Document:

EX-10.1

Employment Transition Agreement

This document is an Employment Transition Agreement (this “Employment Transition
Agreement”) and is between Ferro Corporation (“Ferro”) and Thomas M. Gannon (“Mr.
Gannon”).

For good and valuable consideration, and intending to be legally bound, Ferro and Mr. Gannon
hereby agree as follows:

1. Background

	 	A.	 	Mr. Gannon has been employed by Ferro since May 12, 2003.

	 	B.	 	As of May 12, 2003, Mr. Gannon and Ferro signed a confidentiality agreement
(the “Confidentiality Agreement”) with Ferro.

	 	C.	 	As of May 16, 2003, Ferro and Mr. Gannon signed a Change in Control Agreement
(the “Change in Control Agreement”), which provides certain benefits in the event of a
cessation of employment following a change in control as defined therein (a “Change in
Control”).

	 	D.	 	Mr. Gannon currently serves as Ferro’s Vice President and Chief Financial
Officer.

	 	E.	 	Mr. Gannon has career aspirations beyond his current role as Chief Financial
Officer.

	 	F.	 	Ferro and Mr. Gannon have mutually decided to allow Mr. Gannon to explore over
time alternative opportunities within Ferro or, failing identifying a suitable
alternative for Mr. Gannon within Ferro, to terminate Mr. Gannon’s employment with
Ferro on the terms and conditions set forth in this Agreement.

2. Transition

	 	A.	 	Mr. Gannon will remain Ferro’s Chief Financial Officer through January 1, 2007,
and will remain entitled to his current pay and benefits through January 2, 2007.

	 	B.	 	Beginning today, however, Mr. Gannon will seek to identify and evaluate
alternative opportunities within Ferro that might take full advantage of Mr. Gannon’s
unique skills and experience and be consistent with Mr. Gannon’s own personal career
aspirations, which opportunities will be reviewed in good faith by Ferro, it being
acknowledged that Ferro will be under no obligation to hire Mr. Gannon into any other
such position.

	 	C.	 	If, despite such efforts, Ferro and Mr. Gannon are unable mutually to agree on
a suitable alternative opportunity for Mr. Gannon by January 1, 2007, then (unless a
Change in Control has occurred on or before that date) Mr. Gannon’s employment will
terminate on January 3, 2007 (the “Qualifying Termination”) and he will thereupon
become entitled to the severance package (the “Standby Severance Package”) described in
paragraph 3 below and the other benefits provided under this Agreement.

	 	D.	 	Between today and January 2, 2007, Mr. Gannon will make himself available
during normal working hours to assist Ferro in achieving its organizational goal of
accomplishing an orderly transfer of leadership of its financial organization by
providing Mr. Gannon’s successor assistance in his or her transition into the role of
Ferro’s Chief Financial Officer. If in the judgment of Ferro’s Chief Executive
Officer, Mr. Gannon has failed to make himself available to provide such assistance
satisfactorily, then Mr. Gannon will not be entitled to the Standby Severance Package
or any other benefits under this Agreement.

3. Standby Severance Package

If Mr. Gannon becomes entitled to receive the Standby Severance Package, then the Standby
Severance Package would consist of the following:

	 	A.	 	Severance Period

The “Severance Period” would be the period beginning January 3, 2007, and ending
December 31, 2007.

	 	B.	 	Severance Payments 

Ferro would pay Mr. Gannon as severance -

	 	(1)	 	The amount of $15,208.33 each twice-monthly pay period for
payroll periods from January 3, 2007 through the earlier of December 31, 2007
or the date of Mr. Gannon’s death; and

	 	(2)	 	A lump sum amount equal to $182,500 on or before December 31,
2007.

	 	C.	 	Severance Benefits

Ferro would pay the employer’s portion of Mr. Gannon’s premium costs under Ferro’s
group health (i.e., medical, dental, and vision) plans in accordance with his
current elections, through January 2, 2007, and Ferro would reimburse Mr. Gannon for
premiums paid by him for continuation coverage under the Consolidated Omnibus Budget
Reconciliation Act (“COBRA”) up to the amount of Ferro’s current employer
contributions for his group health coverage throughout the Severance Period and for
the first six months following the end of the Severance Period.

	 	D.	 	Company Automobile

On or before January 31, 2007, Mr. Gannon will be entitled to purchase his company
automobile in accordance with normal Ferro policy. Mr. Gannon will be entitled to
the use of such automobile (together with gasoline, normal maintenance, and
insurance) until such date.

	 	E.	 	Cellular Telephone

Mr. Gannon will be entitled to the continued use of his company cellular telephone
until January 3, 2007. Ferro will cooperate with Mr. Gannon in transferring his
company cellular telephone number to a personal cellular telephone service of Mr.
Gannon’s choosing.

4. Annual Incentive Plan

	 	A.	 	Mr. Gannon is a participant in the Ferro annual incentive plan and will be
eligible for a bonus payment as provided under such plan for the year 2006.

	 	B.	 	Pursuant to the foregoing and the terms of the annual incentive plan, if Mr.
Gannon’s employment terminates on January 3, 2007, then Ferro will determine the amount
of Mr. Gannon’s bonus (if any) in good faith and in the ordinary course. If Mr. Gannon
is entitled to a bonus payment for 2006, then Ferro will pay Mr. Gannon the bonus when
payments are made to other participants.

	 	C.	 	If Mr. Gannon’s employment terminates on or before January 3, 2007, then Mr.
Gannon will not be eligible for a bonus payment for the year 2007.

	 	D.	 	The terms under which Mr. Gannon participates in the annual incentive plan are
not modified by this Agreement.

5. Stock Options

	 	A.	 	Mr. Gannon has been awarded as-yet-unexercised stock options under Ferro’s 2003
Long-Term Incentive Compensation Plan.

	 	B.	 	If Mr. Gannon’s employment terminates on January 3, 2007, and subject to any
trading blackouts that may from time to time be in effect, Mr. Gannon will be entitled
to exercise any of the foregoing options that have vested as of the date of his
employment with Ferro terminates provided Mr. Gannon carries out such exercise no later
than 90 days after Ferro has filed its Annual Report on Form 10-K for the fiscal year
ended December 31, 2006, with the Securities and Exchange Commission. After such
90-day period has ended, however, Mr. Gannon will not be entitled to exercise any
further Ferro stock options.

	 	C.	 	If Mr. Gannon’s employment terminates on or before January 3, 2007, then Ferro
will make no further awards of stock options to Mr. Gannon.

	 	 	6. Performance Share Awards 

	 	A.	 	Ferro has made as-yet-unmatured awards of Performance Shares to Mr. Gannon
under Ferro’s 2003 Long-Term Incentive Compensation Plan.

	 	B.	 	If Mr. Gannon’s employment terminates on January 3, 2007, then Ferro will in
good faith and in the ordinary course determine the amount (if any) of Mr. Gannon’s
entitlement to a payment and distribution in respect of his Performance Share award for
the 2004-2006 performance period. If Mr. Gannon is entitled to a payment and
distribution for the 2004-2006 performance period, then Ferro will pay Mr. Gannon such
amount when payments are made to other participants.

	 	C.	 	Ferro has also made the following as-yet-unmatured awards of Performance Shares
to Mr. Gannon under Ferro’s 1997 Performance share Plan and/or Ferro’s 2003 Long-Term
Incentive Compensation Plan:

	 	(1)	 	8500 Performance Shares for the performance period January 1,
2005, through December 31, 2007, and

	 	(2)	 	13,400 Performance Shares for the performance period January 1,
2006, through December 31, 2008,

Ferro will make no further awards to Mr. Gannon under the Performance Share Plan and
Mr. Gannon will be eligible for no further distributions or payments with respect to
such as-yet-unmatured Performance Shares.

	 	D.	 	The terms under which Mr. Gannon participates in the 2003 Long Term Incentive
Compensation Plan are not modified by this Agreement.

7. Non-Competition and Confidentiality

Mr. Gannon will not disclose this Employment Transition Agreement or its terms to anyone
other than his spouse or his personal tax advisor, financial advisor, or attorney, who will
similarly maintain it in confidence.

In addition, in consideration of the Severance Package, if Mr. Gannon incurs a Qualifying
Termination on January 3, 2007 Mr. Gannon promises that:

	 	A.	 	During the Severance Period and for a period of one year thereafter, Mr. Gannon
will not, without Ferro’s prior written approval, directly or indirectly, engage in, or
assist or have an ownership interest in, or act as agent, advisor or consultant of,
for, or to any person, firm, partnership, corporation or other entity that is engaged
in, the manufacture or sale of products that compete with Ferro’s products or any
products which are logical extensions, on a manufacturing or technological basis, of
such products.

	 	B.	 	During the Severance Period and thereafter, Mr. Gannon will not disclose to any
persons any proprietary or confidential business information concerning Ferro, any of
its affiliated companies, obtained or which came to Mr. Gannon’s attention during the
course of his employment with Ferro, except as may otherwise be required by law or by a
court of competent jurisdiction.

	 	C.	 	During the Severance Period and thereafter, Mr. Gannon will not make any
statements or disclose any information concerning Ferro, its directors, officers,
management, staff, employees, representatives, or agents (collectively, “Ferro and its
management”) which are likely to disparage Ferro or its management, which are likely to
damage the reputation or business prospects of Ferro or its management, or which are
likely to interfere in any way with the business relations Ferro has with its customers
(including potential customers), suppliers, alliance partners, employees, investors, or
shareholders.

In addition, Mr. Gannon hereby reaffirms the commitments he made to Ferro in paragraphs 1-4
of his Confidentiality Agreement.

Ferro will cause its senior management to refrain from making any statements or disclosing
any information concerning Mr. Gannon which is likely to disparage Mr. Gannon or which is
likely to damage his reputation or employment prospects, unless required to do so by law or
a court of competent jurisdiction.

8. Waiver

Mr. Gannon acknowledges that the benefits provided under this Employment Transition
Agreement will be paid only if he provides Ferro, as soon as administratively practicable
following his Qualifying Termination on January 3, 2007:

	 	A.	 	A written waiver of any and all rights Mr. Gannon otherwise might have to any
other severance benefits offered to Ferro employees or other right or benefit under any
agreement, understanding, or promise, whether written or oral, between Mr. Gannon and
Ferro, except for benefits, if any, to which Mr. Gannon may be entitled under Ferro
qualified retirement plans or COBRA or HIPAA, or under the annual incentive plan, stock
option awards, Stock Option Plan, Performance Share Plan or Long-Term Incentive
Compensation Plan as identified, and only to the extent provided, in paragraphs 4
through 6 of this Employment Transition Agreement, and

	 	B.	 	A release in substantially the same form as contained in paragraphs 9 and 10 of
this Employment Transition Agreement.

9. Release

In consideration of the rights provided under this Agreement, Mr. Gannon releases Ferro, as
well as all employees, officers, directors, parents, subsidiaries, affiliates, agents,
representatives, successors, and assigns of Ferro, from any and all claims, demands,
actions, causes of action, suits, damages, losses, costs, attorneys’ fees, and or expenses,
known or unknown, which Mr. Gannon has or may claim to have against any of the foregoing
arising from his employment or as a result of his termination of employment with Ferro,
except as specifically provided for under this Agreement. Ferro, in turn, hereby releases
Mr. Gannon from any and all claims, demands, actions, causes of action, suits, damages,
losses, costs, attorneys’ fees, and or expenses, known or unknown, which Ferro has or may
claim to have against Mr. Gannon arising from Mr. Gannon’s employment with Ferro, except
with respect to intentional wrongdoing or illegal conduct by Mr. Gannon in connection with
his employment with Ferro.

Mr. Gannon covenants to Ferro that, in consideration of the rights provided under this
Agreement, he will not assert any such claims, demands, actions, or causes of action.

Mr. Gannon acknowledges that the foregoing release includes (but is not limited to) claims
arising under Federal, state, or local law in the United States prohibiting employment
discrimination, such as the Age Discrimination in Employment Act of 1967, as amended, Title
VII of the Civil Rights Act of 1964, as amended, the Civil Rights Act of 1991, the Employee
Retirement Income Security Act, the Equal Pay Act, 42 U.S.C. §1981, Section 1981 of the
Civil Rights Act of 1866, the Vietnam Era Veterans Readjustment Assistance Act, the
Rehabilitation Act of 1973, the Americans with Disabilities Act, the Family and Medical
Leave Act, and all claims under any other Federal or state laws, local ordinances or common
law and other laws restricting an employer’s right to terminate the employment relationship.
Mr. Gannon further acknowledges that such release includes (but is not limited to) any
claims Mr. Gannon may have for unemployment compensation or may have under any internal
grievance procedure at Ferro.

The foregoing release will not, however, apply to any claims, demands, actions, or causes of
action arising after the date Mr. Gannon executes this Agreement.

10. Voluntary Election

Mr. Gannon acknowledges that:

	 	A.	 	The only consideration Mr. Gannon has been given for signing this Employment
Transition Agreement are the terms stated in this Employment Transition Agreement.

	 	B.	 	No other promises or agreements have been made to or with Mr. Gannon by any
person or entity to induce Mr. Gannon to sign this Employment Transition Agreement.

	 	C.	 	Mr. Gannon has been given at least 21 days to consider the effect of this
Employment Transition Agreement, including the release contained above, before signing
this Employment Transition Agreement.

	 	D.	 	Mr. Gannon has been encouraged to discuss this Employment Transition Agreement
and any matters related to the termination of his employment (including any rights Mr.
Gannon may have with respect to a claim of employment discrimination) with a legal
advisor of Mr. Gannon’s own choosing and Mr. Gannon has had ample opportunity to do so.

	 	E.	 	Mr. Gannon understands that he may revoke this Employment Transition Agreement
in writing during the seven day period beginning the day Mr. Gannon signs this
Employment Transition Agreement and delivers it to Ferro and that this Employment
Transition Agreement will be neither effective nor enforceable until Mr. Gannon’s
seven-day revocation period has expired.

11. Withholding

All payments under this Employment Transition Agreement will be subject to withholding,
deductions and contributions as required by law. Ferro may withhold from any payment made
by it under this Agreement amounts as may be required to comply with the tax withholding or
other provisions of the Internal Revenue Code of 1986, as amended, or the Social Security
Act or any state or local income or employment tax act or for purposes of paying any estate,
inheritance or other tax attributable to any amounts payable under this Employment
Transition Agreement.

1

	 	 	12. Death

If Mr. Gannon dies on or before January 3, 2007 while still employed at Ferro, then
notwithstanding anything to the contrary provided in this Employment Transition Agreement,
Ferro will pay Mr. Gannon’s beneficiary (as designated by Mr. Gannon in writing to Ferro)
or, failing such designation, to Mr. Gannon’s estate the lump sum severance payment
described in paragraph 3.B(2) above and provide Mr. Gannon’s family with the severance
benefits described in paragraph 3.C above through December 31, 2007. In such case, Ferro
will make the lump sum payment as soon as administratively practicable following the date of
Mr. Gannon’s death, and in any event shall be made no later than the 15th day of
the third calendar month following the close of the calendar year containing the date of
death.

	 	 	13. Change in Control Agreement

	 	A.	 	The Change in Control Agreement will terminate the earlier of January 3, 2007
or the date Mr. Gannon begins employment with another employer or dies.

	 	B.	 	If a change in control occurs under the Change in Control Agreement before
January 3, 2007, then notwithstanding anything to the contrary provided in this
Employment Transition Agreement, Mr. Gannon will not be entitled to receive the Standby
Severance Package.

14. Not in Substitution

Mr. Gannon and Ferro herby certify that none of the benefits provided under this Agreement
are in substitution for, or in replacement of, amounts to which Mr. Gannon would otherwise
be entitled to receive as deferred compensation.

15. Governing Law

This Employment Transition Agreement will be governed by the internal substantive laws of
the State of Ohio, the state in which Mr. Gannon was employed at the time his employment was
terminated.

	 
	 

	By signing this Employment Transition Agreement, Mr. Gannon affirms that he

has read this Employment Transition Agreement carefully, that he knows and

understands its contents, that he is signing this Employment Transition

Agreement voluntarily, and that signing this Employment Transition Agreement

is his own free act and deed.

	 

2

To evidence their agreement and intention to be bound legally by this document, Thomas M.
Gannon and Ferro Corporation have signed and dated this Employment Transition
Agreement.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Thomas M. Gannon	 	 	 	 	 	Ferro Corporation
	 
	 	/s/ Thomas M. Gannon	 	 	 	 	 	/s/ James F. Kirsch
	_______________________________
	 	By: ____________________________

	 
	 	 	 	 	 	 	 	 	 	James F. Kirsch

	 
	 	 	 	 	 	 	 	 	 	President &

	 
	 	 	 	 	 	 	 	 	 	Chief Executive Officer

	Date:
	 	October 25, 2006
	 	Date:
	 	October 25, 2006

3EX-10.1

CHANGE OF CONTROL/SEVERANCE AGREEMENT

THIS CHANGE OF CONTROL/SEVERANCE AGREEMENT (the “Agreement”) is entered into by and between
EvergreenBank (the “Bank”), a Washington state-chartered bank, and Michael H. Tibbits (the
“Executive”), effective as of October 24, 2006 (the “Commencement Date”).

WHEREAS, the Executive is currently employed by the Bank in the capacity of Executive Vice
President and Chief Credit Officer; and

WHEREAS, the Bank wishes to ensure that the Executive will be available to assist the Board of
Directors of the Bank in responding to and, if deemed appropriate by the Board, completing any
proposed change of control (as defined herein) of the Bank or of its holding company,
EvergreenBancorp, Inc. (the “Holding Company”);

NOW, THEREFORE, the Bank and the Executive agree as follows:

1. Certain Definitions.

(a) The term “Change of Control,” for purposes of this Agreement, means: (i) any “person,” as
such term is used in Sections 13(d) and 14(d) of the Exchange Act, other than the Holding Company
or any Consolidated Subsidiaries (as hereinafter defined), is or becomes the beneficial owner (as
defined in Rule 13d-3 under the Exchange Act) directly or indirectly of securities of the Bank or
the Holding Company representing 50% or more of the combined voting power of the Bank’s or Holding
Company’s outstanding securities; (ii) individuals who are members of the Board of Directors of the
Holding Company (the “Board”) on the Commencement Date (the “Incumbent Board”) cease for any reason
to constitute at least a majority thereof, provided that any person becoming a director subsequent
to the Commencement Date whose election was approved by a vote of at least one-half (1/2) of the
directors comprising the Incumbent Board or whose nomination for election by the Holding Company’s
stockholders was approved by the nominating committee serving under an incumbent Board or who was
appointed as a result of a change at the direction of the Federal Reserve Board or the Federal
Deposit Insurance Corporation (“FDIC”), shall be considered a member of the Incumbent Board; (iii)
the stockholders of the Holding Company approve a merger, consolidation or acquisition of the
Holding Company or the Bank, with or by any other corporation or entity, other than (1) a merger,
consolidation or acquisition which would result in the voting securities of the Holding Company
outstanding immediately prior thereto continuing to represent (either by remaining outstanding or
by being converted into voting securities of the surviving entity) more than 50% of the combined
voting power of the voting securities of the Holding Company or such surviving entity outstanding
immediately after such merger or consolidation or (2) a merger or consolidation effected to
implement a recapitalization of the Holding Company or the Bank (or similar transaction) in which
no person (as hereinabove defined) acquires more than 50% of the combined voting power of the
Holding Company’s then outstanding securities; or (iv) the

1

stockholders of the Holding Company approve a plan of complete liquidation of the Holding Company
or the Bank or an agreement for the sale or disposition by the Holding Company of all or
substantially all of the Holding Company’s or the Bank’s assets (or any transaction having a
similar effect); provided that the term “Change of Control” shall not include an acquisition of
securities by an employee benefit plan of the Bank or the Holding Company or a change in the
composition of the Board at the direction of the Federal Reserve Board or the FDIC. Upon a Change
of Control, the provisions hereof shall become immediately operative.

(b) The term “Consolidated Subsidiaries” means any subsidiary or subsidiaries of the Holding
Company that are part of the affiliated group (as defined in Section 1504 of the Internal Revenue
Code of 1986, as amended (the “Code”), without regard to subsection (b) thereof) that includes the
Bank.

(c) The term “Good Reason” means only any one or more of the following:

	 	(i)	 	material reduction, without Executive’s consent, of Executive’s salary or
material elimination of any compensation or benefit plan benefiting Executive, unless
the reduction or elimination is generally applicable to substantially all Bank
employees (or employees of a successor or controlling entity of the Bank), or, if
applicable, to similarly situated executives of other companies within the same
multiple-employer benefit plan, formerly benefited;

	 	(ii)	 	the assignment to Executive without his consent of any authority or duties
materially lesser than Executive’s responsibilities as of the date of this Agreement;

(d) The term “Termination for Cause” means termination of the employment of

the Executive because of the Executive’s dishonesty, incompetence, willful misconduct, breach of a
fiduciary duty involving personal profit, intentional failure to perform duties or gross negligence
in such performance, insubordination, willful violation of any law, rule, or regulation (other than
traffic violations or similar offenses) or final cease-and-desist order, or material breach of any
provision of this Agreement or any other agreement between Executive and the Bank or the Holding
Company.

2. Other Compensation and Terms of Employment. This Agreement is not an employment agreement
and shall not be construed as such or as providing the Executive any right to be retained in the
employ of the Holding Company or the Bank or any affiliate thereof. Accordingly, except with
respect to the Change of Control severance benefits, this Agreement shall have no effect on the
determination of any compensation payable by the Bank to Executive, or upon any of the terms of
Executive’s employment with the Bank. Nothing in this Agreement shall be deemed to prohibit the
Bank at any time from terminating the Executive’s employment during the term of this Agreement with
or without notice for any reason. The specific arrangements referred to herein are not intended to
exclude any other benefits which may be available to Executive upon a termination of employment
with the Bank pursuant to employee benefit plans of the Bank or otherwise.

2

3. Termination of the Agreement.

(a) This Agreement may be terminated unilaterally by the Bank, but only as of a prospective
effective date which follows by at least 15 months the date that written notice is given to
Executive that the Bank, by a vote of at least a majority of its directors, has determined to
terminate the Agreement, subject to earlier termination, as provided herein.

(b) This Agreement shall automatically terminate and the Executive shall not be entitled to
any payment or benefit hereunder in the event a termination occurs by reason of a voluntary
retirement, voluntary termination other than for reasons specified in Section 1(c) hereof,
disability, death, or Termination for Cause.

4. Severance Benefits.

(a) In the event the Bank or the Holding Company receives any proposal or offer which could
result in a Change of Control, the Executive will, at the Board’s request, assist the Board in
evaluating such proposal or offer, and the Executive agrees that he will not resign his position
with the Bank during any period from the receipt of such a Change of Control proposal up to the
closing of the transaction contemplated by the proposal, if the contemplated transaction is not
terminated before closing. If after a Change of Control, the Bank terminates the Executive’s
employment other than for Termination for Cause or the Executive terminates employment with the
Bank for Good Reason, and such termination occurs within twelve (12) months following a Change of
Control, the Bank shall: (i) pay the Executive (or in the event of Executive’s subsequent death,
executive’s beneficiary or estate, as the case may be), as severance pay, a sum equal to one (1)
times Executive’s annual compensation. For purposes of this Agreement, “annual compensation” shall
mean Executive’s W-2 income (before salary deferral) received from the Bank for the calendar year
ending before, or simultaneously with, the effective date of the Change of Control. Such amount
shall be paid to Executive in a lump sum no later than sixty (60) days after the date of
Executive’s termination; and (ii) cause to be continued for twelve (12) months after the effective
date of termination, life, medical, dental, and disability coverage substantially identical to the
coverage maintained by the Bank or the Holding Company for the Executive immediately prior to the
effective date of termination, except to the extent such coverage may be changed in its application
to all Bank or Holding Company employees on a nondiscriminatory basis.

(b) The Executive shall not be required to mitigate the amount of any payment or benefit
provided for in Section 4(a) of this Agreement by seeking other employment or otherwise, nor shall
the amount of any payment or benefit provided for in Section 4(a) of this Agreement be reduced by
any compensation earned or benefit received by the Executive as the result of employment by another
employer.

5. Assignment.

(a) This Agreement is personal to each of the parties hereto, and neither party may assign or
delegate any of its rights or obligations hereunder without first obtaining the written consent of
the other party; provided, however, that the Bank shall require any successor or assignee

3

(whether direct or indirect, by purchase, merger, consolidation, operation of law or otherwise) to
all or substantially all of the business and/or assets of the Bank, to expressly assume and agree
to perform the Bank’s obligations under this Agreement.

(b) This Agreement shall be binding upon and inure to the benefit of the Executive and the
Bank, and their respective successors and assigns.

6. Limitations on Payments Related to Severance Benefits.  The following apply,
notwithstanding any other provision of this Agreement:

    (a) If the severance benefits payable hereunder, together with any other payments made or
to be made to or for the benefit of the Executive, would be a “parachute payment,” then the payment
hereunder shall be reduced so that the total amount of all such payments equals $1 less than the
maximum amount which does not constitute a “parachute payment”. The term “parachute payment” shall
have the meaning defined in Section 280G of the Code; and

    (b) The Bank shall not be obligated to make, and the Executive shall not be entitled to
receive, any payment under this Agreement if such payment would constitute a “golden parachute”
payment prohibited by 12 U.S.C. 1828(k) or 12 CFR §359.0 et seq. The Bank shall have no liability
to the Executive under or in relation to this Agreement for any payment that would be a prohibited
“golden parachute” payment.

7. Confidentiality and Noncompetition.

    (a)  Confidentiality.  From the date of this Agreement the Executive will not, directly or
indirectly, disclose to any third party not affiliated with the Bank, Confidential Information of
the Bank, its Holding Company or subsidiaries and affiliates, except as to any of the Confidential
Information which shall be or become in the public domain or shall be required to be disclosed by
applicable laws or regulations, any judicial or administrative authority or stock exchange rule or
regulation. For the purposes of this Paragraph 7(a), “Confidential Information” shall mean:
(i) internal policies and procedures, (ii) financial information, (iii) marketing strategies,
(iv) customer information, and (v) other non-public information relating to the business or
financial condition of the Bank, its Holding Company or subsidiaries and affiliates.

    (b)  Noncompetition.  During the one (1) year period following a Change of Control or a
termination of Executive’s employment resulting in Executive’s actual receipt of severance benefits
hereunder (“Restricted Period”), the Executive shall not engage in Competition with the Bank, its
Holding Company or subsidiaries and affiliates. For purposes of this Paragraph 7(b), “Competition”
shall mean the Executive engaging in or otherwise being a director, officer, employee, principal,
agent, stockholder, member, owner or partner of, or permitting his name to be used in connection
with the activities in Washington state of any business or organization in the financial services
industry in direct competition with the Bank, its Holding Company or subsidiaries and affiliates,
but shall not preclude the Executive becoming the registered or beneficial owner of up to two
percent (2%) of any class of capital stock of any such corporation which is registered under the
Securities Exchange Act of 1934, as amended, provided the Executive does not actively participate
in the business of such corporation until expiration of the Restricted Period.

8. Delivery of Notices. For the purposes of this Agreement, all notices and other
communications to any party hereto shall be in writing and shall be deemed to have been duly given
when delivered or sent by certified mail, return receipt requested, postage prepaid, to the party’s
address identified herein.

9. Entire Agreement. This Agreement constitutes the entire understanding and agreement
between the parties concerning its subject matter and supersedes all prior agreements,
correspondence, representations, or understandings between the parties relating to its subject
matter.

10. Amendments. No amendments or additions to this Agreement shall be binding unless in
writing and signed by both parties, except as herein otherwise provided.

11. Headings. The headings used in this Agreement are included solely for convenience and
shall not affect, or be used in connection with, the interpretation of this Agreement.

12. Severability. The provisions of this Agreement shall be deemed severable and the
invalidity or unenforceability of any provision shall not affect the validity of the other
provisions hereof.

13. Governing Law and Venue. To the extent not preempted by federal law, the provisions of
this Agreement shall be construed and enforced in accordance with the laws of the state of
Washington. The parties must bring any legal proceeding arising out of this Agreement in King
County, Washington.

14. Withholding. All payments required to be made by the Bank hereunder to Executive shall be
subject to the withholding of such amounts, if any, relating to tax and other payroll deductions as
the Bank may reasonably determine should be withheld pursuant to any applicable law or regulation.

15. Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original, but all of which together will constitute one and the same
Agreement.

 16. Arbitration. At either party’s request, the parties must submit any
dispute, controversy or claim arising out of or in connection with, or relating to, this Agreement
or any breach or alleged breach of this Agreement, to arbitration under the American Arbitration
Association’s Commercial Arbitration Rules then in effect (or under any other form of arbitration
mutually acceptable to the parties). A single arbitrator agreed on by the parties will conduct the
arbitration. If the parties cannot agree on a single arbitrator, each party must select one person
to choose an arbitrator and those two persons will select a third person to serve as arbitrator and
hear the dispute. The arbitrator’s decision is final (except as otherwise specifically provided by
law) and binds the parties, and either party may request any court having jurisdiction to enter a
judgment and to enforce the arbitrator’s decision. The arbitrator will provide the parties with a
written decision naming the substantially prevailing party in the action. This prevailing party is
entitled to reimbursement from the other party for its costs and expenses, including reasonable
attorneys’ fees. All proceedings will be held at a place designated by the arbitrator in King
County, Washington. The arbitrator, in rendering a decision as to any state law claims, will apply
Washington law.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first
above written.

	 
	EVERGREENBANK

	By: /s/ Gerald O. Hatler

	Gerald O. Hatler

	Its: President & CEO

	Address: 301 Eastlake Avenue East

	Seattle, Washington 98109

	EXECUTIVE

	/s/ Michael H. Tibbits

	Michael H. Tibbits

	Address: 301 Eastlake Avenue East

	Seattle, Washington 98109

4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00111-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00111-of-00352.parquet"}]]