Document:

exv10w37

EXHIBIT 10.37

MERCANTILE BANCORP, INC.

Quincy, Illinois

COMPANY AND BANK

EXECUTIVE and SENIOR OFFICER

INCENTIVE COMPENSATION PLAN

December 2006

Amended and Restated as of January 1, 2010

 

 

EXECUTIVE and SENIOR OFFICER INCENTIVE COMPENSATION PLAN

BASIC PLAN

	 	1.	 	PURPOSE
	 
	 	 	 	The purpose of the Executive and Senior Management Incentive Compensation Plan (the Plan)
is to maximize the achievement of Mercantile Bancorp, Inc. (the Company) and its affiliate
bank’s objectives by providing incentives and awards to those senior-level executives and
officers who attain and sustain consistently high levels of performance which exceed normal
expectations and which contribute to the success and profitability of the bank or the
Company. The Plan is designed to support the key goals and objectives of each bank and the
Company.
	 
	 	2.	 	GENERAL DESCRIPTION
	 
	 	 	 	Incentive awards can be based on individual and/or organization-wide contributions to
performance as measured by critical operating ratios, including selected financial ratios,
percentage improvements and overall profitability. At the same time, the Plan establishes
annual targets which will help the bank and Company achieve its strategic goals, as well as
provide a performance review and measurement system.
	 
	 	 	 	The incentive formulas are constructed to provide awards consistent with the increase in
profits to the banks and Company. The incentive formulas are designed to provide a level
of performance award that is competitive with comparable levels of performance in other
institutions, to assist the banks and Company in retaining and motivating key executives,
and to provide incentive toward the bank’s and Company continued growth and profitability.
	 
	 	 	 	An earned incentive bonus is to be supplemental compensation in the form of cash paid on an
annual basis. The Plan is established in addition to regular salary and other benefits
programs. The Plan presumes an equitable base compensation system and a competitive
benefits program.
	 
	 	3.	 	ADMINISTRATION
	 
	 	 	 	The Board of Directors of the Company has the responsibility to interpret, administer, and
amend the Plan.

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	 	 	 	Matters before the Board shall be decided based upon the vote of a majority of the entire
Board. Company officers who are members of the Board shall not be entitled to vote on
matters relating to the eligibility for and/or determination of their own incentive
compensation award.
	 
	 	 	 	Prior to the beginning of each fiscal year, the Compensation Committee shall review and
revise, if deemed advisable, the guidelines for implementing the Plan for the coming fiscal
year.
	 
	 	 	 	Computation of incentive awards will be performed by executive and or senior management at
the Company level and reviewed by the Compensation Committee.
	 
	 	 	 	The Board may deem to exclude extraordinary occurrences, which could impact the incentive
awards, either positively or negatively, but are, by their nature, outside the significant
influence of Plan participants.
	 
	 	 	 	The actions of the Board as to the interpretation, construction, and administration of the
Plan shall be final and binding for all parties, including the Company and its employees.
	 
	 	 	 	In all cases, the Board of Directors reserves the right to reduce, modify, withhold or
discontinue awards to some or all eligible participants at any time without notice.
	 
	 	4.	 	PARTICIPANTS
	 
	 	 	 	Eligibility for participation in the Plan shall be limited to those individuals approved by
the CEO of the Company who, in unison with the judgment of the Compensation Committee and
the Board of Directors agree, are responsible for directing functions in each bank or the
Company that have a significant bearing on the growth and profitability of the Company.
	 
	 	 	 	Participants in this Plan are not eligible for and will not participate in the Company
“Performance Compensation Plan”.
	 
	 	 	 	Prior to the beginning of each Plan year, participants may be added or deleted at the
discretion of the CEO. In the event of a promotion from a Performance Pay Plan eligible
position to an ExSO Plan eligible position the timing of the transfer from one incentive
plan to the other will be at the Board of Director’s discretion.
	 
	 	5.	 	DEFINITIONS
	 
	 	 	 	For the purpose of determining the amount of the incentive compensation awards under the
guidelines, the following definitions shall apply:

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	 	•	 	Key Performance Factors — Those key operating ratios, plus other pertinent
measures of the Company or individual bank performance, on which the participants will
be evaluated. Factors are to be disclosed explicit to Company or bank. The exact
factors and number of factors may vary per individual. Factors include but are not
limited to:

	 	-	 	Return on Assets— After-tax net income adjusted for
extraordinary items divided by average assets.
	 
	 	-	 	Return on Equity— After-tax net income adjusted for
extraordinary items divided by average equity.
	 
	 	-	 	Book Value Per Share — The improvement of BVPS on an average
weighted share basis. ($ or %)
	 
	 	-	 	Market Price Multiple of Book Value per Share — The
improvement of MPMBVPS on a per share basis.
	 
	 	-	 	Earnings Per Share — The improvement of EPS on an average
weighted share basis. ($ or %)
	 
	 	-	 	Net Income After Tax — The after-tax income increases or
decreases in the amount as compared with the previous year. ($ or %)
	 
	 	-	 	Net Interest Margin Ratio— Interest income minus interest
expense divided by average earning assets.
	 
	 	-	 	Asset Growth — The average increases or decreases in the
amount of assets as compared with the previous year. ($ or %)
	 
	 	-	 	Loan Growth — The average percentage increases or decreases
in the amount of identified loans as compared with the previous year. ($ or %)
	 
	 	-	 	Deposit Growth — The average increases or decreases in the
amount of identified deposits as compared with the previous year. ($ or %)
	 
	 	-	 	Non-interest Income — The average percentage increases or
decreases in the amount of identified non-interest income as compared with the
previous year. ($ or %)
	 
	 	-	 	Non-interest Income Ratio — The dollar amount of
non-interest income adjusted for extraordinary items divided by average assets.
	 
	 	-	 	Overhead Expense Ratio— The dollar amount of total
overhead expenses divided by average assets.

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	 	-	 	Earning Assets Ratio— The average dollar amount of total
earning assets divided by the average dollar amount of total assets.
	 
	 	-	 	Loan to Deposit Ratio— The average dollar amount of total
loans (less non-accrual) divided by the average dollar amount of total deposits.
	 
	 	-	 	Net Charge-Off Ratio— Net charged-off divided by
average total loans outstanding.
	 
	 	-	 	Specific Objectives — Measurable specific goals and
objectives, which may be established for certain participants.

	 	 	 	Participants are encouraged to suggest Key Performance Factors, and what is listed will not
limit what is considered or agreed to.

	 	•	 	Threshold Performance Trigger —The minimum overall performance level for a
single key performance ratio identified for each individual’s core responsibility link
to individual bank profitability or overall Company performance, which can vary per
individual, bank and position.
	 
	 	•	 	Key Performance Factors — The minimum or maximum performance level for
each other factor (other than Trigger) identified for each individual’s core
responsibility area to an individual bank or overall Company performance, which can
vary per individual, bank and position, below or above which no award will be given.
	 
	 	•	 	Incentive Factor Weighting— A percentage for each of the Threshold
Trigger and Key Performance Factors for each participating position, which is used to
modify the basic incentive percentage to reflect the relative importance of the factor
to that position, and to the expectations directed to the participant. The total of
the weightings must equal 100%. The weightings per factor can vary per individual,
bank and position.
	 
	 	•	 	Percentage of the Base Award — A percentage of the base salary received in
the bonus formula if the Threshold Trigger is met, which can vary per individual, bank
and position.
	 
	 	•	 	Discretionary/Individual Performance Adjustment— A multiplier, which
allows the Compensation Committee some subjective discretion in the determination of,
the final incentive award for each participant.
	 
	 	•	 	Extraordinary Occurrences — Those events which, in the opinion of the
Board of Directors, are outside the significant influence of Plan participants and
would, by their inclusion, cause a significant unintended effect, positive or
negative, on the Company’s operating and financial performance results.

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	 	6.	 	INCENTIVE COMPUTATION — GENERAL PROCEDURES
	 
	 	 	 	The general formula for converting overall Company results into individual incentive awards
is as follows:

	 	•	 	Incentive dollars for a participant for the Plan year are calculated by:

	 	-	 	The base annual salary of the participant,
	 
	 	-	 	Times the “Percentage of the Base Award,”
	 
	 	-	 	Times the “Individual Performance Adjustment.” (Discretionary)
	 
	 	-	 	Equals the Total Possible Incentive Award,
	 
	 	-	 	Neutral effect or Minus (-) the sum of the measures on each Key
Performance Factor and its weighting applicable to the participant’s Plan for that
year,
	 
	 	-	 	Equals the Total Actual Payout

	 	 	 	No incentive awards will be granted for a fiscal year, regardless of performance on
individual Key Performance Factors, if the individual’s Threshold Performance Trigger is
not met for that fiscal year.
	 
	 	 	 	At the discretion of the Compensation Committee of the Company, the calculation of the
incentive compensation award may also include a discretionary incentive award adjustment
(noted above as the “Individual Performance Adjustment”).
	 
	 	7.	 	PAYMENT OF INDIVIDUAL INCENTIVE COMPENSATION AWARDS
	 
	 	 	 	When the Company’s year-end financial results are known, participants will receive the
incentive payment determined by evaluating their performance for the year using the formula
established for their Plan. An award payout, if earned, would be made following the Plan
year-end when final audited numbers are finalized and available. Applicable withholding of
taxes will be deducted from each payment.
	 
	 	 	 	In all cases, the Board of Directors reserves the right to reduce, modify, withhold or
discontinue awards to some or all eligible participants at any time without notice.

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	 	8.	 	PARTIAL PAYMENTS: TERMINATION OF EMPLOYMENT/NEW HIRES
	 
	 	 	 	In the event of termination of employment through retirement or death, the employee shall
be considered to have earned one-twelfth of the annual incentive compensation award of a
particular year for each full month of employment in the fiscal year of his/her retirement
or death.
	 
	 	 	 	If a participant dies, any unpaid incentive awards shall be paid to the estate, or
designated beneficiary, in one lump sum.
	 
	 	 	 	Participants may not be added to the Plan after September 1 of the Plan year. If an
individual becomes a new participant prior to September 1 during the Plan year, the
incentive compensation award will be earned on the basis of one-twelfth of the annual
incentive compensation for each full month of participation.
	 
	 	 	 	In all other cases of termination, the employee forfeits any unpaid awards.

	 	9.	 	INCENTIVE COMPENSATION GUIDELINES
	 
	 	 	 	As of the beginning of each fiscal year, the Board shall review and revise, if deemed
advisable, the guidelines of the Plan for the year then beginning. The guidelines shall
include the following:

	 	a.	 	Identification of employees selected under Paragraph 4 for participation in
the Plan.
	 
	 	b.	 	Percentage of base award, key performance factors and weightings for
determining the amount of the incentive compensation awards for the fiscal year then
beginning.
	 
	 	c.	 	Measure barometers are to be standardized and rely mainly on UBPR reports,
Banker’s Dashboard, and audit work of the Company’s external audit firm.
	 
	 	d.	 	Other administrative and procedural rules that the Board considers
appropriate.

	 	 	 	After approval by the Board of Directors, Company management shall, as soon as practical,
inform each of the participants under the Plan of the guidelines for the fiscal year then
beginning.

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	 	10.	 	PERFORMANCE PROGRESS REPORTING
	 
	 	 	 	The Company’s President, or his designee, will be responsible for a quarterly reporting to
the Board of Directors of Plan performance during the course of the year. This data is to
be made available to the Board within 30 days of its date of availability.
	 
	 	11.	 	AMENDMENT OR TERMINATION OF PLAN
	 
	 	 	 	The Board of Directors may modify, amend, or terminate this Plan at any time effective at
the end of a fiscal year. The modification, amendment, or termination of the Plan shall in
no way affect a participant’s right to unpaid incentive compensation awards for the year
prior to termination or modification.

This Plan is effective January 1, 2007.

Example payout calculation:

Assumptions

Individual bank structure

$75,000 base salary

Percentage of Base Award Level — 15%

	 	 	 	 	 	 	 	 	 
	Factors	 	Targets	 	 	Weightings	 
	Trigger
	 	 	 	 	 	 	 	 
	Return on Equity
	 	 	13.0	%	 	 	20	%
	 
	 	 	 	 	 	 	 	 
	Key Performance Factors
	 	 	 	 	 	 	 	 
	Net Interest Margin Ratio
	 	 	3.25	%	 	 	25	%
	Loan Growth Percentage
	 	 	10.0	%	 	 	25	%
	Net Charge-Off Ratio
	 	 	2.0	%	 	 	20	%
	Non-Interest Income Ratio
	 	 	.90	%	 	 	10	%
	Specific Objective
	 	None	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Actual
target performance:
	 	 	 	 	 	 	 	 
	1. Return on Equity
	 	 	13.2	%	(trigger met)	 
	2. Net Interest Margin Ratio
	 	 	3.21	%	(KPF not met)	*
	3. Loan Growth Percentage
	 	 	11.3	%	(KPF met)	 
	4. Net Charge-Off Ratio
	 	 	1.9	%	(KPF met)	 
	5. Non-Interest Income Ratio
	 	 	.88	%	(KPF not met)	*

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	Factors	 	Targets	 	 	Weightings	 
	Bonus calculation:
	 	 	 	 	 	 	 	 
	Base Salary
	 	$	75,000	 	 	 	 	 
	15% of Base Award
	 	 	11,250	 	 	 	 	 
	Individual Adjustment
	 	 	0	 	(Discretionary)	 
	 
	 	 	 	 	 	 	 
	Total Award Possible
	 	$	11,250	 	 	 	 	 
	Minus # 2 KPF
	 	 	- 2,813	 	(11,250 x 25% weighting)	 
	Minus # 5 KPF
	 	 	- 1,125	 	(11,250 x 10% weighting)	 
	 
	 	 	 	 	 	 	 
	Total actual payout
	 	$	7,312	 	 	 	 	 

In this example, if the Trigger factor of ROE would have been below the target established, there
would — 0 — payout to the individual.

9exv10w1

Exhibit 10.1

CONTRACT FOR SERVICES

     This Contract for Services (the “Agreement”) is by and between ONCOR ELECTRIC DELIVERY COMPANY
LLC, a Delaware limited liability company (the “Company”), and Rob D. Trimble, III, an individual
(“Executive”), collectively (the “Parties”).

RECITALS

     WHEREAS, Executive has been employed by and served as an officer of the Company; and

     WHEREAS, Executive will retire from the Company effective April 1, 2010; and

     WHEREAS, Executive has agreed to remain available to the Company as an independent consultant
to serve as an advisor to Company’s executive management (“Executive Management”) and continue
transition management knowledge transfer with regard to his prior position(s) with the Company.

     NOW, THEREFORE, in consideration of the promises and mutual agreements in this Agreement, and
for other good and valuable consideration, the receipt and legal sufficiency which are hereby
acknowledged, the Parties agree as follows:

Article 1

CONTRACT FOR SERVICES

1.1 Term.

     The term of this Agreement is for a two (2) year period commencing on April 1, 2010 and,
unless otherwise terminated in accordance with the provisions of Section 1.9 hereof, terminating
on March 31, 2012 (the “Term”).

1.2 Scope of Work.

     Executive shall, as requested by the Company during the Term, serve as an advisor to
Executive Management and continue transition management knowledge transfer with regard to his
prior position(s) with the Company (the “Services”).

     Executive agrees to be available upon reasonable notice to provide Services, provided that
Executive will not be asked to work more than one hundred (100) full days, or eight hundred (800)
hours per year during the Term. Both Parties acknowledge that this Contract for Services is
non-exclusive.

     Executive’s day-to-day contact with respect to the Services will be Ms. Debra L. Elmer (the
“Services Administrator”).

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     The manner in which the Services are to be performed and the specific hours worked by
Executive shall be determined by him. The Company will rely on Executive to work as many hours
as may be reasonably necessary to fulfill his obligations under this Agreement. The Parties
understand and agree that, so long as Executive performs the Services in accordance with
provisions set forth herein, he shall: control and direct the performance of the Services; use
his own judgment in determining the means and methods of his work; and perform the Services in an
independent and professional manner consistent with the standards of the trade, the Company’s
Code of Conduct, and all applicable local, state, and federal laws, rules, and regulations. If
Executive hires employees to assist him in providing the Services under this Agreement, both
Parties expressly acknowledge that he is not doing so in any capacity of supervisor or Company
representative, and Executive shall be responsible for the quality of the Services and for
ensuring such employees’ compliance with professional standards and applicable laws. Executive
shall be solely responsible for any salary or other compensation of such employees.

1.3 Relationship of the Parties.

     It is the intention of the Parties that, in performing the Services, Executive shall act as,
and be deemed in all respects to be, an independent consultant, and not an officer, employee, or
agent of the Company for any purpose. Executive shall not be empowered to and shall not enter
into any agreement or incur any obligations on behalf of the Company, or commit the Company in
any manner, without the Company’s prior written consent.

1.4 Fringe Benefits.

     Executive is not eligible for, and shall not participate in, or otherwise receive any
employee benefits under, any qualified, nonqualified, welfare or fringe benefit plan or program
or annual incentive plan or program maintained by the Company (though nothing in this Agreement
will affect the benefits Executive is entitled to based on his prior employment with the
Company), except as provided herein this Section 1.4. Likewise, the Company is not responsible
for, and shall not provide, workers’ compensation insurance for Executive. The Company agrees to
provide Executive, during the Term of this Agreement, with reimbursement of the cost, not to
exceed current Company costs for such services, for Executive Financial Planning services and for
an annual Executive-type Physical Health Examination.

1.5 Compensation.

     During the Term, in consideration of Executive’s being available to perform and, when
requested by the Company, performing the Services contained in the Agreement, the Company shall
pay Executive a yearly retainer (the “Yearly Retainer”) of one
hundred fifty thousand dollars ($150,000.00) which shall be paid at a time mutually agreed
between Executive and the Services Administrator.

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1.6 Expenses.

     In addition to the compensation provided for in Section 1.5 above, Executive shall be
entitled to reimbursement for actual expenses reasonably incurred in the performance of the
Services. Executive must submit a request for expense reimbursement with appropriate and
available receipts or other evidence of the expenses. If approved, expenses shall be paid within
thirty (30) days of Company’s receipt of such request. All requests for expense reimbursement
shall be sent to the Services Administrator:

Debbi Elmer

SVP, Human Resources

Oncor Electric Delivery Company LLC

1601 Bryan Street

Dallas, TX 75201

1.7 Equipment, Tools, Materials or Supplies.

     Executive shall be responsible for providing all labor, materials, supplies, equipment,
transportation, and facilities necessary or appropriate to timely and properly complete the
Services in accordance with the provisions of this Agreement.

1.8 Taxes, Liabilities, Expenses, and Assessments.

     Executive understands that he shall be solely responsible for the full and timely payment of
any and all taxes, liabilities, expenses and assessments of any kind in any way arising out of or
relating to Executive’s receipt of the compensation set forth in Section 1.5 of this Agreement,
including without limitation, social security, medicare, unemployment insurance, gross receipts
taxes, withholding taxes, workers’ compensation insurance, and income taxes.

1.9 Termination of Contract for Services.

     The Term of the Contract for Services will expire on March 31, 2012. However, either party
may terminate the Contract for Services at any time during the Term for any reason by delivering
written notice to the other, and such termination will be effective on the last day of the
quarter during which such notice is sent, unless such termination is pursuant to Sub-Section
1.9(b)(ii)-(iv) below, in which case the termination will be effective on the last day of the
month during which such notice is sent.

	 	a.	 	Termination by Executive.
Upon such termination by Executive, he will have no further obligation to provide
the Services, and the Company will have no obligation to provide further
compensation under Sections 1.5 hereof, except that the Company, in accordance with
the provisions of the Contract for Services, will

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	 	 	 	reimburse Executive for any reasonable business expenses incurred before
termination of the Contract for Services. In the event of such termination by
Executive, he must reimburse the Company a pro-rata portion of the Yearly Retainer
paid to Executive during the consulting year in which such termination occurs.
That pro-ration will be calculated by multiplying the number of full quarters
between the effective date of the termination and the end of the consulting year by
thirty-seven thousand five hundred dollars ($37,500.00) (the “Pro Rata Formula”)
	 
	 	b.	 	Termination by Company.
Upon such termination by the Company, Executive will have no further obligation to
provide the Services. In the event of a termination by the Company, Executive will
not be obligated to reimburse the Company for any portion of the Yearly Retainer,
unless such termination is due to the following (in which case Executive will be
required to reimburse the Company in accordance with the Pro Rata Formula): (i)
Executive’s continued failure to perform Services as determined in the reasonable
business judgment of the Company after Executive has been provided written notice
of the failure to perform the Services and no less than sixty (60) days to cure;
(ii) conduct by Executive that would constitute a violation of the law or the
Company Code of Conduct; (iii) misappropriation of a material business opportunity
of the Company or an Affiliate; or (iv) conduct that directly results in material
economic harm to the Company.

ARTICLE 2

RESTRICTIVE COVENATS

2.1 Confidentiality.

     For purposes of this Agreement, “Confidential Information” shall mean information: (1)
disclosed to or known by Executive as a consequence of or through performing the Services for the
Company or the Contract for Services; (2) not publicly available and/or not generally known
outside the Company; and (3) which relates to any aspect of the Company, its businesses,
research, and/or development. Confidential Information also includes, but is not limited to
Company non-public information or trade secrets, proprietary information, business plans,
marketing plans, corporate community relations strategies and contacts, design, and other
methodologies, computer code and programs, technology, know-how, operations manuals, office
guides, personnel files, instructional material, authorization and/or identification codes or
symbols, formulas, processes, compilations of information, drawings, results of
research proposals, reports, records, financial and operational information and data,
operational plans and strategies, plans for various products and services, acquisition and
divestiture planning, compensation and benefit information, personal information about Company
employees and applicants, information related to internal investigations,

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administrative actions and/or litigation, cost and pricing information, potential industry
partners and contacts with such partners, customer and potential customer lists and contact
information, supplier lists and contact information, vendor lists and contact information, and
information provided to Company by a third party under restrictions against disclosure or use by
Company, or others.

2.2 Non-Disclosure.

     In connection with the Company’s engagement of Executive to perform Services, Executive will
be provided with and will have access to certain Confidential Information. Executive agrees that
Executive and his Agents shall not, except as provided herein or as the Company may otherwise
consent or direct in writing, reveal or disclose, sell, use, lecture upon, publish or otherwise
disclose to any third party any Confidential Information or authorize anyone else to do these
things at any time either during or subsequent to Executive’s engagement with Company.

2.3 Conflicts of Interest.

     Executive agrees that he will not, during the Term, enter into any agreement or relationship
of any kind or conduct himself in any manner which could reasonably be expected to result in, or
otherwise create, an either actual or perceived conflict of interest that would be adverse to the
interests of the Company.

2.4 Non-Raiding.

     Executive agrees, that during the Term, he will not solicit, recruit, induce, encourage, or
in any way cause an employee, consultant, or contractor then engaged by the Company to terminate
his, her, or its employment or contractual relationship with the Company.

2.5 Non-Disparagement.

     In exchange for the compensation set forth in Section 1.5 above and other valuable
consideration, Executive agrees not to make any false or disparaging, negative, unflattering,
accusatory, derogatory, or defamatory remarks or references, whether written or oral, about the
Company in any dealings with third parties (except as expressly permitted by this Agreement) or
otherwise take any action that primarily is designed or intended to have the effect of
discouraging any employee, lessor, licensor, customer, supplier, or other business associate of
the Company from maintaining its business relationships with the Company. This Section 2.5 does
not preclude Executive from testifying under oath or in response to a valid subpoena. By signing
this Agreement, Executive agrees and acknowledges that Executive is making, after the
opportunity to confer with counsel, a knowing, voluntary and intelligent waiver of rights
Executive may have to make disparaging comments regarding the Company, including rights under the
First Amendment to the United States Constitution and any other applicable federal and state
constitutional rights.

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2.6 Compliance with the Law.

     Executive agrees to observe and comply with all federal, state, and local laws, rules,
decrees, orders, regulations, by-laws, ordinances, and codes which may, in any manner, relate to
or affect the performance of the Services hereunder, at all times during the performance of the
Services hereunder.

2.7 Injunctive Relief.

     Executive acknowledges and agrees that any breach or violation by Executive of Sections 2.2,
2.3, 2.4 and 2.5 of this Agreement will result in immediate and irreparable injury and harm to
Company and will cause damage to Company in amounts difficult to ascertain. Accordingly, in the
event of a breach or threatened breach by Executive (including by any of his Agents) of any of
the provisions of Sections 2.2, 2.3, 2.4, or 2.5 of this Agreement, Executive agrees that
Company, in addition to and not in limitation of any other rights, remedies or damages available
to Company at law or in equity, shall be entitled to a preliminary and a permanent injunction in
order to prevent or restrain any such further breach by Executive and/or Executive’s Agents.

ARTICLE 3

MISCELLANEOUS

3.1 Severability; Judicial Modification.

     If any term, provision, covenant, or restriction of the Agreement is held by a court of
competent jurisdiction to be invalid, void, or unenforceable, the remainder of the Agreement and
other terms, provisions, covenants, and restrictions hereof, shall remain in full force and effect
and shall in no way be affected, impaired, or invalidated. It is hereby stipulated and declared to
be the intention of the Parties that they would have executed the Agreement had any terms,
provisions, covenants, and restrictions which may be hereafter declared invalid, void, or
unenforceable not initially been included herein.

3.2 Survival of Covenants.

     These non-disclosure and non-disparagement obligations shall continue in full force and effect
after the conclusion of Executive’s engagement with the Company and shall survive the expiration,
termination, or cancellation of this Agreement regardless of the reason for such termination or
restriction. Executive’s obligations with respect to any specific Confidential Information shall
cease only when that specific portion of the Confidential Information becomes publicly known, other
than as a result of disclosure by
Executive and/or his Agents, in its entirety and without combining portions of such
Confidential Information obtained separately. It is understood that such Confidential Information
includes matters that Executive conceives or develops while working as an

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Executive for the Company, as well as matters Executive learns from employees, executives and
contractors of the Company.

3.3 Governing Law; Attorney’s Fees; and Costs.

     The Agreement has been executed, delivered and is primarily performable in Dallas, Texas. The
parties agree that the proper venue and jurisdiction for any cause of action relating to the
Agreement shall be in Dallas County, Texas. The Agreement shall be construed, and enforced in
accordance with, and all disputes arising under this Agreement (whether in contract or tort) shall
be governed by, the laws of the State of Texas without reference to choice-of-law principles. In
the event any issue arising out of this Agreement is litigated by the Parties, the prevailing party
shall be entitled to recover from the other party its reasonable attorneys’ fees and costs.

3.4 Authority.

     Each party hereto hereby acknowledges and agrees that they have had the opportunity to consult
with their own legal counsel in connection with the negotiation of the Agreement.

3.5 Non-Waiver.

     The failure of either the Company or Executive to enforce or require timely compliance with
any terms or provisions of this Contract for Services shall not be deemed to be a waiver or
relinquishment of rights or obligations arising hereunder, nor shall any such failure preclude the
enforcement of any term or provision or avoid the liability for any breach of this Contract for
Services.

3.6 Notices.

     All notices from one party to the other shall be deemed to have been duly delivered when hand
delivered or sent by United States Postal Service certified mail, return receipt requested, postage
prepaid, as follows:

	 	 	 

	If to Executive:

	 	If to the Company:
	 
	 	 
	Rob D. Trimble, III

	 	Debra L. Elmer
	6256 Highgate Lane

	 	Oncor Electric Delivery Company LLC
	Dallas, TX 75214

	 	1601 Bryan Street
	 

	 	Dallas, Texas 75201

3.7 Entirety of Agreement.

     The Agreement constitutes the entire agreement between the parties hereto with respect to the
subject matter hereof and supersedes and replaces any and all prior negotiations, undertakings,
understandings, or agreements (whether written or oral).

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EXECUTIVE HAS READ AND UNDERSTANDS THIS AGREEMENT. ANY QUESTIONS EXECUTIVE HAS REGARDING THIS
AGREEMENT HAVE BEEN ANSWERED TO EXECUTIVE’S SATISFACTION. EXECUTIVE AGREES TO COMPLY WITH THIS
AGREEMENT AS A CONDITION OF EXECUTIVE’S ENGAGEMENT WITH COMPANY.

8

 

     IN WITNESS WHEREOF, the Parties have executed the Agreement as of the date set forth below.

	 	 	 	 	 	 	 	 	 

	EXECUTIVE	 	 	 	ONCOR ELECTRIC DELIVERY

COMPANY LLC
	 
	 	 	 	 	 	 	 	 
	/s/ Rob D. Trimble, III	 	 	 	By:	 	/s/ Debra L. Elmer
	 	 	 	 	 	 	   
	Rob D. Trimble, III	 	 	 	 	 	Debra L. Elmer
	 
	 	 	 	 	 	 	 	 
	Date:

	 	3-17-10
	 	 	 	Title:
	 	SVP, Human Resources
	 

	 	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Date:
	 	April 1, 2010
 
 

9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00171-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00171-of-00352.parquet"}]]