Document:

CTBI Form 10-K as of December 31, 2006 Exhibit 10.2

    EXHIBIT
      10.2

    

    

    AMENDMENT
      NUMBER ONE 

    TO
      THE

    COMMUNITY
      TRUST BANCORP, INC.

    SAVINGS
      AND EMPLOYEE STOCK OWNERSHIP PLAN

    

    Pursuant
      to the powers of amendment reserved in Section 20.1 of the Community Trust
      Bancorp, Inc. Savings and Employee Stock Ownership Plan, as amended and restated
      effective January 1, 1999 (the “Plan”), Community Trust Bancorp, Inc. hereby
      amends the Plan as follows:

    

    1.

    

    The
      Plan
      is amended by adding thereto the following new Sections 2.4A:

    

    2.4A “Catch
      Up Contributions”
means
      a
      voluntary contribution made by an eligible Participant to the Trust under the
      Plan pursuant to Section 4.5.

    

    2.

    

    Section
      2.10 of the Plan is amended to add the following sentence at the end
      thereof:

    

    “Notwithstanding
      the above, effective for any Plan Years beginning after December 31, 2001,
      a
      Participant’s Compensation for purposes of the Plan shall not exceed $200,000,
      as adjusted in accordance with Section 401(a)(17) of the Code.”

    

    3.

    

    Section
      2.19 of the Plan is amended by deleting the last sentence thereof in its
      entirety and by substituting the following therefor:

    

    “Effective
      January 1, 2002, the term Eligible Retirement Plan also shall include an
      eligible deferred compensation plan described in Section 457(b) of the Code
      which is maintained by an eligible employer described in Section 457(e)(1)(A)
      and an annuity contract described in Section 403(b) of the Code. In the case
      of
      an Eligible Rollover Distribution to the surviving spouse, prior to January
      1,
      2002, an Eligible Retirement Plan is an individual retirement account described
      in Section 408(a) of the Code or an individual retirement annuity described
      in
      Section 408(b) of the Code.”

    

    4.

    

    Section
      2.20 of the Plan is amended to delete the word “or” after subsection (e), to add
      the following new subsection (f) and to reletter the remaining subsection
      accordingly.

    

    “(f) any
      withdrawal on account of financial hardship pursuant to Section 15.2;
      or”

    

    5.

    

    The
      Plan
      is amended by deleting Section 2.53 in its entirety and by substituting therefor
      a new Section 2.53 as follows:

    

    “2.53 ‘Total
      and Permanent Disability’
      means
      the Participant has become entitled to receive disability benefits either under
      a long term disability plan sponsored by the Company or one of its Affiliates
      or
      under the United States Social Security Act.”

    

    6.

    

    Effective
      January 1, 1999, Section 2.48 of the Plan shall be deleted in its entirety
      and
      all of the remaining sections in Article II, including all internal references
      to the same, shall be renumbered accordingly.

    

    7.

    

    The
      Plan
      is amended by deleting Section 3.2 in its entirety and by substituting therefor
      a new Section 3.2 (with no change to the caption) as follows:

    

    “A
      Former
      Participant who returns to employment and becomes a Covered Employee may
      commence participation as of the date he or she again becomes a Covered
      Employee. An Employee who has satisfied the eligibility requirements of this
      Article III but does not become a Participant on the next Entry Date due to
      a
      Break in Service, a Leave of Absence or because he or she is not a Covered
      Employee on that Entry Date may commence participation upon the Entry Date
      next
      following the termination of the Break in Service or Leave of Absence or the
      date he or she again becomes a Covered Employee. An Employee who has satisfied
      the eligibility requirements of this Article III but who Terminates Employment
      prior to his or her applicable Entry Date, and who is re-employed after that
      Entry Date, shall commence participation immediately upon reemployment.
      Effective January 1, 2002, notwithstanding any other provisions herein to the
      contrary, any Former Participant or terminated Employee who subsequently returns
      to employment after a Break in Service shall be required to complete 1,000
      Hours
      of Service in the twelve (12) consecutive months beginning on his or her date
      of
      reemployment, or, failing that, in any Plan Year that commences after his or
      her
      date of reemployment. Upon completion of 1,000 Hours of Service, the Plan
      participation for such Former Participant or Employee (except with regard to
      entitlement to contributions under the Plan) shall be retroactive to his or
      her
      date of reemployment.”

    

    8.

     

    Section
      4.1 of the Plan is amended to insert the phrase “(effective for Plan Years
      beginning on or after January 1, 2003, fifteen percent (15%))” after the phrase
“nor more than twelve (12%)” in the first sentence thereof .

    

    9.

    

    Section
      4.1 of the Plan is amended by deleting the second sentence thereof in its
      entirety and by substituting the following therefor:

    

    “The
      total amount of such contributions under this Plan and any other cash or
      deferred arrangement in which the Employee participates may not exceed eleven
      thousand dollars ($11,000) for any Plan Year, as adjusted in accordance with
      Section 402(g) of the Code.”

    

    10.

    

    The
      Plan
      is amended by adding thereto the following new Section 4.5:

    

    “4.5 Catch
      Up Contributions.

    

    Effective
      as of October 1, 2002, each Participant that is eligible to make Salary Deferral
      Contributions pursuant to Section 4.1 and who will have attained age 50 before
      the close of the Plan Year shall be eligible to make a Catch Up Contribution
      in
      accordance with, and subject to the limitations of, Section 414(v) of the Code.
      Such contributions shall be credited to the Participant’s Salary Deferral
      Contribution Account and shall be fully vested and nonforfeitable at all times.
      Such Catch Up Contributions shall not be taken into account for purposes of
      the
      provisions of the Plan implementing the requirements of Sections 402(g) and
      415
      of the Code. In addition, the Plan shall not be treated as failing to satisfy
      the provisions of the Plan implementing the requirements of Sections 401(k)(3),
      410(b) or 416 of the Code, as applicable, by reason of the making of such Catch
      Up Contributions.”

    

    11.

    

    Sections
      5.7 and 5.8 of the Plan are deleted in their entirety.

    

    12.

    

    Section
      6.5(a) of the Plan is amended to change the reference to “Section 6.5(f)” in the
      last sentence thereof to “Section 6.5(e).”

    

    13.

    

    Section
      7.1(a) of the Plan is amended by deleting the phrase “(a) Thirty Thousand
      Dollars ($30,000) or (b) twenty-five percent (25%)” in the sole sentence thereof
      and by substituting the phrase “(a) Forty Thousand Dollars ($40,000) or (b)
      one-hundred percent (100%)” therefor.

    

    14.

    

    Section
      8.1 of the Plan is amended to add the following sentences at the end
      thereof:

    

    “Notwithstanding
      the above, effective January 1, 2002, a Participant shall become one-hundred
      percent (100%) vested in his or her Matching Contribution Account after being
      credited under the Plan with three (3) or more Years of Vesting Service.
      Effective September 1, 2002, a Participant shall become one-hundred percent
      (100%) vested in his or her Employer Base Contribution Account after being
      credited under the Plan with three (3) or more Years of Vesting
      Service.”

    

    15.

    

    Section
      11.1 of the Plan is amended to insert the phrase “Catch Up Contributions,” after
      the phrase “Salary Deferral Contributions” in the fourth sentence
      thereof.

    

    16.

    

    Effective
      January 1, 1999, Section 12.3(a) of the Plan is amended to change the reference
      to “$750,000” wherever it appears to “$735,000.”

    

    17.

    

    Section
      12.4 of the Plan is amended to add the following new sentence to the end
      thereof:

    

    “Effective
      January 1, 2002, a Participant may elect to waive the 30-day waiting period
      before the commencement of benefit payments if the distribution of the
      Participant’s benefit begins no earlier than seven (7) days after the written
      notification described in this Section 12.4 is provided to the
      Participant.”

    

    18.

    

    Section
      12.5 of the Plan is amended to add the following new paragraph at the end
      thereof:

    

    “Effective
      April 1, 2002, for purposes of determining if a Participant’s Plan Accounts
      exceed $5,000, the Plan Administrator shall exclude any amount held in the
      Participant’s Rollover Contribution Account.”

    

    19.

    

    Section
      12.8(b) of the Plan is amended to add the following sentence at the end
      thereof:

    

    “All
      distributions required under this Section 12.8(b) will be determined in
      accordance with the Treasury Regulations under Section 401(a)(9) of the Code.
      Distributions required to begin under this Section 12.8(b) during the Plan
      Year
      ended December 31, 2002 shall be determined in accordance with the final and
      temporary Treasury Regulations under Section 401(a)(9) of the Code issued in
      April 2002.”

    

    20.

    

    Section
      14.2 of the Plan is amended by deleting the second and third sentences thereof
      in their entirety.

    

    21.

    

    Effective
      January 1, 1999, the first sentence of Section 15.2(a) of the Plan is amended
      by
      deleting the same in its entirety and by substituting the following
      therefor:

    

    “A
      Participant may withdraw some or all of the amount in his or her Salary Deferral
      Contribution Account attributable to Salary Deferral Contributions and/or Catch
      Up Contributions (earnings on such contributions shall not be eligible for
      withdrawal) if such a withdrawal is necessary due to the immediate and heavy
      financial need of the Participant.”

    

    22.

    

    Section
      18.1(a) of the Plan is amended by deleting the last sentence thereof in its
      entirety and by substituting the following therefor:

    

    “The
      value of the accumulated benefit for any Employee as of a Plan Year shall
      include (i) with respect to Plan Years beginning prior to January 1, 2002,
      the
      aggregate distributions, including withdrawals, made with respect to such
      Employee under the Plan during the five-year period ending on the Determination
      Date and (ii) with respect to Plan Years beginning on or after January 1, 2002,
      any part of any account balance distributed on account of a Participant’s
      termination from employment, death or disability in the one-year period ending
      on the applicable Determination Date.”

    

    23.

    

    Section
      18.2(b) of the Plan is amended to add the following sentence at the end
      thereof:

    

    “Notwithstanding
      the above, effective September 1, 2002, in the event that the Plan is top heavy,
      the Committee shall calculate the Vested Percentage of a Participant’s Employer
      Base Contribution Account and Matching Contribution Account in accordance with
      the provisions for vesting set forth in Section 8.1 or the above schedule,
      whichever shall provide the Participant with a higher vested benefit, and with
      respect to Discretionary Contribution Account in accordance with the above
      schedule.”

    

    24.

    

    Unless
      otherwise indicated, this Amendment Number One shall be effective as of January
      1, 2002.

    

    * * * *

    

    COMMUNITY
      TRUST BANCORP, INC.

    

    By:
        /s/
      Jean
      R. Hale

    

    Title: Chairman,
      President, and CEO

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    AMENDMENT
      NUMBER TWO

    TO
      THE

    COMMUNITY
      TRUST BANCORP, INC.

    SAVINGS
      AND EMPLOYEE STOCK OWNERSHIP PLAN

    

    Pursuant
      to the powers of amendment reserved in Section 20.1 of the Community Trust
      Bancorp, Inc. Savings and Employee Stock Ownership Plan, as amended and restated
      effective January 1, 1999 (the “Plan”), Community Trust Bancorp, Inc. hereby
      amends the Plan as follows:

    

    1.

    The
      Plan
      is amended by deleting Section 2.10 in its entirety and by substituting the
      following therefor:

    

    “2.10 “Compensation”
means
      the aggregate of all payments for personal services paid by the Employer to
      a
      Participant during a Plan Year subsequent to the Participant’s Entry Date,
      including base pay, overtime, bonuses, one-time payments, incentive
      compensation, commissions and absence pay including payments for sick, personal,
      vacation, bereavement, jury duty, disability and work related training;
      provided, Compensation shall exclude any reimbursed personal automobile
      expenses, car allowances or car add-ins, relocation expenses, excess life
      insurance premiums under Section 79 of the Code, stock based compensation
      includible in a Participant’s gross income and any severance payments or amounts
      paid upon the cancellation of an employment contract. Compensation shall be
      determined without regard to any reduction in remuneration resulting from an
      election to have Salary Deferral Contributions made to the Plan or for any
      other
      elective amounts that are not includible in the gross income of a Participant
      under Section 125 or 132(f)(4) of the Code. Notwithstanding the above, a
      Participant’s Compensation for purposes of the Plan shall not exceed $205,000,
      as adjusted in accordance with Section 401(a)(17) of the Code.”

    

    2.

    Effective
      January 1, 2002, Section 7.1(a) of the Plan is amended by inserting the phrase
      “, as adjusted for cost living increases under Section 415(d) of the Code and
      regulations thereunder,” after the phrase “Forty Thousand Dollars
      ($40,000).”

    

    3.

    Section
      5.2 of the Plan is amended by deleting the last sentence thereof in its entirety
      and by substituting the following therefor:

    

    “The
      Matching Contribution will be determined as of the end of each payroll period
      and will be allocated not later than the last day of each calendar quarter
      within a Plan Year to the Matching Contribution Account of the Participant
      receiving the Matching Contribution.”

    

    4.

    Unless
      otherwise indicated, this Amendment Number Two shall be effective as of January
      1, 2004.

    

    

    IN
      WITNESS WHEREOF, the Plan is hereby amended effective as of the dates set forth
      above.

    

    COMMUNITY
      TRUST BANCORP, INC.

    

    By:
        /s/
      Jean
      R. Hale

    

    Title: Chairman,
      President, and CEO

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    AMENDMENT
      NUMBER THREE

    TO
      THE

    COMMUNITY
      TRUST BANCORP, INC.

    SAVINGS
      AND EMPLOYEE STOCK OWNERSHIP PLAN

    

    Pursuant
      to the powers of amendment reserved in Section 20.1 of the Community Trust
      Bancorp, Inc. Savings and Employee Stock Ownership Plan, as amended and restated
      effective January 1, 1999 (the “Plan”), Community Trust Bancorp, Inc. hereby
      amends the Plan as follows:

    

    1.

     

    The
      Plan
      is amended by adding thereto the following new Section 2.29A:

     

    “2.29A
      ‘Heritage
      Plan’
means
      the Heritage Community Bank 401(k) Profit Sharing Plan as in effect as of June
      10, 2005.”

    

    2.

     

    Section
      2.35 of the Plan is amended by adding the following sentence to the end thereof:
      

     

    “This
      account shall include matching contributions transferred from the Heritage
      Plan.”

     

    3.

    Section
      2.47 of the Plan is amended by adding the following sentence to the end
      thereof:

     

    “This
      account shall include qualified non-elective contributions transferred from
      the
      Heritage Plan.”

     

    4.

     

    Section
      2.48 of the Plan, as renumbered by Amendment Number One, is amended by adding
      the following sentence to the end thereof:

     

    “This
      account shall include rollover contributions transferred from the Heritage
      Plan.”

    

    5.

     

    Section
      2.50 of the Plan, as renumbered by Amendment Number One, is amended by adding
      the following sentence to the end thereof: 

     

    “This
      account shall include pre-tax salary deferral contributions transferred from
      the
      Heritage Plan.”

    

    6.

     

    Effective
      March 28, 2005, Section 12.5 of the Plan is amended by striking it in its
      entirety and inserting the following:

     

    “Notwithstanding
      any provisions of the plan to the contrary, if the vested portion of a
      Participant’s Plan Accounts upon Termination of Employment is $1,000 or less,
      then such vested portion shall be paid to the Participant in a lump sum payment
      as soon as practicable after the date the benefit first becomes payable to
      such
      Participant.  If
      the
      vested portion of a Participant’s Plan Accounts upon Termination of Employment
      exceeds $1,000, the Participant may elect to receive an immediate distribution
      of benefits. If such Participant does not elect or consent to receive an
      immediate distribution, his or her Plan Account shall remain in the Trust until
      the earlier of the Participant’s Normal Retirement Date or the date as of which
      the Participant elects to receive a distribution of his or her Plan
      Accounts.”

    

    7.

     

    Section
      15.2(c) of the Plan is amended by adding the phrase “(including amounts
      necessary to pay any income taxes or penalties reasonably anticipated to result
      from the withdrawal)” to the end of subsection (i) thereof.

    

    

    IN
      WITNESS WHEREOF, the Plan is hereby amended as set forth in this Amendment
      Number Three, effective, except as noted above, as of March 28,
      2005.

    

    COMMUNITY
      TRUST BANCORP, INC.

    

    By:
        /s/
      Jean
      R. Hale

    

    Title: Chairman,
      President, and CEO

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    AMENDMENT
      NUMBER FOUR

    TO
      THE

    COMMUNITY
      TRUST BANCORP, INC.

    SAVINGS
      AND EMPLOYEE STOCK OWNERSHIP PLAN

    

    Pursuant
      to the powers of amendment reserved in Section 20.1 of the Community Trust
      Bancorp, Inc. Savings and Employee Stock Ownership Plan, as amended and restated
      effective January 1, 1999 (the “Plan”), Community Trust Bancorp, Inc. hereby
      amends the Plan as follows:

    

    1.

    Section
      4.1 of the Plan is amended by adding a new sentence between the fourth and
      fifth
      sentences to read as follows: 

    “The
      Plan
      may use any reasonable method for computing the income or loss allocable to
      excess Salary Deferral Contributions, provided that the method does not violate
      Code Section 401(a)(4), is used consistently for all Participants and for all
      corrective distributions under the Plan for the Plan Year, and is used by the
      Plan for allocating income to Participants’ accounts. The Plan may also elect to
      use a method of allocating Plan Year or gap period income as specified under
      Treasury Regulation section 1.402(g)-1, as such regulation may be finalized
      or
      Treasury Regulation section 1.401(k)-2(b)(2)(iv). Gap period income need only
      be
      included to the extent the Participant is or would be credited with allocable
      gain or loss on those excess deferrals for such gap period, if the total account
      were to be distributed.”

     

    2.

    Section
      4.3 of the Plan is amended by inserting
      a new paragraph to the end thereof to read as follows:
      

    “The
      Plan
      may use any reasonable method for computing the income or loss allocable to
      excess contributions, provided that the method does not violate Code Section
      401(a)(4), is used consistently for all Participants and for all corrective
      distributions under the Plan for the Plan Year, and is used by the Plan for
      allocating income to Participants’ accounts. Alternatively, the Plan may elect
      to use a method of allocating Plan Year or gap period income specified under
      Treasury Regulation Section 1.401(k)-2(b)(2)(iv). Gap period income need only
      be
      included to the extent the Participant is or would be credited with allocable
      gain or loss on those excess contributions for such gap period, if the total
      account were to be distributed.” 

     

    3.

    Section
      4.4 of the Plan is amended by inserting
      a new paragraph in-between the first and second paragraphs to read as
      follows:
      

    “For
      purposes of this Section, the actual deferral percentage for any Participant
      who
      is a Highly Compensated Employee and who is eligible to have elective deferrals
      allocated to his or her accounts under two or more arrangements described in
      Code Section 401(k), that are maintained by the Employer (or of any trade or
      business, whether or not incorporated, which is considered to be under common
      control with the Employer under regulations prescribed by the Secretary of
      the
      Treasury pursuant to Code Section 414(c)), shall be determined as if such
      elective deferrals were made under a single plan. If a Highly Compensated
      Employee participates in two or more cash or deferred arrangements that have
      different plan years, all elective deferrals made during the Plan Year under
      all
      such plans and arrangements shall be aggregated.”

     

    4.

    Section
      5.1 of the Plan is amended by inserting
      the following sentence to the end thereof:
      

    “Effective
      with respect to Plan Years commencing after December 31, 2006, and contingent
      upon the creation of a separate employee stock ownership plan effective as
      of
      January 1, 2007, no contributions shall be made by the Employer under this
      Section 5.1(a).”

     

    5.

    Section
      5.3 of the Plan is amended by inserting
      the following sentence to the end thereof:

    “Any
      Qualified Non-Elective Contributions made by the Employer under this Section
      5.3
      that are made to correct any ADP or ACP failure shall comply with the
      requirements set forth in Treasury Regulation section 1.401(k)-2(a)6) or
      1.401(m)-2(a)(6), as in effect on January 1, 2006.” 

     

    6.

    Section
      5.5 of the Plan is amended by inserting
      the following paragraph to the end thereof:

    “The
      Plan
      may use any reasonable method for computing the income or loss allocable to
      excess aggregate contributions, provided that the method does not violate Code
      Section 401(a)(4), is used consistently for all Participants and for all
      corrective distributions under the Plan for the Plan Year, and is used by the
      Plan for allocating income to Participants’ accounts. Alternatively, the Plan
      may elect to use a method of allocating Plan Year or gap period income specified
      under Treasury Regulation Section 1.401(m)-2(b)(2)(iv). Gap period income need
      only be included to the extent the Participant is or would be credited with
      allocable gain or loss on those excess aggregate contributions for such gap
      period, if the total account were to be distributed.”

     

    7.

    Section
      5.6 of the Plan is amended by inserting
      the following sentence to the end thereof:

    “For
      purposes of this Section, the actual contribution percentage for any Participant
      who is a Highly Compensated Employee and who is eligible to participate in
      more
      than one plan described in Code Section 401(a), or arrangements described in
      Code Section 401(k), that are maintained by the Employer (or of any trade or
      business, whether or not incorporated, which is considered to be under common
      control with the Employer under regulations prescribed by the Secretary of
      the
      Treasury pursuant to Code Section 414(c)), shall be determined as if the total
      of such contribution percentage amounts were made under a single plan. If a
      Highly Compensated Employee participates in two or more cash or deferred
      arrangements that have different plan years, all contribution percentage amounts
      made during the Plan Year under all such plans and arrangements shall be
      aggregated.” 

     

    8.

    Section
      15.2(c)(ii) of the Plan is amended by deleting that section in its entirety
      and
      replacing it with the following: 

    “(ii) the
      Participant has obtained all distributions (other than hardship distributions),
      including any distributions of ESOP dividends under Code Section 404(k), and
      all
      non-taxable loans, currently available under the Plan and under all plans
      maintained by the Employer;”

     

    

    IN
      WITNESS WHEREOF, the Plan is hereby amended as set forth in this Amendment
      Number Four, effective, except as noted above, as of January 1,
      2006.

    

    COMMUNITY
      TRUST BANCORP, INC.

    

    By:
        /s/
      Jean
      R. Hale

    

    Title: Chairman,
      President, and CEOCTBI Form 10-K as of December 31, 2006 Exhibit 10.7

    EXHIBIT
      10.7

    
 

    

    

    

    

    COMMUNITY
      TRUST BANCORP, INC.

    

    SENIOR
      MANAGEMENT INCENTIVE

    COMPENSATION
      PLAN

    

    EFFECTIVE
      JANUARY 1, 2007

    

    

    ARTICLE
      I

    OBJECTIVES

    

    

    Section
      1.01

    This
      plan
      is designed to reward senior management for meeting or exceeding industry
      standards for profitability and adopted to achieve the following
      objectives:

    

    (a) Increase
      the profitability and growth of Community Trust Bancorp, Inc. in a manner which
      is consistent with other goals of the Company, its stockholders and its
      employees,

    

    (b) Provide
      executive compensation which is competitive with other financial
      institutions,

    

    (c) Attract
      and retain personnel of outstanding ability and encourage excellence in the
      performance of individual responsibilities,

    

    (d) Motivate
      and reward those members of management who contribute to the success of the
      Company,

    

    (e) Distinguish
      among the performance contributions of some individuals by providing financial
      recognition for individual performance, as well as group performance,
      and

    

    (f) Allow
      the
      flexibility which permits revision and strengthening from time to time to
      reflect changing organizational goals and objectives.

    

    ARTICLE
      II

    

    DEFINITIONS

    

    Section
      2.01

    As
      used
      herein, the following words and phrases shall have the meanings below unless
      the
      context clearly indicates otherwise:

    

    (a) “Annual
      Incentive Plan”
or
      “Annual
      Plan”
shall
      mean the Senior Management Incentive Compensation Plan set forth in this
      document and all amendments thereto.

    

    (b) “Award
      Period”
means
      one Fiscal Year.

    

    (c) “Board”
means
      the Board of Directors of Community Trust Bancorp, Inc.

    

    (d) “Company”
means
      Community Trust Bancorp, Inc., and its subsidiaries.

    

    (e) “Compensation
      Committee”
means
      the Compensation Committee of the Board.

    

    (f) “Disability”
means
      the total and permanent disability of a participant as defined by any Long-Term
      Disability Plans in effect for the Company and as thereafter may be
      amended.

    

    (g) “Effective
      Date”
means
      the date upon which the Plan shall become effective.

    

    (h) “Fiscal
      Year”
means
      the accounting period adopted by the Company for federal income tax
      purposes.

    

    (i) “Participant”
means
      a person designated by the Company to participate in the Plan.

    

    (j) “Plan”
shall
      mean the Company’s Senior Management Incentive Compensation Plan.

    

    (k) “Salary”
or
      “Salaries”
shall
      mean the base salary in effect for each participant as of the last pay period
      in
      December of the Award Period.

    

    (l) “Stock
      Option”
shall
      mean Stock Options granted under the Community Trust Bancorp, Inc. 1998 Stock
      Option Plan as hereinafter may be amended including substitutions or
      replacements of the Plan. Such options shall be Incentive Stock Options to
      the
      extent possible under tax laws in effect at the time the option is
      awarded.

     

    ARTICLE
      III

     

    ADMINISTRATION
      OF THE PLAN

    

    

    Section
      3.01

    The
      Compensation Committee shall administer the Plan and employ such other agents
      as
      may reasonably be required to administer the Plan.

    

    Section
      3.02

    The
      Compensation Committee shall adopt such rules and regulations of general
      application as are beneficial for the administration of the Plan and shall
      make
      all discretionary decisions involving a participant of the Plan. Said committee
      shall also have the right to interpret the Plan, to determine the Effective
      Date, and to approve all employees who are to participate in the
      Plan.

    

    Section
      3.03

    A
      majority of the Compensation Committee shall constitute a quorum. The acts
      of a
      majority of the members present at any meeting at which there is a quorum shall
      be valid acts. Acts reduced to and approved in writing by a majority of said
      committee shall also be valid acts.

    

    Section
      3.04

    All
      incentive compensation payable under the Plan shall be paid from the general
      assets of the Company. To the extent that any person acquires a right to receive
      payments under the Plan, such right shall be no greater than the right of any
      unsecured creditor of the Company.

    

    Section
      3.05

    The
      Compensation Committee may authorize the Chairman, President and CEO of the
      Company to send a written notice of such Plan to each selected Participant.
      No
      person shall have the right to be included in the Plan until receiving said
      notice in
      the
      form of Attachment "A" hereto.

    

    Section
      3.06

    All
      costs
      and expenses involved in the administration of this Plan shall be paid by the
      Company.

    

    Section
      3.07

    Any
      determination or action of the Compensation Committee or the Board shall be
      final, conclusive and binding on all participants and their beneficiaries,
      heirs, personal representatives, executors and administrators.

    

    Section
      3.08

    The
      Board
      of Directors, in its sole discretion, may amend, modify or terminate the Plan
      at
      any time. The Board shall also annually review the pre-determined performance
      standards and may amend such schedules in its sole discretion.

     

    ARTICLE
      IV

     

    PARTICIPANT
      ELIGIBILITY

    

    Section
      4.01

    The
      following groups shall participate in the Plan:

    

    (a) Group
      I
      shall consist of the Executive Committee of the Corporation.

    

    (b) Group
      II
      shall consist of the (1)CTB officers responsible for the divisions of Commercial
      Lending, Consumer Lending, Residential Real Estate Lending, Finance, Sales
      and
      Marketing, Human Resources, Compliance, Facilities Management and (2) the
      Presidents of each market

     

    (c) 
Group
      III
      shall consist of Senior Vice Presidents of consolidated functions who are
      selected for participation by the Compensation Committee.

    

    (d)
      Individuals below SVP level may be recommended and approved by the Compensation
      Committee for special awards of options for extraordinary
      performance.

     

    Section
      4.02

    Voluntary
      or involuntary termination of full-time employment of a Participant prior to
      the
      payment of incentive awards for an Award Period will result in such Participant
      forfeiting any incentive compensation for the Award Period (except as provided
      in Section 4.03 herein).

    

    Section
      4.03

    If
      a
      Participant dies, retires, becomes disabled, or is granted a leave of absence
      during an Award Period, the Compensation Committee may, at its discretion or
      under such rules as it may have prescribed, award partial incentive compensation
      based on the level of achievement in relation to goals established for the
      Award
      Period.

    

    Section
      4.04

    Directors
      who are also employees of the Company shall be eligible to participate in the
      Plan. However, a director who is compensated on the basis of a fee or retainer,
      as distinguished from a salary, shall not be eligible.

    

    Section
      4.05

    New
      employees of the Company and persons promoted during the Award Period who were
      not eligible to participate in the Plan at the beginning of the Award Period,
      but have become a member of Group I, II, or III shall participate in the Plan
      so
      long as such eligibility came into existence no later than six (6) months after
      the beginning of said Award Period. If a person becomes eligible at a date
      later
      than six (6) months into an Award Period, such person shall not be a Participant
      under this Plan until the first day of the next Award Period.

    

     

    ARTICLE
      V

     

    PAYMENT
      TO PARTICIPANTS

    

    

    Section
      5.01

    Incentive
      compensation to be awarded under the Plan shall be paid to Participants within
      thirty days after the close of the Award Period. Awards are not earned until
      paid to Participants.

    

    Section
      5.02

    A
      Participant may elect to defer payment of all or part of his or her incentive
      compensation so long as the Participant requests such deferred payment under
      the
      terms of the Company’s Voluntary Deferred Compensation Plan.

     

    ARTICLE
      VI

     

    DETERMINATION
      OF ANNUAL AWARD FUND

    

    

    Section
      6.01

    The
      Annual Incentive Plan fund for each group shall be generated by a percent of
      the
      aggregate salaries for the individuals in each group. The target award fund
      shall be computed as shown in Table I below:

     

    TABLE
      I

     

    TARGET
      ANNUAL AWARD FUND

    

    
      	
              GROUP

            	
              AGGREGATE
                SALARIES

            	
              TARGET
                AWARD EXPRESSED

              AS
                A % OF SALARIES

            	
              TARGET
                ANNUAL AWARD FUND

            
	 	 	 	 
	
              I

            	
              $____________

            	
              X
                10% =

            	
              $____________

            
	 	 	 	 
	
              II

            	
              $____________

            	
              X
                9% =

            	
              $____________

            
	 	 	 	 
	
              III

            	
              $____________

            	
              X
                8.5% =

            	
              $____________

            
	 	 	 	 
	 	 	 	 

    

    

    Section
      6.02

    The
      actual amount of the Senior Management Incentive Compensation Plan award fund
      shall be calculated according to a schedule comparing Earnings Per Share and
      ROAA for the Award Period to a pre-determined performance standard. When
      performance is at or above the performance standard, the actual award fund
      is
      adjusted upward from the target award fund.

    

    Section
      6.03

    There
      shall be a minimum acceptable performance beneath which no incentive awards
      are
      paid (sometimes referred to as the “threshold”) and a maximum above which there
      is no additional award paid to avoid excessive payout in the event of windfall
      profits. Said minimum and maximum shall be reviewed annually and amended when
      necessary in the sole discretion of the Compensation Committee.

    

    Section
      6.04

    A
      Participant who is rated a "4" or "5" on the most recent Performance Appraisal
      and Development Plan shall not be eligible to receive an award under the
      Plan.

     

     

    ARTICLE
      VII

     

    CALCULATION
      OF AWARD

    

    

    Section
      7.01

    The
      Corporation’s (Group I) will earn an award determined by Earnings Per Share, as
      shown below:

    

    

    TABLE
      I

    

    2007
      ANNUAL CASH INCENTIVE COMPENSATION AWARD

    INITIAL
      CALCULATION

    

    Group
      I -
      Executive Committee of Community Trust Bancorp, Inc.

    

    

    
      	
               

              *
                Target/ROAA

            	
              Award
                As A % of Target Award

            	
              Award
                As A % of Salary

            
	 	 	
              Group
                I

            
	
              ROAA

            	 	 
	 	 	 
	
              Base
                1.27%

            	
              100%

            	
              10%

            
	 	 	 
	
              1.31%

            	
              200%

            	
              20%

            
	 	 	 
	
              1.35%

            	
              300%

            	
              30%

            
	 	 	 
	
              1.39%

            	
              400%

            	
              40%

            
	 	 	 
	
              1.43%+

            	
              600%

            	
              60%

            
	 	 	 

    

    

    
      	·  	
              For
                2007, 100% of Targeted (Base) ROAA and $ 2.45 earnings per share
                is
                required for an incentive to be earned.

            

    

    
      	·  	
              These
                results are after accrual of the
                incentive.

            

    

    Section
      7.02

    The
      Corporation’s (Group II) will earn an award determined by Earnings Per Share, as
      shown below:

    

    

    TABLE
      II

    

    2007
      ANNUAL CASH INCENTIVE COMPENSATION AWARD

    INITIAL
      CALCULATION

    

    Group
      II
      - Consolidated Division Officers of CTBI and Market
      Presidents

    

    
      	
              EPS
                as A % of

              *
                Target/ROAA

            	
              Award
                As A % of

              Target
                Award

            	
              Award
                As A % of Salary

            
	 	 	
              Group
                II

            
	
              ROAA

            	 	 
	 	 	 
	
              Base 1.27%

            	
              100%

            	
              9%

            
	
              1.31%

            	
              133%

            	
              12%

            
	
              1.35%

            	
              200%

            	
              18%

            
	
              1.39%

            	
              275%

            	
              25%

            
	
               

               1.43%+

            	
               

              333%

            	
               

              30%

            

    

     

    
      	·  	
              For
                2007, 100% of the targeted (Base) ROAA and $ 2.45 earnings per share
                is
                required for an incentive to be earned.

            

    

    
      	·  	
              These
                results are after accrual of the
                incentive.

            

    

     

    Section
      7.03

    Senior
      Vice Presidents of consolidated functions designated by the Compensation
      Committee will earn an award primarily determined by earnings per share, as
      shown below:

    

    TABLE
      III

    

    2007
      ANNUAL CASH INCENTIVE COMPENSATION AWARD

    INITIAL
      CALCULATION

    

    Group
      III
      - Senior Vice Presidents of Consolidated Functions

    

    
      	
              EPS
                as A % of

              *
                Target/ROAA

            	
              Award
                As A % of

              Target
                Award

            	
              Award
                As A % of Salary

            
	 	 	
              Group
                V

            
	
              ROAA

            	 	 
	 	 	 
	
              Base 1.27%

            	
              100%

            	
              8.5%

            
	
              1.31%

            	
              118%

            	
              10%

            
	
              1.35%

            	
              176%

            	
              15%

            
	
              1.39%

            	
              235%

            	
              20%

            
	
              1.43%+

            	
              294%

            	
              25%

            

    

    

    
      	·  	
              For
                2007, 100% of the targeted (Base) ROAA and $2.45 earnings per share
                is
                required to earn an incentive.

            

    

    
      	·  	
              These
                results are after accrual of the
                incentive.

            

    

    

    Section
      7.04

    Participants
      in Groups I, II, and III shall be eligible to receive Stock Options awards
      on
      the same day that cash awards are paid under the terms of this Plan. Such Stock
      Options shall have a face value equal to the percentage of salary shown on
      Table
      IV below, adjusted in the same manner and in the same proportion as cash awards
      are adjusted under the terms of Sections 7.01, 7.02, and 7.03, and rounded
      down
      as necessary to grant an option for whole shares.

    

    TABLE
      IV

    

    2007
      SENIOR MANAGEMENT INCENTIVE COMPENSATION PLAN

    STOCK
      OPTION AWARDS

    

    
      	
              EPS
                as A % of

              *
                Target/ROAA

            	
              Stock
                Option Award

              As
                A % of Salary

            
	 	
              Group
                I

            	
              Group
                II

            	
              Group
                III

            
	
              ROAA

            	 	 	 
	 	 	 	 
	
              Base
                1.27%

            	
              100%

            	
              50%

            	
              25%

            
	 	 	 	 
	
              1.31%

            	
              125%

            	
              60%

            	
              30%

            
	 	 	 	 
	
              1.35%

            	
              150%

            	
              70%

            	
              35%

            
	 	 	 	 
	
              1.39%

            	
              175%

            	
              80%

            	
              40%

            
	 	 	 	 
	
              1.43%+

            	
              200%

            	
              100%

            	
              50%

            

    

     

    
      	·  	
              For
                2007, 100% of Targeted (Base) ROAA and $2.45 earnings per share is
                required for an incentive to be earned.

            

    

    
      	·  	
              These
                results are after accrual of the
                incentive.

            

    

    

     

    ARTICLE
      VIII

     

    MISCELLANEOUS
      PROVISIONS

    

     

    Section
      8.01

    If
      the
      financial performance of the Company for any Fiscal Year taken into account
      for
      determination of an award is found to be incorrect by the Company's independent
      certified public accountants and was more than the correct amount, there shall
      be no recourse by the Company against any person or estate. However, the Company
      shall have the right to correct such error by reducing by the excess amount
      any
      subsequent payments yet to be made under the Plan.

    

    Section
      8.02

    The
      Compensation Committee may elect to remove unusual, extraordinary or
      non-recurring items from the calculation of the Earnings Per Share.

    

    Section
      8.03

    The
      Company shall not merge into or consolidate with another entity or sell all
      or
      substantially all of its assets to another entity unless such other entity
      shall
      become obligated to perform the terms and conditions hereof relating to any
      awards already earned but not yet paid to the participant on his/her
      behalf.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ATTACHMENT
      A

    

    

    NOTICE
      OF PARTICIPATION

    

    

    is
      eligible for participation in the 2007 Plan Year for Community Trust Bancorp,
      Inc. Senior Management Incentive Compensation Plan, such participant being
      subject to all of the terms and conditions of said Plan.

    

    

    Compensation
      Committee of the Board of Directors

     

    BY:
      ___________________________________

     

    Dated:
      ____________________

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ATTACHMENT
      B

     

    DESIGNATION
      OF BENEFICIARY

    

    I,                         , a
      participant in the Community Trust Bancorp, Inc. Senior Management Incentive
      Compensation Plan, name the following as my primary beneficiary under said
      Plan
      in the event of my death prior to receiving an award payable to me under said
      Plan.

     

    Name:

     

    Relationship:

     

    Address:

    

    If
      the
      primary beneficiary predeceases me, I designate the following persons as a
      contingent beneficiary, in the order shown, to receive an award payable to
      me
      under the Plan:

     

    Name:

     

    Relationship:

     

    Address:

    

    Name:

     

    Relationship:

     

    Address:

     

    Name:

     

    Relationship:

     

    Address:

    

    This
      supersedes any previous beneficiary designation made by me with respect to
      this
      Plan. However, any compensation covered by the Community Trust Bancorp, Inc.
      Voluntary Deferred Compensation Plan shall be governed by the Beneficiary
      Designation applicable to that Plan.

    

    Date:

     

    Signature
      of Participant:

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