Document:

Agreement between the Company and Raytheon Aircraft Credit Corporation

 Exhibit 10.1 
 AGREEMENT 
 This AGREEMENT (this
“Agreement”) is entered into as of June 10, 2011, by and between Great Lakes Aviation, Ltd., an Iowa corporation, with its principal place of business at 1022 Airport Parkway, Cheyenne, Wyoming 82001 (“Great
Lakes”) and Raytheon Aircraft Credit Corporation, a Kansas corporation, with its principal place of business at 8300 E. Thorn Drive, Suite 100, Wichita, Kansas 67226 (“RACC”). 

WHEREAS, Great Lakes and RACC are parties to twenty-five (25) separate Amended and Restated Promissory Notes or Second Amended and
Restated Promissory Notes, each of which is dated March 23, 2007 (each a “Promissory Note” and collectively, the “Promissory Notes”) and twenty-five (25) separate Security Agreements or Amended and
Restated Security Agreements, each of which is dated as of December 31, 2002, as each of which was amended by a First Amendment dated as of March 23, 2007, and the most recent supplement to which is dated May 1, 2008 (each originally
executed and as amended, restated or supplemented and currently in effect, a “Security Agreement” and collectively, the “Security Agreements”), and pursuant to which RACC is currently financing Great Lakes’
purchase of twenty-five (25) used Beech 1900D Airliners that have the following manufacturer’s serial numbers: UE-100, UE-122, UE-153, UE-154, UE-169, UE-170, UE-184, UE-192, UE-195, UE-201, UE-202, UE-208, UE-210, UE-211, UE-219, UE-220,
UE-240, UE-245, UE-247, UE-251, UE-253, UE-254, UE-255, UE-257 and UE-261 (the Promissory Notes and Security Agreements are hereinafter sometimes referred to collectively as the “Finance Documents”); 

WHEREAS, the Promissory Notes require Great Lakes to pay in full the entire remaining balance of principal and interest due under each
Promissory Note (the “Balloon Payments”) on June 30, 2011 (the “Balloon Payment Date”) and, as of the date of this Agreement, Great Lakes has disclosed and acknowledges that it is unable to timely and fully pay
the Balloon Payments to RACC as required under the Promissory Notes; 
 WHEREAS, Great Lakes has requested that RACC agree to
extend the Balloon Payment Date from June 30, 2011 to August 31, 2011; and 
 WHEREAS, on and subject to the terms and
conditions provided in this Agreement, RACC is willing to agree to so extend the Balloon Payment Date, 
 NOW, THEREFORE, in
consideration of the foregoing premises, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and fully intending to be legally bound by this Agreement, the parties hereto agree as follows:

 1. Extension of Balloon Payment Date; Extension Fee. 

(a) On the terms and conditions provided in this Agreement, the parties hereto hereby agree that Balloon Payment Date is extended from
June 30, 2011 to August 31, 2011. Great Lakes irrevocably and unconditionally agrees to make payments of $25,500 on each Promissory Note on or before each of June 30, 2011, July 30, 2011 and August 30, 2011 and to pay any
and all amounts outstanding and unpaid, including, without limitation, all principal and accrued interest, on 

 
each Promissory Note on or before August 31, 2011. The modification to each of the Promissory Notes agreed to under this Agreement shall be reflected in an Amendment to Amended and Restated
Promissory Note or Second Amended and Restated Promissory Note (as the case may be) to each Promissory Note dated the date hereof and shall be in the form attached to this Agreement as Exhibit A. For the avoidance of any possible doubt,
the payment and performance by Great Lakes of each and all of its obligations under and in connection with, among other things, the Promissory Notes, as amended by the Amendment to Amended and Restated Promissory Note or Amendment to Second Amended
and Restated Promissory Note (as the case may be) provided for under this Agreement, are, and continue to be, secured by each Security Agreement, and each Promissory Note, as so amended, is and constitutes a “Transaction Document”, as that
term is defined in the Amended and Restated Restructuring Agreement dated as of March 9, 2007 by and between Great Lakes and RACC. To memorialize that understanding, the parties hereto on the date hereof are entering into a Second Amendment to
the Security Agreements, which shall be in the form attached to this Agreement as Exhibit B. 
 (b) Great Lakes
agrees to pay to RACC, on the date hereof, an extension fee in the amount of One Hundred Thousand Dollars ($100,000), which shall be fully earned when paid and not refundable, and which is in addition to paying RACC’s reasonable costs and
expenses as hereinafter provided. 
 2. Continued Effectiveness of Finance Documents; No Waiver; Etc. 

(a) Except as expressly modified by this Agreement, the parties hereby confirm and ratify each of the other terms and conditions of the
Finance Documents, and agree that all of the provisions of each Finance Document remains in full force and effect and Great Lakes hereby confirms and ratifies each of its obligations under the Finance Documents. The parties also agree that, in
addition to any other Event of Default (as defined in the relevant document), any breach of any provision of this Agreement shall constitute an immediate Event of Default under each of the Finance Documents, the Leases (as hereinafter defined) and
the Senior Note Documents (as hereinafter defined, and, collectively with the Finance Documents and the Leases, the “GLUX/RACC Documents”). 
 (b) Great Lakes hereby acknowledges and agrees that except as expressly provided herein, the GLUX/RACC Documents remain in full force and effect and that, if it defaults in any of its obligations to RACC,
RACC is fully entitled to exercise any or all of its rights and remedies as provided in, and in accordance with the provisions of, the GLUX/RACC Documents. 
 (c) Great Lakes hereby acknowledges and agrees that RACC’s agreement to extend the Balloon Payment Date in this Agreement does not constitute a waiver or forgiveness of any obligation and that, in
granting the single extension provided herein, RACC is not agreeing to, or suggesting in any way, that there will or might be any further extension, accommodation or any waiver of any right or remedy in any of the GLUX/RACC Documents and Great Lakes
acknowledges and agrees that it will not assume or rely upon the possibility or prospect of any possible future extension or accommodation by RACC. 
 3. No Impact on Other Agreements. The parties hereto hereby agree as follows: 
 (a) Leases. Great Lakes currently is leasing seven (7) used Beech 1900D Airliners under seven (7) separate Operating Leases (the “Leases”), each of which is identified on

 
Exhibit C, which is attached to this Agreement. As contemplated by the Leases, on or about May 4, 2011 RACC gave Great Lakes a Notice of Termination for each Lease, which
provides the date of termination for each Lease. Great Lakes acknowledges its receipt of, and the correctness in all respects and effectiveness of, such Notices of Terminations and hereby confirms and ratifies each of its obligations under the
Leases. Except for such confirmation and ratification and the provisions of Sections 2 and 4 of this Agreement, this Agreement does not affect the Leases in any way, all of which shall remain in full force and effect, subject, however, to the
above-described Notices of Termination. 
 (b) Senior Note. Great Lakes currently is obligated to RACC under a Senior
Note dated March 23, 2007 (the “Senior Note”) that is secured by four (4) Aircraft Security Agreements, (the “Embraer Security Agreements” and, collectively with the Senior Note, the “Senior Note
Documents”), each of which relates to an Embraer Model EMB-120ER aircraft. Great Lakes acknowledges its obligations under the Senior Note Documents and hereby confirms and ratifies each of its obligations under the Senior Note Documents.
Except for such confirmation and ratification and the provisions of Sections 2 and 4 of this Agreement, this Agreement does not affect the Senior Note Documents in any way, each of which shall remain in full force and effect. 

4. Other Agreements and General Provisions. 
 4.1 Information To Be Provided; Co-operation; Etc. Great Lakes agrees to continue to make business and financial information available to RACC on a timely basis, consistent with the reports
and information provided previously by Great Lakes to RACC. Great Lakes also agrees to advise RACC as soon as practicable regarding any business or financial development that Great Lakes reasonably believes is material to its operations or its
refinancing efforts. In addition, Great Lakes agrees to reasonably co-operate with any actual or potential transferee of any or all of RACC’s rights or interests in Great Lakes, including, without limitation, under or in connection with the
GLUX/RACC Documents. 
 4.2 Documentation and Filings; Costs; Etc. To the extent that RACC, in
its sole discretion, determines that this Agreement or any provision hereof or for any other reason, or in connection with any transfer of any of RACC’s rights or interests in Great Lakes, including, without limitation, under or in connection
with the GLUX/RACC Documents, requires or makes appropriate additional documentation or filings with any state, federal or international authority or registry, including, without limitation, the Cape Town International Registry, RACC is authorized
to do so on its own behalf and, as may be reasonably necessary in RACC’s sole discretion, on behalf of Great Lakes and Great Lakes hereby consents to any and all such filings. Notwithstanding the right of RACC to effect any or all such filings
without Great Lakes’ participation, Great Lakes agrees to cooperate with RACC in preparing and effecting any filings. In addition, by not later than the fifth (5th) business day after the date hereof, Great Lakes shall file with the Securities and Exchange Commission a
post-effective amendment to its registration statement on Form S-1 (File No. 333-159256), as contemplated by a letter dated April 1, 2011 from Great Lakes’ counsel to RACC’s counsel. All of RACC’s reasonable costs and
expenses for preparing this Agreement, any filings or other matters involving this Agreement shall be paid by Great Lakes on the date hereof or, if later invoiced, not later than five (5) days after Great Lakes’ initial receipt thereof.

 4.3 Pratt and Whitney Matters. Great Lakes agrees to continue to maintain in effect and comply in all material
respects with the terms of its TCP Fleet Maintenance Program with Pratt & Whitney Canada Corp. (“Pratt & Whitney”) pursuant to that certain Amended and 

 
Restated Term Cost Plan TCP # 03-1907 dated July 19, 2006 between Great Lakes and Pratt & Whitney (as amended and in effect from time to time, the “FMP Agreement”).
Without in any way limiting the generality of the foregoing, Great Lakes agrees that by not later than June 30, 2011 it shall have met and satisfied all of its obligations to Pratt & Whitney, whether under the FMP Agreement or
otherwise. Great Lakes further confirms its agreement that it shall not make any amendments or modifications to the FMP Agreement without RACC’s prior written consent. 
 4.4 Governing Law, Jurisdiction and Venue and Informed Choice. THIS AGREEMENT WAS MADE AND ENTERED INTO IN THE STATE OF KANSAS AND THE LAW GOVERNING THIS TRANSACTION SHALL BE THAT OF THE STATE
OF KANSAS AS IT MAY FROM TIME TO TIME EXIST. THE LAWS OF THE STATE OF KANSAS SHALL APPLY TO ANY AND ALL MATTERS ARISING FROM OR RELATED TO THIS AGREEMENT. THE PARTIES AGREE THAT ANY LEGAL PROCEEDING BASED UPON THE PROVISIONS OF THIS AGREEMENT SHALL
BE BROUGHT EXCLUSIVELY IN EITHER THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF KANSAS AT WICHITA, KANSAS OR IN THE EIGHTEENTH JUDICIAL DISTRICT COURT OF SEDGWICK COUNTY, KANSAS TO THE EXCLUSION OF ALL OTHER COURTS AND TRIBUNALS.
NOTWITHSTANDING THE ABOVE, RACC, AT ITS SOLE OPTION, MAY INSTITUTE A LEGAL PROCEEDING IN ANY JURISDICTION AS MAY BE APPROPRIATE IN ORDER FOR RACC TO OBTAIN POSSESSION OF ANY PROPERTY OR ASSETS IN WHICH RACC HAS, OR MAY CLAIM, ANY RIGHT OR INTEREST
INVOLVING OR RELATED TO GREAT LAKES. THE PARTIES CONSENT AND AGREE TO BE SUBJECT TO THE JURISDICTION OF THE AFORESAID COURTS IN SUCH PROCEEDING. EACH PARTY IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON
THE GROUNDS OF FORUM NON CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH JURISDICTION IN RESPECT OF THIS AGREEMENT, THE FINANCE DOCUMENTS, THE LEASES, THE SENIOR LOAN DOCUMENTS OR ANY OTHER DOCUMENT
RELATED THERETO. EACH PARTY WAIVES PERSONAL SERVICE OF ANY SUMMONS, COMPLAINT OR OTHER PROCESS, WHICH MAY BE MADE BY ANY OTHER MEANS PERMITTED BY THE LAW OF SUCH APPLICABLE STATE. 

4.5 WAIVER OF JURY TRIAL. EACH PARTY TO THIS AGREEMENT WAIVES TRIAL BY JURY IN ANY ACTION ARISING OUT OF, CONCERNING OR
OTHERWISE INVOLVING THIS AGREEMENT. 
 4.6 Successors and Assigns. This Agreement shall be binding upon and
inure to the benefit of Great Lakes and RACC and their respective successors and assigns, provided that RACC, but not Great Lakes, may transfer or assign any or all of its rights, interests, duties or obligations hereunder or under any of the
GLUX/RACC Documents and, in connection with any such transfer or assignment, Great Lakes hereby consents to such transfers and memorializing such transfers by filings as contemplated by Section 4.2 of this Agreement 

4.7 Counterparts; Execution. This Agreement may be executed in any number of counterparts, but all such counterparts shall
together constitute but one and the same agreement. In making proof of this Agreement, it shall not be necessary to produce or account for more than one counterpart thereof signed by each of the parties hereto. Delivery of an executed signature page
to this Agreement by emailed PDF file or facsimile transmission shall be as effective as delivery of a manually executed counterpart of this Agreement. 

 4.8 Amendment. No provision or term of this Agreement may be amended,
modified, revoked, supplemented, waived or otherwise changed except by a written instrument duly executed by Great Lakes and RACC and expressly designated as an amendment, supplement or waiver. 

4.9 Severability. If any provision in this Agreement shall be held invalid, illegal or unenforceable in any jurisdiction,
the validity, legality and enforceability of the remaining provisions of this Agreement shall not be impaired thereby, nor shall the validity, legality or enforceability of any such defective provision be in any way affected or impaired in any other
jurisdiction. 
 4.10 Waiver and Release of Claims and Defenses. 

(a) Great Lakes hereby acknowledges, agrees and affirms that neither it nor any affiliate possesses any claims, defenses, offsets,
recoupment, or counterclaims of any kind or nature against RACC or its affiliates or with respect to any of the GLUX/RACC Documents or this Agreement or the enforcement thereof (collectively, the “Claims”), nor do Great Lakes or its
affiliates now have knowledge of any facts that would or might give rise to any Claims. If facts now exist that would or could give rise to any Claim against RACC or any of its affiliates or with respect to any of the GLUX/RACC Documents or this
Agreement, or the enforcement thereof, Great Lakes, on its own behalf and on behalf of its affiliates, hereby unconditionally, irrevocably, and unequivocally waives and fully releases any and all such Claims as if such Claims were the subject of a
lawsuit, adjudicated to final judgment from which no appeal could be taken, and therein dismissed with prejudice. In no event shall RACC or its affiliates be liable to Great Lakes or its affiliates, and Great Lakes, on its own behalf and on behalf
of its affiliates, hereby waives, releases and agrees not to sue for any special, indirect, punitive, exemplary, or consequential damages suffered by Great Lakes or its affiliates in connection with, or arising out of, or in any way related to any
of the GLUX/RACC Documents or this Agreement, including without limitation lost profits, whatever the nature of a breach by RACC or its affiliates of any of their obligations under any of the GLUX/RACC Documents or this Agreement, and Great Lakes
and RACC, each on its own behalf and on behalf of its affiliates, hereby waives all claims for special, indirect, punitive, exemplary, or consequential damages. 
 (b) Great Lakes, on its own behalf and on behalf of its affiliates hereby agrees, represents and warrants to RACC and its affiliates that Great Lakes for its own behalf and on behalf of its affiliates
realizes and acknowledges that factual matters now unknown may have given or may hereafter give rise to causes of action, claims, demands, debts, controversies, damages, costs, losses and expenses which are presently unknown, unanticipated and
unsuspected, and Great Lakes, on its own behalf and on behalf of its affiliates, further agrees, represents and warrants that the release provided hereunder has been negotiated and agreed upon in light of that realization and that Great Lakes, on
its own behalf and on behalf of its affiliates, nevertheless hereby intends to, and does, release, discharge and acquit RACC and its affiliates from any such unknown causes of action, claims, demands, debts, controversies, damages, costs, losses and
expenses which are in any manner set forth in or related to any of the GLUX/RACC Documents or this Agreement and all dealings in connection therewith. 

 4.11 Acknowledgment. By its execution of this Agreement, Great Lakes hereby
ratifies and confirms in all respects all of its obligations to RACC under or in connection with each of the GLUX/RACC Documents and agrees that they remain in full force and effect (subject to the terms hereof) and no defenses exist to RACC’s
enforcement thereof. Great Lakes acknowledges and agrees that nothing contained herein shall constitute a waiver of any default or Event of Default (as defined in any of the GLUX/RACC Documents) that exists or might occur under any of the GLUX/RACC
Documents or the payment of any amount or the satisfaction of any obligation except as, and to the extent, expressly so provided herein. 
 4.12 Time of the Essence. The parties hereto agree that for all purposes under any of the GLUX/RACC Documents or this Agreement that time is of the essence for the performance and the
accomplishment of each obligation under any of the foregoing. 
 4.13 Disclosure of this Agreement. Each party
agrees that the other party and/or its respective affiliates may disclose this Agreement as may be required under applicable securities laws and as the disclosing party may otherwise, in the exercise of its commercially reasonable judgment,
determine to be necessary or appropriate for proper commercial purposes. 
 IN WITNESS WHEREOF, the undersigned have duly
executed and delivered this Agreement under seal as of the date first set forth above. 
  

							
	GREAT LAKES:	 		 	GREAT LAKES AVIATION, LTD.
				
		 		 	By:	 	 /s/ Michael O. Matthews

		 		 		 	    Name: Michael O. Matthews
		 		 		 	    Title: Chief Financial Officer
			
	RACC:	 		 	RAYTHEON AIRCRAFT CREDIT CORPORATION
				
		 		 	By:	 	 /s/ David A. Williams

		 		 		 	    David A. Williams,
		 		 		 	    Vice President — General Counsel

 Exhibit A 
 Form of Amendment to [Second] Amended and Restated Promissory Note 
 Model: Beechcraft
1900D Airliner 
 Manufacturer’s Serial No.:
    -             
 Aircraft Registration No.:
N                     

AMENDMENT TO 
 [SECOND] AMENDED AND RESTATED PROMISSORY NOTE 

Effective this 10th day of June, 2011, this Amendment to the [Second] Amended and Restated Promissory Note (“Amendment”)
is made and entered into by and between RAYTHEON AIRCRAFT CREDIT CORPORATION (hereinafter “RACC”) and GREAT LAKES AVIATION, LTD. (hereinafter “Debtor”). 

WHEREAS, on or about March 23, 2007, the parties entered into that certain [Second] Amended and Restated Promissory Note pertaining
to the above-identified Aircraft (as amended and currently in effect, the “Promissory Note”), to which was attached a Schedule 1, Aircraft Note Payment and Amortization Schedule, containing a payment schedule as provided in
Section 3 of the Promissory Note; 
 WHEREAS, the parties have reached an agreement to amend Section 3 of the
Promissory Note and, in some respects, the related Payment Schedule and to extend from June 30, 2011 to August 31, 2011 the date by which Debtor agrees to pay in full all amounts due under the Promissory Note; and 

WHEREAS, the parties desire to enter into this Amendment in order to memorialize their agreement, 

NOW, THEREFORE, for and in consideration of the mutual promises, covenants and agreements set forth herein and in the Promissory Note,
the sufficiency and receipt of which are hereby acknowledged, the parties agree as follows: 
  

	1.	Capitalized Terms: Unless otherwise defined herein, the capitalized terms as used in this Amendment shall have the meanings ascribed to them in the Promissory
Note. 

  

	2.	Amendment to Section 3: Section 3 of the Promissory Note is hereby amended to read as follows: 

3. Payment Schedule: Payment of the principal balance together with accrued interest shall be made in monthly
installments payable in arrears, until August 31, 2011 when Debtor shall pay all unpaid amounts in full. The first installment payment shall be due and payable to RACC on March 30, 2007. Each subsequent installment payment shall be due and
payable to RACC on the 30th day of each month thereafter,
until August 31, 2011, on which date the entire remaining balance of principal, interest and any and all other amounts outstanding and unpaid under or in respect of the Promissory Note shall be due and payable in full. The amount of each
installment payment due on or after the date of this Amendment will be as set forth on Schedule 1 hereto. Notwithstanding the foregoing, in the event of loss, theft, confiscation or substantial damage to the Aircraft, Debtor shall pay all
amounts owing under this Promissory Note within thirty (30) days following demand by RACC. 

  
 A-1

	3.	 Amendment to Schedule 1 to Promissory Note: Schedule 1 to the Promissory Note, entitled Aircraft Note Payment and Amortization Schedule, is
hereby amended by deleting the last payment, or 52nd
payment, thereon and inserting in lieu thereof the three (3) payments contained on Exhibit A, which is attached to this Amendment. 

  

	4.	Ratification: Except as specifically provided herein, each party hereby ratifies the other terms and conditions of the Promissory Note, including all prior
amendments thereto, and Debtor hereby confirms and ratifies each of its obligations under the Promissory Note as modified by this Amendment. 

  

	5.	Miscellaneous: This Amendment, the Promissory Note and related security, collateral and other executed agreements between RACC and Debtor contain the entire
agreement of the parties with respect to the subject matter hereof. There are no oral understandings, agreements, representations or warranties between the parties that are not expressly set forth in this Amendment and the Promissory Note or the
other documents executed by and between RACC and Debtor. This Amendment may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single document. Delivery of an executed
signature page to this Amendment by emailed PDF file or facsimile transmission shall be as effective as delivery of a manually executed counterpart of this Amendment. RACC, but not the Debtor, may transfer or assign any or all of its rights under
the Promissory Note and this Amendment. Time is of the essence for all purposes of the Promissory Note and this Amendment, including, without limitation, for the performance and the accomplishment of each of Debtor’s obligations.

 IN WITNESS OF THE FOREGOING, the parties have caused their duly authorized officers to execute and deliver this
Amendment under seal effective as of the date first written above. 
  

									
	RAYTHEON AIRCRAFT CREDIT CORPORATION	 		 	GREAT LAKES AVIATION, LTD.
					
	By:	 	  
	 		 	By:	 	  

		 	    David A. Williams	 		 		 	    Michael Matthews
		 	    Vice President – General Counsel	 		 		 	    Chief Financial Officer
					
		 	“RACC”	 		 		 	“Debtor”

  
 A-2

 Exhibit A, Amending Schedule 1 

 

																					
	 Payment #
	  	Date	 	  	Payment	 	  	Interest	 	  	Principal	 	  	Balance	 
						
	 52
	  	 	06/30/11	  	  	 	25,500	  	  	 	7,698.64	  	  	 	17,801.36	  	  	 	1,306,696.38	  
						
	 53
	  	 	07/30/11	  	  	 	25,500	  	  	 	7,595.17	  	  	 	17,904.83	  	  	 	1,288,791.55	  
						
	 54
	  	 	08/30/11	  	  	 	25,500	  	  	 	7,491.10	  	  	 	18,008.90	  	  	 	1,270,782.65	  

  
 A-3

 Exhibit B 
 SECOND AMENDMENT TO SECURITY AGREEMENTS 
 This
SECOND AMENDMENT TO SECURITY AGREEMENTS is made and entered into this 10th day of June, 2011 (the “Second Amendment”), by and between Raytheon Aircraft Credit Corporation (the “Secured Party”) and Great Lakes Aviation, Ltd. (the
“Debtor”). 
 WITNESSETH: 
 WHEREAS, Debtor and Secured Party have entered into an Agreement dated as of the date hereof (the “2011 Agreement”), to extend the final payment date of each of the twenty-five
(25) separate Amended and Restated Promissory Notes or Second Amended and Restated Promissory Notes, each of which is dated March 23, 2007, issued by Debtor to Secured Party (each a “Promissory Note” and
collectively, the “Promissory Notes”) in connection with that certain Amended and Restated Restructuring Agreement dated as of March 9, 2007 (the “2007 Restructuring Agreement”); 

WHEREAS, in connection with the 2007 Restructuring Agreement and to further secure the Promissory Notes, Debtor provided Secured Party
with twenty-five (25) separate First Amendments, dated as of March 23, 2007, to twenty-five (25) Security Agreements or Amended and Restated Security Agreements, each of which is dated as of December 31, 2002, all as further
described in Exhibit A attached hereto (collectively the “Original Security Agreements”); 

WHEREAS, in addition to the Original Security Agreements, Debtor and Secured Party entered into that Security Agreement dated as of
May 1, 2008, as recorded by the Federal Aviation Administration (“FAA”) on June 12, 2008 as Conveyance No. LA000196; and as supplemented by that certain Security Agreement Supplement No. 1 dated May 27,
2009, between Debtor and Secured Party, recorded by the FAA on June 10, 2009 as Conveyance No. SF002448, and supplemented by that certain Security Agreement Supplement No. 2 dated January 27, 2010, between Debtor and Secured Party,
recorded by the FAA on February 23, 2010 as Conveyance No. MS003073, and supplemented by that certain Security Agreement Supplement No. 3 dated April 15, 2010, between Debtor and Secured Party, recorded by the FAA on May 4, 2010
as Conveyance No. MC006524, and supplemented by that certain Security Agreement Supplement No. 4 dated October 27, 2010, between Debtor and Secured Party, recorded by the FAA on November 22, 2010 as Conveyance No. WH002898, and
further supplemented by that certain Security Agreement Supplement No. 5 dated April 25, 2011, between Debtor and Secured Party, recorded by the FAA on
                     as Conveyance No.
                     (collectively the “2008 Security Agreement” and the Original Security Agreements and the 2008
Security Agreement are hereinafter referred to as the “Security Agreements”); 
 WHEREAS, Debtor has
amended the Promissory Notes by executing twenty-five (25) separate Amendments to the Amended and Restated Promissory Notes or Amendments to Second Amended and Restated Promissory Notes, each of which is dated on the date hereof, to amend the
Promissory Notes (as so amended, the “Amended Promissory Notes”) to reflect new installment payments and a modified final due date, all as provided in the 2011 Agreement; and 

  
 B-1

 WHEREAS, Debtor and Secured Party wish to execute this Second Amendment to reflect that i)
the references in the Security Agreements to the “Restructuring Agreement” are to the 2007 Restructuring Agreement and the 2011 Agreement, ii) the references in the Security Agreements to the “Promissory Note” are to the Amended
Promissory Notes and iii) the Original Security Agreements and the 2008 Security Agreement continue to secure all of the obligations of Debtor to Secured Party. 
 NOW THEREFORE, in consideration of the premises and other good and valuable consideration, receipt of which is hereby acknowledged, Debtor and Secured Party hereby agree as follows: 

1. Unless otherwise defined herein, the capitalized terms as used in this Second Amendment shall have the meaning assigned to them in the
Security Agreements. 
 2. The definition of the Promissory Note in the Security Agreements is hereby amended to mean the Amended
Promissory Notes, as they may be further amended, modified, extended or amended and restated and in effect from time to time. 

3. The definition of the “Restructuring Agreement” in the Security Agreements is hereby amended to mean the 2007 Restructuring
Agreement and the 2011 Agreement, as they may be amended, modified, extended or amended and restated and in effect from time to time. 
 4. Regarding the Cape Town Treaty, (a) Debtor shall establish a valid and existing account with the International Registry, appoint an Administrator and/or a Professional User acceptable to Secured
Party to make registration in regards to the Collateral and Additional Collateral identified in the Security Agreements as may be requested by Secured Party, and (b) Secured Party and Debtor shall register a first priority Prospective
International Interest in connection with the Collateral and Additional Collateral identified in each of the Security Agreements in Exhibit A as may be requested by Secured Party which shall be perfected and searchable in the International
Registry to the satisfaction of Secured Party. 
 5. Secured Party may transfer or assign all or any part of its interest in the
Security Agreements, as amended and further supplemented, without the consent of Debtor or any other party. Debtor hereby consents to any and all assignments or sales of, or the granting of participations in this Second Amendment by Secured Party or
any assignee of an interest in the Security Agreements. Debtor shall not assign, transfer, encumber or convey any of its interests in the Collateral, Additional Collateral or in the Security Agreements without the prior written consent of Secured
Party. 
 6. Unless amended by the terms and conditions of this Second Amendment, the parties hereby (i) ratify all
remaining terms and conditions of the Security Agreements as if the same were restated herein (and without limitation as a precautionary matter hereby regrants a security interest in the Collateral and Additional Collateral subject to the Security
Agreements and under the terms of the Security Agreements), and (ii) confirm that the Security Agreements otherwise remain in full force and effect as to any and all collateral subject thereto. 

  
 B-2

 7. GOVERNING LAW AND FORUM SELECTION. THIS SECOND AMENDMENT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF KANSAS. ANY LEGAL PROCEEDINGS RELATING TO THIS SECOND AMENDMENT SHALL BE BROUGHT IN THE EIGHTEENTH JUDICIAL DISTRICT AT WICHITA, KANSAS, OR THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF
KANSAS AT WICHITA, KANSAS, TO THE EXCLUSION OF ALL OTHER COURTS AND TRIBUNALS. NOTWITHSTANDING THE ABOVE, SECURED PARTY (AT ITS SOLE OPTION) MAY INSTITUTE A LEGAL PROCEEDING IN ANY JURISDICTION AS MAY BE APPROPRIATE IN ORDER FOR SECURED PARTY TO
EXERCISE ITS RIGHTS AND REMEDIES UNDER THIS SECOND AMENDMENT. THE PARTIES HEREBY IRREVOCABLY CONSENT AND AGREE TO BE SUBJECT TO THE JURISDICTION OF THE AFORESAID COURTS IN SUCH PROCEEDINGS. 

8. This Second Amendment and the other written agreements entered into by the parties hereto constitute the entire agreement by and
between the parties with respect to the subject matter hereof. There are no oral understandings, agreements, representations or warranties not expressly set forth in this Second Amendment or the other written agreements between the parties hereto.
Neither this Second Amendment nor the Security Agreements shall be changed orally, but only by writing signed by the parties. This Second Amendment may be executed in any number of counterparts, but all such counterparts shall together constitute
but one and the same agreement. In making proof of this Second Amendment, it shall not be necessary to produce or account for more than one counterpart thereof signed by each of the parties hereto. Delivery of an executed signature page to this
Second Amendment by emailed PDF file or facsimile transmission shall be as effective as delivery of a manually executed counterpart of this Second Amendment. 
 (The remainder of this page was intentionally left blank.) 

  
 B-3

 IN WITNESS WHEREOF, the undersigned have duly executed and delivered this Second Amendment
under seal as of the date first set forth above. 
  

			
	GREAT LAKES AVIATION, LTD., Debtor
		
	By:	 	 /s/ Michael Matthews

	Name:	 	 Michael Matthews

	Title:	 	 Chief Financial Officer

	
	RAYTHEON AIRCRAFT CREDIT CORPORATION, Secured Party
		
	By:	 	 /s/ David A. Williams

	Name:	 	David A. Williams
	Title:	 	Vice President – General Counsel

  
 B-4

 EXHIBIT “A” 
 SECURITY AGREEMENTS 
 Security Agreement UE-100 

1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and Raytheon Aircraft Credit
Corporation (“RACC”), as secured party, recorded by the FAA on March 10, 2003, as Conveyance Number T071645, and amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great
Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 19, 2007, as Conveyance Number Q079643. 
 Security Agreement UE-122 
 1) Amended and Restated Security Agreement dated as of
December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party, recorded by the FAA on February 20, 2003, as Conveyance Number JJ000799, as amended by the First Amendment to Amended and Restated Security Agreement
dated as of March 23,2007 between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 19, 2007, as Conveyance Number PP036045. 

Security Agreement UE-153 

1) RACC Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured
party, recorded by the FAA on March 10, 2003, as Conveyance Number T071657, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC,
as secured party, recorded by the FAA on September 12, 2007, as Conveyance Number FF008509. 
 Security Agreement UE-154

 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as
secured party, recorded by the FAA on February 20, 2003, as Conveyance Number JJ000800, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and
RACC, as secured party, recorded by the FAA on September 19, 2007, as Conveyance Number PP036046. 
 Security Agreement
UE-169 
 1) Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured
party, recorded by the FAA on February 20, 2003, as Conveyance Number JJ000807, as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party,
recorded by the FAA on September 19, 2007, as Conveyance Number PP036047. 

  
 B-5

 Security Agreement UE-170 
 1) Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party, recorded by the FAA on February 24, 2003, as Conveyance Number
QQ026578, as amended by the First Amendment to Security Agreement dated as of March 23, 2007, by Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 18, 2007, as Conveyance Number K043465.

 Security Agreement UE-184 
 1) Amended and Restated Promissory Note dated December 31, 2002 with Great Lakes Aviation, Ltd. RACC, as secured party, recorded by the FAA on February 21, 2003, as Conveyance Number QQ026561,
as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party, recorded by the FAA on September 26, 2007, as Conveyance
Number HH045092. 
 Security Agreement UE-192 
 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party, recorded by the FAA on February 27, 2003, as
Conveyance Number T071584, as amended by the First Amendment to Amended and Restated and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on
September 21, 2007, as Conveyance Number W008675. 
 Security Agreement UE-195 

1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party,
recorded by the FAA on February 20, 2003, as Conveyance Number QQ026557, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as
secured party, recorded by the FAA on September 21, 2007, as Conveyance Number W008675. 
 Security Agreement UE-201

 1) Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party,
recorded by the FAA on March 10, 2003, as Conveyance Number T071656, as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by
the FAA on September 19, 2007, as Conveyance Number PP036048. 
 Security Agreement UE-202 

1) Security Agreement with. dated as of December 31, 2002, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party, recorded by the
FAA on March 3, 2003, as Conveyance Number T071592, as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd, as debtor, and RACC, as secured party, recorded by the FAA on
September 19, 2007, as Conveyance Number PP036058. 

  
 B-6

 Security Agreement UE-208 
 1) Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on March 4, 2003, as Conveyance Number
T071604; as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 21, 2007, as Conveyance Number
PP036059. 
 Security Agreement UE-210 
 1) Security Agreement dated as of December 31, 2002 between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on March 3, 2003, as Conveyance Number T071598,
as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 19, 2007, as Conveyance Number PP036061.

 Security Agreement UE-211 
 1) Security Agreement dated as of December 31, 2002 between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on February 21, 2003, as Conveyance Number
JJ000830, as amended by the First Amendment to Security Agreement dated as of March 23, 2007 between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 21, 2007, as Conveyance Number
PP036062. 
 Security Agreement UE-219 
 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on February 25, 2003, and
assigned Conveyance Number JJ000836, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on
September 19, 2007, as Conveyance Number K043466. 
 Security Agreement UE-220 

1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party,
recorded by the FAA on February 25, 2003, as Conveyance Number T071538, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured
party, recorded by the FAA on September 21, 2007, as Conveyance Number PP036060. 
 Security Agreement UE-240

 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and
Raytheon Aircraft Credit Corporation (“RACC”), as secured party, recorded by the FAA on February 25, 2003, as Conveyance Number T071540, as amended by the First Amendment to Amended and Restated Security Agreement dated as of
March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as secured party, recorded by the FAA on September 21, 2007, as Conveyance Number K043471. 

  
 B-7

 Security Agreement UE-245 
 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and Raytheon Aircraft Credit Corporation (“RACC”), as secured party,
recorded by the FAA on February 26, 2003, as Conveyance Number T071578, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as
secured party, recorded by the FAA on September 19, 2007, as Conveyance Number K043468. 
 Security Agreement UE-247

 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes, as debtor, and RACC, as secured
party, recorded by the FAA on February 21, 2003, as Conveyance Number QQ026565, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes, as debtor, and RACC, as secured
party, recorded by the FAA on September 19, 2007, as Conveyance Number K043469. 
 Security Agreement UE-251

 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes, as debtor, and RACC, as secured
party, recorded by the FAA on February 27, 2003, as Conveyance Number T071580, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and
RACC, as secured party, recorded by the FAA on September 19, 2007, as Conveyance Number K043470. 
 Security Agreement
UE-253 
 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and
RACC, as secured party, recorded by the FAA on February 27, 2003, as Conveyance Number T071582, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as
debtor, and RACC, as secured party, recorded by the FAA on September 19, 2007, as Conveyance Number K043467. 
 Security
Agreement UE-254 
 1) Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and Raytheon
Aircraft Credit Corporation (“RACC”), as secured party, recorded by the FAA on February 20, 2003, as Conveyance Number JJ000815, as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great
Lakes Aviation, Ltd. as debtor, and RACC, as secured party, recorded by the FAA on September 21, 2007, as Conveyance Number K043473. 

  
 B-8

 Security Agreement UE-255 
 1) Security Agreement dated as of December 31, 2002, between Great Lakes, as debtor, and Raytheon Aircraft Credit Corporation (“RACC”), as secured party, recorded by the FAA on
February 20, 2003, as Conveyance Number JJ000823, as amended by the First Amendment to Security Agreement dated as of March 23, 2007, between Great Lakes, as debtor, and RACC, as secured party, recorded by the FAA on September 21,
2007, as Conveyance Number K043472. 
 Security Agreement UE-257 
 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes Aviation, Ltd., as debtor, and Raytheon Aircraft Credit Corporation (“RACC”), as secured party,
recorded by the FAA on February 24, 2003, as Conveyance Number JJ000832, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and RACC, as
secured party, recorded by the FAA on September 19, 2007, as Conveyance Number PP036044. 
 Security Agreement UE-261

 1) Amended and Restated Security Agreement dated as of December 31, 2002, between Great Lakes, as debtor, and RACC, as secured
party, recorded by the FAA on February 25, 2003, as Conveyance Number JJ000838, as amended by the First Amendment to Amended and Restated Security Agreement dated as of March 23, 2007, between Great Lakes Aviation, Ltd., as debtor, and
RACC, as secured party, recorded by the FAA on September 21, 2007, as Conveyance Number K043474. 

  
 B-9

 Exhibit C 
 Identification of Operating Leases 
  

	1.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-173 
 Dated October 28, 2008 

 

	2.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-237 
 Dated November 24, 2008 

 

	3.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-231 
 Dated December 17, 2008 

 

	4.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-218 
 Dated January 5, 2009 

 

	5.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-182 
 Dated February 2, 2009 

 

	6.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-165 
 Dated April 9, 2009 

 

	7.	Used Beech 1900D Airliner Operating Lease Agreement 

 Pertaining to Aircraft Serial No. UE-178 
 Dated July 21, 2009 

  
 C-1Exhibit 10.1

 Exhibit 10.1 
 EMPLOYMENT AND CHANGE 
 OF CONTROL AGREEMENT 

THIS EMPLOYMENT AND CHANGE OF CONTROL AGREEMENT (this “Agreement”) is made and entered as of the
         day of                 , 2011 by and among Macon Bancorp (the “Bancorp”), Macon Bank, Inc. (the
“Bank”) (the Bancorp and the Bank are collectively referred to as the “Employer”), and Roger D. Plemens (“Executive”). 
 BACKGROUND 
 WHEREAS, the expertise and experience of Executive, and
Executive’s relationships and reputation in the financial institutions industry are extremely valuable to the Employer; and 
 WHEREAS, it is in the best interests of the Employer to maintain an experienced and sound executive management team to manage the Employer and to further the Employer’s overall strategies to protect
and enhance the value of its shareholders’ investments; and 
 WHEREAS, the Employer and Executive desire to enter into
this Agreement to establish the scope, terms and conditions of Executive’s employment by the Employer 
 NOW, THEREFORE, in
consideration of the foregoing and of the mutual covenants and agreements set forth herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 

1. Effective Date. The effective time and date of this Agreement shall be deemed to be 12:00:01 o’clock, a.m., on the date of
its making set forth above (the “Effective Date”). 
 2. Definitions. The following defined terms are defined
in the referenced Sections of this Agreement. 
  

			
	 Term
	  	 Section

	Accrued Obligations	  	Section 8(a)(i)(A)
	Base Salary	  	Section 6(a)
	Bancorp Board	  	Section 7(b)
	Bank Board	  	Section 6(a)
	Bank Group	  	Section 12(a)
	Benefit Plans	  	Section 6(c)
	Business	  	Section 12(a)
	Cause	  	Section 7(b)
	Change of Control	  	Section 9(b)
	Change of Control Termination	  	Section 9(a)
	Change of Control Termination Date	  	Section 9(a)
	COBRA	  	Section 8(d)
	Code	  	Section 4
	Continuing Period	  	Section 9(c)(ii)

			
	Commissioner	  	Section 14(d)
	Date of Termination	  	Section 7(f)
	Disability	  	Section 7(a)
	Disability Effective Date	  	Section 7(a)
	Effective Date	  	Section 1
	Employer Benefit Election	  	Section 8(a)
	Employment Period	  	Section 4
	FDIC	  	Section 14(d)
	Good Reason	  	Section 7(c)
	Group	  	Section 9(b)
	Incumbent Directors	  	Section 9(b)
	Insurance Benefit Plans	  	Section 6(d)
	ISOs	  	Section 8(b)
	Notice of Termination	  	Section 7(e)
	NSOs	  	Section 8(b)
	Other Benefits	  	Section 8(b)
	Person	  	Section 9(b)
	Restricted Period	  	Section 12(a)
	Section 409A	  	Section 4
	Terminate	  	Section 4
	Welfare Benefit Plans	  	Section 6(d)

 3.
Employment. Executive is employed as the President and Chief Executive Officer of Bancorp and the Bank. Executive’s responsibilities, duties, prerogatives and authority in such executive offices, and the clerical, administrative and
other support staff and office facilities provided to him, shall be those customary for persons holding such executive offices of institutions that are a part of the financial institutions industry. 

4. Employment Period. Unless extended by renewal as provided below or earlier Terminated in accordance with
Sections 7 or 9 hereof, Executive’s employment shall be for a three (3) year term beginning as of the Effective Date (the “Employment Period”). Upon the third (3rd) anniversary of the Effective Date and on each subsequent anniversary thereof, the term shall be renewed for one
(1) year unless the Employer shall give Executive notice of non-renewal at least 90 days prior to the expiration of the then existing term. Upon the expiration of the Employment Period, this Agreement shall terminate and Executive shall be an
“at will” employee of the Employer. For purposes of this Agreement, “Terminate” (and variations and derivatives thereof) shall mean, when used in connection with a cessation of employment, that the Executive has incurred a
separation from service as defined in Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), and guidance and regulations issued thereunder (“Section 409A”). Notwithstanding any other provision of this
Agreement, if a conversion of Bancorp from the mutual to the stock form of ownership is not consummated on or before December 31, 2011, this Agreement shall be deemed void and of no further force or effect as of January 1, 2012.

  
 2 

 5. Extent of Service. During the Employment Period, and excluding any periods of
vacation, sick or other leave to which Executive is entitled under this Agreement, Executive agrees to devote reasonable attention and time to the business and affairs of the Bank commensurate with his offices, and, to the extent necessary to
discharge the responsibilities assigned to Executive hereunder, to use Executive’s reasonable best efforts to perform faithfully and efficiently Executive’s responsibilities and duties under this Agreement. 

6. Compensation and Benefits. 
 (a) Base Salary. During the Employment Period, the Employer will pay to Executive a base salary at the rate of at least
$             per year (“Base Salary”), less normal withholdings, payable in equal monthly or more frequent installments as are customary under the Bank’s payroll
practices from time to time. In accordance with the policies and procedures of the Board of Directors of the Bank (the “Bank Board”), the Employer shall review Executive’s total compensation at least annually and in its sole
discretion may adjust Executive’s total compensation from year to year, but during the Employment Period the Employer may not decrease Executive’s Base Salary below
$            ; provided further, however, that periodic increases in Base Salary, once granted, shall not be subject to revocation. The annual review of Executive’s total
compensation will consider, among other things, changes in the cost of living, Executive’s own performance and the Bancorp’s consolidated performance. 
 (b) Incentive Plans. During the Employment Period, Executive shall be entitled (i) to participate in all of executive management incentive plans of the Employer, and any successor or
substitute plans; (ii) to participate in long-term incentive plans of the Employer, and any successor or substitute plans; and, (iii) to participate in all stock option, stock grant and similar plans of the Employer, and any successor or
substitute plans, in each of the foregoing cases in at least as favorable a manner as any participant who is a member of the senior executive management of the Employer. 

(c) Savings and Retirement Plans. During the Employment Period, Executive shall be entitled to participate in all
savings, pension and retirement plans (including supplemental retirement plans), practices, policies and programs applicable generally to senior executive employees of the Employer (the “Benefit Plans”), and on at least as favorable a
basis as any other participant who is a member of the senior executive management of the Employer. 
 (d)
Welfare Benefit Plans. During the Employment Period, Executive and/or Executive’s family, as the case may be, shall be eligible for participation in and shall receive all benefits under all welfare benefit plans, practices, policies and
programs provided by the Employer (including, without limitation, medical, hospitalization, prescription, dental, disability, employee life, group life, accidental death and dismemberment, and travel accident insurance plans and programs)
(“Welfare Benefit Plans”) to the extent applicable generally to senior executive employees of the Employer. The Welfare Benefit Plans pertaining to medical, hospitalization, prescription and dental insurance coverages are referred to
herein as the “Insurance Benefit Plans”. 

  
 3 

 (e) Expenses. During the Employment Period, Executive shall be
entitled to receive prompt reimbursement for all reasonable expenses incurred by Executive in accordance with the policies, practices and procedures of the Employer to the extent applicable generally to other senior executive employees of the
Employer. The expenses eligible for reimbursement under this item (e) in any year shall not affect any expenses eligible for reimbursement or in-kind benefits in any other year. Executive’s rights under this item (e) are not subject
to liquidation or exchange for any other benefit. 
 (f) Fringe and Similar Benefits. During the
Employment Period, Executive shall be entitled to fringe benefits in accordance with the plans, practices, programs and policies of the Employer in effect for its senior executive employees. 

(g) Vacation, Sick and Other Leave. During the Employment Period, Executive shall be entitled annually to a minimum
of                      (    ) paid time off days specified in the employment policies of the Employer and shall
have such rights with respect to such days as are provided in those policies. 
 7. Termination of Employment (Other Than In
Connection With A Change Of Control). 
 (a) Death or Disability. Executive’s employment with the
Employer shall Terminate automatically upon Executive’s death during the Employment Period. If the Employer determines in good faith that the Disability of Executive has occurred during the Employment Period (pursuant to the definition of
Disability set forth below), it may give to Executive written notice in accordance with Section 7(e) of this Agreement of its intention to Terminate Executive’s employment. In such event, Executive’s employment with the Employer shall
Terminate effective on the 60th day after receipt of such written notice by Executive (the “Disability Effective Date”), provided that, within the 30 days after such receipt, Executive shall not have returned to full-time performance of
Executive’s duties. For purposes of this Agreement, “Disability” shall mean the absence of Executive from Executive’s duties with the Employer on a full-time basis for 90 consecutive business days as a result of incapacity due to
mental or physical illness or injury which is determined to be total and permanent by a physician selected by the Employer, or the insurers of the Employer, and acceptable to Executive or Executive’s legal representative, which acceptance shall
not be unreasonably withheld, subject to (i) the Employer’s obligations, and Executive’s rights, under (A) the Americans With Disabilities Act, 42 U.S. C. §§ 1210 et seq., and (B) the Family and Medical
Leave Act, 29 U. S.C. §§ 2601 et seq. (and the regulations promulgated under the foregoing Acts), and (ii) the exclusion from such 90 business day calculation of any business days constituting vacation days under
Section 6(g) and any business days which an employee is permitted to be absent under the disability, sick or other leave policies of the Employer. 
 (b) Cause. The Employer may Terminate Executive’s employment with the Employer for Cause. For purposes of this Agreement, “Cause” shall mean: 

 

	 	(i)	 the willful and continued failure of Executive to perform substantially Executive’s duties with the Employer, other than any

  
 4 

	 	 
such failure resulting from Disability, after a written demand for substantial performance is delivered to Executive by the Bank Board which specifically identifies the manner in which the Bank
Board believes that Executive has not substantially performed Executive’s duties; 

  

	 	(ii)	the willful engaging by Executive in illegal conduct or gross misconduct which is materially and demonstrably injurious to the Employer; 

 

	 	(iii)	continued insubordination with respect to directives of the Bank Board after receipt of a written warning from the Bank Board with respect thereto; or

  

	 	(iv)	a willful act by Executive which constitutes a material breach of Executive’s fiduciary duty to the Employer which is intended by Executive to injure the
reputation or business of the Employer. 

 For purposes of this provision, no act or failure to act on the part of
Executive shall be considered “willful” unless it is done, or omitted to be done, by Executive in bad faith or without reasonable belief that Executive’s action or omission was in the best interests of the Employer. Any act, or
failure to act, based upon authority given pursuant to resolutions duly adopted by the Bank Board or the Board of Directors of Bancorp (“Bancorp Board”), or based upon the advice of counsel for the Employer shall be conclusively presumed
to be done, or omitted to be done, by Executive in good faith and in the best interests of the Employer and to not constitute insubordination. 
 (c) Voluntary Termination; Good Reason. Executive may Terminate Executive’s employment with the Employer voluntarily or for Good Reason. For purposes of this Agreement, “Good Reason”
shall mean: (i) a material diminution in Executive’s authority, duties, or responsibilities; (ii) a material change in the geographic location at which Executive must perform the services to be performed by Executive pursuant to this
Agreement; and (iii) any other action or inaction that constitutes a material breach by the Employer of this Agreement. Executive must provide notice of voluntary Termination at least 30 days prior to the applicable Date of Termination.
Executive must provide notice to the Employer of the condition Executive contends is Good Reason within 30 days of the initial existence of the condition, and the Employer must have a period of at least 30 days to remedy the condition. If the
condition is not remedied, Executive must provide a Notice of Termination as set forth in Section 7(e) within 30 days of the end of the Employer’s remedy period.  

(d) Without Cause. The Employer may Terminate Executive’s employment without Cause (“Without
Cause”). 
 (e) Notice of Termination. Any Termination (other than for death) shall be communicated
by a Notice of Termination given in accordance with Section 16(h) of this Agreement. For purposes of this Agreement, a “Notice of Termination” means a written notice 

  
 5 

 
which (i) indicates the specific termination provision in this Agreement relied upon, (ii) to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed
to provide a basis for Termination of Executive’s employment under the provision so indicated, and (iii) if the Date of Termination (as defined below) is other than the date of receipt of such notice, specifies the Termination date (which
date shall be not more than 30 days after the giving of such notice except as otherwise provided in Section 7(a)). The failure to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Disability,
Cause, or Good Reason shall not waive any right of Executive or the Employer hereunder or preclude Executive or the Employer from asserting such fact or circumstance in enforcing Executive’s or the Employer’s rights hereunder. 

(f) Date of Termination. “Date of Termination” means (i) if Executive’s
employment is Terminated by the Employer for Cause or Without Cause, the date of receipt of the Notice of Termination or any later date specified therein, as the case may be, (ii) if Executive’s employment is Terminated by Executive for
Good Reason, the date of receipt of the Notice of Termination, (iii) if Executive’s employment is Terminated by Executive voluntarily, the Date of Termination shall be the 30th day following the date of receipt of the Notice of Termination, and (iv) if Executive’s employment is
Terminated by reason of death or Disability, the Date of Termination shall be the date of death of Executive or the Disability Effective Date, as the case may be. 
 8. Obligations of the Employer Upon Termination (Other Than In Connection With A Change Of Control). The provisions of this Section 8 apply only to Terminations that are not in connection with
a Change of Control. 
 (a) Termination Without Cause or for Good Reason. If, during the Employment
Period, the Employer shall Terminate Executive’s employment Without Cause or the Executive shall Terminate Executive’s employment for Good Reason, then in consideration of Executive’s services rendered prior to such Termination;

  

	 	(i)	the Employer shall pay to Executive: 

  

	 	A.	 a lump sum in cash on the 30th day after the Date of Termination equal to (1) Executive’s Base Salary through the Date of Termination to
the extent not theretofore paid, and (2) any accrued vacation, sick and other leave pay, in each case to the extent not theretofore paid (the sum of the amounts described in clauses (1) and (2) shall be hereinafter referred to as the
“Accrued Obligations”); and 

  

	 	B.	 a lump sum in cash on the 30th day after the Date of Termination equal to the product of (1) Executive’s aggregate cash bonus for the last
completed fiscal year, whether paid to Executive under Section 6 above or otherwise paid to Executive, and (2) a fraction, the numerator of which is the number of days in the current

  
 6 

	 	 
fiscal year through the Date of Termination and the denominator of which is 365; and 

  

	 	C.	 in 24 as nearly as equal as possible monthly installments, beginning on the 30th day after the Date of Termination an aggregate sum equal to two (2) times Executive’s Base Salary.

  

	 	(ii)	for a period of two (2) years after the Date of Termination the Employer shall continue to provide benefits to Executive and/or Executive’s family at least
equal to those which would have been provided to them in accordance with the Insurance Benefit Plans if Executive’s employment had not been Terminated; provided, however, that if Executive becomes employed with another employer and is eligible
to receive substantially the same benefits under the other employer’s plans as Executive would receive under the Insurance Benefit Plans under this item (ii), the benefits provided under this item (ii) shall be secondary to those provided
under such other employer’s plans during such applicable period of eligibility; and, provided further, that with respect Insurance Benefit Plans, upon the conclusion of any applicable COBRA period, the Employer may elect to discontinue the
coverages under such Insurance Benefit Plans and to pay Executive in cash the amount of the applicable annual premium paid by the Employer for the preceding twelve (12) month period for such discontinued coverages multiplied by the fraction of
which the number of days remaining in such two (2) year period is the numerator and 365 is the denominator (the election set forth in this proviso being referred to herein as the “Employer Benefit Election”); 

 

	 	(iii)	to the extent not theretofore paid or provided, the Employer shall timely pay or provide to Executive any other amounts or benefits required to be paid or provided
herein or which Executive is eligible to receive under any Welfare Benefit Plan; and 

  

	 	(iv)	provided, however, that if during the Restricted Period Executive violates Section 12, no payments shall be due under item (i)(C) and any such payment previously
made shall be repaid by Executive. 

 (b) Death. If Executive’s employment is
Terminated by reason of Executive’s death during the Employment Period, this Agreement shall terminate without further obligations to Executive’s legal representatives under this Agreement, except that: (i) Accrued Obligations shall
timely be paid as provided below; (ii) Other Benefits shall be timely paid or provided as described below; (iii) all stock options that are “incentive stock options”, as described in Section 422 of the Code
(“ISOs”), previously granted to Executive that vested at or prior to the Date of Termination shall remain exercisable for the longer of twelve (12) months and the exercise period in effect immediately prior to the Date of Termination;
(iv) all nonqualified stock options 

  
 7 

 
(“NSOs”) previously granted to Executive that vested at or prior to the Date of Termination shall remain exercisable for the period of exercise in effect immediately prior to the Date
of Termination; (v) all options previously granted to Executive and scheduled to vest in the year of death shall immediately vest and be exercisable for the applicable period set forth in the preceding items (iii) and (iv); and
(vi) Executive’s rights to all benefits under all Benefit Plans that are “non-qualified” plans shall be 100% vested, regardless of Executive’s age or years of service, at the time of Executive’s death. Accrued
Obligations shall be paid to Executive’s estate or beneficiary, as applicable, in a lump sum in cash on the 30th day after the Date of Termination. With respect to the provision of Other Benefits, the term “Other Benefits” as utilized
in this Section 8(b) shall mean, and Executive’s estate and/or beneficiaries shall be entitled to receive, all benefits under the Employer’s Welfare Benefit Plans relating to death benefits. Without limiting the foregoing, for one
(1) year after Executive’s death, the Employer shall pay any premium required for any “qualified beneficiary” to continue his or her health care coverage in accordance with Title 1, Part 6 of the Employee Retirement Security Act
of 1974, as amended. 
 (c) Disability. If Executive’s employment is Terminated by reason of
Executive’s Disability during the Employment Period, this Agreement shall terminate without further obligations to Executive, except that: (i) Accrued Obligations shall be timely paid as provided below; (ii) Other Benefits shall be
timely paid or provided as described below; (iii) all stock options that are ISOs previously granted to Executive that vested at or prior to the Date of Termination shall remain exercisable for the longer of twelve (12) months and the
exercise period in effect immediately prior to the Date of Termination; (iv) all NSOs previously granted to Executive that vested at or prior to the Date of Termination shall remain exercisable for the period of exercise in effect immediately
prior to the Date of Termination; and (v) all options previously granted to Executive and scheduled to vest in the year in which the Disability Effective Date occurs shall immediately vest and be exercisable for the applicable period set forth
in the preceding items (iii) and (iv). Accrued Obligations shall be paid to Executive in a lump sum in cash on the 30th day after the Date of Termination. With respect to the provision of Other Benefits, the term Other Benefits as utilized in
this Section 8(c) shall include, without limitation, and Executive shall be entitled after the Date of Termination to, (1) receipt of all disability benefits under all Welfare Benefit Plans relating to disability, (2) receipt, for the
remainder of the then current Employment Period, of all benefits available to Executive under all Insurance Benefit Plans, subject to the Employer Benefit Election, and (3) for the remainder of the then current Employment Period continued
participation in group life and employee life insurance programs generally available to senior executive officers. 
 (d) Voluntary Termination; Cause. If Executive voluntarily Terminates his employment or if Executive’s employment shall be Terminated for Cause during the Employment Period, this Agreement
shall terminate without further obligations to Executive, except that (i) the Accrued Obligations shall be paid in a lump sum in cash on the 30th day after the Date of Termination, and (ii) Other Benefits shall be paid or provided in a
timely manner, in each case to the extent theretofore unpaid; provided, however, that Executive’s right to continue to participate in Welfare Benefit Plans shall terminate on the 30th day following the Date of Termination, subject to
Executive’s rights under the Consolidated Omnibus Budget Reconciliation Act of 1985, 29 U.S.C. §§ 1161 et seq. (“COBRA”). 

  
 8 

 9. Termination In Connection With a Change of Control. 

(a) Change of Control Termination. In the event that, at the time of, within 90 days prior to, or within one
(1) year after a Change of Control, and during the Employment Period, the Employer Terminates Executive’s employment Without Cause or Executive Terminates Executive’s employment for Good Reason (each a “Change of Control
Termination”), Executive shall be entitled to receive the payments and benefits specified in this Section 9. The date on which the Employer or Executive receives notice in accordance with Section 16(h) of a Change of Control
Termination shall be deemed the “Change of Control Termination Date.” 
 (b) Definition of Change of
Control. “Change of Control” shall mean (i) a Change of Ownership; (ii) a Change in Effective Control; or (iii) a Change of Asset Ownership; in each case, as defined herein and as further defined and interpreted in
Section 409A. 
 A. “Change in Effective Control” shall mean the date either (i) any
“Person” or “Group” (as those terms are defined in or pursuant to Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended, but not including Bancorp or any “employee benefit plan” (as defined in or
pursuant to the Employee Retirement Income Security Act of 1974, 29 U.S.C. § 1002(3) of Bancorp or the Bank) acquires (or has acquired during the proceeding twelve (12) months) ownership of outstanding stock of Bancorp possessing 30% or
more of the total voting power of Bancorp’s outstanding stock or (B) a majority of the Bancorp Board is replaced during any twelve (12) month period by directors whose election is not endorsed by a majority of the members of the
Bancorp Board prior to such election. 
 B. “Change of Asset Ownership” shall mean the date any Person
or Group acquires (or has acquired during the preceding twelve (12) months) assets from Bancorp or the Bank that have a total gross fair market value that is equal to or exceeds 40% of the total gross fair market value of all of Bancorp’s
consolidated assets immediately prior to such acquisition. 
 C. “Change of Ownership” shall mean the
date any Person or Group acquires ownership of outstanding stock of Bancorp that, together with stock previously held, constitutes more than 50% of the total fair market value or total voting power of the stock of Bancorp provided that such Person
or Group did not previously own 50% or more of the value of voting power of the outstanding stock of Bancorp. 
 Notwithstanding the foregoing
provisions of this Section 9(b), the conversion of Bancorp from the mutual to the stock form of ownership shall not constitute a Change of Control. 

  
 9 

 (c) Change of Control Payments and Benefits. Upon a Change Of Control
Termination: 
  

	 	(i)	The Employer shall pay to Executive in a lump sum in cash on the 30th day after the Change of Control Termination Date the aggregate of the following amounts:

  

	 	(A)	the sum of the Accrued Obligations; 

  

	 	(B)	an amount equal to 2.99 times the total of Executive’s Base Salary; 

  

	 	(C)	the product of (x) Executive’s aggregate cash bonus for the last completed fiscal year, whether paid under Section 6 above and/or otherwise paid to
Executive, and (y) a fraction, the numerator of which is the number of days in the current fiscal year through the Change of Control Termination Date and the denominator of which is 365. 

 

	 	(D)	provided, however, that if during the Restricted Period Executive violates Section 12, no payments shall be due under paragraphs (B) and (C) and any such
payment previously made shall be repaid by Executive. 

  

	 	(ii)	For a period of three (3) years from and after the Change of Control Termination Date (the “Continuing Period”), the Employer shall continue to provide
benefits to Executive and/or Executive’s family at least equal to those which would have been provided to them in accordance with the Insurance Benefit Plans if Executive’s employment had not been Terminated; provided, however, that if
Executive becomes employed with another employer and is eligible to receive substantially the same benefits under the other employer’s plans as Executive would receive under the Insurance Benefit Plans under this item (ii), the benefits
provided under this item (ii) shall be secondary to those provided under such other plans during such applicable period of eligibility; and, provided further, that such obligation of the Employer shall be subject to the Employer Benefit
Election. 

  

	 	(iii)	 All options previously granted to Executive that are unvested as of the Change of Control Termination Date shall be deemed vested, fully exercisable
and non-forfeitable as of the Change of Control Termination Date (provided, however, that options granted less than six (6) months before the Change of Control Termination Date shall not be exercisable until the first day subsequent to the six
(6) months following their dates of grant) and all previously granted options that are vested, but unexercised, on the Change of 

  
 10 

	 	 
Control Termination Date shall remain exercisable, in each case for the period during which they would have been exercisable absent the Termination of Executive’s employment except as
otherwise specifically provided by the Code. 

  

	 	(iv)	Executive’s benefits under all Benefit Plans that are non-qualified plans shall be 100% vested, regardless of Executive’s age or years of service, as of the
Change of Control Termination Date. 

  

	 	(v)	Notwithstanding the foregoing provisions of this Section 9, the Employer may reduce any amount, distribution, acceleration of vesting or other right described in
this Section 9, in whole or part, such that the aggregate of all payments, distributions and benefits received by Executive shall not constitute an “excess parachute payment” within the meaning of Section 280G of the Code subject
to the excise tax imposed by Section 4999 of the Code; provided, however, that the Employer will endeavor to effect such reduction in a way that results in the most favorable tax consequences for Executive and that such reduced aggregate amount
shall be the maximum amount which would not constitute an “excess parachute payment”. 

 10.
Non-Exclusivity of Rights. Nothing in this Agreement shall prevent or limit Executive’s continuing or future participation in any plan, program, policy, or practice provided by the Employer and for which Executive may qualify, nor shall
anything herein limit or otherwise affect such rights as Executive may have under any contract or agreement with the Employer. Amounts which are vested benefits or which Executive is otherwise entitled to receive under any plan, policy, practice or
program of or any contract or agreement with the Employer at or subsequent to a Date of Termination or Change of Control Termination Date shall be payable in accordance with such plan, policy, practice or program or such contract or agreement except
as explicitly modified by this Agreement. 
 11. Full Settlement. The Employer’s obligation to make the payments
provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which the Employer may have against Executive or others. In no
event shall Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to Executive under any of the provisions of this Agreement; provided, however, that Executive’s right to receive
any benefits under Insurance Benefit Plans to the extent that Executive obtains other employment shall be limited as provided in Section 8(a)(ii). The Employer agrees to recognize as an indebtedness to Executive and shall pay as incurred all
legal fees and expenses which Executive may reasonably incur as a result of any contest (regardless of the outcome thereof) by the Employer, Executive or others of the validity or enforceability of, or liability under, any provision of this
Agreement or any guarantee of performance thereof (including as a result of any contest by Executive about the amount of any payment pursuant to this Agreement), plus in 

  
 11 

 
each case interest on any delayed payment at the “applicable federal rate” provided for in Section 7872(f)(2)(A) of the Code. 

12. Covenants. 
 (a) Covenant Not to Compete. During the Restricted Period, Executive shall not, within the geographic areas composed of the circles surrounding the Bank’s then existing banking offices, with
each circle having the applicable banking office as its center point and a radius of twenty-five (25) miles (the “Territory”), directly or indirectly, in any capacity, render services, or engage or have a financial interest in, any
business that shall be competitive with any of those business activities in which Bancorp or any of the Bancorp’s subsidiaries or affiliates (the “Bank Group”) is engaged as of the date of this Agreement, which business activities
include, but are not limited to, the provision of banking services (collectively, the “Business”); provided, however, that Executive’s ownership of less than five percent (5%) of the outstanding securities of any entity engaged
in the Business that has a class of securities listed on a securities exchange or qualified for quotation on any over-the-counter market shall not be a violation of the foregoing. For purposes of this Agreement, except as otherwise provided in
Section 17, “Restricted Period” shall mean the period of two (2) years following the Termination of Executive’s employment as provided by this Agreement. 

(b) Covenant Not to Solicit Customers. During the Restricted Period, within the Territory Executive shall not,
directly or indirectly, individually or on behalf of any other person or entity (other than a member of the Bank Group), offer to provide banking services to any person, partnership, corporation, limited liability company, association, or other
entity who is or was (i) a customer of any member of the Bank Group during any part of the twelve (12) month period immediately prior to the Date of Termination, or (ii) a potential customer to whom any member of the Bank Group
offered to provide banking services during any part of the twelve (12) month period immediately prior to the Date of Termination. 
 (c) Covenant Not to Solicit Employees. During the Restricted Period, within the Territory Executive shall not, directly or indirectly, individually or on behalf of any other person or entity,
solicit, recruit or entice, directly or indirectly, any employee of any member of the Bank Group to leave the employment of such member to work with Executive or with any person, partnership, corporation, limited liability company or other entity
with whom Executive is or becomes affiliated or associated. 
 (d) Non-Disparagement; Confidentiality.
Executive covenants and agrees that following Termination of Executive’s employment for any reason, Executive shall not disparage, hold up to ridicule or make false statements, whether directly or by inference, regarding Bancorp or the Bank or
any of their respective directors, officers, employees or agents, the financial results or financial condition of either of Bancorp or the Bank, or the prospects of Bancorp or the Bank. 

Executive further covenants and agrees that during the Employment Period and thereafter, Executive shall hold inviolate
and secret, and shall not use for Executive’s personal benefit or the benefit of any Person other than Bancorp or the Bank, all confidential 

  
 12 

 
and/or proprietary information of either Bancorp or the Bank, including, but not limited to, all processes, procedures, programs, know-how, trade secrets, pricing strategies and techniques,
investment strategies and techniques, marketing plans and strategies, personnel information, customer lists, analyses and compilations of customer information, financial projections, and other similar information, regardless of the form in which
such information is obtained, retained or maintained by or on behalf of Bancorp or the Bank. Executive agrees that the foregoing obligations are in addition to, and not in limitation of Executive’s confidentiality obligations or duties under
applicable corporate law, federal securities laws, or federal or state financial institution laws. 
 (e)
Reasonableness of Scope and Duration. The parties hereto agree that the covenants and agreements contained in this Section 12 are reasonable in their time, territory and scope, and they intend that they be enforced, and no party shall
raise any issue of the reasonableness of the time, territory or scope of any such covenants in any proceeding to enforce any such covenants. 
 (f) Enforceability. Executive agrees that monetary damages would not be a sufficient remedy for any breach or threatened breach of the provisions of this Section 12, and that in addition to
all other rights and remedies available to Bancorp and the Bank, they shall be entitled to specific performance and injunctive or other equitable relief as a remedy for any such breach or threatened breach. Any determination of whether Executive has
violated such covenants shall be made by arbitration in Greensboro, North Carolina under the Rules of Commercial Arbitration (the “Rules”) of the American Arbitration Association, which Rules are deemed to be incorporated by reference
herein. 
 (g) Separate Covenants and Severability. The covenants and agreements contained in this
Section 12 shall be construed as separate and independent covenants. Should any part or provision of any such covenant or agreement be held invalid, void or unenforceable in any court of competent jurisdiction, no other part or provision of
this Agreement shall be rendered invalid, void or unenforceable by a court of competent jurisdiction, no other part or provision of this Agreement shall be rendered invalid, void or unenforceable as a result. If any portion of the foregoing
provisions is found to be invalid or unenforceable by a court of competent jurisdiction unless modified, it is the intent of the parties that the otherwise invalid or unreasonable term shall be reformed, or a new enforceable term provided, so as to
most closely effectuate the provisions as is validly possible. 
 13. Assignment and Successors. 

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

(b) The Employer. This Agreement shall inure to the benefit of and be binding upon the Employer and its successors
and assigns. Bancorp and the Bank will each require any successor to it (whether direct or indirect, by stock or asset purchase, merger, 

  
 13 

 
consolidation or otherwise) to all or substantially all of its business or more than 50% of its assets to assume expressly and agree to perform this Agreement in the same manner and to the same
extent it would be required to perform it if no such succession had taken place. 
 14. Regulatory Intervention.
Notwithstanding anything in this Agreement to the contrary, the obligations of the Employer under this Agreement are subject to the following terms and conditions: 

(a) If Executive is suspended and/or temporarily prohibited from participating in the conduct of the Bank’s affairs
by a notice served under Section 8(e)(3) or (1) of the Federal Deposit Insurance Act (12 U.S.C. § 1818 (e)(3) and (g)(1)), the Bank’s obligations hereunder, as applicable, shall be suspended as of the date of service unless
stayed by appropriate proceedings. If the charges in the notice are dismissed, all of the Employer’s obligations which were suspended shall be reinstated. 
 (b) If Executive is removed and/or permanently prohibited from participating in the conduct of the Bank’s affairs by an order issued under Section 8(e)(4) or (g)(1) of the Federal Deposit
Insurance Act (12 U.S.C. § 1 818 (e)(4) and (g)(1)), all obligations of the Employer under this Agreement shall terminate as of the effective date of the order, but vested rights of the parties shall not be affected. 

(c) If the Bank is in default (as defined in Section 3(x)(1) of the Federal Deposit Insurance Act (12 U.S. C. §
1813 (X)(1)), all obligations of the Employer under this Agreement shall terminate as of the date of default, but any vested rights of Executive shall not be affected. 

(d) All obligations of the Employer under this Agreement shall be terminated, except to the extent determined that
continuation of the contract is necessary for the continued operation of the Bank, if so ordered by the North Carolina Commissioner of Banks (the “Commissioner”) at the time the Federal Deposit Insurance Corporation (“FDIC”)
enters into an agreement to provide assistance to or on behalf of the Bank under the authority contained in Section 13 (c) of the Federal Deposit Insurance Act (12 U.S.C.§ 1823 (c)), or if so ordered b the Commissioner at the time the
FDIC approves a supervisory merger to resolve problems related to operation of the Bank or when the Bank is determined by the Commissioner to be in an unsafe or unsound condition. Any rights of Executive that shall have vested under this Agreement
shall not be affected by such action. Provided that any termination of this Agreement, in whole or in part, shall be in compliance with Section 409A to the extent Section 409A applies to any portion of this Agreement. 

(e) With regard to the provisions of this Section 14(a) through (d): 

 

	 	(i)	The Bank agrees to use its best efforts to oppose any such notice of charges as to which there are reasonable defenses; 

 

	 	(ii)	 In the event the notice of charges is dismissed or otherwise resolved in manner that will permit the Employer to resume its

  
 14 

	 	 
obligations to pay compensation hereunder, the Employer will promptly make such payment hereunder; and 

 

	 	(iii)	During any period of suspension under Section 14(a), the vested rights of Executive shall not be affected except to the extent precluded by such notice.

 (f) The Employer’s obligations to provide compensation or other benefits to Executive under
this Agreement shall be terminated or limited to the extent required by the provisions of any final regulation or order of the FDIC promulgated under Section 18(k) of the Federal Deposit Insurance Act (12 U.S.C. § 1828(k)) limiting or
prohibiting any “golden parachute payment” as defined therein, but only to the extent that the compensation or payments to be provided by the Employer under this Agreement are so prohibited or limited. 

15. Certain Payments Delayed for a Specified Employee. If Executive is a “specified employee” as
defined in Section 409A, then, notwithstanding any other provision herein, any payment(s) required under this Agreement on account of a “separation from service” as defined in Section 409A shall be made and/or shall begin on the
first day of the seventh (7th) month following the
date of Executive’s Termination to the extent such payments are not exempt from Section 409A, and the six (6) month delay in payment is required by Section 409A. 

16. Miscellaneous. 
 (a) No Mitigation. Executive shall not be required to mitigate the amount of any payment provided for in this Agreement by seeking other employment or otherwise and, except as provided in Sections
8(a)(ii), no such payment shall be offset or reduced by the amount of any compensation or benefits provided to Executive in any subsequent employment. 
 (b) Waiver. Failure of either party to insist, in one or more instances, on performance by the other in strict accordance with the terms and conditions of this Agreement shall not be deemed a
waiver or relinquishment of any right granted in this Agreement or of the future performance of any such term or condition or of any other term or condition of this Agreement, unless such waiver is contained in a writing signed by the party making
the waiver. 
 (c) Severability. If any provision or covenant, of any part thereof, of this Agreement
should be held by any court to be invalid, illegal or unenforceable, either in whole or in part, such invalidity, illegality or unenforceability shall not affect the validity, legality enforceability of the remaining provisions or covenants, or any
part thereof, of this Agreement, all of which shall remain in full force and effect. 
 (d) Other Agents.
Nothing in this Agreement is to be interpreted as limiting the Employer from employing other personnel on such terms and conditions as may be satisfactory to it. 

(e) Entire Agreement. Except as provided herein, this Agreement contains the entire agreement between the Employer
and Executive, with respect to the subject matter hereof 

  
 15 

 
and supersedes and invalidates any previous employment and severance agreements or contracts with Executive. No representations, inducements, promises or agreements, oral or otherwise, which are
not embodied herein, shall be of any force or effect. 
 (f) Compliance with Section 409A. It is
intended that this Agreement shall conform with all applicable Section 409A requirements to the extent Section 409A applies to any provisions of the Agreement. Accordingly, in interpreting, construing or applying any provisions of the
Agreement, the same shall be construed in such manner as shall meet and comply with Section 409A, and in the event of any inconsistency with Section 409A, the same shall be reformed so as to meet the requirements of Section 409A.
Executive acknowledges that the Employer has not made any representation or warranty regarding the treatment of this Agreement or the benefits payable under this Agreement under federal, state or local income tax laws, including but not limited to
Section 409A. 
 (g) Governing Law. Except to the extent preempted by federal law, the laws of the
State of North Carolina shall govern this Agreement in all respects, whether as to its validity, construction, capacity, performance or otherwise. 
 (h) Notices. All notices, requests, demands and other communications required or permitted hereunder shall be in writing and shall be deemed to have been duly given if delivered or seven
(7) days after mailing if mailed, first class, certified mail, postage prepaid: 
 To the Employer: 

Macon Bancorp 

One Center Court 

Franklin, North Carolina 28734-3445 
 Attention: Chairman of the Board 
 To Executive: 

Roger D. Plemens 

_____________________________ 
 _____________________________ 
 Any party may change the address to which notices, requests,
demands and other communications shall be delivered or mailed by giving notice thereof to the other party in the same manner provided herein. 
 (i) Amendments and Modifications. This Agreement may be amended or modified only by a writing signed by all parties hereto, which makes specific reference to this Agreement. Provided, further, that
no amendment or modification to this Agreement shall be adopted unless it complies with Section 409A to the extent Section 409A applies to this Agreement and/or to the amendment or modification. 

  
 16 

 17. Regulatory Prohibition. In the event that the Bank shall be deemed a
“troubled bank” by the FDIC with the result that the payment of severance payments to Executive upon Termination of Executive’s employment shall be prohibited by federal statutes or regulations (including, but not limited to, Part 359
of the regulations of the FDIC), then the term “Restricted Period” used in Section 12 shall be deemed to be three (3) months from the Date of Termination or Change of Control Termination Date, as applicable. 

IN WITNESS WHEREOF, the parties hereto have duly executed and delivered this Employment and Change of Control Agreement as of the date
first above written. 
  

			
	MACON BANCORP
		
	By:	 	 
		 	                             
                   , Chairman
	
	MACON BANK, INC.
		
	By:	 	 
		 	                             
                   , Chairman
	
	EXECUTIVE:
	
	 
	Roger D. Plemens

  
 17

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