Document:

Continuing and Unconditional Guaranty

 Exhibit 10.3 
 CONTINUING AND UNCONDITIONAL GUARANTY 
 FOR
VALUE RECEIVED, the sufficiency of which is hereby acknowledged, and in consideration of credit and/or financial accommodations heretofore or hereafter from time to time made or granted to HEALD REAL ESTATE, LLC, a Delaware limited liability company
(the “Borrower”), by BANK OF AMERICA, N.A. and any of its subsidiaries and/or affiliates and their respective successors and assigns (collectively, the “Lender”), the undersigned Guarantor (whether one or more, the
“Guarantor”, and if more than one, jointly and severally) hereby furnishes its guaranty of the Guaranteed Obligations (as hereinafter defined) as follows: 
 1. Guaranty. The Guarantor hereby absolutely and unconditionally guarantees, as a guaranty of payment and performance and not merely
as a guaranty of collection, prompt payment when due, whether at stated maturity, by required prepayment, upon acceleration, demand or otherwise, and at all times thereafter, of any and all existing and future indebtedness and liabilities of every
kind, nature and character, direct or indirect, absolute or contingent, liquidated or unliquidated, voluntary or involuntary and whether for principal, interest, premiums, fees indemnities, damages, costs, expenses or otherwise, of the Borrower to
the Lender, which arise from or are in connection with that certain Credit Agreement dated as of March 24, 2009, among the Borrower, Heald Capital, LLC and the Lender (as amended, restated, supplemented or otherwise modified from time to time,
the “Credit Agreement”; capitalized terms used herein and not defined herein shall have the meanings ascribed such terms in the Credit Agreement) and/or the other Loans Documents (including, without limitation, any Secured Hedge
Agreement), whether associated with any credit or other financial accommodation made to or for the benefit of the Borrower by the Lender or otherwise and whenever created, arising, evidenced or acquired (including all renewals, extensions,
amendments, refinancings and other modifications thereof and all out-of-pocket costs, reasonable attorneys’ fees and expenses incurred by the Lender in connection with the collection or enforcement thereof), and whether recovery upon such
indebtedness and liabilities under the Credit Agreement and the other Loan Documents may be or hereafter become unenforceable or shall be an allowed or disallowed claim under any proceeding or case commenced by or against the Guarantor or the
Borrower under the Bankruptcy Code (Title 11, United States Code), any successor statute or any other liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement, receivership, insolvency,
reorganization, or similar debtor relief laws of the United States or other applicable jurisdictions from time to time in effect and affecting the rights of creditors generally (collectively, “Debtor Relief Laws”), and including
interest that accrues after the commencement by or against the Borrower of any proceeding under any Debtor Relief Laws (collectively, the “Guaranteed Obligations”). The Lender’s books and records showing the amount of the
Guaranteed Obligations shall be admissible in evidence in any action or proceeding, and shall be binding upon the Guarantor and conclusive, absent manifest error, for the purpose of establishing the amount of the Guaranteed Obligations. This
Guaranty shall not be affected by the genuineness, validity, regularity or enforceability of the Guaranteed Obligations or any instrument or agreement evidencing any Guaranteed Obligations, or by the existence, validity, enforceability, perfection,
non-perfection or extent of any collateral therefor, or by any fact or circumstance relating to the Guaranteed Obligations which might otherwise constitute a defense to the obligations of the Guarantor under this Guaranty, and the Guarantor hereby
irrevocably waives any defenses it may now have or hereafter acquire in any way relating to any or all of the foregoing (other than the defense of final payment in full in cash and performance in full of the Guaranteed Obligations, except for
contingent indemnification obligations for which no claim has been asserted). Anything contained herein to the contrary notwithstanding, the obligations of the Guarantor hereunder at any time shall be limited to an aggregate amount equal to the
largest amount that would not render its obligations hereunder subject to avoidance as a fraudulent transfer or conveyance under Section 548 of the Bankruptcy Code (Title 11, United States Code) or any comparable provisions of any similar
federal or state law. 
  

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 2. No Setoff or Deductions; Taxes; Payments. The Guarantor represents and warrants
that it is organized in the United States of America. The Guarantor shall make all payments hereunder without setoff, counterclaim, restrictions or condition, and free and clear of and without deduction for any taxes, levies, imposts, duties,
charges, fees, deductions or withholdings of any nature now or hereafter imposed or levied by any jurisdiction or any political subdivision thereof or taxing or other authority therein unless the Guarantor is compelled by law to make such deduction
or withholding. If any such obligation (other than one arising (i) with respect to taxes based on or measured by the net income or profits of the Lender, or (ii) with respect to any withholding tax to the extent that such withholding tax
would have been imposed on the relevant payment to the Lender under the laws and treaties in effect at the time such Lender first became a party to this Agreement or otherwise became entitled to any rights hereunder) is imposed upon the Guarantor
with respect to any amount payable by it hereunder, the Guarantor will pay to the Lender, on the date on which such amount is due and payable hereunder, such additional amount in U.S. dollars as shall be necessary to enable the Lender to receive the
same net amount which the Lender would have received on such due date had no such obligation been imposed upon the Guarantor. The Guarantor will deliver promptly to the Lender certificates or other valid vouchers (to the extent available) for all
taxes or other charges deducted from or paid with respect to payments made by the Guarantor hereunder. The obligations of the Guarantor under this paragraph shall survive the payment in full of the Guaranteed Obligations and termination of this
Guaranty. 
 3. Rights of Lender. The Guarantor consents and agrees that the Lender may, at any time and from time to
time, without notice or demand, and without affecting the enforceability or continuing effectiveness hereof: (a) amend, extend, renew, compromise, discharge, accelerate or otherwise change the time for payment or the terms of the Guaranteed
Obligations or any part thereof; (b) take, hold, exchange, enforce, waive, release, fail to perfect, sell, or otherwise dispose of any security for the payment of this Guaranty or any Guaranteed Obligations; (c) apply such security and
direct the order or manner of sale thereof as the Lender in its sole discretion may determine; and (d) release or substitute one or more of any endorsers or other guarantors of any of the Guaranteed Obligations. Without limiting the generality
of the foregoing, the Guarantor consents to the taking of, or failure to take, any action which might in any manner or to any extent vary the risks of the Guarantor under this Guaranty or which, but for this provision, might operate as a discharge
of the Guarantor. 
 4. Certain Waivers. The Guarantor waives to the extent permitted by Law (a) any defense arising
by reason of any disability or other defense of the Borrower or any other guarantor, (other than the defense of final payment in full in cash and performance in full of the Guaranteed Obligations, except for contingent indemnification obligations
for which no claim has been asserted), or the cessation from any cause whatsoever (including any act or omission of the Lender) of the liability of the Borrower; (b) any defense based on any claim that the Guarantor’s obligations exceed or
are more burdensome than those of the Borrower; (c) the benefit of any statute of limitations affecting the Guarantor’s liability hereunder; (d) any right to require the Lender to proceed against the Borrower, proceed against or
exhaust any security for the Indebtedness, or pursue any other remedy in the Lender’s power whatsoever; (e) any benefit of and any right to participate in any security now or hereafter held by the Lender; (f) any rights and defenses
that are or may become available to the Guarantor by reason of Sections 2787 to 2855, inclusive, 2899 and 3433 of the California Civil Code; and (g) to the fullest extent permitted by law, any and all other defenses or benefits that may be
derived from or afforded by applicable law limiting the liability of or exonerating guarantors or sureties. The Guarantor expressly waives all setoffs and counterclaims and all presentments, demands for payment or performance, notices of nonpayment
or nonperformance, protests, notices of protest, notices of dishonor and all other notices or demands of any kind or nature whatsoever with respect to the Guaranteed Obligations, and all notices of acceptance of this Guaranty or of the existence,
creation or incurrence of new or additional Guaranteed Obligations. 
  

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 5. Obligations Independent. The obligations of the Guarantor hereunder are those of
primary obligor, and not merely as surety, and are independent of the Guaranteed Obligations and the obligations of any other guarantor, and a separate action may be brought against the Guarantor to enforce this Guaranty whether or not the Borrower
or any other person or entity is joined as a party. 
 6. Subrogation. The Guarantor shall not exercise any right of
subrogation, contribution, indemnity, reimbursement or similar rights with respect to any payments it makes under this Guaranty until all of the Guaranteed Obligations (other than contingent indemnification obligations for which no claim has been
asserted) and any amounts payable under this Guaranty have been paid and performed in full and any commitments of the Lender or facilities provided by the Lender with respect to the Guaranteed Obligations are terminated. If any amounts are paid to
the Guarantor in violation of the foregoing limitation, then such amounts shall be held in trust for the benefit of the Lender and shall forthwith be paid to the Lender to reduce the amount of the Guaranteed Obligations, whether matured or
unmatured. 
 7. Termination; Reinstatement. This Guaranty is a continuing and irrevocable guaranty of all Guaranteed
Obligations now or hereafter existing and shall remain in full force and effect until all Guaranteed Obligations (other than contingent indemnification obligations for which no claim has been asserted) and any other amounts payable under this
Guaranty are paid in full in cash and any commitments of the Lender or facilities provided by the Lender with respect to the Guaranteed Obligations are terminated. Notwithstanding the foregoing, this Guaranty shall continue in full force and effect
or be revived, as the case may be, if any payment by or on behalf of the Borrower or the Guarantor is made, or the Lender exercises its right of setoff, in respect of the Guaranteed Obligations and such payment or the proceeds of such setoff or any
part thereof is subsequently invalidated, declared to be fraudulent or preferential, set aside or required (including pursuant to any settlement entered into by the Lender in its discretion) to be repaid to a trustee, receiver or any other party, in
connection with any proceeding under any Debtor Relief Laws or otherwise, all as if such payment had not been made or such setoff had not occurred and whether or not the Lender is in possession of or has released this Guaranty and regardless of any
prior revocation, rescission, termination or reduction. The obligations of the Guarantor under this paragraph shall survive termination of this Guaranty. 
 8. Subordination. The Guarantor hereby subordinates the payment of all obligations and indebtedness of the Borrower owing to the Guarantor, whether now existing or hereafter arising, including but
not limited to any obligation of the Borrower to the Guarantor as subrogee of the Lender or resulting from the Guarantor’s performance under this Guaranty, to the payment in full in cash of all Guaranteed Obligations (other than contingent
indemnification obligations for which no claim has been asserted). If the Lender so requests, any such obligation or indebtedness of the Borrower to the Guarantor shall be enforced and performance received by the Guarantor as trustee for the Lender
and the proceeds thereof shall be paid over to the Lender on account of the Guaranteed Obligations, but without reducing or affecting in any manner the liability of the Guarantor under this Guaranty. 
 9. Stay of Acceleration. In the event that acceleration of the time for payment of any of the Guaranteed Obligations is stayed, in
connection with any case commenced by or against the Guarantor or the Borrower under any Debtor Relief Laws, or otherwise, all such amounts shall nonetheless be payable by the Guarantor immediately upon demand by the Lender. 
 10. Expenses. The Guarantor shall pay on demand all out-of-pocket expenses (including reasonable attorneys’ fees and expenses
and the allocated cost and disbursements of internal legal counsel) in any way relating to the enforcement or protection of the Lender’s rights under this Guaranty or in respect of the Guaranteed Obligations, including any incurred during any
“workout” or restructuring in respect of the Guaranteed Obligations and any incurred in the preservation, protection or enforcement of any rights of the Lender in any proceeding any Debtor Relief Laws. The obligations of the Guarantor
under this paragraph shall survive the payment in full of the Guaranteed Obligations and termination of this Guaranty. 
  

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 11. Miscellaneous. No provision of this Guaranty may be waived, amended, supplemented
or modified, except by a written instrument executed by the Lender and the Guarantor. No failure by the Lender to exercise, and no delay in exercising, any right, remedy or power hereunder shall operate as a waiver thereof; nor shall any single or
partial exercise of any right, remedy or power hereunder preclude any other or further exercise thereof or the exercise of any other right, power or remedy. The remedies herein provided are cumulative and not exclusive of any remedies provided by
law or in equity. The unenforceability or invalidity of any provision of this Guaranty shall not affect the enforceability or validity of any other provision herein. Unless otherwise agreed by the Lender and the Guarantor in writing, this Guaranty
is not intended to supersede or otherwise affect any other guaranty now or hereafter given by the Guarantor for the benefit of the Lender or any term or provision thereof. 
 12. Condition of Borrower. The Guarantor acknowledges and agrees that it has the sole responsibility for, and has adequate means of,
obtaining from the Borrower and any other guarantor such information concerning the financial condition, business and operations of the Borrower and any such other guarantor as the Guarantor requires, and that the Lender has no duty, and the
Guarantor is not relying on the Lender at any time, to disclose to the Guarantor any information relating to the business, operations or financial condition of the Borrower or any other guarantor (the guarantor waiving any duty on the part of the
Lender to disclose such information and any defense relating to the failure to provide the same). 
 13. Setoff. If and
to the extent any payment is not made when due hereunder, the Lender may setoff and charge from time to time any amount so due against any or all of the Guarantor’s accounts or deposits with the Lender. 
 14. Representations and Warranties; Additional Covenants. The Guarantor represents and warrants that (a) it is duly organized
and in good standing under the laws of the jurisdiction of its organization and has full capacity and right to make and perform this Guaranty, and all necessary authority has been obtained; (b) this Guaranty constitutes its legal, valid and
binding obligation enforceable in accordance with its terms except as (i) such enforceability is limited by applicable Debtor Relief Laws; and (ii) the application of general principles of equity (regardless of whether such enforceability
is considered in a general proceeding at law or in equity); (c) the making and performance of this Guaranty does not and will not violate the provisions of any applicable law, regulation or order, and does not and will not result in the breach
of, or constitute a default or require any consent under, any material agreement, instrument, or document to which it is a party or by which it or any of its property may be bound or affected; and (d) all consents, approvals, licenses and
authorizations of, and filings and registrations with, any governmental authority required under applicable law and regulations for the making and performance of this Guaranty have been obtained or made and are in full force and effect. 

15. Indemnification and Survival. Without limitation on any other obligations of the Guarantor or remedies of the Lender under
this Guaranty, the Guarantor shall, to the fullest extent permitted by law, indemnify, defend and save and hold harmless the Lender from and against, and shall pay on demand, any and all damages, losses, liabilities and out-of-pocket expenses
(including reasonable attorneys’ fees and expenses and the allocated cost and disbursements of internal legal counsel) that may be suffered or incurred by the Lender in connection with or as a result of any failure of any Guaranteed Obligations
to be the legal, valid and binding obligations of the Borrower enforceable against the Borrower in accordance with their terms except as enforceability may be limited by (i) applicable Debtor Relief Law, (ii) the application of general
principles of equity (regardless of whether such enforceability is

  

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considered in a proceeding in equity or at law); provided, that such indemnity shall not be available to the extent that such damages, losses, liabilities and expenses (x) are
determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted from the gross negligence, bad faith or willful misconduct of Lender or (y) result from a claim brought by Guarantor against Lender for breach
in bad faith of Lender’s obligations hereunder, if the Guarantor has obtained a final and nonappealable judgment in its favor on such claim as determined by a court of competent jurisdiction. The obligations of the Guarantor under this
paragraph shall survive the payment in full of the Guaranteed Obligations and termination of this Guaranty. 
 16. GOVERNING
LAW; Assignment; Jurisdiction; Notices. THIS GUARANTY SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF CALIFORNIA. This Guaranty shall (a) bind the Guarantor and its successors and assigns, provided
that the Guarantor may not assign its rights or obligations under this Guaranty without the prior written consent of the Lender (and any attempted assignment without such consent shall be void), and (b) inure to the benefit of the Lender and
its successors and permitted assigns and the Lender may, without notice to the Guarantor and without affecting the Guarantor’s obligations hereunder, assign, sell or grant participations in the Guaranteed Obligations and this Guaranty, in whole
or in part, in accordance with the Loan Documents. Each Party hereto irrevocably (i) submits to the non-exclusive jurisdiction of any United States Federal or State court sitting in San Francisco, California in any action or proceeding arising
out of or relating to this Guaranty, and (ii) waives to the fullest extent permitted by law any defense asserting an inconvenient forum in connection therewith. Nothing in this Guaranty or in any other Loan Document shall affect any right that
the Lender may otherwise have to bring any action or proceeding relating to this Guaranty or any other Loan Document against the Guarantor or any other Loan Party or its properties in the courts of any jurisdiction. Service of process by any party
in connection with such action or proceeding shall be binding on such other party if sent to such other party in accordance with Section 9.13(c) of the Credit Agreement. Subject to Section 9.07 of the Credit Agreement, the Guarantor agrees
that the Lender may disclose to any assignee of or participant in, or any prospective assignee of or participant in, any of its rights or obligations of all or part of the Guaranteed Obligations any and all information in the Lender’s
possession concerning the Guarantor and this Guaranty. All notices and other communications to the Guarantor under this Guaranty shall be delivered pursuant to Section 9.02 of the Credit Agreement to the Guarantor at its address set forth below
or at such other address in the United States as may be specified by the Guarantor in a written notice delivered to the Lender at such office as the Lender may designate for such purpose from time to time in a written notice to the Guarantor.

 17. WAIVER OF JURY TRIAL; CALIFORNIA JUDICIAL REFERENCE; FINAL AGREEMENT. TO THE EXTENT ALLOWED BY APPLICABLE LAW, THE
GUARANTOR AND THE LENDER EACH IRREVOCABLY WAIVES TRIAL BY JURY WITH RESPECT TO ANY ACTION, CLAIM, SUIT OR PROCEEDING ON, ARISING OUT OF OR RELATING TO THIS GUARANTY OR THE GUARANTEED OBLIGATIONS. IF ANY ACTION OR PROCEEDING IS FILED IN A COURT OF
THE STATE OF CALIFORNIA BY OR AGAINST ANY PARTY HERETO IN CONNECTION WITH ANY OF THE TRANSACTIONS OR OTHER MATTERS CONTEMPLATED BY THIS GUARANTY OR ANY OTHER LOAN DOCUMENT, (A) THE COURT SHALL, AND IS HEREBY DIRECTED TO, MAKE A GENERAL
REFERENCE PURSUANT TO CALIFORNIA CODE OF CIVIL PROCEDURE SECTION 638 TO A REFEREE (WHO SHALL BE A SINGLE ACTIVE OR RETIRED JUDGE) TO HEAR AND DETERMINE ALL OF THE ISSUES IN SUCH ACTION OR PROCEEDING (WHETHER OF FACT OR OF LAW) AND TO REPORT A
STATEMENT OF DECISION, PROVIDED THAT AT THE OPTION OF ANY PARTY TO SUCH PROCEEDING, ANY SUCH ISSUES PERTAINING TO A “PROVISIONAL REMEDY” AS DEFINED IN CALIFORNIA CODE OF CIVIL PROCEDURE SECTION 1281.8 SHALL BE HEARD AND DETERMINED
BY THE COURT, AND (B) WITHOUT LIMITING THE GENERALITY OF SECTIONS 10, 15 AND 17 HEREOF AND SECTION 9.04 OF THE

  

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CREDIT AGREEMENT, THE GUARANTOR SHALL BE SOLELY RESPONSIBLE TO PAY ALL FEES AND EXPENSES OF ANY REFEREE APPOINTED IN SUCH ACTION OR PROCEEDING. THIS GUARANTY REPRESENTS THE FINAL AGREEMENT
BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS BETWEEN THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. 
 18. Additional Guarantor Waivers and Agreements. 
 (a) The Guarantor understands and acknowledges that if the Lender forecloses judicially or nonjudicially against any real property security for the Guaranteed Obligations, that foreclosure could
impair or destroy any ability that the Guarantor may have to seek reimbursement, contribution, or indemnification from the Borrower or others based on any right the Guarantor may have of subrogation, reimbursement, contribution, or indemnification
for any amounts paid by the Guarantor under this Guaranty. The Guarantor further understands and acknowledges that in the absence of this paragraph, such potential impairment or destruction of the Guarantor’s rights, if any, may entitle the
Guarantor to assert a defense to this Guaranty based on Section 580d of the California Code of Civil Procedure as interpreted in Union Bank v. Gradsky, 265 Cal. App. 2d 40 (1968). By executing this Guaranty, the Guarantor freely,
irrevocably, and unconditionally: (i) waives and relinquishes that defense and agrees that the Guarantor will be fully liable under this Guaranty even though the Lender may foreclose, either by judicial foreclosure or by exercise of power of
sale, any deed of trust securing the Guaranteed Obligations; (ii) agrees that the Guarantor will not assert that defense in any action or proceeding which the Lender may commence to enforce this Guaranty; (iii) acknowledges and agrees that
the rights and defenses waived by the Guarantor in this Guaranty include any right or defense that the Guarantor may have or be entitled to assert based upon or arising out of any one or more of Sections 580a, 580b, 580d, or 726 of the California
Code of Civil Procedure or Section 2848 of the California Civil Code; and (iv) acknowledges and agrees that the Lender is relying on this waiver in creating the Guaranteed Obligations, and that this waiver is a material part of the
consideration which the Lender is receiving for creating the Guaranteed Obligations. 
 (b) The Guarantor waives all
rights and defenses that the Guarantor may have because any of the Guaranteed Obligations are secured by real property. This means, among other things: (i) the Lender may collect from the Guarantor without first foreclosing on any real or
personal property collateral pledged by the Borrower; and (ii) if the Lender forecloses on any real property collateral pledged by the Borrower: (A) the amount of the Guaranteed Obligations may be reduced only by the price for which that
collateral is sold at the foreclosure sale, even if the collateral is worth more than the sale price, and (B) the Lender may collect from the Guarantor even if the Lender, by foreclosing on the real property collateral, has destroyed any right
the Guarantor may have to collect from the Borrower. This is an unconditional and irrevocable waiver of any rights and defenses the Guarantor may have because any of the Guaranteed Obligations is secured by real property. These rights and defenses
include, but are not limited to, any rights or defenses based upon Section 580a, 580b, 580d, or 726 of the California Code of Civil Procedure. 
 (c) The Guarantor waives any right or defense it may have at law or equity, including California Code of Civil Procedure Section 580a, to a fair market value hearing or action to determine a
deficiency judgment after a foreclosure. 
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 This Continuing and Unconditional Guaranty is executed this 4th day of January, 2010.

  

			
	 CORINTHIAN COLLEGES, INC.,
 a Delaware corporation

		
	By:	 	 /s/ Peter C. Waller

	Name:	 	 Peter C. Waller

	Title:	 	 Chief Executive Officer

  

			
	Address:    	 	6 Hutton Centre Drive, Suite 400
		 	Santa Ana, California 92707
		 	Facsimile: (714) 751-3605
		 	Attention: Chief Executive Officer and
		 	General Counsel

 [SIGNATURE PAGE TO
CONTINUING AND UNCONDITIONAL GUARANTY]Employment agreement dated January 4, 2010

 Exhibit 10.6 
 EMPLOYMENT AGREEMENT 
 THIS EMPLOYMENT AGREEMENT, dated as of this 4th day of January 2010,
by and between Botetourt Bankshares, Inc., a Virginia corporation (the “Company”), the Bank of Botetourt, a Virginia state bank wholly owned by the Company (the “Bank”), and H. Watts Steger, III (the “Executive”).

 WHEREAS, the Company considers the availability of the Executive’s services to be important to the management and conduct of the
Company’s business and desires to secure the continued availability of the Executive’s services on behalf of the Company; and 
 WHEREAS, the Executive is willing to make his services available to the Company on the terms and subject to the conditions set forth in this Agreement. 
 In consideration of the mutual covenants and agreements set forth, the parties agree as follows: 
 Part I: General Employment Terms 
 1. Employment and Duties. 
 (a) General Duties. The Company will employ the Executive as Chief Executive Officer of the Company on the terms and subject to the conditions of this
Agreement. The Executive accepts such employment and agrees to perform the managerial duties and responsibilities of Chief Executive Officer. The Executive agrees to devote his time and attention on a basis of at least 1,000 hours per year (or such
other minimum required to qualify for company-provided health insurance) to the discharge of such duties and responsibilities of an executive nature as may be assigned him by the Board of Directors of the Company. The Executive may accept any
elective or appointed positions or offices with any duly recognized associations or organizations whose activities or purposes are closely related to the banking business or service to which would generate good will for the Company and its
subsidiaries. The Executive’s duties shall include, but not be limited to: (i) reviewing and certifying, as required, reports to the Securities and Exchange Commission, including Forms 10-K, 10-Q, 8-K, and proxies; (ii) consulting
with Company and Bank management on the best approach to shareholder, investor, and customer relations issues; (iii) providing advice and consultation to the Chief Executive Officer of the Bank (“Bank CEO”); (iv) interacting with
external auditors, regulators and legal counsel, as needed, with regard to Company activities, policies, assets and liabilities; (v) manage the Company’s affairs in general, representing management’s position on Company issues in
Company and Bank Board and Committee meetings, and before the public and shareholders; (vi) remain available to contribute and help in Bank community and business development activities as requested reasonably by the Board or the Bank CEO; and
(vii) consult with Company and Bank Board Committees as reasonably requested. 
 (b) Board of Directors. The Executive shall stand
for reelection to the Company’s and Bank’s Boards of Directors and serve in those capacities at least until his employment by the Company has been terminated or this Agreement expires, whichever comes first. The Company’s and
Bank’s Board of Directors shall support such reelection of the Executive to the Company Board during that period. 
 2. Term. The
term of this Agreement (the “Term”) is effective as of July 31, 2010 and will continue through and including June 30, 2013, unless terminated or extended as provided below. This Agreement shall be extended for successive one-year
periods following the original term unless either party notifies the other in writing at least ninety (90) days prior to the end of the original term, or the end of any additional one-year renewal term, that the Agreement shall not be extended
beyond its current term. 
  

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 3. Compensation. 
 (a) Base Salary. The Company shall pay the Executive an annual base salary not less than $100,000. The base salary shall be paid to the Executive in accordance with established payroll practices of
the Company. In connection with the annual performance review of the Executive, the Company will review the succeeding year’s base salary amount on or before June 30 of each year to consider whether any adjustments should be made to the
base salary for such year; however, the base salary shall not be less than the minimum amount referred to above. 
 (b) Annual Bonus.
During the term of this Agreement, the Executive will be eligible to participate in any annual incentive plan developed for the Company that will establish measurable criteria and incentive compensation levels payable to the Executive for corporate
performance in relation to defined threshold benchmarks. The Compensation Committee or the Board of Directors of the Company, as the case may be, may establish the targeted corporate performance levels for the Company on an annual basis consistent
with the Company’s business plan and objectives. The Executive will not participate in incentive plans offered solely to Bank employees. 
 (c) Board Fees. The Executive shall be eligible to receive fees for board service consistent with that paid to other board members, except that he will not receive fees for attending Board Committee meetings. 
 4. Benefits. 
 (a) Plans. For
purposes of eligibility for employee benefits, the Executive also shall be considered an employee of the Bank. During the term of this Agreement, the Executive shall be eligible to participate in any plans, programs or forms of compensation or
benefits that the Company or the Bank provides to the class of employees that includes the Executive, on a basis not less favorable than that provided to such class of employees, including, without limitation, (i) disability and life insurance,
(ii) vacation and sick leave, (iii) Bank employee health insurance, and (iv) retirement plans (including the Bank’s defined contribution plan and non-qualified plan or “rabbi trust”, but only as available); provided
however, a reasonable transition period following any change in control, merger, statutory share exchange, consolidation, acquisition or transaction involving the Company or any of its subsidiaries shall be permitted in order to make appropriate
adjustments in compliance with this paragraph 4(a). Notwithstanding the above, the Executive shall not participate in any Bank-specific bonus plan or qualify for additional contributions to the Bank Defined Benefit plan after the date of this
Agreement. 
 (b) Vacation. The Executive shall be entitled to four (4) weeks vacation annually without loss of pay. The Executive
may not carryover accrued vacation from year to year. 
 (c) Automobile. During the term of this Agreement, the Company shall provide the
Executive with an appropriate automobile or automobile allowance as determined by the Board of Directors of the Company. At the end of the Executive’s employment, the Company shall provide the Executive 60 days notice to purchase the Company
owned automobile he most recently drove on a regular basis at a cost equal to the Company’s reported book value for that vehicle. 
 (d)
Defined Benefit Plan. Upon execution of this Agreement, the Company will provide the Executive a reasonable opportunity to liquidate and “cash out” his position in the Company’s Defined Benefit Plan. This right shall be
provided regardless of whether the Defined Benefit Plan is fully and adequately funded at the time the Executive elects to liquidate his benefits in that Plan. The Company or the Bank must post a bond for the benefit of that Plan if necessary to
permit the Executive to liquidate his position, all as reviewed and approved by the Mr. William Dowd, Sageview Consulting Group, Glen Allen, Virginia or another benefits consultant acceptable to the Company and the Virginia Bankers Association.

  

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 5. Reimbursement of Expenses. The Company shall reimburse the Executive promptly, upon
presentation of adequate substantiation, including receipts, for the reasonable travel, entertainment, lodging and other business expenses incurred by the Executive, including, without limitation, those expenses incurred by the Executive and his
spouse in attending trade and professional association conventions, meetings and other related functions. However, the Company reserves the right to review these expenses periodically and determine, in its sole discretion, whether future
reimbursement of such expenses to the Executive will continue without prior Board approval of the expenses. 
 6. Termination of
Employment. 
 (a) Death or Incapacity. The Executive’s employment under this Agreement shall terminate automatically upon the
Executive’s death. In the event of termination due to the death of the Executive, his survivors, designees or estate shall continue to receive, in addition to all other benefits accruing upon death, full compensation hereunder for a period of
three (3) months following the month in which his death occurred. If the Company determines that the Incapacity, as defined below, of the Executive has occurred, it may terminate the Executive’s employment and this Agreement upon thirty
(30) days’ written notice, provided that, within thirty (30) days after receipt of such notice, the Executive shall not have returned to full-time performance of his assigned duties. “Incapacity” shall mean the failure of
the Executive to perform his assigned duties with the Company on a consistent basis as a result of mental or physical illness or injury as determined by a physician selected by the Company for the greater of ninety (90) consecutive calendar
days or the longest waiting period under any long term disability insurance contract or program provided to him as an employee. 
 (b)
Termination by Company With or Without Cause. The Company may terminate the Executives employment during the term of this Agreement, with or without Cause. For purposes of this Agreement, “Cause” shall mean: 
 (i) continual or deliberate neglect by the Executive in the performance of his material duties and responsibilities as established from time to time by the
Board of Directors of the Company, or the Executive’s willful failure to follow reasonable instructions or policies of the Company after being advised in writing of such failure and being given a reasonable opportunity and period (as determined
by the Company) to remedy such failure; 
 (ii) conviction of, indictment for (or its procedural equivalent), or entering of a guilty plea or
plea of no contest with respect to a felony, a crime of moral turpitude or any other crime with respect to which imprisonment is a possible punishment, or the commission of an act of embezzlement or fraud against the Company or any subsidiary or
affiliate; 
 (iii) any breach by the Executive of a material term of this Agreement, or violation in any material respect of any code or
standard of behavior generally applicable to officers of the Company, after being advised in writing of such breach or violation and being given a reasonable opportunity and period (as determined by the Company) to remedy such breach or violation;

 (iv) dishonesty of the Executive with respect to the Company or any subsidiary or affiliate, or breach of a fiduciary duty owed to the
Company or any subsidiary or affiliate; or 
 (v) the willful engaging by the Executive in conduct that is reasonably likely to result, in
material injury to the Company, monetarily or otherwise, in the good faith judgment of the Company. 
 (c) Termination by Executive for Good
Reason. The Executive may terminate his employment for Good

  

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Reason. For purposes of this Agreement, “Good Reason” shall mean: 
 (i) the
continued assignment to the Executive of duties inconsistent with the Executive’s position, authority, duties or responsibilities as contemplated by Section 1 or, in the event of a Change in Control (as defined below), paragraph 10(a);

 (ii) any action taken by the Company which results in a substantial reduction in the status of the Executive, including a diminution in his
position, authority, duties or responsibilities, excluding for this purpose an isolated, insubstantial and/or inadvertent action not taken in bad faith and which is remedied by the Company promptly after receipt of notice given by the Executive;

 (iii) the relocation of the Executive to any other primary place of employment which might require him to move his residence which, for this
purpose, includes any reassignment to a place of employment located more than 50 miles from the Executive’s initially assigned place of employment, without the Executive’s express written consent to such relocation; or 
 (iv) any failure by the Company, or any successor entity following a Change in Control, to comply with the provisions of Sections 3 and 4 or paragraph 10(b)
or to honor any other term or provision of this Agreement, other than an isolated, insubstantial or inadvertent failure not occurring in bad faith and which is remedied by the Company promptly after receipt of notice given by the Executive.

 (d) Incapacity. If payments under a long term disability policy or plan shall cease due to discontinuance of the plan for failure for
any reason of the provider of such policy to continue to make payments, the Company will provide the benefits to the Executive in accordance with the terms of such policy or plan as if it were still in full force and effect. Notwithstanding the
above, in no event shall the Company’s obligation under this subparagraph be for more than two years. 
 7. Obligations of the Company
Upon Termination. 
 (a) Without Cause; Good Reason. Except as set forth in paragraphs 7(b) and 7(c) below, if, during the term of
this Agreement, the Company shall terminate the Executive’s employment without Cause or the Executive shall terminate employment for Good Reason, the Company will pay to the Executive in a lump sum within thirty (30) days after the
termination of employment the sum of the Executive’s annual base salary through the date of termination to the extent not paid before and the balance of the Executive’s annual base salary for a period of twelve (12) months from the
date of termination of employment. The Company shall also maintain in full force and effect for the Executive’s continued benefit, until twelve (12) months from the date of termination of employment, all health and insurance plans as
required by federal law, and provided that the Executive’s continued participation is possible under the general terms and provisions of such plans and programs. If the Company reasonably determines that maintaining such health and insurance
plans in full force and effect for the benefit of the Executive until twelve months from the date of termination of employment is not feasible, the Company shall pay the Executive a lump sum equal to the estimated cost of maintaining such plans for
the Executive for twelve months. In addition, stock option and similar agreements with the Executive evidencing the grant of a stock option or other award under a Company stock incentive plan, if applicable, will provide that the vesting of such
stock awards will accelerate and become immediately exercisable and fully vested as of the date of termination of employment without Cause or for Good Reason. In the case of stock options, the Executive will have at least ninety (90) days after
termination of employment, or such longer period as may be provided for in the separate stock option agreement, to exercise the option. 
 (b)
Non-Competition. Notwithstanding the foregoing, all such payments and benefits under paragraph

  

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7(a) otherwise continuing for periods after the Executive’s termination of employment shall cease to be paid, and the Company shall have no further obligation due with respect to those
payments, in the event the Executive engages in “Competition” or makes any “Unauthorized Disclosure of Confidential Information.” In addition, in exchange for the payments on termination as provided in this Agreement, other
provisions of this Agreement and other valuable consideration acknowledged by this Agreement, the Executive agrees that he will not engage in competition for a period of eighteen (18) months after the Executive’s employment with the
Company ceases for any reason, including the expiration or nonrenewal of this Agreement. For purposes of this Agreement: 
 (i)
“Competition” means the Executive’s engaging without the written consent of the board of directors of the Company or a person authorized, in an activity as an officer, a director, an employee, a partner, a more than one percent
shareholder or other owner, an agent, a consultant, or in any other individual or representative capacity within 50 miles of the Company’s headquarters or any branch office of the Company or any of its subsidiaries (unless the Executive’s
duties, responsibilities and activities, including supervisory activities, for or on behalf of such activity, are not related in any way to such competitive activity) if it involves: 
 (A) engaging in or entering into the business of any banking, lending or any other business activity in which the Company or any of its affiliates is actively engaged at the time the Executive’s
employment ceases, or 
 (B) soliciting or contacting, either directly or indirectly, any of the customers or clients of the Company or any of
its affiliates for the purpose of competing with the products or services provided by the Company or any of its affiliates, or 
 (C) employing
or soliciting for employment any employees of the Company or any of its affiliates for the purpose of competing with the Company or any of its affiliates. 
 (ii) “Unauthorized Disclosure of Confidential Information” means the use or disclosure of information in violation of Section 8 of this Agreement. 
 (iii) For purposes of this Agreement, “customers” or “clients” of the Company or any of its affiliates means individuals or entities to
whom the Company or any of its affiliates has provided banking, lending, or other similar financial services at any time from the Effective Date through the date the Executive’s employment with the Company ceases. 
 (c) Death or Incapacity. If the Executive’s employment is terminated by reason of death or incapacity in accordance with paragraph 6(a), this
Agreement shall terminate without further obligation to the Executive or his legal representatives except as otherwise specified in paragraph 6(a). 
 (d) Cause; Other Than for Good Reason. If the Executive’s employment shall be terminated for Cause or for other than Good Reason, this Agreement shall terminate without any further obligation of the Company to the Executive
other than to pay to the Executive his annual base salary through the date of termination. The Executive will still be required to comply with the non-competition and confidentiality covenants set forth in paragraph 7(b). 
 (e) Remedies. The Executive acknowledges that the restrictions set forth in paragraph 7(b) of this Agreement are just, reasonable, and necessary to
protect the legitimate business interests of the Company. The Executive further acknowledges that if he breaches or threatens to breach any provision of paragraph 7(b), the Company’s remedies at law will be inadequate, and the Company will be
irreparably harmed. Accordingly, the Company shall he entitled to an injunction, both preliminary and permanent, restraining the Executive from such breach or threatened breach, such injunctive relief not to preclude the Company from pursuing all
available legal and equitable remedies. In addition to all other available remedies, if the

  

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Executive violates the provisions of paragraph 7(b), the Executive shall pay all costs and fees, including attorneys’ fees, incurred by the Company in enforcing the provisions of that
paragraph. If, on the other hand, it is finally determined by a court of competent jurisdiction that a breach or threatened breach did not occur under paragraph 7(b) of this Agreement, the Company shall reimburse the Executive for reasonable legal
fees incurred to defend that claim. 
 8. Confidentiality. The Executive recognizes that as an employee of the Company he will have
access to and may participate in the origination of non-public, proprietary and confidential information and that he owes a fiduciary duty to the Company. Confidential information may include, but is not limited to, trade secrets, customer lists and
information, internal corporate planning, methods of marketing and operation, and other data or information of or concerning the Company or its customers that is not generally known to the public or in the banking industry. The Executive agrees that
he will never use or disclose to any third party any such confidential information, either directly or indirectly, except as may be authorized in writing specifically by the Company. 
 9. Fees and Expenses; Mitigation; Noncompetition. 
 (a) The Company will pay or reimburse
the Executive for all costs and expenses, including without limitation court costs and reasonable attorneys’ fees, incurred by 
 (a) The
Executive (i) in contesting or disputing any termination of the Executive’s employment or (ii) in seeking to obtain or enforce any right or benefit provided by this Agreement, in each case provided the Executive’s claim is
substantially upheld by a court of competent jurisdiction. 
 (b) The Executive shall not be required to mitigate the amount of any payment the
Company becomes obligated to make to the Executive in connection with this Agreement, by seeking other employment or otherwise. 
 (c) The
Executive will not be required to comply with the noncompetition covenant in paragraph 7(b) if his employment is terminated without Cause or he terminates for Good Reason during or after a Change in Control. 
 (d) Notwithstanding the above, if the Executive brings a formal legal action pursuant to this Section against the Company or its successor in interest, and
a court of competent jurisdiction rules against him, to that extent the Company will not be obligated to pay or reimburse the Executive for the costs and expenses of that portion of such action, including attorneys’ fees. 
 Part II: Change in Control 
 10. Employment After a Change in Control. If a Change in Control of the Company occurs during the term of this Agreement, and the Executive is employed by the Company on the date the Change in Control occurs, then the Company shall,
within thirty (30) days of such occurrence, pay to the Executive a sum of money equal to one year’s annual salary then in effect. This payment shall be made whether or not the Executive remains an employee of the Company after the Change
of Control and shall be in addition to other payments to the Executive under this Agreement or by reason of his employment. This is intended to be consistent with the Change in Control benefits provided generally to senior executives of the Company
and the Bank. If a standard form of agreement is used for other senior Company and Bank executive officers in cases of Change in Control and the terms of that form of agreement are changed in a material way, the parties will negotiate reasonably in
good faith and amend this Agreement in a manner that makes it consistent with the Company’s and Bank’s form of agreement for Change in Control. 
  

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 11. Change of Control Defined. For purposes of this Agreement, a “Change of Control” shall
mean: 
 (a) the acquisition by any individual, entity or group (within the meaning of Section 13(d)(3) of the Securities Exchange Act of
1934, as amended (the “Exchange Act’) of beneficial ownership (within the meaning of Rule 13d-3 under the Exchange Act), of securities of the Company representing 51% or more of the combined voting power of the then outstanding securities;
provided, however, that the following acquisitions shall not constitute a Change of Control: 
 (i) acquisition directly from the Company
(excluding an acquisition by virtue of the exercise of a conversion privilege); 
 (ii) any acquisition by the Company; 
 (iii) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company or any corporation controlled by the Company;
or 
 (iv) any acquisition pursuant to a reorganization, merger or consolidation by any corporation owned or proposed to be owned, directly or
indirectly, by shareholders of the Company if the shareholders’ ownership of securities of the corporation resulting from such transaction constitutes a majority of the ownership of securities of the resulting entity and at least a majority of
the members of the board of directors of the corporation resulting from such transaction were members of the incumbent board as defined in this Agreement at the time of the execution of the initial agreement providing for such reorganization, merger
or consolidation; or 
 (b) where individuals who, as of the inception of this Agreement, constitute the board of directors of the Company (the
“Incumbent Board”) cease for any reason to constitute at least a majority of such board of directors; provided, however, that any individual becoming a director subsequent to the effective date of this Agreement whose election, or
nomination for election by the shareholders was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for
this purpose, any such individual whose initial assumption of office occurs as a result of either an actual or threatened election contest (as such terms are used in Rule 14a-11 of Regulation 14A promulgated under the Exchange Act) or other actual
or threatened solicitation of proxies or consents by or on behalf of a person other than a member of the board of directors; or 
 (c) the
shareholders of the Company approve, or the Company otherwise consummates, 
 (i) a merger, statutory share exchange, or consolidation of the
Company with any other corporation, except as provided in subparagraph (a)(iv) of this Section, or 
 (ii) the sale or other disposition of all
or substantially all of the assets of the Company. 
 Part III: Miscellaneous 
 12. Documents. All documents, record, tapes and other media of any kind or description relating to the business of the Company or any of its
affiliates (the “Documents”), whether or not prepared by the Executive, shall be the sole and exclusive property of the Company. The Documents (and any copies) shall be returned to the Company upon the Executive’s termination of
employment for any reason or at such earlier time or times as the Board of Directors or its designee may specify. 
 13. Severability. If
any provision of this Agreement, or part, is determined to be unenforceable for any

  

 7 

 
reason whatsoever, it shall be severable from the remainder of this Agreement and shall not invalidate or affect the other provisions of this Agreement, which shall remain in full force and
effect anid shall be enforceable according to their terms. No covenant shall be dependent upon any other covenant or provision, each of which stands independently. 
 14. Modification. The parties expressly agree that should a court find any provision of this Agreement, or part, to be unenforceable or unreasonable, the court may modify the provision, or part, in
a manner which renders that provision reasonable, enforceable, and in conformity with the public policy of Virginia. 
 15. Governing
Law. This agreement shall be governed by and construed in accordance with the laws of the Commonwealth of Virginia. 
 16. Notices.
All written notices required by this Agreement shall be deemed given when delivered personally or sent by registered or certified mail, return receipt requested, to the parties at their addresses set forth on the signature page of this Agreement.
Each party may, from time to time, designate a different address to which notices should be sent. 
 17. Amendment. This Agreement may
not be varied, altered, modified or in any way amended except by an instrument in writing executed by the parties or their legal representatives. 
 18. Binding Effect. This Agreement shall be binding upon the Executive and on the Company, its successors and assigns effective on the date first above written subject to the approval by the board of directors of the Company. The
Company will require any successor 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. 
 19. No Construction Against Any Party. This Agreement is the product of informed
negotiations between the Executive and the Company. If any part of this Agreement is deemed to be unclear or ambiguous, it shall be construed as if it were drafted jointly by all parties. The Executive and the Company agree that neither party was in
a superior bargaining position regarding the substantive terms of this Agreement. 
 20. Entire Agreement. This Agreement constitutes the
entire agreement of the parties with respect to the matters addressed in this Agreement and it supersedes all other prior agreements and understandings, both written and oral, express or implied, with respect to the subject matter of this Agreement.

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

									
	BOTETOURT BANKSHARES, INC.	 		 	BANK OF BOTETOURT
					
	By:	 	 /s/ F. Lindsey Stinnett
	 		 	By:	 	 /s/ F. Lindsey Stinnett

		 	Vice Chairman of the Board	 		 		 	Vice Chairman of the Board
					
		 	 /s/ H. Watts Steger, III
	 		 		 	
		 	H. Watts Steger, III	 		 		 	

  

 8

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