Document:

EX-10.53

Exhibit 10.53

[PNFP Letterhead]

December 12, 2008

Via Hand Delivery

Charles B. McMahan

211 Commerce Street, Suite 300

Nashville, Tennessee 37201

Dear Charlie,

Pinnacle Financial Partners, Inc. (the “Company”) anticipates entering into a Securities Purchase
Agreement (the “Participation Agreement”), with the United States Department of Treasury
(“Treasury”) that provides for the Company’s participation in the Treasury’s TARP Capital Purchase
Program (the “CPP”). If the Company does not participate or ceases at any time to participate in
the CPP, this letter shall be of no further force and effect.

For the Company to participate in the CPP and as a condition to the closing of the investment
contemplated by the Participation Agreement, the Company is required to establish specified
standards for incentive compensation to its senior executive officers and to make changes to its
compensation arrangements. To comply with these requirements, and in consideration of the benefits
that you will receive as a result of the Company’s participation in the CPP, you agree as follows:

	 	(1)	 	No Golden Parachute Payments. The Company is prohibiting any golden parachute
payment to you during any “CPP Covered Period”. A “CPP Covered Period” is any period
during which (A) you are a senior executive officer and (B) Treasury holds an equity or
debt position acquired from the Company in the CPP.
	 
	 	(2)	 	Recovery of Bonus and Incentive Compensation. Any bonus and incentive
compensation paid to you during a CPP Covered Period is subject to recovery or
“clawback” by the Company if the payments were based on materially inaccurate financial
statements or any other materially inaccurate performance metric criteria.
	 
	 	(3)	 	Compensation Program Amendments. Each of the Company’s compensation, bonus,
incentive and other benefit plans, arrangements and agreements (including golden
parachute, severance and employment agreements) (collectively, “Benefit Plans”) with
respect to you is hereby amended to the extent necessary to give effect to provisions (1) and (2). For reference, certain affected Benefit Plans are
set forth in Appendix A to this letter.

 

 

Charles B. McMahan

December 12, 2008

Page 2

	 	 	 	In addition, the Company is required to review its Benefit Plans to ensure that they
do not encourage senior executive officers to take unnecessary and excessive risks
that threaten the value of the Company. To the extent any such review requires
revisions to any Benefit Plan with respect to you, you and the Company agree to
negotiate such changes promptly and in good faith.

	 	(4)	 	Definitions and Interpretation. This letter shall be interpreted as follows:

	 	•	 	“Senior executive officer” means the Company’s “senior
executive officers” as defined in subsection 111(b)(3) of EESA.
	 
	 	•	 	“Golden parachute payment” is used with same meaning as in
Section 111(b)(2)(C) of EESA.
	 
	 	•	 	“EESA” means the Emergency Economic Stabilization Act of 2008
as implemented by guidance or regulation issued by the Department of the
Treasury and as published in the Federal Register on October 20, 2008.
	 
	 	•	 	The term “Company” includes any entities treated as a single
employer with the Company under 31 C.F.R. § 30.1(b) (as in effect on the
Closing Date). You are also delivering a waiver pursuant to the Participation
Agreement, and, as between the Company and you, the term “employer” in that
waiver will be deemed to mean the Company as used in this letter.
	 
	 	•	 	The term “CPP Covered Period” shall be limited by, and
interpreted in a manner consistent with, 31 C.F.R. § 30.11 (as in effect on the
Closing Date).
	 
	 	•	 	Provisions (1) and (2) of this letter are intended to, and will
be interpreted, administered and construed to, comply with Section 111 of EESA
(and, to the maximum extent consistent with the preceding, to permit operation
of the Benefit Plans in accordance with their terms before giving effect to
this letter).

	 	(5)	 	Miscellaneous. To the extent not subject to federal law, this letter will be
governed by and construed in accordance with the laws of Tennessee. This letter may be
executed in two or more counterparts, each of which will be deemed to be an original. A
signature transmitted by facsimile will be deemed an original signature.

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Charles B. McMahan

December 12, 2008

Page 3

The Board appreciates the concessions you are making and looks forward to your continued leadership
during these financially turbulent times.

Yours sincerely,

Pinnacle Financial Partners, Inc.

By: /s/ Rachel M. West

Name: Rachel M. West

Title: Chief Human Resources Officer

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Charles B. McMahan

December 12, 2008

Page 4

Intending to be legally bound, I agree with and accept the foregoing terms on the date set forth
below.

/s/ Charles B. McMahan

Date: December 12, 2008

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Appendix A

Pinnacle Financial Partners 2004 Equity Incentive Plan, including cash awards thereunder under the
2008 Cash Incentive Plan, and subsequent cash incentive award plans, all stock option awards
thereunder, and all restricted share awards thereunder.

Employment Agreement with M. Terry Turner, as amended, dated January 1, 2008.

Employment Agreement with Robert McCabe, Jr., as amended, dated January 1, 2008.

Employment Agreement with Hugh M. Queener, as amended, dated January 1, 2008.

Employment Agreement with Harold R. Carpenter, as amended, dated January 1, 2008.EX-10.54

Exhibit 10.54

PINNACLE FINANCIAL PARTNERS, INC.

Named Executive Officer Compensation Summary

The following table sets forth the current base salaries paid to the Chief Executive Officer and
the four other named executive officers of Pinnacle Financial Partners, Inc. (the “Company”), the
amount of the cash bonus paid to these persons in 2009 under the Company’s 2008 Cash Incentive
Plan, and the amount of a special incentive awarded in April, 2008.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Current Base	 	2008 Cash	 	2008 Special
	Executive Officer	 	Salary	 	Bonus (#)	 	Incentive(*)
	 
 
	M. Terry Turner — CEO
	 	$	691,000	 	 	$	161,000	 	 	$	200,000	 
	Robert A. McCabe, Jr. — Chairman of the Board
	 	$	656,000	 	 	$	153,000	 	 	$	190,000	 
	Hugh M. Queener — CAO
	 	$	323,000	 	 	$	64,000	 	 	$	100,000	 
	Harold R. Carpenter — CFO
	 	$	323,000	 	 	$	53,000	 	 	$	80,000	 
	Charles B. McMahan — Sr. Credit Officer
	 	$	215,000	 	 	$	35,000	 	 	$	60,000	 

 

			
	(#)	 	The 2008 Cash Bonus was awarded on February 13, 2009 and approximated 25% of the
executive officer’s targeted award.
	 
	(*)	 	The 2008 Special Incentive was related to the successful integration of Mid-America
Bancshares, Inc. into the Company. The 2008 Special Cash Incentive Plan was approved in
April, 2008 by the Company’s Human Resources and Compensation Committee with awards
distributed to the five named executives above and 19 other Pinnacle associates.

In addition to their base salaries, these executive officers are also eligible to:

	 	•	 	Receive cash bonuses under the Company’s 2009 Cash Incentive Plan;
	 
	 	•	 	Participate in the Company’s equity incentive programs, which currently involves the
award of restricted stock pursuant to the Company’s 2004 Equity Incentive Plan; and
	 
	 	•	 	Participate in the Company’s broad-based benefit programs generally available to its
employees, including health, disability and life insurance programs and the Company’s
401k plan.

Additionally, Messrs. Turner, McCabe and Queener receive a monthly car allowance.

On February 17, 2009, the President signed into law the American Recovery and Reinvestment Act
(“ARRA”), which, among other things, requires the Secretary of the Treasury to promulgate executive
compensation regulations applicable to recipients of funds from the TARP Program. The regulations
are required to include, among other things, a prohibition of payments to senior executives upon
departure for any reason, a prohibition of bonuses except for limited bonuses payable in restricted
stock, a requirement of “clawback” of bonuses based on materially inaccurate criteria, a
prohibition of luxury expenditures and annual non-binding shareholder votes on senior executive
compensation. The ARRA also provides that TARP recipients can repay the previously provided TARP
assistance without regard to the prior requirement that any repayment before December 12, 2011
could only be funded from the proceeds of an offering of Tier 1 capital. The Company is reviewing
these matters to determine what impact, if any, such regulatory developments will have on the
Company’s executive compensation strategies.

The foregoing information is summary in nature. Additional information regarding the named
executive officer compensation will be provided in the Company’s proxy statement to be filed in
connection with the 2009 annual meeting of the Company’s shareholders.

Page 1EX-10.1

Exhibit 10.1

LNB Bancorp, Inc.

2009 Management Incentive Plan

For Key Executives

Section I. PURPOSE

The LNB Bancorp, Inc. 2009 Management Incentive Plan for Key Executives is designed to reward Key
Executives with incentive compensation payments for achieving profitability goals and subjective
goals.

Section II. DEFINITIONS

The following terms, as used in this Plan, shall mean:

	A.	 	Committee. The Compensation Committee of the Board of Directors of LNB Bancorp,
Inc., or such other committee as such Board may designate.
	 
	B.	 	Employer or Lorain National Bank. LNB Bancorp, Inc., its subsidiaries and
affiliates.
	 
	C.	 	Plan year. January 1, 2009 through December 31, 2009.
	 
	D.	 	Employee/Key Executive. The participants selected to participate in this Plan as
described in Section III below.
	 
	E.	 	Plan. The LNB Bancorp, Inc. 2009 Management Incentive Plan for Key Executives.
	 
	F.	 	Incentive Payment. Cash payment earned by Employee on the Incentive Payment Date, as
determined in accordance with Section IV and the other terms of this Plan.
	 
	G.	 	Incentive Payment Date. The date on which an Incentive Payment to Employee is paid,
which shall be as soon as reasonably practicable after such payment is calculated and
authorized by the Committee but not later than two and one-half months following the end of
the Plan year.
	 
	H.	 	Profitability. Profitability is defined as net income after tax of LNB Bancorp, Inc.
and its consolidated subsidiaries for the Plan year, as determined by the Committee. The
Committee has the discretion to adjust for any unforeseen occurrences which may affect the
profitability number.
	 
	I.	 	Profitability Goal. An amount of Profitability established as a goal by the
Committee in its discretion and solely for purposes of this Plan, based on the Employer’s
annual budget as determined by its Audit and Finance Committee. This goal will be
communicated to each Key Executive when the Key Executive is selected to participate in this
Plan.

 

 

Section III. ELIGIBILITY

Employees of Lorain National Bank, other than the CEO, are eligible to participate in this Plan.
Based upon CEO recommendations, the Committee has the authority, in its discretion, to designate
the Employees who will participate in this Plan during the Plan year.

Section IV. AMOUNT OF INCENTIVE PAYMENT

Subject to the other terms of this Plan, the amount of the Incentive Payment earned by an Employee
under this Plan will be determined, based on Employer’s actual Profitability achievement for the
Plan year relative to the percentage of the Profitability Goal, a percentage of Employee’s base
salary, and on other terms as determined, interpreted and established in the sole discretion of the
Committee.

Section V. OTHER INCENTIVE PAYMENT TERMS

	A.	 	Payments and Deductions/Withholding Taxes.

Employer will pay an Employee the Incentive Payment on the Incentive Payment Date provided the
Employee is an active employee of Employer on that date. The amount of the Incentive Payment, if
any, shall be calculated as provided in Section IV of this Plan. Deductions may also be made at
the discretion of Employer and in accordance with applicable law for any amounts the employee owes
to Employer.

Employer may withhold from any amounts payable under or in connection with this Plan all federal,
state, local and other taxes as may be required to be withheld by Employer under applicable law or
governmental regulation or ruling.

	B.	 	Incentive Payment Calculation.

The Committee will have the sole authority and discretion to evaluate all aspects of the Employer’s
incentive compensation awards and to determine performance and the total pool money available to
all Employees in the aggregate. Generally, subject in all cases to terms as determined,
interpreted and established in the sole discretion of the Committee, the total pool of money
available to all Employees will be based upon whether the Employer achieves actual Profitability
for the Plan year that falls within a range of specified minimum, target and maximum percentages of
the Profitability Goal, and will be zero if the Employer does not achieve actual Profitability for
the Plan year that is equal to at least the specified minimum percentage of the Profitability Goal.
The CEO will determine the distribution to the Key Executives, subject to Committee approval in its
sole discretion.

The Committee retains the right and authority (in addition to any other rights or remedies of
Employer) not to pay all or any part of an Incentive Payment to any Employee based on operational
wrongdoing or misconduct of the Employee, as determined by the Committee in its sole discretion.
The Employer must document all such exceptions to this Plan, including but not limited to,
forfeiture of payments.

2

 

	D.	 	Special Circumstances.

1. Conflicts with Law. If any provision of this Plan violates local, state or federal
law, the applicable law shall control.

2. Voluntary or Involuntary Termination. If Employee’s employment is voluntarily or
involuntarily terminated before the Incentive Payment Date, Employee is not entitled to receive and
will forfeit the Incentive Payment. Employee must be employed on the Incentive Payment Date to be
entitled to the Incentive Payment.

3. Transfer. If an Employee transfers to another position within Employer that does not
participate under this Plan before the Incentive Payment Date, the Employee is not entitled to
receive and will forfeit the Incentive Payment. A payment of a pro-rated amount of the Incentive
Payment may be awarded in the Committee’s sole discretion.

4. Leave of Absence. Incentive Payments will be pro-rated based on months of active
employment as determined by the Committee in its sole discretion. An Employee on a leave of
absence must be employed on the Incentive Payment Date to receive an Incentive Payment.

5. Death. In the event of the Employee’s death before the Incentive Payment Date, the
Employee’s estate is not entitled to receive and will forfeit the Incentive Payment. A payment of
a pro-rated or full amount of the Incentive Payment may be awarded in the Committee’s sole
discretion.

Section VI. NON-SOLICITATION AND CONFIDENTIALITY

	A.	 	Non-Solicitation.

In consideration of Employee’s participation in this Plan, Employee agrees that during the term of
Employee’s employment and for one year after Employee’s voluntary termination of employment or
termination of employment for cause, Employee will not, directly or indirectly: (1) influence or
advise any other person to employ or solicit for employment anyone who is employed by Employer on
the date of Employee’s separation; (2) influence or advise any person who is or shall be in the
service of Employer to leave the service of Employer; (3) use any of the information or business
secrets used by Employer, except in accordance with Employer’s policies in the regular course of
Employee’s duties for Employer; (4) disclose the proprietary methods of conducting the business of
Employer, except in accordance with Employer’s policies in the regular course of Employee’s duties
for Employer; (5) make any statement or take any actions that may interfere with Employer’s
customers, except in accordance with Employer’s policies in the regular course of Employee’s duties
for Employer; or (6) attempt to divert any of the business of Employer or any business which
Employer has a reasonable expectation of obtaining by soliciting, contacting, or communicating with
any customers and/or potential customers which have been derived from leads or lists developed and
delivered to Employee by Employer.

	B.	 	Confidentiality.

In consideration of Employee’s participation in this Plan, Employee agrees that during and
following termination of employment with Employer, Employee will hold in strictest confidence and
will not disclose to anyone, except in accordance with Employer’s policies in the regular course of
Employee’s duties for Employer, any information concerning:

3

 

1. The business or affairs of, or nonpublic information concerning, a current, past or prospective
customer of Lorain National Bank.

2. The development of any product, device, method or invention of Lorain National Bank.

3. Any information concerning Lorain National Bank or its operations not readily available to the
public, unless expressly authorized by the President or any Vice President of Lorain National Bank.

Employee further agrees that all rights, title and interest to any product, device, invention, or
enhancement to a product or service, developed during his or her employment with Employer and using
Employer resources or know-how, shall belong exclusively to Lorain National Bank. Employee agrees
to execute any documents necessary to reflect Lorain National Bank’s exclusive ownership in such
items.

Upon termination of employment with Employer, Employee will deliver to Lorain National Bank all
documents, notes, materials and all copies thereof, relating to the operations or the business of
Lorain National Bank and its customers.

	B.	 	Related Provisions

1. Prior Agreements. This Section VI does not supercede any prior agreements or
understandings between Employer and Employee to the extent that such prior agreement or
understanding is more favorable with respect to Employer.

2. Equitable Relief. Employee acknowledges and agrees that the covenants contained in this
Section VI are of a special nature and that any breach, violation or evasion by Employee of the
terms of Section VI will result in immediate and irreparable injury and harm to Employer, for which
there is no adequate remedy at law, and will cause damage to Employer in amounts difficult to
ascertain. Accordingly, Employer shall be entitled to the remedy of injunction, as well as to all
other legal or equitable remedies to which Employer may be entitled (including, without limitation,
the right to seek monetary damages), for any breach, violation or evasion by Employee of the terms
of Section VI.

Section VII. GENERAL PROVISIONS

1. Administration. The Plan shall be administered by the Committee. The Committee has the
sole and exclusive authority, subject to any limitations specifically set forth in this Plan, to:
adopt, amend, alter and repeal this Plan at any time as it deems advisable in its sole discretion
from time to time; construe, interpret, administer and implement the terms and provisions of this
Plan; and otherwise supervise the administration of this Plan. Notwithstanding the foregoing, all
decisions made by the Committee pursuant to the provisions of this Plan are final and binding on
all persons, including Employee, but may be made by their terms subject to ratification or approval
by the Board of Directors of LNB Bancorp, Inc. or another committee of the Board of Directors.

2. No Implied Rights to Employment. Neither this Plan nor any Incentive Payment hereunder
shall be construed as giving any individual any right to continued employment or any particular
level of salary or benefits with Employer. This Plan does not constitute a contract of employment,
and Employer expressly reserves the right at any time to terminate any Employee free from liability
or any claim.

4

 

3. Other Compensation Plans. Nothing contained in this Plan prevents Employer from
adopting or modifying other or additional compensation arrangements, and such arrangements may be
either generally applicable or applicable only in specific cases.

4. Successors; Amendments. All obligations of Employer with respect to Incentive Payments
under this Plan are binding on any successor to Employer, whether as a result of a direct or
indirect purchase, merger, consolidation or otherwise of all or substantially all of the business
and/or assets of Employer. Employee may not assign any rights or obligations under this Plan
without the written consent of Employer. Subject to the Committee’s rights under Section VII.1.
above, none of the terms of Section VI may be modified, waived or discharged unless such waiver,
modification or discharge is agreed to in writing, and is signed by Employee and by an authorized
officer of Employer.

5. Validity. The invalidity or unenforceability of any provision or provisions of this
Plan shall not affect the validity or enforceability of any other provision of this Plan, which
shall remain in full force and effect. In the event that any provision of Section VI is found by a
court of competent jurisdiction to be invalid or unenforceable as against public policy, such court
shall exercise its discretion in reforming such provision to the end that Employee shall be subject
to such restrictions and obligations as are reasonable under the circumstances and enforceable by
Employer.

6. Governing Law; Interpretation. This Plan shall be construed in accordance with and
governed by the laws of the State of Ohio, without giving effect to the conflict of law principles
of such State. This Plan is not intended to be governed by the Employee Retirement Income Security
Act and shall be so construed and administered. The headings contained herein are for reference
purposes only and shall not in any way affect the meaning or interpretation of this Plan.

7. Entire Agreement. This Plan embodies the entire agreement and understanding between
Employer and Employee with respect to the subject matter hereof, and supercedes all prior
agreements and understandings relating hereto, except as expressly stated herein.

Section VIII. CLAWBACK OF PLAN PAYMENTS

Notwithstanding any provision in the Plan to the contrary, in the event that a payment or payments
are made to “senior executive officer(s)” (as that term is defined in accordance with Section
111(b)(3) of the Emergency Economic Stabilization Act of 2008 (“EESA”)) and it is later determined
that the payment or payments were based on materially inaccurate financial statements or on any
other materially inaccurate performance metric criteria, then in such event, to the extent
necessary to comply with Section 111(b)(2)(B) of EESA, shall the full amount of any and all
payment(s) that have been made to such senior executive officer(s) become immediately due and owing
to Employer, and the senior executive officer(s) who received such grant(s) or payment(s) shall
forfeit or repay, as applicable, the full amount of such grant(s) or payment(s) to Employer, in
accordance with and in a manner that complies with the requirements of Section 111(b)(2)(B) of
EESA.

5

 

Employee and Employer have agreed to the terms of this Plan as of the latest date set forth below.

	 	 	 	 	 	 	 
	 

	 	“Employee”	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Approved:
	 	 	 	Date:                                         
	 

	 	 	 	 	 	 
	 

	 	 	 	[Fill in Name of Employee]	 	 
	 
	 	 	 	 	 	 
	 

	 	“Employer”	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Approved:
	 	 	 	Date:                                         
	 

	 	 	 	 	 	 
	 

	 	 	 	By: Daniel E. Klimas, President & CEO	 	 

6

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