statement that such  explanation will be provided free of charge upon request; and the following statement: “You and your Plan  may have other voluntary alternative dispute resolution options, such as mediation. One way to find what  may be available is to contact your local U.S. Department of Labor Office or your State insurance regulatory  agency.  ARTICLE VII  MISCELLANEOUS  7.1 Amendment and Termination. Subject to Section 7.12, this Plan may be amended or  terminated solely by written agreement between the Employer and the Executive.  7.2 No Guarantee of Employment. This Plan is not an employment policy or contract. It does  not give any Executive the right to remain an employee of the Employer, nor does it interfere with the  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

10  4744814v.1  Employer’s right to discharge the Executive. It also does not require any Executive to remain an employee  nor interfere with any Executive’s right to terminate employment at any time.  7.3 Non-Transferability. Benefits under this Plan cannot be sold, transferred, assigned,  pledged, attached, or encumbered in any manner.  7.4 Tax Withholding. The Employer shall withhold any taxes that are required to be withheld  from the benefits provided under this Plan.  7.5 Applicable Law. Except to the extent preempted by the laws of the United States of  America, the validity, interpretation, construction and performance of this Plan shall be governed by and  construed in accordance with the laws of the State of Pennsylvania, without giving effect to the principles  of conflict of laws of such state.  7.6 Unfunded Arrangement. The Executive and the Beneficiary are general unsecured creditors  of the Employer for the payment of benefits under this Plan. The benefits represent the mere promise by  the Employer to pay such benefits. The rights to benefits are not subject in any manner to anticipation,  alienation, sale, transfer, assignment, pledge, encumbrance, attachment, or garnishment by creditors. Any  insurance, annuity contract or other asset purchased by Employer to fund its obligations under this Plan  shall be a general asset of the Employer to which the Executive and Beneficiary have no preferred or secured  claim.  7.7 Benefit Provision.  Notwithstanding the provisions of this Plan in the payment of the  benefits under Article 3, any benefits payable under this Plan are contingent solely upon the amount that is  provided by the Annuity Contract(s) as identified in this Plan or other provision as provided for in Article  2.  7.8 Severability. If any provision of this Plan is held invalid, such invalidity shall not affect  any other provision of this Plan, and each such other provision shall continue in full force and effect to the  full extent consistent with law. If any provision of this Plan is held invalid in part, such invalidity shall not  affect the remainder of the provision, and the remainder of such provision together with all other provisions  of this Plan shall continue in full force and effect to the full extent consistent with law.  7.9 Headings. The headings of articles herein are included solely for convenience of reference  and shall not affect the meaning or interpretation of any provision of this Plan.  7.10 Notices. All notices, requests, demands, and other communications hereunder shall be in  writing and shall be deemed to have been duly given if delivered by hand or mailed, certified or registered  mail, return receipt requested, with postage prepaid. Unless otherwise changed by notice, notice shall be  properly addressed to the Executive if addressed to the address of the Executive on the books and records  of the Employer at the time of the delivery of such notice, and properly addressed to the Employer if  addressed to the Board at 1015 Penn Avenue, Wyomissing, PA 19610.    7.11 Payment of Legal Fees. In the event litigation ensues between the parties concerning the  enforcement of the obligations of the parties under this Plan, the Employer shall pay all costs and expenses  in connection with such litigation until such time as a final determination (excluding any appeals) is made  with respect to the litigation. If the Employer prevails on the substantive merits of each material claim in  dispute in such litigation, the Employer shall be entitled to receive from the Executive all reasonable costs  and expenses, including without limitation attorneys’ fees, incurred by the Employer on behalf of the  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8 

 

11  4744814v.1 Executive in connection with such litigation, and the Executive shall pay such costs and expenses to the  Employer promptly upon demand by the Employer.  7.12 Termination or Modification of Plan Because of Changes in Law, Rules or Regulations.  The Employer is entering into this Plan on the assumption that certain existing tax laws, rules, and  regulations will continue in effect in their current form. If that assumption materially changes and the  change has a material detrimental effect on this Plan, then the Employer reserves the right to terminate or  modify this Plan accordingly.   ARTICLE VIII  ADMINISTRATION OF PLAN  8.1 Plan Administrator Duties. This Plan shall be administered by a Plan Administrator  consisting of the Board or such committee or person(s) as the Board shall appoint. The Plan Administrator  shall have the sole and absolute discretion and authority to interpret and enforce all appropriate rules and  regulations for the administration of this Plan and the rights of the Executive under this Plan, to decide or  resolve any and all questions or disputes arising under this Plan, including benefits payable under this Plan  and all other interpretations of this Plan, as may arise in connection with the Plan. No benefit shall be  payable hereunder to any person unless the Plan Administrator, in its sole discretion, determines such  benefit is due.  8.2 Agents. In the administration of this Plan, the Plan Administrator may employ agents and  delegate to them such administrative duties as it sees fit (including acting through a duly appointed  representative) and may from time to time consult with counsel, who may be counsel to the Employer.  8.3 Binding Effect of Decisions. The decision or action of the Plan Administrator with respect  to any question arising out of or in connection with the administration, interpretation, and application of the  Plan and the rules and regulations promulgated hereunder shall be final and conclusive and binding upon  all persons having any interest in the Plan.  8.4 Indemnity of Plan Administrator. The Plan Administrator shall not be liable to any person  for any action taken or omitted in connection with the interpretation and administration of this Plan, unless  such action or omission is attributable to the willful misconduct of the Plan Administrator or any of its  members. The Employer shall indemnify and hold harmless the members of the Plan Administrator against  any and all claims, losses, damages, expenses, or liabilities arising from any action or failure to act with  respect to this Plan, except in the case of willful misconduct by the Plan Administrator or any of its  members.  8.5 Employer Information. To enable the Plan Administrator to perform its functions, the  Employer shall supply full and timely information to the Plan Administrator on all matters relating to the  date and circumstances of the retirement, Disability, death, or Separation of Service of the Executive and  such other pertinent information as the Plan Administrator may reasonably require.  This Supplemental Executive Retirement Plan is hereby adopted as of the date written above.  CUSTOMERS BANCORP, INC.   Andrew Bowman  By:________________________ By:_______________________  Name: Richard A. Ehst  Title: President & COO  DocuSign Envelope ID: 88491D3A-ECFF-4839-8A62-ED0E926FD2A8

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