Document:

EX-10.9

Exhibit 10.9

United Community Financial Corp.

AMENDED AND RESTATED

2007 LONG-TERM INCENTIVE PLAN

10.9-A

 

 

United Community Financial Corp.

AMENDED AND RESTATED

2007 LONG-TERM INCENTIVE PLAN

INDEX

	 	 	 
	SECTION	 	DESCRIPTION
	 
	1
	 	Purpose of the Plan
	 
	2
	 	Definitions
	 
	3
	 	Types of Awards Covered
	 
	4
	 	Administration
	 
	5
	 	Eligibility
	 
	6
	 	Shares of Stock Subject to the Plan
	 
	7
	 	Stock Options
	 
	8
	 	Stock Appreciation Rights
	 
	9
	 	Restricted Stock
	 
	10
	 	Performance Awards
	 
	11
	 	Other Stock-Based Incentive Awards
	 
	12
	 	Rights in the Event of Resignation, Removal or Termination
	 
	13
	 	Rights in Event of Death, Disability or Retirement
	 
	14
	 	Award Agreements
	 
	15
	 	Tax Withholding
	 
	16
	 	Change of Control
	 
	17
	 	Dilution or Other Adjustment
	 
	18
	 	Transferability
	 
	19
	 	Amendment, Termination or Modification
	 
	20
	 	General Provisions
	 
	21
	 	Plan Effective Date
	 
	22
	 	Plan Termination
	 
	23
	 	Governing Law
	 

10.9-B

 

 

United Community Financial Corp.

AMENDED AND RESTATED

2007 LONG-TERM INCENTIVE PLAN

SECTION 1

Purpose of the Plan

	1.1	 	The purpose of the United Community Financial Corp. Amended and Restated 2007 Long-Term
Incentive Plan is to attract and retain qualified directors, directors emeritus and employees
and to strengthen the mutuality of interests between such directors, directors emeritus and
employees and the Corporation’s shareholders by providing directors, directors emeritus and
employees with a proprietary interest in pursuing the long-term growth, profitability and
financial success of the Corporation.
	 
	1.2	 	The Plan was adopted by the Board on February 21, 2007 and was approved by the shareholders
of the Corporation on April 26, 2007. The Plan is hereby amended and restated effective as of
October 20, 2008 for compliance with Section 409A of the Code and to make other administrative
clarifications.

SECTION 2

Definitions

	2.1	 	Unless the context indicates otherwise, the following terms, when used in this Plan, shall
have the meanings set forth in this Section:

	 	a)	 	“Award” means a grant or award under this Plan in the form of an
Option, an SAR, Restricted Shares, a Performance Award or any other stock-based
incentive award.
	 
	 	b)	 	“Board” means the Board of Directors of the Corporation.
	 
	 	c)	 	“Change of Control” means an event defined in Section 16 of this Plan.
	 
	 	d)	 	“Code” means the Internal Revenue Code of 1986, as amended, and related
Treasury Regulations.
	 
	 	e)	 	“Committee” means any Committee comprised of three or more Outside
Directors designated by the Board to administer the Plan in accordance with Section
4 of this Plan.
	 
	 	f)	 	“Common Shares” means the common shares, without par value, of the
Corporation.
	 
	 	g)	 	“Corporation” means United Community Financial Corp.

10.9-1

1

 

	 	h)	 	“Deferred Shares” means an award made pursuant to Section 11 of this
Plan of the right to receive Common Shares in lieu of cash thereof at the end of a
specified time period.
	 
	 	i)	 	“Director” means any member of the Board of Directors of the
Corporation or the Board of Directors of a Subsidiary.
	 
	 	j)	 	“Director Emeritus” means any director emeritus of the Corporation or a
Subsidiary.
	 
	 	k)	 	“Disability” means (i) with respect to any Award that is subject to
Section 409A of the Code, the Grantee is (1) unable to engage in any substantial
gainful activity 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, (2) 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 covering employees of the Grantee’s employer, or (3)
determined to be totally disabled by the Social Security Administration or the
Railroad Retirement Board; and (ii) with respect to any other Awards, permanent and
total disability within the meaning of Section 22(e)(3) of the Code.
	 
	 	l)	 	“Effective Date” means the date defined in Section 21.1 of this Plan.
	 
	 	m)	 	“Employee” means any full-time employee of the Corporation or any of
its Subsidiaries (including Directors or Directors Emeritus who are employed on a
full-time basis by the Corporation or any of its Subsidiaries).
	 
	 	n)	 	“Exchange Act” means the Securities Exchange Act of 1934, as amended.
	 
	 	o)	 	“Fair Market Value” of a Common Share on a given date shall be based
upon the last sales price or, if unavailable, the average of the closing bid and
asked prices of a Common Share on such date (or, if there was no trading or
quotation in the Common Shares on such date, on the next preceding date on which
there was trading or quotation) if the Common Shares are listed on a national
securities exchange or quoted on an interdealer quotation system. If the Common
Shares are not listed on a national securities exchange or quoted on an interdealer
quotation system, the Fair Market Value of a Common Share shall be determined: (i)
with respect to an ISO, within the meaning of Section 422 of the Code; (ii) with
respect to any Award that is subject to Section 409A of the Code or any NQSO or
SAR, by the reasonable application of a reasonable valuation method within the
meaning of Treasury Regulation §1.409A-1(b)(5)(iv)(B); and (iii) with respect to
any other Award, by the Committee in good faith based upon the best available facts
and circumstances at the time.
	 
	 	p)	 	“Grantee” means a person granted an Award under this Plan.

10.9-2

2

 

	 	q)	 	“Immediate Family” means, with respect to a given Grantee, that
Grantee’s parents, spouse, brothers, sisters, children or grandchildren (including
adopted children or grandchildren).
	 
	 	r)	 	“ISO” means an Award that is intended to qualify as an incentive stock
option under Section 422 of the Code, as now or hereafter constituted.
	 
	 	s)	 	“Non-Employee Director” means a Director or Director Emeritus of the
Corporation or a Subsidiary who is not an Employee.
	 
	 	t)	 	“NQSO” means an Award that is not intended to qualify as an incentive
stock option under Section 422 of the Code, as now or hereafter constituted.
	 
	 	u)	 	“Options” refers collectively to NQSOs and ISOs issued under this Plan.
	 
	 	v)	 	“OTS” means the Office of Thrift Supervision, Department of the
Treasury.
	 
	 	w)	 	“Outside Director” means a non-employee Director or Director Emeritus
within the meaning of Rule 16b-3(b)(3) under the Exchange Act, or any successor
thereto, who is also an “outside director” within the meaning of Section 162(m) of
the Code and the regulations thereunder.
	 
	 	x)	 	“Performance Award” means an Award under the Plan, payable in cash,
Common Shares, other securities or other awards which confers on the holder thereof
the right to receive payments upon the achievement of certain performance goals
during the performance periods established by the Committee.
	 
	 	y)	 	“Permitted Transferee” means any individual or entity as defined in
Section 18.2 of this Plan.
	 
	 	z)	 	“Plan” means this Amended and Restated 2007 Long-Term Incentive Plan as
set forth herein and as amended from time to time.
	 
	 	aa)	 	“Restricted Shares” means an Award of Common Shares subject to
restrictions on transfer and/or any other restrictions on incidents of ownership as
the Committee may determine.
	 
	 	bb)	 	“Retirement” means the retirement of a Grantee between ages 60 and 64
with 15 or more years of service to the Corporation or a Subsidiary, or the
retirement of a Grantee at or after age 65, or as such meaning may be modified by
the Committee or Board in the future.
	 
	 	cc)	 	“Rules” means Rule 16(b)(3) and any successor provisions promulgated by
the Securities and Exchange Commission under Section 16 of the Exchange Act.
	 
	 	dd)	 	“SAR” means an Award constituting the right to receive, upon surrender
of the right, but without payment, an amount payable in stock or cash, as
determined by the Committee.

10.9-3

3

 

	 	ee)	 	“Subsidiary or Subsidiaries” means (i) with respect to an ISO, a
“subsidiary corporation” as defined in Section 424(f) of the Code or a “parent
corporation” as defined in Section 424(e) of the Code; (ii) with respect to a NQSO,
SAR or any Award that is subject to Section 409A of the Code, any persons with whom
the Corporation would be considered a single employer under Sections 414(b) and (c)
of the Code; and (iii) with respect to any other Award, any entity or entities in
which the Corporation owns a majority of the voting power.
	 
	 	ff)	 	“Ten Percent Shareholder” means any Employee who, at the time an ISO is
granted, owns, directly or indirectly, within the meaning of Section 424(d) of the
Code, more than 10% of the combined voting power of all classes of stock of the
Corporation or any Subsidiary.
	 
	 	gg)	 	“Terminated for Cause” means any removal of a Director or discharge of
an Employee for personal dishonesty, incompetence, willful misconduct, breach of
fiduciary duty involving personal profit, intentional failure to perform stated
duties, willful violation of a material provision of any law, rule or regulation
(other than traffic violations or similar offenses) or a material violation of a
final cease-and-desist order or for any other action of a Director or Employee
which results in a substantial financial loss to the Corporation or a Subsidiary.

SECTION 3

Types of Awards Covered

	3.1	 	Awards granted under this Plan may be:

	 	a)	 	Options which may be designated as:

	 	(i)	 	NQSOs; or
	 
	 	(ii)	 	ISOs;

	 	b)	 	SARs;
	 
	 	c)	 	Restricted Shares;
	 
	 	d)	 	Performance Awards; or
	 
	 	e)	 	other forms of stock-based incentive awards.

SECTION 4

Administration

	4.1	 	This Plan shall be administered by the Committee. The members of the Committee shall be
appointed from time to time by the Board. Members of the Committee shall

10.9-4

4

 

	 	 	serve at the pleasure of the Board, and the Board may from time to time remove members
from, or add members to, the Committee. Subject to the provisions of this Plan and
applicable law, the Committee shall have full discretion and the exclusive power to:

	 	a)	 	select the Employees, Directors and Directors Emeritus who will
participate in the Plan and to make Awards to such Employees and Directors;
	 
	 	b)	 	determine the times at which Awards shall be granted and any terms and
conditions with respect to Awards as shall not be inconsistent with the provisions
of this Plan; and
	 
	 	c)	 	resolve all questions relating to the administration of this Plan and
applicable law.

	4.2	 	The interpretation of, and application by, the Committee of any provision of this Plan shall
be final and conclusive. The Committee, in its sole discretion, may establish rules and
guidelines relating to this Plan as it may deem appropriate.
	 
	4.3	 	A majority of the members of the Committee shall constitute a quorum for the transaction of
business. An action in writing by all members of the Committee then serving shall be fully
effective as if the action had been taken by unanimous vote at a meeting duly called and held.
	 
	4.4	 	The Committee may employ such legal counsel, consultants, and agents as it may deem desirable
for the administration of this Plan and may rely upon any opinion received from any retained
counsel or consultant and any computation received from any retained consultant or agent. The
Committee shall keep minutes of its actions under this Plan.

SECTION 5

Eligibility

	5.1	 	The individuals who shall be eligible to participate in this Plan shall be Directors,
Directors Emeritus, officers, management, and such other key Employees of the Corporation and
the Subsidiaries as the Committee may from time to time determine.

SECTION 6

Shares of Stock Subject to the Plan

	6.1	 	Awards may be granted with respect to the Common Shares.
	 
	6.2	 	Shares delivered upon exercise of an Award, at the election of the Board, may be Common
Shares that are authorized but previously unissued, or Common Shares reacquired by the
Corporation, or both.

10.9-5

5

 

	6.3	 	The maximum number of Common Shares that may be issued pursuant to Awards granted under this
Plan, subject to adjustment as provided in Section 17 of this Plan, shall be 2,000,000 Common
Shares, all of which may be granted as ISOs. For the purpose of computing the total number of
Common Shares available for Awards under this Plan, there shall be counted against the
foregoing limitation the number of Common Shares subject to issuance upon exercise of Awards
as of the dates on which such Awards are granted. If any Awards are forfeited, terminated or
exchanged for other Awards, or expire unexercised, the Common Shares which were subject to
such Awards shall again be available for Awards under this Plan to the extent of such
forfeiture, termination or expiration; provided, however, that forfeited shares or other
securities shall not be available for further Awards if the Grantee has realized any benefits
of ownership from such shares.
	 
	6.4	 	Notwithstanding any other provision of this Plan to the contrary, subject to adjustment as
provided in Section 17 of this Plan, the maximum number of Common Shares that may be issued to
any individual during the term of this Plan pursuant to Options granted under this Plan shall
be 25% of the number of Common Shares that may be issued pursuant to this Plan, all of which
may be granted as ISOs.

SECTION 7

Stock Options

	7.1	 	The Committee may grant Options, as follows, which shall be evidenced by a stock option
agreement and may be designated as NQSOs or ISOs:

	 	a)	 	NQSOs

	 	(i)	 	A NQSO is a right to purchase a specified number of Common
Shares during a period determined by the Committee, not to exceed ten years,
at a price determined by the Committee that is not less than the Fair Market
Value of the Common Shares on the date the Option is granted.
	 
	 	(ii)	 	The exercise price of the NQSO may be paid in cash. At the
discretion of the Committee, the exercise price may also be paid by the tender
of Common Shares to the Corporation or through a combination of Common Shares
and cash or through such other means as the Committee determines are
consistent with the purpose of this Plan and applicable law. No fractional
Common Shares will be issued or accepted by the Corporation.

	 	b)	 	ISOs

	 	(i)	 	No ISO may be granted under this Plan to a Non-Employee
Director.
	 
	 	(ii)	 	To the extent the aggregate Fair Market Value (determined at
the time of the grant of the Award) of the number of Common Shares with
respect to which

10.9-6

6

 

	 	 	 	ISOs are exercisable under all plans of the Corporation or a Subsidiary for the
first time by a Grantee during any calendar year exceeds $100,000, or such
other limit as may be required by the Code, such ISOs shall be treated as NQSOs
to the extent of such excess.

	 	(iii)	 	No ISO may be exercisable more than:

	 	A)	 	ten years after the date the ISO is granted in the
case of a Grantee who is not a Ten Percent Shareholder on the date the ISO
is granted; and
	 
	 	B)	 	five years after the date the ISO is granted in the
case of a Grantee who is a Ten Percent Shareholder on the date the ISO is
granted.

	 	(iv)	 	The exercise price of any ISO shall be determined by the
Committee and shall not be less than:

	 	A)	 	the Fair Market Value of the Common Shares subject to
the ISO on the date of grant in the case of a Grantee who is not a Ten
Percent Shareholder on the date the ISO is granted; and
	 
	 	B)	 	110 percent of the Fair Market Value of the Common
Shares subject to the ISO on the date of grant in the case of a Grantee
who is a Ten Percent Shareholder on the date the ISO is granted.

	 	(v)	 	The Committee may provide that the exercise price under an ISO
may be paid by one or more of the methods available for paying the exercise
price of an NQSO under Section 7.1(a)(ii) of this Plan.

SECTION 8

Stock Appreciation Rights

	8.1	 	The amount payable with respect to each SAR shall be equal in value to the excess, if any,
of the Fair Market Value of a Common Share on the exercise date over the exercise price of
the SAR. The exercise price of the SAR shall be determined by the Committee and shall not be
less than the Fair Market Value of a Common Share on the date the SAR is granted. SARs may
be granted in tandem with an Option in which event the Grantee has the right to elect to
exercise either the SAR or the Option. Upon the election to exercise one of these Awards,
the other Award is subsequently terminated. Notwithstanding anything in the Plan to the
contrary, a tandem SAR may not be exercised with respect to an ISO if the Fair Market Value
of the ISO is less than the exercise price of the ISO.
	 
	8.2	 	In the case of an SAR granted in tandem with an ISO to an Employee who is a Ten Percent
Shareholder on the date of such grant, the amount payable with respect to each SAR shall be
equal in value to the excess, if any, of the Fair Market Value of a Common Share on the
exercise date over the exercise price of the SAR, which exercise

10.9-7

7

 

	 	 	price shall not be less than 110 percent of the Fair Market Value of a Common Share on
the date the SAR is granted.

	8.3	 	The exercise price and exercise period of an SAR shall be established by the Committee at
the time the SAR is granted.

SECTION 9

Restricted Stock

	9.1	 	Restricted Shares are Common Shares that are issued to a Grantee at a price determined by
the Committee, which price may be zero, and are subject to restrictions on transfer and/or
such other restrictions on incidents of ownership as the Committee may determine.
	 
	9.2	 	The Committee shall specify in the restricted share award agreement the terms upon which
Restricted Shares shall vest.
	 
	9.3	 	The Committee may, in its discretion, provide for accelerated vesting of Restricted Shares
upon the achievement of specified performance goals to be determined by the Committee.
	 
	9.4	 	A Grantee may make an election under Section 83(b) of the Code.

SECTION 10

Performance Awards

	10.1	 	A Performance Award granted under this Plan:

	 	a)	 	may be denominated or payable in cash, Common Shares, Restricted
Shares, other securities or other Awards; and
	 
	 	b)	 	shall confer on the holder thereof the right to receive payments, in
whole or in part, upon the achievement of such performance goals during such
performance periods as the Committee or a majority of the Outside Directors,
excluding Directors Emeritus, shall establish.

	10.2	 	Subject to the terms of this Plan and any applicable Award agreement, the performance goals
to be achieved during any performance period, the length of any performance period, the
amount of any Performance Award granted and the amount of any payment or transfer to be made
pursuant to any Performance Award shall be determined by the Committee.

10.9-8

8

 

SECTION 11

Other Stock-Based Incentive Awards

	11.1	 	The Committee may from time to time grant Awards under this Plan that provide a Grantee the
right to purchase Common Shares or units that are valued by reference to the Fair Market
Value of the Common Shares (including, but not limited to, phantom securities or dividend
equivalents) or to receive Deferred Shares. Such Awards shall be in a form determined by the
Committee (and may include terms contingent upon a Change of Control); provided that such
Awards shall not be inconsistent with the terms and purposes of this Plan.

SECTION 12

Rights in the Event of Resignation, Removal or Termination

	12.1	 	The Committee may provide for the exercise of Options or SARs in installments and upon such
terms, conditions and restrictions as it may determine subject to applicable law and the
other requirements of this Plan.
	 
	12.2	 	Except in the event of the death, Disability or Retirement of a Grantee, upon the
resignation or removal from the board of directors of any Grantee who is a Non-Employee
Director or upon the termination of employment of a Grantee who is not a Non-Employee
Director (unless Terminated for Cause), any Option or SAR which has not yet become
exercisable or any other Award which has not yet vested shall thereupon terminate and be of
no further force or effect, and, unless the Committee shall specifically state otherwise at
the time an Option or SAR is granted, any Option or SAR which has become exercisable shall
terminate if it is not exercised before the earlier to occur of the date of its expiration or
three months after such resignation, removal or termination of employment or directorship.
	 
	12.3	 	Unless the Committee shall specifically state otherwise at the time an Award is granted, in
the event the employment or the directorship of a Grantee is Terminated for Cause, any Option
or SAR that has not been exercised and any other Award that has not vested shall thereupon
terminate and be of no further force or effect.
	 
	12.4	 	An Option or SAR granted hereunder shall be exercisable, in whole or in part, only by
written notice delivered in person or by mail to the Secretary of the Corporation at its
principal office, specifying the portion of the Option or SAR being exercised and accompanied
by payment of the exercise price and otherwise in accordance with the Award agreement
pursuant to which the Option or SAR was granted.
	 
	12.5	 	Regardless of any other provision of the Plan or any Award agreement:

	 	a)	 	Subject to Section 12.5(b), if a Grantee becomes entitled to the
payment, exercise or settlement of any Award that is subject to Section 409A of
the Code, upon the Grantee’s termination, the payment, exercise or settlement of
such Award will

10.9-9

9

 

	 	 	 	not be made or permitted before the Grantee incurs a “separation from service” as
defined in Treasury Regulation §1.409A-1(h) from the Corporation and all
Subsidiaries (a “Separation from Service”).

	 	b)	 	If a Grantee is a specified employee within the meaning of Treasury
Regulation §1.409A-1(i) and as determined under the Corporation’s policy for
determining specified employees and becomes entitled to the payment, exercise or
settlement of any Award that is subject to Section 409A of the Code upon the
Grantee’s Separation from Service (as defined above), such payment, exercise or
settlement of such an Award shall not be made until the first day of the seventh
month following the Grantee’s Separation from Service or, if earlier, the
Grantee’s death.

SECTION 13

Rights in Event of Death, Disability or Retirement

	13.1	 	If a Grantee dies, becomes subject to a Disability or enters Retirement prior to termination
of his or her right to exercise an Option or SAR in accordance with the provisions of his or
her Award agreement without having totally exercised the Option or SAR, the Option or SAR
will become exercisable in full on the date of the Grantee’s death, Disability or Retirement,
(i) in the event of the Grantee’s death, by the Grantee’s estate or by the person who
acquired the right to exercise the Option or SAR by bequest or inheritance, (ii) in the event
of the Grantee’s Disability, by the Grantee or his or her personal representative or (iii) in
the event of a Grantee’s Retirement, by the Grantee.
	 
	13.2	 	In the event of the Grantee’s death, Disability or Retirement, the Option or SAR shall not
be exercisable after the date of its expiration or more than twelve months from the date of
the Grantee’s death, Disability or Retirement, whichever first occurs.
	 
	13.3	 	If a Grantee dies, becomes subject to a Disability or enters Retirement prior to the vesting
of any other Award, all Awards that have not expired and which are then held by any Grantee
(or the person or persons to whom any deceased Grantee’s rights have been transferred) shall
become fully and immediately vested and exercisable. Notwithstanding the foregoing, any
Awards that are subject to Section 409A of the Code and become vested due to Retirement
pursuant to this Section 13.3 shall not be paid, exercised or settled before the Grantee
incurs a Separation from Service (as defined in Section 12.5(a)).
	 
	13.4	 	The date of Disability of a Grantee shall be determined (a) with respect to Awards subject
to Section 409A of the Code, in accordance with the requirements of Section 409A of the Code
and (b) with respect to all other Awards, by the Committee.

10.9-10

10

 

SECTION 14

Award Agreements

	14.1	 	Each Award granted under this Plan shall be evidenced by an award agreement, as the
Committee may deem appropriate, between the Grantee to whom the Award is granted and the
Corporation, setting forth the number of Common Shares, SARs, or units subject to the Award
and such other terms and conditions applicable to the Award not inconsistent with this Plan.
	 
	14.2	 	The award agreement for an Option shall also be referred to as a stock option award
agreement.

SECTION 15

Tax Withholding

	15.1	 	The Committee may establish such rules and procedures as it considers desirable in order to
satisfy any obligation of the Corporation to withhold federal income taxes or other taxes
with respect to any Award made under this Plan. Such rules and procedures may provide:

	 	a)	 	in the case of Awards paid in Common Shares, the Corporation may
withhold Common Shares otherwise issuable upon exercise or settlement of such
Award in order to satisfy withholding obligations, unless otherwise instructed by
the Grantee or unless the Committee determines otherwise at the time of Grant; and
	 
	 	b)	 	in the case of an Award paid in cash, that the withholding obligation
shall be satisfied by withholding the applicable amount at the time payable and
paying the net amount in cash to the Grantee; provided that the requirements of
the Rules, to the extent applicable, must be satisfied with regard to any
withholding pursuant to clause (a).

SECTION 16

Change of Control

	16.1	 	For the purpose of this Plan, a “Change of Control” of the Corporation means:

	 	(i)	 	a change of control of the Corporation within the meaning of the Home
Owners’ Loan Act of 1933, as amended, and the Rules and Regulations promulgated by
the OTS, as in effect on the Effective Date (provided, that in applying the
definition of change of control as set forth under the rules and regulations of
the OTS, the Board shall substitute its judgment for that of the OTS);
	 
	 	(ii)	 	the time at which any “person” (as the term is used in Sections 13(d)
and 14(d) of the Exchange Act) is or becomes the “beneficial owner” (as defined in

10.9-11

11

 

	 	 	 	Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the
Corporation representing 20% or more of the Corporation’s outstanding securities
ordinarily having the right to vote at the election of directors;

	 	(iii)	 	the time at which individuals who constitute the Board on the date
hereof (the “Incumbent Board”) cease for any reason to constitute at least a
majority thereof, provided that any person becoming a director subsequent to the
date hereof whose election was approved by a vote of at least 75% of the directors
comprising the Incumbent Board, or whose nomination for election by the
Corporation’s shareholders was approved by the same Nominating Committee serving
under an Incumbent Board shall be, for purposes of this clause (iii), considered as
though he were a member of the Incumbent Board;
	 
	 	(iv)	 	the consummation of a plan of reorganization, merger, consolidation,
sale of all or substantially all the assets of the Corporation or similar
transaction in which the Corporation is not the resulting entity;
	 
	 	(v)	 	the approval by shareholders of a proxy statement proposal submitted by
someone other than management of the Corporation seeking shareholder approval of a
plan of reorganization, merger or consolidation of the Corporation or similar
transaction with one or more corporations as a result of which the outstanding
            shares of the class of securities then subject to the plan or transaction are
exchanged for or converted into cash or property or securities not issued by the
Corporation; or
	 
	 	(vi)	 	a completed tender offer for 20% or more of the voting securities of the
Corporation by anyone other than the Corporation.

	16.2	 	In the event of a Change of Control affecting the Corporation, then, notwithstanding any
provision of this Plan or of any provisions of any Award agreements entered into between the
Corporation and any Grantee to the contrary, all Awards that have not expired and which are
then held by any Grantee (or the person or persons to whom any deceased Grantee’s rights have
been transferred) shall, as of such Change of Control, become fully and immediately vested
and exercisable and may be exercised for the remaining term of such Awards; provided,
however, that in the event that any exercise or receipt of an Award in connection with a
Change of Control alone, or in the aggregate with other payments to a Grantee, would result
in the imposition of a penalty tax pursuant to Section 280G of the Code, such exercise or
receipt would remain subject to any vesting schedule set forth in the Award agreement.
Notwithstanding the foregoing, any Awards that are subject to Section 409A of the Code and
become vested pursuant to this Section 16.2 shall not be paid or settled unless the Change of
Control constitutes a “change in control event” for purposes of Section 409A of the Code and
Treasury Regulation §1.409A-3(i)(5).

SECTION 17

10.9-12

12

 

Dilution or Other Adjustment

	17.1	 	If the Corporation is a party to any merger or consolidation, or undergoes any merger,
consolidation, separation, reorganization, liquidation or the like, the Committee shall have
the power to make arrangements, which shall be binding upon the holders of unexpired Awards,
for the substitution of new Awards for, or the assumption by another corporation of, any
unexpired Awards then outstanding hereunder; provided that such substitution or assumption
complies with Section 409A of the Code, to the extent applicable.
	 
	17.2	 	In the event of any change in capitalization affecting the Common Shares, such as a stock
split, stock dividend, recapitalization, merger, consolidation, spin-off, split-up,
combination or exchange of shares or other form of reorganization, or any other change
affecting the Common Shares, including a distribution (other than normal cash dividends) of
Corporation assets to shareholders, the Committee shall conclusively determine the
appropriate adjustment in the terms of outstanding Awards, including the option prices of
outstanding Options, and the number and kind of shares or other securities as to which
outstanding Awards shall be exercisable, and the aggregate number of shares or other
securities with respect to which Awards may be granted. Notwithstanding the foregoing, an
adjustment pursuant to this Section 17.2 shall be made only to the extent such adjustment
complies with Section 409A of the Code, to the extent applicable.
	 
	17.3	 	The existence of this Plan and the Awards granted hereunder shall not affect or restrict in
any way the right or power of the Board or the shareholders of the Corporation to make or
authorize the following: any adjustment, recapitalization, reorganization or other change in
the Corporation’s capital structure or its business; any merger, acquisition or consolidation
of the Corporation; any issuance of bonds, debentures, preferred or prior preference stocks
ahead of or affecting the Corporation’s capital stock or the rights thereof; the dissolution
or liquidation of the Corporation or any sale or transfer of all or any part of its assets or
business; or any other corporate act or proceeding, including any merger or acquisition which
would result in the exchange of cash, stock of another company or options to purchase the
stock of another company for any Award outstanding at the time of such corporate transaction
or which would involve the termination of all Awards outstanding at the time of such
corporate transaction.

SECTION 18

Transferability

	18.1	 	Except as set forth in Section 18.2 of this Plan, no Award shall be sold, pledged, assigned,
transferred, or encumbered by a Grantee other than by will or by the laws of descent and
distribution.
	 
	18.2	 	Only an NQSO may be pledged, assigned, or transferred by a Grantee to another individual
provided that the NQSO is pledged, assigned, or transferred without

10.9-13

13

 

	 	 	consideration by a Grantee, subject to such rules as the Committee may adopt, to (i) a
member of the Grantee’s Immediate Family, (ii) a trust solely for the benefit of the
Grantee and his or her Immediate Family or (iii) a partnership or limited liability
company whose only partners or members are the Grantee and his or her Immediate Family
(hereinafter referred to as the Permitted Transferee); provided that the Committee is
notified in advance in writing of the terms and conditions of any proposed pledge,
assignment or transfer and the Committee determines that such pledge, assignment or
transfer complies with the requirements of this Plan and the applicable Award agreement.
	 
	18.3	 	Any pledge, assignment or transfer of an Award that does not comply with the provisions of
this Plan and the applicable Award agreement shall be void and unenforceable against the
Corporation.
	 
	18.4	 	All terms and conditions of a pledged, assigned or transferred Award shall apply to the
beneficiary, executor, administrator, and Permitted Transferee, whether one or more, of the
Grantee (including the beneficiary, executor and administrator of a permitted transferee),
including the right to amend the applicable Award agreement; provided that the
Permitted Transferee shall not pledge, assign or transfer an Award other than by will or by
the laws of descent and distribution.

SECTION 19

Amendment, Termination or Modification

	19.1	 	Without further approval of the shareholders of the Corporation, the Board may at any time
terminate this Plan, or may amend it from time to time in such respects as the Board may deem
advisable, except that the Board may not, without approval of the shareholders, make any
amendment which would (i) increase the aggregate number of Common Shares that may be issued
under this Plan, except for adjustments pursuant to Section 17 of this Plan, (ii) materially
modify the requirements as to eligibility for participation in this Plan, or (iii) materially
increase the benefits accruing under this Plan. The above notwithstanding, the Board may
amend this Plan to take into account changes in applicable securities, federal income tax and
other applicable laws.
	 
	19.2	 	The Board may authorize the Committee to direct the execution of an instrument providing for
the modification of any outstanding Award which the Board believes to be in the best
interests of the Corporation; provided, however, that no such modification, extension or
renewal shall confer on the holder of such Award any right or benefit which could not be
conferred on him by the grant of a new Award at such time and shall not materially decrease
the holder’s benefits under the Award without the consent of the holder of the Award, except
as otherwise permitted under this Plan. Notwithstanding the foregoing, any modification,
extension or renewal under this Section 19.2 shall comply with the requirements of Section
409A of the Code, to the extent applicable.

10.9-14

14

 

SECTION 20

General Provisions

	20.1	 	No Awards may be exercised by a Grantee if such exercise, and the receipt of cash or stock
thereunder, would be, in the opinion of counsel selected by the Corporation, contrary to law
or the regulations of any duly constituted authority having jurisdiction over this Plan.
	 
	20.2	 	(a) With respect to ISOs, a bona fide leave of absence shall be treated in accordance with
Treasury Regulation §1.421-1(h)(2).

(b) With respect to any Award that is subject to Section 409A of the Code, a bona fide
leave of absence shall be treated in accordance with Treasury Regulation §1.409A-1(h)(l).

(c) With respect to any other Award, a bona fide leave of absence approved by a duly
constituted officer of the Corporation shall not be considered interruption or
termination of service of any Grantee for any purposes of this Plan or Awards granted
thereunder.

No Awards may be granted to an Employee while he or she is on a bona fide leave of
absence.

	20.3	 	Nothing contained in this Plan or in an Award agreement granted thereunder shall confer upon
any Grantee any right to (i) continue in the employ of the Corporation or any of its
Subsidiaries or continue serving on the Board or the Board of Directors of a Subsidiary, or
(ii) interfere in any way with the right of the Corporation or any of its Subsidiaries to
terminate the Grantee’s employment or service on the Board at any time.
	 
	20.4	 	Any Award agreement may provide that shares issued upon exercise of any Awards may be
subject to such restrictions, including, without limitation, restrictions as to
transferability and restrictions constituting substantial risks of forfeiture as the
Committee may determine at the time such Award is granted.
	 
	20.5	 	It is intended that the Awards granted under the Plan comply with, or be exempt from,
Section 409A of the Code and the Treasury Regulations promulgated thereunder (and any
subsequent notices or guidance issued by the Internal Revenue Service), and the Plan shall be
interpreted, administered and operated accordingly. Nothing herein shall be construed as an
entitlement to or guarantee of any particular tax treatment to a Grantee.

SECTION 21

Plan Effective Date

10.9-15

15

 

	21.1	 	This Plan became effective on April 26, 2007 upon its adoption by the shareholders of the
Corporation (the “Effective Date”).

SECTION 22

Plan Termination

	22.1	 	No Award may be granted under this Plan on or after the date which is ten years following
the Effective Date, but Awards previously granted may be exercised in accordance with their
terms; provided, however, that ISOs may not be granted after the date which is ten years
following the date this Plan was adopted by the Board.

SECTION 23

Governing Law

	23.1	 	This Plan and all actions taken hereunder shall be governed by and construed in accordance
with the laws of the State of Ohio, except to the extent federal law shall be deemed
applicable.

10.9-16

16EX-10.10

Exhibit 10.10

AMENDED AND RESTATED

CONFIDENTIAL SEPARATION AND GENERAL RELEASE AGREEMENT

     THIS AMENDED AND RESTATED CONFIDENTIAL SEPARATION AND GENERAL RELEASE AGREEMENT (“Agreement”)
is made and entered into as of this 27th day of January, 2009, by and between PATRICK A. KELLY, an
individual, whose address is 45 Timber Run Court, Canfield, Ohio 44406 (“Employee”) and THE HOME
SAVINGS AND LOAN COMPANY OF YOUNGSTOWN, OHIO, an Ohio chartered stock savings bank (the “Home
Savings”), whose principal place of business is located at 275 West Federal Street, Youngstown,
Ohio 44503.

     WHEREAS, United Community Financial Corp., an Ohio corporation and the sole shareholder of
Home Savings (“UCFC”, and together with Home Savings, the “Company”) employed Employee as the Chief
Financial Officer and Treasurer of Home Savings and UCFC;

     WHEREAS, the terms and conditions of the Employee’s employment with Home Savings are set forth
in that certain Employment Agreement, dated December 31, 2004, by and between Home Savings and
Employee, as extended by the Board of Directors of Home Savings (the “Employment Agreement”).

     WHEREAS, Employee separated from employment with the Company as of May 21, 2008 (the
“Separation Date”), and Employee subsequently resigned as a member of the Board of Directors of
Home Savings and Butler Wick Corp.

     WHEREAS, Employee is a “specified employee” for purposes of Section 409A of the Internal
Revenue Code of 1986, as amended (“Code”), and the Regulations promulgated thereunder.

     WHEREAS, except as otherwise provided herein, the Company and Employee wish to resolve all
matters that exist between them arising from Employee’s employment and termination thereof,
including those that have been or could have been asserted by either party against the other, and
define all rights and obligations of the parties relating to such separation.

     WHEREAS, this Agreement is subject to the determination of the Federal Deposit Insurance
Corporation (the “FDIC”) that the lump sum payment under this Agreement is permissible, pursuant to
12 CFR Section 359 et seq. (“Federal Regulator’s Consent”).

     WHEREAS, Employee and the Company previously agreed upon an amount constituting the Separation
Pay (as defined below), and the Company filed an application with the FDIC on November 13, 2008
(the “Application”), to pay such amount to Employee, but such amount was not approved by the FDIC.

     WHEREAS, the Company and Employee have agreed to the amount of the Separation Pay set forth
below, and in accordance with the instructions provided to the Company by the

10.10-1 

 

Execution Copy

FDIC, the Company has
agreed to amend the Application to seek the Federal Regulator’s Consent to pay Employee the
Separation Pay.

     NOW THEREFORE, in consideration of the mutual promises, covenants and representations set
forth herein, and for other good and valuable consideration, the receipt and sufficiency of which
hereby are acknowledged, the parties agree as follows:

1. Payment by the Company.

     (a) The Company agrees to pay Employee the lump sum payment of Three Hundred Sixty-Four
Thousand, Six Hundred Eighty-Four Dollars and 32/100 ($364,684.32) (the “Separation Pay”). The
Company acknowledges that Employee is a “specified employee” for purposes of Section 409A of the
Internal Revenue Code of 1986, as amended (“Code”). The Company acknowledges and agrees that the
foregoing lump sum Separation Pay includes (i) the separate payments (Separation Date through March
15, 2009) under the “Short-Term Deferral” exclusion under Code Section 409A, including Treasury
Regulation Section 1.409A-1(b)(4), and (ii) the separate payments (March 16, 2009 through May 20,
2010) under the “Two (2) Times – Two (2) Year” exclusion under Code Section 409A, including
Treasury Regulation Section 1.409A-1 and Section 1.409A-1(b)(9)(iii), and, consistent with the
foregoing, the Company hereby agrees not to report such amounts in Box 12 of Internal Revenue
Service Form W-2 using Code Z.

     (b) The Company agrees to provide Employee with the Separation Pay and the other benefits set
forth in Exhibit A, which Exhibit A is attached to this Agreement, incorporated herein and made a
part hereof, less all customary payroll deductions, in accordance with its ordinary payroll
procedures, as applicable, as soon as practicably possible after receipt of the Federal Regulator’s
Consent.

     (c) The Company shall promptly amend the Application to obtain the Federal Regulator’s
Consent, which consent the Company hereby represents and warrants is necessary to make the payment
to Employee under this Agreement or the Employment Agreement. The Company hereby agrees to keep
Employee and his legal counsel informed of the status of the filing, including any and all replies
and responses from and to the FDIC. Except as specifically set forth in this Agreement or Exhibit
A, no additional compensation, wages, pay or employment benefits of any type or nature will accrue
as a result of the Separation Pay described herein.

2. Status as Terminated Employee. Employee agrees that Employee’s employment with the
Company ended as of the close of business on the Separation Date.

3. Health Insurance; Employee’s Benefits. After the Separation Date, Employee shall have
the right to elect and pay for continued coverage for Employee and Employee’s dependents under the
plans listed on Exhibit A, until the earlier of December 31, 2010, or the date Employee is included
in another employer’s benefit plans as a full time employee. As of the date hereof, Employee
represents and warrants that Employee is included in another employer’s benefit plans as a full
time employee, and such coverage began as of January 1, 2009. Except as otherwise indicated in
this Agreement and Exhibit A, all of Employee’s other benefits of employment with

10.10-2 

 

Execution Copy

the Company,
including but not limited to any bonus, profit sharing, incentive or other compensation
enhancement, shall terminate as of the Separation Date.

4. This provision intentionally deleted.

5. Employee and Company Property. Employee agrees that prior to and upon the separation
from employment, Employee will only remove personal items from Employee’s office and Employee will
return to the Company all records, files, equipment (including but not limited to all computer
equipment, or electronic devices of any type or nature), office, loge, desk or file keys, credit
cards, computer programs or disks, or other Company property that are in Employee’s possession,
without further request from the Company. By signing this Agreement, Employee represents that
Employee has returned all property, electronic or otherwise, of the Company, including all
Confidential Information, in Employee’s possession and Employee agrees that Employee will not copy
any property of the Company, including Confidential Information, directly or indirectly, in any
fashion (e.g. by computer copy, CD, disk, cassette or any other electronic method), except that
Employee has retained his cellular telephone, with the consent of the Company. Employee shall be
solely responsible for all fees and charges incurred after the Separation Date for any calling/data
or other service plans utilized by the cellular telephone. Employee further agrees that any
violation of this section will cause irreparable harm to Company, and if Employee violates this
section, Company is entitled to pursue all remedies available, including a temporary or permanent
restraining order. Employee shall turn over the automobile provided to Employee, together with all
keys and electronic entry devices on or before the Separation Date.

6. Confidential Information. The parties acknowledge and agree that Section 9 of the
Employment Agreement shall survive execution of this Agreement and the termination of the
Employment Agreement.

7. General Release of Claims

     (a) The Company and Employee expressly covenant and agree that in consideration for the
payment of Separation Pay, the reimbursement of outplacement services obtained by Employee and
other consideration set forth herein, Employee does hereby voluntarily and fully release, acquit,
and forever discharge the Company, its subsidiaries, affiliates, predecessors, successors and
assigns and their officers, directors, employees, agents, attorneys and other representatives
(hereinafter collectively referred to as the “Releasees”) from any and all actions, claims,
damages, liabilities, promises, costs (including reasonable attorneys’ fees), rights or demands, of
whatsoever kind or nature, in law or in equity, Employee now has, may have had in the past or will
have at any time hereafter, by reason of any acts, causes, matters or things arising prior to this
date and arising out of or in connection with Employee’s employment and/or separation from
employment with the Company, including any and all wages, benefits or other employment related
matters. Employee understands that this is a general and complete release of claims Employee could
have against the Company as an employee or former employee of the Company but not as a shareholder
of the Company and includes but is not limited to any claims under the Age Discrimination in
Employment Act, Family Medical Leave Act; 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

10.10-3 

 

Execution Copy

States Code, as
amended; the Employee Retirement Income Security Act of 1974, as amended; the Americans with
Disabilities Act of 1990, as amended; any other federal, state or local civil rights law or any
other local, state or federal law, regulation or ordinance; any public policy, contract, tort or
common law theory; or any statutory or common law principle allowing for the recovery of fees or
other expenses, including attorneys’ fees, relating to any claim or claims Employee is releasing in
this Agreement.

     Notwithstanding the foregoing in this Section 7(a), nothing in this Section 7(a) shall be
deemed to release any of the Releasees from any of the Releasees’ obligations under this Agreement.

     Nothing in this Agreement precludes the filing of a charge with any appropriate federal, state
or local government agency and/or responding to a request for information from any such agency. In
no event, however, will Employee seek or accept any monetary relief in connection with any
complaint or charge brought against the Company, without regard as to who brought that complaint or
charge, and Employee agrees not to file against Releasees any action or proceeding in federal,
state or other court under any statute, law, ordinance or regulation relating to or arising out of
Employee’s employment with and/or separation of employment from the Company. Employee further
agrees to waive and not to seek or accept from Releasees any further benefit or consideration,
including reinstatement, back pay, attorneys’ fees, or any additional monies with respect to
employment or separation of employment from the Company.

     (b) The Company does voluntarily and fully release, acquit, and forever discharge Employee,
his successors, assigns, heirs, executor, attorneys and other representatives from any and all
actions, claims, damages, liabilities, promises, costs (including reasonable attorneys’ fees),
rights or demands, of whatsoever kind or nature, in law or in equity, the Company now has, may have
had in the past or will have at any time hereafter, by reason of any acts, causes, matters or
things arising prior to this date and arising out of or in connection with Employee’s employment
and/or separation from employment with the Company, except those arising out of fraud perpetrated
by, or the intentional or willful misconduct of, Employee.

8. Release of Age Discrimination Claims.

     (a) Exclusively as this Agreement pertains to Employee’s release of claims under the Age
Discrimination in Employment Act, Employee, pursuant to and in compliance with rights afforded them
under the Older Workers Benefit Protection Act:

     (i) Is advised that Employee does not waive rights or claims that arise after the date
on which this Agreement is signed by Employee and the Company;

     (ii) Is advised to consult with an attorney prior to executing this Agreement;

     (iii) Is given twenty-one (21) days from the receipt of this Agreement in which to
consider it; and

10.10-4 

 

Execution Copy

     (iv) Is given a period of seven (7) days following the signing of this Agreement in
which to revoke it. A revocation of this Agreement shall be effective only on the delivery
of a written revocation to The Home Savings and Loan Company of Youngstown, Ohio, 275 West
Federal Street, Youngstown, Ohio 44503, Attention: Vice President—Human Resources. This
Agreement shall not become effective or enforceable until this seven-day revocation period
has expired.

     (b) Employee’s knowing and voluntary execution of this Agreement is an express acknowledgment
and agreement that:

     (i) This Agreement is written in a manner that enables Employee to fully understand its
content and meaning;

     (ii) This Agreement specifically refers to the waiver and release of all claims under
the Age Discrimination in Employment Act;

     (iii) This Agreement does not waive or release any rights or claims that may arise
after the date on which it is executed;

     (iv) Employee has received consideration under this Agreement in addition to anything
of value to which Employee was otherwise already entitled;

     (v) Employee has had the opportunity to review this Agreement with Employee’s attorney
and to consult with Employee’s attorney concerning the signing of this Agreement;

     (vi) Employee was afforded a twenty-one (21) day period of time to consider it before
executing it;

     (vii) Employee was given a seven-day period of time in which to revoke this Agreement
after it was signed; and

     (viii) Employee’s execution of this Agreement is knowing and voluntary.

9. Agreement to not Seek or Accept Future Employment; Mitigation. Employee agrees that,
because of circumstances unique to Employee (including Employee’s separation from the Company and
the Board of Directors of Home Savings and Butler Wick Corp.), Employee will not apply for or
accept future employment with the Company or seek appointment to the Board of Directors of UCFC or
Home Savings. The Company agrees that Employee shall not be required to mitigate the amount of any
payment provided for in this Agreement by seeking other employment or otherwise, nor shall any
amounts received from other employment or otherwise by Employee offset in any manner the
obligations of either Company under this Agreement.

10. Confidentiality. Employee and Company mutually agree not to disclose any information
regarding the existence or substance of this Agreement, except (i) for purposes of enforcement of
this Agreement, (ii) to the FDIC for purposes of requesting the Federal Regulator’s Consent, (iii)

10.10-5 

 

Execution Copy

as otherwise required by law or regulation, (iv) to Employee’s spouse, and (v) to any financial
advisor, tax advisor, and any attorneys with whom Employee or the Company chooses to consult
regarding its respective consideration of this Agreement, provided that they agree to keep that
information strictly confidential and disclose it to no other person. Employee and Company
understand that the confidentiality of this Agreement is an important part of the consideration
under this Agreement. Employee and Company further agree that any violation of this section will
cause irreparable harm to Employee and Company, as the case may be, and if either Employee or
Company violates this section, the other party is entitled to pursue all remedies available,
including a temporary or permanent restraining order.

11. Governing Law and Interpretation. This Agreement shall be governed by and interpreted
under the laws of Ohio and, except as set forth in Section 16 of this Agreement, any legal matters
will be brought in any Federal court sitting within the Northern District of Ohio or any State
court sitting in Mahoning County, Ohio. Should any court of competent jurisdiction declare any
provision of this Agreement unenforceable, the provision shall be void but the remainder of this
Agreement shall remain in effect.

12. Nonadmission of Wrongdoing. The parties have entered into this Agreement in exchange
for the releases granted herein and to avoid potential litigation. Accordingly, neither this
Agreement nor any of the promises made by the Company or Employee in it may be construed by any
person or entity as an admission of any liability or wrongdoing of any kind.

13. Amendment. This Agreement may not be modified except through a written document in
which the parties expressly agree to modify it, and that is signed by both parties.

14. Entire Agreement. This Agreement and Exhibit A attached hereto set forth the entire
agreement between the parties and supersede any prior agreements or understandings between them
regarding its subject matter, including, but not limited to, the Employment Agreement, except as
otherwise specifically provided in this Agreement. Employee acknowledges that Employee has not
relied on any representations, promises, or agreements of any kind made to Employee in connection
with Employee’s decision to make this Agreement, except for those set forth in this Agreement.

15. Headings. The headings and numbering of paragraphs in this Agreement are solely for
convenience of reference and shall not be construed to define or limit any of the terms herein
contained or to affect the meaning or interpretation of this Agreement. Unless the context clearly
indicates otherwise, words used in the singular include the plural, words used in the plural
include the singular and the word “including” means “including but not limited to.”

16. Dispute Resolution. The Employee agrees that if the Employee asserts a claim against
the Company regarding the interpretation or enforcement of this Agreement, such claim shall be
resolved by binding arbitration before a single arbitrator, and the Employee shall not have the
right to pursue any claim in court or to have a jury trial on the claim. The Company and Employee
shall share equally all costs and expenses of the impartial arbitrator. Unless inconsistent with
applicable law, each party shall bear the expenses of their respective attorneys, experts and
witness fees, regardless of which party prevails in the arbitration. Any arbitration hearing will

10.10-6 

 

Execution Copy

take place in Youngstown, Ohio and will be conducted by a mutually-chosen arbitrator who is a
well-recognized and respected arbitrator. An arbitration can only decide Employee’s claim and may
not consolidate or join the claims of any other person who may have similar claims unless
specifically agreed to by the Company. If any portion of this arbitration provision is deemed
invalid or unenforceable, it shall not invalidate the remaining portion of this arbitration
provision.

17. Indemnification. The parties acknowledge and agree that Section 6(a) of the Employment
Agreement shall survive the execution of this Agreement and the termination of the Employment
Agreement.

     ONCE YOU SIGN BELOW, THIS DOCUMENT WILL BECOME A LEGALLY ENFORCEABLE AGREEMENT UNDER WHICH YOU
WILL BE GIVING UP RIGHTS AND CLAIMS YOU MAY HAVE, ON THE TERMS STATED IN THIS AGREEMENT.

     IN WITNESS WHEREOF, the undersigned have executed this Agreement as of the date first written
above.

	 	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Patrick A. Kelly
 

Patrick A. Kelly
	 	 
	 
	 	 	 	 	 	 
	 	 	THE HOME SAVINGS AND LOAN COMPANY OF	 	 
	 	 	YOUNGSTOWN, OHIO	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Douglas M. McKay
 

Douglas M. McKay
	 	 
	 

	 	 	 	Chairman of the Board and Chief Executive Officer	 	 

10.10-7 

 

Exhibit 10.10

CONFIDENTIAL SEPARATION AND GENERAL RELEASE AGREEMENT

EXHIBIT A

     Capitalized terms used but not defined in this Exhibit A shall have the meaning ascribed to
them in the Agreement.

Benefit Plans:

Employee shall be entitled to elect to receive a benefit distribution from any of the Company’s
benefit/retirement plans in which Employee was a participant in accordance with the terms and
conditions of such plans; provided, however, that Employee acknowledges and agrees that Employee
shall not accrue any further benefit, vesting or service credits under any of the stock
benefit/retirement plans after the Separation Date.

Employee and the Company acknowledge and agree that Employee participated in the following stock
benefit plans:

	 	 	 	 	 
	 

	 	(i)
	 	United Community Financial Corp. Employee Stock Ownership Plan;
	 
	 	 	 	 
	 

	 	(ii)
	 	The Home Savings and Loan Company 401(k) Savings Plan;
	 
	 	 	 	 
	 

	 	(iii)
	 	The United Community Financial Corp. 1999 Long-Term Incentive Plan; and
	 
	 	 	 	 
	 

	 	(iv)
	 	The United Community Financial Corp. 2007 Long-Term Incentive Plan.

Health and Welfare Plans:

The following are the Health and Welfare Plans that Employee may continue at Employee’s expense
after the Separation Date.

Disability (UNUM) – This coverage provides a monthly benefit of $3,803.00. The annual premium is
$1,353.89 and is due to renew in June, 2008. To maintain this benefit, you would be required to
pay the premium when the policy renews.

Life Insurance (John Hancock) – This term life insurance policy is currently owned by Home Savings;
the insured is the Employee. The face amount of the policy is $1,200,000.00. The annual premium
is $1,996.00 and is due to renew in July, 2008. The ownership of this policy can be changed to the
Employee, but the Employee will be required to pay the premium when the policy renews.

The bank’s Group Life Insurance Plan with Sunlife provides $50,000.00 in coverage. There is a
conversion option available through Sunlife to convert the $50,000.00 to a personal policy.
Contact Sunlife directly for information on how to convert to a personal policy.

Healthcare (Anthem) – Health and dental insurance family coverage, comparable to that available to
other senior executives of the Company, will be available to the Employee at the full premium
expense until December 31, 2010 or until the Employee is included in another employer’s benefit
plans as a full-time employee.

Current monthly healthcare and dental rates are as follows:

	 	 	 	 	 	 	 	 	 
	PPO
	 	Family	 	$	1,222.44	 
	Dental
	 	Family	 	$	94.27	 

10.10-8

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00155-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00155-of-00352.parquet"}]]