Document:

EX-10.20

 Exhibit 10.20 
 Western Alliance Bancorporation 
 Annual 2012 Bonus Plan 

Parent and All Affiliate Banks 

OBJECTIVE: The purpose of this Annual Bonus Plan is to provide incentives and rewards for superior performance in order to attract and retain
highly qualified team members and to maximize financial performance so that Western Alliance Bancorporation (WAL) will meet and exceed its goals. 
 ELIGIBILITY: Team members (except those on special incentive plans, such as; RE, WAL Equipment Finance, Shine Investment Services, Alliance Association Financial Services, Treasury Management and
several individual plans) who are employed by WAL as of January 1st of the Plan Year. Bonuses for team members hired after
January 1st but on or before September 30th of a Plan Year will be prorated. Team members hired after
September 30th may be eligible the following Plan
Year. 
 EFFECTIVE DATE: January 1, 2012. This Plan supersedes all others before it and for 2012 there will be one plan for the
Company. 
 FREQUENCY OF AWARDS: Awards will be paid annually within 90 days after the end of the Plan Year. Participants must be
employed at the payment date to receive any bonus compensation under this Plan. 
 PLAN ADMINISTRATOR: WAL Compensation Committee will
administer and approve the Plan annually. The day to day details of the Plan will be monitored by an internal committee made up of WAL Chief Executive Officer, President/COO, Chief Financial Officer, and Chief Administrative Officer.

 HOW THE PLAN WORKS: Subject to the terms of the Plan, bonus calculations will be based on the following factors: 1) Earnings Per
Share, 2) Credit Quality, 3) Organic Deposit Growth, 4) Organic Loan Growth, and 5) QUALITY Control.  
 A Target bonus percentage
expressed as a percent of Base Salary will be established for each Participant. A payout at the maximum level requires outstanding performance for the year in all components of the Plan. 
 Base Salary is defined as the Participant’s actual salary earned for the year which includes pay for regular hours worked plus paid holiday, sick, and vacation hours; earnings received while on a
Leave of Absence are not included in this calculation. 
  

	 	A.	Earnings Per Share Performance is weighted 50% 

 This portion of the bonus will be calculated based on WAL performance in Earnings Per Share 
 The Earnings Per Share calculation is determined by what is acceptable within general accounting principle guidelines. 
  

			
	 CHART FOR EARNINGS PER SHARE RESULTS IS 50% OF
TARGET

	 WAL Performance Earnings Per Share Results
	  	Percent of Target Paid (EPS)
	 Less than < .45
	  	No Bonus paid
	 Between .45 to .51
	  	75% to 100%
	 Between .51 to .63
	  	100% to 150%

  

	 	B.	Credit Quality is weighted 20% 

 This portion of the bonus will be calculated using the Net Charge Off ratio (weighted 10%) and Non-Performing Asset ratio (weighted10%). 

 

	 	a.	Net Loan Charge Offs for the year divided by Average Loans Outstanding for the year equal the Net Charge Off Ratio 

	 	b.	The Non Performing Asset ratio is the average of 4 quarter end ratios of NPA’s divided by total Average assets 

 

			
	WAL Credit Quality Performance	  	 
	 Net Charge Offs
	  	Percent of Target Bonus Paid
	 >1.2%
	  	No Bonus Paid
	 <1.2% to 1.0%
	  	75% to 100%
	 <1.0% to .6%
	  	100% to 150%  

		
	 NPA’s
	  	
	 >3.0%
	  	No Bonus paid
	 <3.0% to 2.5%
	  	75% to 100%
	 <2.5% to 1.50%
	  	100% to 150%

  

	 	C.	Organic Deposit Growth is weighted 10% 

  

	 	1.	As soon as possible after the end of the Plan Year, the Finance Department will measure the Actual Organic Deposit Growth results for WAL. Adjustments may be made to
these calculations to account for windfalls, etc. 

  

	 	2.	Following are the definitions/calculations on which this portion of the bonus will be based: 

 

	 	a.	A calculation will be made for the WAL Growth in Organic Deposits (10% of target). 

 

	 	b.	Organic Deposits will be calculated on organic growth and will not include increases in deposits acquired by acquisition or wholesale means. 

 

	 	c.	Calculation: The percent of Target bonus paid for Organic Deposit Growth will be calculated based on the following schedule: 

 

			
	 CHART FOR ORGANIC DEPOSIT GROWTH 10% OF
TARGET

	WAL Performance Organic	  	 
	 Deposit Growth
	  	Percent of Target Paid (Organic Deposits)
	 Less than <5%
	  	No Bonus paid
	 Between 5% - 8%
	  	75% to 100%
	 Between 8% - 14%
	  	100% to 150%

  

	 	3.	In order to receive more than 100% of the Organic Deposit growth portion of the bonus: 

 

	 	a.	WAL must achieve a growth equal to or more than 8% in Organic Deposits to pay more than 100% for the goal being measured, and 

 

	 	b.	Participant must meet individual goals in this respective area. 

 D. Organic Loan Growth is weighted 10% 
 This portion of the
bonus will be calculated based on WAL performance in Organic Loan Growth. 
  

	 	Loans	Growth 

  

	 	1.	As soon as possible after the end of the Plan Year, the Finance Department will measure the Actual Loan results for WAL. Adjustments may be made to these calculations
to account for windfalls, etc. 

  

	 	2.	Following are the definitions/calculations on which this portion of the bonus will be based: 

 

	 	a.	A calculation will be made for WAL Growth in Total Loans (10% of target). 

  
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	 	b.	Loans will be calculated on organic growth and will not include increases in loans acquired by acquisition. 

 

	 	c.	Calculation: The percent of Target bonus paid for Loan will each be calculated based on the following schedule: 

 

			
	 CHART FOR ORGANIC LOAN GROWTH 10% OF TARGET

	WAL Performance Organic	  	 
	 Loan Growth
	  	Percent of Target Paid (Organic Loans)
	 Less than <5%
	  	No Bonus paid
	 Between 5% - 8%
	  	75% to 100%
	 Between 8% - 14%
	  	100% to 150%

  

	 	3.	In order to receive more than 100% of the Loan growth portion of the bonus: 

 

	 	a.	WAL must achieve a growth to or more than 8% in Loans to pay more than 100% for the goal being measured, and 

 

	 	b.	Participant must meet individual goals in this respective area. 

  

	 	E.	Quality Control is weighted 10% 

  

	 	1.	The effectiveness of the Company’s quality control will be evaluated based upon regulatory examinations and internal audits. 

 

	 	2.	Quality Control will be measured in the following two areas: 

  

	 	a.	All Regulatory Examinations (5%) 

  

	 	b.	Internal Audits (5%)

  

	 	3.	The maximum pay out on this quality control is 100% 

  

	 	4.	Quality Control performance will be measured and assessed by the WAL Audit Committee 

 

	 	F.	Other Calculation Provisions 

  

	 	1.	All participants below the level of Vice President will be paid out according to the bonus formula 

 

	 	2.	All Vice Presidents and above (excluding members of the Executive Management Committee) will be evaluated at the end of the plan year. Based upon these evaluations,
participants final bonus payout will range from 75% to 125% of overall payout. 

  

	 	3.	Each officer will be evaluated in the following areas: 

  

	 	a.	Ability to Work within a Team setting 

  

	 	b.	Initiative/Proactive 

  

	 	c.	Customer Service Focus 

  

	 	d.	Commitment to Quality 

  

	 	e.	Planning/Organization 

  

	 	f.	Leadership 

  

	 	i.	Strategic Thinking 

  

	 	ii.	Mentoring 

  

	 	iii.	Communication 

  

	 	iv.	Development 

  

	 	4.	Participants must meet individual loan and organic deposit production goals, if assigned, or their total bonus may be reduced or eliminated. 

 

	 	5.	A participant’s bonus may be reduced or eliminated if, in the discretion of Management, i) the department’s loan review and/or audits are rated below
satisfactory and/or not adhering to safety, soundness, and approved operational procedures, ii) any participant, their branch or department earns a rating of less than “Satisfactory,” iii) the department’s credit underwriting and/or
portfolio management practices are rated below “Satisfactory” and/or not adhering to safety and soundness, or iv) the participant, their branch or department has not contributed adequately to the financial results attributed to them.

  
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 G. Other Administrative Provisions 

 

	 	1.	This is a discretionary bonus plan and, in order to receive payment of any bonus under this Plan, the participant must be eligible and employed by WAL through the end
of the year. 

  

	 	2.	Designation as a participant in the Plan does not create a contract of employment for any specified time, nor shall such act to alter or amend WAL’s
“at-will” policy of employment. 

  

	 	3.	If any participant’s performance is rated as falling below job expectations or as less than satisfactory at any time during the Plan Year, or if the participant is
subject to any written disciplinary action, the bonus payment will be reduced or eliminated. 

  

	 	4.	A change in officer title occurring during the year will create a proration based upon the number of months in each position. 

 

	 	5.	Awards will be paid through the normal payroll process to participants. All awards will be subject to applicable taxes. Awards do not constitute commissions or
additional wages, and participants have no vested interests in the benefits of the Plan, except as expressly provided for herein. 

  

	 	6.	Awards under this Plan will be used in calculating covered earnings for benefit purposes for the 401(k) and Life Insurance Plans but not for Long Term Disability
Insurance. 

  

	 	7.	Timely and accurate completion of all business plans, reports, budgets and other planning exercises is required for payment under the Plan. 

 

	 	8.	Acknowledgment from the HR Department that offices and officers have conformed to bank policy in timeliness of annual reviews, controllable turnover, and all other
areas of HR administration is required for payment under this Plan. 

  

	 	9.	Performance measurements and statistics will be based on calculations completed by the Finance Division of WAL. Any questions about the results or the bonus
calculations must be submitted to the Plan Administrator within 30 days after the calculations have been completed and published, after which time no inquiries will be considered. 

 

	 	10.	Management retains the right in its sole discretion to adjust bonuses to reflect non reoccurring gains or losses. 

 

	 	11.	This Plan is governed and interpreted by the Plan Administrator, whose decisions shall be final. This is a discretionary program and the Plan Administrator or the Board
of Directors of WAL reserves the right to terminate or alter this bonus program at any time. 

  

	 	12.	Participants are eligible to participate in only one annual bonus plan (could also be paid out quarterly), and Management has the discretion to assign any team member
to the particular plan it deems appropriate. 

  

	 	13.	The intent of WAL Management is to fairly reward team members for adding value to the Company. If any adjustments need to be made to allow this Plan to accomplish its
purpose, the Incentive Compensation Committee in its sole discretion can make those adjustments. 

  

	 	14.	It is the intention of the Committee that the grants under the 2012 Annual Bonus Plan to Covered Employees shall be qualified performance-based compensation within the
meaning of Code Section 162(m) and regulations thereunder, as allowed by the 2005 Stock Incentive Plan. 

  
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 Sample Calculation: 
 1. WAL Earnings Per Share Growth Performance is weighted 50% 
  

			
	 Earnings Per Share Growth Performance
	  	WAL
	 EPS achieved
	  	.51
	 % of EPS Target Bonus Paid
	  	100%
		
	 See table on page 2
	  	

 2. WAL Credit Quality Performance is weighted 20% 

 

			
	 Credit Quality Performance 10%
	  	WAL
	 Net Charge Offs achieved
	  	1.0%
	 % of Goal Paid
	  	100%

  

			
	 Credit Quality Performance 10%
	  	WAL
	 NPA percentage achieved
	  	2.5%
	 % NPA Goal Paid
	  	100%
		
	 See table page 2
	  	

 4. WAL Organic Deposit Growth Performance is weighted 10% 

 

			
	 Organic Loan Growth
	  	WAL
	 Deposit Growth Achieved
	  	14%
	 Loan Growth Target Paid
	  	150%
		
	 See table page 2
	  	

 5. WAL Organic Loan Growth Performance is weighted 10% 

 

			
	 Organic Loan Growth
	  	WAL
	 Loan Growth Achieved
	  	14%
	 Loan Growth Target Paid
	  	150%
		
	 See table page 3
	  	

 6. WAL Quality Control factors are weighted 10% 

 

	 	•	 	 Regulatory Examines (5%) WAL Audit Committee determined PASS 

	 	•	 	 Internal Audits (5%) WAL Audit Committee determined PASS 

 

	 	Passed	at the 100% level for example purposes 

Example Paid under WAL Annual Bonus 
  

									
	 Participant has a base salary of $60,000
 Target Bonus of 8%
 Target Bonus -
$4,800.00

	  
 EPS
	 	Credit
Quality	 	Deposit
Growth	 	Loan
Growth	 	Quality
Control
	$4,800	 	$4,800	 	$4,800	 	$4,800	 	$4,800
	X50%	 	X20%	 	X10%	 	X10%	 	X10%
					
	$2,400	 	$960	 	$480	 	$480	 	$480
	X100%	 	X100%	 	X150%	 	X150%	 	X100%
					
	$2,400	 	$960	 	$720	 	$720	 	$480

 Total Payout is $2,400 + $960 + $720 + $720 + $480 =$5,280 

  
 5Lease Termination Agreement

 Exhibit 10.67 
 LEASE TERMINATION AGREEMENT 
 THIS LEASE TERMINATION AGREEMENT
(“Agreement”) is made as of October 27, 2011 by and between ECI TWO RESULTS LLC, a California limited liability company (“Landlord”), and DURECT CORPORATION, a Delaware corporation (“Tenant”). 

RECITALS 
 A.
RWC, LLC, a California limited liability company (“Original Landlord”) and Tenant entered into an Office Lease dated September 1, 2005 (the “Lease”). Under the Lease Original Landlord leased to Tenant and
Tenant leased from Original Landlord the entire building containing approximately 40,560 rentable square feet, together with the below grade garage (the “Premises”) in the building located at 2 Results Way, Cupertino, California
(the “Building”). 
 B. Landlord is successor-in-interest to Original Landlord. 

C. The Term of the Lease is scheduled to expire on December 20, 2012. 

D. Landlord and Tenant mutually desire to terminate the Lease effective as of December 31, 2011 (the “Early Termination
Date”), upon and subject to the terms and conditions of this Agreement. 
 NOW, THEREFORE, in consideration of the
foregoing Recitals and the mutual covenants contained herein, Landlord and Tenant hereby agree as follows: 
 1. TERMINATION OF
LEASE. The Lease shall terminate on the Early Termination Date. Upon any such termination of the Lease Tenant shall vacate and surrender the Premises no later than the Early Termination Date. Notwithstanding any termination of the Lease in
accordance with this Agreement, Tenant shall remain liable for all obligations of Tenant accruing under the Lease (i) through the later of (x) the Early Termination Date, or (y) the date Tenant actually vacates the Premises, and
(ii) which would survive the expiration or termination of the Lease. 
 2. REMOVAL OF PROPERTY. Upon the termination of the
Lease under this Agreement Tenant shall remove from the Premises all personal property, telephone cabling and data and computer cabling. Tenant shall leave the Premises in a “broom clean” condition. 

3. REMEDIES. If Tenant fails to vacate and surrender the Premises on the Early Termination Date, then Landlord shall have all of the
rights and remedies provided in Section 19.1 of the Lease for failure to vacate and surrender the Premises 

  
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upon expiration or termination of the Lease, except to the extent Section 19.1 is amended below in this Paragraph 3. Notwithstanding the provisions of Section 19.1 of the Lease, if
Tenant (directly or through any Transferee or other successor-in-interest of Tenant) remains in possession of the Premises after the Early Termination Date, then Tenant’s continued possession of the Premises shall be on the basis of a tenancy
at the sufferance of Landlord. No act or omission by Landlord, other than its specific written consent, shall constitute permission for Tenant to continue in possession of the Premises beyond the Early Termination Date, and if such consent is given
or declared to have been given by a court judgment, Landlord may terminate Tenant’s holdover tenancy at any time upon seven (7) days written notice. In such event, Tenant shall continue to comply with or perform all the terms and
obligations of Tenant under the Lease, except that the monthly Base Rent during Tenant’s holding over shall be twice the Base Rent payable in the last full month prior to the termination of the Lease. Acceptance by Landlord of rent after such
termination shall not constitute a renewal or extension of the Lease; and nothing contained in this provision shall be deemed to waive Landlord’s right of re-entry or any other right hereunder or at law. Tenant shall indemnify, defend and hold
Landlord harmless from and against all claims arising or resulting directly or indirectly from Tenant’s failure to timely surrender the Premises, including (i) any rent payable by or any loss, cost, or damages claimed by any prospective
tenant, and (ii) Landlord’s damages as a result of such prospective tenant rescinding or refusing to enter into an agreement to lease the Premises by reason of such failure to timely surrender the Premises. 

4. SUBLEASE/ASSIGNMENT. Tenant represents to Landlord that it has not made any assignment, sublease, transfer, conveyance, or other
disposition of the Lease or any interest in the Lease or the Premises. 
 5. GENERAL PROVISIONS. This Agreement shall be
governed by the laws of the State of California, without regard to conflict of laws principles. In the event a dispute arises concerning the enforcement or interpretation of this Agreement, the prevailing party in such dispute will be entitled to
recover from the opposing party all costs and expenses incurred by the prevailing party, including court or arbitration costs and reasonable attorney’s fees. The “prevailing party” will be the party that the court or arbitrator
hearing the dispute determines to have prevailed, based upon assessing which party’s major arguments could fairly be said to have prevailed over the other party’s major arguments on major disputed issues. This Agreement will be binding
upon and inure to the benefit of the heirs, representatives, successors in interest and assigns of the respective parties to this Agreement. Each party agrees to cooperate with each other and to execute and deliver all such further written
instruments and documents and do all such further acts and things that such party may be reasonably requested to do from time to time by the other party in order to carry out the provisions and objectives of this Agreement. 

  
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 6. ENTIRE AGREEMENT. This Agreement contains the entire agreement between Landlord and
Tenant relating to the termination of the Lease and may be modified only by a writing signed by Landlord and Tenant. 
 IN
WITNESS WHEREOF, Landlord and Tenant have entered in this Agreement as of the date first above written. 
  

					
	 TENANT:

 
 DURECT CORPORATION
 a California corporation
	  	 LANDLORD:
  

ECI TWO RESULTS LLC,
 a California limited
liability company

  

													
		 		 		  		 	by:	  	Embarcadero Capital Investors Two, LP,
	By:	 	/s/ James E. Brown	  		 		  	its sole member
		 	Name:	 	James E. Brown	  		 		  	
		 	Title:	 	CEO	  		 	by	  	 Embarcadero Capital Partners LLC,
 a Delaware limited liability company,
 its sole general partner

						
	By:	 	/s/ Matthew J. Hogan	  		 		  	by:	  	Hamilton Partners, LP
		 	Name:	 	Matthew J. Hogan	  		 		  		  	Manager
		 	Title:	 	Chief Financial Officer	  		 		  		  	
		 		 		  		 		  	by:	  	 Hamilton Ventures, Inc.,

general partner

		 		 		  		 		  		  	
		 		 		  		 		  	by:	  	/s/ John Hamilton
		 		 		  		 		  		  	John Hamilton, President

 (For corporate entities, signature by TWO corporate officers is required: one by (x) the chairman of the board, the
president, or any vice president; and the other by (y) the secretary, any assistant secretary, the chief financial officer, or any assistant treasurer.) 

  
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