Document:

EX-10.8

 Exhibit 10.8 

Gores Technology Partners II, Inc. 

6260 Lookout Road 
 Boulder, CO
80301 
 [●], 2021 
 The Gores Group, LLC

 6260 Lookout Road 
 Boulder, CO 80301 

Re: Administrative Services Agreement 
 Gentlemen: 

This letter agreement by and between Gores Technology Partners II, Inc. (the “Company”) and The Gores Group, LLC (“The Gores Group”), an
affiliate of the Company’s sponsor, Gores Technology Partners Sponsor II LLC, dated as of the date hereof, will confirm our agreement that, commencing on the date the securities of the Company are first listed on the Nasdaq Capital Market (the
“Listing Date”), pursuant to a Registration Statement on Form S-1 and prospectus filed with the Securities and Exchange Commission (the “Registration Statement”), and continuing until the
earlier of the consummation by the Company of an initial business combination or the Company’s liquidation (in each case as described in the Registration Statement) (such earlier date hereinafter referred to as the “Termination
Date”): 
 (i) The Gores Group shall make available to the Company, at 6260 Lookout Road, Boulder, CO 80301 (or any successor location), certain office
space, utilities and secretarial and administrative support as may be reasonably required by the Company. In exchange therefor, the Company shall pay The Gores Group the sum of $20,000 per month on the Listing Date and continuing monthly thereafter
until the Termination Date; and 
 (ii) The Gores Group hereby irrevocably waives any and all right, title, interest, causes of action and claims of any kind
as a result of, or arising out of, this letter agreement (each, a “Claim”) in or to, and any and all right to seek payment of any amounts due to it out of, the trust account established for the benefit of the public stockholders of the
Company and into which substantially all of the proceeds of the Company’s initial public offering will be deposited (the “Trust Account”), and hereby irrevocably waives any Claim it may have in the future, which Claim would reduce,
encumber or otherwise adversely affect the Trust Account or any monies or other assets in the Trust Account, and further agrees not to seek recourse, reimbursement, payment or satisfaction of any Claim against the Trust Account or any monies or
other assets in the Trust Account for any reason whatsoever. 
 This letter agreement constitutes the entire agreement and understanding of the parties
hereto in respect of its subject matter and supersedes all prior understandings, agreements, or representations by or among the parties hereto, written or oral, to the extent they relate in any way to the subject matter hereof or the transactions
contemplated hereby. 
 This letter agreement may not be amended, modified or waived as to any particular provision, except by a written instrument executed
by the parties hereto. 

 No party hereto may assign either this letter agreement or any of its rights, interests, or obligations
hereunder without the prior written approval of the other party. Any purported assignment in violation of this paragraph shall be void and ineffectual and shall not operate to transfer or assign any interest or title to the purported assignee. 

This letter agreement constitutes the entire relationship of the parties hereto, and any litigation between the parties (whether grounded in contract, tort,
statute, law or equity) shall be governed by, construed in accordance with, and interpreted pursuant to the laws of the State of New York, without giving effect to its choice of laws principles. 

[Signature Page Follows] 

  
 2 

 
			
	Very truly yours,
	
	GORES TECHNOLOGY PARTNERS II, INC.

 
			
		
	By:	 	  

 
			
	Name:	 	Andrew McBride
	Title:	 	Chief Financial Officer and Secretary

  

			
	AGREED TO AND ACCEPTED BY:
	
	THE GORES GROUP, LLC

			
		
	By:	 	  

			
	Name:	 	Alec Gores
	Title:	 	Authorized Signatory

 [Signature Page to Administrative Services Agreement]ck0001325878-ex101_6.htm

 

Exhibit 10.1

 

December 18, 2020

 

Federal Home Loan Bank of Topeka

 Executive Incentive Compensation Plan Targets

Goal Metrics, Metric Performance Ranges, Participant Eligibility and Metric Weights

 

This document specifies goal metrics, metric performance ranges/objectives, and metric weights for the participants (Participants) in the Executive Incentive Compensation Plan (Plan).

The Plan targets contained in this document specifically cover the 2021 Base Performance Period (January 1, 2021 through December 31, 2021) and the 2022 - 2024 Deferral Performance Period (January 1, 2022 through December 31, 2024).

	
A.
	
2021 Base Performance Period Metrics. The following goal metrics are assigned to the Participants under the Plan. All calculations including interest rates will be rounded to two decimal places.

	
1.
	
Adjusted Return Spread on Total Regulatory Capital

Definition: The spread between (a) adjusted net income divided by the daily average total regulatory capital and (b) the average daily Overnight Federal funds effective rate (Fed Effective).

Measure:

Adjusted net income is defined as follows:

	
 
	
o
	
Net income calculated under generally accepted accounting principles (GAAP)

	
 
	
o
	
Plus the recorded AHP assessments

	
 
	
o
	
Excluding the impact or adjustment required because of the Accounting Standards Codification 815 (ASC 815)

	
 
	
o
	
Plus the dividends on redeemable Class A and Class B Common Stock treated as interest expense under ASC 450

	
 
	
o
	
Minus the prepayment fees

	
 
	
o
	
Minus/plus the realized or unrealized gains/losses on securities 

	
 
	
o
	
Minus/plus the gains/losses on mortgage loans held for sale

	
 
	
o
	
Minus/plus the gains/losses on early retirement of debt and related derivatives

	
 
	
o
	
Minus/plus any amortization/accretion of premium/discount on unswapped securities in the FHLBank’s trading portfolio and any investment that is tied to an economic swap where an upfront fee was not received (not amortized/accreted under GAAP)

	
 
	
o
	
Less a calculated 10% AHP assessment

Performance Range:

		
	
 
	
Annual Performance Range

	
Threshold
	
4.47%

	
Target
	
5.40%

	
Optimum
	
6.33%

 

	
2.
	
GAAP Return Spread on Total Regulatory Capital

Definition: The spread between: (a) GAAP net income divided by the daily average total regulatory capital; and (b) the Fed Effective rate. 

Measure:

	
 
	
o
	
Net income calculated under GAAP.

	
 
	
o
	
Daily average total regulatory capital. 

	
 
	
o
	
Divide GAAP net income by daily average total regulatory capital to calculate a return.

 

 

	
 
		

	
 
	
o
	
Subtract the average daily Overnight Federal funds effective rate (Fed Effective) from the GAAP return.

 

Performance Range:

		
	
 
	
Annual Performance Range

	
Threshold
	
2.80%

	
Target
	
4.05%

	
Optimum
	
5.31%

 

	
3.
	
Adjusted Net Income after Capital Charge

Definition: The dollar amount of adjusted net income as defined in the above metric that exceeds the cost of the required return on capital.

 

Measure: Adjusted income as defined in the Net Income after Capital Charge Definition above, less required return on capital. The required return on capital is the sum of the outstanding regulatory Class B Common Stock times the average of three-month discount note auction rate plus 1.25 percent for each day during the year plus the sum of regulatory Class A Common Stock and retained earnings times the average of three-month discount note auction rate plus 0.25 percent for each day during the year.

 

Performance Range:

		
	
 
	
Annual Performance Range

	
Threshold
	
$94,760,000

	
Target
	
$118,449,000

	
Optimum
	
$142,139,000

 

	
4.
	
GAAP Net Income after Capital Charge

Definition: The dollar amount of GAAP net income that exceeds the cost of the required return on capital. 

 

Measure: GAAP net income, less required return on capital. The required return on capital is the sum of the outstanding regulatory Class B Common Stock times the average of three-month discount note auction rate plus 1.25 percent for each day during the year plus the sum of regulatory Class A Common Stock and retained earnings times the average of three-month discount note auction rate plus 0.25 percent for each day during the year.

 

Performance Range:

		
	
 
	
Annual Performance Range

	
Threshold
	
$74,623,000

	
Target
	
$106,604,000

	
Optimum
	
$138,585,000

 

 

	
5.
	
Member Product Utilization

Definition: Member product utilization is defined as the weighted average 2021 attainment in member utilization in each of three product categories: (1) Overnight Line of Credit or advances; (2) MPF Program; and (3) Letters of Credit.  

 

Measure: Product utilization is calculated by dividing the number of members that qualify as a user of one of the three products (as defined below) at any time during the current year (2021) 

 

 

by the number of members at the end of the current year (2021). The individual product utilization is compared to the target level to arrive at the level of attainment for each of the three products. The percentage attainment to target for each product is then multiplied by the weight assigned to each product to arrive at the overall weighted product utilization goal attainment.

 

Products and Weighting:

MPF Program – Weight 25%

A participating financial institution (PFI) that delivers at least one loan during the year into any one or more of the MPF products will qualify as using the MPF program.

 

Letters of Credit – Weight 25%

A member that applies for and we issue to them at least one new Letter of Credit during the year will qualify as using the Letter of Credit product.   

 

Overnight Line of Credit or Regular Advance – Weight 50%

A member that uses the overnight line of credit and has an outstanding balance for a total of 5 days during the year or who takes one (or more) new advance for a term of 3 or more days  during the year will quality as a using an advance related product.

 

Performance Range:

				
	
                
	
Product Utilization %

	
Product
	
Threshold
	
Target
	
Optimum

	
MPF Program
	
21.50%
	
23.00%
	
24.50%

	
Letters of Credit
	
31.50%
	
32.75%
	
34.00%

	
Overnight Line of Credit or Regular Advance
	
54.75%
	
59.00%
	
63.25%

 

	
6.
	
Diversity and Inclusion

Definition:  FHLBank’s Diversity and Inclusion (D&I) initiative is defined as the advancement of D&I, to the maximum extent possible in balance with financially safe and sound business practices, through inclusion and utilization of diverse-owned businesses as vendors and the inclusion of diverse individuals within its workforce, as defined in the D&I Policy, in all business activities of FHLBank. 

Measure:  Points are awarded by achievement of the following; one point is awarded for each:

	
 
	
•
	
Culture: 85% of business partners attend one D&I Awareness Activity and one D&I Training Event. 

	
 
	
•
	
Workforce: Attain a workforce ratio of at least 11.75% business partners of color as of 12/31/2021.

	
 
	
•
	
Marketplace: Increase the number of viable and certified diverse suppliers in SupplierGATEWAY by 12. 

	
 
	
•
	
Marketplace: Participate in 10 outreach opportunities with diverse potential directors and/or in Workforce, Vendors, Capital Markets and/or with members. 

Performance Range:

		
	
 
	
Points

	
Threshold
	
2 out of 4 points

	
Target
	
3 out of 4 points

	
Optimum
	
4 out of 4 points

 

 

 

Viable diverse suppliers are those that provide a good or service on the Commodities List published on the SupplierGATEWAY website, are registered to do business with FHLBank in SupplierGATEWAY, and are certified as a diverse-owned business either through a national certification entity such as the National Minority Supplier Development Council or the Women’s Business Enterprise National Council, or through FHLBank’s self-certification and can be located/headquartered anywhere in the United States. 

 

D&I Awareness Activities are FHLBank-wide events approved by the Director of Human Resources and Inclusion (HRI) that educates business partners on D&I or encourages it among them. These activities are typically lunch and learn events hosted by FHLBank’s Inclusion, Diversity, and Equity Advisory Council and range in topics from various cultures, religions, and holidays to education on marginalized communities.

 

D&I Training Events are FHLBank-wide trainings approved by the Director of HRI with the purpose of increasing knowledge of and competencies in content and principles regarding D&I. These opportunities can include, for example, workshops on the business case for D&I, recognizing and managing various biases, and exploring the differences between intent and impact.

 

Outreach opportunities can be conducted by any member of FHLBank staff and must approved by the Director of HRI. More than one member of FHLBank’s staff can participate in a single outreach opportunity. Outreach opportunities include, for example, a meeting with a diverse individual who might be a good candidate for FHLBank’s board of directors and/or a meeting with a trade association to provide education on FHLBank’s desire for a diverse board; a meeting with a diverse-owned supplier or having a booth at a diverse-owned supplier fair; participating in meetings with a diverse-owned broker dealer or participating in the diverse-owned broker-dealer reception; or participating in a career fair at a college or university that serves a predominantly diverse population or providing a presentation to a classroom at such a college or university. 

 

 

 

	
7.
	
Risk Management – Market, Credit and Liquidity Risks

Definition: Management of FHLBank risks as determined by the weighted average rating by the board of directors in an annual evaluation of the Risk Appetite metrics in this area using a 1 (lowest) to 5 (highest) point scale. General risk categories are market, credit and liquidity risks. 

 

Performance Range:

		
	
 
	
Score

	
Threshold
	
4.0

	
Target
	
4.5

	
Optimum 
	
5.0

 

Risk Management Metric Weights: The following metric weight for each goal metric is assigned to the Participants:

		
	
Risk Management Category
	
Weighting

	
Liquidity Risk 
	
30%

	
Market Risk 
	
40%

	
Credit Risk 
	
30%

	
Total
	
100%

 

	
8.
	
Risk Management – Compliance, Business and Operations Risks

Definition: Management of FHLBank risks as determined by the weighted average rating by the board of directors in an annual evaluation of the Risk Appetite metrics in this area using a 1 (lowest) to 5 (highest) point scale. General risk categories are compliance, business and operations risks. 

 

Performance Range:

		
	
 
	
Score

	
Threshold
	
3.0

	
Target
	
4.0

	
Optimum 
	
5.0

 

Risk Management Metric Weights: The following metric weight for each goal metric is assigned to the Participants:

		
	
Risk Management Category
	
Weighting

	
Compliance Risk 
	
30%

	
Business Risk 
	
35%

	
Operations Risk 
	
35%

	
Total
	
100%

 

 

	
B.
	
Required Total Regulatory Capital 

FHLBank shall maintain a daily average Total Regulatory Capital of 4.75 percent for 2021. If FHLBank’s daily average Total Regulatory Capital is below 4.75 percent for 2021, the Total Base Opportunity available to Participants for the Financial Performance Goals shall be adjusted as reflected in the table below. The Finanical Performance Goals include the Adjusted Return Spread on Total Regulatory Capital, GAAP Return Spread on Total Regulatory Capital, Adjusted Net Income after Capital Charge, and GAAP Net Income after Capital Charge goals, which represent 40% of the Base Opportunity Metric Weights.  

 

 

 

		
	
Daily Average Total Regulatory Capital for 2021
	
Financial Performance Goals Adjustment

	
≥4.75%
	
0%

	
≥4.70% and <4.75%
	
-25%

	
≥4.65% and <4.70%
	
-50%

	
≥4.60% and <4.65%
	
-75%

	
<4.60%
	
-100%

 

	
C.
	
2022-2024 Deferral Performance Period.

In order for Participants to be eligible to receive a Final Deferred Incentive Award for the 2022-2024 Deferral Performance Period, FHLBank must have a Market Value of Equity of not less than 100 percent of FHLBank’s Total Regulatory Capital Stock outstanding (as defined in FHLBank’s Risk Management Policy), as of the last day of the Deferral Performance Period. Upon determining FHLBank has achieved this minimum requirement, the calculation of the Final Deferred Incentive Award shall be calculated by applying a six percent interest credit, compounded annually, to the Deferred Incentive. 

 

	
D.
	
Total Base Opportunity Metric Weights.

Total Base Opportunity Matrix

(As a percent of base)

 

				
	
Participant
	
Total Base Opportunity 1

	
 
	
Threshold
	
Target
	
Optimum

	
Level 1
	
 
	
 
	
 

	
CEO
	
37.5
	
75
	
112.5

	
Level 2
	
 
	
 
	
 

	
General Counsel
	
30
	
60
	
90

	
Level 3
	
 
	
 
	
 

	
Chief Administrative Officer
	
27.5
	
55
	
82.5

	
Level 4
	
 
	
 
	
 

	
Chief Information Officer
	
25
	
50
	
75

	
Chief Risk Officer
	
25
	
50
	
75

1 In the event FHLBank’s performance during the Base Performance Period results in the achievement of a Total Base Opportunity that exceeds 100% of a Participant’s base salary at the start of the Base Performance Period, the Total Base Opportunity shall be capped at 100% of the Participant’s base salary.

 

 

 

 

	
D.
	
Base Opportunity Metric Weights. The following metric weight for each goal metric is assigned to the Participants:

		
	
Objective
	
Weight

	
1.Adjusted Return Spread on Total Regulatory Capital
	
15%

	
2.GAAP Return Spread on Total Regulatory Capital
	
5%

	
3.Adjusted Net Income after Capital Charge
	
15%

	
4.GAAP Net Income after Capital Charge
	
5%

	
5.Member Product Utilization
	
10%

	
6.Diversity and Inclusion
	
10%

	
7.Risk Management - Market, Credit, Liquidity
	
20%

	
8.Risk Management - Compliance, Business, Operations 
	
20%

	
Total
	
100%

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00320-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00320-of-00352.parquet"}]]