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72903762v2      EXHIBIT 10.1    THIRD AMENDED AND RESTATED EXECUTIVE EMPLOYMENT AGREEMENT  This Third Amended and Restated Executive Employment Agreement (the “Agreement”)  is made effective as of this [●] day of [●], 2022 (the “Effective Date”), by and between Citizens  Community Bancorp, Inc., a Maryland corporation, (the “Holding Company”) and its wholly- owned subsidiary, Citizens Community Federal, N.A., a national banking association (the “Bank”)  (collectively, the “Company”), and Stephen M. Bianchi (“Executive”).  WHEREAS, the Company and Executive entered into an Executive Employment  Agreement dated June 24, 2016 (the “Executive Employment Agreement”);  WHEREAS, the Company and Executive entered into an Amended and Restated Executive  Employment Agreement dated May 25, 2017 (the “Amended Executive Employment  Agreement”) that superseded and replaced the Executive Employment Agreement;  WHEREAS, the Company and Executive entered into a Second Amended and Restated  Executive Employment Agreement dated November 1, 2019 (the “Second Amended Executive  Employment Agreement”) that superseded and replaced the Amended Executive Employment  Agreement;  WHEREAS, the Company and Executive entered into an Addendum No. 1 to the Second  Amended and Restated Executive Employment Agreement dated April 23, 2020 (the “Addendum  No. 1”) that superseded and replaced certain provisions of Section 5(d) the Second Amended  Executive Employment Agreement;  WHEREAS, the Company and Executive now desire to amend and restate certain terms of  the Second Amended Executive Employment Agreement as modified by Addendum No. 1;  WHEREAS, the Company desires to employ Executive upon the amended and restated  terms and conditions set forth herein, and Executive desires to be so employed by the Company;  NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth  in this Agreement, the receipt and sufficiency of which are hereby acknowledged, the parties agree  as follows:  1. Term of Employment.  Executive’s employment hereunder shall commence as of  the Effective Date and continuing thereafter until December 31, 2025, unless and until terminated  pursuant to the terms of Section 4 of this Agreement (the “Term”).  Notwithstanding the foregoing,  the Term shall automatically be extended for additional one-year periods (each, a “Renewal  Term”) on the terms and conditions provided herein, unless either party shall give the other party  no less than ninety (90) days’ written notice prior to the expiration of the Term or Renewal Term,  as applicable.  The Term and the Renewal Term, if applicable, shall be collectively referred to as  the “Employment Term.”      

 

72903762v2       2    2. Position and Duties.    (a) Position.  During the Employment Term, Executive shall serve as the  President of the Bank, and President and Chief Executive Officer of the Holding Company,  reporting exclusively to the Holding Company’s Board of Directors (the “Board”).   Executive shall also serve as an appointed member of Board of Directors of the Bank (the  “Bank Board”) and the Board of Directors of the Holding Company (the “Holding  Company Board”).  In such positions, Executive shall have such duties, authority and  responsibility as shall be determined from time to time by the Board and as are customarily  performed by persons situated in a similar executive capacity.    (b) Duties.  During the Employment Term, Executive shall devote substantially  all of his business time and attention to the performance of Executive’s duties hereunder  and will not engage in any other business, profession or occupation for compensation or  otherwise which would conflict or interfere with the performance of such services either  directly or indirectly.  Notwithstanding the foregoing, nothing herein shall preclude  Executive from (i) acting or serving as a director, trustee, committee member or principal  of any type of business, civic or charitable organization, or (ii) owning any interest in any  other corporation, business or enterprise, subject to Section 6 below.    3. Compensation and Benefits.    (a) Salary.  The Company shall pay Executive a salary of Three Hundred  Seventy Thousand and 00/100 Dollars ($370,000.00) per year, payable in regular biweekly  installments, in accordance with the Company’s usual payroll procedures (the “Salary”).   Executive’s base Salary shall be subject to at least annual review on each December 31 and  may be increased based on Executive’s performance and contribution to the Company, as  determined by the Board.    (b) Short Term Incentive Plan Awards.  Executive shall be eligible to receive  an annual incentive award pursuant to the terms of the Bank’s Executive Short Term  Incentive Plan and Executive’s individual incentive goal sheet appended thereto, and any  successor plan thereto.  (c) Long Term  Incentive Plan Awards.  Executive shall be eligible to receive  incentive awards pursuant to the terms of the Bank’s Executive Long Term Incentive Plan  and the Holding Company’s 2018 Equity Incentive Plan, and any successor plans thereto.    (d) Benefits.  Executive shall be entitled to participate in any and all benefit  programs, such as health insurance and retirement plans, subject to applicable plan or  policy terms, that the Company establishes and makes available to its other similarly  situated senior executives from time to time, provided that Executive is eligible to  participate under the plan documents governing those programs.  The Company reserves  the right to modify or discontinue, either on a company-wide basis or as applicable to all  comparably-situated Company employees, any employee benefit already provided or as  may be provided in the future.  

 

72903762v2       3    (e) Paid Time Off.  During the Employment Term, Executive will be entitled  to paid time off (PTO) at the maximum accrual rate, and pursuant to the other terms, as set  forth in the Bank’s Paid Time Off policy effective July 1, 2017, or any successor policy  thereto or as otherwise approved by the Compensation Committee.  Executive shall receive  other paid time-off in accordance with the Company’s policies for executive officers as  such policies may exist from time to time.  Executive shall receive payment for all accrued  but unused PTO, if any, within thirty (30) days following the termination of Executive’s  employment.   (f) Business Expenses.  Executive shall be entitled to reimbursement for all  reasonable and necessary out-of-pocket business, entertainment and travel expenses  incurred by Executive in connection with the performance of Executive’s duties hereunder  in accordance with the Company’s expense reimbursement policies and procedures.  The  amount of reimbursable expenses incurred in one taxable year shall not affect the expenses  eligible for reimbursement in any other taxable year.  Reimbursement shall be paid as soon  as administratively practicable, but in no event shall any such reimbursement be paid after  the last day of the calendar year following the calendar year in which the expense was  incurred.  The right hereunder to reimbursement is not subject to liquidation or exchange  for other benefits.  (g) Automobile Expenses.  The Company shall pay Executive a monthly  automotive allowance of $1,000.00 during the Term and any Renewal Term and will  reimburse Executive for the use by Executive of Executive’s personal automobile in  connection with Executive’s performance of his job duties to the maximum extent  permissible under the Internal Revenue Code of 1986, as amended, and the rules and  regulations promulgated thereunder.  (h) Withholdings and Taxes.  All payments to Executive will be payable  pursuant to the Company’s normal payroll practices.  The Company shall deduct from all  payments to Executive hereunder any federal, state or local withholding or other taxes or  charges which the Company is from time to time required to deduct under applicable law,  and all amounts payable to Executive hereunder are stated herein before any such  deductions.  (i) Liability Insurance; Indemnification.  The Bank shall provide the Executive  (including his heirs, executors and administrators) with coverage under a standard  directors’ and officers’ liability insurance policy at the Bank’s expense or, in lieu thereof,  shall indemnify the Executive (and his heirs, executors and administrators) to the fullest  extent permitted under applicable law against all expenses and liabilities reasonably  incurred by him in connection with or arising out of any action, suit or proceeding in which  he may be involved by reason of his having been a director or officer of the Bank (whether  or not he continues to be a director or officer at the time of incurring such expenses or  liabilities).  Such expenses and liabilities shall include, but are not limited to, judgments,  court costs, attorneys’ fees and the cost of reasonable settlements, and such settlements  shall be approved by the Board; provided, however, that such indemnification shall not  extend to matters as to which the Executive is finally adjudged to be liable for willful  

 

72903762v2       4    misconduct or gross negligence in the performance of his duties as a director or officer of  the Bank.  (j) Discretionary Performance Bonus.  The Bank in its discretion from time to  time may provide Executive with a bonus based on factors as determined by the Bank’s  Board.  The amount, form, terms and timing of any such bonus shall be determined by the  Bank’s Board in its sole discretion.  (k) Clawback of Incentive Compensation.  The Company may terminate  Executive’s right to the unpaid or unvested incentive compensation under Sections 2(b)  and 2(c), and may require reimbursement to the Company by Executive of any incentive  compensation previously paid or vested within the prior 12-month period pursuant to any  applicable incentive compensation plan or award agreement, in the event Executive is  obligated to disgorge to or reimburse the Company for such compensation paid or payable  to Executive by reason of application of Section 304 of the Sarbanes-Oxley Act of 2002,  Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, or any  other applicable law or regulation requiring recapture, reimbursement or disgorgement of  incentive-based pay.  In the event Executive fails to make prompt reimbursement of any  such incentive compensation previously paid, the Company may, to the extent permitted  by applicable law, deduct the amount required to be reimbursed from Executive’s  compensation otherwise due under this Agreement.  4. Termination of Employment.  During the Employment Term, Executive’s  employment and this Agreement may be terminated only under the following circumstances.    (a) Termination by the Company for Cause, or by Executive without Good  Reason.  The Employment Term and Executive’s employment hereunder may be  terminated immediately by the Company for Cause, and shall terminate upon Executive’s  resignation without Good Reason; provided, that Executive will be required to give the  Company at least thirty (30) days advance written notice of a resignation without Good  Reason.  (b) Definition of Cause.  For purposes of this Agreement, “Cause” shall mean  a good faith determination by the Board that Executive has: (A) committed a material act  of dishonesty or disloyalty involving the Company; (B) committed a felony or  misdemeanor involving dishonesty or moral turpitude which has a material adverse effect  on the business of the Company; (C) engaged in willful conduct which is materially  injurious to the Company; or (D) materially breached any provision of this Agreement,  which breach is not cured within thirty (30) days after written notice thereof is given to  Executive, explaining in reasonable detail the nature of such asserted breach.    (c) Definition of Good Reason.  For purposes of this Agreement, “Good  Reason” shall mean, without the consent of Executive, (A) the material diminution of  Executive’s position (including status, offices, titles, and reporting requirements),  authorities, duties, or other such responsibilities as exist immediately prior to the  diminution; (B) the material reduction in Executive’s Salary, or benefits under Section  3(d), unless such reduction is part of a reduction in compensation for all Executives of the  

 

72903762v2       5    Company on a pro rata basis; (C) the relocation of Executive’s principal place of  employment of greater than 50 miles from Executive’s location immediately prior to the  relocation.  (d)  Notice Requirements for Good Reason Termination.  If Executive intends  to terminate Executive’s employment for Good Reason:  (i) Executive must give the  Company written notice of the facts or events giving rise to Good Reason within thirty (30)  days following Executive’s knowledge of the facts or event alleged to give rise to Good  Reason; (ii) the Company must fail to cure the act or omission within thirty (30) days  following the Company’s receipt of such notice; and (iii) Executive must give the Company  written notice that his employment is terminated for Good Reason within thirty (30) days  following such failure to cure.  The failure by Executive to give such notice of Good  Reason shall be deemed a waiver of the right to terminate Executive’s employment for  Good Reason based on such fact or event.   (e) Definition of Change in Control.  For the purposes of this Agreement,  “Change in Control” shall mean any of the following:   i. a change-in-control of a nature that would be required to be reported in  response to Item 6(e) of Schedule 14A of Regulation 14A promulgated  under the Securities Exchange Act of 1934, as amended (the “Exchange  Act”), whether or not the Holding Company is then subject to such reporting  requirement; or  ii. the public announcement (which, for purposes of this definition, shall  include, without limitation, a report filed pursuant to Section 13(d) of the  Exchange Act) by the Holding Company or any “person” (as such term is  used in Sections 13(d) and 14(d) of the Exchange Act) that such person has  become the “beneficial owner” (as defined in Rule 13d-3 promulgated  under the Exchange Act), directly or indirectly, of securities of the Holding  Company (i) representing 30% or more, but not more than 50%, of the  combined voting power of the Holding Company’s then outstanding  securities unless the transaction resulting in such ownership has been  approved in advance by the Continuing Directors (as hereinafter defined);  or (ii) representing more than 50% of the combined voting power of the  Holding Company’s then outstanding securities (regardless of any approval  by the Continuing Directors); provided, however, that notwithstanding the  foregoing, no Change-in-Control shall be deemed to have occurred for  purposes of this Agreement by reason of the ownership of 30% or more of  the total voting capital stock of the Holding Company then issued and  outstanding by the Holding Company, any subsidiary of the Holding  Company or any employee benefit plan of the Holding Company or of any  subsidiary of the Holding Company or any entity holding shares of the  Common Stock organized, appointed or established for, or pursuant to the  terms of, any such plan (any such person or entity described in this clause  is referred to herein as a “Company Entity”); or  

 

72903762v2       6    iii. the Continuing Directors (as hereinafter defined), cease to constitute a  majority of the Holding Company’s Board of Directors; or   iv. the shareholders of the Holding Company approve (i) any consolidation or  merger of the Holding Company in which the Holding Company is not the  continuing or surviving company or pursuant to which shares of Holding  Company stock would be converted into cash, securities or other property,  other than a merger of the Holding Company in which shareholders  immediately prior to the merger have the same proportionate ownership of  stock of the surviving company immediately after the merger; (ii) any sale,  lease, exchange or other transfer (in one transaction or a series of related  transactions) of all or substantially all of the assets of the Holding Company;  or (iii) any plan of liquidation or dissolution of the Holding Company.  For purposes of this definition, “Continuing Director” shall mean any  person who is a member of the Board of Directors of the Holding Company,  while such person is a member of the Board of Directors, who is not an  Acquiring Person (as defined below) or an Affiliate or Associate (as defined  below) of an Acquiring Person, or a representative of an Acquiring Person  or of any such Affiliate or Associate, and who (i) was a member of the Board  of Directors on the date of this Agreement; or (ii) subsequently becomes a  member of the Board of Directors, if such person’s initial nomination for  election or initial election to the Board of Directors is recommended or  approved by a majority of the then Continuing Directors.  For purposes of  this definition, “Acquiring Person” shall mean any “person” (as such term  is used in Sections 13(d) and 14(d) of the Exchange Act) who or which,  together with all Affiliates and Associates of such person, is the “beneficial  owner” (as defined in Rule 13d-3 promulgated under the Exchange Act)  directly or indirectly, of securities of the Holding Company representing  30% or more of the combined voting power of the Holding Company’s then  outstanding securities, but shall not include any Holding Company Entity;  and “Affiliate” and “Associate” shall have their respective meanings  ascribed to such terms in Rule 12b-2 promulgated under the Exchange Act.  (f) Termination by Reason of Death or Disability.  Executive’s employment  hereunder shall terminate automatically upon Executive’s death during the Employment  Term.  If the Company determines in good faith that a Disability (as defined below) of  Executive has occurred during the Employment Term, the Company may give to Executive  written notice of its intention to terminate Executive’s employment.  In such event,  Executive’s employment with the Company shall terminate effective on the thirtieth (30th)  day after receipt of such notice by Executive; provided, that within thirty (30) days after  such receipt, Executive shall not have returned to full-time performance of Executive’s  duties.  For purposes of this Agreement, “Disability” has the same meaning as in the  Company’s long-term disability plan, or if there is no such plan, or no definition in such  plan, “Disability” means a mental or physical condition which, in the opinion of the Board,  renders Executive unable or incompetent to carry out the material job responsibilities  which such Executive held or the material duties to which Executive was assigned at the  

 

72903762v2       7    time the disability was incurred, which has existed for at least one hundred eighty (180)  consecutive days and, which condition, in the opinion of an independent physician selected  by the Company, is expected to be permanent or to have a duration of more than one (1)  year.  (g) Termination by the Company without Cause, or Resignation by Executive  for Good Reason.  The Employment Term and Executive’s employment hereunder may be  terminated by the Company without Cause (other than by reason of death or Disability) or  by resignation by Executive for Good Reason.  (h) Termination by the Company without Cause, or Resignation by Executive  for Good Reason Following a Change in Control.  If a Change in Control occurs during the  Employment Term, and the Employment Term and Executive’s employment hereunder is  terminated by the Company without Cause (other than by reason of death or Disability) or  by resignation by Executive for Good Reason, in each case, within 24 months following  the Change in Control, then Executive shall receive the benefits set forth in Section 5(d).   Payment of the benefits set forth in Section 5(d) shall be made promptly pursuant to the  terms of this Agreement and without unreasonable delay.  (i) Notice of Termination.  Any purported termination of Executive’s  employment by either party shall be communicated by written Notice of Termination to  the other party.  As used herein, “Termination Date” shall mean in the case of Executive’s  death, his date of death, or in all other cases of termination by the Company, the date  specified in the Notice of Termination which shall be at least 30 days following the date of  the Notice of Termination, except for termination for Cause which may be on or after the  date of the Notice of Termination.  (j) Director and Officer Positions.  Upon the voluntary or involuntary  termination of Executive’s employment for any reason, Executive will be deemed to have  resigned from all director and officer positions he then holds with the Bank, the Holding  Company, and any related or affiliated entity, and Executive agrees that this Agreement  shall constitute affirmation of such resignations.  (k) Return of Records and Property.  Upon termination of Executive’s  employment with the Company for any reason, or at the Company’s earlier request,  Executive shall deliver promptly to the Company originals and all copies of all records,  manuals, books, blank forms, documents, letters, memoranda, notes, notebooks, reports,  data, tables, or calculations, whether in tangible or electronic format or media, which are  the property of the Company or which relate in any way to the business, products, practices  or techniques of the Company, and all other property, trade secrets and Confidential  Information (as defined herein) of the Company, including, but not limited to, all office  keys, security cards, credit cards, office equipment, computer hardware and software,  company products and prototypes, and all documents or electronic records which in whole  or in part contain any trade secrets or Confidential Information of the Company, which in  any of these cases are in Executive’s possession or under Executive’s control.  Executive  may not retain any copies of the documents referred to in this Section 4(k).  To the extent  that Executive has downloaded or stored any proprietary, privileged, confidential or trade  

 

72903762v2       8    secret information belonging to the Company on any personal, non-Company electronic  media in Executive’s possession, custody, or control, such as computers, cell phones, hand- held devices, back-up devices, zip drives, and the like, Executive agrees to promptly  contact the Company to arrange for transfer of such documents and information back to  the Company and for destruction of such documents and information on Executive’s  personal electronic media.  Executive also agrees to return to the Company any and all  passwords used by Executive with regard to the computer, electronic or communication  systems of the Company and to transition all administrative rights used by Executive with  regard to all social media and internet-based accounts related to the business operations of  the Company, so that the Company has immediate, full and complete access to all data and  information stored, used or maintained on or in such systems or accounts.  Executive  further agrees to not access or interfere with or attempt to access or interfere with any of  the Company’s computer systems, networks or files.  5. Obligations Upon Termination.  (a) Termination by the Company for Cause, or by Executive without Good  Reason.  If Executive’s employment with the Company is terminated by the Company for  Cause, or is voluntarily terminated by Executive without Good Reason, the Company will  pay or provide Executive with the following: (i) Executive’s Salary earned but unpaid as  of the Termination Date, payable in a lump sum within thirty (30) days after the  Termination Date (or earlier to the extent required by law); and (ii) all vested benefits to  which Executive is entitled under any benefit plans set forth in the benefits section hereof  in accordance with the terms of such plans through the Termination Date, including,  without limitation, PTO (collectively, the “Accrued Obligations”).  Executive shall forfeit  any other unvested amounts, including any unearned bonuses.    (b) Termination by Reason of Disability or Death.  If Executive’s employment  with the Company is terminated during the Employment Term by reason of Executive’s  Disability or death, the Company will pay and/or provide Executive or Executive’s legal  representative, as the case may be, (i) the Accrued Obligations; (ii) a pro-rated incentive  award pursuant to the terms of the Bank’s Executive Short Term Incentive Plan; and (iii) a  pro-rated incentive award pursuant to the terms of the Bank’s Executive Long Term  Incentive Plan.   (c) Termination by the Company without Cause, or Resignation by Executive  with Good Reason.  If Executive’s employment with the Company is terminated by the  Company without Cause or by Executive with Good Reason and as to (ii)-(iv) below  Executive irrevocably executes the Release as specified in Section 5(e), promptly upon  expiration of any revocation period applicable to the Release but no later than five (5)  business days thereafter, the Company will pay or provide Executive with the following:    i. the Accrued Obligations;   ii. an amount equal to a pro-rated incentive award pursuant to the terms of the  Bank’s Executive Short Term Incentive Plan for the plan year in which the  

 

72903762v2       9    termination occurs at Level II (i.e. Plan) or actual performance versus Plan  if higher at the time of termination;   iii. a payment equal to two hundred percent (200%) of (A) the Executive’s  annual Salary at the time of termination and (B) the greater of (x) the  amount of a pro-rated incentive award pursuant to the terms of the Bank’s  Executive Short Term Incentive Plan for the plan year in which the  termination occurs at Level II (i.e. Plan) or actual performance versus Plan  if higher at the time of termination or (y) a pro-rated amount of the average  Executive Short Term Incentive Plan awards, if any, that Executive received  for the two plan years immediately prior to the plan year in which  termination occurs; and  iv. provided that Executive or his spouse or dependents timely elect  continuation coverage under a group health plan of the Company pursuant  to the requirements of Section 4980B of the Code, as amended, and any  similar applicable law, (“COBRA”), continued participation in the  Company’s medical and dental plans with the full monthly premiums to be  paid by the Company until the earlier of (A) Executive’s eligibility for  coverage under another employer’s group health plan, (B) termination of  Executive’s rights to continuation coverage under COBRA, or (C) eighteen  (18) months following the termination of Executive’s employment with the  Company.  Executive agrees and acknowledges that the period of coverage  under such plans shall run concurrently with such plans’ obligations to  provide continuation coverage pursuant to COBRA, and that this subsection  shall not limit such plans’ obligations to provide continuation coverage  under COBRA.   (d) Termination by the Company without Cause, or Resignation by Executive  with Good Reason Following a Change in Control.  If Executive’s employment with the  Company is terminated by the Company without Cause or by Executive with Good Reason  following a Change in Control pursuant to Section 4(h) and as to (ii)-(iv) below Executive  irrevocably executes the Release as specified in Section 5(e), promptly upon expiration of  any revocation period applicable to the Release but no later than five (5) business days  thereafter, the Company will pay or provide Executive with the following in lieu of any  payments under Section 5(c) herein:    i. the Accrued Obligations;   ii. a pro-rated incentive award pursuant to the terms of the Bank’s Executive  Short Term Incentive Plan for the plan year in which the termination occurs  at Level II (i.e. Plan) or actual performance versus Plan if higher at the time  a definitive agreement is announced;   iii. a payment equal to two hundred fifty percent (250%) of (A) the Executive’s  annual Salary at the time of termination and (B) the greater of (x) the  amount of a pro-rated incentive award pursuant to the terms of the Bank’s  

 

72903762v2       10    Executive Short Term Incentive Plan for the plan year in which the  termination occurs at Level II (i.e. Plan) or actual performance versus Plan  if higher at the time of termination or (y) a pro-rated amount of the average  Executive Short Term Incentive Plan awards, if any, that Executive received  for the two plan years immediately prior to the plan year in which  termination occurs; and  iv. provided that Executive or his spouse or dependents timely elect  continuation coverage under a group health plan of the Company pursuant  to the requirements of Section 4980B of the Code, as amended, and any  similar applicable law, (“COBRA”), continued participation in the  Company’s medical and dental plans with the full monthly premiums to be  paid by the Company until the earlier of (A) Executive’s eligibility for  coverage under another employer’s group health plan, (B) termination of  Executive’s rights to continuation coverage under COBRA, or (C) thirty  (30) months following the termination of Executive’s employment with the  Company.  Executive agrees and acknowledges that the period of coverage  under such plans shall run concurrently with such plans’ obligations to  provide continuation coverage pursuant to COBRA, and that this subsection  shall not extend such plans’ obligations to provide continuation coverage  under COBRA.  In the event that Executive timely elects COBRA  continuation and remains covered under the Company’s group health plan,  but his right to COBRA continuation terminates under (B) above due to  expiration of the maximum COBRA continuation period, and is not  extended after 18 months of coverage, then the Company will at that time  pay Executive a lump sum amount equal to twelve (12) months of  Executive’s monthly COBRA premiums, which he may direct toward future  health insurance premium payments.   (e) Release.  No obligations of the Company or the Bank with respect to  payments to Executive pursuant to Section 5(c)(ii)-(iv) or Section 5(d)(ii)-(iv) shall exist  or apply unless Executive has after the Termination Date timely executed a separation  agreement containing a general release in a form provided by and acceptable to the  Company (the “Release”) and any applicable revocation periods in the Release have  expired without rescission by Executive.   (f) Vesting.  All unvested equity interests held by Executive as of the  Termination Date shall terminate and be forfeited, unless those unvested grants shall be  deemed to have vested in their entirety as of the Termination Date pursuant to the terms of  the applicable grant agreement, the Bank’s Executive Long Term Incentive Plan, or the  Holding Company’s 2018 Equity Incentive Plan, or any successor plans thereto.  (g) Section 280G.  Notwithstanding anything to the contrary herein contained,  under no circumstances shall the payments made to Executive result in an “excess  parachute payment” as defined under Section 280G of the Internal Revenue Code of 1986,  as amended.  To the extent that such payments could result in an “excess parachute  payment,” the payments shall be reduced to avoid such result, the manner of which  

 

72903762v2       11    reduction shall be in the sole discretion of the Board of Directors of the Company.  Any  amounts reduced pursuant to this Section 5(g) shall be deemed forfeited by Executive, and  Executive shall have no authority whatsoever to determine the order in which benefits  under this Agreement shall be so reduced.  (h) Timing of Severance Payments.  The payments, if any, owed to Executive  under Section 5(c)(ii)-(iii) or Section 5(d)(ii)-(iii) will be paid in a lump sum on or before  the sixtieth (60th) day following Employee’s termination, provided that all statutory  rescission periods contained in the Release have expired without revocation by Executive,  and subject to Section 16 herein.  Where the period available to execute (and to not revoke)  the Release spans more than one calendar year, the payment shall not be made until the  second calendar year as required by the applicable terms of this Agreement and Section  409A of the Internal Revenue Code.    6. Restrictive Covenants.  (a) Need for Restrictions.  Executive acknowledges and agrees that the  Company’s business, technical, and customer information is established and maintained at great  expense to the Company and is of significant value to the Company, and that by virtue of  employment with the Company, Executive will have information pertaining to, unique and  extensive exposure to, and personal contact with, the Company’s business, technical and customer  information which would enable Executive to compete unfairly with the Company.  As a result,  and in consideration of the Company’s severance obligations under Section 5(c) and Section 5(d),  Executive acknowledges and agrees that the following restrictions are necessary to protect the  Company’s business.    (b) Confidential Information.  For purposes of this Agreement, “Confidential  Information” means information disclosed to Executive or known by him as a result of or  as disclosed in the course of Executive’s employment with the Company which is not  generally known to the public pertaining to the Company’s business, including, but not  limited to, operations, contracts, customers, customer lists, proposals, research and  development, procedures and protocols, operating models, financial information, pricing,  price lists, marketing methods, strategic planning information, information stored in or  developed for use with Company’s computer systems, insurance plans, risk management  information, or marketing programs, and third-party information that the Company may  learn from its customers or clients.  Confidential Information shall include any such  information developed or created by Executive if the information was developed or created  by Executive while executing Executive’s duties for the Company or if the information  was developed or created by Executive based upon any Confidential Information that  Executive learned by virtue of Executive’s employment with the Company.  Confidential  Information shall not include any information that Executive can demonstrate is in the  public domain by means other than disclosure by Executive, but shall include non-public  compilations, combinations, or analyses of otherwise public information.  (c) Non-Disclosure or Use of Confidential Information.  For as long as  Executive shall remain employed by the Company, and after termination of employment  with the Company for any reason, Executive shall not directly or indirectly, under any  

 

72903762v2       12    circumstances, communicate or disclose to any person, firm, association, corporation,  company or any other third party, or use for Executive’s own benefit or the benefit of any  person or entity other than the Company, any Confidential Information, and Executive will  keep secret and in strict confidence and hold inviolate said Confidential Information.   Executive further agrees, however, not to disclose to others or use at any time after the  termination of his employment with the Company any Confidential Information that  constitutes and remains a trade secret under the Wisconsin Trade Secrets Act, as amended  (Section 134.90 Wis. Stats.), any Confidential Information that the Company received from  a third party and continues to hold in confidence, and any Confidential Information that he  is otherwise prohibited by law from disclosing to others or using.  The prohibitions of this  paragraph do not apply to Confidential Information after it has become generally known  and/or in the public domain through no fault of Executive.  The prohibitions of this  paragraph also do not prohibit use of Executive’s general skills and knowledge acquired  during and prior to his employment by the Company, as long as such use does not involve  the use or disclosure of Confidential Information.  This non-disclosure provision does not  prohibit Executive from providing truthful information to any governmental entity as  required by law or as part of an agency investigation without prior notice to the Company.  (d) Defend Trade Secrets Act.  Executive understands that if Executive  breaches the provisions of Section 6(c) above, Executive may be liable to the Company  under the Defend Trade Secrets Act of 2016 (“DTSA”).  Executive further understands that  by providing Executive with the following notice, the Company may recover from  Executive its attorney fees and exemplary damages if it brings a successful claim against  Executive under the DTSA:  Under the federal Defend Trade Secrets Act of 2016,  Executive shall not be held criminally or civilly liable under any federal or state trade secret  law for the disclosure of a trade secret that is made:  (a)(i) in confidence to a federal, state,  or local governmental official, either directly or indirectly, or to an attorney and (ii) solely  for the purpose of reporting or investigating a suspected violation of law or (b) in a  complaint or other document filed in a lawsuit or other proceeding, if such filing is made  under seal.  Without limiting the foregoing, if Executive files a lawsuit for retaliation by  the Company for reporting a suspected violation of law, Executive may disclose the trade  secret to Executive’s attorney and use the trade secret information in the court proceeding,  if Executive (i) files any document containing the trade secret under seal and (ii) does not  disclose the trade secret, except pursuant to court order.  (e) Nonsolicitation of Customers.  During Executive’s employment, and for a  period of twenty-four (24) months following the earlier of (i) the termination of Executive’s  employment with the Company, whether voluntary or involuntary and whether with or  without Cause, or (ii) the date of a Change in Control, Executive shall not, directly or  indirectly canvas, contact or solicit any “Active Customer” (as defined below) of the  Company for the purpose of selling, offering or providing products or services which are  the same as or substantially similar to the products or services provided by the Company  at any time during the “Reference Period” (as defined below).  “Active Customer” shall  mean any person or entity which, within the 12-month period prior to the termination of  Executive’s employment with the Company (the “Reference Period”), received any  products or services supplied by or on behalf of the Company; provided, however, “Active  Customer” shall be further limited to those customers of the Company: (i) with whom  

 

72903762v2       13    Executive had material business contact as an Executive of the Company during the  Reference Period; (ii) whose dealings with the Company were coordinated or supervised,  in whole or in part, by Executive during the Reference Period; or (iii) about whom  Executive obtained Special Knowledge (as defined below) as a result of Executive’s  position with the Company during the Reference Period.  “Special Knowledge” means  Confidential Information that is used, possessed by or developed for the Company in the  course of soliciting, selling to or servicing a customer, including, but not limited to, existing  or proposed bids, pricing and cost information, margins, negotiation strategies, sales  strategies and information generated for customer engagements.  (f) Non-Solicitation of Company Personnel.  During Executive’s employment  and for a further period of twenty-four (24) months beginning on the earlier of (i) the  termination of Executive’s employment with the Company under any circumstances or (ii)  the date of a Change of Control, Executive agrees that Executive shall not, directly or  indirectly, solicit, encourage or induce any employee, consultant, contractor, or other agent  of the Company with whom Executive had substantial contact during the Reference Period  and who has knowledge of Confidential Information to terminate a relationship  (employment or otherwise), or breach any agreement with the Company.    (g) Noncompetition.  During Executive’s employment, and for a period of  eighteen (18) months following the earlier of (i) the termination of Executive’s  employment with the Company, whether voluntary or involuntary and whether with or  without Cause, or (ii) the date of a Change of Control, Executive shall not, directly or  indirectly, have a financial interest in, or act in a “Prohibited Capacity” (as defined below)  on behalf of, any entity which competes with the Company anywhere within the  “Restricted Territory” (as defined below).  This restriction shall not apply to any activities  conducted on behalf of an entity that is not a financial institution or owned or controlled  by a financial institution, except to the extent such activities are for the benefit of a  competitor.  Further, this restriction shall not apply to a financial institution with deposit  market share of less than 5% in the Eau Claire, Wisconsin market (as published by S&P  Global Market Intelligence).  A “financial interest” shall not include the ownership of less  than 5% of the securities of any corporation or other entity that is listed on a national  securities exchange or traded in the national over-the-counter market.  “Prohibited  Capacity” means a capacity that directly competes with the Company within the Restricted  Territory as required by (i) duties or responsibilities substantially similar to those of  Executive’s position with the Company at any time during the Reference Period or (ii)  management, sales or marketing duties or responsibilities.  The “Restricted Territory”  means the territory within a 50-mile radius of the Company’s headquarters office in Eau  Claire, Wisconsin.    7. Enforcement.   (a) If, at the time of enforcement of the covenants contained in Section 6 above  (collectively, the “Restrictive Covenants”), a court shall hold that the duration, scope or  area restrictions stated are unreasonable under circumstances then existing, the parties  agree that the maximum duration, scope or area reasonable under such circumstances shall  be substituted for the stated duration, scope or area and that the court shall be allowed to  

 

72903762v2       14    revise the Restrictive Covenants to cover the maximum duration, scope and area permitted  by law.  Executive has had the opportunity to consult with Executive’s own legal counsel  regarding the Restrictive Covenants and agrees that the Restrictive Covenants are  reasonable in terms of duration, scope and area restrictions and are necessary to protect the  goodwill of the Company’s businesses and agrees not to challenge the validity or  enforceability of the Restrictive Covenants.  In exchange for Executive agreeing to be  bound by these reasonable and necessary covenants, the Company is providing Executive  with the benefits as set forth in this Agreement, including without limitation the severance  described in Sections 5(c) and 5(d).  Executive acknowledges and agrees that these benefits  constitute full and adequate consideration for Executive’s obligations hereunder and will  be provided only if Executive signs this Agreement.  (b) If Executive breaches, or threatens to commit a breach of any of the  Restrictive Covenants, the Company shall have the following rights and remedies, each of  which rights and remedies shall be independent of the others and severally enforceable,  and each of which is in addition to, and not in lieu of, any other rights and remedies  available to the Company at law or in equity:  i. The right and remedy to have the Restrictive Covenants  specifically enforced by any court of competent jurisdiction, including, for example,  by temporary or permanent injunctive or other equitable relief without the necessity  of proving actual damages, it being agreed that any breach or threatened breach of  the Restrictive Covenants would cause irreparable injury to the Company and that  money damages would not provide an adequate remedy to the Company; and  ii. The right and remedy to require Executive to account for and  pay over to the Company any profits, monies or other benefits derived or received  by Executive as the result of any transactions constituting a breach of the Restrictive  Covenants.  8. Notices.  All notices, demands or other communications shall be sent to Executive  and the Company at the addresses indicated below to such other addresses or to the attention of  such other persons as the recipient party has specified by prior written notice to the sending party,  or in the case of the Executive, to the most recent address on record with the Company’s Human  Resource Department.  Notice to Executive  Stephen Bianchi   815 Sandalwood Drive  Altoona, WI 54720     Notice to Company  2174 Eastridge Center  Eau Claire WI 54701   Attn: Richard McHugh, Lead Director    

 

72903762v2       15    9. Attorneys’ Fees.  In the event that the either Party brings any action to enforce any  of the provisions of this Agreement, or to obtain money damages for the breach thereof, all  expenses, including reasonable attorneys’ fees, incurred by the party prevailing on substantially  all of the claims finally decided in the action, shall be paid by the other party with 120 days of the  date that entry of judgment on the claims brought in the action becomes final and non –appealable.   In addition, the Company shall pay Executive any reasonable legal fees and reasonable expenses  incurred by Executive in connection with any dispute with any Federal state, or local governmental  agency with respect to benefits claimed under this Agreement.  Such reimbursement must be  requested no later than two (2) months after the conclusion of the dispute and shall be paid within  two (2) months after the request for reimbursement.  10. Severability.  Whenever possible, each provision of this Agreement shall be  interpreted in such a manner to be effective and valid under applicable law, but if any provision of  this Agreement is held to be invalid, illegal or unenforceable in any respect under any applicable  law or rule in any jurisdiction, such invalidity, illegality or unenforceability shall not affect any  other provision or any other jurisdiction, but this Agreement shall be reformed, construed and  enforced in such jurisdiction as if such invalid or illegal provision had never been contained herein.  11. Complete Agreement.  This Agreement contains the complete agreement and  understanding between the parties related to Executive’s employment, and supersedes, replaces,  and preempts any prior understandings, agreements, or representations by or among the parties  related to such employment, whether written or oral, which may have related to the subject matter  herein in any way, including without limitation the Second Amended Executive Employment  Agreement as modified by Addendum No. 1.    12. Survival.  The provisions of Sections 4, 5, 6, 7, and 9 shall survive the termination  of this Agreement and Executive’s employment with the Company.  13. Counterparts.  This Agreement may be executed in separate counterparts, each of  which is deemed to be an original and all of which taken together constitute one and the same  agreement.  14. Choice of Law.  All issues concerning the construction, validity, enforcement and  interpretation of this Agreement shall be governed by and construed in accordance with the laws  of the State of Wisconsin, without giving effect to any choice of law or conflict of law rules or  provisions (whether of the State of Wisconsin or any other jurisdiction) that would cause the  application of the laws of any jurisdiction other than the State of Wisconsin.  15. Amendments and Waiver.  The provisions of this Agreement may be amended or  waived only by a written instrument, with written consent by both the Company and Executive,  and no course of conduct or failure or delay in enforcing the provisions of this Agreement shall  affect the validity, binding effect or enforceability of this Agreement.  16. Code Section 409A.  Notwithstanding any other provision of this Agreement to the  contrary, Executive and the Company agree that the payments hereunder shall be exempt from, or  satisfy the applicable requirements, if any, of Section 409A of the Internal Revenue Code of 1986,  as amended (the “Code”) in a manner that will preclude the imposition of penalties described in  

 

72903762v2       16    Code Section 409A.  Payments made pursuant to this Agreement are intended to satisfy the short- term deferral rule or separation pay exception within the meaning of Code Section 409A.   Executive and the Company agree that this Agreement shall be interpreted to the extent possible  to be exempt from or satisfy the requirements described above.  References to termination of  employment or similar terms hereunder shall mean a “separation from service”  within the meaning  of Code Section 409A.  Notwithstanding anything herein to the contrary, this Agreement shall, to  the maximum extent possible, be administered, interpreted and construed in a manner consistent  with Code Section 409A; provided, that in no event shall the Company have any obligation to  indemnify Executive from the effect of any taxes under Code Section 409A.  If any payment or benefit provided to Executive in connection with Executive’s  termination of employment is determined to constitute “nonqualified deferred compensation”  within the meaning of Section 409A of the Code and Executive is determined to be a “specified  employee” as defined in Section 409A(a)(2)(b)(i) of the Code, then such payment or benefit shall  not be paid until the first payroll date to occur following the six-month anniversary of the  termination or, if earlier, on Executive’s death (the “Specified Employee Payment Date”).  The  aggregate of any payments that would otherwise have been paid before the Specified Employee  Payment Date shall be paid to Executive in a lump sum on the Specified Employee Payment Date  and thereafter, any remaining payments shall be paid without delay in accordance with their  original schedule.  17. Assignment.  This Agreement and all rights hereunder are personal to Executive  and shall not be assignable by Executive; provided, however, that any amounts that shall have  become payable under this Agreement prior to Executive’s death shall inure to the benefit of  Executive’s heirs or other legal representatives, as the case may be.  This Agreement shall be  binding upon and inure to the benefit of the Company and any successor of the Company.  The  Company shall require any successor to all or substantially all of the business and/or assets of the  Company to expressly assume and agree to perform this Agreement in the same manner and to the  same extent that the Company would be required to perform if no succession had taken place,  unless such obligations have been assumed by the successor as a matter of law.    [SIGNATURE PAGE FOLLOWS]     

 

72903762v2       17    IN WITNESS WHEREOF, the parties have duly executed this Agreement as of the day  and year first above written.    CITIZENS COMMUNITY BANCORP, INC.  STEPHEN BIANCHI    By:                         Its:           CITIZENS COMMUNITY FEDERAL, N.A.,      By:                    Its:                                                           [Signature Page to Third Amended and Restated Executive Employment Agreement by and  between Citizens Community Bancorp, Inc., Citizens Community Federal, N.A., and Stephen  Bianchi]ex102

72903894v2      EXHIBIT 10.2    SECOND AMENDED AND RESTATED EXECUTIVE EMPLOYMENT AGREEMENT  This Second Amended and Restated Executive Employment Agreement (the  “Agreement”) is made effective as of [●], 2022 (the “Effective Date”), by and between Citizens  Community Bancorp, Inc., a Maryland corporation, (the “Holding Company”) and its wholly- owned subsidiary, Citizens Community Federal, N.A., a national banking association (the  “Bank”) (collectively, the “Company”), and James S. Broucek (“Executive”).  WHEREAS, the Company and Executive entered into an Executive Employment  Agreement effective October 31, 2017 (the “Executive Employment Agreement”); and   WHEREAS, the Company and Executive entered into an Amended and Restated  Executive Employment Agreement dated November 1, 2019 (the “Amended Executive  Employment Agreement”) that superseded and replaced the Executive Employment Agreement;  WHEREAS, the Company and Executive entered into an Addendum No. 1 to the  Amended and Restated Executive Employment Agreement dated April 23, 2020 (the  “Addendum No. 1”) that superseded and replaced certain provisions of Section 5(d) the  Amended Executive Employment Agreement;  WHEREAS, the Company and Executive desire to amend and restate certain terms of the  Amended Executive Employment Agreement as modified by Addendum No. 1; and  WHEREAS, the Company desires to employ Executive upon the amended and restated  terms and conditions set forth herein, and Executive desires to be so employed by the Company;  NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth  in this Agreement, the receipt and sufficiency of which are hereby acknowledged, the parties  agree as follows:  1. Term of Employment.  Executive’s employment hereunder shall commence as of  the Effective Date and continuing thereafter until December 31, 2025, unless and until  terminated pursuant to the terms of Section 4 of this Agreement (the “Term”). Notwithstanding  the foregoing, the Term shall automatically be extended for additional one-year periods (each, a  “Renewal Term”) on the terms and conditions provided herein, unless either party shall give the  other party no less than ninety (90) days’ written notice prior to the expiration of the Term or  Renewal Term, as applicable.  The Term and the Renewal Term, if applicable, shall be  collectively referred to as the “Employment Term.”  2. Position and Duties.    (a) Position.  During the Employment Term, Executive shall serve as the  Chief Financial Officer of the Bank, and the Chief Financial Officer of the Holding  Company, reporting exclusively to the Bank’s President and Chief Executive Officer and  the Holding Company’s Board of Directors (the “Board”).  In such positions, Executive  shall have such duties, authority and responsibility as shall be determined from time to  

 

72903894v2       2    time by the President and Chief Executive Officer and the Board and as are customarily  performed by persons situated in a similar executive capacity.     (b) Duties. During the Employment Term, Executive shall devote  substantially all of his business time and attention to the performance of Executive’s  duties hereunder and will not engage in any other business, profession or occupation for  compensation or otherwise which would conflict or interfere with the performance of  such services either directly or indirectly.  Notwithstanding the foregoing, nothing herein  shall preclude Executive from (i) acting or serving as a director, trustee, committee  member or principal of any type of business, civic or charitable organization, or (ii)  owning any interest in any other corporation, business or enterprise, subject to Section 6  below.   3. Compensation and Benefits.    (a) Salary.  The Company shall pay Executive a salary of Two Hundred  Twenty Five Thousand and 00/100 Dollars ($225,000.00) per year, payable in regular  biweekly installments, in accordance with the Company’s usual payroll procedures (the  “Salary”).  Executive’s base Salary shall be subject to at least annual review on each  December 31 and may be increased based on Executive’s performance and contribution  to the Company, as determined by the Board.    (b) Short Term Incentive Plan Awards.  Executive shall be eligible to receive  an annual incentive award pursuant to the terms of the Bank’s Executive Short Term  Incentive Plan and Executive’s individual incentive goal sheet appended thereto, and any  successor plan thereto.  (c) Long Term Incentive Plan Awards.  Executive shall be eligible to receive  incentive awards pursuant to the terms of the Bank’s Executive Long Term Incentive  Plan and the Holding Company’s 2018 Equity Incentive Plan, and any successor plans  thereto.    (d) Benefits.  Executive shall be entitled to participate in any and all benefit  programs, such as health insurance and retirement plans, subject to applicable plan or  policy terms, that the Company establishes and makes available to its other similarly  situated senior executives from time to time, provided that Executive is eligible to  participate under the plan documents governing those programs.  The Company reserves  the right to modify or discontinue, either on a company-wide basis or as applicable to all  comparably-situated Company employees, any employee benefit already provided or as  may be provided in the future.  (e) Paid Time Off.  During the Employment Term, Executive will be entitled  to paid time off (PTO) at the maximum accrual rate, and pursuant to the other terms, as  set forth in the Bank’s Paid Time Off policy effective July 1, 2017, or any successor  policy thereto or as otherwise approved by the Compensation Committee.  Executive  shall receive other paid time-off in accordance with the Company’s policies for executive  officers as such policies may exist from time to time.  Executive shall receive payment  

 

72903894v2       3    for all accrued but unused PTO, if any, within thirty (30) days following the termination  of Executive’s employment.  (f) Business Expenses. Executive shall be entitled to reimbursement for all  reasonable and necessary out-of-pocket business, entertainment and travel expenses  incurred by Executive in connection with the performance of Executive’s duties  hereunder in accordance with the Company’s expense reimbursement policies and  procedures.  The amount of reimbursable expenses incurred in one taxable year shall not  affect the expenses eligible for reimbursement in any other taxable year.  Reimbursement  shall be paid as soon as administratively practicable, but in no event shall any such  reimbursement be paid after the last day of the calendar year following the calendar year  in which the expense was incurred.  The right hereunder to reimbursement is not subject  to liquidation or exchange for other benefits.  (g) Withholdings and Taxes.  All payments to Executive will be payable  pursuant to the Company’s normal payroll practices.  The Company shall deduct from all  payments to Executive hereunder any federal, state or local withholding or other taxes or  charges which the Company is from time to time required to deduct under applicable law,  and all amounts payable to Executive hereunder are stated herein before any such  deductions.  (h) Liability Insurance; Indemnification.  The Bank shall provide the  Executive (including his heirs, executors and administrators) with coverage under a  standard directors’ and officers’ liability insurance policy at the Bank’s expense or, in  lieu thereof, shall indemnify the Executive (and his heirs, executors and administrators)  to the fullest extent permitted under applicable law against all expenses and liabilities  reasonably incurred by him in connection with or arising out of any action, suit or  proceeding in which he may be involved by reason of his having been a director or  officer of the Bank (whether or not he continues to be a director or officer at the time of  incurring such expenses or liabilities).  Such expenses and liabilities shall include, but are  not limited to, judgments, court costs, attorneys’ fees and the cost of reasonable  settlements, and such settlements shall be approved by the Board; provided, however,  that such indemnification shall not extend to matters as to which the Executive is finally  adjudged to be liable for willful misconduct or gross negligence in the performance of his  duties as a director or officer of the Bank.  (i) Clawback of Incentive Compensation.  The Company may terminate  Executive’s right to the unpaid or unvested incentive compensation under Sections 2(b)  and 2(c), and may require reimbursement to the Company by Executive of any incentive  compensation previously paid or vested within the prior 12-month period pursuant to any  applicable incentive compensation plan or award agreement, in the event Executive is  obligated to disgorge to or reimburse the Company for such compensation paid or  payable to Executive by reason of application of Section 304 of the Sarbanes-Oxley Act  of 2002, Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection  Act, or any other applicable law or regulation requiring recapture, reimbursement or  disgorgement of incentive-based pay.  In the event Executive fails to make prompt  reimbursement of any such incentive compensation previously paid, the Company may,  

 

72903894v2       4    to the extent permitted by applicable law, deduct the amount required to be reimbursed  from Executive’s compensation otherwise due under this Agreement.  4. Termination of Employment.  During the Employment Term, Executive’s  employment and this Agreement may be terminated only under the following circumstances.    (a) Termination by the Company for Cause, or by Executive without Good  Reason.  The Employment Term and Executive’s employment hereunder may be  terminated immediately by the Company for Cause, and shall terminate upon Executive’s  resignation without Good Reason; provided, that Executive will be required to give the  Company at least thirty (30) days advance written notice of a resignation without Good  Reason.  (b) Definition of Cause.    For purposes of this Agreement, “Cause” shall  mean a good faith determination by the Board that Executive has: (A) committed a  material act of dishonesty or disloyalty involving the Company; (B) committed a felony  or misdemeanor involving dishonesty or moral turpitude which has a material adverse  effect on the business of the Company; (C) engaged in willful conduct which is  materially injurious to the Company; or (D) materially breached any provision of this  Agreement, which breach is not cured within thirty (30) days after written notice thereof  is given to Executive, explaining in reasonable detail the nature of such asserted breach.    (c) Definition of Good Reason.   For purposes of this Agreement, “Good  Reason” shall mean, without the consent of Executive, (A) the material diminution of  Executive’s position (including status, offices, titles, and reporting requirements),  authorities, duties, or other such responsibilities as exist immediately prior to the  diminution; (B) the material reduction in Executive’s Salary, or benefits under Section  3(d), unless such reduction is part of a reduction in compensation for all Executives of the  Company on a pro rata basis; (C) the relocation of Executive’s principal place of  employment of greater than 50 miles from Executive’s location immediately prior to the  relocation.  (d)  Notice Requirements for Good Reason Termination.    If Executive  intends to terminate Executive’s employment for Good Reason:  (i) Executive must give  the Company written notice of the facts or events giving rise to Good Reason within  thirty (30) days following Executive’s knowledge of the facts or event alleged to give rise  to Good Reason; (ii) the Company must fail to cure the act or omission within thirty (30)  days following the Company’s receipt of such notice; and (iii) Executive must give the  Company written notice that his employment is terminated for Good Reason within thirty  (30) days following such failure to cure.  The failure by Executive to give such notice of  Good Reason shall be deemed a waiver of the right to terminate Executive’s employment  for Good Reason based on such fact or event.   (e) Definition of Change in Control.   For the purposes of this Agreement,  “Change in Control” shall mean any of the following:   

 

72903894v2       5    i. a change-in-control of a nature that would be required to be reported in  response to Item 6(e) of Schedule 14A of Regulation 14A promulgated  under the Securities Exchange Act of 1934, as amended (the “Exchange  Act”), whether or not the Holding Company is then subject to such  reporting requirement; or  ii. the public announcement (which, for purposes of this definition, shall  include, without limitation, a report filed pursuant to Section 13(d) of the  Exchange Act) by the Holding Company or any “person” (as such term is  used in Sections 13(d) and 14(d) of the Exchange Act) that such person  has become the “beneficial owner” (as defined in Rule 13d-3 promulgated  under the Exchange Act), directly or indirectly, of securities of the  Holding Company (i) representing 30% or more, but not more than 50%,  of the combined voting power of the Holding Company’s then outstanding  securities unless the transaction resulting in such ownership has been  approved in advance by the Continuing Directors (as hereinafter defined);  or (ii) representing more than 50% of the combined voting power of the  Holding Company’s then outstanding securities (regardless of any  approval by the Continuing Directors); provided, however, that  notwithstanding the foregoing, no Change-in-Control shall be deemed to  have occurred for purposes of this Agreement by reason of the ownership  of 30% or more of the total voting capital stock of the Holding Company  then issued and outstanding by the Holding Company, any subsidiary of  the Holding Company or any employee benefit plan of the Holding  Company or of any subsidiary of the Holding Company or any entity  holding shares of the Common Stock organized, appointed or established  for, or pursuant to the terms of, any such plan (any such person or entity  described in this clause is referred to herein as a “Company Entity”); or  iii. the Continuing Directors (as hereinafter defined), cease to constitute a  majority of the Holding Company’s Board of Directors; or  iv. the shareholders of the Holding Company approve (i) any consolidation or  merger of the Holding Company in which the Holding Company is not the  continuing or surviving company or pursuant to which shares of Holding  Company stock would be converted into cash, securities or other property,  other than a merger of the Holding Company in which shareholders  immediately prior to the merger have the same proportionate ownership of  stock of the surviving company immediately after the merger; (ii) any sale,  lease, exchange or other transfer (in one transaction or a series of related  transactions) of all or substantially all of the assets of the Holding  Company; or (iii) any plan of liquidation or dissolution of the Holding  Company.  For purposes of this definition, “Continuing Director” shall mean any  person who is a member of the Board of Directors of the Holding  Company, while such person is a member of the Board of Directors, who  

 

72903894v2       6    is not an Acquiring Person (as defined below) or an Affiliate or Associate  (as defined below) of an Acquiring Person, or a representative of an  Acquiring Person or of any such Affiliate or Associate, and who (i) was a  member of the Board of Directors on the date of this Agreement; or (ii)  subsequently becomes a member of the Board of Directors, if such  person’s initial nomination for election or initial election to the Board of  Directors is recommended or approved by a majority of the then  Continuing Directors.  For purposes of this definition, “Acquiring Person”  shall mean any “person” (as such term is used in Sections 13(d) and 14(d)  of the Exchange Act) who or which, together with all Affiliates and  Associates of such person, is the “beneficial owner” (as defined in Rule  13d-3 promulgated under the Exchange Act) directly or indirectly, of  securities of the Holding Company representing 30% or more of the  combined voting power of the Holding Company’s then outstanding  securities, but shall not include any Holding Company Entity; and  “Affiliate” and “Associate” shall have their respective meanings ascribed  to such terms in Rule 12b-2 promulgated under the Exchange Act.  (f) Termination by Reason of Death or Disability.  Executive’s employment  hereunder shall terminate automatically upon Executive’s death during the Employment  Term.  If the Company determines in good faith that a Disability (as defined below) of  Executive has occurred during the Employment Term, the Company may give to  Executive written notice of its intention to terminate Executive’s employment.  In such  event, Executive’s employment with the Company shall terminate effective on the  thirtieth (30th) day after receipt of such notice by Executive; provided, that within thirty  (30) days after such receipt, Executive shall not have returned to full-time performance of  Executive’s duties.  For purposes of this Agreement, “Disability” has the same meaning  as in the Company’s long-term disability plan, or if there is no such plan, or no definition  in such plan, “Disability” means a mental or physical condition which, in the opinion of  the Board, renders Executive unable or incompetent to carry out the material job  responsibilities which such Executive held or the material duties to which Executive was  assigned at the time the disability was incurred, which has existed for at least one  hundred eighty (180) consecutive days and, which condition, in the opinion of an  independent physician selected by the Company, is expected to be permanent or to have a  duration of more than one (1) year.  (g) Termination by the Company without Cause, or Resignation by Executive  for Good Reason.  The Employment Term and Executive’s employment hereunder may  be terminated by the Company without Cause (other than by reason of death or  Disability) or by resignation by Executive for Good Reason.  (h) Termination by the Company without Cause, or Resignation by Executive  for Good Reason Following a Change in Control.  If a Change in Control occurs during  the Employment Term, and the Employment Term and Executive’s employment  hereunder is terminated by the Company without Cause (other than by reason of death or  Disability) or by resignation by Executive for Good Reason, in each case, within 12  months following the Change in Control, then Executive shall receive the benefits set  

 

72903894v2       7    forth in Section 5(d).  Payment of the benefits set forth in Section 5(d) shall be made  promptly pursuant to the terms of this Agreement and without unreasonable delay.  (i) Notice of Termination.  Any purported termination of Executive’s  employment by either party shall be communicated by written Notice of Termination to  the other party.  As used herein, “Termination Date” shall mean in the case of  Executive’s death, his date of death, or in all other cases of termination by the Company,  the date specified in the Notice of Termination which shall be at least 30 days following  the date of the Notice of Termination, except for termination for Cause which may be on  or after the date of the Notice of Termination.  (j) Director and Officer Positions.  Upon the voluntary or involuntary  termination of Executive’s employment for any reason, Executive will be deemed to have  resigned from all director and officer positions he then holds with the Bank, the Holding  Company, and any related or affiliated entity, and Executive agrees that this Agreement  shall constitute affirmation of such resignations.  (k) Return of Records and Property.  Upon termination of Executive’s  employment with the Company for any reason, or at the Company’s earlier request,  Executive shall deliver promptly to the Company originals and all copies of all records,  manuals, books, blank forms, documents, letters, memoranda, notes, notebooks, reports,  data, tables, or calculations, whether in tangible or electronic format or media, which are  the property of the Company or which relate in any way to the business, products,  practices or techniques of the Company, and all other property, trade secrets and  Confidential Information (as defined herein) of the Company, including, but not limited  to, all office keys, security cards, credit cards, office equipment, computer hardware and  software, company products and prototypes, and all documents or electronic records  which in whole or in part contain any trade secrets or Confidential Information of the  Company, which in any of these cases are in Executive’s possession or under Executive’s  control.  Executive may not retain any copies of the documents referred to in this Section  4(k).  To the extent that Executive has downloaded or stored any proprietary, privileged,  confidential or trade secret information belonging to the Company on any personal, non- Company electronic media in Executive’s possession, custody, or control, such as  computers, cell phones, hand-held devices, back-up devices, zip drives, and the like,  Executive agrees to promptly contact the Company to arrange for transfer of such  documents and information back to the Company and for destruction of such documents  and information on Executive’s personal electronic media.  Executive also agrees to  return to the Company any and all passwords used by Executive with regard to the  computer, electronic or communication systems of the Company and to transition all  administrative rights used by Executive with regard to all social media and internet-based  accounts related to the business operations of the Company, so that the Company has  immediate, full and complete access to all data and information stored, used or  maintained on or in such systems or accounts.  Executive further agrees to not access or  interfere with or attempt to access or interfere with any of the Company’s computer  systems, networks or files.  

 

72903894v2       8    5. Obligations Upon Termination.  (a) Termination by the Company for Cause, or by Executive without Good  Reason.  If Executive’s employment with the Company is terminated by the Company for  Cause, or is voluntarily terminated by Executive without Good Reason, the Company will  pay or provide Executive with the following: (i) Executive’s Salary earned but unpaid as  of the Termination Date, payable in a lump sum within thirty (30) days after the  Termination Date (or earlier to the extent required by law); and (ii) all vested benefits to  which Executive is entitled under any benefit plans set forth in the benefits section hereof  in accordance with the terms of such plans through the Termination Date, including,  without limitation, PTO (collectively, the “Accrued Obligations”). Executive shall forfeit  any other unvested amounts, including any unearned bonuses.    (b) Termination by Reason of Disability or Death.  If Executive’s  employment with the Company is terminated during the Employment Term by reason of  Executive’s Disability or death, the Company will pay and/or provide Executive or  Executive’s legal representative, as the case may be, (i) the Accrued Obligations; (ii) a  pro-rated incentive award pursuant to the terms of the Bank’s Executive Short Term  Incentive Plan; and (iii) a pro-rated incentive award pursuant to the terms of the Bank’s  Executive Long Term Incentive Plan.  (c) Termination by the Company without Cause, or Resignation by Executive  with Good Reason.  If Executive’s employment with the Company is terminated by the  Company without Cause or by Executive with Good Reason and as to (ii)-(iv) below  Executive irrevocably executes the Release as specified in Section 5(e), promptly upon  expiration of any revocation period applicable to the Release but no later than five (5)  business days thereafter, the Company will pay or provide Executive with the following:    i. the Accrued Obligations;   ii. an amount equal to a pro-rated incentive award pursuant to the terms of  the Bank’s Executive Short Term Incentive Plan for the plan year in which  the termination occurs at Level II (i.e. Plan) or actual performance versus  Plan if higher at the time of termination;   iii. a payment equal to fifty percent (50%) of (A) the Executive’s annual  Salary at the time of termination and (B) the greater of (x) the amount of a  pro-rated incentive award pursuant to the terms of the Bank’s Executive  Short Term Incentive Plan for the plan year in which the termination  occurs at Level II (i.e. Plan) or actual performance versus Plan if higher at  the time of termination or (y) a pro-rated amount of the average Executive  Short Term Incentive Plan awards, if any, that Executive received for the  two plan years immediately prior to the plan year in which termination  occurs; and  iv. provided that Executive or his spouse or dependents timely elect  continuation coverage under a group health plan of the Company pursuant  

 

72903894v2       9    to the requirements of Section 4980B of the Code, as amended, and any  similar applicable law, (“COBRA”), continued participation in the  Company’s medical and dental plans with the full monthly premiums to be  paid by the Company until the earlier of (A) Executive’s eligibility for  coverage under another employer’s group health plan, (B) termination of  Executive’s rights to continuation coverage under COBRA, or (C) six (6)  months following the termination of Executive’s employment with the  Company.  Executive agrees and acknowledges that the period of  coverage under such plans shall run concurrently with such plans’  obligations to provide continuation coverage pursuant to COBRA, and that  this subsection shall not limit such plans’ obligations to provide  continuation coverage under COBRA.   (d) Termination by the Company without Cause, or Resignation by Executive  with Good Reason Following a Change in Control.  If Executive’s employment with the  Company is terminated by the Company without Cause or by Executive with Good  Reason following a Change in Control pursuant to Section 4(h) and as to (ii)-(iv) below  Executive irrevocably executes the Release as specified in Section 5(e), promptly upon  expiration of any revocation period applicable to the Release but no later than five (5)  business days thereafter, the Company will pay or provide Executive with the following  in lieu of any payments under Section 5(c) herein:    i. the Accrued Obligations;   ii. a pro-rated incentive award pursuant to the terms of the Bank’s Executive  Short Term Incentive Plan for the plan year in which the termination  occurs at Level II (i.e. Plan) or actual performance versus Plan if higher at  the time a definitive agreement is announced;   iii. a payment equal to two hundred percent (200%) of (A) the Executive’s  annual Salary at the time of termination and (B) the greater of (x) the  amount of a pro-rated incentive award pursuant to the terms of the Bank’s  Executive Short Term Incentive Plan for the plan year in which the  termination occurs at Level II (i.e. Plan) or actual performance versus Plan  if higher at the time of termination or (y) a pro-rated amount of the  average Executive Short Term Incentive Plan awards, if any, that  Executive received for the two plan years immediately prior to the plan  year in which termination occurs; and  iv. provided that Executive or his spouse or dependents timely elect  continuation coverage under a group health plan of the Company pursuant  to the requirements of Section 4980B of the Code, as amended, and any  similar applicable law, (“COBRA”), continued participation in the  Company’s medical and dental plans with the full monthly premiums to be  paid by the Company until the earlier of (A) Executive’s eligibility for  coverage under another employer’s group health plan, (B) termination of  Executive’s rights to continuation coverage under COBRA, or (C) twenty- 

 

72903894v2       10    four (24) months following the termination of Executive’s employment  with the Company.  Executive agrees and acknowledges that the period of  coverage under such plans shall run concurrently with such plans’  obligations to provide continuation coverage pursuant to COBRA, and that  this subsection shall not extend such plans’ obligations to provide  continuation coverage under COBRA.  In the event that Executive timely  elects COBRA continuation and remains covered under the Company’s  group health plan, but his right to COBRA continuation terminates under  (B) above due to expiration of the maximum COBRA continuation period,  and is not extended after 18 months of coverage, then the Company will at  that time pay Executive a lump sum amount equal to six (6) months of  Executive’s monthly COBRA premiums which he may direct toward  future health insurance premium payments.   (e) Release. No obligations of the Company or the Bank with respect to  payments to Executive pursuant to Section 5(c)(ii)-(iv) or Section 5(d)(ii)-(iv) shall exist  or apply unless Executive has after the Termination Date timely executed a separation  agreement containing a general release in a form provided by and acceptable to the  Company (the “Release”) and any applicable revocation periods in the Release have  expired without rescission by Executive.   (f) Vesting.  All unvested equity interests held by Executive as of the  Termination Date shall terminate and be forfeited, unless those unvested grants shall be  deemed to have vested in their entirety as of the Termination Date pursuant to the terms  of the applicable grant agreement, the Bank’s Executive Long Term Incentive Plan, or  the Holding Company’s 2018 Equity Incentive Plan, or any successor plans thereto.  (g) Section 280G.  Notwithstanding anything to the contrary herein contained,  under no circumstances shall the payments made to Executive result in an “excess  parachute payment” as defined under Section 280G of the Internal Revenue Code of  1986, as amended.  To the extent that such payments could result in an “excess parachute  payment,” the payments shall be reduced to avoid such result, the manner of which  reduction shall be in the sole discretion of the Board of Directors of the Company.  Any  amounts reduced pursuant to this Section 5(g) shall be deemed forfeited by Executive,  and Executive shall have no authority whatsoever to determine the order in which  benefits under this Agreement shall be so reduced.  (h) Timing of Severance Payments.  The payments, if any, owed to Executive  under Section 5(c)(ii)-(iii) or Section 5(d)(ii)-(iii) will be paid in a lump sum on or before  the sixtieth (60th) day following Employee’s termination, provided that all statutory  rescission periods contained in the Release have expired without revocation by  Executive, and subject to Section 16 herein.  Where the period available to execute (and  to not revoke) the Release spans more than one calendar year, the payment shall not be  made until the second calendar year as required by the applicable terms of this  Agreement and Section 409A of the Internal Revenue Code.    

 

72903894v2       11    6. Restrictive Covenants.  (a) Need for Restrictions.  Executive acknowledges and agrees that the  Company’s business, technical, and customer information is established and maintained at great  expense to the Company and is of significant value to the Company, and that by virtue of  employment with the Company, Executive will have information pertaining to, unique and  extensive exposure to, and personal contact with, the Company’s business, technical and  customer information which would enable Executive to compete unfairly with the Company.  As  a result, and in consideration of the Company’s severance obligations under Section 5(c) and  Section 5(d), Executive acknowledges and agrees that the following restrictions are necessary to  protect the Company’s business.     (b) Confidential Information.  For purposes of this Agreement, “Confidential  Information” means information disclosed to Executive or known by him as a result of or  as disclosed in the course of Executive’s employment with the Company which is not  generally known to the public pertaining to the Company’s business, including, but not  limited to, operations, contracts, customers, customer lists, proposals, research and  development, procedures and protocols, operating models, financial information, pricing,  price lists, marketing methods, strategic planning information, information stored in or  developed for use with Company’s computer systems, insurance plans, risk management  information, or marketing programs, and third-party information that the Company may  learn from its customers or clients.  Confidential Information shall include any such  information developed or created by Executive if the information was developed or  created by Executive while executing Executive’s duties for the Company or if the  information was developed or created by Executive based upon any Confidential  Information that Executive learned by virtue of Executive’s employment with the  Company.  Confidential Information shall not include any information that Executive can  demonstrate is in the public domain by means other than disclosure by Executive, but  shall include non-public compilations, combinations, or analyses of otherwise public  information.  (c) Non-Disclosure or Use of Confidential Information.  For as long as  Executive shall remain employed by the Company, and after termination of employment  with the Company for any reason, Executive shall not directly or indirectly, under any  circumstances, communicate or disclose to any person, firm, association, corporation,  company or any other third party, or use for Executive’s own benefit or the benefit of any  person or entity other than the Company, any Confidential Information, and Executive  will keep secret and in strict confidence and hold inviolate said Confidential Information.   Executive further agrees, however, not to disclose to others or use at any time after the  termination of his employment with the Company any Confidential Information that  constitutes and remains a trade secret under the Wisconsin Trade Secrets Act, as amended  (Section 134.90 Wis. Stats.), any Confidential Information that the Company received  from a third party and continues to hold in confidence, and any Confidential Information  that he is otherwise prohibited by law from disclosing to others or using.  The  prohibitions of this paragraph do not apply to Confidential Information after it has  become generally known and/or in the public domain through no fault of Executive.  The  prohibitions of this paragraph also do not prohibit use of Executive’s general skills and  

 

72903894v2       12    knowledge acquired during and prior to his employment by the Company, as long as such  use does not involve the use or disclosure of Confidential Information. This non- disclosure provision does not prohibit Executive from providing truthful information to  any governmental entity as required by law or as part of an agency investigation without  prior notice to the Company.  (d) Defend Trade Secrets Act.  Executive understands that if Executive  breaches the provisions of Section 6(c) above, Executive may be liable to the Company  under the Defend Trade Secrets Act of 2016 (“DTSA”).  Executive further understands  that by providing Executive with the following notice, the Company may recover from  Executive its attorney fees and exemplary damages if it brings a successful claim against  Executive under the DTSA:  Under the federal Defend Trade Secrets Act of 2016,  Executive shall not be held criminally or civilly liable under any federal or state trade  secret law for the disclosure of a trade secret that is made:  (a)(i) in confidence to a  federal, state, or local governmental official, either directly or indirectly, or to an attorney  and (ii) solely for the purpose of reporting or investigating a suspected violation of law or  (b) in a complaint or other document filed in a lawsuit or other proceeding, if such filing  is made under seal.  Without limiting the foregoing, if Executive files a lawsuit for  retaliation by the Company for reporting a suspected violation of law, Executive may  disclose the trade secret to Executive’s attorney and use the trade secret information in  the court proceeding, if Executive (i) files any document containing the trade secret under  seal and (ii) does not disclose the trade secret, except pursuant to court order.  (e) Nonsolicitation of Customers.  During Executive’s employment, and for a  period of twenty-four (24) months following the earlier of (i) the termination of  Executive’s employment with the Company, whether voluntary or involuntary and  whether with or without Cause, or (ii) the date of a Change in Control, Executive shall  not, directly or indirectly canvas, contact or solicit any “Active Customer” (as defined  below) of the Company for the purpose of selling, offering or providing products or  services which are the same as or substantially similar to the products or services  provided by the Company at any time during the “Reference Period” (as defined below).   “Active Customer” shall mean any person or entity which, within the 12-month period  prior to the termination of Executive’s employment with the Company (the “Reference  Period”), received any products or services supplied by or on behalf of the Company;  provided, however, “Active Customer” shall be further limited to those customers of the  Company: (i) with whom Executive had material business contact as an Executive of the  Company during the Reference Period; (ii) whose dealings with the Company were  coordinated or supervised, in whole or in part, by Executive during the Reference Period;  or (iii) about whom Executive obtained Special Knowledge (as defined below) as a result  of Executive’s position with the Company during the Reference Period. “Special  Knowledge” means Confidential Information that is used, possessed by or developed for  the Company in the course of soliciting, selling to or servicing a customer, including, but  not limited to, existing or proposed bids, pricing and cost information, margins,  negotiation strategies, sales strategies and information generated for customer  engagements.  

 

72903894v2       13    (f) Non-Solicitation of Company Personnel.  During Executive’s employment  and for a further period of twenty-four (24) months beginning on the earlier of (i) the  termination of Executive’s employment with the Company under any circumstances or  (ii) the date of a Change of Control, Executive agrees that Executive shall not, directly or  indirectly, solicit, encourage or induce any employee, consultant, contractor, or other  agent of the Company with whom Executive had substantial contact during the Reference  Period and who has knowledge of Confidential Information to terminate a relationship  (employment or otherwise), or breach any agreement with the Company.    (g) Noncompetition. During Executive’s employment, and for a period of  eighteen (18) months following the earlier of (i) the termination of Executive’s  employment with the Company, whether voluntary or involuntary and whether with or  without Cause, or (ii) the date of a Change of Control, Executive shall not, directly or  indirectly, have a financial interest in, or act in a “Prohibited Capacity” (as defined  below) on behalf of, any entity which competes with the Company anywhere within the  “Restricted Territory” (as defined below).  This restriction shall not apply to any  activities conducted on behalf of an entity that is not a financial institution or owned or  controlled by a financial institution, except to the extent such activities are for the benefit  of a competitor.  Further, this restriction shall not apply to a financial institution with  deposit market share of less than 5% in the Eau Claire, Wisconsin market (as published  by S&P Global Market Intelligence).  A “financial interest” shall not include the  ownership of less than 5% of the securities of any corporation or other entity that is listed  on a national securities exchange or traded in the national over-the-counter market.   “Prohibited Capacity” means a capacity that directly competes with the Company within  the Restricted Territory as required by (i) duties or responsibilities substantially similar to  those of Executive’s position with the Company at any time during the Reference Period  or (ii) management, sales or marketing duties or responsibilities.  The “Restricted  Territory” means the territory within a 50-mile radius of the Company’s headquarters  office in Eau Claire, Wisconsin.    7. Enforcement.    (a) If, at the time of enforcement of the covenants contained in Section 6  above (collectively, the “Restrictive Covenants”), a court shall hold that the duration,  scope or area restrictions stated are unreasonable under circumstances then existing, the  parties agree that the maximum duration, scope or area reasonable under such  circumstances shall be substituted for the stated duration, scope or area and that the court  shall be allowed to revise the Restrictive Covenants to cover the maximum duration,  scope and area permitted by law.  Executive has had the opportunity to consult with  Executive’s own legal counsel regarding the Restrictive Covenants and agrees that the  Restrictive Covenants are reasonable in terms of duration, scope and area restrictions and  are necessary to protect the goodwill of the Company’s businesses and agrees not to  challenge the validity or enforceability of the Restrictive Covenants.  In exchange for  Executive agreeing to be bound by these reasonable and necessary covenants, the  Company is providing Executive with the benefits as set forth in this Agreement,  including without limitation the severance described in Sections 5(c) and 5(d).  Executive  acknowledges and agrees that these benefits constitute full and adequate consideration for  

 

72903894v2       14    Executive’s obligations hereunder and will be provided only if Executive signs this  Agreement.  (b) If Executive breaches, or threatens to commit a breach of any of the  Restrictive Covenants, the Company shall have the following rights and remedies, each  of which rights and remedies shall be independent of the others and severally  enforceable, and each of which is in addition to, and not in lieu of, any other rights and  remedies available to the Company at law or in equity:  i. The right and remedy to have the Restrictive Covenants  specifically enforced by any court of competent jurisdiction, including, for  example, by temporary or permanent injunctive or other equitable relief without  the necessity of proving actual damages, it being agreed that any breach or  threatened breach of the Restrictive Covenants would cause irreparable injury to  the Company and that money damages would not provide an adequate remedy to  the Company; and  ii. The right and remedy to require Executive to account for  and pay over to the Company any profits, monies or other benefits derived or  received by Executive as the result of any transactions constituting a breach of the  Restrictive Covenants.  8. Notices.  All notices, demands or other communications shall be sent to Executive  and the Company at the addresses indicated below to such other addresses or to the attention of  such other persons as the recipient party has specified by prior written notice to the sending  party, or in the case of the Executive, to the most recent address on record with the Company’s  Human Resource Department.  Notice to Executive  5449 North Shore Drive   Eau Claire, WI  54703       Notice to Company  2174 Eastridge Center  Eau Claire WI 54701   Attn: Steve Bianchi, President and Chief Executive Officer    9. Attorneys’ Fees.  In the event that the either Party brings any action to enforce  any of the provisions of this Agreement, or to obtain money damages for the breach thereof, all  expenses, including reasonable attorneys’ fees, incurred by the party prevailing on substantially  all of the claims finally decided in the action, shall be paid by the other party with 120 days of  the date that entry of judgment on the claims brought in the action becomes final and non – appealable.   In addition, the Company shall pay Executive any reasonable legal fees and  reasonable expenses incurred by Executive in connection with any dispute with any Federal  state, or local governmental agency with respect to benefits claimed under this Agreement. Such  

 

72903894v2       15    reimbursement must be requested no later than two (2) months after the conclusion of the dispute  and shall be paid within two (2) months after the request for reimbursement.  10. Severability.  Whenever possible, each provision of this Agreement shall be  interpreted in such a manner to be effective and valid under applicable law, but if any provision  of this Agreement is held to be invalid, illegal or unenforceable in any respect under any  applicable law or rule in any jurisdiction, such invalidity, illegality or unenforceability shall not  affect any other provision or any other jurisdiction, but this Agreement shall be reformed,  construed and enforced in such jurisdiction as if such invalid or illegal provision had never been  contained herein.  11. Complete Agreement.  This Agreement contains the complete agreement and  understanding between the parties related to Executive’s employment, and supersedes, replaces,  and preempts any prior understandings, agreements, or representations by or among the parties  related to such employment, whether written or oral, which may have related to the subject  matter herein in any way, including without limitation the Amended Executive Employment  Agreement as modified by Addendum No. 1.    12. Survival.  The provisions of Sections 4, 5, 6, 7, and 9 shall survive the termination  of this Agreement and Executive’s employment with the Company.  13. Counterparts.  This Agreement may be executed in separate counterparts, each of  which is deemed to be an original and all of which taken together constitute one and the same  agreement.  14. Choice of Law.  All issues concerning the construction, validity, enforcement and  interpretation of this Agreement shall be governed by and construed in accordance with the laws  of the State of Wisconsin, without giving effect to any choice of law or conflict of law rules or  provisions (whether of the State of Wisconsin or any other jurisdiction) that would cause the  application of the laws of any jurisdiction other than the State of Wisconsin.  15. Amendments and Waiver.  The provisions of this Agreement may be amended or  waived only by a written instrument, with written consent by both the Company and Executive,  and no course of conduct or failure or delay in enforcing the provisions of this Agreement shall  affect the validity, binding effect or enforceability of this Agreement.  16. Code Section 409A.  Notwithstanding any other provision of this Agreement to  the contrary, Executive and the Company agree that the payments hereunder shall be exempt  from, or satisfy the applicable requirements, if any, of Section 409A of the Internal Revenue  Code of 1986, as amended (the “Code”) in a manner that will preclude the imposition of  penalties described in Code Section 409A.  Payments made pursuant to this Agreement are  intended to satisfy the short-term deferral rule or separation pay exception within the meaning of  Code Section 409A.  Executive and the Company agree that this Agreement shall be interpreted  to the extent possible to be exempt from or satisfy the requirements described above.  References  to termination of employment or similar terms hereunder shall mean a “separation from service”   within the meaning of Code Section 409A.  Notwithstanding anything herein to the contrary, this  Agreement shall, to the maximum extent possible, be administered, interpreted and construed in  

 

72903894v2       16    a manner consistent with Code Section 409A; provided, that in no event shall the Company have  any obligation to indemnify Executive from the effect of any taxes under Code Section 409A.  If any payment or benefit provided to Executive in connection with Executive’s  termination of employment is determined to constitute “nonqualified deferred compensation”  within the meaning of Section 409A of the Code and Executive is determined to be a “specified  employee” as defined in Section 409A(a)(2)(b)(i) of the Code, then such payment or benefit shall  not be paid until the first payroll date to occur following the six-month anniversary of the  termination or, if earlier, on Executive’s death (the “Specified Employee Payment Date”).  The  aggregate of any payments that would otherwise have been paid before the Specified Employee  Payment Date shall be paid to Executive in a lump sum on the Specified Employee Payment  Date and thereafter, any remaining payments shall be paid without delay in accordance with their  original schedule.  17. Assignment.  This Agreement and all rights hereunder are personal to Executive  and shall not be assignable by Executive; provided, however, that any amounts that shall have  become payable under this Agreement prior to Executive’s death shall inure to the benefit of  Executive’s heirs or other legal representatives, as the case may be.  This Agreement shall be  binding upon and inure to the benefit of the Company and any successor of the Company.  The  Company shall require any successor to all or substantially all of the business and/or assets of the  Company to expressly assume and agree to perform this Agreement in the same manner and to  the same extent that the Company would be required to perform if no succession had taken place,  unless such obligations have been assumed by the successor as a matter of law.    [SIGNATURE PAGE FOLLOWS]     

 

72903894v2       17    IN WITNESS WHEREOF, the parties have duly executed this Agreement as of the day  and year first above written.    CITIZENS COMMUNITY BANCORP, INC.  James S. Broucek    By:                         Its:           CITIZENS COMMUNITY FEDERAL, N.A.,      By:                    Its:                                                           [Signature Page to Second Amended and Restated Executive Employment Agreement by and  between Citizens Community Bancorp, Inc., Citizens Community Federal, N.A., and James S.  Broucek]

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