Document:

Exhibit 10.6

 Exhibit 10.6 
 NONCOMPETlTION AGREEMENT 
 This Noncompetition Agreement (the “Agreement”) is entered into
as of November 2, 2006 (but effective immediately following the consummation of the Merger (as such term is defined below) by and between New York Community Bancorp, Inc. (“NYB”) and Patrick D. McTernan (the “Employee”).

 WHEREAS, pursuant to an Agreement and Plan of Merger dated as of November 2, 2006 (the “Merger Agreement”), by and
between NYB and PennFed Financial Services, Inc. (“PFSI”), PFSI will merge with and into NYB (the “Merger”); 
 WHEREAS, the Employee has served as a senior officer of PFSI and its subsidiaries; and 
 WHEREAS, the parties hereto
recognize and acknowledge that the covenants set forth in this Agreement are necessary to protect the business and goodwill acquired by NYB in connection with the Merger; 
 NOW, THEREFORE, in consideration of the mutual covenants contained herein, and for other good and valuable consideration, including the payments to be made to the Employee pursuant to Section 5 of this
Agreement, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
 1. Noncompetition.
During his employment with New York Community Bank, a wholly owned subsidiary of NYB and for a period of three (3) years thereafter (the “Noncompete Period”), the Employee shall not, without the prior written consent of NYB, directly
or indirectly, whether or not for compensation, engage or invest in, own, manage, operate, finance, control, or participate in the ownership, management, operation, financing, or control of, be employed by, associated with, or in any manner
connected with, lend Employee’s name or any similar name to, lend Employee’s credit to, or render services or advice to, any business, including a savings bank, savings and loan association, savings and loan holding company, bank, bank
holding company, mortgage company or similar type financial institution (including, without limitation, a de novo financial institution in its organizational phase), or any direct or indirect subsidiary or affiliate of such entity, whose
products or activities compete or would compete in whole or in part with the products or activities of NYB or its subsidiaries within a twenty-five (25) mile radius of any of the offices of NYB or any of its subsidiaries in existence
immediately following the consummation of the Merger (the “Noncompete Area”), provided, however, that the Employee may purchase or otherwise acquire up to (but not more than) five percent of any class of securities of any enterprise (but
without otherwise participating in the activities of such enterprise). The Employee agrees that this covenant is reasonable with respect to its duration, geographical area, and scope. In the event of a breach by the Employee of any covenant set
forth in this Section 1 of this Agreement, the term of such covenant will be extended by the period of the duration of such breach; 
 2. Nonsolicitation. During the Noncompete Period, the Employee will not, directly or indirectly, either for himself or any other Person (as defined herein), (i) induce or attempt to induce any employee of NYB or its subsidiaries
to leave the employ of NYB or its subsidiaries, (ii) in any way interfere with the relationship between NYB or its subsidiaries and any employee of NYB or its subsidiaries, (iii) employ, or otherwise engage as an employee, independent
contractor, or otherwise, any employee of NYB or its subsidiaries, or (iv) induce or attempt to induce any customer, supplier, licensee, or business relation of NYB or its subsidiaries to cease doing business with NYB or its subsidiaries, or in
any way interfere with the relationship between any customer, supplier, licensee, or business relation of NYB or its subsidiaries. During the Noncompete Period, the Employee will not, directly or indirectly, either for himself or any other Person
solicit the business of any Person known to the Employee to be a customer of NYB or its subsidiaries, whether or not the Employee had personal contact with such Person, 
  

 with respect to products or activities which compete in whole or in part with the products or activities of NYB or its
subsidiaries. For purposes of this Agreement, “Person” shall include an individual, trust, estate, corporation, limited liability company, savings bank, savings and loan association, savings and loan holding company, bank, bank holding
company, mortgage company or similar type financial institution, including, without limitation, a de novo financial institution in its organizational phase. 
 3. Nondisparagement. The Employee will not during or after the Noncompete Period disparage NYB or its subsidiaries, or any of its shareholders, directors, officers, employees, or agents. 
 4. Confidentiality. The Employee acknowledges and agrees to treat as confidential all information known or obtained by the Employee, whether
before or after the date hereof, concerning PFSI’s or NYB’s or their respective subsidiaries’ records, properties, books, contracts, commitments and affairs, including but not limited to, information regarding accounts, shareholders,
finances, strategies, marketing, customers and potential customers and other information of a similar nature (such information, “Confidential Information”). The Employee agrees that he will not, at any time, disclose to any unauthorized
Persons, or use for his own account or for the benefit of any third party any Confidential Information, whether or not the Confidential Information is embodied in writing or other physical form, without NYB’s express written consent, unless and
to the extent that such Confidential Information is or becomes generally known to and available for use by the public other than as a result of Employee’s fault or the fault of any other Person bound by a duty of confidentiality to NYB.

 5. Compensation. In consideration of the covenants contained in this Agreement, NYB shall pay the Employee (or his estate) the sum
of $625,000 in accordance with the following schedule: (i) $275,000 on the date of his termination of employment for any reason with new York Community Bank, (ii) $205,000 on the first anniversary of such employment termination, and
$145,000 on the second anniversary of such employment termination. All payments shall be less applicable withholding taxes. In the event of the death of the Employee on or after the date of the consummation of the Merger, the unpaid amounts under
this Section 5 shall become immediately payable in full in a single lump sum payment to the estate of the Employee, which payment shall be made within thirty (30) days after his death. 
 6. Remedies. The parties hereto, recognizing that irreparable injury will result to NYB, its business and property in the event of the
Employee’s breach of this Agreement, hereby consent, in the event of any such breach by the Employee, to an injunction in favor of NYB, in addition to any other remedies and damages available, to restrain the violation hereof by the Employee,
the Employee’s partners, agents, servants, employers, employees and all persons acting for or with the Employee. The Employee represents and admits that the Employee’s experience and capabilities are such that the Employee can obtain
employment in a business engaged in other industries and/or of a different nature than NYB, and that the enforcement of a remedy by way of injunction will not prevent the Employee from earning a livelihood. Nothing herein will be construed as
prohibiting NYB from pursuing any other remedies available to NYB for such breach or threatened breach, including the recovery of damages from the Employee. In no event will NYB’s monetary relief for damages be less than all amounts previously
paid by it to the Employee pursuant to this Agreement. 
 7. Waiver. The rights and remedies of the parties to this Agreement are
cumulative and not alternative. Neither the failure nor any delay by any party in exercising any right, power, or privilege under this Agreement will operate as a waiver of such right, power, or privilege, and no single or partial exercise of any
such right, power, or privilege will preclude any other or further exercise of such right, power, or privilege or the exercise of any other right, power, or privilege. To the maximum extent permitted by applicable law, (a) no claim or right
arising out of this Agreement can be discharged by one party, in whole or in part, by a waiver or renunciation of the claim or right unless in writing signed by the other party; (b) no waiver that may be given by a party will be applicable
except in the specific instance 
  

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 for which it is given; and (c) no notice to or demand on one party will be deemed to be a waiver of any obligation
of such party or of the right of the party giving such notice or demand to take further action without notice or demand as provided in this Agreement. 
 8. Successors and Assigns. This Agreement shall be binding upon the Employee and NYB and will inure to the benefit of NYB and its affiliates, successors and assigns and the Employee and the Employee’s
assigns, estate, heirs and legal representatives. 
 9. Governing Law. This Agreement shall be construed and enforced in accordance
with the laws of the State of New York without regard to conflicts of laws principles. 
 10. Severability. If any provision in this
Agreement is declared or determined by any court to be illegal, void, or unenforceable, the illegality or unenforceability of such provision shall have no effect upon, and shall not impair, the enforceability or validity of any other provisions in
this Agreement. If any of the covenants set forth in this Agreement are held to be unreasonable, arbitrary, or against public policy, such covenants will be considered divisible with respect to scope, time, and geographic area, and in such lesser
scope, time and geographic area, will be effective, binding and enforceable against the Employee. 
 11. Arbitration. Any dispute or
controversy arising under or in connection with this Agreement shall be settled exclusively by arbitration, conducted before a single arbitrator selected mutually by NYB and Employee, which arbitration shall be conducted within the State of New York
in accordance with the rules of the American Arbitration Association then in effect. 
 12. Counterparts. This Agreement may be
executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement. 
 13. Termination. This Agreement shall be terminated and shall have no further force or effect if, and at such time as, the Merger Agreement is terminated. 
  

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 The parties hereto have executed and delivered this Noncompetition Agreement as of the date first written
above. 
  

	
	NEW YORK COMMUNITY BANCORP, INC.
	
	 /s/ Joseph R. Ficalora

	 Joseph R. Ficalora
 President and Chief Executive
Officer

	
	EMPLOYEE
	
	 /s/ Patrick D. McTernan

  

 4Exhibit 10.7

 Exhibit 10.7 
 November 2, 2006 
 Jeffrey J. Carfora 
 622 Eagle Rock Avenue 
 West Orange, NJ 07052-2989 
 Dear Mr. Carfora: 
 In connection with the anticipated merger (the “Merger”) of PennFed
Financial Services, Inc. (the “Company”) with and into New York Community Bancorp, Inc. (“NYB”) as contemplated by the Agreement and Plan of Merger, dated as of November 2, 2006, by and between NYB and the Company (the
“Merger Agreement”), which is entered into as of today, the Company, NYB and you hereby enter into this agreement (this “Agreement”). Capitalized terms used but not otherwise defined in this Agreement shall have the meaning set
forth in the Merger Agreement. 
 1. 2006 Payment. Prior to December 31, 2006, the Company shall pay you $1,000,000. This
amount is intended to fully compensate you in exchange for your foregoing the change in control payment due you under Section 7(c) of your Employment Agreement (the “2.99 Payment Amount”). If the payment under this Paragraph 1 exceeds
the 2.99 Payment Amount, the excess shall be treated as made pursuant to a separation pay arrangement exempt from Section 409A of the Internal Revenue Code (the “Code”) (the Paragraph 1 Severance Payment”) and subject to the
separation payment limitations of Paragraph 2(b). For the avoidance of doubt, and notwithstanding anything herein to the contrary, you agree that this payment shall not be taken into account in computing any benefits under any plan, program or
arrangement of the Company or its Affiliates in which you participate or to which you are a party. Not later than 10 business days prior to the scheduled payment date, NYB shall be provided with sufficient information by the Company to enable its
Tax Advisor (as defined below) to determine whether such payment is in compliance with Paragraph 5 of this Agreement. 
 2. Effective
Time Payment. (a) At or immediately following the Effective Time, the Company or NYB shall pay you $570,000. If your employment with the Company is terminated prior to the Effective Time due to disability or death, you or your estate,
as applicable, shall be entitled to the foregoing payment at or immediately following the Effective Time. At your written election prior to the Effective Time, the foregoing payment shall be reduced by the present value at the Effective Time of the
expected health and dental premiums to be paid by NYB, to maintain continuing health and dental insurance coverage for you and your dependents for the three year period following your employment termination (the “Extended Coverage”) and
you and your dependents will be entitled to receive the Extended Coverage and to receive COBRA benefits thereafter. For the avoidance of doubt, and notwithstanding anything herein to the contrary, you agree that this payment shall not be taken into
account in computing any benefits under any plan, program or arrangement of the Company or its Affiliates in which you participate or to which you are a party. Not later than 10 business days prior to the scheduled payment date, NYB shall be
provided with sufficient information by the Company to enable its Tax Advisor (as defined below) to determine whether such payment is in compliance with Paragraph 5 of this Agreement. 

 (b) The payment under this Paragraph 2 shall be considered made pursuant to a separation pay arrangement
exempt from the application of Section 409A of the Code, to the extent that the sum of this payment and the Paragraph 1 Severance Payment does not exceed the separation pay arrangement limitation set forth in Proposed Treasury Regulation
1.409A-1(b)(9)(iii)(A) (the “Severance Payment Limit”). To this extent, the payment under this Paragraph 2 shall be referred to as the “Paragraph 2 Severance Payment”. 
 (c) The payment under this Paragraph 2 in excess of the Paragraph 2 Severance Payment shall be treated as deferred compensation to which
Section 409A of the Code applies. Accordingly, pursuant to the 2006 year transition rule guidance issued under Section 409A of the Code, you agree that under your Employment Agreement prior to its termination pursuant to Paragraph 4 below
and prior to this Agreement, such amount is not payable to you in 2006, and shall be paid to you in accordance with Paragraph 2(a) notwithstanding any provision of your Employment Agreement to the contrary. Your Employment Agreement shall be deemed
amended to permit this payment, prior to its termination pursuant to Paragraph 4 below. 
 3. Exercise of Nonqualified Stock
Options. You agree that, on or before December 28, 2006, you will exercise all Company nonqualified stock options you hold as of the date of this Agreement. 
 4. Termination of Prior Agreement; Agreement to Remain Employed Through Effective Time; Required Termination of Employment at the End of your Retention Period. You hereby agree that, in consideration of
the Company and NYB entering into this Agreement, effective as of the date hereof, the amended and restated Employment Agreement by and between the Company and you, dated as of November 28, 2004, shall be null and void and no person or entity
shall be obligated to pay you or any person any amounts or provide any benefits in respect to such Employment Agreement. Further, in consideration of the benefits conferred upon you pursuant to this Agreement, you hereby agree not to voluntarily
terminate your employment with the Company or any of its Affiliates prior to the Effective Time, and, prior to the Effective Time, the Company agrees not to terminate your employment with the Company or its Affiliates, except for cause as defined in
your Employment Agreement. After the end of your retention period set forth in your retention agreement, your employment with the Company shall terminate (so that, accordingly, the Paragraph 1 Severance Payment and the Paragraph 2 Severance Payment
are considered made under a separation pay arrangement within the meaning of Section 409A of the Code). 
 5. Withholding and
Reduction. The Company will withhold and deposit all federal, state and local income and employment taxes that are owed by you with respect to all amounts paid or benefits provided to or for you by the Company or any Affiliate pursuant to
this Agreement. 
 It is the intention of the parties that no payment be made or benefit be provided to you under this Agreement or otherwise
by the Company that would constitute an “excess parachute payment” within the meaning of Section 280G of the Code and any regulations thereunder, thereby resulting in a loss of an income tax deduction by the Company or NYB or the
imposition of an excise tax on you under Section 4999 of the Code. If, at any time, it is determined as provided below that some or all of the payments or benefits scheduled to be made or provided under this Agreement, when combined with any
other payments or benefits provided to you by the Company and/or any of its subsidiaries, would constitute nondeductible excess parachute payments under Section 280G of the Code, then the payments or benefits scheduled under this Agreement will
be reduced to one dollar less than the maximum amount which may be paid or provided without causing any such payments or benefits scheduled hereunder to be nondeductible. The determination made as to the reduction of benefits or payments required
hereunder by the Tax Advisor shall be binding on the parties, unless within 15 days after such determination, a 
  

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 reputable tax advisor retained by you disputes such determination in writing. If the two (2) tax advisors cannot
resolve the dispute within five (5) business days, they shall jointly appoint a third tax advisor to make the final determination. If a dispute arises, the joint determination of the two (2) tax advisors or the determination of the third
tax advisor, as applicable, shall be binding on the parties. You shall have the right to designate within a reasonable period which payments or benefits scheduled under this Agreement will be reduced; provided, however, that if you do not provide
such direction, the Company or NYB will implement any necessary reductions in its discretion. For purposes of this paragraph, “Tax Advisor” shall mean a law firm, benefits consulting firm or independent accounting firm (which firm may be
NYB’s independent auditors) appointed by NYB to make the determination required by this paragraph. 
 6. Successors. This
Agreement is personal to you and without the prior written consent of the Company shall not be assignable by you otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by your
legal representatives. This Agreement shall inure to the benefit of and be binding upon the Company, NYB, and their successors and assigns. 
 7. Effect of Termination of the Merger on SERP Entitlements; Repayment of Benefit. 
 (a) If you receive the payment
described in Paragraph 1 (the “2006 Payment”), and the Merger Agreement is subsequently terminated, then your 2006 Payment shall be treated as payment in full satisfaction of, and shall fully discharge the Company’s obligation to pay
to you (notwithstanding any provision of the SERP to the contrary), that portion of your benefit under the Penn Federal Savings Bank Supplemental Executive Retirement Plan (the “SERP”) that is not subject to Section 409A of the
Internal Revenue Code (the “Code”); that is, the present value of that portion of your SERP benefit that had accrued on or prior to December 31, 2004, and the incremental increases thereon (determined in accordance with Proposed
Treasury Regulation Section 1.409A-6(a) (or its successor)) (the “Pre-2005 SERP Amount”). The Pre-2005 SERP Amount shall be deemed to be made in accordance with Section 3.3 of the SERP as in effect on December 31, 2004, and
the SERP shall be interpreted accordingly. You agree to enter into an amendment to your SERP Agreement consistent with the treatment of your Pre-2005 SERP Amount herein and that precludes your Pre-2005 SERP Amount from becoming subject to
Section 409A. 
 (b) If you receive your 2006 Payment and the Merger Agreement is subsequently terminated, then you shall not be
entitled to any other benefit payable on account of, or in connection with, a change in control involving the Company or a successor thereto (other than a benefit payable under a plan qualified under Code Section 401(a)), notwithstanding any
provision of any other plan, program or agreement to the contrary. In consideration for receiving your 2006 Payment, you agree to waive any and all rights you may now or hereafter may have under such other plan, program or agreement. 
 (c) If you receive your 2006 Payment and the Merger Agreement is subsequently terminated, and you voluntarily terminate employment with the Company prior
to the earlier of (1) the 5th anniversary of this Agreement, or (2) a subsequent change in control
involving the Company or any successor thereto, then you shall forfeit your entire interest in the SERP in excess of the Pre-2005 SERP Amount (the “Post-2004 SERP Amount”), and the Company’s obligation to you regarding the Post-2004
SERP Amount shall be fully discharged, notwithstanding any provision of the SERP to the contrary. You agree to enter into an amendment to your SERP Agreement consistent with the provisions of this paragraph. 
  

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 (d) If you voluntarily terminate employment with the Company after you receive your 2006 Payment, but
prior to the Effective Time or the termination of the Merger Agreement, whichever shall first occur, you agree to repay your 2006 Payment to the Company, with interest at a rate of seven percent (7%) per annum, determined from the date the 2006
Payment is made to you until the date of repayment. Upon the receipt by the Company of such repayment, then paragraphs (a) through (c) of this Section 7 shall terminate and have no force or effect. 
 8. Waiver. Failure of the Company or NYB to demand strict compliance with any of the terms, covenants or conditions of this Agreement shall
not be deemed a waiver of such term, covenant or condition, nor shall any waiver or relinquishment of any such term, covenant or condition on any occasion or multiple occasions be deemed a waiver or relinquishment of such term, covenant or
condition. 
 9. Governing Law and Jurisdiction. The Agreement is governed by and construed under the laws of the State of New
York, without regard to conflict of laws rules. You, the Company and NYB (i) hereby consent to submit to the exclusive personal jurisdiction of any Federal court located in the State of New York or any court of the State of New York in the
event any dispute arises out of this Agreement or any of the transactions contemplated by this Agreement, and (ii) hereby waive any right to challenge jurisdiction or venue in such courts with regard to any suit, action, or proceeding under or
in connection with the Agreement. Each party to this Agreement also hereby waives any right to trial by jury in connection with any suit, action, or proceeding under or in connection with this Agreement. 
 10. Entire and Final Agreement. Except for the Retention Agreement entered into between you and New York Community Bank dated as of the
date hereof (but effective immediately following the Effective Time), this Agreement shall supersede any and all prior oral or written representations, understandings and agreements of the parties with respect to the matters addressed herein and it
contains the entire agreement of the parties with respect to those matters. No agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof have been made by either party which are not set forth
expressly in this Agreement. Once signed by the parties hereto, no provision of this Agreement may be modified or amended unless agreed to in a writing, signed by you and a duly authorized officer of the Company and NYB. 
 11. Assignment. Neither this Agreement nor any of the rights, obligations or interests arising hereunder may be assigned by you. Neither
this Agreement nor any of the rights, obligations or interests arising hereunder may be assigned by the Company without your prior written consent, to a person or entity other than an affiliate or parent entity of the Company or its successors or
assigns; provided, however, that, in the event of the merger, consolidation, transfer, or sale of all or substantially all of the assets of the Company with or to any other individual or entity, this Agreement shall, subject to the
provisions hereof, be binding upon and inure to the benefit of such successor and such successor shall discharge and perform all the promises, covenants, duties, and obligations of the Company hereunder. 
 12. Section Headings. The section headings contained in this Agreement are inserted for purposes of convenience only and shall not affect
the meaning or interpretation of this Agreement. 
  

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 13. Notices. All notices required by this Agreement shall be sent in writing and delivered
by one party to the other by overnight express mail to the following persons and addresses: 
 If to the Company: 
 PennFed Financial Services, Inc. 
 622 Eagle
Rock Avenue 
 West Orange, NJ 07052-2989 
 Attn: Patrick D. McTernan, Secretary 
 If to you: 
 Jeffrey J. Carfora 
 At the most recent address on file at the Company. 
 14. Execution in Counterparts. This Agreement may be executed by the parties hereto in counterparts, and each of which shall be considered
an original for all purposes. 
  

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 If the foregoing is satisfactory, please so indicate by signing and returning to the Company the enclosed
copy of this letter whereupon this will constitute our agreement on the subject. 
  

			
	PENNFED FINANCIAL SERVICES, INC.
		
	 By:
	 	 /s/ Joseph L. LaMonica

	Name:	 	 Joseph L. LaMonica, President and CEO

	Date:	 	 November 2, 2006

	
	NEW YORK COMMUNITY BANCORP, INC.
		
	 By:
	 	 /s/ Joseph R. Ficalora

	Name:	 	 Joseph R. Ficalora, President and CEO

	Date:	 	 November 2, 2006

  

			
	ACCEPTED AND AGREED TO:
	
	 /s/ Jeffrey J. Carfora

	 Employee

	 Date:
	 	 November 2, 2006

  

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