Document:

EX-10.1

 Exhibit 10.1 

FIRST AMERICAN FINANCIAL HOLDINGS, INC. 

2007 STOCK OPTION PLAN 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Tab	 
	 Section 1.
	 	 Purpose
	  	 	1	  
	 Section 2.
	 	 Definitions
	  	 	1	  
	 Section 3.
	 	 Administration
	  	 	4	  
	 Section 4.
	 	 Shares Available For Awards
	  	 	5	  
	 Section 5.
	 	 Eligibility
	  	 	6	  
	 Section 6.
	 	 Stock Options
	  	 	6	  
	 Section 7.
	 	 Performance Awards
	  	 	8	  
	 Section 8.
	 	 Non-Employee Director Awards
	  	 	8	  
	 Section 9.
	 	 Provisions Applicable To Covered Officers And Performance Awards
	  	 	8	  
	 Section 10.
	 	 Termination Of Employment
	  	 	10	  
	 Section 11.
	 	 Change In Control
	  	 	10	  
	 Section 12.
	 	 Amendment And Termination
	  	 	10	  
	 Section 13.
	 	 General Provisions
	  	 	11	  
	 Section 14.
	 	 Term Of The Plan
	  	 	13	  

 FIRST AMERICAN FINANCIAL HOLDINGS, INC. 

2007 STOCK OPTION PLAN 
 Section 1.
Purpose. 
 This plan shall be known as the “First American Financial Holdings, Inc. 2007 Stock Option Plan (the “Plan”).
The purpose of the Plan is to promote the interests of First American Financial Holdings, Inc., a Tennessee corporation (the “Company”), its Subsidiaries and its shareholders by (i) attracting and retaining key officers, employees,
and directors of, and consultants to, the Company and its Subsidiaries and Affiliates; (ii) motivating such individuals by means of performance-related incentives to achieve long-range performance goals; (iii) enabling such individuals to
participate in the long-term growth and financial success of the Company; (iv) encouraging ownership of stock in the Company by such individuals; and (v) linking their compensation to the long-term interests of the Company and its
shareholders. With respect to any awards granted under the Plan that are intended to comply with the requirements of “performance-based compensation” under Section 162(m) of the Code, the Plan shall be interpreted in a manner
consistent with such requirements. 
 Section 2. Definitions. 

As used in the Plan, the following terms shall have the meanings set forth below: 

(a) “Affiliate” shall mean (i) any entity that, directly or indirectly, is controlled by the Company, (ii) any
entity in which the Company has a significant equity interest, (iii) an affiliate of the Company, as defined in Rule 12b-2 promulgated under Section 12 of the Exchange Act, and (iv) any entity in which the Company has at least
twenty percent (20%) of the combined voting power of the entity’s outstanding voting securities, in each case as designated by the Board as being a participating employer in the Plan. 

(b) “Award” shall mean any Option or other award granted under the Plan to a Participant by the Committee (or the Board)
pursuant to such terms, conditions, restrictions and/or limitations, if any, as the Committee (or the Board) may establish or which are required by applicable legal requirements. 

(c) “Award Agreement” shall mean any written agreement, contract or other instrument or document evidencing any Award, which
may, but need not, be executed or acknowledged by a Participant. 
 (d) “Board” shall mean the Board of Directors of the
Company. 
 (e) “Cause” shall mean, unless otherwise defined in the applicable Award Agreement, (i) conduct by the
Participant that amounts to fraud, material dishonesty, gross negligence or willful misconduct in the performance of Participant’s duties hereunder; (ii) the conviction (from which no appeal may be, or is, timely taken) of the Participant
of a felony; (iii) the initiation of suspension or removal proceedings against the Participant by federal or state regulatory authorities acting under lawful authority pursuant to provisions of federal or state law or regulation which may be in
effect from time to time; (iv) violation of federal or state banking laws or regulations which is reasonably likely to have a material adverse effect on the Participant or the Company, its Subsidiaries or Affiliates; or (v) refusal to
perform a duly authorized and lawful directive of the Company’s Chief Executive Officer; provided, however, that with respect to the condition described in item (v) of the foregoing, no determination of Cause shall be made by the Committee
on such basis unless the Chief Executive Officer of the Company has provided written notice to the Participant of the existence of such condition and the Participant has 

 
been granted a reasonable opportunity to appear before the Committee in order to respond to such determination and the Participant fails to cure such condition within 30 calendar days following
receipt of notice. For purposes of this paragraph, no act, or failure to act, on the Participant’s part shall be considered “willful” unless done, or omitted to be done, by the Participant not in good faith and without reasonable
belief that the Participant’s action or omission was in the best interest of the Company. Any determination of Cause for purposes of the Plan or any Award shall be made by the Committee in its sole discretion. Any such determination shall be
final and binding on a Participant. 
 (f) “Change in Control” shall mean, unless otherwise defined in the applicable Award
Agreement, any of the following events: 
 (i) the acquisition by any Person or Persons acting in concert of the then
outstanding voting securities of the Company, if, after the transaction, the acquiring Person (or Persons) owns, controls or holds the power to vote twenty-five percent (25%) or more of any class of voting securities of the Company, as the case
may be; 
 (ii) within any twelve-month period (beginning on or after the date hereof) the persons who were directors
of the Company immediately before the beginning of such twelve-month period (the “Incumbent Directors”) shall cease to constitute at least a majority of such Board; provided that any director who was not a director as of the beginning of
such twelve-month period shall be deemed to be an Incumbent Director if that director were elected to such Board by, or on the recommendation or with the approval of, at least a majority of the directors who then qualified as Incumbent Directors;
and provided further that no director whose initial assumption of office is in connection with an actual or threatened election contest relating to the election of directors shall be deemed to be an Incumbent Director; 

(iii) a reorganization, merger, share exchange combination, or consolidation, with respect to which persons who were the
shareholders of the Company immediately prior to such reorganization, merger, share exchange combination, or consolidation do not, immediately thereafter, own more than fifty percent (50%) of the combined voting power entitled to vote in the
election of directors of the reorganized, merged, combined or consolidated company’s then outstanding voting securities; or; 

(iv) the sale, transfer or assignment of all or substantially all of the assets of the Company or its subsidiaries to
any third party. 
 (g) “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time. 

(h) “Committee” shall mean the Compensation Committee of the Board or such other committee as the Board may so designate, and
following an initial public offering by the Company, shall mean a committee of the Board composed of not less than two Non-Employee Directors, at least two of whom shall be (i) a “non-employee director” for purposes of Exchange Act
Section 16 and Rule 16b-3 thereunder, (ii) an “outside director” for purposes of Section 162(m) and the regulations promulgated under the Code, and each of whom shall be, subject to any applicable transitional rules for
newly public issuers, “independent” within the meaning of the listing standards of any national securities exchange on which the shares of Company Common Stick then trade. To the extent that compensation realized in respect of Awards is
intended to be “performance based” under Section 162(m) of the Code and the Committee is not comprised solely of individuals who are “outside directors” within the meaning of Section 162(m) of the Code, the Committee
may from time to time delegate some or all of its functions under the Plan to a committee or subcommittee composed of members that meet the relevant requirements. 

  
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 (i) “Consultant” shall mean any consultant to the Company or its Subsidiaries or
Affiliates. 
 (j) “Covered Officer” shall mean at any date (i) any individual who, with respect to the previous
taxable year of the Company, was a “covered employee” of the Company within the meaning of Section 162(m); provided, however, that the term “Covered Officer” shall not include any such individual who is designated by the
Committee, in its discretion, at the time of any Award or at any subsequent time, as reasonably expected not to be such a “covered employee” with respect to the current taxable year of the Company and (ii) any individual who is
designated by the Committee, in its discretion, at the time of any Award or at any subsequent time, as reasonably expected to be such a “covered employee” with respect to the current taxable year of the Company or with respect to the
taxable year of the Company in which any applicable Award will be paid or vested. 
 (k) “Director” shall mean a member of
the Board. 
 (l) “Disability” shall mean, unless otherwise defined in the applicable Award Agreement, a disability that
would qualify as a total and permanent disability under the Company’s then current long-term disability plan. 
 (m)
“Employee” shall mean a current or prospective officer or employee of the Company or of any Subsidiary or Affiliate. 
 (n)
“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended from time to time. 
 (o) “Fair Market
Value” with respect to the Shares, shall mean, for purposes of a grant of an Award as of any date, (i) the closing sales price of the Shares on the Nasdaq stock market, or any other such exchange on which the shares are traded, on such
date, or in the absence of reported sales on such date, the closing sales price on the immediately preceding date on which sales were reported or (ii) in the event there is no public market for the Shares on such date, the fair market value as
determined, in good faith, by the Board or Committee in its sole discretion (which, for purposes of a sale of a Share as of any date, the actual sales price on that date. 

(p) “Incentive Stock Option” shall mean an option to purchase Shares from the Company that is granted under
Section 6 of the Plan and that is intended to meet the requirements of Section 422 of the Code or any successor provision thereto. 

(q) “Non-Qualified Stock Option” shall mean an option to purchase Shares from the Company that is granted under
Sections 6 or 8 of the Plan and is not intended to be an Incentive Stock Option. 
 (r) “Non-Employee
Director” shall mean a member of the Board who is not an officer or employee of the Company or any Subsidiary or Affiliate. 

(s) “Option” shall mean an Incentive Stock Option or a Non-Qualified Stock Option. 

(t) “Option Price” shall mean the purchase price payable to purchase one Share upon the exercise of an Option. 

  
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 (u) “Participant” shall mean any Employee, Director, Consultant or other person
who receives an Award under the Plan. 
 (v) “Performance Award” shall mean any Award granted under Section 7
of the Plan. 
 (w) “Person” shall mean any individual, corporation, partnership, limited liability company, association,
joint-stock company, trust, unincorporated organization, government or political subdivision thereof or other entity. 
 (x)
“Retirement” shall mean, unless otherwise defined in the applicable Award Agreement, retirement of a Participant from the employ or service of the Company or any of its Subsidiaries or Affiliates in accordance with the terms of the
applicable Company retirement plan or, if a Participant is not covered by any such plan, retirement on or after such Participant’s 65th birthday. 

(y) “SEC” shall mean the Securities and Exchange Commission or any successor thereto. 

(z) “Section 16” shall mean Section 16 of the Exchange Act and the rules promulgated thereunder and any successor
provision thereto as in effect from time to time. 
 (aa) “Section 162(m)” shall mean Section 162(m) of the Code
and the regulations promulgated thereunder and any successor provision thereto as in effect from time to time. 
 (bb)
“Shares” shall mean shares of the common stock, no par value, of the Company. 
 (cc) “Subsidiary” shall mean
any Person (other than the Company) of which a majority of its voting power or its equity securities or equity interest is owned directly or indirectly by the Company. 

(dd) “Substitute Awards” shall mean Awards granted solely in assumption of, or in substitution for, outstanding awards
previously granted by a company acquired by the Company or with which the Company combines. 
 Section 3. Administration. 

3.1 Authority of Committee. The Plan shall be administered by the Committee, which shall be appointed by and serve at the pleasure of
the Board; provided, however, with respect to Awards to Non-Employee Directors, all references in the Plan to the Committee shall be deemed to be references to the Board. Subject to the terms of the Plan and applicable law, and in addition to other
express powers and authorizations conferred on the Committee by the Plan, the Committee shall have full power and authority in its discretion to: (i) designate Participants; (ii) determine the type or types of Awards to be granted to a
Participant; (iii) determine the number of Shares to be covered by, or with respect to which payments, rights or other matters are to be calculated in connection with Awards; (iv) determine the timing, terms, and conditions of any Award;
(v) accelerate the time at which all or any part of an Award may be settled or exercised; (vi) determine whether, to what extent, and under what circumstances, Awards may be settled or exercised in cash, Shares, other securities, other
Awards or other property, or canceled, forfeited or suspended and the method or methods by which Awards may be settled, exercised, canceled, forfeited or suspended; (vii) determine whether, to what extent, and under what circumstances cash,
Shares, other securities, other Awards, other property, and other amounts payable with respect to an Award shall be deferred either automatically or at the election of the holder thereof or of the Committee; (viii) interpret and administer the
Plan and any instrument or agreement relating to, or Award made under, 

  
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the Plan; (ix) except to the extent prohibited by Section 6.2, amend or modify the terms of any Award at or after grant with the consent of the holder of the Award;
(x) establish, amend, suspend or waive such rules and regulations and appoint such agents as it shall deem appropriate for the proper administration of the Plan; and (xi) make any other determination and take any other action that the
Committee deems necessary or desirable for the administration of the Plan, subject to the exclusive authority of the Board under Section 12 hereunder to amend or terminate the Plan. The exercise of an Option or receipt of an Award shall
be effective only if an Award Agreement shall have been duly executed and delivered on behalf of the Company following the grant of the Option or other Award. 

3.2 Committee Discretion Binding. Unless otherwise expressly provided in the Plan, all designations, determinations, interpretations,
and other decisions under or with respect to the Plan or any Award shall be within the sole discretion of the Committee, may be made at any time and shall be final, conclusive, and binding upon all Persons, including the Company, any Subsidiary or
Affiliate, any Participant and any holder or beneficiary of any Award. 
 3.3 Delegation. Subject to the terms of the Plan, the
Committee’s charter and applicable law, the Committee may delegate to one or more officers or managers of the Company or of any Subsidiary or Affiliate, or to a Committee of such officers or managers, the authority, subject to such terms and
limitations as the Committee shall determine, to grant Awards to or to cancel, modify or waive rights with respect to, or to alter, discontinue, suspend or terminate Awards held by Participants who are not officers or directors of the Company for
purposes of Section 16 or who are otherwise not subject to such Section. 
 Section 4. Shares Available For Awards. 

4.1 Shares Available. Subject to the provisions of Section 4.2 hereof, the stock to be subject to Awards under the Plan
shall be the Shares of the Company and the maximum number of Shares with respect to which Awards may be granted under the Plan shall be 475,000. If, after the effective date of the Plan, any Shares covered by an Award granted under this Plan, or to
which such an Award relates, are forfeited, or if such an Award is settled for cash or otherwise terminates, expires unexercised or is canceled or settled without the delivery of Shares or with the delivery of a reduced number of Shares, then the
Shares covered by such Award, or to which such Award relates, or the number of Shares otherwise counted against the aggregate number of Shares with respect to which Awards may be granted, to the extent of any such settlement, reduction, forfeiture,
termination, expiration or cancellation, shall again become Shares with respect to which Awards may be granted. In the event that any Option or other Award granted hereunder is exercised through the delivery of Shares or in the event that
withholding tax liabilities arising from such Award are satisfied by the withholding of Shares by the Company, the number of Shares available for Awards under the Plan shall be increased by the number of Shares so surrendered or withheld.
Notwithstanding the foregoing and subject to adjustment as provided in Section 4.2 hereof, no Participant may receive Options under the Plan in any calendar year that, taken together, relate to more than 75,000 Shares. 

4.2 Adjustments. In the event that any dividend or other distribution (whether in the form of cash, Shares, other securities or other
property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase or exchange of Shares or other securities of the Company, issuance of warrants or other rights to
purchase Shares or other securities of the Company, or other similar corporate transaction or event affects the Shares, then the Committee shall in an equitable and proportionate manner (and, as applicable, in such manner as is consistent with
Sections 422 and 409A of the Code and the regulations thereunder and with Section 162(m)) either: (i) adjust any or all of (1) the aggregate number of Shares or other securities of the Company (or number and kind of other
securities or property) with respect to which Awards may be granted under the Plan; (2) the number of Shares or other securities of the Company (or number and kind of other securities or 

  
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property) subject to outstanding Awards under the Plan, provided that the number of shares subject to any Award shall always be a whole number; (3) the grant or exercise price with respect
to any Award under the Plan; and (4) the limits on the number of Shares that may be granted to Participants under the Plan in any calendar year; (ii) provide for an equivalent award in respect of securities of the surviving entity of any
merger, consolidation or other transaction or event having a similar effect; or (iii) make provision for a cash payment to the holder of an outstanding Award. 

4.3 Substitute Awards. Any Shares issued by the Company as Substitute Awards in connection with the assumption or substitution of
outstanding grants from any acquired corporation shall not reduce the Shares available for Awards under the Plan. 
 4.4 Sources of
Shares Deliverable Under Awards. Any Shares delivered pursuant to an Award may consist, in whole or in part, of authorized and unissued Shares or of issued Shares which have been reacquired by the Company. Eligibility. 

Section 5. Eligibility. 
 Any
Employee, Director or Consultant shall be eligible to be designated a Participant; provided, however, that Non-Employee Directors shall only be eligible to receive Awards granted consistent with Section 8. 

Section 6. Stock Options And Stock Appreciation Rights. 

6.1 Grant. Subject to the provisions of the Plan including, without limitation, Section 3.3 above and other applicable legal
requirements, the Committee shall have sole and complete authority to determine the Participants to whom Options shall be granted, the number of Shares subject to each Award, the exercise price and the conditions and limitations applicable to the
exercise of each Option. The Committee shall have the authority to grant Incentive Stock Options, and to grant Non-Qualified Stock Options. In the case of Incentive Stock Options, the terms and conditions of such grants shall be subject to and
comply with Section 422 of the Code, as from time to time amended, and any regulations implementing such statute. A person who has been granted an Option under this Plan may be granted additional Options under the Plan if the Committee shall so
determine; provided, however, that to the extent the aggregate Fair Market Value (determined at the time the Incentive Stock Option is granted) of the Shares with respect to which all Incentive Stock Options are exercisable for the first time by an
Employee during any calendar year (under all plans described in of Section 422(d) of the Code of the Employee’s employer corporation and its parent and Subsidiaries) exceeds $100,000, such Options shall be treated as Non-Qualified
Stock Options. 
 6.2 Price. The Committee in its sole discretion shall establish the Option Price at the time each Option is
granted. Except in the case of Substitute Awards, the Option Price of an Option may not be less than one hundred percent (100%) of the Fair Market Value of the Shares with respect to which the Option is granted on the date of grant of such
Option. Notwithstanding the foregoing and except as permitted by the provisions of Section 4.2 and Section 12 hereof, the Committee shall not have the power to (i) amend the terms of previously granted Options to reduce
the Option Price of such Options, or (ii) cancel such Options and grant substitute Options with a lower Option Price than the cancelled Options. 

6.3 Term. Subject to the Committee’s authority under Section 3.1 and the provisions of Section 6.6, each
Option and all rights and obligations thereunder shall expire on the date determined by the Committee and specified in the Award Agreement. The Committee shall be under no duty to provide terms of like duration for Options granted under the Plan.
Notwithstanding the foregoing, no Option shall be exercisable after the expiration of ten (10) years from the date such Option was granted. 

  
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 6.4 Exercise. 

(a) Each Option shall be exercisable at such times and subject to such terms and conditions as the Committee may, in its sole discretion,
specify in the applicable Award Agreement or thereafter. The Committee shall have full and complete authority to determine, subject to Section 6.6 herein, whether an Option will be exercisable in full at any time or from time to time
during the term of the Option, or to provide for the exercise thereof in such installments, upon the occurrence of such events and at such times during the term of the Option as the Committee may determine. 

(b) The Committee may impose such conditions with respect to the exercise of Options, including without limitation, any relating to the
application of federal, state or foreign securities laws or the Code, as it may deem necessary or advisable. The exercise of any Option granted hereunder shall be effective only at such time as the sale of Shares pursuant to such exercise will not
violate any state or federal securities or other laws. 
 (c) An Option may be exercised in whole or in part at any time, with respect to
whole Shares only, within the period permitted thereunder for the exercise thereof, and shall be exercised by written notice of intent to exercise the Option, delivered to the Company at its principal office, and payment in full to the Company at
the direction of the Committee of the amount of the Option Price for the number of Shares with respect to which the Option is then being exercised. 

(d) Payment of the Option Price shall be made in cash or cash equivalents, or, at the discretion of the Committee, (i) by transfer, either
actually or by attestation, to the Company of Shares that have been held by the Participant for at least six (6) months (or such lesser period as may be permitted by the Committee), valued at the Fair Market Value of such Shares on the date of
exercise (or next succeeding trading date, if the date of exercise is not a trading date), together with any applicable withholding taxes, such transfer to be upon such terms and conditions as determined by the Committee, or (ii) by a
combination of such cash (or cash equivalents) and such Shares; provided, however, that the Participant shall not be entitled to tender Shares pursuant to successive, substantially simultaneous exercises of an Option or any other stock option of the
Company. Subject to applicable securities laws, an Option may also be exercised by delivering a notice of exercise of the Option and simultaneously selling the Shares thereby acquired, pursuant to a brokerage or similar agreement approved in advance
by proper officers of the Company, using the proceeds of such sale as payment of the Option Price, together with any applicable withholding taxes. Until the Participant has been issued the Shares subject to such exercise, he or she shall possess no
rights as a stockholder with respect to such Shares. 
 6.6 Ten Percent Stock Rule. Notwithstanding any other provisions in the Plan,
if at the time an Option is otherwise to be granted pursuant to the Plan, the optionee or rights holder owns directly or indirectly (within the meaning of Section 424(d) of the Code) Shares of the Company possessing more than ten percent
(10%) of the total combined voting power of all classes of Stock of the Company or its parent or Subsidiary or Affiliate corporations (within the meaning of Section 422(b)(6) of the Code), then any Incentive Stock Option to be granted to
such optionee or rights holder pursuant to the Plan shall satisfy the requirement of Section 422(c)(5) of the Code, and the Option Price shall be not less than one hundred ten percent (110%) of the Fair Market Value of the Shares of the
Company, and such Option by its terms shall not be exercisable after the expiration of five (5) years from the date such Option is granted. 

  
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 Section 7. Performance Awards. 

7.1 Grant. The Committee shall have sole and complete authority to determine the Participants who shall receive a Performance Award,
which shall consist of a right that is (i) denominated in cash, (ii) valued, as determined by the Committee, in accordance with the achievement of such performance goals during such performance periods as the Committee shall establish, and
(iii) payable at such time and in such form as the Committee shall determine. 
 7.2 Terms and Conditions. Subject to the terms
of the Plan and any applicable Award Agreement, the Committee shall determine the performance goals to be achieved during any performance period, the length of any performance period, the amount of any Performance Award and the amount and kind of
any payment or transfer to be made pursuant to any Performance Award, and may amend specific provisions of the Performance Award; provided, however, that such amendment may not adversely affect existing Performance Awards made within a performance
period commencing prior to implementation of the amendment. 
 7.3 Payment of Performance Awards. Performance Awards may be paid in a
lump sum or in installments following the close of the performance period or, in accordance with the procedures established by the Committee, on a deferred basis. Termination of employment prior to the end of any performance period, other than for
reasons of death or Disability, will result in the forfeiture of the Performance Award, and no payments will be made. A Participant’s rights to any Performance Award may not be sold, assigned, transferred, pledged, hypothecated or otherwise
encumbered or disposed of in any manner, except by will or the laws of descent and distribution, and/or except as the Committee may determine at or after grant. 

Section 8. Non-Employee Director Awards. 

8.1 The Board may provide that all or a portion of a Non-Employee Director’s annual retainer, meeting fees and/or other awards or
compensation as determined by the Board, be payable (either automatically or at the election of a Non-Employee Director) in the form of Non-Qualified Stock Options. The Board shall determine the terms and conditions of any such Awards, including the
terms and conditions which shall apply upon a termination of the Non-Employee Director’s service as a member of the Board, and shall have full power and authority in its discretion to administer such Awards, subject to the terms of the Plan and
applicable law. 
 8.2 Subject to applicable legal requirements, the Board may also grant Awards to Non-Employee Directors pursuant to the
terms of the Plan, including any Award described in Section 6 above. 
 Section 9. Provisions Applicable To Covered Officers And
Performance Awards. 
 9.1 Notwithstanding anything in the Plan to the contrary, unless the Committee determines that a Performance Award
to be granted to a Covered Officer should not qualify as “performance-based compensation” for purposes of Section 162(m), Performance Awards granted to Covered Officers shall be subject to the terms and provisions of this
Section 9. Accordingly, unless otherwise determined by the Committee, if any provision of the Plan or any Award Agreement relating to such an Award does not comply or is inconsistent with Section 162(m), such provision shall be
construed or deemed amended to the extent necessary to conform to such requirements, and no provision shall be deemed to confer upon the Committee discretion to increase the amount of compensation otherwise payable to a Covered Officer in connection
with any such Award upon the attainment of the performance criteria established by the Committee. 

  
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 9.2 The Committee may grant Performance Awards to Covered Officers based solely upon the
attainment of performance targets related to one or more performance goals selected by the Committee from among the goals specified below. For the purposes of this Section 9, performance goals shall be limited to one or more of the
following Company, Subsidiary, operating unit, business segment or division financial performance measures: 
  

	 	(a)	earnings or book value per Share 

  

	 	(b)	net income; 

  

	 	(c)	return on equity, assets, capital, capital employed or investment; 

  

	 	(d)	earnings before interest, taxes, depreciation and/or amortization; 

  

	 	(e)	operating income or profit; 

  

	 	(f)	operating efficiencies; 

  

	 	(g)	the ratio of criticized/classified loans to capital; 

  

	 	(h)	allowance for loan losses; 

  

	 	(i)	the ratio of non-performing loans to total loans; 

  

	 	(j)	the ratio of past due loans greater than 90 days and non-accruals to total loans; 

  

	 	(k)	the ratio of net charge-offs to average loans; 

  

	 	(l)	after tax operating income; 

  

	 	(m)	cash flow(s); 

  

	 	(n)	total revenue or revenues per employee; 

  

	 	(o)	stock price or total shareholder return; 

  

	 	(p)	growth in deposits; 

  

	 	(q)	dividends; 

  

	 	(r)	strategic business objectives, consisting of one or more objectives based on meeting specified cost targets, business expansion and goals relating to acquisitions or divestitures; or 

 

	 	(s)	any combination thereof. 

 Each goal may be expressed on an absolute and/or relative basis, may be based on or
otherwise employ comparisons based on internal targets, the past performance of the Company or any Subsidiary, operating unit, business segment or division of the Company and/or the past or current performance of other companies, and in the case of
earnings-based measures, may use or employ comparisons relating to capital, stockholders’ equity and/or Shares outstanding, or to assets or net assets. The Committee may 

  
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appropriately adjust any evaluation of performance under criteria set forth in this Section 9.2 to exclude any of the following events that occurs during a performance period:
(i) asset write-downs, (ii) litigation or claim judgments or settlements, (iii) the effect of changes in tax law, accounting principles or other such laws or provisions affecting reported results, (iv) accruals for reorganization
and restructuring programs and (v) any extraordinary non-recurring items as described in Accounting Principles Board Opinion No. 30 and/or in management’s discussion and analysis of financial condition and results of operations
appearing in the Company’s annual report to stockholders for the applicable year. 
 9.3 With respect to any Covered Officer, the
maximum amount of all Performance Awards that are settled in cash and that may be granted under Section 7 of the Plan in any year is
[$                 ]. 
 9.4 To the extent
necessary to comply with Section 162(m), with respect to grants of Performance Awards, no later than 90 days following the commencement of each performance period (or such other time as may be required or permitted by Section 162(m)
of the Code), the Committee shall, in writing, (1) select the performance goal or goals applicable to the performance period, (2) establish the various targets and bonus amounts which may be earned for such performance period, and
(3) specify the relationship between performance goals and targets and the amounts to be earned by each Covered Officer for such performance period. Following the completion of each performance period, the Committee shall certify in writing
whether the applicable performance targets have been achieved and the amounts, if any, payable to Covered Officers for such performance period. In determining the amount earned by a Covered Officer for a given performance period, subject to any
applicable Award Agreement, the Committee shall have the right to reduce (but not increase) the amount payable at a given level of performance to take into account additional factors that the Committee may deem relevant in its sole discretion to the
assessment of individual or corporate performance for the performance period. 
 Section 10. Termination Of Employment. 

The Committee shall have the full power and authority to determine the terms and conditions that shall apply to any Award upon a termination of
employment with the Company, its Subsidiaries and Affiliates, including a termination by the Company with or without Cause, by a Participant voluntarily, or by reason of death, Disability or Retirement, and may provide such terms and conditions in
the Award Agreement or in such rules and regulations as it may prescribe. 
 Section 11. Change In Control. 

The Committee may specify in the applicable Award Agreement at or after grant, or otherwise by resolution prior to a Change in Control, that
all or a portion of the outstanding Awards shall vest, become immediately exercisable or payable and have all restrictions lifted upon a Change in Control. 

Section 12. Amendment And Termination. 

12.1 Amendments to the Plan. The Board may amend, alter, suspend, discontinue or terminate the Plan or any portion thereof at any time;
provided that no such amendment, alteration, suspension, discontinuation or termination shall be made without stockholder approval if such approval is necessary to comply with any tax or regulatory requirement for which or with which the Board deems
it necessary or desirable to comply. 
 12.2 Amendments to Awards. Subject to the restrictions of Section 6.2, the
Committee may waive any conditions or rights under, amend any terms of or alter, suspend, discontinue, cancel or terminate, any Award theretofore granted, prospectively or retroactively; provided that any such waiver, amendment, alteration,
suspension, discontinuance, cancellation or termination that would materially and adversely affect the rights of any Participant or any holder or beneficiary of any Award theretofore granted shall not to that extent be effective without the consent
of the affected Participant, holder or beneficiary. 

  
 10 

 12.3 Adjustments of Awards Upon the Occurrence of Certain Unusual or Nonrecurring Events.
The Committee is hereby authorized to make equitable and proportionate adjustments in the terms and conditions of, and the criteria included in, Awards in recognition of unusual or nonrecurring events (and shall make such adjustments for events
described in Section 4.2 hereof) affecting the Company, any Subsidiary or Affiliate, or the financial statements of the Company or any Subsidiary or Affiliate, or of changes in applicable laws, regulations or accounting principles. 

12.4 Section 409A Compliance. No Award (or modification thereof) shall provide for deferral of compensation that does not comply
with Section 409A of the Code unless the Committee, at the time of grant, specifically provides that the Award is not intended to comply with Section 409A of the Code. Notwithstanding any provision of this Plan to the contrary, if one or
more of the payments or benefits received or to be received by a Participant pursuant to an Award would cause the Participant to incur any additional tax or interest under Section 409A of the Code, the Committee may reform such provision to
maintain to the maximum extent practicable the original intent of the applicable provision without violating the provisions of Section 409A of the Code. 

Section 13. General Provisions. 

13.1 Limited Transferability of Awards. Except as otherwise provided in the Plan, no Award shall be assigned, alienated, pledged,
attached, sold or otherwise transferred or encumbered by a Participant, except by will or the laws of descent and distribution. No transfer of an Award by will or by laws of descent and distribution shall be effective to bind the Company unless the
Company shall have been furnished with written notice thereof and an authenticated copy of the will and/or such other evidence as the Committee may deem necessary or appropriate to establish the validity of the transfer. 

13.2 Dividend Equivalents. In the sole and complete discretion of the Committee, an Award may provide the Participant with dividends or
dividend equivalents, payable in cash, other securities or other property on a current or deferred basis. All dividend or dividend equivalents which are not paid currently may, at the Committee’s discretion, accrue interest, or, in the case of
dividends or dividend equivalents credited in connection with Performance Awards, be credited as additional Performance Awards and paid to the Participant if and when, and to the extent that, payment is made pursuant to such Award. The total number
of Shares available for grant under Section 4 shall not be reduced to reflect any dividends or dividend equivalents that are reinvested into additional Shares or credited as Performance Awards. 

13.3 No Rights to Awards. No Person shall have any claim to be granted any Award, and there is no obligation for uniformity of
treatment of Participants or holders or beneficiaries of Awards. The terms and conditions of Awards need not be the same with respect to each Participant. 

13.4 Share Certificates. All certificates for Shares or other securities of the Company or any Subsidiary or Affiliate delivered under
the Plan pursuant to any Award or the exercise thereof shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the Plan or the rules, regulations and other requirements of the SEC or any state
securities commission or regulatory authority, any stock exchange or other market upon which such Shares or other securities are then listed, and any applicable Federal or state laws, and the Committee may cause a legend or legends to be put on any
such certificates to make appropriate reference to such restrictions. 

  
 11 

 13.5 Withholding. A Participant may be required to pay to the Company or any Subsidiary or
Affiliate and the Company or any Subsidiary or Affiliate shall have the right and is hereby authorized to withhold from any Award, from any payment due or transfer made under any Award or under the Plan, or from any compensation or other amount
owing to a Participant the amount (in cash, Shares, other securities, other Awards or other property) of any applicable withholding or other tax-related obligations in respect of an Award, its exercise or any other transaction involving an Award, or
any payment or transfer under an Award or under the Plan and to take such other action as may be necessary in the opinion of the Company to satisfy all obligations for the payment of such taxes. The Committee may provide for additional cash payments
to holders of Options to defray or offset any tax arising from the grant, vesting, exercise or payment of any Award. 
 13.6 Award
Agreements. Each Award hereunder shall be evidenced by an Award Agreement that shall be delivered to the Participant and may specify the terms and conditions of the Award and any rules applicable thereto. In the event of a conflict between the
terms of the Plan and any Award Agreement, the terms of the Plan shall prevail. The Committee shall, subject to applicable law, determine the date an Award is deemed to be granted. The Committee or, except to the extent prohibited under applicable
law, its delegate(s) may establish the terms of agreements or other documents evidencing Awards under this Plan and may, but need not, require as a condition to any such agreement’s or document’s effectiveness that such agreement or
document be executed by the Participant, including by electronic signature or other electronic indication of acceptance, and that such Participant agree to such further terms and conditions as specified in such agreement or document. The grant of an
Award under this Plan shall not confer any rights upon the Participant holding such Award other than such terms, and subject to such conditions, as are specified in this Plan as being applicable to such type of Award (or to all Awards) or as are
expressly set forth in the agreement or other document evidencing such Award. 
 13.7 No Limit on Other Compensation Arrangements.
Nothing contained in the Plan shall prevent the Company or any Subsidiary or Affiliate from adopting or continuing in effect other compensation arrangements, which may, but need not, provide for the grant of Options or other types of Awards
provided for hereunder. 
 13.8 No Right to Employment. The grant of an Award shall not be construed as giving a Participant the
right to be retained in the employ of the Company or any Subsidiary or Affiliate. Further, the Company or a Subsidiary or Affiliate may at any time dismiss a Participant from employment, free from any liability or any claim under the Plan, unless
otherwise expressly provided in an Award Agreement. 
 13.9 No Rights as Shareholder. Subject to the provisions of the Plan and the
applicable Award Agreement, no Participant or holder or beneficiary of any Award shall have any rights as a shareholder with respect to any Shares to be distributed under the Plan until such person has become a holder of such Shares. 

13.10 Governing Law. The validity, construction and effect of the Plan and any rules and regulations relating to the Plan and any Award
Agreement shall be determined in accordance with the laws of the State of Tennessee without giving effect to conflicts of laws principles. 

13.11 Severability. If any provision of the Plan or any Award is, or becomes, or is deemed to be invalid, illegal or unenforceable in
any jurisdiction or as to any Person or Award, or would disqualify the Plan or any Award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to the applicable laws, or if it cannot be
construed or deemed amended without, in the determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, Person or Award and the remainder of the Plan and any such
Award shall remain in full force and effect. 

  
 12 

 13.12 Other Laws. The Committee may refuse to issue or transfer any Shares or other
consideration under an Award if, acting in its sole discretion, it determines that the issuance or transfer of such Shares or such other consideration might violate any applicable law or regulation (including applicable non-U.S. laws or regulations)
or entitle the Company to recover the same under Exchange Act Section 16(b), and any payment tendered to the Company by a Participant, other holder or beneficiary in connection with the exercise of such Award shall be promptly refunded to the
relevant Participant, holder or beneficiary. 
 13.13 No Trust or Fund Created. Neither the Plan nor any Award shall create or be
construed to create a trust or separate fund of any kind or a fiduciary relationship between the Company or any Subsidiary or Affiliate and a Participant or any other Person. To the extent that any Person acquires a right to receive payments from
the Company or any Subsidiary or Affiliate pursuant to an Award, such right shall be no greater than the right of any unsecured general creditor of the Company or any Subsidiary or Affiliate. 

13.14 No Fractional Shares. No fractional Shares shall be issued or delivered pursuant to the Plan or any Award, and the Committee
shall determine whether cash, other securities or other property shall be paid or transferred in lieu of any fractional Shares or whether such fractional Shares or any rights thereto shall be canceled, terminated or otherwise eliminated. 

13.15 Headings. Headings are given to the sections and subsections of the Plan solely as a convenience to facilitate reference. Such
headings shall not be deemed in any way material or relevant to the construction or interpretation of the Plan or any provision thereof. 

Section 14. Term Of The Plan. 
 14.1
Effective Date. The Plan shall be effective as of the later of the date it has been approved by the Board and by the Company’s shareholders. 

14.2 Expiration Date. No new Awards shall be granted under the Plan after the tenth anniversary of the Effective Date. Unless otherwise
expressly provided in the Plan or in an applicable Award Agreement, any Award granted hereunder may, and the authority of the Board or the Committee to amend, alter, adjust, suspend, discontinue or terminate any such Award or to waive any conditions
or rights under any such Award shall, continue after the tenth anniversary of the Effective Date. 

  
 13EX-10.2

 Exhibit 10.2 

Avenue Financial Holdings Inc. 

2012 Long-Term Incentive Plan 
 I.
BACKGROUND, PURPOSE AND DURATION 
  

	 	a.	Effective Date. The Plan is effective as of January 24, 2012. 

  

	 	b.	Purpose of the Plan. The Plan is intended to increase stockholder value and the success of the Company by motivating Participants (1) to perform to the best of their abilities, and (2) to achieve the
Company’s objectives. The Plan’s goals are to be achieved by providing Participants with the opportunity to earn incentive awards for the achievement of goals relating to the performance of the Company. 

II. DEFINITIONS 
 The following words and phrases
shall have the following meaning unless a different meaning in plainly required by the context: 
  

	 	a.	“Actual Award” means as to any Performance Period, the actual award (if any) payable to a Participant for the Performance Period. Each Actual Award is determined by the Payout Formula for the Performance
Period, subject to the Committee’s authority under Section III(f) to eliminate or reduce the award otherwise determined by the Payout Formula. 

  

	 	b.	“Affiliate” means any corporation or other entity (including, but not limited to, partnerships and joint ventures) controlled by the Company. 

 

	 	c.	“Base Salary” means as to any Performance Period, the Participant’s annualized salary rate on the last day of the Performance Period. Such Base Salary shall be before both (a) deductions for taxes or
benefits, and (b) deferrals of compensation pursuant to any applicable Company-sponsored plans and Affiliate-sponsored plans. 

  

	 	d.	“Board” means the Board of Directors of the Company. 

  

	 	e.	“CAMELS Rating” means the CAMELS Rating assigned to Avenue Bank by its principal banking regulator, reflecting the following factors: (i) capital adequacy, (ii) asset quality, (iii) management
quality, (iv) earnings, (v) liquidity and (vi) sensitivity to market risk. 

	 	f.	“Code” means the Internal Revenue Code of 1986, as amended. Reference to a specific section of the Code or regulation thereunder shall include such section or regulation, if any valid regulation promulgated
thereunder, and any comparable provision of any future legislation or regulation amended, supplementing or superseding such section or regulation. 

  

	 	g.	“Committee” means the committee appointed by the Board (pursuant to Section V(a)) to administer the Plan. 

  

	 	h.	“Company” means Avenue Financial Holdings, Inc. 

  

	 	i.	“Disability” means total and permanent disability as defined in Section 22(e)(3) of the Code, provided that the Committee in its discretion may determine whether a permanent and total disability exists in
accordance with uniform and non-discriminatory standards adopted by the Company from time to time. 

  

	 	j.	“Employee” means any employee of the Company or of an Affiliate, whether such employee is so employed at the time the Plan is adopted or becomes so employed subsequent to the adoption of the Plan.

  

	 	k.	“Fiscal Year” means the fiscal year of the Company. 

  

	 	l.	“Pre-Tax Net Income” means as to any Performance Period, the income of the Company, before income tax expense, for the Performance Period determined in accordance with generally accepted accounting principles,
provided that prior to the Performance Period the Committee shall determine whether any significant item(s) shall be included or excluded from such calculation with respect to one or more Participants. 

 

	 	m.	“Participant” means as to any Performance Period, an Employee who has been selected by the Committee for participation in the Plan for that Performance Period. 

 

	 	n.	“Payout Formula” means as to any Performance Period, the formula or payout matrix established by the Committee pursuant to Section 3(d) in order to determine the Actual Award (if any) to be paid to
Participants. The formula or matrix may differ from Participant to Participant. 

  

	 	o.	“Performance Period” generally shall mean any Fiscal Year, however, it may also mean any such other period of time which does not exceed three Fiscal Years, as determined by the Committee in its sole
discretion. With respect to any Participant, there shall exist no more than three Performance Periods at any one time. 

	 	p.	“Performance Goals” means the goal(s) (or combined goal(s)) determined by the Company (in its discretion) to be applicable to a Participant for a Target Award for a Performance Period. As determined by the
Committee, the Performance Goals for any Target Award applicable to a Participant may provide for a targeted level or levels of achievement using one or more of the following measures: (a) CAMELS Rating, (b) Pre-Tax Net Income,
(c) Satisfactory Performance Review, and (d) any other measure, whether objective or subjective, as may be determined from time to time by the Committee and reflected in an Actual Award. Performance Goals may differ from Participant to
Participant, Performance Period to Performance Period and from award to ward. Any criteria used may be measured, as applicable, (i) in absolute terms, (ii) in relative terms (including, but not limited, passage of time and/or against
another company or companies), (iii) against the performance of the Company as a whole or a segment of the Company and/or (iv) on a pre-tax or after-tax basis. Prior to the Determination Date, the Committee shall determine whether any
element(s) shall be included in or excluded from the calculation of any Performance Goals with respect to any Participants. 

  

	 	q.	“Plan” means the Avenue Financial Holdings, Inc. 2012 Long-Term Incentive Plan, as set forth in this instrument and as hereafter amended, modified or supplemented from time to time. 

 

	 	r.	“Retirement” means, with respect to any Participant, a Termination of Employment occurring in accordance with a policy or policies established by the Committee (in its discretion) from time to time.

  

	 	s.	“Satisfactory Performance Review” means an Participant’s annual employment performance review that is deemed satisfactory by the Committee. 

 

	 	t.	“Shares” means shares of the Company’s common stock. 

  

	 	u.	“Target Award” means the target award payable under the Plan to a Participant for the Performance Period, expressed as a percentage of his or her Base Salary or a specific dollar amount, as determined by the
Committee in accordance with Section III(c). 

  

	 	v.	“Termination of Employment” means a cessation of the employee-employer relationship between an Employee and the Company or an Affiliate for any reason, including, but not by way of limitation, a termination by
resignation, discharge, death, Disability, Retirement, or the disaffiliation of an Affiliate, but excluding any such termination where there is a simultaneous reemployment by the Company or an Affiliate. 

 III. SELECTION OF PARTICIPANTS AND DETERMINATION OF AWARDS 

 

	 	a.	Selection of Participants. The Committee, in its sole discretion, shall select the Employees who shall be Participants for any Performance Period. The Committee, in its sole discretion, also may designate as
Participants one or more individuals (by name or position) who are expected to become Employees during a Performance Period. Participation in the Plan is in the sole discretion of the Committee, and on a Performance Period by Performance Period
basis. Accordingly, an Employee who is a Participant for a given Performance Period in no way is guaranteed or assured of being selected for participation in any subsequent Performance Period. 

 

	 	b.	Determination of Performance Goals. The Committee, in its sole discretion, shall establish the Performance Goals for all eligible Participants for the Performance Period. Such Performance Goals shall be set forth
in writing. 

  

	 	c.	Determination on Target Awards. The Committee, in its sole discretion, shall establish a Target Award for each Participant. Each Participant’s Target Award shall be determined by the Committee, in its sole
discretion, are each Target Award shall be set forth in writing. 

  

	 	d.	Determination of Payout Formula or Formulae. On or prior to the Determination Date, the Committee, in its sole discretion, shall establish a Payout Formula or Formulae for purposes of determining the Actual Award
(if any) payable to each Participant. Each Payout Formula shall (a) be in writing, (b) be based on a comparison or actual performance to the Performance Goals, (c) provide for the payment of a Participant’s Target Award if the
Performance Goals for the Performance Period are achieved, and (d) provide for an Actual Award greater than or less than the Participant’s Target Award, depending upon the extent to which actual performance exceeds or gall below the
Performance Goals. 

  

	 	e.	 Determination of Actual Awards. After the end of each Performance Period, the Committee shall certify in writing the extent to which the
Performance Goals applicable to each Participant for the Performance Period were achieved or exceeded. The Actual Award for each Participant shall be determined by applying the Payout Formula to the level of actual performance that has been
certified by the Committee. Notwithstanding any contrary provision of this Plan, the Committee, 

	 	
in its sole discretion, may (a) eliminate or reduce the Actual Award payable to any Participant below that which otherwise would be payable under the Payout Formula, including discretion
that is exercised through the establishment of additional objective or subjective goals, and (b) determine whether or not a Participant will receive an Actual Award in the event the Participant incurs a Termination of Employment prior to the
date the Actual Award is to be paid pursuant to Section iv(b) below. 

 IV. PAYMENT OF AWARDS 

 

	 	a.	Timing of Payment. Subject to Section III(f), payment of each Actual Award shall be made as soon as administratively practicable, however, in the case of any Performance Period based on a Fiscal year, in no event
later than March 15th of the year following the end of the applicable Performance Period. 

  

	 	b.	Form of Payment. Each Actual Award shall be payable in Shares of restricted stock granted by the Company. The number of Shares of restricted stock granted shall be determined by dividing the Actual Award amount
by the fair market value of a Share on the date that the payment is made, rounded up to the nearest whole number of Shares. For this purposed, “fair market value” shall mean the fair market value of the Shares as determined by the Board in
good faith as of the date of payment of the Actual Award. Any restricted stock so awarded shall be either (a) vested immediately or (b) be subject to such additional vesting over a period of not more than four years, and/or be subject to
additional vesting conditions, including specifically additional Performance Goals, as determined by the Committee in its discretion. The number of Shares of restricted stock granted pursuant to this Section IV(c) may be increased or decreased if
such new award is granted by the Committee subject to Performance Goals and such increase or decrease otherwise meets the performance-based compensation requirements of Section 162(m) of the Code. 

 

	 	c.	Payment in the Event of Death or Disability. If a Participant dies, or is determined to have a Disability, prior to the payment of an Actual Award, that was scheduled to be paid to him or her prior to death, or
the determination of a Disability, for a prior Performance Period, the Award shall be paid, in the case of death, to his or her estate, and in the case of Disability, to the Participant or any other person authorized under applicable law.

  

	 	d.	 Maximum Number of Shares to be Issued. Notwithstanding any provision herein to the contrary, but subject to adjustment as set forth below, the
aggregate number of Shares of restricted stock that may be 

	 	
issued pursuant to this Plan shall be 400,000 Shares. Any such Shares may be authorized and unissued Shares or Shares issued and thereafter acquired by the Company. If the outstanding Shares of
the Company’s common stock are increased, decreased, or exchanged for a different number of kind of shares or other securities, or if additional shares or new or different shares or other securities are distributed with respect to each Share of
stock or other securities, through merger, consolidation, sale of all or substantially all of the assets of the Company, reorganization, recapitalization, reclassification, stock dividend, stock split, reverse stock split, or other distribution with
respect to such Shares of stock or other securities, an appropriate and proportionate adjustment may be made in the maximum number and kind of Shares that may be issued pursuant to this Plan and the number of kind of Shares or other securities
subject to outstanding Awards. 

 V. ADMINISTRATION 
  

	 	a.	Committee is the Administrator. The Plan shall be administered by the Committee. The Committee shall consist of not less than two (2) members of the Board. The members of the Committee shall be appointed
from time to time by, and serve at the pleasure of, the Board. As of the Effective Date of the Plan, the Plan shall be administered by the Compensation Committee of the Board. 

 

	 	b.	Committee Authority. It shall be the duty of the Committee to administer the Plan in accordance with the Plan’s provisions. The Committee shall have all powers and discretion necessary or appropriate to
administer the Plan and to control its operation, including, but not limited to, the power to (a) determine which Employees shall be granted awards, (b) prescribe the terms and conditions of awards, (c) interpret the Plan and the
awards, (d) adopt such procedures and subplans as are necessary or appropriate to permit participation in the Plan by Employees who are foreign nationals or employed outside of the United States, (e) adopt rules for the administration,
interpretation and application of the Plan as are consistent therewith, and (f) interpret, amend or revoke any such rules. 

  

	 	c.	Decisions Binding. All determinations and decisions made by the Committee, the Board, and any delegate of the Committee pursuant to the provisions of the Plan shall be final, conclusive, and binding on all
persons, and shall be given the maximum deference permitted by law. 

  

	 	d.	 Delegation by the Committee. The Committee, in its sole discretion and on such terms and conditions as it may provide, may delegate all

	 	
or part of its authority and powers under the Plan to one or more directors and/or officers of the Company; provided, however, that the Committee may not delegate its authority and/or powers with
respect to awards that are intended to qualify as performance-based compensation under Section 162(m) of the Code. 

 VI. GENERAL
PROVISIONS 
  

	 	a.	Tax Withholding. The Company or any Affiliate, as determined by the Committee, shall withhold all applicable taxes from any Actual Award, including any federal, state and local taxes (including, but not limited
to, the Participant’s FICA, and SDI obligations). 

  

	 	b.	No Effect On Employment. Nothing in the Plan shall interfere with or limit in any way the right of the Company or an Affiliate, as applicable, to terminate any Participant’s employment or service at any
time, with or without cause. For purposes of the Plan, transfer or employment of a Participant between the Company and any one of its Affiliates (or between Affiliates) shall not be deemed a Termination of Employment. Employment with the Company and
its Affiliates is on an at-will basis only. The Company expressly reserves the right, which may exercised at any time and without regard to when during or after a Performance Period such exercise occurs, to terminate any individual’s employment
with or without cause, and to treat him or her without regard to the effect which such treatment might have upon him or her as a Participant. 

  

	 	c.	Participation. No Employee shall have the right to be selected to receive an award under this Plan, or, having been so selected, to be selected to receive a future award. 

 

	 	d.	Indemnification. Each person who is or shall have been a member of the Committee, or of the Board, shall be indemnified and held harmless by the Company against and from (a) any loss, cost, liability, or
expense that may be imposed upon or reasonably incurred by him or her in connection with or resulting from any claim, action, suit, or proceeding to which he or she may be a party or in which he or she may be involved by reason of any action taken
or failure to act under the Plan or any award, and (b) from any and all amounts paid by him or her in settlement thereof, with the Company’s approval, or paid by him or her in satisfaction of any judgment in any such claim action, suit or
proceeding against him or her, provide he or she shall give the Company an opportunity to handle and defend it on his or her behalf. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such
persons may be entitled under the Company’s Certificate of Incorporation or bylaws, by contract, as a matter of law, or otherwise, or under any power that the Company may have to indemnify them or hold them harmless. 

	 	e.	Successors. All obligations of the Company and any Affiliates under the Plan, with respect to awards granted hereunder, shall be binding on any successor to the Company and/or such Affiliate, whether the
existence of such successor is the result of a direct or indirect purchase, merger, consolidation or otherwise, of all or substantially all of the business or assets of the Company or such Affiliate. 

 

	 	f.	Beneficiary Designations. If permitted by the Committee, a Participant under the Plan may name a beneficiary or beneficiaries to whom any vested but unpaid award shall be paid in the event of the
Participant’s death. Each such designation shall revoke all prior designations by the Participant and shall be effective only if given in a form and manner acceptable to the Committee. In the absence of any such designation, any vested benefits
remaining unpaid at the Participant’s death shall be paid to the Participant’s estate. 

  

	 	g.	Nontransferability of Awards. No award granted under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will , by laws of descent and distribution, or to
the limited extent provided in Section VI(f). All rights with respect to an award granted to a Participant shall be available during his or her lifetime only to the Participant. 

VII. AMENDMENT, TERMINATION AND DURATION 
  

	 	a.	Amendment, Suspension or Termination. The Board or the Committee, each in its sole discretion, may amend or terminate the Plan, or any part thereof, at any time and for any reason. The amendment suspension or
termination of the Plan shall not, without the consent of the Participant, alter or impair any rights or obligations under any Target Award theretofore granted to such Participant. No award may be granted during any period of suspension or after
termination of the Plan. 

  

	 	b.	Duration of the Plan. The Plan shall commence on the date specified herein, and subject to Section VII(a) (regarding the Board of the Committee’s right to amend or terminate the Plan), shall remain in effect
thereafter. 

 VIII. LEGAL CONSTRUCTION 
  

	 	a.	Gender and Number. Except where otherwise indicated by the context, any masculine term used herein also shall include the feminine; the plural shall include the singular and the singular shall include the plural.

	 	b.	Severability. In the event any provision of the Plan shall be held illegal or invalid for any reason, the illegality or invalidity shall not affect the remaining parts of the Plan, and the Plan shall be construed
and enforced as if the illegal or invalid provision had not been included. 

  

	 	c.	Requirements of Law. The granting of awards under the Plan shall be subject to all applicable laws, rules and regulations, and to such approvals by any governmental agencies or national securities exchanges as
may be required. 

  

	 	d.	Governing Law. The Plan and all award shall be construed in accordance with and governed by the laws of the State of Tennessee, but without regard to its conflict of law provisions. 

 

	 	e.	Captions. Captions are provided herein for convenience only and shall not serve as a basis for interpretation or construction of the Plan.

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