Document:

Exhibit

Exhibit 10.24A

AMENDED AND RESTATED
EMPLOYMENT AGREEMENT
THIS AMENDED AND RESTATED EMPLOYMENT AGREEMENT (this “Agreement”) is made and entered into as of this 30th day of October, 2017 (the “Effective Date”), by and between MB Financial Bank, N.A. (the “Bank”), a wholly-owned subsidiary of MB Financial, Inc.  (the “Corporation”), the Corporation and  Mark A. Hoppe (the “Executive”).
WHEREAS, Executive currently serves the Bank as its President and Chief Executive Officer and as Co-Chairman of its Board of Directors (the “Bank Board”);
WHEREAS, the Corporation, Bank and Executive are parties to an Employment Agreement made and entered into as of July 14, 2013, which Employment Agreement became effective on the effective date of the merger of Taylor Capital Group, Inc. (“TCG”) with and into the Corporation and of Cole Taylor Bank (“Cole Taylor Bank”) with and into the Bank (the “Existing Employment Agreement”); and
WHEREAS, the Corporation, Bank and Executive desire to change the terms and conditions of the Executive’s employment by entering into this Agreement, which Agreement amends, restates and supersedes the Existing Employment Agreement in its entirety.
NOW THEREFORE, in consideration of the foregoing and of the respective covenants and agreements of the parties herein, it is AGREED as follows:
1.Definitions.
(a)    The term “Change in Control” means (1) any Person is or becomes the Beneficial Owner directly or indirectly of securities of the Corporation or the Bank representing 35% or more of the combined voting power of the Corporation’s or the Bank’s outstanding securities entitled to vote generally in the election of directors; (2) individuals who were members of the board of directors of the Corporation (the “Board of Directors”) on the Effective Date (the “Incumbent Board”) cease for any reason to constitute at least a majority thereof, provided that any person becoming a member of the Board of Directors subsequent to the Effective Date (a) whose appointment as a director by the Board of Directors was approved by a vote of at least three‐quarters of the directors comprising the Incumbent Board, or (b) whose nomination for election as a member of the Board of Directors by the Corporation’s stockholders was approved by the Incumbent Board or recommended by the nominating committee serving under the Incumbent Board, shall be considered a member of the Incumbent Board; (3) consummation of a plan of reorganization, merger or consolidation involving the Corporation or the Bank or the securities of either, other than (a) in the case of the Corporation, a transaction at the completion of which the stockholders of the Corporation immediately preceding completion of the transaction hold more than 60% of the outstanding securities of the resulting entity entitled to vote generally in the election of its directors or (b) in the case of the Bank, a transaction at the completion of which the Corporation holds more than 50% of the outstanding securities of the resulting institution entitled to vote generally in the election of its directors; (4) consummation of a sale or other disposition to an unaffiliated third party or parties of all or substantially all of the assets of the Corporation or the Bank or approval by the stockholders of the Corporation or the Bank of a plan of complete liquidation or dissolution of the Corporation or the Bank; provided that for purposes of clause (1), the term “Person” shall not include the Corporation, any employee benefit plan of the Corporation or the Bank, or any corporation or other entity owned directly or indirectly by the stockholders of the Corporation in substantially the same proportions as their ownership of stock of the Corporation.  Each event comprising a “Change in Control” is intended to constitute a “change in ownership or effective control,” or a “change in the ownership of a substantial portion of the assets,” of the Corporation or the Bank as such terms are defined for purposes of Section 409A of the Code and “Change in Control” as used herein shall be interpreted consistently therewith.
(b)    The term “Date of Termination” means the date upon which the Executive’s employment with the Bank and, if applicable, the Corporation and any of their respective subsidiaries (each a “Subsidiary” and collectively the “Subsidiaries”), ceases, as specified in a notice of termination pursuant to Section 9 hereof; provided, 

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that “termination,” “termination of employment” and “Date of Termination” as used herein are intended to mean a termination of employment which constitutes a “separation from service” under Code Section 409A determined without regard to Executive’s service as a member of the Board of Directors or of the board of directors of any Subsidiary of the Corporation.
(c)    Subject to the remainder of this Section 1(c), the term “Involuntary Termination” means the termination of the employment of the Executive (i) by the Bank without his express written consent or (ii) by the Executive by reason of any of the following actions, unless such actions are contemplated by this Agreement or consented to in writing by the Executive: (1) a requirement that the Executive be based at any place other than Chicago, Illinois, or within a radius of 35 miles from the location of MB Financial Center at 6111 North River Road, Rosemont, Illinois, except for reasonable travel on Corporation or Bank business; (2) a reduction in the Executive’s annual target compensation (defined to mean the sum of Executive’s Base Salary, annual incentive target and annual target date value for Stock-Based Awards under Section 4(a), (b) and (c)) which occurs after 2020 and which results in Executive’s annual target compensation being less than 80% of the amount of his annual target compensation in effect during 2020, other than a reduction as part of an overall reduction in annual target compensation applied uniformly and with equitable effect to all senior executives of the Bank and Corporation; (3) a change in Executive’s reporting relationship whereby he no longer reports directly to the Chief Executive Officer of the Corporation; (4) the failure to maintain Executive as a senior officer of the Bank (meaning a title of no less than Executive Vice President); (5) the failure to maintain Executive as either the Co-Chairman or Chairman of the Bank Board; (6) the failure to maintain Executive as a member of the Bank’s Strategic Operating Committee, Management Committee or Loan Committee, to the extent the Bank maintains such Committees; (7) the failure of the Bank to obtain an assumption agreement from a successor as required by Section 12(a) hereof, or (8) the failure by the Corporation or Bank to pay or provide to Executive any compensation or benefits in accordance with Sections 4 and 5 hereof.  Anything herein to the contrary notwithstanding, in order for Executive’s resignation pursuant to clause (ii) above to constitute an Involuntary Termination, the Executive shall be required to comply with the notice and other provisions of Section 9.  The term “Involuntary Termination” does not include termination of employment on or after the Expiration Date (as defined in Section 2), Termination for Cause, termination of employment due to death or disability or termination pursuant to Section 7(g) of this Agreement, or suspension or temporary or permanent prohibition from participation in the conduct of the Bank’s affairs under Section 8 of the Federal Deposit Insurance Act.   
(d)    The terms “Termination for Cause” and “Terminated For Cause” mean termination of the employment of the Executive with the Bank, or if applicable, the Corporation or any of its subsidiaries, because of the Executive’s willful misconduct, breach of a fiduciary duty involving personal profit, repeated failure to perform stated duties (after written notice and reasonable opportunity to cure), willful violation of any law, rule, or regulation (other than traffic violations or similar offenses) or final cease-and-desist order issued by a federal banking regulator, or (except as provided below) material breach of any provision of this Agreement (after written notice and reasonable opportunity to cure).  No act or failure to act by the Executive shall be considered willful unless the Executive acted or failed to act in bad faith and without a reasonable belief that his action or failure to act was in the best interest of the Corporation or the Bank.  The Executive shall not be deemed to have been Terminated for Cause unless and until there shall have been delivered to the Executive a copy of a resolution, duly adopted by the affirmative vote of not less than a majority of the entire membership of the Board of Directors at a meeting of the Board of Directors duly called and held for such purpose (after reasonable notice to the Executive and an opportunity for the Executive, together with the Executive’s counsel, to be heard before the Board of Directors), stating that in the good faith opinion of the Board of Directors the Executive has engaged in conduct described in the preceding sentence and specifying the particulars thereof in detail.
(e)    The term “Voluntary Termination” shall mean termination of employment by the Executive voluntarily as set forth in Section 7(d) of this Agreement.
2.    Term.  This term of this Agreement and Executive’s employment under this Agreement shall commence on the Effective Date hereof and end December 31, 2022 (the “Expiration Date”), subject to earlier termination as provided herein. Executive’s employment after  the Expiration Date shall be on an at-will basis, provided that if Executive’s employment is terminated by the Bank after the Expiration Date under circumstances which would 

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entitle Executive to severance benefits under a severance program or policy then in effect and generally applicable to the Bank’s senior officers, the Executive shall receive severance benefits under the terms of such program or policy.
3.    Employment.  The Executive shall serve as the President and Chief Executive Officer of the Bank until such time as the Board of Directors or Bank Board shall appoint a successor, at which time the Executive shall be appointed to such senior officer position (with the title of Executive Vice President) within the Bank as the Bank Board shall determine.  The Executive shall have such duties, authority and responsibility as the Board of Directors or the Bank Board may prescribe from time to time.  The Executive shall also render services without additional compensation to the Corporation and any Subsidiary or Subsidiaries as requested by the Corporation from time to time.  The Executive shall report to the President and Chief Executive Officer of the Corporation and to the Bank Board. The Executive shall also serve as the Co-Chairman of the Bank Board and may serve as a member of the Board of Directors or the board of directors of any Subsidiary.  The Executive shall devote his best efforts and reasonable time and attention to the business and affairs of the Bank, and the Corporation and the Subsidiaries to the extent necessary to discharge his responsibilities hereunder.  The Executive may (a) serve on charitable boards or committees at the Executive’s discretion without consent of the Board of Directors and, in addition, on such corporate boards as are approved in a resolution adopted by a majority of the Board of Directors, and (b) manage personal investments, so long as such activities do not interfere materially with performance of his responsibilities hereunder.
4.    Compensation.
(a)    Salary. The Bank agrees to pay the Executive during the term of this Agreement a base salary (the “Base Salary”), the annualized amount of which shall be not less than (i) $700,000 through December 31, 2017, (ii) $450,000 during the period commencing January 1, 2018 and ending December 31, 2020 and (iii) such amount as approved by the Board of Directors or a committee thereof (the “Committee”) for periods after 2020.  The Base Salary shall be paid no less frequently than monthly and shall be subject to customary tax withholding.  If and to the extent that the Corporation and/or any Subsidiaries pay salary or other amounts or provide benefits to the Executive that the Bank is obligated to pay or to provide to the Executive under this Agreement, the Bank’s obligations to the Executive shall be reduced accordingly.
(b)    Annual Incentive Bonus.  Executive will be eligible to participate in the Corporation’s annual incentive compensation program.  Eligibility and benefits shall be determined by the terms of the program as then in effect. Executive’s annual incentive target for the years 2017 through 2020 shall be 75% of Executive’s Base Salary, although Executive’s actual award (“Annual Cash Bonus”), if any, shall be determined in accordance with the terms of the program.  Executive’s annual incentive target and actual bonus amount for years after 2020 shall be established by the Committee. The Annual Cash Bonus earned by the Executive for a calendar year shall be paid within two and one-half (2 1⁄2) months after the last day of such calendar year.  Executive shall also be entitled to receive such other annual bonus compensation, if any, as the Committee or Board of Directors may in its sole discretion, award to Executive.
(c)    Stock-Based Incentive Compensation. Each calendar year while the Executive is employed pursuant to this Agreement, he shall be considered for an award of stock options and/or other stock-based awards (“Stock-Based Awards”) under the Corporation’s Amended and Restated Omnibus Incentive Plan and any successor or substitute for such plan (the “Omnibus Incentive Plan”) by the Committee at such time as awards are granted to other senior executives of the Bank.  Executive’s annual target grant date value for Stock-Based Awards under the Omnibus Incentive Plan for awards made in years 2018, 2019 and 2020 shall be $360,000, although Executive’s actual Stock-Based Awards made in such years, if any, shall be determined by the Committee or Board of Directors utilizing the same methodology that is used for grants of annual Stock-Based Awards granted at such time to other senior executives of the Bank.  Executive’s annual target grant date value for Stock-Based Awards under the Omnibus Incentive Plan for awards made after 2020, and the actual awards made after 2020, if any, shall be in the sole discretion of the Committee.  The Stock-Based Awards will be made in the form of stock options, restricted stock, performance shares or other forms of award permitted under the Omnibus Incentive Plan, and the mix and terms and conditions of which shall be no less favorable than the awards made at such time to the other senior executives of the Bank or Corporation. 
(d)    Expenses.  The Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by the Executive in performing services under this Agreement in accordance with the 

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policies and procedures applicable to the senior executives of the Bank; provided that the Executive accounts for such expenses as required under such policies and procedures.
5.    Employee Benefits.
(a)    Participation in Benefit Plans.  While the Executive is employed by the Bank, the Executive shall be entitled to participate, to the same extent as senior executives of the Bank generally, in the plans, programs and practices of the Bank relating to retirement, profit-sharing, savings, group or other life insurance, hospitalization, medical and dental coverage, travel and accident insurance, education and other employee benefits, in each case in accordance with the applicable plan documents as in effect from time to time.  Without limiting the generality of the foregoing, the Executive shall be designated as a participant under the MB Financial Non-Stock Deferred Compensation Plan and the MB Financial Stock Deferred Compensation Plan and shall be entitled to make voluntary deferrals and receive Bank contributions thereunder on a basis no less favorable than applicable to those senior executives of the Bank or Corporation (other than the President and Chief Executive Officer of the Corporation) who are participants in such plans.
(b)    Fringe Benefits.  While Executive is employed by the Bank, Executive shall be eligible to participate in and receive benefits under fringe benefit programs which are or may become generally available to the Bank’s and Corporation’s senior executives. Without limiting the generality of the foregoing, the Bank shall continue to pay for Executive’s membership dues for Westmoreland Country Club and The Chicago Club, and provide him an auto allowance on no less favorable terms than exist as of the Effective Date. 
6.    Vacations; Leave.  The Executive shall be entitled (i) to annual paid vacation in accordance with the policies established by the Board of Directors which shall not be less favorable than that provided to any other senior executives of the Bank or Corporation, and (ii) to voluntary leaves of absence, with or without pay, from time to time at such times and upon such conditions as the Board of Directors may determine in its discretion.
7.    Termination of Employment.
(a)    Involuntary Termination.  If the Executive experiences an Involuntary Termination prior to (and not in connection with) a Change in Control, such termination of employment shall be subject to the Bank’s obligations under this Section 7(a) in lieu of any other compensation and employee benefits under this Agreement.  In the event of such Involuntary Termination, the Bank shall pay to the Executive monthly, during the twenty-four months after the Date of Termination if such Date of Termination is prior to January 1, 2020, or during the twelve months after the Date of Termination if such Date of Termination is after December 31, 2019, an amount equal to the sum of: (i) one-twelfth of the Reference Base Salary (ii) one-twelfth of the Reference Annual Bonus and (iii)  an amount equal to 150% of the monthly premium paid by the Executive for COBRA coverage elected by Executive under Bank’s group health plan (provided that the amount described in this clause (iii) shall not be included in more than eighteen monthly payments).  In addition to the foregoing, in connection with an Involuntary Termination, the Executive shall be entitled to receive (A) any accrued Base Salary through the Date of Termination within 30 days after the Date of Termination, (B) any unpaid Annual Cash Bonus earned by the Executive for the preceding calendar year within the time period set forth in Section 4(b) hereof, (C) disposition of Stock-Based Awards in accordance with the applicable award agreements and the Omnibus Incentive Plan; (D) prompt reimbursement of any expenses incurred through the Date of Termination in accordance with Section 4(d), and (E) all vested employee benefits described in Section 5 hereof,  such benefits to be paid in accordance with this Agreement and the applicable plan, program, arrangement or agreement (collectively, the “Accrued Compensation”).  If the Executive should die after amounts become payable under this Section 7(a), such amounts shall thereafter be paid to the Executive’s estate until satisfied in full.  For purposes of this Section 7(a) and Section 7(b): (x) “Reference Base Salary” shall mean $700,000 if the Date of Termination occurs prior to January 1, 2020, and the annual rate of Base Salary then in effect under Section 4(a) if the Date of Termination occurs after 2019; and (y) the “Reference Annual Bonus” shall mean  $525,000 if the Date of Termination is before January 1, 2020, and the annual incentive target then in effect under Section 4(b) if the Date of Termination is after 2019.
(b)    Change in Control.  If the Executive experiences an Involuntary Termination in connection with or within 24 months following a Change in Control, such termination of employment shall, in lieu of any other 

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compensation and employee benefits under this Agreement, be subject to the Bank’s (or its successor-in-interest’s) obligations under this Section 7(b).
(i)    Accrued Compensation.  In addition to any other amounts to which the Executive may be entitled to receive under this Section 7(b), the Bank (or its successor-in-interest) shall pay to the Executive the Accrued Compensation.
(ii)    Change in Control Payment.  The Bank (or its successor-in-interest) shall pay to the Executive in cash, within 30 days after the Date of Termination, an amount equal to three times, or two times, if the Date of Termination is after December 31, 2019, the sum of the Reference Base Salary and the Reference Annual Bonus as of the Date of Termination as defined in Section 7(a).
(iii)    COBRA Premium Reimbursement.  For a period up to eighteen months, the Bank (or its successor-in-interest) shall pay Executive monthly an amount equal to 150% of the monthly premium paid by the Executive for COBRA coverage elected by Executive under the Bank’s group health plan.
If the Executive should die after amounts become payable under any provision of this Section 7(b), such amounts shall thereafter be paid to the Executive’s estate until satisfied in full.  
(c)    Termination for Cause.  In the event of Termination for Cause, the Bank shall have no further obligation to the Executive under this Agreement after the Date of Termination except for the Accrued Compensation.  
(d)    Voluntary Termination.  The Executive may terminate his employment voluntarily at any time by a notice pursuant to Section 9 of this Agreement.  In the event that the Executive voluntarily terminates his employment other than by reason of any of the actions that constitute Involuntary Termination (“Voluntary Termination”), the Bank shall be obligated to the Executive only for the amount of the Accrued Compensation, and the Bank shall have no further obligation to the Executive under this Agreement.  
(e)    Death.  In the event of the death of Executive during the term of this Agreement and prior to any termination of employment, the Bank shall pay to the Executive’s estate the Accrued Compensation. 
(f)    Disability.  If the Executive becomes entitled to benefits under the terms of the then-current disability plan, if any, of the Bank (a “Disability Plan”), he shall be entitled to receive such group and other disability benefits, if any, as are then provided by the Bank for senior executives.  In the event of such disability, this Agreement shall not be suspended, except that (i) the Bank’s obligation to pay the Base Salary to the Executive shall be reduced in accordance with the amount of disability income benefits received by the Executive, if any, pursuant to this Section 7(f) such that, on an after-tax basis, the Executive shall realize from the sum of disability income benefits and Base Salary the same amount as he would realize on an after-tax basis from the Base Salary if the Bank’s obligation to pay salary were not reduced pursuant to this Section 7(f); (ii) the Executive shall not be entitled to earn an Annual Cash Bonus pursuant to Section 4(b) hereof or Stock-Based Awards pursuant to Section 4(c) if the disability prevents the Executive from rendering full-time service to the Bank for a period of in excess of six months during an applicable calendar year; and (iii) upon a resolution adopted by a majority of the disinterested members of the Board of Directors, the Bank may discontinue payment of the Base Salary beginning six months following a determination that the Executive has become entitled to benefits under a Disability Plan or otherwise unable to fulfill his duties under this Agreement.  The Bank may terminate the employment of the Executive at any time after the expiration of one year following such disability if such disability is then continuing, and upon such termination the Executive shall be entitled to receive only the Accrued Compensation. 
(g)    Regulatory Action.  Notwithstanding any other provisions of this Agreement, if the Executive is removed and/or permanently prohibited from participating in the conduct of the Bank’s affairs by an order issued under Section 8(e)(4) or (g)(1) of the Federal Deposit Insurance Act, 12 U.S.C. § 1818(e)(4) and (g)(1), all obligations of the Bank under this Agreement shall terminate as of the effective date of the order, except for the obligation of the Bank to pay the Accrued Compensation.

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(h)    No Other Obligation to Mitigate Damages; No Offset. Except as provided in Section 7(i), Executive shall not be obligated to mitigate amounts payable or arrangements made under the provisions of this Section 7 and the obtaining of other employment shall in no event effect any reduction of the Bank’s obligations under this Section 7. Except as provided in Section 7(i), the Bank’s obligation to make payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which the Bank may have against the Executive or others.
(i)    Release and Restrictive Covenants.  Notwithstanding the foregoing, the Bank’s obligations to pay or provide any benefits under this Section 7 above shall (i) cease as of the date the Executive knowingly and materially violates the provisions of Section 8 hereof and (ii) be conditioned on the Executive signing a release of claims in favor of the Corporation and the Bank in substantially the form annexed hereto within forty-five (45) days of such termination and the expiration of any revocation period provided for in such release.
8.    Protective Covenants Agreement.  The Executive is a party to a MB Financial Protective Covenants Agreement (the “Protective Covenants Agreement”).  The Executive agrees to continue to be subject to and bound by all terms and conditions of the Protective Covenants Agreement (as modified by Section 23 hereof) during the period of employment and, to the extent provided therein, thereafter, as if such terms and conditions were set forth in full herein. References in this Agreement to Executive’s obligations under Section 8 shall mean references to his obligations under the Protective Covenants Agreement.
9.    Notice of Termination.  Subject to the provisions of Section 1(d) hereof, in the event that the Corporation or the Bank, or both, desire to terminate the employment of the Executive during the term of this Agreement, the Corporation or the Bank, or both, shall deliver to the Executive a written notice of termination, stating whether such termination constitutes Termination for Cause, Involuntary Termination or termination for disability, setting forth in reasonable detail the facts and circumstances that are the basis for the termination, and specifying the date upon which employment shall terminate, which date shall be at least 30 days after the date upon which the notice is delivered, except in the case of Termination for Cause.  In the event that the Executive determines in good faith that he has experienced an Involuntary Termination of his employment in accordance with Section 1(c)(ii), he shall (a) send a written notice to the Corporation and Bank stating the circumstances that constitute such Involuntary Termination, which notice shall be given within 90 days of the Executive’s first learning of such circumstances and shall state his intention to terminate his employment due to such Involuntary Termination and (b) provide the Corporation and Bank with 30 days from the date of such notice to cure such circumstances.  If the Corporation and Bank fail to cure such circumstances, then Executive will be deemed to have terminated his employment due to Involuntary Termination at the end of such 30-day period.  In the event that the Executive desires to effect a Voluntary Termination, he shall deliver a written notice to the Corporation and Bank, stating the date upon which employment shall terminate, which date shall be at least 90 days after the date upon which the notice is delivered, unless the Corporation or Bank requests a date sooner.
10.    Professional Fees.
(a)    The Bank shall pay the reasonable legal fees and related expenses (including the costs of experts, evidence and counsel) incurred by the Executive as a result of the Executive’s seeking to obtain or enforce any right or benefit provided by this Agreement or by any other plan or arrangement maintained by the Bank (or any successor), the Corporation or the Subsidiaries under which the Executive is or may be entitled to receive benefits; provided that the Bank’s obligation to pay such fees and expenses is subject to the Executive’s prevailing with respect to the matters in dispute.
(b)    The Bank shall reimburse the Executive for any professional fees (attorneys, accountants, tax advisers) incurred by the Executive in the preparation, negotiation and execution of this Agreement, but in an amount not to exceed $15,000.
11.    Indemnification.  During Executive’s term of employment with the Bank and, if applicable, the Corporation and/or any Subsidiaries and thereafter, the Corporation and Bank shall indemnify and hold Executive harmless to the maximum extent now or hereafter permitted under the Articles of Incorporation and By-Laws of the 

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Corporation or Bank, as applicable.  In the event that legal action is instituted or threatened against the Executive during or after the term of his employment with, or membership on the board of directors of, the Bank, the Corporation or any Subsidiary, in connection with such employment or membership, the Corporation or Bank will advance to the Executive the costs and expenses incurred by Executive in the defense of such action (including reasonable attorneys, expert and other professional fees) to the maximum extent permitted by law without prejudice to or waiver by the Corporation or Bank of its rights and remedies against the Executive.  In the event that there is a final judgment entered against the Executive in any such litigation which, in accordance with the applicable Articles of Incorporation and By-Laws, is not subject to indemnification, then the Executive shall reimburse the Corporation or Bank for all such costs and expenses paid or incurred by it in the Executive’s defense of such litigation (the “Reimbursement Amount”).  The Reimbursement Amount shall be paid by the Executive within 30 days after rendition of the final judgment and a determination by the Board of Directors that such costs and expenses are not subject to indemnification.  The parties shall cooperate in the defense of any asserted claim, demand or liability against the Executive or the Bank, Corporation, Subsidiary or any other affiliates.  The term “final judgment” as used herein shall be defined to mean the decision of a court of competent jurisdiction, and in the event of an appeal, then the decision of the appellate court, after petition for rehearing has been denied, or the time for filing the same (or the filing of further appeal) has expired.  The rights to indemnification under this Section 11 shall be in addition to any rights which Executive may now or hereafter have under any insurance contract maintained by the Bank, Corporation, or any Subsidiary or other affiliates or any other agreement between Executive, Bank, Corporation, Subsidiary or any other affiliates.  Anything in this Agreement to the contrary notwithstanding, Executive’s indemnification rights under this Section 11, the Articles of Incorporation and By-Laws of the Corporation or Bank and applicable law, shall survive the termination of Executive’s employment with the Bank and his membership on the board of directors of the Bank, Corporation or any Subsidiary.
12.    No Assignments.
(a)    This Agreement is personal to each of the parties hereto, and no party may assign or delegate any of its rights or obligations hereunder without first obtaining the written consent of the other parties; provided, however, that this Agreement shall be binding upon and inure to the benefit of any successor of the Bank and the Bank shall require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) by an assumption agreement in form and substance reasonably satisfactory to the Executive, to expressly assume and agree to perform this Agreement in the same manner and to the same extent that the Bank would be required to perform it if no such succession had taken place.  Executive’s resignation following the failure of the Bank to obtain such an assumption agreement prior to the effectiveness of any such succession shall constitute an Involuntary Termination as defined in Section 1(c).
(b)    This Agreement and all rights of the Executive hereunder shall inure to the benefit of and be enforceable by the Executive’s personal and legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees.
13.    Notice.  For the purposes of this Agreement, notices and all other communications provided for in this Agreement shall be in writing and shall be deemed to have been duly given when personally delivered or five days after the date sent by certified mail, return receipt requested, postage prepaid, to the Corporation and Bank at their respective home offices, to the attention of the Board of Directors and Bank Board, as applicable, with a copy to the Secretary of the Corporation, or, if to the Executive, to such home or other address as the Executive has most recently provided in writing to the Bank.
14.    Amendments.  No amendments or additions to this Agreement shall be binding unless in writing and signed by all parties.
15.    Headings.  The headings used in this Agreement are included solely for convenience and shall not affect, or be used in connection with, the interpretation of this Agreement.
16.    Severability.  The provisions of this Agreement shall be deemed severable and the invalidity or unenforceability of any provisions shall not affect the validity or enforceability of the other provisions hereof.

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17.    Governing Law.  This Agreement shall be governed by the laws of the State of Illinois.
18.    Successors to Code Sections.  All provisions of this Agreement referring to sections of the U.S.C. (United States Code) or to the Internal Revenue Code shall be deemed to refer to successor code sections in the event of renumbering of code sections.
19.    Existing Employment Agreement; Effect on Other Agreements.  As of the Effective Date, this Agreement shall supersede and replace the Existing Employment Agreement in its entirety and neither the Corporation nor Bank shall have any obligation, nor the Executive have any claims for severance or other payments, under the Existing Employment Agreement. 
20.    Code Section 409A.
(a)    The intent of the parties is that payments and benefits under this Agreement comply with Internal Revenue Code Section 409A and the regulations and guidance promulgated thereunder (collectively “Code Section 409A”) and, accordingly, to the maximum extent permitted, this Agreement shall be interpreted to be in compliance therewith.  If the Executive notifies the Bank and Corporation (with specificity as to the reason therefore) that the Executive believes that any provision of this Agreement (or of any award of compensation, including equity compensation or benefits) would cause the Executive to incur any additional tax or interest under Code Section 409A and the Bank or Corporation concurs with such belief or the Bank (without any obligation whatsoever to do so) independently makes such determination, the Bank or Corporation shall, after consulting with the Executive, reform such provision to try to comply with Code Section 409A through good faith modifications to the minimum extent reasonably appropriate to conform with Code Section 409A.  To the extent that any provision hereof is modified in order to comply with Code Section 409A, such modification shall be made in good faith and shall, to the maximum extent reasonably possible, maintain the original intent and economic benefit to the Executive and the Bank or Corporation of the applicable provision without violating the provisions of Code Section 409A.  No action or failure by the Bank or Corporation in good faith to act, pursuant to this Section 20, shall subject the Bank or Corporation to any claim, liability, or expense, and neither the Bank nor the Corporation shall have any obligation to indemnify or otherwise protect the Executive from the obligation to pay any taxes pursuant to Section 409A.  The Bank and Corporation do not make any representations as to the personal income tax treatment of any severance payments or other benefits provided to the Executive.
(b)    If the Executive is deemed on the date of “separation from service” to be a “specified employee” within the meaning of that term under Code Section 409A(a)(2)(B), then with regard to any payment or the provision of any benefit which constitutes non-qualified deferred compensation subject to Code Section 409A to which the six-month delay provisions of Code Section 409A(a)(2)(B) apply, such payment or benefit shall be made or provided at the date which is the earlier of (A) the expiration of the six (6)-month period measured from the date of such “separation from service” of the Executive, and (B) the date of the Executive’s death (the “Delay Period”).  Upon the expiration of the Delay Period, all payments and benefits delayed pursuant to this Section 20(b) (whether they would have otherwise been payable in a single sum or in installments in the absence of such delay) shall be paid or reimbursed to the Executive in a lump sum, and any remaining payments and benefits due under this Agreement shall be paid or provided in accordance with the normal payment dates specified for them herein.  Whenever a payment (i) is to be made promptly after a date, it shall be made within sixty (60) days thereafter or (ii) specifies a payment period with reference to a number of days, the actual date of payment within the specified period shall be within the sole discretion of the Bank or Corporation.  The Executive’s right to receive installment payments pursuant to this Agreement shall be treated as a right to receive a series of separate and distinct payments.
(c)    With regard to any provision herein that provides for reimbursement of expenses or in-kind benefits: (i) the right to reimbursement or in-kind benefits is not subject to liquidation or exchange for another benefit, and (ii) the amount of expenses eligible for reimbursement or in-kind benefits provided during any taxable year shall not affect the expenses eligible for reimbursement or in-kind benefits to be provided in any other taxable year, provided that the foregoing shall not be violated with regard to expenses covered by Code Section 105(h) that are subject to a limit related to the period in which the arrangement is in effect.  Any expense or other reimbursement payment made pursuant to this Agreement or any plan, program, agreement or arrangement of the Bank or Corporation referred to 

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herein, shall be made on or before the last day of the taxable year following the taxable year in which such expense or other payment is to be reimbursed.
(d)    If the sixty (60) day period following the Executive’s “separation from service” begins in one calendar year and ends in a second calendar year (a “Crossover 60-Day Period”), and if there are any payments which constitute non-qualified deferred compensation subject to Code Section 409A due the Executive that are:  (i) conditioned on the Executive signing and not revoking a release of claims and (ii) otherwise due to be paid during the portion of the Crossover 60-Day Period that falls within the first year, then such payments will be delayed and paid in a lump sum during the portion of the Crossover 60-Day Period that falls within the second year.
21.    No Excise Tax Gross-Up; Possible Reduction in Payments.   Any provision of this Agreement or any other compensation plan, program or agreement to which Executive is a party or under which Executive is covered to the contrary notwithstanding, Executive will not be entitled to any gross-up or other payment for golden parachute excise taxes Executive may owe pursuant to Section 4999 of the Internal Revenue Code.  In the event that any amounts payable pursuant to Section 7 hereof or other payments or benefits otherwise payable to Executive (a) constitute “parachute payments” within the meaning of Section 280G of the Code, and (b) but for this Section 21 would be subject to the excise tax imposed by Section 4999 of the Code, then such amounts payable under this Agreement and under such other plans, programs and agreements shall be either (i) delivered in full, or (ii) delivered as to such lesser extent which would result in no portion of such benefits being subject to excise tax under Section 4999 of the Code, whichever of the foregoing amounts, taking into account the applicable federal, state and local income and employment taxes and the excise tax imposed by Section 4999 of the Code (and any equivalent state or local excise taxes), results in the receipt by Executive, on an after-tax basis, of the greatest amount of benefits, notwithstanding that all or some portion of such benefits may be taxable under Section 4999 of the Code.  Any reduction in payments and/or benefits required by this Section 21 shall occur in the following order: (1) reduction of amounts payable under Section 7(a) or 7(b)(ii) or other cash payments, beginning with payments scheduled to occur soonest; (2) reduction of vesting acceleration of equity awards (in reverse order of the date of the grant); and (3) reduction of other benefits paid or provided to Executive.
22.    Regulatory Requirements and Compensation Recovery (Clawback). Anything in this Agreement to the contrary notwithstanding, it is intended that, to the extent required, this Agreement, and any compensation described herein or made hereunder, comply with any legislative or regulatory limitations or requirements which are or may become applicable to the  Bank, Corporation or any Subsidiary or to any such payments, including, but not limited to, the Dodd-Frank Wall Street Reform and Consumer Protection Act and any rules or regulations issued thereunder (collectively, the “Regulatory Requirements”).  Such limitations or requirements may include, but not be limited to, provisions limiting, delaying or deferring payment of certain bonus, incentive or retention compensation to certain officers or highly compensated employees, requiring that the Corporation or Bank recover (clawback) bonus and incentive compensation in certain circumstances, and precluding or requiring modifications to bonus and incentive arrangements that may subject the Corporation or Bank to inappropriate risk or may result in excessive compensation.  The Executive acknowledges this Agreement and Executive’s bonus, stock-based or other incentive compensation payments or awards will be subject to any such clawback provisions and to possible change due to applicable Regulatory Requirements.
23.    Confidential Information; Permitted Disclosure; Defend Trade Secrets Act.  
(a)    Confidential Information; Permitted Disclosure.  The restrictions on the disclosure or use of Confidential Information set forth in the Protective Covenants Agreement shall apply for a period of five (5) years following termination of Executive’s employment for any reason (but only to the extent applicable law requires such restrictions to be of a finite duration), unless such information qualifies as a trade secret under applicable state or federal law or is Third Party Confidential Information, in which case such restrictions on disclosure or use shall continue for so long as the trade secrets remain secret and the Corporation or Bank remains obligated to protect the Third-Party Confidential Information.  “Third-Party Confidential Information” means confidential and proprietary or private information received by the Corporation, the Bank or any Subsidiary from customers or other third-party individuals or business entities in trust and confidence or pursuant to a duty of confidentiality.  If Executive is requested or becomes legally compelled to make any disclosure that is otherwise prohibited by this Agreement, Executive shall promptly notify the Corporation and Bank no later than fourteen (14) days prior to such disclosure so that the Corporation or 

9

Bank may seek a protective order or other appropriate relief if the Corporation or Bank deems such protection or remedy necessary.  Subject to the foregoing, Executive may furnish only that portion of the Confidential Information that Executive is legally compelled or required by law to disclose.  However, nothing in this Agreement, the Protective Covenants Agreement, any other agreement between Executive and the Corporation or Bank or in any Corporation or Bank policy applicable to Executive shall preclude Executive from providing a federal or state governmental, regulatory or administrative agency truthful information concerning a suspected violation of the law without disclosure (in advance or otherwise) to the Corporation or Bank.
(b)    Defend Trade Secrets Act of 2016. Notwithstanding anything herein to the contrary, under the Federal Defend Trade Secrets Act of 2016, Executive may not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that (i) is made (1) in confidence to a Federal, State or local government official, either directly or indirectly, or to an attorney; and (2) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.  If Executive files a lawsuit for retaliation by the Corporation or Bank for reporting a suspected violation of law, Executive may disclose the trade secret to the Executive’s attorney and use the trade secret information in the court proceeding if Executive files any document containing the trade secret under seal and does not disclose the trade secret except pursuant to court order.  Nothing herein is intended, or should be construed, to affect the immunities created by the Defend Trade Secrets Act of 2016.
[Signature Page Follows]

10

IN WITNESS WHEREOF, the parties have executed this Agreement (which execution may be in counterparts or .pdf format, each of which shall be an original and all of which shall constitute one document) as of the day and year first above written to be effective on the Effective Date set forth herein.

	
			
	ATTEST:
	 
	MB FINANCIAL BANK, N.A.

	 
	 
	 

	 
	 
	 

	Secretary
	 
	By:  /s/Rosemarie Bouman         

	 
	 
	Its:   Executive Vice President

	 
	 
	 

	ATTEST:
	 
	MB FINANCIAL, INC.

	 
	 
	 

	 
	 
	 

	Secretary
	 
	By:  Mitchell Feiger

	 
	 
	Its:  Chief Executive Office & President

	 
	 
	 

	WITNESS:
	 
	EXECUTIVE:

	 
	 
	 

	 
	 
	 

	 
	 
	Mark A. Hoppe

11

ANNEX TO EXECUTIVE EMPLOYMENT AGREEMENT
Form of Release
AGREEMENT AND GENERAL RELEASE
MB Financial, Inc., its affiliates, subsidiaries, divisions, successors and assigns in such capacity, and the current, future and former employees, officers, directors, and agents thereof in such capacities, including MB Financial Bank, N.A. (collectively referred to throughout this Agreement as “Corporation”) and Mark A. Hoppe  (“Executive”), the Executive’s heirs, executors, administrators, successors and assigns (collectively referred to throughout this Agreement as  “Executive”) agree:
1.    Consideration.  The parties acknowledge that this Agreement and General Release is being executed in accordance with Section 7 of the Employment Agreement by and between Executive and the Corporation.
2.    Revocation.  Executive may revoke this Agreement and General Release for a period of seven (7) calendar days following the day Executive executes this Agreement and General Release.  Any revocation within this period must be submitted, in writing, hand delivered to Corporation, or if mailed, postmarked, within seven (7) calendar days of execution of this Agreement and General Release.  This Agreement and General Release shall not become effective or enforceable until the revocation period has expired.
3.    General Release of Claim.  Executive knowingly and voluntarily releases and forever discharges Corporation from any and all claims, causes of action, demands, fees and liabilities of any kind whatsoever, whether known and unknown, against Corporation, Executive has, has ever had or may have as of the date of execution of this Agreement and General Release, including, but not limited to, any alleged violation of:
●    Title VII of the Civil Rights Act of 1964, as amended;
●    The Civil Rights Act of 1991;
●    Sections 1981 through 1988 of Title 42 of the United States Code, as amended;
●    The Immigration Reform and Control Act, as amended;
●    The Americans with Disabilities Act of 1990, as amended;
●    The Age Discrimination in Employment Act of 1967, as amended;
●    The Older Workers Benefit Protection Act of 1990;
●    The Worker Adjustment and Retraining Notification Act, as amended;
●    The Occupational Safety and Health Act, as amended;
●    The Family and Medical Leave Act of 1993;
		
	●
	Any other federal, state or local civil or human rights law or any other local, state or federal law, regulation or ordinance; 

●    Any public policy, contract, tort, or common law; or
●    Any allegation for costs, fees, or other expenses including attorneys’ fees incurred in these matters.
Notwithstanding anything herein to the contrary, the sole matters to which the Agreement and General Release do not apply are: (i) Executive’s rights of indemnification and directors and officers liability insurance coverage to which Executive was entitled immediately prior to DATE with regard to Executive’s service as an officer and director of Corporation; (ii) Executive’s rights under any tax-qualified pension or claims for accrued vested benefits under any other Executive benefit plan, policy or arrangement maintained by Corporation or under COBRA; (iii) Executive’s rights under the provisions of the Employment Agreement which are intended to survive termination of employment; or (iv) Executive’s rights as a stockholder.
4.    No Claims Permitted.  Executive waives Executive’s right to file any charge or complaint against Corporation arising out of Executive’s employment with or separation from Corporation before any federal, state or local court or any state or local administrative agency, except where such waivers are prohibited by law.  This Agreement, 

A-1

however, does not prevent Executive from filing a charge with the Equal Employment Opportunity Commission, any other federal government agency, and/or any government agency concerning claims of discrimination, although Executive waives the Executive’s right to recover any damages or other relief in any claim or suit brought by or through the Equal Employment Opportunity Commission or any other state or local agency on behalf of Executive under the Age Discrimination in Employment Act, Title VII of the Civil Rights Act of 1964 as amended, the Americans with Disabilities Act, or any other federal or state discrimination law, except where such waivers are prohibited by law.
5.    Affirmations.  Executive affirms Executive has not filed, has not caused to be filed, and is not presently a party to, any claim, complaint, or action against Corporation in any forum or form. Executive further affirms that the Executive has been paid and/or has received all compensation, wages, bonuses, commissions, and/or benefits to which Executive may be entitled and no other compensation, wages, bonuses, commissions and/or benefits are due to Executive, except as provided in Section 7(a), Section 7(b) or Section 7(f) of the Employment Agreement.  Executive also affirms Executive has no known workplace injuries.
6.    Governing Law and Interpretation.  This Agreement and General Release shall be governed by and conformed in accordance with the laws of the State of Illinois without regard to its conflict of law’s provisions.  In the event Executive or Corporation breaches any provision of this Agreement and General Release, Executive and Corporation affirm either may institute legal action to specifically enforce any term or terms of this Agreement and General Release.  Should any provision of this Agreement and General Release be declared illegal or unenforceable by any court of competent jurisdiction and should the provision be incapable of being modified to be enforceable, such provision shall immediately become null and void, leaving the remainder of this Agreement and General Release in full force and effect.  Nothing herein, however, shall operate to void or nullify any general release language contained in the Agreement and General Release. 
7.    Nonadmission of Wrongdoing.  Executive agrees neither this Agreement and General Release nor the furnishing of the consideration for this Release shall be deemed or construed at any time for any purpose as an admission by Corporation of any liability or unlawful conduct of any kind.

A-2

8.    Amendment.  This Agreement and General Release may not be modified, altered or changed except upon express written consent of both parties wherein specific reference is made to this Agreement and General Release.
9.    Entire Agreement.  This Agreement and General Release sets forth the entire agreement between the parties hereto and fully supersedes any prior agreements or understandings between the parties; provided, however, that notwithstanding anything in this Agreement and General Release, the provisions in the Employment Agreement which are intended to survive termination of the Employment Agreement, including but not limited to those contained in Section 8 and Section 11 thereof, shall survive and continue in full force and effect.  Executive acknowledges Executive has not relied on any representations, promises, or agreements of any kind made to Executive in connection with Executive’s decision to accept this Agreement and General Release.
EXECUTIVE HAS BEEN ADVISED THAT EXECUTIVE HAS UP TO [TWENTY ONE (21)][FORTY-FIVE (45)] CALENDAR DAYS TO REVIEW THIS AGREEMENT AND GENERAL RELEASE AND HAS BEEN ADVISED IN WRITING TO CONSULT WITH AN ATTORNEY PRIOR TO EXECUTION OF THIS AGREEMENT AND GENERAL RELEASE. 
EXECUTIVE AGREES ANY MODIFICATIONS, MATERIAL OR OTHERWISE, MADE TO THIS AGREEMENT AND GENERAL RELEASE DO NOT RESTART OR AFFECT IN ANY MANNER THE ORIGINAL TWENTY-ONE (21) CALENDAR DAY CONSIDERATION PERIOD.  
HAVING ELECTED TO EXECUTE THIS AGREEMENT AND GENERAL RELEASE, TO FULFILL THE PROMISES SET FORTH HEREIN, AND TO RECEIVE THE SUMS AND BENEFITS SET FORTH IN THE EMPLOYMENT AGREEMENT, EXECUTIVE FREELY AND KNOWINGLY, AND AFTER DUE CONSIDERATION, ENTERS INTO THIS AGREEMENT AND GENERAL RELEASE INTENDING TO WAIVE, SETTLE AND RELEASE ALL CLAIMS EXECUTIVE HAS OR MIGHT HAVE AGAINST CORPORATION.
IN WITNESS WHEREOF, the parties hereto knowingly and voluntarily executed this Agreement and General Release as of the date set forth below:
	
					
	 
	 
	 
	MB Financial, Inc.

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	 

	Mark A. Hoppe
	 
	Name:
	 

	 
	 
	 
	Title:
	 

	Date:
	 
	 
	Date:
	 

	 
	 
	 
	 
	 

A-3Exhibit

Exhibit 10.18

BOISE CASCADE COMPANY

2004 DEFERRED COMPENSATION PLAN

Amended and Restated as of January 1, 2018

BOISE CASCADE COMPANY
2004 DEFERRED COMPENSATION PLAN

1.    Purpose of the Plan.  The purpose of the Boise Cascade Company 2004 Deferred Compensation Plan (the "Plan") is to further the growth and development of Boise Cascade Company (the "Company") by providing a select group of senior management and highly compensated employees of the Company and its subsidiaries the opportunity to defer a portion of their cash compensation and thereby encourage their productive efforts on behalf of the Company.  The Plan is also intended to provide Participants with an opportunity to supplement their retirement income through deferral of current compensation.  The Plan is an unfunded plan.

2.    Definitions.

2.1    Bonus.  The payout amount earned by a Participant under a short-term (annual) or long-term incentive plan of the Company, but only to the extent the award is not stock or stock-related and is payable in cash.

2.2    Change in Control.  A Change in Control shall be deemed to have occurred if:

(a)    Any Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company representing 25% or more of either the then outstanding shares of common stock of the Company or the combined voting power of the Company's then outstanding securities; provided, however, if such Person acquires securities directly from the Company, such securities shall not be included unless such Person acquires additional securities which, when added to the securities acquired directly from the Company, exceed 25% of the Company's then outstanding shares of common stock or the combined voting power of the Company's then outstanding securities; and provided further that any acquisition of securities by any Person in connection with a transaction described in Section 2.2(c)(i) shall not be deemed to be a Change in Control of the Company; or

(b)    The following individuals cease for any reason to constitute at least a majority of the number of directors then serving:  individuals who, on the date hereof, constitute the Board and any new director (other than a director whose initial assumption of office is in connection with an actual or threatened election contest, including but not limited to 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 by a vote of at least 2/3rds of the directors then still in office who either were directors on the date hereof or whose appointment, election, or nomination for election was previously so approved (the "Continuing Directors"); or

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(c)    The consummation of a merger or consolidation of the Company (or any direct or indirect subsidiary of the Company) with any other corporation other than (i) a merger or consolidation which would result in both (a) Continuing Directors continuing to constitute at least a majority of the number of directors of the combined entity immediately following consummation of such merger or consolidation, and (b) 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) more than 50% of the combined voting power of the voting securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger or consolidation, or (ii) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company representing 25% or more of either the then outstanding shares of common stock of the Company or the combined voting power of the Company's then outstanding securities; provided that securities acquired directly from the Company shall not be included unless the Person acquires additional securities which, when added to the securities acquired directly from the Company, exceed 25% of the Company's then outstanding shares of common stock or the combined voting power of the Company's then outstanding securities; and provided further that any acquisition of securities by any Person in connection with a transaction described in Section 2.2(c)(i) shall not be deemed to be a Change in Control of the Company; or

(d)    The stockholders of the Company approve a plan of complete liquidation or dissolution of the Company or the consummation of an agreement for the 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, more than 50% of the combined voting power of the voting securities of which are owned by Persons in substantially the same proportions as their ownership of the Company immediately prior to such sale.

A transaction described in Section 2.2(c) which is not a Change in Control of the Company solely due to the operation of Subsection 2.2(c)(i)(a) will nevertheless constitute a Change in Control of the Company if the Board determines, prior to the consummation of the transaction, that there is not a reasonable assurance that, for at least 2 years following the consummation of the transaction, at least a majority of the members of the board of directors of the surviving entity or any parent will continue to consist of Continuing Directors and individuals whose election or nomination for election by the shareholders of the surviving entity or any parent would be approved by a vote of at least two-thirds of the Continuing Directors and individuals whose election or nomination for election has previously been so approved.

For purposes of this Section, "Beneficial Owner" shall have the meaning set forth in Rule 13d‐3 under the Securities Exchange Act of 1934, as amended (the "Exchange Act").

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For purposes of this Section, "Person" shall have the meaning given in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof, except that “Person” shall not include (i) the Company or any of its subsidiaries, (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, (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, or (v) an individual, entity or group that is permitted to and does report its beneficial ownership of securities of the Company on Schedule 13G under the Exchange Act (or any successor schedule), provided that if the individual, entity or group later becomes required to or does report its ownership of Company securities on Schedule 13D under the Exchange Act (or any successor schedule), then the individual, person or group shall be deemed to be a Person as of the first date on which the individual, person or group becomes required to or does report its ownership on Schedule 13D.

2.3    Committee.  The Compensation Committee of the Board of Directors of the Company.

2.4    Compensation.  A Participant's Salary and Bonus.  Compensation (either Salary or Bonus) shall not include (a) any amounts paid by the Company to a Participant that are not strictly in consideration for personal services, such as expense reimbursement, cost-of-living allowance, education allowance, premium on excess group life insurance, or any Company contribution to the Pension Plan or any savings or 401(k) plan sponsored by the Company or (b) any amounts paid as the result of a Participant’s Separation from Service, such as pay for unused paid time off, severance, or pay in lieu of notice; the fact that an amount constitutes taxable income to the Participant shall not be controlling for this purpose.  Compensation shall not include any taxable income realized by, or payments made to, an employee as a result of the grant, exercise, or payment of any equity award issued by the Company or any affiliate or subsidiary or as a result of the disposition of such equity award, except to the extent the Committee determines that the award shall be included in Compensation for purposes of this Plan.  Effective January 1, 2008, “Compensation” shall not include any amount paid as a retention bonus.

2.5    Deferral Election.  A Participant’s irrevocable election to defer part of his or her Compensation.

2.6    Deferred Account.  The record maintained by the Company for each Participant of the cumulative amount of (a) Compensation deferred pursuant to this Plan, (b) the amount of any Company contribution (including Discretionary Bonuses), and (c) imputed gains or losses on those amounts accrued as provided in Section 4.8.

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2.7    Deferred Compensation Agreement.  Collectively, a Participant’s Deferral Election and Distribution Election.

2.8    Deferred Compensation and Benefits Trust.  An irrevocable “rabbi trust” (the "DCB Trust") which may be established by the Company with an independent trustee for the benefit of persons entitled to receive payments or benefits hereunder, the assets of which will be subject to claims of the Company's creditors in the event of bankruptcy or insolvency.

2.9    Disability.  A Participant will be deemed to have incurred a Disability where the Participant (a) 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 death or can be expected to last for a continuous period of not less than 12 months, (b) is, by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than 3 months under an accident and health plan maintained by the Company, or (c) has been determined to be totally disabled by the Social Security Administration.

2.10    Discretionary Bonus.  An amount contributed to a Participant’s Deferred Account by the Company, which may, in the Company’s discretion, be subject to vesting or other payment terms as indicated in the bonus award document.

2.11    Distribution Election.  A Participant’s election of the method and timing of payment of his or her Deferred Account.

2.12    Investment Account.  Any of the accounts identified by the Company from time to time, described in Exhibit A, to which Participants may allocate all or any portion of their Deferred Accounts for purposes of determining the gains or losses to be assigned to the Deferred Accounts.

2.13    Participant.  A Key Executive (as defined in Section 4.1) who has entered into a written Deferred Compensation Agreement with the Company in accordance with the provisions of the Plan.

2.14    Rule of 70.  The attainment by a Participant of a number of Years of Service and age which, when added together, equal or exceed 70.

2.15    Salary.  A Participant's salary, commission, and other payments for personal services rendered by a Participant to the Company during a calendar year, determined prior to giving effect to any deferral election under this Plan, any before-tax contribution election under a 401(k) plan sponsored by the Company, and any before-tax contribution election under a Section 125 (cafeteria) plan sponsored by the Company.

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2.16    Separation from Service.  The Participant's ceasing to be employed by the Company for any reason whatsoever, whether voluntarily or involuntarily, including by reason of early retirement, normal retirement, death or Disability, provided that transfer from the Company to a subsidiary or vice versa shall not be deemed a Separation from Service for purposes of this Plan.  A Separation from Service shall also occur if (a) the Participant is on a leave of absence that exceeds 6 months and the Participant does not have a statutory or contractual right of reemployment, in which case, Separation from Service shall be deemed to have occurred on the first day following the 6‐month period, (b) the Participant is on a leave of absence that exceeds 6 months and the Participant’s statutory or contractual right of reemployment ends, in which case Separation from Service shall be deemed to have occurred on the first day following the end of the right of reemployment, or (c) the Company and the Participant reasonably anticipate that the level of services the Participant will perform for the Company (whether as an employee or an independent contractor) will permanently decrease to 20% or less of the average level of services performed for the Company over the preceding 36 months.  Determination of whether a Separation from Service has occurred will be made subject to the facts and circumstances of each situation and will comply with Internal Revenue Code Section 409A.

2.17    Unforeseeable Emergency.  A severe financial hardship to the Participant resulting from (a) an illness or accident of the Participant or his or her spouse, beneficiary or dependent (as defined in Internal Revenue Code Section 152, without regard to Sections 152(b)(1), (b)(2) and (d)(1)(B)); (b) loss of the Participant’s property due to casualty; or (c) other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the Participant’s control, such as medical expenses or funeral expenses for the Participant’s spouse, beneficiary or dependent (as defined earlier in this subsection).  The determination of whether an event constitutes an Unforeseeable Emergency shall be made based on the facts and circumstances of the specific event.

3.    Administration and Interpretation.  The Company, acting through its chief executive officer or his or her delegates, shall have final discretion, responsibility, and authority to administer and interpret the Plan.  This includes the discretion and authority to determine all questions of fact, eligibility, or benefits relating to the Plan.  The Company may also adopt any rules it deems necessary to administer the Plan.  The Company's responsibilities for administration and interpretation of the Plan shall be exercised by Company employees who have been assigned those responsibilities by the Company's management.  Any Company employee exercising responsibilities relating to the Plan in accordance with this section shall be deemed to have been delegated the discretionary authority vested in the Company with respect to those responsibilities, unless limited in writing by the Company.  Any Participant may appeal any action or decision of these employees to the Company's chief executive officer.  Any interpretation or decision by the Company's chief executive officer shall be final and 

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binding on the Participants.  Claims for benefits under the Plan and appeals of claim denials shall be in accordance with Sections 10 and 11.

4.    Participant Deferral and Distribution Elections.

4.1    Eligibility.  The Company shall identify those employees of the Company or any of its subsidiaries who are eligible to participate in this Plan ("Key Executives").  Eligibility to participate in the Plan is entirely at the discretion of the Company and shall be limited to a select group of senior management or highly compensated employees.  Eligibility to participate in this Plan for any calendar year shall not confer the right to participate during any subsequent year.

4.2    Execution of Agreement.  A Key Executive who wishes to participate in the Plan must execute a Deferred Compensation Agreement either (a) for newly eligible individuals, within 30 days after first becoming eligible to participate in the Plan, to defer Salary to be earned during the remainder of that calendar year, and Salary and/or Bonus to be earned during subsequent years, or (b) prior to January 1 of the first calendar year for which the Deferred Compensation Agreement will be effective, provided that an election to defer Bonus which qualifies as “performance-based compensation” under Internal Revenue Code Section 409A and the regulations thereunder must be made no later than 6 months prior to the end of the period with respect to which the Bonus is earned (other than elections with respect to the annual bonus for 2004, which must be made at the time of the initial election).

4.3    Deferral Election.  When a Key Executive first becomes eligible to participate, he or she shall have the opportunity to make a Deferral Election which shall apply to Compensation earned and paid subsequent to the date of election.  Each year thereafter that the Participant remains eligible to participate, the Participant shall have the opportunity to make a Deferral Election with respect to his or her Compensation earned in the following calendar year.  Deferral Elections shall be made by completion of an online enrollment process, as designated by the Company.  The Compensation otherwise paid to a Participant during each calendar year beginning after receipt of the Participant’s Deferral Election shall be reduced by the amount elected to be deferred.  Elections to defer Compensation are irrevocable as of the end of the period for executing the Deferred Compensation Agreement under Section 4.2 with respect to initial Deferral Elections, and as of the end of the annual enrollment period established by the Company pursuant to Section 4.4 with respect to subsequent Deferral Elections, except as otherwise provided in this Plan.  The amount of Compensation to be deferred will be specified in the Deferral Election Agreement, must be at least 5% of the Participant's Compensation, and is limited to 75% of the Participant's Compensation.

4.4    Change of Deferral Election.  A Participant who wishes to change an election to defer Compensation may do so by submitting a new Deferral Election during the annual enrollment period established by the Company prior to January 1 of the year for which the change in election is to be effective.  If a Participant does not 

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request a change in his or her Deferral Election, the Participant’s current Deferral Election shall become irrevocable with respect to compensation to be earned during the following year on December 31 of the current year, provided that solely for the 2018 Plan Year, if a Participant does not request a change in his or her Deferral Election, (i) the Participant’s 2017 Deferral Election with respect to Compensation (Salary and Bonus) will apply to his or her Salary earned in 2018, (ii) the Participant’s 2017 Deferral Election for additional Bonus deferral will apply to his or her short-term annual incentive plan Bonus earned in 2018, and (iii) no 2017 Deferral Election will apply to a Participant’s long-term annual incentive Bonus earned in 2018.

4.4A    Cessation of Deferrals.  A Participant who takes a hardship distribution from a qualified 401(k) plan sponsored by the Company may not contribute to this Plan for at least 6 months after that hardship withdrawal.  Deferrals will be automatically stopped upon such a hardship withdrawal.  The Participant may make a new Deferral Election during the next annual enrollment period following the conclusion of the 6‐month period.

4.5    Distribution Election.  At the time a Participant first elects to defer Compensation under Section 4.3, he or she must elect a distribution option for his or her Deferred Account by completion of an online enrollment process, as designated by the Company.  The distribution options available for Participants to choose from will be specified by the Company in the online enrollment system in the Company’s sole discretion.  In addition, Participants will have the opportunity to make a new distribution election during the annual enrollment period held during the fall of 2013 and each three years thereafter.  Any new distribution election will apply to deferrals made in the calendar year following the election and thereafter until a new distribution election is made according to the terms of the Plan.  Elections regarding distribution of deferred Accounts under this Plan are irrevocable when made except as otherwise provided in this Plan.

4.5.1    Distribution Election for Discretionary Bonus.  A Participant who receives a Discretionary Bonus may elect a distribution option for the Discretionary Bonus within 30 days of the date the Discretionary Bonus is granted to the Participant.  

4.6    Change of Distribution Election.

4.6.1    In General.  A Participant may request, in writing, a change of his or her Distribution Election at any time.  The new election must (a) defer commencement of distribution for at least 5 years from the date distribution would have commenced under the original Distribution Election and (b) be received by the Company at least 12 months prior to the commencement of distribution of the Participant's Deferred Account under the original Distribution Election.  The Company shall approve the request if it meets the requirements of this section.  Approved requests shall not take effect until 12 months after the date the request was submitted.

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4.6.2    2007 Election.  Notwithstanding the provisions of Section 4.6.1, any Participant who has a Deferred Account as of November 1, 2007, may request, in writing, a one-time change of his or her Distribution Election during the election period specified by the Company during 2007, but in no event later than December 31, 2007, provided that such election may apply only to amounts that would not otherwise be payable in 2007 and further provided that such election may not cause an amount to be paid in 2007 that would not otherwise be payable in 2007.  This election shall not be available to any Participant whose distributions will have commenced as of December 31, 2007.

4.7    Company Contributions; Deferred Account Allocations and Adjustments.  

4.7.1    The Company acknowledges that Compensation deferred under this Plan is not included as “compensation” for purposes of contributions made to the Company’s tax-qualified 401(k) plan (referred to as the “401(k) Plan”).  Therefore, in order to keep Participants whole, with respect to Compensation deferred under this Plan which is either Salary or Bonus attributable to a short-term (annual) incentive plan, the Company will contribute an amount equal to the Company contribution (including both nondiscretionary and discretionary amounts) that would have been made to the Participant’s account in the 401(k) Plan if the Compensation was eligible under the 401(k) Plan (without regard to any limits applicable to the 401(k) Plan that would restrict any Company contribution under that plan).  Such contributions shall be made to the Participant’s Deferred Account at the same time as such contribution would have been made to the 401(k) Plan.  For clarity, no such contributions will be made with respect to Discretionary Bonuses.

4.7.2    The Company shall maintain a record of each Participant's Deferred Account balance, including deferrals and adjustments.  Each Participant’s Deferred Account shall be adjusted to reflect the imputed interest, gains or losses attributable to the applicable Investment Account(s) selected by the Participant.  Interest earned will be credited to a Participant's account each payroll period.  Computation of the imputed interest, gains or losses with respect to any Investment Account shall be at the Company’s sole discretion.

4.8    Investment Accounts.  If the only Investment Account offered is the Stable Value Account, Participants’ deferrals will be automatically allocated to the Stable Value Account.  If more than one Investment Account is offered, the following terms apply:

4.8.1    Each Participant must allocate his or her current deferrals of Compensation to one or more of the offered Investment Accounts, by completion of an online allocation process, as designated by the Company and subject to any restrictions established by the Company.

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4.8.2    Participants who are active employees may change the allocation of future deferrals to or from any Investment Account on any business day, with any change effective as of the first pay period beginning after the date of the change.

4.8.3    Participants who are active employees or who are separated from service under Section 5.2.2, may move all or any portion of their Deferred Account balance among any of the Investment Accounts, other than the Stable Value Account, on any business day, with any change effective as of the next business day.

4.8.4    Deferred Account balances allocated to the Stable Value Account may not be allocated to any other Investment Account.

4.8.5    Participants who are separated from service under Section 5.2.1 may not change the allocation of their Deferred Accounts among Investment Accounts.

5.    Distributions.

5.1    Distributions in General.  The Company shall distribute a Participant’s Deferred Account balance according to the Participant’s Distribution Election, except as otherwise provided in this Section 5.  The designated payment date for purposes of Internal Revenue Code Section 409A shall be the date stated in the Participant’s Distribution Election, except as otherwise provided in this Section 5.  If a Participant failed to timely make a Distribution Election with respect to a Discretionary Bonus pursuant to Section 4.5.1, the Discretionary Bonus will be paid to the Participant in a lump sum on January 1 of the year following the Participant’s Separation from Service and that date shall be the designated payment date.

5.2    Plan Benefits Upon Separation from Service.

5.2.1    Upon Separation from Service for reasons other than death or Disability prior to (i) satisfying the Rule of 70, or (ii) attaining age 55 with 10 or more Years of Service, or (iii) attaining age 62 with 15 or more Years of Service, or (iv) attaining age 65 with 5 or more Years of Service, the Participant's entire Deferred Account balance shall be automatically allocated to the Stable Value Account, notwithstanding any investment elections or allocation decisions previously made by the Participant.  In addition, the imputed interest rate on the Participant's Deferred Account balance shall be adjusted, effective as of the date of Separation from Service, to a rate equal to Moody's (as such term is defined in Exhibit A).  That rate shall apply to all undistributed amounts of the Participant's Deferred Account prospectively from the date of Separation from Service until such amounts are distributed from the Plan (except as otherwise provided under Section 5.6).  Distributions under this Section 5.2.1 shall be made according to the Participant’s Distribution Election.

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5.2.2    Upon Separation from Service due to death or Disability or upon Separation from Service after (i) satisfying the Rule of 70, or (ii) attaining age 55 with 10 or more Years of Service, or (iii) attaining age 62 with 15 or more Years of Service, or (iv) attaining age 65 with 5 or more Years of Service, a Participant shall be paid his or her Deferred Account according to his or her Distribution Election.  Unpaid balances under the installment election shall continue to be credited with imputed gains or losses based on the applicable Investment Account.  Deferred Account balances for such Participants that are allocated to the Stable Value Account shall continue to be credited with imputed interest at Moody's times 130% prospectively from the date of Separation from Service until such amounts are distributed from the Plan (except as otherwise provided under Section 5.6).

5.3    Hardship Distribution.  If an Unforeseeable Emergency occurs, a Participant may request a lump-sum distribution of an amount reasonably necessary to satisfy the emergency need plus amounts necessary to pay taxes reasonably anticipated as a result of the distribution, after taking into account the extent to which such hardship is or may be relieved through reimbursement or compensation by insurance or otherwise or by liquidation of the Participant’s assets (to the extent the liquidation of such assets would not itself cause severe financial hardship).  Determination of the amount reasonably necessary to satisfy the emergency need must take into account any additional compensation available due to the cancellation of the Participant’s Deferral Election pursuant to this Section 5.3.  The Participant shall document, to the Company's satisfaction, that distribution of all or part of his or her account is necessary to satisfy the Unforeseeable Emergency.  A Participant requesting a distribution under this Section must not have access to other funds, including proceeds of any loans (including loans under tax-qualified plans), sufficient to satisfy the need.  Upon receipt of a request under this Section, the Company may, in its sole discretion, distribute a portion of the Participant's account balance in a lump sum, to the extent necessary to satisfy the emergency need.  Any distribution will be made within 90 days of the Company’s receipt of such request.  The Participant shall sign all documentation requested by the Company relating to the distribution.  If a Participant receives a distribution from the Plan under this Section, his or her current Deferral Election shall be cancelled, and he or she shall not be eligible to participate in this Plan or any other nonqualified deferred compensation plan maintained by the Company for a period of 12 months following the date of the distribution.  The Participant may make a new Deferral Election during the next annual enrollment period following the conclusion of the 12‐month period.  

5.4    Small Account Distributions.  If a Participant's Deferred Account balance is less than $10,000 on the date of Separation from Service, the Company shall distribute the entire Deferred Account balance in a lump sum to the Participant within 90 days following the Participant’s Separation from Service, regardless of the Participant's Distribution Election, and the Participant shall have no further rights or benefits under this Plan.

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5.5    Distributions Following Participant Death; Designation of Beneficiary.  The Company shall make all payments to the Participant, if living.  A Participant shall designate a beneficiary by filing a beneficiary designation in the form and manner prescribed by the Company.  A Participant may change his or her beneficiary at any time by filing a new beneficiary designation in the form and manner prescribed by the Company.  If a Participant dies either before benefit payments have commenced under this Plan or after his or her benefits have commenced but before his or her entire Deferred Account has been distributed, his or her designated beneficiary shall receive any benefit payments in accordance with the Participant’s Distribution Election.  If no designation is in effect when any benefits payable under this Plan become due, the beneficiary shall be the spouse of the Participant, or if no spouse is then living, the Participant's estate.  The designated payment date for distributions under this Section shall be the date of the Participant’s death.

5.6    Effect of a Change in Control.  The provisions of this Section 5.6 shall apply upon a Change in Control.

5.6.1    Notwithstanding anything in this Plan to the contrary, after the third anniversary of a Change in Control, the imputed interest credited to Participants' account balances under this Plan shall not be based on an annualized rate in excess of 100% of Moody's.

5.6.2    Payment of a Participant’s Deferred Account balance shall be made according to the Participant’s Distribution Election.

5.6.3    Any Participant whose employment is involuntarily terminated for any reason other than disciplinary reasons within 3 months prior to the date of the Change in Control shall be deemed, solely for purposes of this Section 5.6, to be employed by the Company until the occurrence of the Change in Control and to have been terminated immediately thereafter.

5.7    Distributions Pursuant to a Domestic Relations Order. 

5.7.1    A domestic relations order relating to benefits under this Plan shall be reviewed by the Company’s senior human resources officer or his or her delegate.  The individual shall determine whether the order satisfies the definition in Internal Revenue Code Section 414(p).  The Company may establish procedures for reviewing and processing a domestic relations order similar to the processing of domestic relations orders under the Company’s qualified plans.

5.7.2  The order must specify the name and last known mailing address and social security number of the Participant and each alternate payee.  It must name the plan to which it applies.  It must specify the percentage or amount of the Participant’s benefit which is payable to an alternate payee and the date as of which the amount or percentage is determined.  The order cannot require the Plan to (a) pay any 

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form of benefit not permitted under the Plan, (b) provide a benefit greater than the benefit to which the Participant is entitled, or (c) affect the benefits of another alternate payee with respect to whom a domestic relations order has previously been accepted by the Plan.

5.7.3  If the order is acceptable, a distribution to the alternate payee pursuant to the terms of the order shall be authorized as soon as administratively practicable without regard to the time distribution would be made to the affected Participant.  If the order is not acceptable, that shall be communicated in writing to the Participant and the alternate payee, including identification of the provisions of the order that cause it to be unacceptable.

6.    Miscellaneous.

6.1    Assignability.  A Participant's rights and interests under the Plan may not be assigned or transferred except in the event of the Participant's death, as described in Section 5.5, or in the case of a domestic relations order, as described in Section 5.7.

6.2    Taxes.  The Company shall deduct from all payments made under this Plan all applicable federal or state taxes required by law to be withheld.

6.3    Form of Communication.  Deferral Elections and Distribution Elections shall be made as provided in Sections 4.2 through 4.6.  Beneficiary designations shall be made as provided in Section 5.5.  Any other application, claim, notice, or other communication required or permitted to be made by a Participant to the Company shall be made in writing and in such form as the Company may prescribe.  Such communication shall be effective upon receipt by the Company's senior human resources officer at 1111 West Jefferson Street, PO Box 50, Boise, Idaho 83728.

6.4    Service Providers.  The Company may, in its sole discretion, retain one or more independent entities to provide services to the Company in connection with the operation and administration of the Plan.  Except as specifically delegated or assigned to any such entity in writing, the Company shall retain all discretionary authority under this Plan.  No Participant or other person shall be a third party beneficiary with respect to, or have any rights or recourse under, any contractual arrangement between the Company and any such service provider.

7.    Amendment and Termination.  The Committee may, at its sole discretion, amend or terminate the Plan at any time, provided that the amendment or termination shall not adversely affect the vested or accrued rights or benefits of any Participant without the Participant's prior consent.

8.    Unsecured General Creditor.  Except as provided in Section 9, Participants and their beneficiaries, heirs, successors, and assigns shall have no legal 

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or equitable rights, interest, or claims in any property or assets of the Company.  The assets of the Company shall not be held under any trust for the benefit of Participants, their beneficiaries, heirs, successors, or assigns, or held in any way as collateral security for the fulfilling of the obligations of the Company under this Plan.  Any and all Company assets shall be, and remain, the general, unpledged, unrestricted assets of the Company.  The Company's obligation under the Plan shall be an unfunded and unsecured promise of the Company to pay money in the future.

9.    Deferred Compensation and Benefits Trust.  At any time, the Company, in its sole discretion, may transfer to the DCB Trust cash, marketable securities, or other property acceptable to the trustee to pay the Company's obligations under this Plan in whole or in part (the "Funding Amount").  Any cash, marketable securities, and other property so transferred shall be held, managed, and disbursed by the trustee subject to and in accordance with the terms of the DCB Trust.  In addition, from time to time, the Company may make additional transfers of cash, marketable securities, or other property acceptable to the trustee as desired by the Company in its sole discretion to maintain or increase the Funding Amount with respect to this Plan.  The assets of the DCB Trust, if any, shall be used to pay benefits under this Plan, except to the extent the Company pays such benefits.  The Company and any successor shall continue to be liable for the ultimate payment of those benefits.

10.    Claims Procedure.

10.1    In General.  Claims for benefits under the Plan, other than claims for Disability benefits under Section 5.2.2, shall be filed in writing, within 90 days after the event giving rise to a claim, with the Company's senior human resources officer, who shall have absolute discretion to interpret and apply the Plan, evaluate the facts and circumstances, and make a determination with respect to the claim in the name and on behalf of the Company.  The claim shall include a statement of all facts the Participant believes relevant to the claim and copies of all documents, materials, or other evidence that the Participant believes relevant to the claim.  Written notice of the disposition of a claim shall be furnished to the Participant within 90 days after the application is filed.  This 90‐day period may be extended an additional 90 days for special circumstances by the senior human resources officer, in his or her sole discretion, by providing written notice of the extension to the claimant prior to the expiration of the original 90‐day period.  If the claim is denied, the senior human resources officer shall notify the claimant in writing.  This written notice shall:

		
	•
	state the specific reasons for the denial,

		
	•
	refer to the provisions of the Plan on which the determination is based,

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	•
	describe any additional material or information necessary for the claimant to perfect the claim and explain why the information is necessary,

		
	•
	explain how the claimant may submit the claim for review and state applicable time limits, and

		
	•
	state the claimant’s right to bring an action under Section 502(a) of ERISA following an adverse determination on review.

10.2    Disability Claims.  Claims for Disability benefits under Section 5.2.2 of the Plan shall be filed in writing, within 90 days after the event giving rise to a claim, with the Company's senior human resources officer, who shall have absolute discretion to interpret and apply the Plan, evaluate the facts and circumstances, and make a determination with respect to the claim in the name and on behalf of the Company.  The claim shall include a statement of all facts the Participant believes relevant to the claim and copies of all documents, materials, or other evidence that the Participant believes relevant to the claim.  Written notice of the disposition of a claim shall be furnished to the Participant within 45 days after the application is filed.  This 45‐day period may be extended for up to two additional 30‐day periods by the senior human resources officer, in his or her sole discretion, in each case for reasons beyond the Plan's control and by providing written notice of the extension to the claimant prior to the expiration of the current period.  If additional information is needed from the Participant in order to make a decision on the claim, the senior human resources officer will notify the Participant of the information needed and the Participant will have 45 days to provide the requested information.  If the claim is denied, the senior human resources officer shall notify the claimant in writing.  This written notice shall:

		
	•
	state the specific reasons for the denial,

		
	•
	refer to the provisions of the Plan on which the determination is based,

		
	•
	describe any additional material or information necessary for the claimant to perfect the claim and explain why the information is necessary,

		
	•
	explain how the claimant may submit the claim for review and state applicable time limits, 

		
	•
	if an internal rule or guideline was relied upon, state that an internal rule or guideline was relied upon and that a copy of the rule or guideline will be provided at no charge upon request,

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	•
	if the denial is based on a medical necessity or experimental treatment exclusion, state that an explanation of the scientific or clinical judgment, applying the terms of the plan to the claimant’s circumstances, will be provided at no charge upon request, and

		
	•
	state the claimant’s right to bring an action under Section 502(a) of ERISA following an adverse determination on review.

11.    Claims Review Procedure.

11.1    In General.  Any Participant, former Participant, or Beneficiary of either, who has been denied a benefit claim, other than a claim for Disability benefits under Section 5.2.2 of the Plan, shall be entitled, upon written request, to access to or copies of all documents and records relevant to his or claim, and to a review of his or her denied claim.  A request for review, together with a written statement of the claimant's position and any other comments, documents, records or information that the claimant believes relevant to his or her claim, shall be filed no later than 60 days after receipt of the written notification provided for in Section 10.1, and shall be filed with the Company's senior human resources officer.  The senior human resources officer shall promptly inform the Company's chief executive officer, who shall be the named fiduciary of the Plan for purposes of claim review.  The chief executive officer shall make his or her decision, in writing, within 60 days after receipt of the claimant's request for review.  This 60‐day period may be extended an additional 60 days if, in the chief executive officer's sole discretion, special circumstances warrant the extension and if the chief executive officer provides written notice of the extension to the claimant prior to the expiration of the original 60‐day period.  The written decision shall be final and binding on all parties and shall:

		
	•
	state the facts and specific reasons for the decision,

		
	•
	refer to the Plan provisions upon which the decision is based,

		
	•
	state that the Participant is entitled to receive at no charge and upon request reasonable access to and copies of all documents, records, and other information relevant to the claim, and 

		
	•
	state the claimant’s right to bring an action under Section 502(a) of ERISA.

11.2    Disability Claims. Any Participant, former Participant, or Beneficiary of either, who has been denied a claim for Disability benefits under Section 5.2.2 of the Plan, shall be entitled, upon written request, to access to or copies of all documents and records relevant to his or claim, and to a review of his or her denied claim.  A request for review, together with a written statement of the claimant's position and any other comments, documents, records or information that the claimant believes relevant to his 

-15-    

or her claim, shall be filed with the Company's senior human resources officer no later than 180 days after receipt of the written notification provided for in Section 10.2.  The senior human resources officer shall promptly inform the Company's chief executive officer, who shall be the named fiduciary of the Plan for purposes of claim review.  The chief executive officer shall make his or her decision, in writing, within 45 days after receiving the claimant's request for review.  This 45‐day period may be extended an additional 45 days if special circumstances warrant the extension and if the chief executive officer provides written notice of the extension to the claimant prior to the expiration of the original 45‐day period. The written decision shall be final and binding on all parties and shall:

		
	•
	state the facts and specific reasons for the decision,

		
	•
	refer to the Plan provisions upon which the decision is based, 

		
	•
	state that the Participant is entitled to receive at no charge and upon request reasonable access to and copies of all documents, records, and other information relevant to the claim,

		
	•
	indicate whether any rule, guideline, protocol or criterion was relied on in the decision and, if so, that a copy of such rule, guideline, protocol or criterion will be provided at no charge upon request, 

		
	•
	if the denial is based on a medical necessity or experimental treatment exclusion, state that an explanation of the scientific or clinical judgment, applying the terms of the plan to the claimant’s circumstances, will be provided at no charge upon request, and

		
	•
	state the claimant’s right to bring an action under Section 502(a) of ERISA.

If  any new or additional evidence is considered, generated or relied upon by the chief executive officer in the course of the review, such evidence shall be provided to the claimant as soon as possible and the claimant shall have a reasonable opportunity to respond prior to the date the decision is required to be made.  In addition, if the decision on review is based on a new or additional rationale, such rationale shall be provided to the claimant as soon as possible and the claimant shall have a reasonable opportunity to respond prior to the date the decision is required to be made.

12.    Lawsuits, Jurisdiction, and Venue.  No lawsuit claiming entitlement to benefits under this Plan may be filed prior to exhausting the claims and claims review procedures described in Sections 10 and 11.  Any such lawsuit must be initiated no later than the earlier of (a) one year after the event(s) giving rise to the claim occurred or (b) 60 days after a final written decision was provided to the claimant under Section 11.  Any legal action involving benefits claimed or legal obligations relating to or arising 

-16-    

under this Plan may be filed only in Federal District Court in the city of Boise, Idaho.  Federal law shall be applied in the interpretation and application of this Plan and the resolution of any legal action.  To the extent not preempted by federal law, the laws of the state of Delaware shall apply.

13.    Effective Date of Plan.  This Plan became effective as of October 29, 2004.  The Plan was most recently amended and restated effective as of January 1, 2018.

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EXHIBIT A  

INVESTMENT ACCOUNTS

Stable Value Account.  Deferred Accounts allocated to this account shall be credited, while the Participant is actively employed with the Company, with imputed interest equal to an annualized rate of interest equal to 130% of Moody's Composite Average of Yields on Corporate Bonds (“Moody's”) as determined each month from Moody's Bond Record (as published by Moody's Investor's Service, Inc.) or any successor thereto, or, if such monthly report is no longer published, a substantially similar rate determined by the Company, in its sole discretion.  Moody's, for purposes of this Plan, shall be based for any given month on such published rate for the immediately preceding calendar month.  Upon Separation from Service, Deferred Accounts allocated to this account shall be credited with either Moody's times 130% or with Moody's, as provided in Section 5.2 of the Plan.

-18-

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