Document:

HEI Long Term Incentive Plan (LTIP)

 HEI Exhibit 10.8 
 HAWAIIAN ELECTRIC INDUSTRIES, INC. 
 LONG-TERM INCENTIVE PLAN (LTIP) 
 Pursuant to Section 3.1 of the 1987 Stock Option and Incentive Plan of Hawaiian Electric Industries, Inc. (as amended and restated effective January 21, 2003),
the Compensation Committee of the Board of Directors of Hawaiian Electric Industries, Inc. (HEI) establishes and adopts the following Long-Term Incentive Plan (LTIP). 
  

	1.	PURPOSE 

 The purpose of the LTIP is to encourage a high
level of sustained performance by HEI and its subsidiaries (the “Company”) through the establishment of specific long-term financial goals, the accomplishment of which will require a high degree of competence and diligence on the part of
certain key employees of the Company selected to participate in the LTIP and will be beneficial to the owners and customers of the Company. 
  

	2.	DEFINITIONS 

 The following definitions apply to the LTIP:

  

	 	2.1	“Award” means payment made in accordance with the provisions of the LTIP. 

  

	 	2.2	“Committee” means the Compensation Committee of the Board of Directors of HEI. 

  

	 	2.3	“Deferred Account” means an unfunded account within which a Participant’s deferred Awards and accrued interest are accumulated. 

  

	 	2.4	“Executives” means the senior officers and managers responsible for determining business and strategic policies. 

  

	 	2.5	“Participant” means an employee selected to participate in the LTIP. 

  

	 	2.6	“Performance Goals” means the performance objectives of the Company established for the purpose of determining any incentive Award for a Performance Period.

  

	 	2.7	“Performance Period” means the three-year calendar period over which performance is measured. 

 April 21, 2003 – approved by HEI CMM 

	3.	BASIC PLAN CONCEPT 

 The LTIP provides an opportunity for
Participants to earn incentive compensation Awards depending on the level of Company performance. Performance will be based on a three-year period beginning January 1 of the first year of the Performance Period and ending December 31 of
the third year of the Performance Period. Awards may be based on Company performance plus additional goals or objectives. When awards are granted, payments will be made in cash and/or HEI Common Stock at the sole discretion of the Committee during
the year following the end of each Performance Period unless voluntarily deferred by the Participant. Stock awards are subject to the availability of authorized shares. 
  

	4.	ADMINISTRATION 

 The LTIP will be administered by the
Committee which will determine: 
  

	 	4.1	Participants; 

  

	 	4.2	Performance Goals; 

  

	 	4.3	Incentive award levels; 

  

	 	4.4	Performance Goal results; and 

  

	 	4.5	Amount of the actual award, if any, to be made to each Participant and whether it should be granted in cash and/or HEI Common Stock. 

  

	5.	PARTICIPATION 

 The Committee will select Participants from
those executives whose decisions and actions contribute directly to the Company’s long-term success. No employee will have the automatic right to be selected as a Participant in the LTIP for any Performance Period, nor, if so selected, be
entitled automatically to an Award, nor, having been selected as a Participant for one Performance Period, be automatically selected as a Participant in any subsequent Performance Period. 
 Participants who are placed in the plan after the start of the Performance Period or who voluntarily terminate employment within the Performance Period or
transfer to a position that is not included in the LTIP, will be eligible to receive that portion of the award represented by the number of complete months of eligibility during the Performance Period divided by 36; provided that a Participant must
have been in a position included in the LTIP for at least 12 full months during the Performance Period. 
  

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	6.	PERFORMANCE GOALS 

 The Committee will establish, for each
Performance Period, Performance Goals designed to accomplish such financial and strategic objectives as it may from time to time determine appropriate. The Committee may make adjustments to the Performance Goals for any Performance Period as it
deems equitable in recognition of: extraordinary or nonrecurring events experienced by the Company during the Performance Period, or changes in applicable accounting rules or principles or changes in the Company’s methods of accounting during
the Performance Period. 
  

	7.	DETERMINATION OF AWARDS 

 Subject to the provisions of
Section 6, the Committee will determine the Awards, if any, to be made to each Participant for each Performance Period. Awards made will be based primarily on the level of performance within the performance range, but may also be based on each
Participant’s contribution to overall Company performance during the Performance Period. The Award for each Participant will be calculated by applying an Award percentage to each Participant’s salary range midpoint. 
  

	8.	PAYMENT OF AWARDS 

  

	 	8.1	Payment of Nondeferred Awards – The payment of Awards for any Performance Period will be made in cash or HEI Common Stock to the Participant as soon as practical after the
close of the Performance Period unless, in the case of a cash award, the Participant irrevocably elected to defer payment of all or a portion of the Award as provided in subparagraph 8.2 below by filing a written election form with the Company
before the beginning of the Performance Period or before the executive begins service as a Participant for the Performance Period. 

  

	 	8.2	Payment of Deferred Cash Awards – Each deferred Award will be credited to the Participant’s Deferred Account and will be paid to the Participant, or to his or her
beneficiary or estate in the event of his or her death, at the end of the deferral period in cash lump sum or in installments, as provided in the written election form. Amounts credited to a Participant’s Deferred Account shall be credited each
year with an amount equivalent to interest, compounded quarterly, at the annual rate commensurate with the prevailing interest rate on three-year certificates of deposit at American Savings Bank, F.S.B., as of January 1 of that year. Such
Deferred Account will be credited with interest from the date the Award would have been paid in cash to the date of receipt by the Participant under the Deferral Agreement. Despite any contrary provisions in the Participant’s written election
form, the Committee, in its sole discretion, may decide to pay the balance in a Participant’s Deferred Account in a lump sum as soon as practical after the Participant’s employment by the Company is terminated for any reason.

  

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	 	8.3	In the event the payment of any portion of the awards are in HEI Common Stock, the number of shares of stock to be issued will be based on Fair Market Value. “Fair Market
Value” means, as of any determination date, the average of the daily high and low sales prices of the Common Stock on the composite tape for stocks listed on the New York Stock Exchange as quoted in the New York Stock Exchange Composite
Transactions published in the Western Edition of the Wall Street Journal on the date as of which Fair Market Value is to be determined, or if there is no trading of Common Stock on such date, the average of the daily high and low sales prices of the
Common Stock as quoted in such Composite Transactions on the next preceding date on which there was trading in such shares, or if the Common Stock is not admitted to trade on the New York Stock Exchange, the Fair Market Value shall be determined by
the Committee in such other reasonable manner as the Committee shall decide. 

  

	9.	ASSIGNMENTS AND TRANSFERS 

 Participants will not assign,
encumber, or transfer their rights and interests under the LTIP; any attempt to do so will render the Participant’s rights and interests under the LTIP null and void. 
  

	10.	EMPLOYEE RIGHTS UNDER THE LTIP 

 No employee or other
person will have any claim or right to be granted an Award under the LTIP. Neither the LTIP nor any action taken thereunder will be construed as giving any employee any right to be retained in the employ of the Company or any of its affiliated
companies. 
  

	11.	WITHHOLDING TAXES 

 The Company will withhold the amount of
any federal, state, or local income taxes attributable to any amounts payable under the LTIP. 
  

	12.	AMENDMENTS 

 The Committee may amend, suspend, or terminate
the LTIP or any portion of it at any time. 
  

 - 4 -Severance Agreement between the Company and Mr. Gary R. Schminkey

 EXHIBIT 10.11 
 SEVERANCE AGREEMENT 
 THIS SEVERANCE AGREEMENT (“Agreement”) is made and entered into
effective this November 15, 2005, by and between COLUMBIA STATE BANK, a Washington banking corporation (the “Bank”) and Gary R. Schminkey (“Executive”). 
 RECITALS 
 1. The Bank currently receives the exclusive services of Executive as
its Executive, and Executive desires that this employment relationship continue. 
 2. The Bank desires to provide a severance benefit to
Executive (i) to encourage Executive to continue employment with the Bank; (ii) to continue obtaining Executive’s services in the event of a potential Change in Control (as defined below) of Columbia Banking System, Inc.
(“CBSI”), the parent holding company of the Bank, that may be detrimental to the Executive; and (iii) to allow CBSI to maximize the benefits obtainable by its shareholders from any Change in Control. 
 In consideration of the mutual promises, covenants, agreements and undertakings contained in this Agreement, the parties hereby contract and agree as
follows: 
 AGREEMENT 
 1.
Term. The term of this Agreement (“Term”) shall commence as of the date first above written and shall end on the earlier of the termination of Executive’s employment in a manner that does not constitute a Termination
Event or on the fifth anniversary of the date first above written, unless extended in writing by the parties. 
 2. Severance
Benefit. In the case of a Termination Event, as defined in Section 4, (i) the Bank shall pay to Executive all salary and benefits earned through the effective date of Executive’s termination and a severance benefit
(“Severance Benefit”) in an amount equal to two times the amount of Executive’s then-current annual base salary, and (ii) vesting of all stock options and lapse of all restrictions with respect to restricted stock awards shall
occur. Payment of the Severance Benefit shall begin, and vesting and lapse of restrictions described in the preceding sentence shall occur, (i) in the case of a Termination Event described in paragraph 4.1, upon the effective date of
termination, and (ii) in the case of a Termination Event described in paragraph 4.2, upon the effective date of the Change of Control which is then pending (or announced within sixty days of the date when the Executive’s employment
terminated). The Severance Benefit shall be paid over a two year period in equal regular periodic payments without interest on the same dates that other salaried Executives of the Bank are paid. 
 3. Other Compensation and Terms of Employment. Except with respect to the Severance Payment, this Agreement shall have no effect on the
determination of any compensation payable by the Bank to the Executive, or upon any of the other terms of Executive’s employment with the Bank. 
 4. Termination Events. A Termination Event shall be deemed to occur upon, and only upon, one or more of the following: 
 4.1 Termination of Executive’s employment by the Bank without Cause (as defined below) or by Executive for Good Reason (as defined
below) within 730 days following the effective date of a Change of Control; or 
 4.2 Termination of Executive’s
employment by the Bank without Cause prior to a Change of Control if such termination occurs at any time from and after sixty days prior to the public 

  

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announcement by the CBSI or any other party of a transaction which will result in a Change in Control; provided that the effective date of the Change of
Control occurs within eighteen (18) months of Executive’s termination. 
 5. Restrictive Covenant.  
 5.1 Non-competition. Executive agrees that, during Executive’s employment with the Bank or any of its affiliates and for a
period of two years after commencement of the payment to Executive of the Severance Benefit, Executive will not directly or indirectly become interested in, as a principle shareholder, director, or officer, any financial institution, now existing or
organized hereafter, that competes or will compete with CBSI, the Bank or any of their affiliates (together the “Company”), including any successor, within any county in which the Company does business; provided that
Executive’s covenant not to compete shall terminate in the event Executive waives the right to payment of any balance of the Severance Benefit then payable; and provided further, that Executive shall not be deemed a “principle
shareholder” unless (i) Executive’s investment in such an institution exceeds 2% of the institution’s outstanding voting securities or (ii) Executive is active in the Organization, management or affairs of such institution.
The provisions restricting competition by Executive may be waived by action of the Board. Executive recognizes and agrees that any breach of this covenant by Executive will cause immediate and irreparable injury to the Company, and Executive hereby
authorizes recourse by the Bank or CBSI to injunction and/or specific performance, as well as to other legal or equitable remedies to which either may be entitled. 
 5.2 Noninterference. During the non-competition period described in Section 5.1, Executive shall not solicit or attempt to
solicit any other Executive of the Company to leave the employ of those companies, or in any way interfere with the relationship between the Company and any other Executive of the Company. 
 5.3 Interpretation. If a court or any other administrative body with jurisdiction over a dispute related to this Agreement should
determine that the restrictive covenant set forth in Section 5.1 above is unreasonably broad, the parties hereby authorize and direct said court or administrative body to narrow same so as to make it reasonable, given all relevant
circumstances, and to enforce same. The covenants in this paragraph shall survive termination of this Agreement. 
 6.
Definitions. 
 6.1. Cause. “Cause” shall mean only (i) willful misfeasance or gross
negligence in the performance of Executive’s duties, (ii) conduct demonstrably and significantly harmful to the Bank (which would include willful violation of any final cease and desist order applicable to the Bank), or
(iii) conviction of a felony. 
 6.2. Change of Control. “Change of Control” shall mean the occurrence
of one or more of the following events: 
 6.2.1. One person or entity acquiring or otherwise becoming the owner of
twenty-five percent (25%) or more of CBSI’s outstanding common stock; 
 6.2.2. Replacement of incumbent directors
or election of newly-elected directors constituting a majority of the Board of CBSI where such replacement or election has not been supported by the Board; or 
 6.2.3. Dissolution, or sale of fifty percent (50%) or more in value of the assets, of either CBSI or the Bank. 
 6.3. Good Reason. “Good Reason” shall mean (i) any reduction of Executive’s salary or any reduction or
elimination of any other compensation or benefit plan, which reduction or 

  

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elimination is not of general application to substantially all Executives of the Bank or such Executives of any successor entity or of any entity in control
of the Bank, (ii) any changes in Executive’s authority or duties substantially inconsistent with Executive’s then office position; or (iii) any transfer to a location more than thirty miles from Executive’s then office
location. 
 7. Miscellaneous. 
 7.1 This Agreement contains the entire agreement between the parties with respect to the subject matter, and is subject to modification or amendment only upon amendment in writing signed by both parties. 

7.2 This agreement shall bind and inure to the benefit of the heirs, legal representatives, successors, and assign of the parties.

 7.3 If any provision of this Agreement is invalid or otherwise unenforceable, all other provisions shall remain unaffected
and shall be enforceable to the fullest extent permitted by law. 
 7.4 This Agreement is made with reference to and is
intended to be construed in accordance with the laws of the State of Washington. Venue for any action arising out of or concerning this Agreement shall lie in Pierce County, Washington. In the event of a dispute under this agreement, the disputes
shall be arbitrated pursuant to the Superior Court Mandatory Arbitration Rules (“MAR”) adopted by the Washington State Supreme Court, irrespective of the amount in controversy. This Agreement shall be deemed as stipulation to that effect
pursuant to MAR 1.2 and 8.1. The arbitrator, in his or her discretion, may award attorney’s fees to the prevailing party or parties. 
 7.5 Any notice required to be given under this Agreement to either party shall be given by personal service or by depositing a copy thereof in the United States registered or certified mail, postage prepaid, addressed
to the following address or such other address as addressee shall designate in writing: 
  

			
	Company:	  	Columbia Bank
		  	1301 ‘A’ Street
		  	Tacoma, WA 98402
		  	Attn: (Corporate Secretary)
		
	Executive:	  	Gary R. Schminkey
		  	9904 69th Ave Ct E
		  	Puyallup, WA 98373

 IN WITNESS WHEREOF, the parties have executed this Agreement effective on the date first above
written. 
  

	
	COLUMBIA STATE BANK
	
	/s/ MELANIE J. DRESSEL
	Melanie J. Dressel
	President and Chief Executive Officer

  

	
	EXECUTIVE
	
	 /s/ GARY R. SCHMINKEY

	Gary R. Schminkey

  

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