Document:

Exhibit 10.3

 

Fairport Savings Bank

Supplemental Executive Retirement Plan

 

The Fairport Savings
Bank (the “Employer”) hereby establishes this Fairport Savings Bank Supplemental Executive Retirement Plan (the “SERP”
or the “Plan”) effective February 15, 2006. This Plan is intended to qualify as a “top hat”
plan maintained primarily for purposes of providing benefits for a select group of management and highly compensated employees
within the meaning of Sections 201(2), 301(a)(3) and 401(a)(1) of the Employee Retirement Income Security Act of 1974, as amended (and
all rulings and regulations thereunder (“ERISA”)). It is intended to comply with Internal Revenue Code Section 409A
and the regulation promulgated thereto.

 

ARTICLE I

GENERAL

 

	1.1	Purpose of the Plan. The purpose of this Plan is to reward certain management and highly compensated employees of the Employer who have contributed to the Employer’s success and are expected to continue to contribute to such success in the future.

 

	1.2	Plan Benefits Generally. Pursuant to the Plan, the Employer may provide to each Participant such benefit as provided on the terms and conditions contained in the Plan and the Participant’s individual Participation Agreement.

 

	1.3	Effective Date. The effective date of the Plan is January 1, 2006.

 

ARTICLE II

DEFINITIONS

 

	2.1	Accrued SERP Benefit. Accrued SERP Benefit means, with respect to each Participant, the amount of accrued benefit for the Participant at the time of termination.

 

	2.2	Accrued SERP Obligation. Accrued SERP Obligation means, with respect to each Participant, the amount of the Employer’s contingent liability to pay the Accrued SERP Benefit to such Participant.

 

	2.3	Administrator. Administrator means the Employer as defined herein.

 

	2.4	Beneficiary. Beneficiary means the person or persons designated by a Participant as his beneficiary in accordance with the provisions of Article V and subject to the Participation Agreement.

 

	2.5	Board. Board means the Board of Directors of the Employer.

 

	2.6	Cause. Cause shall have the meaning set forth in Section 4.2.

 

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        2.7
	Change in Control. Provided that such definition shall be interpreted in a manner that is consistent with Code Section 409A and Treasury regulations thereunder, a “Change of Control” of the Employer shall mean the first to occur of any of the following:

 

	 	(a)	the date that any one person or persons acting as a group acquires ownership of Employee stock constituting more than fifty percent (50%) of the total fair market value or total voting power of the Employer;

 

	 	(b)	the date that any one person or persons acting as a group acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition by such person or persons) ownership of the stock of the Employer possessing thirty-five percent (35%) or more of the total voting power of the stock of the Employer;

 

	 	(c)	the date that any one person or persons acting as a group acquires assets from the Employer that have a total gross fair market value equal to or more than forty percent (40%) of the total gross fair market value of all of the assets of the Employer immediately prior to such acquisition; or

 

	 	(d)	the date that a majority of members of the Employer’s Board is replaced during any 12-month period by directors whose appointment or election is not endorsed by a majority of the members of the Board prior to the date of the appointment or elections.

 

	2.8	Employer. Employer means Fairport Savings Bank.

 

	2.9	ERISA. ERISA means the Employee Retirement Income Security Act of 1974, as amended from time to time.

 

	2.10	Executive. Executive means a management or highly compensated employee of the Employer designated by the Administrator as eligible to participate in the Plan.

 

	2.11	Normal Retirement. Normal Retirement means separation from service by a Participant’s for any reason other than for Cause after such Participant has reached his Normal Retirement Age. A separation from service with the Employer shall be a Participant termination within the meaning of Code Section 409A(a)(2)(A)(i) and regulations thereunder.

 

	2.12	Normal Retirement Age. Normal Retirement Age means the normal retirement age set forth in the Participant’s Participation Agreement.

 

	2.13	Participant. Participant means any Executive who elects to participate in the Plan by entering into a Participation Agreement in accordance herewith. The Administrator may, from time to time in its sole discretion, with Cause, revoke a Participant’s participation in the Plan upon ninety (90) days’ written notice. The Administrator may from time to time, in its sole discretion without Cause, revoke a Participant’s participation. A revocation without Cause shall not reduce any benefits to which the Participant and the Administrator have agreed the Participant is entitled to at the time of such without Cause revocation

 

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        2.14
	Participation Agreement. Participation Agreement means a written agreement between the Employer and a Participant, pursuant to which the Employer agrees to make SERP Benefit payments in accordance with the Plan and the Participation Agreement. Each Participation Agreement shall contain such information, terms and conditions as the Administrator in its discretion may specify, including without limitation, the following:

 

	 	(a)	the effective date of the Participant’s participation in the Plan;

 

	 	(b)	the Participant’s Normal Retirement Age;

 

	 	(c)	the SERP Benefits to which the Participant is entitled under the Plan and, the form such benefits are to be paid in (i.e. installments or lump sum);

 

	 	(d)	the identity of the Participant’s Beneficiary; and

 

	 	(e)	any other provisions which supplement the terms and conditions contained in the Plan and which are not inconsistent with the terms and conditions of the Plan.

 

	2.15	Plan. Plan means this Fairport Savings Bank Supplemental Executive Retirement Plan, as the same may be amended from time to time.

 

	2.16	SERP Benefit. SERP Benefit means, with respect to each Participant, an annual cash benefit in the amount determined pursuant to the Participant’s Participation Agreement, minus any offset amounts specified therein.

 

	2.17	Vesting. The Participant’s ownership rights in the SERP Benefit shall arise, or vest, solely with the occurrence of those conditions precedent to Vesting as contained in the Participation Agreement.

 

	2.18	Year of Service. Year of Service shall have the meaning as set forth in the Participant’s Participation Agreement.

 

ARTICLE
III

ELIGIBILITY
AND PARTICIPATION

 

	3.1	Eligibility. The Administrator, in its sole discretion, shall from time to time determine those Executive(s) who shall be eligible to participate in the Plan.

 

	3.2	Participation. Each Executive who is eligible to participate in the Plan shall enroll in the Plan by entering into a Participation Agreement and completing such other forms and furnishing such other information as the Administrator may request. An Executive’s participation in the Plan shall commence as of the date specified in the Participation Agreement.

 

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ARTICLE
IV

BENEFITS

 

	4.1	SERP Benefit. Each Participant, subject to the terms and conditions of his Participation Agreement, shall become entitled to receive such benefits as set forth in the executed Participation Agreement.

 

	4.2	Establishment of SERP Accounts. The Employer shall keep on its books, an Accrued SERP Obligation Account in the name of each Participant which account shall reflect the Accrued SERP Obligation payable to each Participant. Commensurate with any increase Accrued SERP Obligation under the terms of any Participation Agreement, the Employer shall credit to the Accrued SERP Obligation Account of each Participant an amount equal to the such increase in the Employer’s Accrued SERP Obligation with respect to such Participant. In no event shall a Participant’s Accrued SERP Obligation Account be credited with income, gain or appreciation in any form, nor debited with any loss, depreciation or expense. Title to and beneficial interest of any assets, whether in cash or investments, which the Employer may set aside or earmark to meet its Accrued SERP Obligation hereunder shall at all times remain in the Employer and no Participant or beneficiary shall under any circumstances acquire any property interest in any specific asset of the Employer.

 

	4.3	No Benefits Payable Upon Termination for Cause. Notwithstanding anything herein or in the Participation Agreement to the contrary, no benefits shall be payable, at the discretion of the Employer, to any Participant who is terminated from his or her employment with the Employer for Cause. For purposes hereof, a Participant whose employment is terminated for any of the following reasons shall be regarded as having been terminated for Cause:

 

	 	(a)	engaging in willful or grossly negligent misconduct that is materially injurious to the Employer;

 

	 	(b)	embezzlement or misappropriation of funds or property of the Employer;

 

	 	(c)	conviction of a felony or the entrance of a plea of guilty or nolo contendere to a felony;

 

	 	(d)	conviction of any crime involving fraud, dishonesty, moral turpitude or breach of trust or the entrance of a plea of guilty to such a crime;

 

	 	(e)	failure or refusal by the Participant to devote full business time and attention to the performance of his or her duties and responsibilities if such breach has not been cured within fifteen (15) days after notice is given to the Participant;

 

	 	(f)	issuance of a final non-appealable order or other direction by a Federal or state regulatory agency  prohibiting the Participant’s employment in the business of banking; or

 

	 	(g)	violation of an non-compete or non-solicitation agreements.

 

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        4.4
	Distributions to Specified Employee.

 

	 	(a)	If any employee is a “Specified Employee,” as defined in subsection (b) below, upon a termination of employment for any reason other than Disability or death, a distribution may not be made before the date which is 6 (six) months after the date of separation from service (or, if earlier, the date of death of the employee).

 

	 	(b)	A “Specified Employee” means a key employee (as defined in Code Section 416(i) without regard to paragraph (5) thereof) of a corporation any stock in which is publicly traded on an established securities market or otherwise.

 

ARTICLE
V

BENEFICIARY

 

	5.1	Beneficiary. For purposes of this section, the Participant’s executed Participation Agreement shall dictate the Participant’s rights and responsibilities regarding the Participant’s Beneficiary.

 

ARTICLE
VI

PLAN
ADMINISTRATION

 

	6.1	Administration.

 

	 	(a)	General. The Plan shall be administered by the Administrator. The Administrator shall have sole and absolute discretion to interpret where necessary all provisions of the Plan and each Participation Agreement (including, without limitation, by supplying omissions from, correcting deficiencies in, or resolving inconsistencies or ambiguities in, the language of the Plan, a Participation Agreement, or between the Plan and a Participation Agreement), to determine the rights and status under the Plan of Participants or other persons, to resolve questions or disputes arising under the Plan and to make any determinations with respect to the benefits payable under the Plan and the persons entitled thereto as may be necessary for the purposes of the Plan. The Administrator’s determination of the rights of any Executive or former Executive hereunder shall be final and binding on all persons, subject only to the claims procedures outlined in Article 7 hereof.

 

	 	(b)	Delegation of Duties. The Administrator may delegate any of its administrative duties, including, without limitation, duties with respect to the processing, review, investigation, approval and payment of benefits payable hereunder, to a named administrator or administrators.

 

	6.2	Regulations. The Administrator may promulgate any rules and regulations it deems necessary in order to carry out the purposes of the Plan or to interpret the provisions of the Plan; provided, however, that no rule, regulation or interpretation shall be contrary to the provisions of the Plan. The rules, regulations and interpretations made by the Administrator shall, subject only to the claims procedure outlined in Article 7 hereof, be final and binding on all persons.

 

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        6.3
	Revocability of Administrator/Employer Action. Any action taken by the Administrator with respect to the rights or benefits under the Plan of any Executive or former Executive shall be revocable by the Administrator as to payments not yet made to such person in order to correct any incorrect payment to a Participant or a Beneficiary, and then only to the extent necessary to correct such error. Acceptance of any benefits under the Plan constitutes acceptance of, and agreement to, the Administrator’s making any appropriate adjustments in future payments to such person (or to recover from such person) any excess payment or underpayment previously made to such person.

 

	6.4	Amendment.

 

(a)      Right
to Amend. The Employer, by written instrument, shall have the right to amend the Plan at any time and with respect to any provisions
hereof, and all parties hereto or claiming any interest hereunder shall be bound by such amendment; provided, however, that no
such amendment shall deprive the Participant or any Beneficiary(ies) of a rights accrued hereunder prior to the date of the amendment,
including the right to receive the payment of his or her benefit upon a benefit entitlement event, or earlier as provided herein.

 

(b)      Amendment
Required by Law. Notwithstanding the provisions of Section 6.4(a), the Plan may be amended at any time, retroactively if required,
if found necessary, in the opinion of the Board of the Employer, in order to ensure that the Plan is characterized as a non-tax-qualified
plan of deferred supplemental retirement compensation maintained for members of a select group of Executives and thus exempt from
ERISA and incompliance with all other provisions under the Internal Revenue Code of 1986, as amended from time to time, (“Code”)
as such provisions relate to the original purpose of this Plan, supplemental retirement income to the Participant(s) and/or other
related Plan and Employer objectives.

 

	6.5	Termination.

 

(a)      Employer’s
Right to Terminate Plan. The Employer reserves the right, at any time, to terminate the Plan; provided however, that no such termination
shall deprive the Participant or any beneficiary of a right accrued hereunder prior to the date of termination and provided
that, upon termination, the Participant shall become fully and immediately vested in his or her SERP Benefit. In the event
that this Plan is terminated, the distribution of the Participant’s SERP Benefit shall not be accelerated but shall be paid
at such time and in such manner as determined under the terms of the Plan and Participation Agreement immediately prior to termination
as if the Plan had not been terminated. Notwithstanding anything to the contrary contained herein, the Employer, in its sole discretion,
may distribute all Participants’ SERP Benefit no earlier than twelve (12) calendar months from the date of the Plan termination
and no later than twenty-four (24) calendar months from the date of the Plan termination, provided that the Employer also satisfies
any additional requirements as may be imposed by Code Section 409A and regulations thereunder.

 

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(b)      Automatic
Termination of Plan. The Plan shall terminate automatically upon the dissolution of the Employer; provide however, that no such
termination shall deprive the Participant or Beneficiary of a right accrued hereunder prior to the date of termination and provided
that, upon termination, the Participant shall become fully and immediately vested in his or her SERP Benefit. Distribution shall
occur pursuant to Section 6.5(a).

 

(c)      Change
in Control Termination. The Employer may decide in its discretion to terminate the Plan in the event a Change in Control (as defined
in Section 2.6) and distribute Participant’s SERP Benefit within twelve (12) months of the effective date of the Change
in Control as allowed by law. Any corporation or other business organization that is a successor to the Employer by reason of a
Change in Control shall have the right to become a party to the Plan by adopting the same by resolution of the entity’s board
of directors or other appropriate governing body. If within thirty (30) days from the effective date of the Change in Control such
new entity does not become a party hereto, as above provided, the full amount of the Participant’s SERP Benefit shall become
immediately distributable to the Participant in a lump sum.

 

	6.6	Withholding. The Employer shall deduct from any distributions hereunder any taxes or other amounts required by law to be withheld therefrom.

 

ARTICLE
VII

CLAIMS
ADMINISTRATION

 

	7.1	General. If a Participant, Beneficiary or his or her representative is denied all or a portion of an expected Plan benefit for any reason and the Participant, Beneficiary or his or her representative desires to dispute the decision of the Administrator, he/she must file a written notification of his or her claim with the Administrator.

 

	7.2	Claims Procedure. Upon receipt of any written claim for benefits, the Administrator shall be notified and shall give due consideration to the claim presented. If any Participant or Beneficiary claims to be entitled to benefits under the Plan and the Administrator determines that the claim should be denied in whole or in part, the Administrator shall, in writing, notify such claimant within ninety (90) days of receipt of the claim that the claim has been denied. The Administrator may extend the period of time for making a determination with respect to any claim for a period of up to ninety (90) days, provided that the Administrator determines that such an extension is necessary because of special circumstances and notifies the claimant, prior to the expiration of the initial ninety (90) day period, of the circumstances requiring the extension of time and the date by which the Plan expects to render a decision. If the claim is denied to any extent by the Administrator, the Administrator shall furnish the claimant with a written notice setting forth:

 

	 	(a)	the specific reason or reasons for denial of the claim;

 

	 	(b)	a specific reference to the Plan provisions on which the denial is based;

 

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	 	 	(c)	a description of any additional material or information necessary for the claimant to perfect the claim and an explanation of why such material or information is necessary; and

 

	 	(d)	an explanation of the provisions of this Article.

 

	7.3	Right of Appeal. A claimant who has a claim denied under Section 7.2 may appeal to the Administrator for reconsideration of that claim. A request for reconsideration under this section must be filed by written notice within sixty (60) days after receipt by the claimant of the notice of denial under Section 7.2.

 

	7.4	Review of Appeal. Upon receipt of an appeal the Administrator shall promptly take action to give due consideration to the appeal. Such consideration may include a hearing of the parties involved, if the Administrator feels such a hearing is necessary. In preparing for this appeal the claimant shall be given the right to review pertinent documents and the right to submit in writing a statement of issues and comments. After consideration of the merits of the appeal the Administrator shall issue a written decision which shall be binding on all parties subject to Section 7.7 below. The decision shall specifically state its reasons and pertinent Plan provisions on which it relies. The Administrator’s decision shall be issued within sixty (60) days after the appeal is filed, except that the Administrator may extend the period of time for making a determination with respect to any claim for a period of up to sixty (60) days, provided that the Administrator determines that such an extension is necessary because of special circumstances and notifies the claimant, prior to the expiration of the initial sixty (60) day period, of the circumstances requiring the extension of time and the date by which the Plan expects to render a decision.

 

	7.5	Designation. The Administrator may designate any other person of its choosing to make any determination otherwise required under this Article. Any person so designation shall have the same authority and discretion granted to the Administrator hereunder.

 

	7.6	Litigation Costs. If a claimant brings a lawsuit for benefits hereunder, to enforce any right hereunder or for other relief arising out of the terms of the Plan, the costs and expenses of litigation by any party shall be borne by the losing party. The prevailing party shall recover as expenses all reasonable attorney’s fees incurred by it in connection with the proceedings or any appeals therefrom.

 

	7.7	Arbitration. A claimant whose appeal has been denied under Section 7.4 shall have the right to submit said claim to final and binding arbitration in the Commonwealth of Massachusetts pursuant to the rules of the American Arbitration Association. Any such requests for arbitration must be filed by written demand to the American Arbitration Association within sixty (60) days after receipt of the decision regarding the appeal. The costs and expenses of arbitration, including the fees of the arbitrators, shall be borne by the losing party. The prevailing party shall recover as expenses all reasonable attorney’s fees incurred by it in connection with the arbitration proceeding or any appeals therefrom.

 

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ARTICLE
VIII

MISCELLANEOUS

 

	8.1	Administrator. The Administrator is expressly empowered to interpret the Plan and to determine all questions arising in the administration, interpretation, and application of the Plan; to employ actuaries, accountants, counsel, and other persons it deems necessary in connection with the administration of the Plan; to request any information from the Employer it deems necessary to determine whether the Employer would be considered insolvent or subject to a proceeding in bankruptcy; and to take all other necessary and proper actions to fulfill its duties as Administrator. The Administrator is relieved of all responsibility in connection with its duties hereunder to the fullest extent permitted by law, except any breach of duty to the Participants or Beneficiaries. If any individual person shall have been delegated the duties or responsibilities as Administrator, such person shall not be liable for any actions by him or her hereunder unless due to his or her own gross negligence or willful misconduct and shall be indemnified and saved harmless by the Employer from and against all personal liability to which he or she may be subject by reason of any act done or omitted to be done in his or her official capacity as Administrator in good faith in the administration of the Plan, including all expenses reasonably incurred in his or her defense in the event the Employer fails to provide such defense upon the request.

 

	8.2	No Assignment. No benefit under the Plan or a Participation Agreement shall be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, or charge, and any such action shall be void for all purposes of the Plan or a Participation Agreement. No benefit shall in any manner be subject to the debts, contracts, liabilities, engagements, or torts of any person, nor shall it be subject to attachments or other legal process for or against any person.

 

	8.3	No Employment Rights. Participation in this Plan and execution of a Participation Agreement shall not be construed to confer upon any Participant the legal right to be retained in the employ of the Employer, or give a Participant or Beneficiary, or any other person, any right to any payment whatsoever, except to the extent of the benefits provided for hereunder. Each Participant shall remain subject to discharge to the same extent as if this Plan had never been adopted and the Participation Agreement had never been executed.

 

	8.4	Incompetence. If the Administrator determines that any person to whom a benefit is payable under this Plan is incompetent by reason of physical or mental disability, the Administrator shall have the power to cause the payments becoming due to such person to be made to another individual for the Participant’s benefit without responsibility of the Administrator to see to the application of such payments. Any payment made pursuant to such power shall, as to such payment, operate as a complete discharge of the Employer, the Administrator, and their representatives.

 

	8.5	Identity. If, at any time, any doubt exists as to the identity of any person entitled to any payment hereunder or the amount or time of such payment, the Administrator shall be entitled to hold such sum until such identity or amount or time is determined or until an order of a court of competent jurisdiction is obtained. The Administrator shall also be entitled to pay such sum into court in accordance with the appropriate rules of law. Any expenses incurred by the Employer or Administrator incident to such proceeding or litigation shall be charged against the SERP Benefit of the affected Participant.

 

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         8.6
	No Liability. No liability shall attach to or be incurred by any employee of the Employer or Administrator individually under or by reason of the terms, conditions, and provisions contained in this Plan, or for the acts or decisions taken or made hereunder or in connection therewith; and, as a condition precedent to the establishment of this Plan or the receipt of benefits hereunder, or both, such liability, if any, is expressly waived and released by each Participant and by any and all persons claiming under or through any Participant or any other person. Such waiver and release shall be conclusively evidenced by any act or participation in or the acceptance of benefits or the making of any election under this Plan.

 

	8.7	Expenses. Except as otherwise provided in the Plan, all expenses incurred in the administration of the Plan shall be paid by the Employer.

 

	8.8	Amendment and Termination. The Employer shall have the sole authority to modify, amend, or terminate this Plan subject to those limitations provided hereinabove.

 

	8.9	Employer Determinations. Any determinations, actions, or decisions of the Employer (including but not limited to, Plan amendments and Plan termination) shall be made by the Board in accordance with its established procedures or by such other individuals, groups, or organizations that have been properly delegated by the Board to make such determination or decision.

 

	8.10	Construction. All questions of interpretation, construction or application arising under or concerning the terms of this Plan and any Participation Agreement shall be decided by the Administrator, in its sole and final discretion, whose decision shall be final, binding and conclusive upon all persons.

 

	8.11	Governing Law. To the extent not preempted by federal law, this Plan shall be governed by, construed and administered under the laws of the State of New York.

 

	8.12	Severability. Should any provision of the Plan or any regulations adopted hereunder be deemed or held to be unlawful or invalid for any reason, such fact shall not adversely affect the other provisions or regulations unless such invalidity shall render impossible or impractical the functioning of the Plan and, in such case, the appropriate parties shall immediately adopt a new provision or regulation to take the place of the one held illegal or invalid.

 

	8.13	Headings. The headings contained in the Plan are inserted only as a matter of convenience and for reference and in no way define, limit, enlarge, or describe the scope or intent of this Plan nor in any way shall they affect this Plan or the construction of any provision thereof.

 

	8.14	Terms. Capitalized terms shall have meanings as defined herein. Singular nouns shall be read as plural, masculine pronouns shall be read as feminine, and vice versa, as appropriate.

 

	8.15	Ownership of Assets; Relationship with Employer. Nothing contained in the Plan, and no action taken pursuant to its provisions, shall create or be construed to create a trust of any kind or a fiduciary relationship between the Employer and any Participant or any other person. To the extent that any person acquires a right to receive payments from the Employer under this Plan, such right shall be no greater than the right of an unsecured general creditor of the Employer.

 

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        8.16
	Deposits in Trust.  The Employer may, at its sole discretion, establish with a corporate trustee a grantor rabbi trust under which all or a portion of the assets of the Plan are to be held, administered and managed. The trust agreement evidencing the trust shall conform with the terms of Revenue Procedure 92-64 or any successor procedure. The Employer in its sole discretion may make deposits to augment the principal of such trust.

 

	8.17	Right of Setoff. The Employer may, to the extent permitted by applicable law, deduct from and setoff against any amounts payable to a Participant from this Plan such amounts as may be owed by a Participant to the Employer, although the Participant shall remain liable for any part of the Participant’s payment obligation not satisfied through such deduction and setoff; provided, however, that this setoff may occur only at the date on which the amount would otherwise be distributed to the Participant as required by Code Section 409A. By electing to participate in the Plan, the Participant agrees to any deduction or setoff under this Section 8.17.

 

	8.18	409A Compliance. This Plan will, at all times, be operated in good faith compliance with Code Section 409A of the Code in accordance with Internal Revenue Service Notice 2005-1 and proposed regulations thereunder (and any subsequent IRS notices or guidance). In the event that any provision of this Plan is inconsistent with Code Section 409A or such guidance, then the applicable provisions of Code Section 409A shall supersede such provision. Nothing herein shall be construed as an entitlement to our guarantee of any particular tax treatment to a Participant.

 

	 	IN WITNESS WHEREOF, the Employer has executed this Supplemental Executive Retirement Plan this 28 day of April, 2006.

 

	 	Fairport Savings Bank	 
	 	 	 	 
	 	By:  	/s/ Dana C. Gavenda	 
	 	 	 	 
	 	Title: 	President & CEOExhibit 10.4

 

	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

FAIRPORT SAVINGS BANK

SUPPLEMENTAL EXECUTIVE RETIREMENT AGREEMENT

 

This SUPPLEMENTAL EXECUTIVE
RETIREMENT AGREEMENT (this “Agreement”) is entered into this 30 day of July, 2010, by and between
Fairport Savings Bank, a savings association located in Fairport, New York (the “Bank”), and Kevin Maroney
(the “Executive”).

 

The purpose of this Agreement
is to provide specified benefits to the Executive, a member of a select group of management or highly compensated employees who
contribute materially to the continued growth, development and future business success of the Bank. This Agreement shall be unfunded
for tax purposes and for purposes of Title I of the Employee Retirement Income Security Act of 1974 (“ERISA”), as amended
from time to time.

 

Article 1

Definitions

 

Whenever used in this Agreement,
the following words and phrases shall have the meanings specified:

 

		1.1	“Accrual Balance” means the liability that should be accrued by the Bank, under
Generally Accepted Accounting Principles (“GAAP”), for the Bank’s obligation to the Executive under this Agreement,
by applying Accounting Principles Board Opinion Number 12 as amended by Statement of Financial Accounting Standards Number 106
and the Discount Rate. Any one of a variety of amortization methods may be used to determine the Accrual Balance. However, once
chosen, the method must be consistently applied.

 

		1.2	“Beneficiary” means each designated person or entity, or the estate of the deceased
Executive entitled to benefits, if any, upon the death of the Executive.

 

		1.3	“Beneficiary Designation Form” means the form established from time to time
by the Plan Administrator that the Executive completes, signs and returns to the Plan Administrator to designate one or more Beneficiaries.

 

		1.4	“Board” means the Board of Directors of the Bank as from time to time constituted.

 

		1.5	“Change in Control” means a change in the ownership or effective control of
the Bank, or in the ownership of a substantial portion of the assets of the Bank, as such change is defined in Code Section 409A
and regulations thereunder.

 

		1.6	“Code” means the Internal Revenue Code of 1986, as amended, and all regulations
and guidance thereunder, including such regulations and guidance as may be promulgated after the Effective Date.

 

    	 	1	 

     

    

 

	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

		1.7	“Disability” means the Executive: (i) is unable to engage in any substantial
gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death
or can be expected to last for a continuous period of not less than twelve (12) months; or (ii) is, by reason of any medically
determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous
period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than three (3) months
under an accident and health plan covering employees or directors of the Bank. Medical determination of Disability may be made
by either the Social Security Administration or by the provider of disability insurance covering employees or directors of the
Bank provided that the definition of “disability” applied under such insurance program complies with the requirements
of the preceding sentence. Upon the request of the Plan Administrator, the Executive must submit proof to the Plan Administrator
of the Social Security Administration’s or the provider’s determination.

 

		1.8	“Discount Rate” means the rate used by the Plan Administrator for determining
the Accrual Balance. The initial Discount Rate is six percent (6%). However, the Plan Administrator, in its discretion, may adjust
the Discount Rate to maintain the rate within reasonable standards according to GAAP and/or applicable bank regulatory guidance.

 

		1.9	“Early Termination” means the Executive’s Separation from Service before
attainment of Normal Retirement Age except when such Separation from Service occurs within twenty-four (24) months following a
Change in Control or due to death, Disability or termination for Cause.

 

		1.10	“Effective Date” means August 1, 2010.

 

		1.11	“Normal Retirement Age” means the Executive’s age sixty-five (65).

 

		1.12	“Plan Administrator” means the Board or such committee or person as the Board
shall appoint.

 

		1.13	“Plan Year” means each twelve (12) month period commencing on January 1 and
ending on December 31 of each year. The initial Plan Year shall commence on the Effective Date of this Agreement and end on the
following December 31.

 

		1.14	“Separation from Service” means termination of the Executive’s employment
with the Bank for reasons other than death. Whether a Separation from Service has occurred is determined in
accordance with the requirements of Code Section 409A based on whether the facts and circumstances indicate that the Bank
and Executive reasonably anticipated that no further services would be performed after a certain date or that the level of bona
fide services the Executive would perform after such date (whether as an employee or as an independent contractor) would permanently
decrease to no more than twenty percent (20%) of the average level of bona fide services performed (whether as an employee or an
independent contractor) over the immediately preceding thirty-six (36) month period

 

    	 	2	 

     

    

 

	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

(or the full period of services
to the Bank if the Executive has been providing services to the Bank less than thirty-six (36) months).

 

		1.15	“Specified Employee” means an employee who at the time of Separation from Service
is a key employee of the Bank, if any stock of the Bank is publicly traded on an established securities market or otherwise. For
purposes of this Agreement, an employee is a key employee if the employee meets the requirements of Code Section 416(i)(1)(A)(i),
(ii), or (iii) (applied in accordance with the regulations thereunder and disregarding section 416(i)(5)) at any time during the
twelve (12) month period ending on December 31 (the “identification period”). If the employee is a key employee during
an identification period, the employee is treated as a key employee for purposes of this Agreement during the twelve (12) month
period that begins on the first day of April following the close of the identification period.

 

Article 2

Distributions During Lifetime

		2.1	Normal Retirement Benefit. Upon Separation from Service after attaining Normal Retirement
Age, the Bank shall distribute to the Executive the benefit described in this Section 2.1 in lieu of any other benefit under this
Article.

 

			

		2.1.1	Amount of Benefit. The annual benefit under this Section 2.1 is Thirty Thousand Dollars
($30,000). 

 

		2.1.2	Distribution of Benefit. The Bank shall distribute the annual benefit to the Executive in
twelve (12) equal monthly installments commencing on the first day of the month following Separation from Service. The annual benefit
shall be distributed to the Executive for fifteen (15) years.

 

		2.2	Early Termination Benefit. If Early Termination occurs, the Bank shall distribute to the
Executive the benefit described in this Section 2.2 in lieu of any other benefit under this Article.

 

		2.2.1	Amount of Benefit. The benefit under this Section 2.2 is one hundred percent (100%) of the
Accrual Balance determined as of the end of the month preceding Separation from Service.

 

		2.2.2	Distribution of Benefit. The Bank shall distribute the benefit to the Executive in a lump
sum on the first day of the month following Separation from Service.

 

		2.3	Disability Benefit. If the Executive experiences a Disability which results in Separation
from Service prior to Normal Retirement Age, the Bank shall distribute to the Executive the benefit described in this Section 2.3
in lieu of any other benefit under this Article.

 

		2.3.1	Amount of Benefit. The benefit under this Section 2.3 is one hundred percent (100%)
of the Accrual Balance determined as of the end of the month preceding

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

such Separation from Service.

 

		2.3.2	Distribution of Benefit. The Bank shall distribute the benefit to the Executive in a lump
sum on the first day of the month following Separation from Service.

 

		2.4	Change in Control Benefit. If a Change in Control occurs, followed within twenty-four (24)
months by Separation from Service prior to Normal Retirement Age, the Bank shall distribute to the Executive the benefit described
in this Section 2.4 in lieu of any other benefit under this Article.

 

		2.4.1	Amount of Benefit. The benefit under this Section 2.4 is one hundred percent (100%)
of the Accrual Balance determined as of the end of the month preceding such Separation from Service.

 

		2.4.2	Distribution of Benefit.  The Bank shall distribute the benefit to the Executive
in a lump sum on the first day of the month following Separation from Service.

 

		2.5	Restriction on Commencement of Distributions.  Notwithstanding any provision of this
Agreement to the contrary, if the Executive is considered a Specified Employee, the provisions of this Section 2.5 shall govern
all distributions hereunder. If benefit distributions which would otherwise be made to the Executive due to Separation from Service
are limited because the Executive is a Specified Employee, then such distributions shall not be made during the first six (6) months
following Separation from Service. Rather, any distribution which would otherwise be paid to the Executive during such period shall
be accumulated and paid to the Executive in a lump sum on the first day of the seventh month following Separation from Service.
All subsequent distributions shall be paid in the manner specified.

 

		2.6	Distributions Upon Taxation of Amounts Deferred. If, pursuant to Code Section 409A, the
Federal Insurance Contributions Act or other state, local or foreign tax, the Executive becomes subject to tax on the amounts deferred
hereunder, then the Bank may make a limited distribution to the Executive in a manner that conforms to the requirements of Code
section 409A. Any such distribution will decrease the Executive’s benefits distributable under this Agreement.

 

		2.7	Change in Form or Timing of Distributions.  For distribution of benefits under this
Article 2, the Executive and the Bank may, subject to the terms of Section 8.1, amend this Agreement to delay the timing or change
the form of distributions.  Any such amendment:

 

		(a)	may not accelerate the time or schedule of any distribution, except as provided in Code Section
409A;

		(b)	must, for benefits distributable under Sections 2.1, 2.2, 2.3 and 2.4, delay the commencement of
distributions for a minimum of five (5) years from the date the first distribution was originally scheduled to be made; and

		(c)	must take effect not less than twelve (12) months after the amendment is

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

made.

 

		2.8	Limited Cash out. If upon Separation from Service the present value of the benefits to be
paid, together with any other amounts treated as having been deferred under a single nonqualified deferred compensation plan with
this Plan under Treas. Reg. §1.409A-1(c)(2), is not greater than the acceptable dollar amount under Code section 402(g)(1)(B),
then in lieu of any other benefits under this Agreement, and notwithstanding any provisions of this Article 2 or Article 3, the
Bank shall pay an amount equal to the entire present value to the Executive.

 

Article 3

Distribution at Death

 

		3.1	Death During Active Service. If the Executive dies prior to Separation from Service, the
Bank shall distribute to the Beneficiary the benefit described in this Section 3.1. This benefit shall be distributed in lieu of
any benefit under Article 2.

 

		3.1.1	Amount of Benefit. The benefit under this Section 3.1 is one hundred percent (100%) of the
Accrual Balance determined as of the end of the month preceding such death.

 

		3.1.2	Distribution of Benefit. The Bank shall distribute the benefit to the Beneficiary in a lump
sum on the first day of the month following the Executive’s death. The Beneficiary shall be required to provide to the Bank
the Executive’s death certificate.

 

		3.2	Death During Distribution of a Benefit. If the Executive dies after any benefit distributions
have commenced under this Agreement but before receiving all such distributions, the Bank shall distribute to the Beneficiary the
remaining benefits at the same time and in the same amounts they would have been distributed to the Executive had the Executive
survived. The Beneficiary shall be required to provide to the Bank the Executive’s death certificate.

 

Article 4

Beneficiaries

 

		4.1	In General. The Executive shall have the right, at any time, to designate a Beneficiary
to receive any benefit distributions under this Agreement upon the death of the Executive. The Beneficiary designated under this
Agreement may be the same as or different from the beneficiary designated under any other plan of the Bank in which the Executive
participates.

 

		4.2	Designation. The Executive shall designate a Beneficiary by completing and signing the Beneficiary
Designation Form and delivering it to the Plan Administrator or its designated agent. If the Executive names someone other than
the Executive’s spouse as a Beneficiary, the Plan Administrator may, in its sole discretion, determine that spousal

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

consent is required to be provided
in a form designated by the Plan Administrator, executed by the Executive’s spouse and returned to the Plan Administrator.
The Executive's beneficiary designation shall be deemed automatically revoked if the Beneficiary predeceases the Executive or if
the Executive names a spouse as Beneficiary and the marriage is subsequently dissolved. The Executive shall have the right to change
a Beneficiary by completing, signing and otherwise complying with the terms of the Beneficiary Designation Form and the Plan Administrator’s
rules and procedures. Upon the acceptance by the Plan Administrator of a new Beneficiary Designation Form, all Beneficiary designations
previously filed shall be cancelled. The Plan Administrator shall be entitled to rely on the last Beneficiary Designation Form
filed by the Executive and accepted by the Plan Administrator prior to the Executive’s death.

 

		4.3	Acknowledgment. No designation or change in designation of a Beneficiary shall be effective
until received, accepted and acknowledged in writing by the Plan Administrator or its designated agent.

 

		4.4	No Beneficiary Designation. If the Executive dies without a valid beneficiary designation,
or if all designated Beneficiaries predecease the Executive, then the Executive’s spouse shall be the designated Beneficiary.
If the Executive has no surviving spouse, any benefit shall be paid to the Executive's estate.

 

		4.5	Facility of Distribution. If the Plan Administrator determines in its discretion that a
benefit is to be distributed to a minor, to a person declared incompetent or to a person incapable of handling the disposition
of that person’s property, the Plan Administrator may direct distribution of such benefit to the guardian, legal representative
or person having the care or custody of such minor, incompetent person or incapable person. The Plan Administrator may require
proof of incompetence, minority or guardianship as it may deem appropriate prior to distribution of the benefit. Any distribution
of a benefit shall be a distribution for the account of the Executive and the Beneficiary, as the case may be, and shall completely
discharge any liability under this Agreement for such distribution amount.

 

Article 5

General Limitations

 

		5.1	Suicide or Misstatement. No benefit shall be distributed if the Executive commits suicide
within two (2) years after the Effective Date, or if an insurance company which issued a life insurance policy covering the Executive
and owned by the Bank denies coverage (i) for material misstatements of fact made by the Executive on an application for such life
insurance, or (ii) for any other reason.

 

		5.2	Forfeiture Provision. Notwithstanding any provision of this Agreement to the contrary, no
benefits shall be payable to the Executive upon termination for Cause. For purposes of this Agreement any of the following reasons
shall be regarded as Cause:

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

		(a)	Engaging in willful or grossly negligent misconduct that
is materially injurious to the Bank;

 

		(b)	embezzlement or misappropriation of funds or property
of the Bank;

 

		(c)	conviction of a felony or the entrance of a plea of guilty
or nolo contender to a felony;

 

		(d)	conviction of any crime involving fraud, dishonesty,
moral turpitude or breach of trust or the entrance of a plea of guilty to such a crime;

 

		(e)	failure or refusal by the Executive to devote full business
time and attention to performance of the Executive’s duties and responsibilities if such a breach has not been cured within
fifteen (15) days after notice is given to the Executive;

 

		(f)	issuance of a final non-appealable order other direction
by a Federal or state regulatory agency prohibiting the Executive’s employment in the business of banking; or

 

		(g)	violation of a non-compete or non-solicitation agreement
between the Bank and the Executive.

 

Article 6

Administration of Agreement

 

		6.1	Plan Administrator Duties. The Plan Administrator shall
administer this Agreement according to its express terms and shall also have the discretion and authority to (i) make, amend, interpret
and enforce all appropriate rules and regulations for the administration of this Agreement and (ii) decide or resolve any and all
questions, including interpretations of this Agreement, as may arise in connection with this Agreement to the extent the exercise
of such discretion and authority does not conflict with Code Section 409A.

 

		6.2	Agents. In the administration of this Agreement, the Plan
Administrator may employ agents and delegate to them such administrative duties as the Plan Administrator sees fit, including acting
through a duly appointed representative, and may from time to time consult with counsel who may be counsel to the Bank.

 

		6.3	Binding Effect of Decisions. Any decision or action of
the Plan Administrator with respect to any question arising out of or in connection with the administration, interpretation or
application of this Agreement and the rules and regulations promulgated hereunder shall be final and conclusive and binding upon
all persons having any interest in this Agreement. 

 

		6.4	Indemnity of Plan Administrator. The Bank shall indemnify
and hold harmless the Plan 

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

Administrator
against any and all claims, losses, damages, expenses or liabilities arising from any action or failure to act with respect to
this Agreement, except in the case of willful misconduct by the Plan Administrator.

 

		6.5	Bank Information. To enable the Plan Administrator to perform its functions, the Bank shall
supply full and timely information to the Plan Administrator on all matters relating to the date and circumstances of the Executive’s
death or Separation from Service, and such other pertinent information as the Plan Administrator may reasonably require.

 

		6.6	Annual Statement. The Plan Administrator shall provide to the Executive, within one hundred
twenty (120) days after the end of each Plan Year, a statement setting forth the benefits to be distributed under this Agreement.

 

Article 7

Claims And Review Procedures

 

		7.1	Claims Procedure. An Executive or Beneficiary (“claimant”) who has not received
benefits under this Agreement that he or she believes should be distributed shall make a claim for such benefits as follows:

 

		7.1.1	Initiation – Written Claim. The claimant initiates a claim by submitting to the Plan
Administrator a written claim for the benefits. If such a claim relates to the contents of a notice received by the claimant, the
claim must be made within sixty (60) days after such notice was received by the claimant. All other claims must be made within
one hundred eighty (180) days of the date on which the event that caused the claim to arise occurred. The claim must state
with particularity the determination desired by the claimant.

 

		7.1.2	Timing of Plan Administrator Response. The Plan Administrator shall respond to such
claimant within ninety (90) days after receiving the claim. If the Plan Administrator determines that special circumstances require
additional time for processing the claim, the Plan Administrator can extend the response period by an additional ninety (90) days
by notifying the claimant in writing, prior to the end of the initial ninety (90) day period, that an additional period is required.
The notice of extension must set forth the special circumstances and the date by which the Plan Administrator expects to render
its decision.

 

		7.1.3	Notice of Decision. If the Plan Administrator denies part or all of the claim, the Plan
Administrator shall notify the claimant in writing of such denial. The Plan Administrator shall write the notification in a manner
calculated to be understood by the claimant. The notification shall set forth:

 

		(a)	The specific reasons for the denial;

		(b)	A reference to the specific provisions of this Agreement on which the denial is based;

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

		(c)	A description of any additional information or material necessary for the claimant to perfect the
claim and an explanation of why it is needed;

		(d)	An explanation of this Agreement’s review procedures and the time limits applicable to such
procedures; and

		(e)	A statement of the claimant’s right to bring a civil action under ERISA Section 502(a) following
an adverse benefit determination on review.

 

		7.2	Review Procedure. If the Plan Administrator denies part or all of the claim, the claimant
shall have the opportunity for a full and fair review by the Plan Administrator of the denial as follows:

 

		7.2.1	Initiation – Written Request. To initiate the review, the claimant, within sixty (60)
days after receiving the Plan Administrator’s notice of denial, must file with the Plan Administrator a written request for
review.

 

		7.2.2	Additional Submissions – Information Access. The claimant shall then have the opportunity
to submit written comments, documents, records and other information relating to the claim. The Plan Administrator shall also provide
the claimant, upon request and free of charge, reasonable access to, and copies of, all documents, records and other information
relevant (as defined in applicable ERISA regulations) to the claimant’s claim for benefits.

 

		7.2.3	Considerations on Review. In considering the review, the Plan Administrator shall take into
account all materials and information the claimant submits relating to the claim, without regard to whether such information was
submitted or considered in the initial benefit determination.

 

		7.2.4	Timing of Plan Administrator Response. The Plan Administrator shall respond in writing to
such claimant within sixty (60) days after receiving the request for review. If the Plan Administrator determines that special
circumstances require additional time for processing the claim, the Plan Administrator can extend the response period by an additional
sixty (60) days by notifying the claimant in writing, prior to the end of the initial sixty (60) day period, that an additional
period is required. The notice of extension must set forth the special circumstances and the date by which the Plan Administrator
expects to render its decision.

 

		7.2.5	Notice of Decision. The Plan Administrator shall notify the claimant in writing of its decision
on review. The Plan Administrator shall write the notification in a manner calculated to be understood by the claimant. The notification
shall set forth:

 

		(a)	The specific reasons for the denial;

		(b)	A reference to the specific provisions of this Agreement on which the denial is based;

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

		(c)	A statement that the claimant is entitled to receive, upon request and free of charge, reasonable
access to, and copies of, all documents, records and other information relevant (as defined in applicable ERISA regulations) to
the claimant’s claim for benefits; and

		(d)	A statement of the claimant’s right to bring a civil action under ERISA Section 502(a).

 

Article 8

Amendments and Termination

 

		8.1	Amendments. This Agreement may be amended only by a written agreement signed by the Bank
and the Executive. However, the Bank may unilaterally amend this Agreement to conform with written directives to the Bank from
its auditors or banking regulators or to comply with legislative changes or tax law, including without limitation Code Section
409A.

 

		8.2	Plan Termination Generally. This Agreement may be terminated only by a written agreement
signed by the Bank and the Executive. The benefit shall be the Accrual Balance as of the date this Agreement is terminated. Except
as provided in Section 8.3, the termination of this Agreement shall not cause a distribution of benefits under this Agreement.
Rather, upon such termination benefit distributions will be made at the earliest distribution event permitted under Article 2 or
Article 3.

 

		8.3	Plan Terminations Under Code Section 409A. Notwithstanding anything to the contrary in Section
8.2, if the Bank terminates this Agreement in the following circumstances:

 

		(a)	Within thirty (30) days before or twelve (12) months
after a Change in Control, provided that all distributions are made no later than twelve (12) months following such termination
of this Agreement and further provided that all the Bank's arrangements which are substantially similar to this Agreement
are terminated so the Executive and all participants in the similar arrangements are required to receive all amounts
of compensation deferred under the terminated arrangements within twelve (12) months of such termination;

		(b)	Upon the Bank’s dissolution or with the approval of a bankruptcy court provided that the
amounts deferred under this Agreement are included in the Executive's gross income in the latest of (i) the calendar year in which
this Agreement terminates; (ii) the calendar year in which the amount is no longer subject to a substantial risk of forfeiture;
or (iii) the first calendar year in which the distribution is administratively practical; or

		(c)	Upon the Bank’s termination of this and all other arrangements that would be aggregated with
this Agreement pursuant to Treasury Regulations Section 1.409A-1(c) if the Executive participated in such arrangements (“Similar
Arrangements”), provided that (i) the termination and liquidation does not occur proximate to a downturn in the financial
health of the Bank, (ii) all termination distributions are made no earlier than twelve (12) months and no later than twenty-four
(24) months following such termination, and (iii) the Bank does not

 

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	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

adopt any new arrangement that would
be a Similar Arrangement for a minimum of three (3) years following the date the Bank takes all necessary action to irrevocably
terminate and liquidate the Agreement;

 

the Bank may distribute the Accrual
Balance, determined as of the date of the termination of this Agreement, to the Executive in a lump sum subject to the above terms.

 

Article 9

Miscellaneous

 

		9.1	Binding Effect. This Agreement shall bind the Executive and the Bank and their beneficiaries,
survivors, executors, administrators and transferees.

 

		9.2	No Guarantee of Employment. This Agreement is not a contract for employment. It does not
give the Executive the right to remain as an employee of the Bank nor interfere with the Bank's right to discharge the Executive.
It does not require the Executive to remain an employee nor interfere with the Executive's right to terminate employment at any
time.

 

		9.3	Non-Transferability. Benefits under this Agreement cannot be sold, transferred, assigned,
pledged, attached or encumbered in any manner.

 

		9.4	Tax Withholding and Reporting. The Bank shall withhold any taxes that are required to be
withheld, including but not limited to taxes owed under Code Section 409A from the benefits provided under this Agreement. The
Executive acknowledges that the Bank’s sole liability regarding taxes is to forward any amounts withheld to the appropriate
taxing authorities. The Bank shall satisfy all applicable reporting requirements, including those under Code Section 409A.

 

		9.5	Applicable Law. This Agreement and all rights hereunder shall be governed by the laws of
the State of New York, except to the extent preempted by the laws of the United States of America.

 

		9.6	Unfunded Arrangement. The Executive and the Beneficiary are general unsecured creditors
of the Bank for the distribution of benefits under this Agreement. The benefits represent the mere promise by the Bank to distribute
such benefits. The rights to benefits are not subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge,
encumbrance, attachment or garnishment by creditors. Any insurance on the Executive's life or other informal funding asset is a
general asset of the Bank to which the Executive and Beneficiary have no preferred or secured claim.

 

		9.7	Reorganization. The Bank shall not merge or consolidate into or with another bank,
or reorganize, or sell substantially all of its assets to another bank, firm or person unless such succeeding or continuing bank,
firm or person agrees to assume and discharge the obligations of the Bank under this Agreement. Upon the occurrence of such an
event, the

 

    	 	11	 

     

    

 

	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

term “Bank” as used in
this Agreement shall be deemed to refer to the successor or survivor entity.

 

		9.8	Entire Agreement. This Agreement constitutes the entire agreement between the Bank
and the Executive as to the subject matter hereof. No rights are granted to the Executive by virtue of this Agreement other than
those specifically set forth herein.

 

		9.9	Interpretation. Wherever the fulfillment of the intent and purpose of this Agreement requires
and the context will permit, the use of the masculine gender includes the feminine and use of the singular includes the plural.

 

		9.10	Alternative Action. In the event it shall become impossible for the Bank or the Plan Administrator
to perform any act required by this Agreement due to regulatory or other constraints, the Bank or Plan Administrator may perform
such alternative act as most nearly carries out the intent and purpose of this Agreement and is in the best interests of the Bank,
provided that such alternative act does not violate Code Section 409A.

 

		9.11	Headings. Article and section headings are for convenient reference only and shall not control
or affect the meaning or construction of any provision herein.

 

		9.12	Validity. If any provision of this Agreement shall be illegal or invalid for any reason,
said illegality or invalidity shall not affect the remaining parts hereof, but this Agreement shall be construed and enforced as
if such illegal or invalid provision had never been included herein.

 

		9.13	Notice. Any notice or filing required or permitted to be given to the Bank or Plan Administrator
under this Agreement shall be sufficient if in writing and hand-delivered or sent by registered or certified mail to the address
below:

 

	Dana C. Gavenda
	45 S. Main St.
	Fairport, NY 14534

 

Such notice shall be deemed given
as of the date of delivery or, if delivery is made by mail, as of the date shown on the postmark on the receipt for registration
or certification.

 

Any notice or filing required or
permitted to be given to the Executive under this Agreement shall be sufficient if in writing and hand-delivered or sent by mail
to the last known address of the Executive.

 

		9.14	Deduction Limitation on Benefit Payments. If the Bank reasonably anticipates that the Bank’s
deduction with respect to any distribution under this Agreement would be limited or eliminated by application of Code Section 162(m),
then to the extent deemed necessary by the Bank to ensure that the entire amount of any distribution from this Agreement is deductible,
the Bank may delay payment of any amount that would otherwise be distributed under this Agreement. The delayed amounts shall be
distributed

 

    	 	12	 

     

    

 

	Fairport Savings Bank
	Supplemental Executive Retirement Agreement

 

to the Executive (or the Beneficiary
in the event of the Executive's death) at the earliest date the Bank reasonably anticipates that the deduction of the payment of
the amount will not be limited or eliminated by application of Code Section 162(m).

 

		9.15	Compliance with Section 409A. This Agreement shall be interpreted and administered consistent
with Code Section 409A.

 

IN WITNESS WHEREOF,
the Executive and a duly authorized representative of the Bank have signed this Agreement.

 

	EXECUTIVE:	 	BANK:
	 	 	 
	 	 	Fairport Savings Bank
	 	 	 	 
	/s/ Kevin D. Maroney	 	By: 	/s/
    Dana C. Gavenda
	Kevin Maroney	 	Title: 	President & CEO

 

    	 	13	 

     

    

 

FIRST AMENDMENT

 

TO THE

 

FAIRPORT SAVINGS
BANK

SUPPLEMENTAL EXECUTIVE
RETIREMENT

AGREEMENT

DATED JULY 30, 2010

FOR

KEVIN MARONEY

 

THIS FIRST
AMENDMENT is entered into this 7th day of October, 2011, by and between FAIRPORT
SAVINGS BANK (the “Bank”), a savings association located in Fairport, New York, and KEVIN MARONEY (the
“Executive”).

 

WHEREAS, the
Bank and the Executive executed the Supplemental Executive Retirement Agreement on July 30, 2010 (the “Agreement”);

 

WHEREAS, Article
8.1 of the Agreement provides that the Agreement may be amended upon mutual consent of the parties thereto; and

 

WHEREAS, the
parties now desire to amend the Agreement for the purpose of increasing the Normal Retirement Benefit from Thirty Thousand Dollars
($30,000) to Forty Thousand Dollars ($40,000);

 

NOW, THEREFORE,
it is agreed by and between the Bank and the Executive as follows:

Article 2.1.1 of
the Agreement shall be amended and replaced as follows:

 

2.1.1  Amount of Benefit.
The annual benefit under this Section 2.1 is Forty Thousand Dollars ($40,000).

 

IN WITNESS WHEREOF,
the parties have executed this First Amendment as of the date indicated above.

 

	EXECUTIVE:	 	BANK:
	 	 	FAIRPORT SAVINGS BANK
	 	 	 
	/s/ Kevin Maroney	 	/s/ Dana C. Gavenda
	Kevin Maroney	 	By:  Dana C. Gavenda
	 	 	Title:  President and CEO

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