Document:

EX-10.2

Exhibit
10.2

United States Department of the Treasury

1500 Pennsylvania Avenue, NW

Washington, D.C. 20220

February 27, 2009

Ladies and Gentlemen:

     Reference is made to that certain Letter Agreement incorporating the Securities Purchase
Agreement — Standard Terms dated of as of the date of this letter agreement (the “Securities
Purchase Agreement”) between United States Department of Treasury (“Investor”) and the company
named on the signature page hereto (the “Company”). Capitalized terms used but not defined herein
shall have the meanings assigned to them in the Securities Purchase Agreement.

     The American Recovery and Reinvestment Act of 2009, as it may be amended from time to time
(the “Act”), includes provisions relating to executive compensation and other matters that may be
inconsistent with the Securities Purchase Agreement, the Warrant and the Certificate[s] of
Designation (the “Transaction Documents”). Accordingly, Investor and the Company desire to confirm
their understanding as follows:

     1. Notwithstanding anything in the Transaction Documents to the contrary, in the event that
the Act or any rules or regulations promulgated thereunder are inconsistent with any of the terms
of the Transaction Documents, the Act and such rules and regulations shall control.

     2. For the avoidance of doubt (and without limiting the generality of Paragraph 1):

     (a) the provisions of Section 111 of the Emergency Economic Stabilization Act of 2008,
as amended by the Act or otherwise from time to time (“EESA”), shall apply to the Company;

     (b) the waiver to be delivered by each of the Company’s Senior Executive Officers
pursuant to Section 1.2(d)(v) of the Securities Purchase Agreement shall, in addition, be
delivered by any additional highly compensated employees required by applicable rules or
regulations under EESA; and

     (c) the Company’s chief executive officer and chief financial officer shall provide the
written certification of compliance by the Company with the requirements of Section 111 of
EESA in the manner specified by Section 111(b)(4) thereunder or in any rules or regulations
under EESA; and

     (d) the Company shall be permitted to repay preferred shares, and
when such preferred shares are repaid, the Investor shall liquidate warrants associated with such
preferred shares, all in accordance with the Act and any rules and regulations thereunder.

 

 

     From and after the date hereof, each reference in the Securities Purchase Agreement to “this
Agreement” or “this Securities Purchase Agreement” or words of like import shall mean and be a
reference to the Agreement (as defined in the Securities Purchase Agreement) as amended by this
letter agreement.

     This letter agreement will be governed by and construed in accordance with the federal law of
the United States if and to the extent such law is applicable, and otherwise in accordance with the
laws of the State of New York applicable to contracts made and to be performed entirely within such
State.

     This letter agreement, the Securities Purchase Agreement, the Warrant, the Certificate[s] of
Designation and any other documents executed by the parties at the Closing constitute the entire
agreement of the parties with respect to the subject matter hereof.

     Nothing in this letter agreement shall be deemed an admission by Investor as to the necessity
of obtaining the consent of the Company in order to effect the changes to the Transaction Documents
contemplated by this letter agreement, nor shall anything in this letter agreement be deemed to
require Investor to obtain the consent of any other TARP recipient (as defined in the Act)
participating in the Capital Purchase Program (the “CPP”) in order to effect changes to their
documentation under the CPP.

     This letter agreement may be executed in any number of separate counterparts, each such
counterpart being deemed to be an original instrument, and all such counterparts will together
constitute the same agreement. Executed signature pages to this letter agreement may be delivered
by facsimile and such facsimiles will be deemed sufficient as if actual signature pages had been
delivered.

[Remainder of this page intentionally left blank]

-2-

 

     In witness whereof, the parties have duly executed this letter agreement as of the date first
written above.

	 	 	 	 	 
	 	UNITED STATES DEPARTMENT OF

   THE TREASURY

 	 
	 	By:  	/s/ Neel Kashkari
 	 
	 	 	Name:  	Neel Kashkari 	 
	 	 	Title:  	Interim Assistant Secretary for

Financial Stability 	 
	 
	 	COMPANY: COMMUNITY FIRST, INC.

 	 
	 	By:  	/s/ Marc R. Lively
 	 
	 	 	Name:  	Marc R. Lively	 
	 	 	Title:  	President and Chief Executive Officer 	 
	 

Signature Page to Letter Agreement

-3-EX-10.3

Exhibit
10.3

UST Seq. No. 330

United States Department of the Treasury

1500 Pennsylvania Avenue, NW

Washington, D.C. 20220

February 27, 2009

Ladies and Gentlemen:

     Reference is made to that certain Letter Agreement incorporating the Securities Purchase
Agreement — Standard Terms dated as of the date of this letter agreement (the “Securities Purchase
Agreement”) between the United States Department of the Treasury (“Investor”) and the company named
on the signature page hereto (the “Company”). Investor and the Company desire to amend the
Securities Purchase Agreement as follows:

     1. Section 2.1(a) of the Securities Purchase Agreement is amended to read in its entirety as
follows:

     “(a) [Intentionally Omitted.]”

     2. Section 2.1(c) of the Securities Purchase Agreement is amended to read in its entirety as
follows:

     “(c) “Previously Disclosed” means information set forth or incorporated in the
Company’s Annual Report on Form 10-K for the most recently completed fiscal year of the
Company filed with the Primary Federal Securities Regulator prior to the execution and
delivery of this Agreement (the “Last Fiscal Year”) or in its other reports and forms filed
with or furnished to the Primary Federal Securities Regulator as contemplated under Sections
13(a), 14(a) or 15(d) of the Exchange Act on or after the last day of the Last Fiscal Year
and prior to the execution and delivery of this Agreement. “Primary Federal Securities
Regulator” means the SEC or the primary federal bank regulator with which the Company files
its reports, registration statements, proxy statements and other filings under the Exchange
Act. If the Company is required to make filings with a Primary Federal Securities Regulator
other than the SEC, all references in this Agreement to the SEC shall be deemed to refer to
the Company’s Primary Federal Securities Regulator.”

     3. The definition of “Registrable Securities” in Section 4.5(l)(iv) of the Securities Purchase
Agreement is amended by adding the following sentence at the end thereof:

“Notwithstanding anything in this Section 4.5(l)(iv) to the contrary, Registrable Securities
shall not include any securities of the Company that are referred to in Section 3(a) of the
Securities Act; provided, however, that in the event that the Company’s
Primary Federal Securities Regulator is not the SEC, the Company shall take such
actions (if any) as are provided for under such Primary Federal Securities Regulator’s rules
in order to permit the resale of Registrable Securities by the Holders in accordance with
such rules.”

 

 

     From and after the date hereof, each reference in the Securities Purchase Agreement to “this
Agreement” or words of like import shall mean and be a reference to the Agreement (as defined in
the Securities Purchase Agreement) as amended by this letter agreement and each reference in the
Securities Purchase Agreement to “this Securities Purchase Agreement” or words of like import shall
mean and be a reference to the Securities Purchase Agreement as amended by this letter agreement.

     This letter agreement will be governed by and construed in accordance with the federal law of
the United States if and to the extent such law is applicable, and otherwise in accordance with the
laws of the State of New York applicable to contracts made and to be performed entirely within such
State.

     This letter agreement may be executed in any number of separate counterparts, each such
counterpart being deemed to be an original instrument, and all such counterparts will together
constitute the same agreement. Executed signature pages to this letter agreement may be delivered
by facsimile and such facsimiles will be deemed sufficient as if actual signature pages had been
delivered.

[Remainder of this page intentionally left blank]

 

 

     In witness whereof, the parties have duly executed this letter agreement as of the date first
written above.

	 	 	 	 	 
	 	UNITED STATES DEPARTMENT OF
THE TREASURY

 	 
	 	By:  	/s/
Neel Kashkari 	 
	 	 	Name:  	Neel Kashkari 	 
	 	 	Title:  	Interim Assistant Secretary For Financial
Stability	 
	 
	 	COMPANY: COMMUNITY FIRST, INC.

 	 
	 	By:  	/s/
Marc R. Lively 	 
	 	 	Name:  	Marc R. Lively 	 
	 	 	Title:  	President and Chief Executive OfficerEX-10.4

Exhibit 10.4

February 27, 2009

Via Hand Delivery

Marc R. Lively

501 S. James M. Campbell Blvd.

Columbia, TN 38401

Dear Marc,

Community First, Inc. (the “Company”) anticipates entering into a Securities Purchase Agreement
(the “Participation Agreement”), with the United States Department of Treasury (“Treasury”) that
provides for the Company’s participation in the Treasury’s Capital Purchase Program (the “CPP”)
under the Troubled Assets Relief Program (“TARP”). If the Company does not participate or ceases at
any time to participate in the CPP, this letter shall be of no further force and effect.

For the Company to participate in the CPP and as a condition to the closing of the investment
contemplated by the Participation Agreement, the Company is required to establish specified
standards for incentive compensation to its senior executive officers and to make changes to its
compensation arrangements. To comply with these requirements, and in consideration of the benefits
that you will receive as a result of the Company’s participation in the CPP, you agree as follows:

	 	(1)	 	No Golden Parachute Payments. The Company is prohibiting any golden parachute
payment to you during any “CPP Covered Period”. A “CPP Covered Period” is any period
during which (A) you are a senior executive officer and (B) any obligation of the
Company arising from financial assistance provided under the TARP remains outstanding.
	 
	 	(2)	 	Recovery of Bonus and Incentive Compensation. Any bonus, retention award or
incentive compensation paid to you during the CPP Covered Period is subject to recovery
or “clawback” by the Company if the payments were based on statements of earnings,
revenues, gains, or other criteria that are later found to be materially inaccurate.
	 
	 	(3)	 	Prohibition on Bonus, Retention Award or Incentive Compensation. Except for
any bonus payment required to be paid to you pursuant to a written employment contract
executed on or before February 11, 2009, as such valid employment contracts are
determined by the Secretary of the Treasury or his designee, by regulation or
otherwise, the Company may not during the CPP Covered Period

 

 

Marc R. Lively

February 27, 2009

Page 2

	 	 	 	pay to you or accrue on your behalf any bonus, retention award or incentive
compensation except for long-term restricted stock that (i) does not fully vest
during the CPP Covered Period; (ii) has a value in an amount that is not greater
than 1/3 of your total amount of annual compensation; and (iii) is subject to such
other terms and conditions as the Secretary of Treasury may determine is in the
public interest.
	 
	 	(4)	 	Compensation Program Amendments. Each of the Company’s compensation, bonus,
incentive and other benefit plans, arrangements and agreements (including golden
parachute, severance and employment agreements) (collectively, “Benefit Plans”) with
respect to you is hereby amended to the extent necessary to give effect to provisions
(1), (2), and (3). For reference, certain affected Benefit Plans are set forth in
Appendix A to this letter.
	 
	 	 	 	In addition, the Company is required to review its Benefit Plans to ensure that they
exclude incentives for senior executive officers to take unnecessary and excessive
risks that threaten the value of the Company during the CPP Covered Period. To the
extent any such review requires revisions to any Benefit Plan with respect to you,
you and the Company agree to negotiate such changes promptly and in good faith.
	 
	 	(5)	 	Definitions and Interpretation. This letter shall be interpreted as follows:

	 	•	 	“Senior executive officer” means the Company’s “senior executive officers”
as defined in subsection 111(a)(1) of EESA.
	 
	 	•	 	“Golden parachute payment” is used with same meaning as in Section 111(a)(2)
of EESA.
	 
	 	•	 	“EESA” means the Emergency Economic Stabilization Act of 2008, as amended by
the American Recovery and Reinvestment Act of 2009, (the “ARRA”) and rules,
regulations, guidance or other requirements issued thereunder or agreement,
between the Company and Treasury with respect thereto (the “EESA
Restrictions”).
	 
	 	•	 	The term “Company” includes any entities treated as a single employer with
the Company under 31 C.F.R. § 30.1(b) (as in effect on the Closing Date). You
are also delivering a waiver pursuant to the Participation Agreement, and, as
between the Company and you, the term “employer” in that waiver will be deemed
to mean the Company as used in this letter.
	 
	 	•	 	Provisions (1), (2) and (3) of this letter are intended to, and will be
interpreted, administered and construed to, comply with Section 111 of EESA and
the EESA Restrictions (and, to the maximum extent consistent

2

 

Marc R. Lively

February 27, 2009

Page 3

	 	 	 	with the preceding, to permit operation of the Benefit Plans in accordance
with their terms before giving effect to this letter).

	 	(6)	 	Miscellaneous. To the extent not subject to federal law, this letter will be
governed by and construed in accordance with the laws of Tennessee. This letter may be
executed in two or more counterparts, each of which will be deemed to be an original. A
signature transmitted by facsimile or portable document format (“.pdf”) form will be
deemed an original signature.

3

 

Marc R. Lively

February 27, 2009

Page 4

The Board appreciates the concessions you are making and looks forward to your continued leadership
during these financially turbulent times.

Yours sincerely,

Community First, Inc.

	 	 	 	 	 
	By:  /s/
Dianne Scroggins

	 
	Name:

	 	 

Dianne Scroggins
	 	 
	Title:

	 	Chief Financial Officer	 	 

4

 

Marc R. Lively

February 27, 2009

Page 5

Intending to be legally bound, I agree with and accept the foregoing terms on the date set forth
below.

/s/  Marc
R. Lively

Marc R. Lively

Date: February 27, 2009

cc: Marc R. Lively, via Hand Delivery

5

 

Appendix A

Community First, Inc. 2005 Stock Incentive Plan, as amended, including all equity awards thereunder

Community First, Inc. Stock Option Plan, including all equity awards thereunder

Amended and Restated Employment Agreement, dated as of June 30, 2008, with Marc R. Lively

Change in Control Agreement, dated as of July 18, 2008, with Michael J. Saporito

Change in Control Agreement, dated as of July 18, 2008, with Carl B. Campbell

Change in Control Agreement, dated as of July 18, 2008, with Dianne Scroggins

Community First Bank and Trust 2006 Management Incentive Compensation Plan

Community First Bank and Trust Supplemental Executive Retirement Plan (including Participation
Agreements)

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