Document:

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                                  Exhibit 10 X
                                  ------------

                         Executive Severance Agreement
                           with Wallace Mathai-Davis

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                                                                    Exhibit 10 X

                          EXECUTIVE SEVERANCE AGREEMENT
                          -----------------------------

          AGREEMENT by and between Mercantile Bankshares Corporation
("Mercshares"), Mercantile-Safe Deposit & Trust Company ("Merc-Safe")
(collectively the "Company"), and Wallace Mathai-Davis (the "Executive"),
effective on the 1st day of February, 2002.

          WHEREAS: The Executive has agreed to serve as Chairman, Investment and
Wealth Management of Mercshares and Merc-Safe; and

          WHEREAS: The Board of Directors of Mercshares (the "Board"), acting
upon the recommendation of its Compensation Committee, has determined that it is
in the best interests of Mercshares and its shareholders to assure that the
Company will have the continued dedication of the Executive as a key executive
of Mercshares and Merc-Safe, notwithstanding the possibility, threat or
occurrence of a Change of Control (as defined below) of Mercshares. The Board
believes it is necessary to diminish the inevitable distraction of the Executive
by virtue of the personal uncertainties and risks created by a pending or
threatened Change of Control, to encourage the Executive's full attention and
dedication to the Company currently and in the event of any threatened or
pending Change of Control (including determinations as to the best interests of
Mercshares and its shareholders should the possibility of a Change of Control of
Mercshares arise), and to provide the Executive with compensation arrangements
upon a Change of Control which provide the Executive with individual financial
security and which are competitive with those of other corporations and, in
order to accomplish these objectives, the Board has caused Mercshares to enter
into this Agreement. The Board of Directors of Merc-Safe has made similar
determinations and has caused Merc-Safe to enter into this Agreement.

          NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:

          1.   Certain Definitions.
               -------------------

              (a)  "Cause" shall mean (i) an act or acts of personal dishonesty
                    -----
taken by the Executive and intended to result in substantial personal enrichment
of the Executive at the

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expense of the Company, (ii) repeated material violations by the Executive of
his duties to the Company (as in effect immediately prior to the Effective Date)
which are demonstrably willful and deliberate on the Executive's part and which
are not remedied in a reasonable period of time after receipt of written notice
from the Company, or (iii) the conviction of the Executive of a felony.

          (b) "Change of Control" shall mean:
               -----------------

              (i)  The acquisition  (other than from Mercshares) by any person,
entity or "group", within the meaning of Section 13(d)(3) or 14(d)(2) of the
Securities Exchange Act of 1934 as in effect on the date hereof (the "Exchange
Act"), (excluding, for this purpose, Mercshares or its subsidiaries, and
excluding any acquisition of securities by any employee benefit plan of
Mercshares or its subsidiaries which shall have occurred prior to any other
event constituting a Change of Control hereunder) of beneficial ownership
(within the meaning of Rule 13d-3 promulgated under the Exchange Act as in
effect on the date hereof) of 20% or more of either the then outstanding shares
of common stock of Mercshares or the combined voting power of Mercshares' then
outstanding voting securities entitled to vote generally in the election of
directors (such common stock or then outstanding voting securities being
referred to herein as "Voting Securities"), calculated on the date of the
transaction causing the foregoing 20% test to be met, without regard to any
limitation upon the voting rights of any acquiring person under Maryland
statutes and without regard to the potential exercisability of rights, not
exercised on such date, pursuant to any Shareholder Protection Rights Agreement
of Mercshares then in effect; or

              (ii) Individuals  who, as of the date  hereof,  constitute  the
Board (as of the date hereof the "Incumbent Board") cease for any reason to
constitute at least 75% of the members of the Board, provided that any person
becoming a director subsequent to the date hereof whose election, or nomination
for election by the shareholders of Mercshares, is approved by a vote of at
least a majority of the directors then comprising the Incumbent Board (other
than an election or nomination of an individual whose initial assumption of
office is in connection

                                       2

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with an actual or threatened election contest relating to the election of the
Directors of Mercshares or other actual or threatened solicitation of proxies by
or on behalf of persons other than the Board) shall be, for purposes of this
Agreement, considered as though such person were a member of the Incumbent
Board; or

                   (iii)  Approval by the  stockholders  of Mercshares  of (A) a
reorganization, merger, consolidation or statutory share exchange, in each case,
with respect to which persons who are the holders of the outstanding Voting
Securities of Mercshares immediately prior to such reorganization, merger,
consolidation or statutory share exchange do not, immediately thereafter, own
more than 75% of the combined voting power entitled to vote generally in the
election of directors of the entity resulting from such reorganization, merger,
consolidation or statutory share exchange, or (B) a liquidation or dissolution
of Mercshares or the sale of all or substantially all of the assets of
Mercshares.

          (c)      "Change of Control Period" shall mean the period commencing
                    ------------------------
on the date hereof and ending on the third anniversary of such date; provided,
                                                                     --------
however, that commencing on the date one year after the date hereof, and on each
-------
annual anniversary of such date (such date and each annual anniversary thereof
hereinafter referred to as the "Renewal Date"), the Change of Control Period
shall be extended automatically so as to terminate on the third anniversary of
such Renewal Date, unless at least 60 days prior to the Renewal Date the Company
shall give notice that the Change of Control Period shall not be so extended,
but no such notice shall be given by the Company which would cause the Change of
Control Period to expire during the term of any employment agreement between the
Company and the Executive.

          (d)      "Date of Termination" shall mean for purposes of this
                    -------------------
Agreement the date of receipt of the Notice of Termination or any later date
specified therein, as the case may be; provided, however, that if the
                                       --------  -------
Executive's employment is terminated by the Company other than for Cause or
Disability, the Date of Termination shall be the date on which the Company
notifies the Executive of such termination.

                                       3

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                   (e)  "Effective Date" shall mean the first date during the
                         --------------
"Change of Control Period" on which a Change of Control occurs provided that the
Executive is employed by the Company on such date. Anything in this Agreement to
the contrary notwithstanding, if the Executive's employment with the Company has
terminated for any reason prior to the first date on which a Change of Control
occurs, this Agreement shall be null and void as of the date of such termination
of employment; provided, however, that if it is reasonably demonstrated that
               --------  -------
such termination (i) was at the request of a third party who has taken steps
reasonably calculated to effect a Change of Control, or (ii) otherwise arose in
connection with or anticipation of a Change of Control, then for all purposes of
this Agreement the "Effective Date" shall mean the date immediately prior to the
date of such termination.

                   (f)  "Good Reason" shall mean any of the following actions
                         -----------
which is effected by the Company without the consent of the Executive:

                        (i)   The assignment to the Executive of any duties
inconsistent in any respect with the Executive's position immediately prior to
the Effective Date (including status, offices, titles and reporting
requirements, authority, duties or responsibilities) or any other action by the
Company that results in a diminution in such position or in the nature and
quality of Executive's office facilities, secretarial and support assistance,
excluding for this purpose an isolated, insubstantial and inadvertent action
that is not taken in bad faith and that is remedied by the Company promptly
after receipt of notice thereof given by the Executive;

                        (ii)  Any reduction in Executive's compensation or
benefits from the levels of compensation and benefits in effect immediately
prior to the Effective Date (whether or not such reduction would be permitted
under any employment agreement), including but not limited to salary, bonuses
(under an annual incentive compensation plan or otherwise), expense allowance,
vacation time or other vacation benefits, excusal from performance of duties
under Company policies or agreements (by reason of illness, disability or other
factors), continuance of all Executive benefits and benefit plans and
preservation of Executive's levels of participation and benefits thereunder
(including any agreement between the Company and

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Executive, incentive compensation plan, deferred compensation arrangement,
pension or other retirement or profit-sharing plan, thrift and medical
reimbursement plan, health insurance or other health or disability plan, life
insurance plan, omnibus stock plan, stock option plan, stock purchase plan,
stock appreciation right plan, or any other Executive benefit plan or provision
for fringe benefits in effect immediately prior to the Effective Date), other
than an isolated, insubstantial or inadvertent failure to provide compensation
or benefits that is remedied by the Company promptly after receipt of notice
thereof given by the Executive;

                        (iii) The Company's requiring the Executive to be based
at any office or location other than the Company's principal offices within the
City of Baltimore, except for travel reasonably required in the performance of
the Executive's responsibilities;

                        (iv)  Any purported termination by the Company of the
Executive's employment otherwise than as expressly contemplated hereunder in the
case of Cause, or death pursuant to Section 2(a) of this Agreement, or
Disability pursuant to Section 2(b) of this Agreement; or

                        (v)   Any failure by the Company to comply with and
satisfy Section 6(c) of this Agreement.

            For purposes of this Agreement, any good faith determination of
"Good Reason" made by the Executive shall be conclusive.

                   (g)  "Notice of Termination"  shall mean a written notice
                         ---------------------
(from the Executive to the Company, or from the Company to the Executive, as the
case may be) that (i) indicates the specific basis for termination of
employment, (ii) sets forth in reasonable detail the facts and circumstances
claimed to provide the basis for termination of the Executive's employment, and
(iii) if the Date of Termination is other than the date of receipt of such
notice, specifies the termination date (which date shall be not more than 15
days after the giving of such notice). The failure by the Executive to set forth
in a Notice of Termination any fact or circumstance that contributes to a
showing of Good Reason shall not waive any right of the

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Executive hereunder or preclude the Executive from asserting such fact or
circumstance in enforcing his rights hereunder.

                  2.    Obligations of the Company upon Termination.
                        -------------------------------------------

                        (a) Death. If the Executive's employment is terminated
                            -----
by reason of the Executive's death prior to the delivery (i) by the Executive to
the Company of a Notice of Termination for Good Reason or (ii) by the Company to
the Executive of any notification of termination of the Executive's employment
other than for Cause or Disability, then this Agreement shall terminate without
further obligations to the Executive's legal representatives under this
Agreement.

                        (b) Disability. If the Executive's employment is
                            ----------
terminated by reason of the Executive's Disability, this Agreement shall
terminate without further obligations to the Executive under this Agreement. For
purposes of this Agreement, "Disability" shall mean termination of the
Executive's employment on account of disability as determined under any
governing agreement between the Executive and the Company or, if there is no
such agreement or such agreement does not provide a definition of "disability,"
then "Disability" shall mean disability as defined under the Company's long-term
disability insurance plan.

                        (c) Cause; Other Than for Good Reason. If the
                            ---------------------------------
Executive's employment shall be properly terminated for Cause or if the
Executive terminates employment other than for Good Reason, this Agreement shall
terminate without further obligations to the Executive under this Agreement.

                        (d) Good Reason; Other Than for Cause or Disability. If,
                            -----------------------------------------------
at any time during the period beginning with the Effective Date and ending on
the third anniversary of such date, the Company shall terminate the Executive's
employment other than for Cause, Disability or death, or if the Executive shall
terminate his employment with the Company for Good Reason, the Company shall pay
to the Executive in a lump sum in cash within 30 days after the Date of
Termination a severance payment, the value of which is three times the
Executive's base amount of compensation (as defined in Section 280G(b)(3) of the
Internal Revenue Code of 1986 (the

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"Code")) including, but not limited to, such items as salary, bonus, fringe
benefits, and deferred compensation, less one dollar ($1.00), subject, however,
to Section 3(b) of this agreement.

                  3.    Non-Exclusivity of Rights.
                        -------------------------

                        (a) Nothing in this Agreement shall prevent or limit the
Executive's continuing or future participation in any benefit, bonus, incentive
or other plans, programs, policies or practices, including those of the types
identified in Section 1(f)(ii) hereof, provided by the Company or any
subsidiaries of Mercshares and for which the Executive may qualify, nor shall
anything herein limit or otherwise affect such rights as the Executive may have
under any employment agreement, stock option or other agreements with the
Company or any subsidiaries of Mercshares. Amounts which are vested benefits or
which the Executive is otherwise entitled to receive under any plan, policy,
practice or program of the Company or any subsidiary of Mercshares at or
subsequent to the Date of Termination shall be payable in accordance with such
plan, policy, practice or program.

                        (b) If any benefit in the form of continued or
additional salary or bonus, or both, following termination of employment, is
provided for the Executive under any employment agreement with the Company
("Alternate Base Benefit"), the aggregate amount thereof shall be computed upon
the Date of Termination, and the cash payment to the Executive under Section
2(d) of this Agreement shall be the greater of the Alternate Base Benefit or the
amount set forth in said Section 2(d), and such payment shall satisfy the
Company's obligation with respect to the Alternate Base Benefit.

                  4.    Full Settlement.
                        ---------------

                        (a) The Company's obligation to make the payments
provided for in this Agreement and otherwise to perform its obligations
hereunder shall not be affected by any set-off, counterclaim, recoupment,
defense or other claim, right or action that the Company may have against the
Executive or others. In no event shall the Executive be obligated to seek other
employment or take any other action by way of mitigation of the amounts payable
to the Executive under any of the provisions of this Agreement. The Company
agrees to pay, to the

                                       7

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full extent permitted by law, all legal fees and expenses that the Executive may
reasonably incur as a result of any contest (regardless of the outcome thereof)
by the Company or others of the validity or enforceability of, or liability
under, any provision of this Agreement or any guarantee of performance thereof
(including as a result of any contest by the Executive about the amount of any
payment pursuant to Section 5 of this Agreement), plus in each case, interest at
the applicable Federal rate provided for in Section 7872(f)(2) of the Code.

                           (b)  If there shall be any dispute  between the
Company and the Executive (i) in the event of any termination of the Executive's
employment by the Company, whether such termination was for Cause, or (ii) in
the event of any termination of employment by the Executive, whether Good Reason
existed, then, unless and until there is a final, nonappealable judgment by a
court of competent jurisdiction declaring that such termination was for Cause or
that the determination by the Executive of the existence of Good Reason was not
made in good faith, the Company shall pay all amounts, and provide all benefits
to the Executive that the Company would be required to pay or provide pursuant
to this Agreement as though such termination were by the Company without Cause,
or by the Executive with Good Reason; provided, however, that the Company shall
not be required to pay any disputed amount pursuant to this paragraph except
upon receipt of an undertaking by or on behalf of the Executive to repay all
such amounts to which the Executive is ultimately adjudged by such court not to
be entitled.

                  5.       Certain Tax Matters.
                           -------------------
                           (a)      Anything in this  Agreement  to the contrary
notwithstanding, in the event it shall be determined that any payment or
distribution by the Company to or for the benefit of the Executive (whether paid
or payable or distributed or distributable pursuant to the terms of this
Agreement or otherwise, but determined without regard to any additional payments
required under this Section 5) (a"Payment") would be subject to the excise tax
imposed by Section 4999 of the Code or any interest or penalties are incurred by
the Executive with respect to such excise tax (such excise tax, together with
any such interest and penalties, are hereinafter collectively referred to as the
"Excise Tax"), payment (a "Gross-Up Payment") shall be made to

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the Executive in an amount such that after payment by the Executive of all taxes
(including any interest or penalties imposed with respect to such taxes),
including, without limitation, any income taxes (and any interest and penalties
imposed with respect thereto) and Excise Tax imposed upon the Gross-Up Payment,
the Executive retains an amount of the Gross-Up Payment equal to the Excise Tax
imposed upon the Payments.

                           (b)      Subject to the  provisions of Section 5(c),
all determinations required to be made under this Section 5 including whether
and when a Gross-Up Payment is required and the amount of such Gross-Up Payment
and the assumptions to be utilized in arriving at such determination, shall be
made by PricewaterhouseCoopers, LLP, or such other firm as shall be serving as
independent public accountants for Mercshares immediately prior to the Effective
Date (the "Accounting Firm") which shall provide detailed supporting
calculations both to the Company and the Executive within 15 business days of
the receipt of notice from the Executive that there has been a Payment, or such
earlier time as is requested by the Company. In the event that the Accounting
Firm is serving as accountant or auditor for the individual, entity or group
effecting the Change of Control, the Executive may appoint another nationally
recognized accounting firm to make the determinations required hereunder (which
accounting firm shall then be referred to as the Accounting Firm hereunder). All
fees and expenses of the Accounting Firm shall be borne solely by the Company.
Any Gross-Up Payment, as determined pursuant to this Section 5, shall be paid by
the Company to the Executive within five days of the receipt of the Accounting
Firm's determination. If the Accounting Firm determines that no Excise Tax is
payable by the Executive, it shall furnish the Executive with a written opinion
that failure to report the Excise Tax on the Executive's applicable federal
income tax return would not result in the imposition of a negligence or similar
penalty. Any determination by the Accounting Firm shall be binding upon the
Company and the Executive. As a result of the uncertainty in the application of
Section 4999 of the Code at the time of the initial determination by the
Accounting Firm hereunder, it is possible that Gross-Up Payments which will not
have been made by the Company should have been made ("Underpayment"), consistent
with the calculations required to

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be made hereunder. In the event that the Company exhausts its remedies pursuant
to Section 5(c) and the Executive thereafter is required to make a payment of
any Excise Tax, the Accounting Firm shall determine the amount of the
Underpayment that has occurred and any such Underpayment shall be promptly paid
by the Company to or for the benefit of the Executive.

                           (c)   The Executive shall notify the Company in
writing of any claim by the Internal Revenue Service that, if successful, would
require the payment by the Company of the Gross-Up Payment. Such notification
shall be given as soon as practicable but no later than ten business days after
the Executive is informed in writing of such claim and shall apprise the Company
of the nature of such claim and the date on which such claim is requested to be
paid. The Executive shall not pay such claim prior to the expiration of the
30-day period following the date on which it gives such notice to the Company
(or such shorter period ending on the date that any payment of taxes with
respect to such claim is due). If the Company notifies the Executive in writing
prior to the expiration of such period that it desires to contest such claim,
the Executive shall:

                                 (i)    give the Company any information
reasonably requested by the Company relating to such claim,

                                 (ii)   take such action in connection with
contesting such claim as the Company shall reasonably request in writing from
time to time, including, without limitation, accepting legal representation with
respect to such claim by an attorney reasonably selected by the Company,

                                 (iii)  cooperate with the Company in good faith
in order effectively to contest such claim, and

                                 (iv)   permit the Company to participate in any
proceedings relating to such claim; provided, however, that the Company shall
bear and pay directly all costs and expenses (including additional interest and
penalties) incurred in connection with such contest and shall indemnify and hold
the Executive harmless, on an after-tax basis, for any

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Excise Tax or income tax (including interest and penalties with respect thereto)
imposed as a result of such representation and payment of costs and expenses.
Without limitation on the foregoing provisions of this Section 5(c), the Company
shall control all proceedings taken in connection with such contest and, at its
sole option, may pursue or forgo any and all administrative appeals,
proceedings, hearings and conferences with the taxing authority in respect of
such claim and may, at its sole option, either direct the Executive to pay the
tax claimed and sue for a refund or contest the claim in any permissible manner,
and the Executive agrees to prosecute such contest to a determination before any
administrative tribunal, in a court of initial jurisdiction and in one or more
appellate courts, as the Company shall determine; provided, however, that if the
Company directs the Executive to pay such claim and sue for a refund, the
Company shall advance the amount of such payment to the Executive, on an
interest-free basis and shall indemnify and hold the Executive harmless, on an
after-tax basis, from any Excise Tax or income tax (including interest or
penalties with respect thereto) imposed with respect to such advance or with
respect to any imputed income with respect to such advance; and further provided
that any extension of the statute of limitations relating to payment of taxes
for the taxable year of the Executive with respect to which such contested
amount is claimed to be due is limited solely to such contested amount.
Furthermore, the Company's control of the contest shall be limited to issues
with respect to which a Gross-Up Payment would be payable hereunder and the
Executive shall be entitled to settle or contest, as the case may be, any other
issue raised by the Internal Revenue Service or any other taxing authority.

                           (d)    If, after the receipt by the Executive of an
amount advanced by the Company pursuant to Section 5(c), the Executive becomes
entitled to receive any refund with respect to such claim, the Executive shall
(subject to the Company's complying with the requirements of Section 5(c))
promptly pay to the Company the amount of such refund (together with any
interest paid or credited thereon after taxes applicable thereto). If, after the
receipt by the Executive of an amount advanced by the Company pursuant to
Section 5(c), a determination is made that the Executive shall not be entitled
to any refund with respect to such claim and the

                                       11

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Company does not notify the Executive in writing of its intent to contest such
denial of refund prior to the expiration of 30 days after such determination,
then such advance shall be forgiven and shall not be required to be repaid and
the amount of such advance shall offset, to the extent thereof, the amount of
Gross-Up Payment required to be paid.

                  6.       Successors.
                           ----------
                           (a)      This Agreement is personal to the Executive
and without the prior written consent of the Company shall not be assignable by
the Executive otherwise than by will or the laws of descent and distribution.
This Agreement shall inure to the benefit of and be enforceable by the
Executive's legal representatives.

                           (b)      This Agreement shall inure to the benefit of
and be binding upon the Company and its successors and assigns.

                           (c)      The Company shall require any successor
(whether direct or indirect, by purchase, merger, consolidation, share exchange
or otherwise) to all or substantially all of the business and/or assets of the
Company to assume expressly and agree to perform this Agreement in the same
manner and to the same extent that the Company would be required to perform it
if no such succession had taken place. As used in this Agreement, "Company"
shall mean the Company as hereinbefore defined and any successor to its business
and/or assets as aforesaid which assumes and agrees to perform this Agreement by
operation of law or otherwise.

                  7.       Miscellaneous.
                           -------------
                           (a)      This Agreement shall be governed by and
construed in accordance with the laws of the State of Maryland, without
reference to principles of conflict of laws. The captions of this Agreement are
not part of the provisions hereof and shall have no force or effect. This
Agreement may not be amended or modified otherwise than by a written agreement
executed by the parties hereto or their respective successors and legal
representatives.

                           (b)      All notices and other communications
hereunder shall be in writing and shall be given by hand delivery to the other
party or by registered or certified mail, return receipt requested, postage
prepaid, addressed as follows:

                                       12

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                  If to the Executive:
                  -------------------

                  Wallace Mathai-Davis
                  Mercantile Bankshares Corporation
                  2 Hopkins Plaza
                  Baltimore, Maryland  21201

                  If to the Company:
                  -----------------

                  Mercantile Bankshares Corporation
                  2 Hopkins Plaza
                  Baltimore, Maryland  21201
                  Attention: Corporate Secretary

or to such other address as either party shall have furnished to the other in
writing in accordance herewith. Notice and communications shall be effective
when actually received by the addressee.

                           (c)      The invalidity or unenforceability of any
provision of this Agreement shall not affect the validity or enforceability of
any other provision of this Agreement.

                           (d)      Any act, omission, right, obligation or
activity of Mercshares or Merc-Safe shall be deemed an act, omission, right,
obligation or activity of the Company hereunder, and each of Mercshares and
Merc-Safe is jointly and severally liable under this Agreement. The
unenforceability or invalidity of this Agreement with respect to either such
party shall not affect the enforceability or validity of this Agreement with
respect to the other such party.

                           (e)      The Company may withhold from any amounts
payable under this Agreement such Federal, state or local taxes as shall be
required to be withheld pursuant to any applicable law or regulation.

                                       13

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                           (f)      The Executive's failure to insist upon
strict compliance with any provision hereof shall not be deemed to be a waiver
of such provision or any other provision thereof.

                           (g)      This Agreement contains the entire
understanding of the Company and the Executive with respect to the subject
matter hereof, preserving, however, the rights and obligations of any party
under any employment agreement or other agreements or benefit plans.
Notwithstanding any contrary provision of any other agreement, following any
termination of Executive occurring after the Effective Date, whether for Cause,
Good Reason or any other reason, Executive shall be free to engage in any
activity competitive with any activity of the Company or any affiliate of the
Company, through employment by or ownership of securities of any other entity or
otherwise. Upon and following the Effective Date, the definition of "Cause" in
Section 1(a) of this Agreement shall supercede and replace any definition of
"cause" or "good cause" for termination of employment in any employment
agreement between the Executive and the Company.

                  IN WITNESS WHEREOF, the Executive has hereunto set his hand
and, pursuant to the authorization from their respective Board of Directors,
each of Mercshares and Merc-Safe has caused these presents to be executed in its
name and on its behalf, all as of the day and year first above written.

WITNESS:

/s/ Dennis W. Kreiner                          /s/ Wallace Mathai-Davis
---------------------                          ------------------------
                                               Wallace Mathai-Davis

                                       14

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ATTEST:                               MERCANTILE BANKSHARES
                                      CORPORATION

/s/ Alan D. Yarbro                    By: /s/ Edward J. Kelly, III
------------------                        ---------------------------
ALAN D. YARBRO                            EDWARD J. KELLY, III
Secretary                                 President and Chief
                                          Executive Officer

ATTEST:                               MERCANTILE-SAFE DEPOSIT
                                      & TRUST COMPANY

/s/ Alan D. Yarbro                    By: /s/ Edward J. Kelly, III
------------------                        ---------------------------
ALAN D. YARBRO                            EDWARD J. KELLY, III
Secretary                                 Chairman and Chief Executive Officer

                                       15<PAGE>

                                                                    Exhibit 10.2

                    [NEW ENGLAND BANCSHARES, INC. LETTERHEAD]

                                _________ , 2002

Enfield Federal Savings and Loan Association
660 Enfield Street
Enfield, Connecticut 06082

Dear :

       This letter confirms the commitment of New England Bancshares, Inc.,
(the "Company") to fund a leveraged ESOP in an amount sufficient to purchase 8%
of the shares offered in the reorganization of Enfield Federal Savings and Loan
Association from a mutual savings and loan association to a mutual holding
company and the concurrent stock offering by the Company (the "reorganization").
This loan commitment is subject to the following terms and conditions:

       1.  Lender:   New England Bancshares, Inc.
           ------

       2.  Borrower: Enfield Federal Savings and Loan Association Employee Stock
           --------
           Ownership       Plan Trust.

       3.  Trustee:
           -------   ________________________

       4.  Security:  Unallocated shares of stock of the Company  held in the
           --------
           Enfield  Federal Savings and Loan Association Employee Stock
           Ownership Plan Trust.

       5.  Maturity:  Up to 10 years.
           --------

       6.  Amortization:  Equal annual principal and interest payments
           ------------

       7.  Pricing:
           -------

           a.   Lowest "prime rate" as published in the Wall Street Journal on
                the date of the loan transaction.

       8.  Interest Payments:
           -----------------

<PAGE>

                  a.     Annual on a 365 day basis.

         9.       Prepayment:  Voluntary prepayments are permitted at any
                  ----------
                  time, provided the borrower gives notice to the lender of
                  prepayment, and any prepayment shall be in an amount not less
                  than $1,000.

         10.      Conditions Precedent to Closing: Receipt by the Company and
                  -------------------------------
                  the Borrower of all supporting loan documents in a form and
                  with terms and conditions satisfactory to the Company and its
                  counsel and the Borrower and its counsel. Consummation of the
                  transaction will also be contingent upon no material adverse
                  change occurring in the condition of Enfield Federal Savings
                  and Loan Association or the Company.

         If the above terms and conditions are agreeable to you, please indicate
your acceptance by signing the enclosed copy and returning it to my attention.

                                              Sincerely,

                                              [authorized signature]

Accepted on Behalf of
Enfield Federal Savings and Loan Association
Employee Stock Ownership Plan Trust

By:      _________________________________    Date:    _____________________

<PAGE>

                                     FORM OF
                                     -------
                                 LOAN AGREEMENT
                                 --------------

         THIS LOAN AGREEMENT ("Loan Agreement") is made and entered into as of
the ______ day of _____________, 2002, by and between the ENFIELD FEDERAL
SAVINGS AND LOAN ASSOCIATION EMPLOYEE STOCK OWNERSHIP PLAN TRUST ("Borrower"), a
trust forming part of the Enfield Federal Savings and Loan Association Employee
Stock Ownership Plan ("ESOP"); and NEW ENGLAND BANCSHARES, INC. ("Lender"), a
corporation organized and existing under the laws of the United States of
America.

                               W I T N E S S E T H

         WHEREAS, the Borrower is authorized to purchase shares of common stock
of New England Bancshares, Inc. ("Common Stock"), either directly from New
England Bancshares, Inc. or in open market purchases in an amount not to exceed
66,654 shares of Common Stock.

         WHEREAS, the Borrower is authorized to borrow funds from the Lender for
the purpose of financing authorized purchases of Common Stock; and

         WHEREAS, the Lender is willing to make a loan to the Borrower for such
purpose:

         NOW, THEREFORE, the parties agree hereto as follows:

                                    ARTICLE I
                                    ---------

                                   DEFINITIONS
                                   -----------

         The following definitions shall apply for purposes of this Loan
Agreement, except to the extent that a different meaning is plainly indicated by
the context:

         Business Day means any day other than a Saturday, Sunday or other day
         ------------
on which banks are authorized or required to close under federal or local law.

         Code means the Internal Revenue Code of 1986 (including the
         ----
corresponding provisions of any succeeding law).

         Default means an event or condition which would constitute an Event of
         -------
Default. The determination as to whether an event or condition would constitute
an Event of Default shall be determined without regard to any applicable
requirements of notice or lapse of time.

         ERISA means the Employee Retirement Income Security Act of 1974, as
         -----
amended (including the corresponding provisions of any succeeding law).

         Event of Default means an event or condition described in Article 5.
         ----------------

<PAGE>

         Loan means the loan described in section 2.1
         ----

         Loan Documents means, collectively, the Loan Agreement, the Promissory
         --------------
Note and the Pledge Agreement and all other documents now or hereafter executed
and delivered in connection with such documents, including all amendments,
modifications and supplements of or to all such documents.

         Pledge Agreement means the agreement described in section 2.8(a).
         ----------------

         Principal Amount means the face amount of the Promissory Note,
         ----------------
determined as set forth in section 2.1(c).

         Promissory Note means the promissory note described in section 2.3.
         ---------------

         Register means the register described in section 2.9.
         --------

                                   ARTICLE II
                                   ----------

                           THE LOAN; PRINCIPAL AMOUNT;
                       INTEREST; SECURITY; INDEMNIFICATION
                       -----------------------------------

         Section 2.1    The Loan; Principal Amount.
                        --------------------------

         (a)   The Lender hereby agrees to lend to the Borrower such amount, and
at such time, as shall be determined under this Section 2.1; provided, however,
that in no event shall the aggregate amount lent under this Loan Agreement from
time to time exceed the greater of (i) $666,540 or (ii) the aggregate amount
paid by the Borrower to purchase up to 66,654 shares of Common Stock.

         (b)   Subject to the limitations of Section 2.1(a), the Borrower shall
determine the amounts borrowed under this Agreement, and the time at which such
borrowings are effected. Each such determination shall be evidenced in a writing
which shall set forth the amount to be borrowed and the date on which the Lender
shall disburse such amount, and such writing shall be furnished to the Lender by
notice from the Borrower. The Lender shall disburse to the Borrower the amount
specified in each such notice on the date specified therein or, if later, as
promptly as practicable following the Lender's receipt of such notice; provided,
however, that the Lender shall have no obligation to disburse funds pursuant to
this Agreement following the occurrence of a Default or an Event of Default
until such time as such Default or Event of Default shall have been cured.

         (c)   For all purposes of this Loan Agreement, the Principal Amount on
any date shall be equal to the excess, if any, of:

         (i)   the aggregate amount disbursed by the Lender pursuant to section
         2.1(b) on or before such date; over

                                       2

<PAGE>

         (ii)  the aggregate amount of any repayments of such amounts made
         before such date.

The Lender shall maintain on the Register a record of, and shall record in the
Promissory Note, the Principal Amount, any changes in the Principal Amount and
the effective date of any changes in the Principal Amount.

         Section 2.2       Interest.
                           --------

         (a)   The Borrower shall pay to the Lender interest on the Principal
Amount, for the period commencing with the first disbursement of funds under
this Loan Agreement and continuing until the Principal Amount shall be paid in
full, at the rate of_______________ percent (____%) per annum. Interest payable
under this Agreement shall be computed on the basis of a year of 365 days and
actual days elapsed (including the first day but excluding the last) occurring
during the period to which the computation relates.

         (b)   Accrued interest on the Principal Amount shall be payable by the
Borrower on the dates set forth in Schedule I to the Promissory Note. All
interest on the Principal Amount shall be paid by the Borrower in immediately
available funds.

         (c)   Anything in the Loan Agreement or the Promissory Note to the
contrary notwithstanding, the obligation of the Borrower to make payments of
interest shall be subject to the limitation that payments of interest shall not
be required to be made to the Lender to the extent that the Lender's receipt
thereof would not be permissible under the law or laws applicable to the Lender
limiting rates of interest which may be charged or collected by the Lender. Any
such payment referred to in the preceding sentence shall be made by the Borrower
to the Lender on the earliest interest payment date or dates on which the
receipt thereof would be permissible under the laws applicable to the Lender
limiting rates of interest which may be charged or collected by the Lender. Such
deferred interest shall not bear interest.

         Section 2.3       Promissory Note.
                           ---------------

         The Loan shall be evidenced by the Promissory Note of the Borrower
attached hereto as an exhibit payable to the order of the lender in the
Principal Amount and otherwise duly completed.

         Section 2.4       Payment of Trust Loan.
                           ---------------------

         The Principal Amount of the Loan shall be repaid in accordance with
Schedule I to the Promissory Note on the dates specified therein until fully
paid.

                                       3

<PAGE>

         Section 2.5   Prepayment.
                       ----------

         The Borrower shall be entitled to prepay the Loan in whole or in part,
at any time and from time to time; provided, however, that the Borrower shall
give notice to the Lender of any such prepayment; and provided, further, that
any partial prepayment of the Loan shall be in an amount not less than $1,000.
Any such prepayment shall be: (a) permanent and irrevocable; (b) accompanied by
all accrued interest through the date of such prepayment; (c) made without
premium or penalty; and (d) applied on the inverse order of the maturity of the
installment thereof unless the Lender and the Borrower agree to apply such
prepayments in some other order.

         Section 2.6   Method of Payments.
                       ------------------

         (a) All payments of principal, interest, other charges (including
indemnities) and other amounts payable by the Borrower hereunder shall be made
in lawful money of the United States, in immediately available funds, to the
Lender at the address specified in or pursuant to this Loan Agreement for
notices to the Lender, on the date on which such payment shall become due. Any
such payment made on such date but after such time shall, if the amount paid
bears interest, and except as expressly provided to the contrary herein, be
deemed to have been made on, and interest shall continue to accrue and be
payable thereon until, the next succeeding Business Day. If any payment of
principal or interest becomes due on a day other than a Business Day, such
payment may be made on the next succeeding Business Day, and when paid, such
payment shall include interest to the day on which payment is in fact made.

         (b) Notwithstanding anything to the contrary contained in this Loan
Agreement or the Promissory Note, the Borrower shall not be obligated to make
any payment, repayment or prepayment on the Promissory Note if doing so would
cause the ESOP to cease to be an employee stock ownership plan within the
meaning of section 4975(e)(7) of the Code or qualified under section 401(a) of
the Code or cause the Borrower to cease to be a tax exempt trust under section
501(a) of the Code or if such act or failure to act would cause the Borrower to
engage in any "prohibited transaction" as such term is defined in the section
4975(c) of the Code and the regulations promulgated thereunder which is not
exempted by section 4975(c)(2) or (d) of the Code and the regulations
promulgated thereunder or in section 406 of ERISA and the regulations
promulgated thereunder which is not exempted by section 408(b) of ERISA and the
regulations promulgated thereunder; provided, however, that in each case, the
Borrower, may act or refrain from acting pursuant to this section 2.6(b) on the
basis of an opinion of counsel, and any opinion of such counsel. The Borrower
may consult with counsel, and any opinion of such counsel shall be full and
complete authorization and protection in respect of any action taken or suffered
or omitted by it hereunder in good faith and in accordance with such opinion of
counsel. Nothing contained in this section 2.6(b) shall be construed as imposing
a duty on the Borrower to consult with counsel. Any obligation of the Borrower
to make any payment, repayment or prepayment on the Promissory Note or refrain
from taking any other act hereunder or under the Promissory Note which is
excused pursuant to this section 2.6(b) shall be considered a binding obligation
of the Borrower, or both, as the case may be, for the purposes of determining
whether a Default or Event of Default has occurred hereunder or

                                       4

<PAGE>

under the Promissory Note and nothing in this section 2.6(b) shall be construed
as providing a defense to any remedies otherwise available upon a Default or an
Event of Default hereunder (other than the remedy of specific performance).

         Section 2.7     Use of Proceeds of Loan.
                         -----------------------

         The entire proceeds of the Loan shall be used solely for acquiring
shares of Common Stock, and for no other purpose whatsoever.

         Section 2.8     Security.
                         --------

         (a)  In order to secure the due payment and performance by the Borrower
of all of its obligations under this Loan Agreement, simultaneously with the
execution and delivery of this Loan Agreement by the Borrower, the Borrower
shall:

         (i)  pledge to the Lender as Collateral (as defined in the Pledge
         Agreement), and grant to the Lender a first priority lien on and
         security interest in, the Common Stock purchased with the Principal
         Amount, by the execution and delivery to the lender of the Pledge
         Agreement attached hereto as an exhibit; and

         (ii) execute and deliver, or cause to be executed and delivered, such
         other agreement, instruments and documents as the Lender may reasonably
         require in order to effect the purposes of the Pledge Agreement and
         this Loan Agreement.

         (b)  The Lender shall release from encumbrance under the Pledge
Agreement and transfer to the Borrower, as of the date on which any payment or
repayment of the Principal Amount is made, a number of shares of Common Stock
held as Collateral determined pursuant to the applicable provisions of the ESOP.

         Section 2.9     Registration of the Promissory Note.
                         -----------------------------------

         (a)  The Lender shall maintain a Register providing for the
registration of the Principal Amount and any stated interest and of transfer and
exchange of the Promissory Note. Transfer of the Promissory Note may be effected
only by the surrender of the old instrument and either the reissuance by the
Borrower of the old instrument to the new holder or the issuance by the Borrower
of a new instrument to the new holder. The old Promissory Note so surrendered
shall be canceled by the Lender and returned to the Borrower after such
cancellation.

         (b)  Any new Promissory Note issued pursuant to section 2.9(a) shall
carry the same rights to interest (unpaid and to accrue) carried by the
Promissory Note so transferred or exchanged so that there will not be any loss
or gain of interest on the note surrender. Such new Promissory Note shall be
subject to all of the provisions and entitled to all of the benefits of this
Agreement. Prior to due presentment for registration or transfer, the Borrower
may deem and treat the registered holder of any Promissory Note as the holder
thereof for purposes of payment and other purposes. A notation

                                       5

<PAGE>

shall be made on each new Promissory Note of the amount of all payments of
principal and interest theretofore paid.

                                   ARTICLE III
                                   -----------

                 REPRESENTATIONS AND WARRANTIES OF THE BORROWER
                 ----------------------------------------------

         The Borrower hereby represents and warrants to the Lender as follows:

         Section 3.1   Power, Authority, Consents.
                       --------------------------

         The Borrower has the power to execute, deliver and perform this Loan
Agreement, the Promissory Note and Pledge Agreement, all of which have been duly
authorized by all necessary and proper corporate or other action.

         Section 3.2   Due Execution, Validity, Enforceability.
                       ---------------------------------------

         Each of the Loan Documents, including, without limitation, this Loan
Agreement, the Promissory Note and the Pledge Agreement, has been duly executed
and delivered by the Borrower; and each constitutes the valid and legally
binding obligation of the Borrower, enforceable in accordance with its terms.

         Section 3.3   Properties, Priority of Liens.
                       -----------------------------

         The liens which have been created and granted by the Pledge Agreement
constitute valid, first liens on the properties and assets covered by the Pledge
Agreement, subject to no prior or equal lien.

         Section 3.4   No Defaults, Compliance with Laws.
                       ---------------------------------

         The Borrower is not in default in any material respect under any
agreement, ordinance, resolution, decree, bond, note, indenture, order or
judgement to which it is a party or by which it is bound, or any other agreement
or other instrument by which any of the properties or assets owned by it is
materially affected.

         Section 3.5   Purchase of Common Stock.
                       ------------------------

         Upon consummation of any purchase of Common Stock by the Borrower with
the proceeds of the Loan, the Borrower shall acquire valid, legal and marketable
title to all of the Common Stock so purchased, free and clear of any liens,
other than a pledge to the Lender of the Common Stock so purchased pursuant to
the Pledge Agreement. Neither the execution and delivery of the Loan Documents
nor the performance of any obligation thereunder violates any provisions of law
or conflicts with or results in a breach of or creates (with or without the
giving of notice of lapse of time, or both) a default under any agreement to
which the Borrower is a party or by which it is bound

                                       6

<PAGE>

or any of its properties is affected. No consent of any federal, state, or local
governmental authority, agency, or other regulatory body, the absence of which
could have a materially adverse effect on the Borrower or the Trustee, is or was
required to be obtained in connection with the execution, delivery, or
performance of the Loan Documents and the transaction contemplated therein or in
connection therewith, including without limitation, with respect to the transfer
of the shares of Common Stock purchased with the proceeds of the Loan pursuant
thereto.

         Section 3.6    ESOP; Contributions.
                        -------------------

         As of the effective date of the ESOP sponsor's reorganization, the ESOP
and the Borrower will be duly created, organized and maintained by the ESOP
sponsor in compliance with all applicable laws, regulations and rulings. The
ESOP will qualify as an "employee stock ownership plan" as defined in section
4975(e)(7) of the Code. The ESOP provides that the ESOP sponsor may make
contributions to the ESOP in an amount necessary to enable the Trustee to
amortize the Loan in accordance with the terms of the Promissory Note; provided,
however, that no such contributions shall be required if they would adversely
affect the qualification of the ESOP under section 401(a) of the Code.

         Section 3.7    Trustee.
                        -------

         The trustees of the ESOP have been duly appointed by the ESOP sponsor.

         Section 3.8    Compliance with Laws; Actions.
                        -----------------------------

         Neither the execution and delivery by the Borrower of this Loan
Agreement or any instruments required thereby, nor compliance with the terms and
provisions of any such documents by the lender, constitutes a violation of any
provision of any law or any regulation, order, writ, injunction or decree or any
court or governmental instrumentality, or an event of default under any
agreement, to which the Borrower is a party of which the Borrower is bound or to
which the Borrower is subject, which violation or event of default would have a
material adverse effect on the Borrower. There is no action or proceeding
pending or threatened against either the ESOP or the Borrower before any court
or administrative agency.

                                       7

<PAGE>

                                   ARTICLE IV
                                   ----------

                  REPRESENTATIONS AND WARRANTIES OF THE LENDER
                  --------------------------------------------

         The Lender hereby represents and warrants to the Borrower as follows:

         Section 4.1    Power, Authority, Consents.
                        --------------------------

         The Lender has the power to execute, deliver and perform this Loan
Agreement, the Pledge Agreement and all documents executed by the Lender in
connection with the Loan, all of which have been duly authorized by all
necessary and proper corporate or other action. No consent, authorization or
approval or other action by any governmental authority or regulatory body, and
no notice by the Lender to, or filing by the Lender with any governmental
authority or regulatory body is required for the due execution, delivery and
performance of this Loan Agreement.

         Section 4.2    Due Execution, Validity, Enforceability.
                        ---------------------------------------

         This Loan Agreement and the Pledge Agreement have been duly executed
and delivered by the Lender, and each constitutes a valid and legally binding
obligation of the Lender, enforceable in accordance with its terms.

                                    ARTICLE V
                                    ---------

                                EVENTS OF DEFAULT
                                -----------------

         Section 5.1    Events of Default under Loan Agreement.
                        --------------------------------------

         Each of the following events shall constitute an "Event of Default"
hereunder:

         (a) Failure to make any payment or mandatory prepayment of principal of
the Promissory Note when due, or failure to make any payment of interest on the
Promissory Note not later than five (5) Business Days after the date when due.

         (b) Failure by the Borrower to perform or observe any term, condition
or covenant of this Loan Agreement or of any of the other Loan Documents,
including without limitation, the Promissory Note and the Pledge Agreement.

         (c) Any representation or warranty made in writing to the Lender in any
of the Loan Documents, or any certificate, statement or report made or delivered
in compliance with this Loan Agreement, shall have been false or misleading in
any material respect when made or delivered.

                                       8

<PAGE>

         Section 5.2   Lender's Rights upon Event of Default.
                       -------------------------------------

         If an Event of Default under this Loan Agreement shall occur and be
continuing, the Lender shall have no rights to assets of the Borrower other
than: (a) contributions (other than contributions of Common Stock) that are made
by the ESOP sponsor to enable the Borrower to meet its obligations pursuant to
this Loan Agreement and earnings attributable to the investment of such
contributions and (b) "Eligible Collateral" (as defined in the Pledge
Agreement); provided, however, that; (i) the value of the Borrower's assets
transferred to the Lender following an Event of Default in satisfaction of the
due and unpaid amount of the Loan shall not exceed the amount in default
(without regard to amounts owing solely as a result of any acceleration of the
Loan); (ii) the Borrower's assets shall be transferred to the Lender following
an Event of Default only to the extent of the failure of the Borrower to meet
the payment schedule of the Loan; and (iii) all rights of the Lender to the
Common Stock purchased with the proceeds of the Loan covered by the Pledge
Agreement following an Event of Default shall be governed by the terms of the
Pledge Agreement.

                                   ARTICLE VI
                                   ----------

                            Miscellaneous Provisions
                            ------------------------

         Section 6.1   Payments Due to the Lender.
                       --------------------------

         If any amount is payable by the Borrower to the Lender pursuant to any
indemnity obligation contained herein, then the Borrower shall pay, at the time
or times provided therefor, any such amount and shall indemnify the Lender
against and hold it harmless from any loss of damage resulting from or arising
out of the nonpayment or delay in payment of any such amount. If any amounts as
to which the Borrower has so indemnified the Lender hereunder shall be assessed
or levied against the Lender, the Lender may notify the Borrower and make
immediate payment thereof, together with interest or penalties in connection
therewith, and shall thereupon be entitled to and shall receive immediate
reimbursement therefor from the Borrower together with interest on each such
amount as provided in section 2.2(c). Notwithstanding any other provision
contained in this Loan Agreement, the covenants and agreements of the Borrower
contained in this section 6.1 shall survive: (a) payment of the Promissory Note
and (b) termination of this Loan Agreement.

         Section 6.2   Payments.
                       --------

         All payments hereunder and under the Promissory Note shall be made
without set-off or counterclaim and in such amounts as may be necessary in order
that all such payments shall not be less than the amounts otherwise specified to
be paid under this Loan Agreement and the Promissory Note, subject to any
applicable tax withholding requirements. Upon payment in full of the Promissory
Note, the Lender shall mark such Promissory Note "Paid" and return it to the
Borrower.

                                       9

<PAGE>

         Section 6.3   Survival.
                       --------

         All agreements, representations and warranties made herein shall
survive the delivery of this Loan Agreement and the Promissory Note.

         Section 6.4   Modifications, Consents and Waivers; Entire Agreement.
                       -----------------------------------------------------

         No modification, amendment or waiver of or with respect to any
provision of this Loan Agreement, the Promissory Note, the Pledge Agreement, or
any of the other Loan Documents, nor consent to any departure from any of the
terms or conditions thereof, shall in any event be effective unless it shall be
in writing and signed by the party against whom enforcement thereof is sought.
Any such waiver or consent shall be effective only in the specific instance and
for the purpose for which given. No consent to or demand on a party in any case
shall, of itself, entitle it to any other or further notice or demand in similar
or other circumstances. This Loan Agreement embodies the entire agreement and
understanding between the Lender and the Borrower and supersedes all prior
agreements and understandings relating to the subject matter hereof.

         Section 6.5   Remedies Cumulative.
                       -------------------

         Each and every right granted to the Lender hereunder or under any other
document delivered hereunder or in connection herewith, or allowed it by law or
equity, shall be cumulative and may be exercised from time to time. No failure
on the part of the Lender or the holder of the Promissory Note to exercise, and
no delay in exercising, any right shall operate as a waiver thereof, nor shall
any single or partial exercise of any right preclude any other or future
exercise thereof or the exercise of any other right. The due payment and
performance of the obligations under the Loan Documents shall be without regard
to any counterclaim, right of offset or any other claim whatsoever which the
Borrower may have against the Lender and without regard to any other obligation
of any nature whatsoever which the Lender may have to the Borrower, and no such
counterclaim or offset shall be asserted by the Borrower in any action, suit or
proceeding instituted by the Lender for payment or performance of such
obligations.

         Section 6.6   Further Assurances; Compliance with Covenants.
                       ---------------------------------------------

         At any time and from time to time, upon the request of the Lender, the
Borrower shall execute, deliver and acknowledge or cause to be executed,
delivered and acknowledged, such further documents and instruments and do such
other acts and things as the Lender may reasonably request in order to fully
effect the terms of this Loan Agreement, the Promissory Note, the Pledge
Agreement, the other Loan Documents and any other agreements, instruments and
documents delivered pursuant hereto or in connection with the Loan.

                                       10

<PAGE>

         Section 6.7   Notices.
                       -------

         Except as otherwise specifically provided for herein, all notice,
requests, reports and other communications pursuant to this Loan Agreement shall
be in writing, either by letter (delivered by hand or commercial messenger
service or sent by registered or certified mail, return receipt requested,
except for routine reports delivered in compliance with Article VI hereof which
may be sent by ordinary first-class mail) or telex or telecopier addressed as
follows:

         (a)           If to the Borrower:

                       Enfield Federal Savings and Loan Association Employee
                        Stock Ownership Plan and Trust
                       c/o __________________________

         (b)           If to the Lender:

                       New England Bancshares, Inc.
                       c/o David O'Connor
                       660 Enfield Street
                       Enfield, Connecticut 06082

Any notice, request or communication hereunder shall be deemed to have been
given on the day on which it is delivered by hand or by commercial messenger
service, or sent by telex or telecopier, to such party at its address specified
above, or, if sent by mail, on the third Business Day after the day deposited in
the mail, postage prepaid, addressed as aforesaid. Any party may change the
person or address to whom or which notices are to be given hereunder, by notice
duly given hereunder; provided, however, that any such notice shall be deemed to
have been given only when actually received by the party to whom it is
addressed.

         Section 6.8   Counterparts.
                       ------------

         This Loan Agreement may be signed in any number of counterparts which,
when taken together, shall constitute one and the same document.

         Section 6.9   Construction; Governing Law.
                       ---------------------------

         The headings used in the table of contents and in this Loan Agreement
are for convenience only and shall not be deemed to constitute a part hereof.
All uses herein of any gender or of singular or plural terms shall be deemed to
include uses of the other genders or plural or singular terms, as the context
may require. All references in this Loan Agreement of an Article or section
shall be to an Article or section of this Loan Agreement, unless otherwise
specified. This Loan Agreement, the Promissory Note, the Pledge Agreement and
the other Loan Documents shall be governed by, and construed and interpreted in
accordance with, the laws of the State of Connecticut.

                                       11

<PAGE>

         Section 6.10  Severability.
                       ------------

         Wherever possible, each provision of this Loan Agreement shall be
interpreted in such manner as to be effective and valid under applicable law;
however, the provisions of this Loan Agreement are severable, and if any clause
of provision hereof shall be held invalid or unenforceable in whole or in part
in any jurisdiction, then such invalidity or unenforceability shall affect only
such clause or provision, or part thereof, in such jurisdiction and shall not in
any manner affect such clause or provision in any other jurisdiction, or any
other clause or provisions in this Loan Agreement in any jurisdiction. Each of
the covenants, agreements and conditions contained in this Loan Agreement
independent, and compliance by a party with any of them shall not excuse
non-compliance by such party with any other. The Borrower shall not take any
action the effect of which shall constitute a breach or violation of any
provision of this Loan Agreement.

         Section 6.11  Binding Effect: No Assignment or Delegation.
                       -------------------------------------------

         This Loan Agreement shall be binding upon and inure to the benefit of
the Borrower and its successors and the Lender and its successors and assigns.
The rights and obligations of the Borrower under this Agreement shall not be
assigned or delegated without the prior written consent of the Lender, and any
purported assignment or delegation without such consent shall be void.

         IN WITNESS WHEREOF, the parties have caused this Loan Agreement to be
executed as of the date first written above.

                                            ENFIELD FEDERAL SAVINGS AND LOAN
                                            ASSOCIATION EMPLOYEE STOCK
                                            OWNERSHIP PLAN TRUST

                                            ____________________________
                                            _____________________________,
                                              as Trustee

                                            NEW ENGLAND BANCSHARES, INC.

                                            By:_________________________________
                                               For the Entire Board of Directors

                                       12

<PAGE>

                                     FORM OF
                                     -------
                                PLEDGE AGREEMENT
                                ----------------

         THIS PLEDGE AGREEMENT ("Pledge Agreement") is made as of the ________
day of _________________________, 2002, by and between the ENFIELD FEDERAL
SAVINGS AND LOAN ASSOCIATION EMPLOYEE STOCK OWNERSHIP PLAN TRUST ("Pledgor"),
and NEW ENGLAND BANCSHARES, INC., a corporation organized and existing under the
laws of the United States of America ("Pledgee").

                               W I T N E S S E T H

         WHEREAS, this Pledge Agreement is being executed and delivered to the
Pledgee pursuant to the terms of a Loan Agreement ("Loan Agreement"), by and
between the Pledgor and the Pledgee;

         NOW, THEREFORE, in consideration of the mutual agreements contained
herein and in the Loan Agreement, the parties hereto do hereby covenant and
agree as follows:

         Section 1. Definitions. The following definitions shall apply for
                    -----------
purposes of this Pledge Agreement, except to the extent that a different meaning
is plainly indicated by the context; all capitalized terms used but not defined
herein shall have the respective meanings assigned to them in the Loan
Agreement:

         Collateral shall mean the Pledged Shares and, subject to section 5
         ----------
hereof, and to the extent permitted by applicable law, all rights with respect
thereto, and all proceeds of such Pledged Shares and rights.

         ESOP shall mean the Enfield Federal Savings and Loan Association
         ----
Employee Stock Ownership Plan.

         Event of Default shall mean an event so defined in the Loan Agreement.
         ----------------

         Liabilities shall mean all the obligations of the Pledgor to the
         -----------
Pledgee, howsoever created, arising or evidenced, whether direct or indirect,
absolute or contingent, now or hereafter existing, or due or to become due,
under the Loan Agreement and the Promissory Note.

         Pledged Shares shall mean all the Shares of Common Stock of the Pledgee
         --------------
purchased by the Pledgor with the proceeds of the loan made by the Pledgee to
the Pledgor pursuant to the Loan Agreement, but excluding any such shares
previously released pursuant to section 4.

         Section 2.  Pledge. To secure the  payment of and performance of all
                     ------
the Liabilities, the Pledgor hereby pledges to the Pledgee, and grants to the
Pledgee, a security interest in, and lien upon, the Collateral.

<PAGE>

         Section 3. Representations and Warranties of the Pledgor. The Pledgor
                    ---------------------------------------------
represents, warrants, and covenants to the Pledgee as follows:

         (a) the execution, delivery and performance of this Pledge Agreement
and the pledging of the Collateral hereunder do not and will not conflict with,
result in a violation of, or constitute a default under, any agreement binding
upon the Pledgor;

         (b) the Pledged Shares are and will continue to be owned by the Pledgor
free and clear of any liens or rights of any other person except the lien
hereunder and under the Loan Agreement in favor of the Pledgee, and the security
interest of the Pledgee in the Pledged Shares and the proceeds thereof is and
will continue to be prior to and senior to the rights of all others;

         (c) this Pledge Agreement is the legal, valid, binding and enforceable
obligation of the Pledgor in accordance with its terms;

         (d) the Pledgor shall, from time to time, upon request of the Pledgee,
promptly deliver to the Pledgee such stock powers, proxies, and similar
documents, satisfactory in form and substance to the Pledgee, with respect to
the Collateral as the Pledgee may reasonably request; and

         (e) subject to the first sentence of section 4(b), the Pledgor shall
not, so long as any Liabilities are outstanding, sell, assign, exchange, pledge
or otherwise transfer or encumber any of its rights in and to any of the
Collateral.

         Section 4. Eligible Collateral.
                    -------------------

         (a) As used herein the term "Eligible Collateral" shall mean the amount
of Collateral which has an aggregate fair market value equal to the amount by
which the Pledgor is in default (without regard to any amounts owing solely as
the result of an acceleration of the Loan Agreement) or such lesser amount of
Collateral as may be required pursuant to section 13 of this Pledge Agreement.

         (b) The Pledged Shares shall be released from this Pledge Agreement in
a manner conforming to the requirements of Treasury Regulations Section
54.4975-7(b)(8), as the same may be from time to time amended or supplemented,
and the applicable provisions of the ESOP. Subject to such Regulations, the
Pledgee may from time to time, after any Default or Event of Default, and
without prior notice to the Pledgor, transfer all or any part of the Eligible
Collateral in the name of the Pledgee or its nominee, without disclosing that
such Eligible Collateral is subject to any rights of the Pledgor and may from
time to time, whether before or after any of the Liabilities shall become due
and payable, without notice to the Pledgor, take all or any of the following
actions: (i) notify the parties obligated on any of the Eligible Collateral to
make payment to the Pledgee of any amounts due or due to become due thereunder,
(ii) release or exchange all or any part of the Eligible Collateral, or
compromise or extend or renew for any period (whether or not longer than the
original

                                       2

<PAGE>

period) any obligations of any nature of any party with respect thereto, and
(iii) take control of any proceeds of the Eligible Collateral.

         Section 5. Delivery.
                    --------
         (a) The Pledgor shall deliver to the Pledgee upon execution of this
Pledge Agreement (i) either (A) certificates for the Pledged Shares, each
certificate duly signed in blank by the Pledgor or accompanied by a stock
transfer power duly signed in blank by the Pledgor and each such certificate
accompanied by all required documentary or stock transfer tax stamps or (B) if
the Trustee does not yet have possession of the Pledged Shares, an assignment by
the Pledgor of all the Pledgor's rights to and interest in the Pledged Shares
and (ii) an irrevocable proxy, in form and substance satisfactory to the
Pledgee, signed by the Pledgor with respect to the Pledged Shares.

         (b) So long as no Default or Event of Default shall have occurred and
be continuing, (i) the Pledgor shall be entitled to exercise any and all voting
and other rights pertaining to the Collateral or any part thereof for any
purpose not inconsistent with the terms of this Pledge Agreement, and (ii) the
Pledgor shall be entitled to receive any and all cash dividends or other
distributions paid in respect of the Collateral.

         Section 6. Events of Default.
                    -----------------

         (a) If a Default or Event Default shall be existing, in addition to the
rights it may have under the Loan Agreement, the Promissory Note, and this
Pledge Agreement, or by virtue of any other instrument, (i) the Pledgee may
exercise, with respect to the Eligible Collateral, from time to time, any rights
and remedies available to it under the Uniform Commercial Code as in effect from
time to time in the State of Connecticut or otherwise available to it and (ii)
the Pledgee shall have the right, for and in the name, place and stead of the
Pledgor, to execute endorsement, assignments, stock powers and other instruments
of conveyance or transfer with respect to all or any of the Eligible Collateral.
Written notification of intended disposition of any of the Eligible Collateral
shall be given by the Pledgee to the Pledgor at least three (3) Business Days
before such disposition. Subject to section 13 below, any proceeds of any
disposition of Eligible Collateral may be applied by the Pledgee to the payment
of expenses in connection with the Eligible Collateral, including, without
limitation, reasonable attorneys' fees and legal expenses, and any balance of
such proceeds may be applied by the Pledgee toward the payment of such of the
Liabilities as are in Default, and in such order of application, as the Pledgee
may from time to time elect. No action of the Pledgee permitted hereunder shall
impair or affect its rights in and to the Eligible Collateral. All rights and
remedies of the Pledgee expressed hereunder are in addition to all other rights
and remedies possessed by it, including, without limitation, those contained in
the documents referred to in the definition of Liability in section 1 hereof.

         (b) In any sale of any of the Eligible Collateral after a Default or an
Event of Default shall have occurred, the Pledgee is hereby authorized to comply
with any limitation or restriction in connection with such sale as it may be
advised by counsel if necessary in order to avoid violation

                                       3

<PAGE>

of applicable law (including, without limitation, compliance with such
procedures as may restrict the number of prospective bidders and purchasers or
further restrict such prospective bidders or purchasers to persons who will
represent and agree that they are purchasing for their own account for
investment and not with a view to the distribution or resale of such Eligible
Collateral), or in order to obtain such required approval of the sale or of the
purchase by any governmental regulatory authority or official, and the Pledgor
further agrees that such compliance shall not result in such sale's being
considered or deemed not to have been made in a commercially reasonable manner,
nor shall the Pledgee be liable or accountable to the Pledgor for any discount
allowed by reason of the fact that such Eligible Collateral is sold in
compliance with any such limitation or restriction.

         Section 7.  Payment in Full. Upon the payment in full of all
                     ---------------
outstanding Liabilities, this Pledge Agreement shall terminate and the Pledgee
shall forthwith assign, transfer and deliver to the Pledgor, against receipt and
without recourse to the Pledgee, all Collateral then held by the Pledgee
pursuant to the Pledge Agreement.

         Section 8.  No Waiver. No failure or delay in the part of the Pledgee
                     ---------
in exercising any right or remedy hereunder or under any other document which
confers or grants any rights to the Pledgee in respect of the Liabilities shall
operate as a waiver thereof nor shall any single or partial exercise of any such
rights or remedy preclude any other or further exercise thereof or the exercise
of any other right or remedy of the Pledgee.

         Section 9.  Binding Effect; No Assignment or Delegation. This Pledge
                     -------------------------------------------
Agreement shall be binding upon and inure to the benefit of the Pledgor, the
Pledgee and their respective successors and assigns, except that the Pledgor may
not assign or transfer its rights hereunder without the prior written consent of
the Pledgee (which consent shall not unreasonably be withheld). Each duty or
obligation of the Pledgor to the Pledgee pursuant to the provisions of this
Pledge Agreement shall be performed in favor of any person or entity designated
by the Pledgee, and any duty or obligation of the Pledgee to the Pledgor may be
performed by any other person or entity designated by the Pledgee.

         Section 10. Governing Law. This Pledge Agreement shall be governed by
                     -------------
and construed in accordance with the laws of the State of Connecticut applicable
to agreements to be performed wholly within the State of Connecticut.

         Section 11. Notices. All notices, requests, instructions or documents
                     -------
hereunder shall be in writing and delivered personally or sent by United States
mail, registered or certified, return receipt requested, with proper postage
prepaid as follows:

                 (a)   If to the Pledgee:
                       New England Bancshares, Inc.
                       c/o David O'Connor
                       660 Enfield Street
                       Enfield, Connecticut 06082

                                       4

<PAGE>

                 (b)   If to the Pledgor:
                       Enfield Federal Savings and Loan Association
                       Employee Stock Ownership Plan Trust
                       c/o_________________________________

or at such other address as either of the parties may designate by written
notice to the other party. If delivered personally, the date on which a notice,
request, instruction or document is delivered shall be the date on which such
delivery is made, and, if delivered by mail, the date on which such notice,
request, instruction, or document is deposited in the mail shall be the date of
delivery. Each notice, request, instruction or document shall bear the date on
which it is delivered.

         Section 12. Interpretation. Wherever possible each provision of this
                     --------------
Pledge Agreement shall be interpreted in such manner as to be effective and
valid under applicable law, but if any provision herein shall be prohibited by
or invalid under such law, such provision shall be ineffective to the extent of
such prohibition or invalidity, without invalidating the remainder of such
provision or the remaining provisions hereof.

         Section 13. Construction. All provisions hereof shall be construed so
                     ------------
as to maintain (a) the ESOP as a qualified leveraged employee stock ownership
plan under section 401(a) and 4975(e)(7) of the Internal Revenue Code of 1986
(the "Code"), (b) the Trust as exempt from taxation under section 501(a) of the
Code and (c) the Trust Loan as an exempt loan under section 54.4975-7(b) of the
Treasury Regulations and as described in Department of Labor Regulation section
2550.408b-3.

         IN WITNESS WHEREOF, this Pledge Agreement has been duly executed by the
parties hereto as of the day and year first above written.

                                   ENFIELD FEDERAL SAVINGS AND
                                   LOAN ASSOCIATION EMPLOYEE STOCK
                                   OWNERSHIP PLAN TRUST

                                   __________________________________________
                                   ______________________________, as Trustee

                                   NEW ENGLAND BANCSHARES , INC.

                                   By:____________________________________
                                      For the Entire Board of Directors

                                       5

<PAGE>

                                     FORM OF
                                     -------
                                 PROMISSORY NOTE
                                 ---------------

FOR VALUE RECEIVED, the undersigned, ENFIELD FEDERAL SAVINGS AND LOAN
ASSOCIATION EMPLOYEE STOCK OWNERSHIP PLAN TRUST (the "Borrower"), hereby
promises to pay to the order of NEW ENGLAND BANCSHARES, INC. (the "Lender")
$___________________ payable in accordance with the Loan Agreement made and
entered into between the Borrower and the Lender of even date herewith ("Loan
Agreement") pursuant to which this Promissory Note is issued.

         The Principal Amount of this Promissory Note shall be payable in
accordance with the schedule attached hereto ("Schedule I").

         This Promissory Note shall bear interest at the rate per annum set for
or established under the Loan Agreement, such interest to be payable in
accordance with Schedule I.

         Anything herein to the contrary notwithstanding, the obligation of the
Borrower to make payments of interest shall be subject to the limitation that
payments of interest shall not be required to be made to the Lender to the
extent that the Lender's receipt thereof would not be permissible under the law
or laws applicable to the Lender limiting rates on interest which may be charged
or collected by the Lender. Any such payments on interest which are not made as
a result of the limitation referred to in the preceding sentence shall be made
by the Borrower to the Lender on the earliest interest payment date or dates on
which the receipt thereof would be permissible under the laws applicable to the
Lender limiting rates of interest which may be charged or collected by the
Lender. Such deferred interest shall not bear interest.

         Payments of both principal and interest on this Promissory Note are to
be made at the principal office of the Lender or such other place as the holder
hereof shall designate to the Borrower in writing, in lawful money of the United
States of America in immediately available funds.

         Failure to make any payments of principal on this Promissory Note when
due, or failure to make any payment of interest on this Promissory Note not
later than five (5) Business Days after the date when due, shall constitute a
default hereunder, whereupon the principal amount of accrued interest on this
Promissory Note shall immediately become due and payable in accordance with the
terms of the Loan Agreement.

         This Promissory Note is secured by a Pledge Agreement between the
Borrower and the Lender of even date herewith and is entitled to the benefits
thereof.

                                            ENFIELD FEDERAL SAVINGS AND LOAN
                                            ASSOCIATION EMPLOYEE STOCK
                                            OWNERSHIP PLAN TRUST

                                            ----------------------------------,

                                            ==================================
                                            AS TRUSTEE

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