Document:

exv10w4

 

Exhibit 10.4

IRWIN UNION BANK AND TRUST COMPANY

BUSINESS DEVELOPMENT BOARD COMPENSATION PROGRAM

AND STATEMENT OF PURPOSE

     IRWIN UNION BANK AND TRUST COMPANY, its successors and assigns (hereinafter referred to as
“Bank”) desires to retain from time to time the services of certain persons as advisors to the Bank
to assist in the conduct of the Bank’s business development activities. The Bank’s overall
objective is to promote its business and profitability and the interests of its shareholders, with
due regard to the effect of such activities on the needs and interests of its depositors,
customers, employees and the communities the Bank serves.

     The following describes the procedures for the establishment and operations of the Business
Development Boards and certain duties and functions to be used as guidelines to assist Business
Development Directors in fulfilling their responsibilities.

1. ESTABLISHMENT OF BUSINESS DEVELOPMENT BOARDS

	 	1.1.	 	Establishment. The Bank may establish a Business Development Board for each of
its market areas.
	 
	 	1.2.	 	Name. The Business Development Boards shall be known as the “[Name comprising
the specific market of the Bank] Board of Irwin Union Bank and Trust Company.”
	 
	 	1.3.	 	Initial Appointment. The president of the Bank shall appoint the initial
Business Development Boards for each market. Individuals appointed to the Business
Development Boards primarily shall be individuals actively involved in the specific
market whom the president of the Bank believes would fulfill the duties of a Business
Development Director as set forth in this Statement of Purpose.
	 
	 	1.4.	 	Vacancies. When any vacancy occurs among the Business Development Directors,
the market president and the remaining members of the Business Development Board may
review and recommend replacement candidates to the president of the Bank, who shall
appoint an individual to fill such vacancy.

2. BUSINESS DEVELOPMENT DIRECTORS

	 	2.1.	 	Number and Terms. Business Development Boards shall consist of not less than
four members nor more than twelve members who are not employees or directors of the
Bank (“Business Development Directors”), plus the appropriate market president.
Membership shall be for an initial term of two years and annually renewable thereafter.
	 
	 	2.2.	 	Director Affirmation. Each Business Development Director shall be required to
execute a “DIRECTOR AFFIRMATION” in the form attached hereto. Each

 

 

	 	 	 	Business Development Director shall be given a copy of this Compensation Program and
Statement of Purpose.

	 	2.3.	 	Compensation. Compensation for service as a Business Development Director
shall consist of a $1,000 annual retainer, payable annually following the end of the
first calendar quarter to each person then serving as a Business Development Director,
plus $350 per meeting of the Board attended, payable quarterly following the end of
each calendar quarter to each person serving as a Business Development Director who
attended any meetings during that quarter.
	 
	 	 	 	Such compensation shall be payable in the form of a grant of shares of Common Stock
of Irwin Financial Corporation. In each case, the number of shares to be granted
shall equal the specified dollar amount of the fees to be paid divided by 100% of
the mean between the closing bid and ask prices of the Common Stock of Irwin
Financial Corporation as reported on the NASDAQ National Market on the last business
day of the applicable calendar quarter, rounded up or down to the nearest whole
share. Certificates evidencing the shares, bearing the appropriate legends, will be
issued in name of the Business Development Director, or as otherwise instructed by
the Business Development Director, and will be delivered to or for the account
pursuant to the instructions of such Business Development Director as promptly as
practicable following each calendar quarter.
	 
	 	 	 	It is expected that each Business Development Director will own shares of Irwin
Financial Corporation while serving on a Business Development Board. No fees shall
be paid to market presidents or other Bank employees in conjunction with their
Business Development Board activities. The amount of compensation and the terms and
conditions relating to the grant of shares under this Program may be amended from
time to time by the Board of Directors of the Bank and Irwin Financial Corporation,
upon prior notification to the Business Development Directors.
	 
	 	2.4.	 	Nature of Relationship. A Business Development Director shall be a consultant
to the Bank, and the relationship of the Business Development Director as a Business
Development Director of the Bank shall not be that of employee, agent, or of an
individual empowered to act for or on behalf of the Bank.

3. MEETINGS

	 	3.1.	 	Regular Meetings. Regular meetings of the Business Development Directors shall
be held not less than once each calendar quarter at such times and places within the
respective market area or at such other places as may be approved by the respective
market president.
	 
	 	3.2.	 	Special Meetings. Special meetings of the Board may be called by the market
president. Each member of the Board shall be given notice stating the time and place
of each such meeting.

 

 

	 	3.3.	 	Quorum. A majority of the Business Development Directors shall constitute a
quorum at any meeting.

4. OFFICERS OF THE BOARD

	 	4.1.	 	Chairman. The market president shall preside as the Chairman of meetings of
the Business Development Board in each respective market, unless another Bank officer
is so designated to serve by the president of the Bank.

5. DUTIES AND FUNCTIONS

	 	5.1.	 	Provide Advice and Counsel. Business Development Directors will, as
circumstances warrant, provide information, assistance, business development,
recommendations and guidance to the market president within the appropriate market,
including, but not limited to new business prospects for the Bank, advice on new
locations, scope of services and distribution of financial services within the specific
market.
	 
	 	5.2.	 	Meet the Responsibilities of the Bank. To better insure that the Bank’s
strategies, policies and plans are attuned and responsive to the needs of economic and
business growth within a specific market and to the Bank’s social and public
responsibility to the specific market, Business Development Directors will:

	 	a.	 	keep the market president informed of opportunities,
competition and potential problems;
	 
	 	b.	 	monitor economic conditions within the specific market;
	 
	 	c.	 	assist in the development of business with and promote the Bank
to the business, consumer and public sectors of the specific market; and
	 
	 	d.	 	advise and consult with the market president on such other
matters as requested.

	 	5.3.	 	Make Personal Commitment. An effective Business Development Director must have
a sense of personal commitment to his or her responsibilities and loyalty to the Bank
which is best discharged by:

	 	a.	 	devoting the time necessary to function as a responsible
Business Development Director by being actively involved through attendance at
Board meetings, and involved in customer events as necessary; and
	 
	 	b.	 	adhering to the standards and responsibilities set forth in
this “Business Development Compensation Program and Statement of Purpose,” as
well as the Guiding Philosophy of Irwin Financial Corporation.

 

 

AMENDMENT

IRWIN UNION BANK BUSINESS DEVELOPMENT BOARD COMPENSATION

PROGRAM AND STATEMENT OF PURPOSE

By Resolutions of the Boards of Directors of Irwin Union Bank and Trust Company and Irwin Financial
Corporation dated August 15, 2000 and August 24, 2000, respectively, the Irwin Union Bank Business
Development Board Compensation Program and Statement of Purpose is amended to apply to Business
Development Boards of Irwin Union Bank, F.S.B., as well as to Business Development Boards of Irwin
Union Bank and Trust Company.

 

 

IRWIN UNION BANK AND TRUST COMPANY

BUSINESS DEVELOPMENT BOARD COMPENSATION PROGRAM

AND STATEMENT OF PURPOSE

AMENDMENT NUMBER TWO

     The terms and conditions of the Irwin Union Bank and Trust Company Business Development Board
Compensation Program (the “Program”) and Statement of Purpose (which are effective by amendment for
Irwin Union Bank, F.S.B.) shall be amended to read as follows:

     Section 2.3 (Compensation)

	 	•	 	The second paragraph of Section 2.3 of the Statement of Policy for the
Program is amended as follows:
	 
	 	 	 	“Such compensation shall be payable in the form of a grant of shares of Common
Stock of Irwin Financial Corporation (“IFC Common Stock”). In each case, the
number of shares to be granted shall equal the specified dollar amount of the
fees to be paid divided by the closing market price, which is defined as the
price at which IFC Common Stock was last sold in the principal United States
Market for such IFC Common Stock as of the date for which the closing market
price is determined, which shall be the last business day of the applicable
calendar quarter, rounded up or down to the nearest whole share. Certificates
evidencing the shares, bearing the appropriate legends will be issued in name of
the Business Development Director, or as otherwise instructed by the Business
Development Director, and will be delivered to or for the account pursuant to
the instructions of such Business Development Director as promptly as
practicable following each calendar quarter.”

In all other respects, the Statement of Policy for the Program shall be and remain unchanged.exv10w12

 

Exhibit 10.12

IRWIN FINANCIAL CORPORATION

2001 STOCK PLAN

RESTRICTED STOCK UNIT AGREEMENT

(No Performance Criteria)

	1.	 	Grant of Restricted Stock Unit Award. Irwin Financial Corporation, an Indiana corporation
(the “Company”) hereby grants to _________ the number of Restricted Stock Units set forth
in the Notice of Restricted Stock Unit Award subject to the terms, definitions and provisions
of the Company’s 2001 Stock Plan (the “Plan”), the terms of which are incorporated herein by
reference. Pursuant to Section 4 of the Plan, all determinations and interpretations with
respect to the Plan or this Agreement shall be made by the Committee. Except to the extent
expressly provided herein, capitalized terms used in this Agreement shall have the same
meaning ascribed thereto in the Plan.

	2.	 	Award. Pursuant to Section 10 of the Plan, Participant is hereby granted an Award of
Restricted Stock Units described on the Notice of Restricted Stock Unit Award attached hereto.

	3.	 	Restrictions; Restricted Period. The Restricted Stock Units covered by the Award shall be
subject to the restrictions set forth in Section 10 of the Plan, which include, but are not
limited to, prohibitions on the sale, transfer, assignment, pledge or encumbrance of the
Restricted Stock Units, prior to the vesting date(s) set forth on the Notice of Restricted
Stock Unit Award attached hereto (the period ending on the vesting date for a Restricted Stock
Unit is hereinafter referred to as the “Restricted Period”).

	4.	 	Termination of Employment or Service.

     (a) Termination of Employment Due to Death or Disability. In the event a
Participant’s employment or service as a director is terminated by reason of death or
disability, the Restricted Period on all outstanding shares of Restricted Stock Units shall
terminate and the Restricted Stock Units shall vest in full and shall be paid to
Participant pursuant to the Plan.

     (b) Termination of Employment due to Reasons other than Death or Disability. In the
event that a Participant’s employment or service as a director is terminated for any reason
other than death or disability, the Participant will forfeit any Restricted Stock Units
that are not yet vested and shall have no further rights to the Restricted Stock Units or
any amounts or payments attributable thereto.

	5.	 	Change in Control. Upon Change in Control, the Restricted Period on all outstanding
Restricted Stock Units shall terminate and the Restricted Stock Units shall vest in full and
shall be paid to the Participant pursuant to the Plan.

 

 

	6.	 	Withholding Tax Obligations.

     (a) General Withholding Obligations. As a condition of the receipt of payment with
respect to Restricted Stock Units, Participant shall make such arrangements as the Company
may require for the satisfaction of any federal, state, local or foreign withholding tax
obligations that may arise in connection with such receipt. The Company shall not be
required to make any payment under the Plan until such obligations are satisfied.
Participant understands that, upon receipt of the payment, he or she will recognize income
for tax purposes in an amount equal to the payment. If Participant is an employee, the
Company will be required to withhold from Participant’s compensation, or collect from
Participant and pay to the applicable taxing authorities an amount equal to a percentage of
this compensation income. Participant shall satisfy his or her tax withholding obligation
by one or some combination of the following methods: (i) by cash or check payment, (ii)
out of Participant’s current compensation, (iii) if payment is made in stock and if
permitted by the Company, in its discretion, by surrendering to the Company shares which
(A) in the case of shares previously acquired from the Company, have been owned by
Participant for more than six months on the date of surrender, and (B) have a Fair Market
Value determined as of the applicable Tax Date (as defined in section (c) below) on the
date of surrender equal to the amount required to be withheld, or (iv) by electing to have
the Company withhold from the payment an amount equal to the amount required to be
withheld.

     (b) Stock Withholding to Satisfy Withholding Tax Obligations. In the event the
Company allows Participant to satisfy his or her tax withholding obligations as provided in
section (a)(iii) above, such satisfaction must comply with the requirements of this section
(b) and all applicable laws. All elections by Participant to have shares withheld to
satisfy tax withholding obligations shall be made in writing in a form acceptable to the
Company and shall be subject to the following restrictions:

	 	(i)	 	the election must be made on or prior to the applicable Tax
Date (as defined in section (c) below);
	 
	 	(ii)	 	once made, the election shall be irrevocable as to the
particular shares to which the election is made; and
	 
	 	(iii)	 	all elections shall be subject to the consent or disapproval
of the Committee.

     (c) Definitions. For purposes of this Section 6, the Fair Market Value of the stock
to be withheld shall be determined on the date that the amount of tax to be withheld is to
be determined under the applicable laws (the “Tax Date”).

	7.	 	Beneficiary. The Participant may name, from time to time, any beneficiary or beneficiaries
to whom the Restricted Stock Units shall be paid in case of death.

 

 

     Each designation shall be on a form prescribed for such purpose by the Committee and shall
be effective only as set forth therein.

	8.	 	Tax Consequences. The tax laws and regulations governing the personal income tax impact of
this Award and the receipt and disposition of the Restricted Stock Units hereunder are complex
and subject to change. Participant should promptly consult his or her personal tax advisor
upon receipt of this Award.

	9.	 	Binding Effect. This Agreement shall inure to the benefit of and be binding upon the parties
hereto and their respective heirs, executors, administrators, successors, and assigns.

[signature page follows]

 

 

This Agreement may be executed in two or more counterparts, each of which shall be deemed an
original and all of which together shall constitute one document.

	 	 	 	 	 
	 	IRWIN FINANCIAL CORPORATION

 	 
	 	By:  	 	 
	 	Name:  	 	 
	 	Title:  	 	 
	 

PARTICIPANT ACKNOWLEDGES AND AGREES THAT THE LAPSE OF RESTRICTIONS PURSUANT TO THE AWARD HEREOF IS
EARNED ONLY BY CONTINUING EMPLOYMENT OR SERVICE AT THE WILL OF THE COMPANY (NOT THROUGH THE ACT OF
BEING HIRED OR BEING GRANTED THIS AWARD). PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT NOTHING
IN THIS AGREEMENT, NOR IN THE COMPANY’S STOCK INCENTIVE PLAN WHICH IS INCORPORATED HEREIN BY
REFERENCE, SHALL CONFER UPON PARTICIPANT ANY RIGHT WITH RESPECT TO CONTINUATION OF EMPLOYMENT BY
THE COMPANY, NOR SHALL IT INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE COMPANY’S RIGHT TO
TERMINATE PARTICIPANT’S EMPLOYMENT AT ANY TIME, WITH OR WITHOUT CAUSE.

     Participant acknowledges receipt of a copy of the Plan and represents that he or she is
familiar with the terms and provisions thereof, and hereby accepts this Award subject to all of the
terms and provisions thereof. Participant has reviewed the Plan and this Agreement in their
entirety, has had an opportunity to obtain the advice of counsel prior to executing this Award and
fully understands all provisions of the Award. Participant hereby agrees to accept as binding,
conclusive and final all decisions or interpretations of the Committee upon any questions arising
under the Plan or this Award.

	 	 	 	 	 
	Dated:

	 	 	 	 

TO BE A VALID ACCEPTANCE BY PARTICIPANT, THIS AGREEMENT MUST BE SIGNED AND DATED BY PARTICIPANT,
AND RETURNED TO THE COMPANY WITHIN 30 DAYS OF THE RESTRICTED STOCK UNIT GRANT.

 

 

IRWIN FINANCIAL CORPORATION

2001 STOCK PLAN

NOTICE OF RESTRICTED STOCK UNIT AWARD

     Pursuant to the terms of the attached Restricted Stock Unit Agreement and the Amended and
Restated Irwin Financial Corporation 2001 Stock Plan, you have been awarded Restricted Stock Units
(the “Award”) by Irwin Financial Corporation (the “Company”) as follows:

	 	 	 
	Date of Award:
	 	 
	 
	 	 
	Total Number of Restricted Stock
Units Granted:
	 	 
	 
	 	 
	Restricted Period:

	 	On each of the first, second, and
third anniversaries of the Date of
Award restrictions shall lapse on
one-third of the Restricted Stock
Units subject to this Award.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00138-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00138-of-00352.parquet"}]]