Document:

sec10k123113_ex10-9.htm

EXHIBIT 10.9

SUMMARY OF BONUS PROGRAM

OF OHIO VALLEY BANC CORP.

The following is a description of the Bonus Program (the "Bonus Program") of Ohio Valley Banc Corp. ("Ohio Valley") provided pursuant to Item 601(b)(10)(iii) of Regulation S-K promulgated by the Securities and Exchange Commission, which requires a written description of a compensatory plan when no formal document contains the compensation information.

The executive officers of the Company receive no compensation from the Company.  Instead they are paid by subsidiaries for services rendered in their capacities as executive officers of subsidiaries of the Company.

The objectives of the bonus component of the Company's compensation program are to: (a) motivate executive officers and other employees and reward such persons for the accomplishment of both annual and long range goals of the Company and its subsidiaries, (b) reinforce a strong performance orientation with differentiation and variability in individual awards based on contribution to long-range business results and (c) provide a fully competitive compensation package that will attract, reward, and retain individuals of the highest quality.   All employees of the Company's subsidiaries holding positions with a pay grade of 9 or above, as well as some employees who were graded 9 or above before the redesign of the salary structure, are eligible to participate in the bonus program, including all of the named executive officers.

Bonuses payable to participants in the bonus program are based on (a) the performance of the Company and its subsidiaries as measured against specific performance targets; and (b) each employee's individual performance.    At the beginning of each fiscal year, the Compensation Committee sets specific performance targets for the Company and its subsidiaries based on a combination of some or all of a number of performance criteria set forth in the Company’s strategic plan.  The targets are based on one or more of the following performance criteria: net income, net income per share, return on assets, return on equity, asset quality (as measured by the ratio of adversely classified assets to tier 1 capital plus the ALLL), tier 1 leverage ratio and efficiency ratio.  It is the objective of the Compensation Committee to establish goals that are “reaching” but “reachable.”  The Compensation Committee may not consider the goals to be of equal weight, but, in the aggregate, it considers them to be fundamental metrics which are important to the long-term performance of the Company and which, at the same time, do not expose the Company to, nor incent the employees to undertake, excessive risks which would threaten the Company’s long-term value.  At the end of the fiscal year, the aggregate amount available for the payment of a bonus, if any at all, is determined by the Company’s Board of Directors upon recommendation of its Compensation Committee based on an evaluation of the accomplishment of the performance targets.  A bonus may be paid without targets having been established or achieved.  No officer or employee has any right to the payment of a bonus until the Board of Directors has exercised its discretion to award one and the amount to be paid to each person has been determined and announced.

Once the aggregate amount of the bonus pool is determined, individual bonus awards, for eligible employees in grades 11 and below, are determined through a formula that applies each employee's performance evaluation score to a “bonus grid,” reflecting the individual employee's job grade and individual job performance using the performance criteria referenced above.  For employees in grades 12 and above, individual bonus awards are determined by the level of achievement by the Company and its subsidiaries of some or all of a number of previously mentioned performance metrics. Upon the recommendation of the Compensation Committee and approval by the Board, individual bonus awards for grades 12 and above are typically awarded as a percent of base compensation.  Employees are evaluated by their supervisors, except for Mr. Smith and Mr. Wiseman, who are evaluated by the Compensation Committee.  The Company’s Board of Directors approves the bonuses payable to the executive officers under the Bonus Program based upon the recommendation of the Compensation Committee.

Bonuses are normally paid in February in cash in a single lump sum, subject to payroll taxes and tax withholdings.Exhibit 10.o

 

Description of Director Compensation pursuant
to

Item 601(b)(10)(iii)(A) of Regulation S-K

 

 

The following is a description of Directors Compensation
for First Bancorp (the “Company”), effective as of January 1, 2014.

 

Each non-employee director earns a base director
fee of $21,000 per year. In addition to the base fee, the chairman of the Company is paid $6,000 annually, the chairman of First
Bank is paid $6,000 annually, the chairman of the Audit Committee is paid $4,000 annually, and all other Audit Committee members
are paid $1,000 annually,

 

Non-employee directors of the Company also participate
in the Company’s equity plan. In June of each year, each non-employee director of the Company is expected to receive a grant
of shares of common stock with a value of approximately $16,100.

 

Directors who retire from the Board of Directors
and who are elected to Director Emeritus status received $4,000 per year for a period of three years.

 

Directors are also entitled to reimbursement of
costs and expenses incurred in connection with attending bank educational conferences.Exhibit 10.z

EMPLOYMENT AGREEMENT

This Employment
Agreement (the "Agreement") is made and entered into on March 10, 2014 (the "Effective Date"), by and between
First Bancorp (the "Company"), and Mike Mayer ("Employee"). References to the Company herein shall be deemed
to refer to the Company and its subsidiaries, including First Bank, unless the context requires or the Agreement provides otherwise.

 

The Company desires
to continue to employ Employee and Employee desires to accept such continued employment on the terms set forth below.

In consideration
of the mutual promises set forth below and other good and valuable consideration, the receipt and sufficiency of which the parties
acknowledge, the Company and Employee agree as follows:

1.      EMPLOYMENT.
Employee's employment shall be subject to the terms and conditions set forth in this Agreement.

2.     NATURE
OF EMPLOYMENT/DUTIES. Employee shall serve as President
of First Bank and shall have such responsibilities and authority as the Company may designate from time to time consistent with
his title and position. As President, he will be primarily responsible for all branch related activities and back office operations
as well as having shared responsibilities with the CEO and other senior executives as to all enterprise activities.

2.1      Employee
shall perform all duties and exercise all authority in accordance with, and otherwise comply with, all Company policies, procedures,
practices and directions.

2.2     Employee
shall devote substantially all working time, best efforts, knowledge and experience to perform successfully his duties and advance
the Company's interests. During his employment, Employee shall not engage in any other business activities of any nature whatsoever
(including board memberships) for which he receives compensation without the Company's prior written consent; provided, however,
this provision does not prohibit him from personally owning and trading in stocks, bonds, securities, real estate, commodities
or other investment properties for his own benefit which do not create actual or potential conflicts of interest with the Company.

3.     COMPENSATION.

3.1      Base
Salary. Employee' s annual base salary for all services rendered shall be Four Hundred Thousand and 00/100 Dollars ($400,000)
(less applicable taxes and withholdings) payable in accordance with the Company's customary payroll practices as they may exist
from time to time ("Base Salary").

3.2     Benefits.
Employee may participate in all medical, dental, disability, insurance, 401(k), vacation, leave, and other employee benefit plans
and programs which may be made available from time to time to Company employees at Employee's level; provided, however, that Employee's
participation is subject to the applicable terms, conditions and eligibility requirements of these plans and programs as they may
exist from time to time. Nothing in this Agreement shall require the Company to create, continue or refrain from amending, modifying,
revising or revoking any of its group plans, programs or benefits that are offered to employees. Employee acknowledges that the
Company, in its sole discretion, may amend, modify, revise or revoke any such group plans, programs or benefits and any amendments,
modifications, revisions and revocations of these plans, programs and benefits shall apply to Employee.

    	 

    	 

    

3.3     Business
Expenses. Employee shall be reimbursed for reasonable and necessary expenses actually incurred by him in performing services
under this Agreement in accordance with and subject to the terms and conditions of the applicable Company reimbursement policies,
procedures and practices as they may exist from time to time. All such reimbursements shall be made no later than March 15 of the
year following the year in which Employee incurred the expense.

3.4     Clawback.
Notwithstanding any other provisions in this Agreement to the contrary, any incentive-based compensation, or any other compensation,
paid to Employee pursuant to this Agreement or any other agreement or arrangement with the Company which is subject to recovery
under any law, government regulation or stock exchange listing requirement, including, but not limited to, the Dodd-Frank Wall
Street Reform and Consumer Protection Act and implementing rules and regulations of that Act, will be subject to such deductions,
recovery, and clawback as may be required to be made pursuant to such law, government regulation or stock exchange listing requirement
(or any policy adopted by the Company pursuant to any such law, government regulation or stock exchange listing requirement). Employee
shall, upon written demand by the Company, promptly repay any such incentive-based compensation or other compensation or take such
other action as the Company may require for compliance with this Section.

4.     TERM
OF EMPLOYMENT AND TERMINATION . The initial term of this Agreement and Employee's employment hereunder shall be
the one-year period commencing on the Effective Date and terminating on the first anniversary of the Effective Date (the "Initial
Term"), provided that, on such anniversary of the Effective Date and on each annual anniversary thereafter, this Agreement
shall automatically renew for successive one year periods on the same terms and conditions set forth herein unless: (a) earlier
terminated or amended as provided herein or (b) either party gives the other written notice of non-renewal at least sixty (60)
days prior to the end of the Initial Term or any renewal term of this Agreement. The Initial Term and all applicable renewals thereof
are referred to herein as the "Term."

4.1      Without
Cause, Upon Notice. Either the Company or Employee may terminate Employee's employment and this Agreement without Cause
at any time upon giving the other party thirty (30) days written notice.

 

4.2      For
Cause. The Company may terminate Employee's employment and this Agreement immediately without notice at any time for "Cause,"
which shall mean the following: (i) Employee's demonstrated gross negligence or willful misconduct in the execution of his duties;
(ii) Employee's refusal to comply with the Company's policies, procedures, practices or directions, after notice and opportunity
to cure within fifteen (15) days after such notice; (iii) Employee's commission of an act of dishonesty or moral turpitude; (iv)
Employee's being convicted of a felony; or (v) Employee's breach of this Agreement.

4.3      By Death
or Disability. Employee's employment and this Agreement shall terminate upon Employee's Disability or death. For purposes
of this Agreement, "Disability" shall mean Employee's physical or mental inability to perform substantially all of Employee's
duties, with or without reasonable accommodation, for a period of ninety (90) days, whether or not consecutive, during any 365-day
period, as determined in the Company's reasonable discretion and in accordance with any applicable law. The Company shall give
Employee written notice of termination for Disability and the termination shall be effective as of the date specified in such notice.

4.4      Following
a Change in Control, by Employee for Good Reason. Following a Change in Control, as defined herein, Employee may terminate
his employment and this Agreement if he has "Good Reason" to do so.

    	 

    	 

    

For purposes
of this Agreement, "Good Reason" shall mean: (i) a material diminution in Employee's authority, duties, or responsibilities
from such immediately prior to the Change in Control; (ii) a material change in the geographic location at which Employee must
perform his services under this Agreement; and (iii) any other action or inaction that constitutes a material breach by the Company
of this Agreement. Provided that, in order for Employee to be able to terminate for Good Reason, Employee must first provide notice
to the Company of the condition Employee contends constitutes Good Reason within thirty (30) days of the initial existence of such
condition, and the Company must have thirty (30) days in which to remedy the condition, and further, if the condition is not remedied,
Employee must terminate his employment within thirty (30) days of the end of the Company's thirty (30) day remedy period.

4.5     Survival.
Section 6 (Confidential Information, Company Property and Competitive Business Activities) of this Agreement shall survive the
termination of Employee's employment and/or the termination of this Agreement, regardless of the reasons for such termination.

5.     COMPENSATION
AND BENEFITS UPON TERMINATION.

5.1      By the Company
for Cause or by Employee by Notice of Non-Renewal or Without Cause. If Employee's employment and this Agreement are terminated
by the Company for Cause or by Employee by notice of non-renewal or pursuant to Section 4.1 (Without Cause, Upon Notice), then
the Company's obligation to compensate Employee ceases on the effective termination date except as to amounts of Base Salary earned,
but unpaid as of the effective termination date.

5.2      By the Company
Without Cause, by Notice of Non-Renewal, or for Disability. If the Company terminates Employee's employment and this Agreement
without Cause, by notice of Non-Renewal, or for Disability, then the Company shall:

	 	(i)	pay Employee any earned, but unpaid compensation due as of the effective termination date; and

	 	(ii)	pay Employee a lump sum amount equal to the greater of his then-current Base Salary for six (6) months or the then remaining period
of the Term (less applicable taxes and withholdings). Said lump sum payment shall be made on the date immediately following
the date on which the release of claims required by Section 5.4 becomes effective. Said payment is subject to the conditions set
forth in Section 5.4 below.

5.3     Following
a Change in Control, by the Company Without Cause or by Notice of Non-Renewal or by Employee for Good Reason. If the Company
terminates Employee's employment and this Agreement without Cause or by notice of non-renewal or if Employee terminates for Good
Reason within twelve (12) months following a Change in Control (as defined below), then Employee shall be entitled to receive:

		(i)	any earned, but unpaid
compensation due as of the effective termination date; and

		(ii)	a lump sum payment
equal to 2.99 times his then current Base Salary (less applicable taxes and withholdings); and, if Employee timely and properly
elects continuation coverage under the Consolidated Omnibus Reconciliation Act of 1985 ("COBRA"), the Company shall reimburse
Employee for the monthly COBRA premiums paid by Employee for himself and his dependents. Such reimbursement shall be paid to Employee
by the 15th day of the month immediately following the month in which Employee timely remits the premium payment. Employee shall
be eligible to receive such reimbursement until the earliest of: (i) the twelve (12) month anniversary of the date his employment
with the Company terminated; (ii) the date Employee is no longer eligible to receive COBRA continuation coverage; and (iii) the
date on which Employee becomes eligible to receive substantially similar coverage from another employer. Said lump sum payment
shall be made on the date immediately following the date on which the release of claims required by Section 5.4 becomes effective.
Said payment and reimbursements are subject to the conditions set forth in Section 5.4 below.

    	 

    	 

    

For purposes
of this Agreement, a "Change in Control" shall be deemed to have occurred on:

		(i)	the date on which any "person" or "group" (as such terms
are used in Section 13(d) and 14(d) of the Exchange Act), other than the Company or any entity owned, directly or indirectly, by
the stockholders of the Company in substantially the same proportions as their ownership of the Company's common stock, becomes
the beneficial owner (as defined in Rules 13d-3 and 13d-5 under the Exchange Act) of shares representing more than 40% of the combined
voting power of the then-outstanding securities entitled to vote generally in the election of directors of the Company; or

		(ii)	the date on which (i) the Company merges with any other entity, (ii) the Company
enters into a statutory share exchange with another entity, or (iii) the Company conveys, transfers or leases all or substantially
all of its assets to any person; provided, however, that in the case of subclauses (i) and (ii), a Change of Control shall not
be deemed to have occurred if the shareholders of the Company immediately before such transaction own, directly or indirectly immediately
following such transaction, more than 60% of the combined voting power of the outstanding securities of the corporation resulting
from such transaction in substantially the same proportions as their ownership of securities immediately before such transaction.

For purposes
of this definition of Change in Control, references to the Company shall be deemed to refer to First Bancorp only and not to its
subsidiaries, including First Bank.

5.4     Required
Release. The Company's obligation to provide any payment or reimbursement under Sections 5.2(ii) or 5.3(ii), is conditioned
upon Employee's execution of an enforceable release of all claims and his compliance with Section 6 of this Agreement. If Employee
chooses not to execute such a release or fails to comply with that Section, then the Company's obligation to compensate him ceases
on the effective termination date except as to amounts due at that time. The release of claims shall be provided to Employee within
seven (7) days of his separation from service and Employee must execute it within the time period specified in the release (which
shall not be longer than forty-five (45) days from the date of receipt). Such release shall not be effective until any applicable
revocation period has expired. Any payments subject to the release, shall be made or commence, as applicable, within sixty (60)
days of Employee's separation from service with the Company and, if the sixty (60) day period begins in one taxable year and ends
in another taxable year, no payment shall be made until the beginning of the second taxable year.

5.5     Benefits
in lieu of Other Severance. Employee is not entitled to receive any compensation or benefits upon his termination except
as: (i) set forth in this Agreement; (ii) otherwise required by law; or (iii) otherwise required by any employee benefit plan
in which he participates with the following exception. The benefits afforded Employee under this Agreement are in lieu of any
severance benefits to which he otherwise might be entitled pursuant to a severance plan, policy and practice. Nothing in this
Agreement, however, is intended to waive or supplant any death, disability, retirement, 401(k) pension benefits, or group health
continuation rights, if any, to which he may be entitled under employee benefit plans in which he participates.

    	 

    	 

    

6.      TRADE
SECRETS. CONFIDENTIAL INFORMATION. COMPANY PROPERTY AND COMPETITIVE BUSINESS ACTIVITIES. Employee acknowledges that: (i)
by virtue of his senior management and key leadership position with the Company, Employee has had and will continue to have access
to Trade Secrets and Confidential Information, as defined below; (ii) the Company has business operations in multiple states and
is engaged in the business of providing financial services and products in retail, commercial, and corporate banking (the "Business");
and (iii) the provisions set forth in this Confidential Information, Company Property and Competitive Business Activities Section
are reasonably necessary to protect the Company's legitimate business interests, are reasonable as to time, territory and scope
of activities which are restricted, do not interfere with public policy or public interest and are described with sufficient accuracy
and definiteness to enable him to understand the scope of the restrictions imposed upon him.

6.1     Trade
Secrets and Confidential Information . Employee acknowledges that: (i) the Company will disclose to him certain
Trade Secrets and Confidential Information; (ii) Trade Secrets and Confidential Information are the sole and exclusive property
of the Company (or a third party providing such information to the Company) and the Company or such third party owns all worldwide
rights therein under patent, copyright, trade secret, confidential information, or other property right; and (iii) the disclosure
of Trade Secrets and Confidential Information to Employee does not confer upon him any license, interest or rights of any kind
in or to the Trade Secrets or Confidential Information.

6.1.1
Employee may use the Trade Secrets and Confidential Information only in accordance with applicable Company policies and procedures
and solely for the Company's benefit while he is employed or otherwise retained by the Company. Except as authorized in the performance
of services for the Company, Employee will hold in confidence and not directly or indirectly, in any form, by any means, or for
any purpose, disclose, reproduce, distribute, transmit, or transfer Trade Secrets or Confidential Information or any portion thereof.
Upon the Company's request, Employee shall return Trade Secrets and Confidential Information and all related materials.

6.1.2
If Employee is required to disclose Trade Secrets or Confidential Information pursuant to a court order or other government process
or such disclosure is necessary to comply with applicable law or defend against claims, he shall: (i) notify the Company promptly
before any such disclosure is made; (ii) at the Company's request and expense take all reasonably necessary steps to defend against
such disclosure, including defending against the enforcement of the court order, other government process or claims; and (iii)
permit the Company to participate with counsel of its choice in any proceeding relating to any such court order, other government
process or claims.

6.1.3
Employee's obligations with regard to Trade Secrets shall remain in effect for as long as such information shall remain a trade
secret under applicable law.

6.1.4
Employee's obligations with regard to Confidential Information shall remain in effect while he is employed or otherwise retained
by the Company and for five (5) years thereafter.

6.1.5
As used in this Agreement, "Trade Secrets" means information of the Company, suppliers, customers, or prospective customers,
including, but not limited to, data, formulas, patterns, compilations, programs, devices, methods, techniques, processes, financial
data, financial plans, product plans, or lists of actual or potential customers or suppliers, which: (i) derives independent actual
or potential commercial value, from not being generally known to or readily ascertainable through independent development by persons
or entities who can obtain economic value from its disclosure or use; and (ii) is the subject of efforts that are reasonable under
the circumstances to maintain its secrecy.

6.1.6
As used in this Agreement, "Confidential Information" means information other than Trade Secrets, that is of value to
its owner and is treated as confidential, including, but not limited to, future business plans, marketing campaigns, and information
regarding employees, provided, however, Confidential Information shall not include information which is in the public domain or
becomes public knowledge through no fault of Employee.

    	 

    	 

    

6.2     Company
Property. Upon the termination of his employment or upon Company's earlier request, Employee shall: (i) deliver to the
Company all records, memoranda, data, documents and other property of any description which refer or relate in any way to Trade
Secrets or Confidential Information, including all copies thereof, which are in his possession, custody or control; (ii) deliver
to the Company all Company property (including, but not limited to, keys, credit cards, customer files, contracts, proposals, work
in process, manuals, forms, computer-stored work in process and other computer data, research materials, other items of business
information concerning any Company customer, or Company business or business methods, including all copies thereof) which is in
his possession, custody or control; (iii) bring all such records, files and other materials up to date before returning them; and
(iv) fully cooperate with the Company in winding up his work and transferring that work to other individuals designated by the
Company.

6.3     Competitive
Business Activities. Employee agrees that during the Term of this Agreement and for a period of time ending on the date
occurring six months (6) months after the later of the date his employment terminates and/or this Agreement terminates (irrespective
of the circumstances of such termination) (the "Non-Competition Period"), Employee will not engage in the following activities:

(a)     on
Employee's own or another's behalf, whether as an officer, director, stockholder, partner, associate, owner, employee, consultant
or otherwise:

(i)     compete
with the Company in the Company' s Business;

(ii)     solicit
or do business which is the same, similar to or otherwise in competition with the Company' s Business, from or with persons or
entities : (a) who are customers of the Company; (b) who Employee or someone for whom he was responsible solicited, negotiated,
contracted, serviced or had contact with on the Company's behalf; or (c) who were customers of the Company at any time during
the last year of Employee's employment with the Company; or

(iii)      offer
employment to or otherwise solicit for employment any employee or other person who had been employed by the Company during the
last year of Employee's employment with the Company;

(b)     be
employed (or otherwise engaged) in (i) a management capacity, (ii) other capacity providing the same or similar services which
Employee provided to the Company, or (iii) any capacity connected with competitive business activities, by any person or entity
that engages in the same, similar or otherwise competitive business as the Company's Business; or

(c)     directly
or indirectly take any action, which is materially detrimental, or

otherwise intended to be adverse to the Company's goodwill, name, business
relations, prospects and operations.

6.3.1 The
restrictions set forth in Section 6.3(a)(i) apply to the following geographical areas: (i) within a 60-mile radius of the location
of Company's headquarters during Employee's employment with the Company; (ii) and within a 25-mile radius of the location of any
bank branch.

6.3.2
Notwithstanding the foregoing, Employee's ownership, directly or indirectly, of not more than one percent of the issued and outstanding
stock of a corporation the shares of which are regularly traded on a national securities exchange or in the over-the-counter market
shall not violate Section 6.3.

6.4     Remedies.
Employee acknowledges that his failure to abide by the Confidential Information, Company Property or Competitive Business Activities
provisions of this Agreement would cause irreparable harm to the Company for which legal remedies would be inadequate. Therefore,
in addition to any legal or other relief to which the Company may be entitled by virtue of Employee's failure to abide by these
provisions; the Company may seek legal and equitable relief, including, but not limited to, preliminary and permanent injunctive
relief, for Employee's actual or threatened failure to abide by these provisions without the necessity of posting any bond, and
Employee will indemnify the Company for all expenses including attorneys' fees in seeking to enforce these provisions.

    	 

    	 

    

6.5     Tolling.
The period during which Employee must refrain from the activities set forth in Sections 6.1 and 6.3 shall be tolled during any
period in which he fails to abide by these provisions.

6.6     Other Agreements.
Nothing in this Agreement shall terminate, revoke or diminish Employee's obligations or the Company's rights and remedies under
law or any agreements relating to trade secrets, confidential information, non-competition and intellectual property which Employee
has executed in the past, or may execute in the future or contemporaneously with this Agreement.

7.     EXECUTIVE
REPRESENTATION. Employee represents and warrants that his
employment and obligations under this Agreement will not (i) breach any duty or obligation he owes to another or (ii) violate any
law, recognized ethics standard or recognized business custom.

8.     RESIGNATION
OF ALL OTHER POSITIONS. Upon termination of Employee's
employment hereunder, for any reason, Employee shall be deemed to have resigned from all positions that Employee holds as an officer
or member of the Board of Directors of the Company or any of its subsidiaries or affiliates.

9.     WAIVER
OF BREACH. The Company's or Employee's waiver of any breach
of a provision of this Agreement shall not waive any subsequent breach by the other party.

10.     ENTIRE
AGREEMENT. Except as expressly provided in this Agreement,
this Agreement: (i) supersedes and cancels all other understandings and agreements, oral or written, with respect to Employee's
employment with the Company including any prior employment agreement; (ii) supersedes all other understandings and agreements,
oral or written, between the parties with respect to the subject matter of this Agreement; and (iii) constitutes the sole agreement
between the parties with respect to this subject matter. Each party acknowledges that: (i) no representations, inducements, promises
or agreements, oral or written, have been made by any party or by anyone acting on behalf of any party, which are not embodied
in this Agreement; and (ii) no agreement, statement or promise not contained in this Agreement shall be valid. No change or modification
of this Agreement shall be valid or binding upon the parties unless such change or modification is in writing and is signed by
the parties.

11.     SEVERABILITY.
If a court of competent jurisdiction holds that any provision or sub-part thereof contained in this Agreement is invalid, illegal
or unenforceable, that invalidity, illegality or unenforceability shall not affect any other provision in this Agreement. Additionally,
if any of the provisions, clauses or phrases in Section 6, Trade Secrets, Confidential Information, Company Property and Competitive
Business Activities, are held unenforceable by a court of competent jurisdiction, then the parties desire that such provision,
clause, or phrase be "blue-penciled" or rewritten by the court to the extent necessary to render it enforceable.

12.     PARTIES
BOUND. The terms, provisions, covenants and agreements contained
in this Agreement shall apply to, be binding upon and inure to the benefit of the Company's successors and assigns. Employee may
not assign this Agreement.

13.     REMEDIES.
Employee acknowledges that his breach of this Agreement would cause the Company irreparable harm for which damages would be difficult,
if not impossible, to ascertain and legal remedies would be inadequate. Therefore, in addition to any legal or other relief to
which the Company may be entitled by virtue of the Employee's breach or threatened breach of this Agreement, the Company may seek
equitable relief, including but not limited to preliminary and injunctive relief, and such other available remedies.

    	 

    	 

    

14.     GOVERNING
LAW. This Agreement and the employment relationship created
by it shall be governed by North Carolina law.

 15.      SECTION 409A OF THE INTERNAL REVENUE CODE.

15.1
     Parties' Intent. The parties intend that the provisions of this Agreement comply with Section 409A of the Internal
Revenue Code of 1986, as amended (the "Code"), and the regulations thereunder (collectively, "Section 409A")
and all provisions of this Agreement shall be construed in a manner consistent with the requirements for avoiding taxes or penalties
under Section 409A. If any provision of this Agreement (or of any award of compensation, including equity compensation or benefits)
would cause Employee to incur any additional tax or interest under Section 409A, the Company shall, upon the specific request of
Employee, use its reasonable business efforts to in good faith reform such provision to comply with Code Section 409A; provided,
that to the maximum extent practicable, the original intent and economic benefit to Employee and the Company of the applicable
provision shall be maintained, and the Company shall have no obligation to make any changes that could create any additional economic
cost or loss of benefit to the Company. The Company shall timely use its reasonable business efforts to amend any plan or program
in which Employee participates to bring it in compliance with Section 409A. Notwithstanding the foregoing, the Company shall have
no liability with regard to any failure to comply with Section 409A so long as it has acted in good faith with regard to compliance
therewith.

15.2
     Separation from Service. A termination of employment shall not be deemed to have occurred for purposes of any provision
of this Agreement providing for the payment of any amounts or benefits upon or following a termination of employment unless such
termination also constitutes a "Separation from Service" within the meaning of Section 409A and, for purposes of any
such provision of this Agreement, references to a "termination," "termination of employment," "separation
from service" or like terms shall mean "Separation from Service."

15.3
     Separate Payments. Each installment payment required under this Agreement shall be considered a separate payment
for purposes of Section 409A.

15.4      Delayed
Distribution to Key Employees. If the Company determines in accordance with Sections 409A and 416(i) of the Code and the
regulations promulgated thereunder, in the Company's sole discretion, that the Employee is a Key Employee of the Company on the
date his employment with the Company terminates and that a delay in benefits provided under this Agreement is necessary to comply
with Code Section 409A(A)(2)(B)(i), then any severance payments and any continuation of benefits or reimbursement of benefit costs
provided by this Agreement, and not otherwise exempt from Section 409A, shall be delayed for a period of six (6) months following
the date of termination of the Employee's employment (the "409A Delay Period"). In such event, any severance payments
and the cost of any continuation of benefits provided under this Agreement that would otherwise be due and payable to the Employee
during the 409A Delay Period shall be paid to the Employee in a lump sum cash amount in the month following the end of the 409A
Delay Period. For purposes of this Agreement, "Key Employee" shall mean an employee who, on an Identification Date ("Identification
Date" shall mean each December 31) is a key employee as defined in Section 416(i) of the Code without regard to paragraph
(5) thereof. If the Employee is identified as a Key Employee on an Identification Date, then Employee shall be considered a Key
Employee for purposes of this Agreement during the period beginning on the first April 1 following the Identification Date and
ending on the following March 31.

    	 

    	 

    

16.    Counterparts.
This Agreement may be executed in counterparts, each of which shall be an original, with the same effect as if the signatures
affixed thereto were upon the same instrument.

IN WITNESS
WHEREOF, the parties have entered into this Agreement on the day and year first written above.

 

	 	EMPLOYEE
	 	 
	 	 
	 	/s/ Michael G. Mayer
	 	Mike Mayer 
	 	 
	 	 
	 	 
	 	 
	 	FIRST BANCORP
	 	 
	 	By:   /s/ Richard H. Moore
	 	Title:  Chief Executive Officer/President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00228-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00228-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00228-of-00352.parquet"}]]