Document:

Exhibit 4.4

                             VALMONT 2002 STOCK PLAN

                                    SECTION 1

                                NAME AND PURPOSE

         1.1  Name. The name of the plan shall be the Valmont 2002 Stock Plan
(the "Plan").

         1.2. Purpose of Plan. The purpose of the Plan is to foster and promote
the long-term financial success of the Company and increase stockholder value by
(a) motivating superior performance by means of stock incentives, (b)
encouraging and providing for the acquisition of an ownership interest in the
Company by Employees and (c) enabling the Company to attract and retain the
services of a management team responsible for the long-term financial success of
the Company.

                                    SECTION 2

                                   DEFINITIONS

         2.1      Definitions.  Whenever used herein, the following terms shall
 have the respective meanings set forth below:

         (a)      "Act" means the Securities Exchange Act of 1934, as amended.

         (b)      "Award" means any Option, Stock Appreciation Right, Restricted
                  Stock, Stock Bonus, or any combination thereof granted under
                  the Plan, including Awards combining two or more types of
                  Awards in a single grant.

         (c)      "Board" means the Board of Directors of the Company.

         (d)      "Code" means the Internal Revenue Code of 1986, as amended.

         (e)      "Committee" means the Compensation Committee of the Board,
                  which shall consist of two or more members, each of whom shall
                  be a "non-employee director" within the meaning of Rule 16b-3
                  as promulgated under the Act.

         (f)      "Company" means Valmont Industries, Inc., a Delaware
                  corporation (and any successor thereto) and its Subsidiaries.

         (g)      "Director Award" means an award of Stock and an annual Award
                  of a Nonstatutory Stock Option granted to each Eligible
                  Director pursuant to Section 7.1 without any action by the
                  Board or the Committee.

         (h)      "Eligible Director" means a person who is serving as a member
                  of the Board and who is not an Employee.

         (i)      "Employee" means any employee of the Company or any of its
                  Subsidiaries.

         (j)      "Fair Market Value" means, on any date, the average of the
                  high and low sales prices of the Stock as reported on the
                  National Association of Securities Dealers Automated Quotation
                  system (or on such other recognized market or quotation system
                  on which the trading prices of the Stock are traded or quoted
                  at the relevant time) on such date. In the event that there
                  are no Stock transactions reported on such system (or such
                  other system) on such date, Fair Market Value shall mean the
                  average of the high and low sale prices on the immediately
                  preceding date on which Stock transactions were so reported.

         (k)      "Option" means the right to purchase Stock at a stated price
                  for a specified period of time. For purposes of the Plan, an
                  Option may be either (i) an Incentive Stock Option within the
                  meaning of Section 422 of the Code or (ii) a Nonstatutory
                  Stock Option.

         (l)      "Participant" means any person designated by the Committee to
                  participate in the Plan.

         (m)      "Plan" means the Valmont 2002 Stock Plan, as in effect from
                  time to time.

         (n)      "Restricted Stock" shall mean a share of Stock granted to a
                  Participant subject to such restrictions as the Committee may
                  determine.

         (o)      "Stock" means the Common Stock of the Company, par value $1.00
                  per share.

         (p)      "Stock Appreciation Right" means the right, subject to such
                  terms and conditions as the Committee may determine, to
                  receive an amount in cash or Stock, as determined by the
                  Committee, equal to the excess of (i) the Fair Market Value,
                  as of the date such Stock Appreciation Right is exercised, of
                  the number shares of Stock covered by the Stock Appreciation
                  Right being exercised over (ii) the aggregate exercise price
                  of such Stock Appreciation Right.

         (q)      "Stock Bonus" means the grant of Stock as compensation from
                  the Company in lieu of cash salary or bonuses otherwise
                  payable to the Participant, and stock issued for service
                  awards and other similar employee recognition programs.

         (r)      "Subsidiary" means any corporation or partnership in which the
                  Company owns, directly or indirectly, 50% or more of the total
                  combined voting power of all classes of stock of such
                  corporation or of the capital interest or profits interest of
                  such partnership.

         2.2 Gender and Number. Except when otherwise indicated by the context,
words in the masculine gender used in the Plan shall include the feminine
gender, the singular shall include the plural, and the plural shall include the
singular.

                                    SECTION 3

                          ELIGIBILITY AND PARTICIPATION

         Except as otherwise provided in Sections 5.1 and 7.1, the only persons
eligible to participate in the Plan shall be those Employees selected by the
Committee as Participants.

<PAGE>

                                    SECTION 4

                             POWERS OF THE COMMITTEE

         4.1 Power to Grant. The Committee shall determine the Participants to
whom Awards shall be granted, the type or types of Awards to be granted, and the
terms and conditions of any and all such Awards. The Committee may establish
different terms and conditions for different types of Awards, for different
Participants receiving the same type of Awards, and for the same Participant for
each Award such Participant may receive, whether or not granted at different
times.

         4.2 Administration. The Committee shall be responsible for the
administration of the Plan. The Committee, by majority action thereof, is
authorized to prescribe, amend, and rescind rules and regulations relating to
the Plan, to provide for conditions deemed necessary or advisable to protect the
interests of the Company, and to make all other determinations necessary or
advisable for the administration and interpretation of the Plan in order to
carry out its provisions and purposes. Determinations, interpretations, or other
actions made or taken by the Committee pursuant to the provisions of the Plan
shall be final, binding, and conclusive for all purposes and upon all persons.

                                    SECTION 5

                              STOCK SUBJECT TO PLAN

         5.1 Number. Subject to the provisions of Section 5.3, the number of
shares of Stock subject to Awards (including Director Awards) under the Plan may
not exceed 1,700,000 shares of Stock. The shares to be delivered under the Plan
may consist, in whole or in part, of treasury Stock or authorized but unissued
Stock, not reserved for any other purpose. The maximum number of shares of Stock
with respect to which Awards may be granted to any one Employee under the Plan
is 40% of the aggregate number of shares of Stock available for Awards under
Section 5.1. A maximum of 20% of the shares of Stock available for issuance
under the Plan may be issued as Restricted Stock or Stock Bonuses. In addition,
a maximum of 50,000 shares available for issuance under the Plan may be issued
to non-employee consultants.

         5.2 Cancelled, Terminated or Forfeited Awards. Any shares of Stock
subject to an Award which for any reason are cancelled, terminated or otherwise
settled without the issuance of any Stock shall again be available for Awards
under the Plan. In the event that an Award is exercised through the delivery of
Stock or in the event that withholding tax liabilities arising from such Award
are satisfied by the withholding of Stock by the Company, the number of shares
available for Awards under the Plan shall be increased by the number of shares
surrendered or withheld.

         5.3 Adjustment in Capitalization. In the event of any Stock dividend or
Stock split, recapitalization (including, without limitation, the payment of an
extraordinary dividend), merger, consolidation, combination, spin-off,
distribution of assets to stockholders, exchange of shares, or other similar
corporate transaction or event, (i) the aggregate number of shares of Stock
available for Awards under Section 5.1 and (ii) the number of shares and
exercise price with respect to Options and the number, prices and dollar value
of other Awards, shall be appropriately adjusted by the Committee, whose
determination shall be conclusive. If, pursuant to the preceding sentence, an
adjustment is made to the number of shares of Stock authorized for issuance
under the Plan, a corresponding adjustment shall be made with respect to
Director Awards granted pursuant to Section 7.1.

                                    SECTION 6

                                  STOCK OPTIONS

         6.1 Grant of Options. Options may be granted to Participants at such
time or times as shall be determined by the Committee. Options granted under the
Plan may be of two types: (i) Incentive Stock Options and (ii) Nonstatutory
Stock Options. The Committee shall have complete discretion in determining the
number of Options, if any, to be granted to a Participant. Each Option shall be
evidenced by an Option agreement that shall specify the type of Option granted,
the exercise price, the duration of the Option, the number of shares of Stock to
which the Option pertains, the exercisability (if any) of the Option in the
event of death, retirement, disability or termination of employment, and such
other terms and conditions not inconsistent with the Plan as the Committee shall
determine. Options may also be granted in replacement of or upon assumption of
options previously issued by companies acquired by the Company by merger or
stock purchase, and any options so replaced or assumed may have the same terms
including exercise price as the options so replaced or assumed.

         6.2 Option Price. Nonstatutory Stock Options and Incentive Stock
Options granted pursuant to the Plan shall have an exercise price which is not
less than the Fair Market Value on the date the Option is granted.

         6.3 Exercise of Options. Options awarded to a Participant under the
Plan shall be exercisable at such times and shall be subject to such
restrictions and conditions as the Committee may impose, subject to the
Committee's right to accelerate the exercisability of such Option in its
discretion. Notwithstanding the foregoing, no Option shall be exercisable for
more than ten years after the date on which it is granted.

         6.4 Payment. The Committee shall establish procedures governing the
exercise of Options, which shall require that written notice of exercise be
given and that the Option price be paid in full in cash or cash equivalents,
including by personal check, at the time of exercise or pursuant to any
arrangement that the Committee shall approve. The Committee may, in its
discretion, permit a Participant to make payment (i) by tendering, either by
actual delivery of shares or by attestation, shares of Stock already owned by
the Participant valued at its Fair Market Value on the date of exercise (if such
Stock has been owned by the Participant for at least six months) or (ii) by
electing to have the Company retain Stock which would otherwise be issued on
exercise of the Option, valued at its Fair Market Value on the date of exercise.
As soon as practicable after receipt of a written exercise notice and full
payment of the exercise price, the Company shall deliver to the Participant a
certificate or certificates representing the acquired shares of Stock. The
Committee may permit a Participant to elect to pay the exercise price upon the
exercise of an Option by irrevocably authorizing a third party to sell shares of
Stock (or a sufficient portion of the shares) acquired upon exercise of the
Option and remit to the Company a sufficient portion of the sale proceeds to pay
the entire exercise price and any required tax withholding resulting from such
exercise.

         6.5 Incentive Stock Options. Notwithstanding anything in the Plan to
the contrary, no term of this Plan relating to Incentive Stock Options shall be
interpreted, amended or altered, nor shall any discretion or authority granted
under the Plan be so exercised, so as to disqualify the Plan under Section 422
of the Code, or, without the consent of any Participant affected thereby, to
cause any Incentive Stock Option previously granted to fail to qualify for the
Federal income tax treatment afforded under Section 421 of the Code.

        6.6 Replacement Options. The Committee may grant a replacement option (a
"Replacement Option") to any Employee who exercises all or part of an option
granted under this Plan using Qualifying Stock (as herein defined) as payment
for the purchase price. A Replacement Option shall grant to the Employee the
right to purchase, at the Fair Market Value as of the date of said exercise and
grant, the number of shares of stock equal to the sum of the number of whole
shares (i) used by the Employee in payment of the purchase price for the option
which was exercised and (ii) used by the Employee in connection with applicable
withholding taxes on such transaction. A Replacement Option may not be exercised
for six months following the date of grant, and shall expire on the same date as
the option which it replaces. Qualifying Stock is stock which has been owned by
the Employee for at least six months prior to the date of exercise and has not
been used in a stock-for-stock swap transaction within the preceding six months.

                                    SECTION 7

                                 DIRECTOR AWARDS

        7.1 Amount of Award. Each Eligible Director shall receive a
non-discretionary Award of 2,000 shares of stock each year; such Award shall be
made annually on the date of and following completion of the Company's annual
stockholders' meeting (commencing with the 2002 annual stockholders' meeting).
Each Eligible Director shall be issued a common stock certificate for such
number of shares. Termination of the director's services for any reason other
than (i) death, (ii) retirement from the Board at mandatory retirement age, or
(iii) resignation or failure to stand for re-election, in any such case with the
prior approval of the Board, will result in forfeiture of the Stock. If the
Stock is forfeited, the director shall return the number of forfeited shares of
Stock, or equivalent value, to the Company. The number of shares of Stock
awarded to an Eligible Director annually shall be appropriately adjusted in the
event of any stock changes as described in Section 5.3. In addition, each
Eligible Director shall receive a non-discretionary Award of a Nonqualified
Stock Option for 4,000 shares of Stock exercisable at the Fair Market Value of
the Company's common stock on the date of grant; such Award shall be made
annually on the date of and following completion of the Company's annual
stockholders' meeting (commencing with the 2002 annual stockholders' meeting).
The number of nonqualified options awarded to a director shall be appropriately
adjusted in the event of any stock changes as described in Section 5.3.

        7.2     No Other Awards.  An Eligible Director shall not receive any
other Award under the Plan.

                                    SECTION 8

                            STOCK APPRECIATION RIGHTS

        8.1 SAR's In Tandem with Options. Stock Appreciation Rights may be
granted to Participants in tandem with any Option granted under the Plan, either
at or after the time of the grant of such Option, subject to such terms and
conditions, not inconsistent with the provisions of the Plan, as the Committee
shall determine. Each Stock Appreciation Right shall only be exercisable to the
extent that the corresponding Option is exercisable, and shall terminate upon
termination or exercise of the corresponding Option. Upon the exercise of any
Stock Appreciation Right, the corresponding Option shall terminate.

        8.2 Other Stock Appreciation Rights. Stock Appreciation Rights may also
be granted to Participants separately from any Option, subject to such terms and
conditions, not inconsistent with the provisions of the Plan, as the Committee
shall determine.

<PAGE>

                                    SECTION 9

                                RESTRICTED STOCK

        9.1 Grant of Restricted Stock. The Committee may grant Restricted Stock
to Participants at such times and in such amounts, and subject to such other
terms and conditions not inconsistent with the Plan as it shall determine. Each
grant of Restricted Stock shall be subject to such restrictions, which may
relate to continued employment with the Company, performance of the Company, or
other restrictions, as the Committee may determine. Each grant of Restricted
Stock shall be evidenced by a written agreement setting forth the terms of such
Award.

        9.2 Removal of Restrictions.  The Committee may accelerate or waive
such restrictions in whole or in part at any time in its discretion.

                                   SECTION 10

                                  STOCK BONUSES

        10.1 Grant of Stock Bonuses. The Committee may grant a Stock Bonus to a
Participant at such times and in such amounts, and subject to such other terms
and conditions not inconsistent with the Plan, as it shall determine.

                                   SECTION 11

                AMENDMENT, MODIFICATION, AND TERMINATION OF PLAN

        11.1 General. The Board may from time to time amend, modify or terminate
any or all of the provisions of the Plan, subject to the provisions of this
Section 11.1. The Board may not change the Plan in a manner which would prevent
outstanding Incentive Stock Options granted under the Plan from being Incentive
Stock Options without the written consent of the optionees concerned.
Furthermore, the Board may not make any amendment which would (i) materially
modify the requirements for participation in the Plan, (ii) increase the number
of shares of Stock subject to Awards under the Plan or to any one Employee
pursuant to Section 5.1, or (iii) change the minimum exercise price for stock
options as provided in Section 6.2, in each case without the approval of a
majority of the outstanding shares of Stock entitled to vote thereon. No
amendment or modification shall affect the rights of any Employee with respect
to a previously granted Award, nor shall any amendment or modification affect
the rights of any Eligible Director pursuant to a previously granted Director
Award.

        11.2 Termination of Plan. No further Options shall be granted under the
Plan subsequent to December 31, 2012, or such earlier date as may be determined
by the Board.

                                   SECTION 12

                            MISCELLANEOUS PROVISIONS

        12.1 Nontransferability of Awards. Except as otherwise provided by the
Committee, Awards under the Plan are not transferable, except by will or by the
laws of descent and distribution.

        12.2 Beneficiary Designation. Each Participant under the Plan may from
time to time name any beneficiary or beneficiaries (who may be named contingent
or successively) to whom any benefit under the Plan is to be paid or by whom any
right under the Plan is to be exercised in case of his death. Each designation
will revoke all prior designations by the same Participant shall be in a form
prescribed by the Committee, and will be effective only when filed in writing
with the Company. In the absence of any such designation, Awards outstanding at
death may be exercised by the Participant's surviving spouse, if any, or
otherwise by his estate.

        12.3 No Guarantee of Employment or Participation. Nothing in the Plan
shall interfere with or limit in any way the right of the Company or any
Subsidiary to terminate any Participant's employment at any time, nor confer
upon any Participant any right to continue in the employ of the Company or any
Subsidiary. No Employee shall have a right to be selected as a Participant, or,
having been so selected, to receive any future Awards.

        12.4 Tax Withholding. The Company shall have the power to withhold, or
require a Participant or Eligible Director to remit to the Company, an amount
sufficient to satisfy federal, state, and local withholding tax requirements on
any Award under the Plan, and the Company may defer issuance of Stock until such
requirements are satisfied. The Committee may, in its discretion, permit a
Participant to elect, subject to such conditions as the Committee shall impose,
(i) to have shares of Stock otherwise issuable under the Plan withheld by the
Company or (ii) to deliver to the Company previously acquired shares of Stock,
in each case having a Fair Market Value sufficient to satisfy all or part of the
Participant's estimated total federal, state and local tax obligation associated
with the transaction.

        12.5 Change of Control. On the date of a Change of Control, all
outstanding options and stock appreciation rights shall become immediately
exercisable and all restrictions with respect to Restricted Stock shall lapse.
"Change of Control" shall mean:

        (i)     The acquisition (other than from the Company) by any person,
                entity or "group", within the meaning of Section 13(d)(3) or
                14(d)(2) of the Act (excluding any acquisition or holding by (i)
                the Company or its subsidiaries, (ii) any employee benefit plan
                of the Company or its subsidiaries which acquires beneficial
                ownership of voting securities of the Company and (iii) Robert
                B. Daugherty, his successors and assigns and any tax-exempt
                entity established by him) of beneficial ownership (within the
                meaning of Rule 13d-3 promulgated under the Act) of 50% or more
                of either the then outstanding shares of common stock or the
                combined voting power of the Company's then outstanding voting
                securities entitled to vote generally in the election of
                directors; or

        (ii)    Individuals who, as of the date hereof, constitute the Board (as
                of the date hereof the "Incumbent Board") cease for any reason
                to constitute at least a majority of the Board, provided that
                any person becoming a director subsequent to the date hereof
                whose election, or nomination for the election by the Company's
                stockholders, was approved by a vote of at least a majority of
                the directors then comprising the Incumbent Board shall be, for
                purposes of this Plan, considered as though such person were a
                member of the Incumbent Board; or

   (iii)        Consummation of a reorganization, merger or consolidation,
                approved by the stockholders of the Company, in which the
                Company is not the surviving entity and with respect to which
                persons who were the stockholders of the Company immediately
                prior to such reorganization, merger or consolidation do not,
                immediately thereafter, own more than 50% of the combined voting
                power entitled to vote generally in the election of directors of
                the reorganized, merged or consolidated company's then
                outstanding voting securities, or a liquidation or dissolution
                of the Company or of the sale of all or substantially all of the
                assets of the Company.

        12.6    Agreements with Company. An Award under the Plan shall be
                subject to such terms and conditions, not inconsistent with the
                Plan, as the Committee may, in its sole discretion, prescribe.
                The terms and conditions of any Award to any Participant shall
                be reflected in such form of written document as is determined
                by the Committee or its designee.

        12.7 Company Intent. The Company intends that the Plan comply in all
respects with Rule 16b-3 under the Act, and any ambiguities or inconsistencies
in the construction of the Plan shall be interpreted to give effect to such
intention.

        12.8 Requirements of Law. The granting of Awards and the issuance of
shares of Stock shall be subject to all applicable laws, rules, and regulations,
and to such approvals by any governmental agencies or securities exchanges as
may be required.

        12.9    Effective  Date.  The Plan shall be  effective  upon its
adoption by the Board  subject to approval by the Company's stockholders at the
2002 annual stockholders' meeting.

        12.10 Governing Law. The Plan, and all agreements  hereunder,  shall be
construed in accordance with and governed by the laws of the State of Delaware.QuickLinks
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Exhibit 10.3    
  

 
 

Alliance Bank
  Optional Convertible Subordinated Debenture    
  

IT IS UNLAWFUL TO CONSUMMATE A SALE OR TRANSFER OF THIS SECURITY, OR ANY INTEREST THEREIN, OR TO RECEIVE ANY CONSIDERATION THEREFORE, WITHOUT THE PRIOR WRITTEN CONSENT OF THE
COMMISSIONER OF FINANCIAL INSTITUTIONS, UNLESS THE SALE OR TRANSFER IS TO AN ACCREDITED INVESTOR.  

THE PRINCIPAL AMOUNT OF THE DEBENTURE MAY NOT BE REPAID AT OR PRIOR TO MATURITY (i) WITHOUT THE PRIOR WRITTEN CONSENT OF THE FEDERAL DEPOSIT INSURANCE
CORPORATION AS REQUIRED PURSUANT TO SECTION 18(i) OF THE FEDERAL DEPOSIT INSURANCE ACT AND (ii) UNLESS SUCH REPAYMENT IS IN COMPLIANCE WITH SECTION 670 OF THE CALIFORNIA FINANCIAL
CODE.

No.:

Alliance
Bank

100 Corporate Pointe

Culver City, CA 90230 

10-Year, 8 Percent, Optional Convertible Subordinated Debenture

Due June 1, 2009 

        Alliance
Bank, a state chartered California banking corporation (the "Corporation"), for value received, promises to pay to                or registered assigns, the sum of
$                on June 1, 2009, upon presentation and surrender of this Debenture at the office of the Corporation in Culver City, California, and to pay interest
at the rate of 8 percent per
annum semiannually on the 1st day of June and December of each year, computed from August 18, 1999 (the "Issue Date"), until payment of the principal amount of this Debenture has been made.
Payment of principal and interest shall be made at the offices of the Corporation, in lawful money of the United States of America, and shall be mailed to the registered owner or owners hereof at the
address appearing on the books of the Corporation. 

        1.    Series.    This Debenture is one of a duly authorized issue of debentures of the
Corporation designated as its 10-Year 8 Percent Optional Convertible Subordinated Debentures due June 1, 2009 (collectively the "Debentures") in the aggregate amount of $2,000,000 and issued in
denominations of $20,000 or integral multiples thereof ("Authorized Denominations"), all of like date, tenor and maturity, except variations necessary to express the number, principal amount and payee
of each Debenture. 

        3.    Conversion.    The holder or holders of this Debenture may, at any time prior to
December 1, 2004, convert the principal amount of this Debenture into common stock of the Corporation at the conversion ratio of $2.00 of Debenture principal for one share of common stock, or
at the adjusted conversion price in effect at the time of the conversion. 

        To
convert this Debenture, the holder or holders must surrender the same at the office of the Corporation, accompanied by a written notice of conversion and by a written instrument of
transfer in a form satisfactory to the Corporation, properly completed and executed by the registered holder or holders hereof or a duly authorized attorney. The form of conversion notice shall be in
substantially the form attached hereto as Exhibit A. 

        4.    Fractional Shares.    In lieu of issuing any fraction of a share or scrip upon the
conversion of this Debenture, the Corporation shall pay to the holder hereof, for any fraction of a share otherwise issuable upon the conversion, cash equal to the same fraction of the then current
per share market price of the common stock subject to Section 670 of the California Financial Code ("Section 670"). 

 

        5.    Adjustments to Conversion.    If the Corporation at any time pays to the holders of its
common stock a dividend in common stock or issues additional common stock without fair consideration as determined by the Board of Directors, the number of shares of common stock issuable upon the
conversion of this Debenture shall be proportionally increased, effective at the close of business on the record date for determination of the holders of the common stock entitled to the dividend or,
for other issuances, on the date of issuance. 

        If
the Corporation at any time subdivides or combines in a larger or smaller number of shares its outstanding shares of common stock, then the number of shares of common stock issuable
upon the conversion of this Debenture shall be proportionally increased in the case of a subdivision and decreased in the case of a combination, effective in either case at the close of business on
the date that the subdivision or combination becomes effective. 

        If
the Corporation is recapitalized, consolidated with or merged into any other corporation, or sells or conveys to any other corporation all or substantially all of its property as an
entity, provision shall be made as part of the terms of any such transaction so that the holder or holders of this Debenture may receive, in lieu of the common stock otherwise issuable to them upon
conversion hereof, at the same conversion ratio, the same kind and amount of securities or assets as may be distributable upon the recapitalization, consolidation, merger, sale, or conveyance with
respect to the common stock. 

        6.    Subordination.    The rights of the holder or holders of this Debenture to receive
payment of any principal or interest hereon is subject and subordinate to the prior payment of (i) claims for deposits and other general liabilities and (ii) other claims required to
have a priority pursuant to applicable law or regulation or otherwise defined in the next paragraph (the "Senior Indebtedness"). Upon any receivership, insolvency, assignment for the benefit of
creditors, bankruptcy, reorganization, sale of all or substantially all of the assets, dissolution, liquidation, or any other marshalling of the assets and liabilities of the Corporation, or in the
event this Debenture is declared due and payable upon the occurrence of a default as defined in this Debenture, then no amount shall be paid by the Corporation with respect to principal and interest
hereon unless and until the principal of, and interest on, all Senior Indebtedness then outstanding is paid in full. 

        The
term "Senior Indebtedness" means principal of and unpaid interest on (a) indebtedness (secured or unsecured) incurred, assumed or guaranteed by the Corporation either before,
on or after the date of the issuance of the Debentures and which is for money borrowed, notes; debentures; bonds or other similar debt securities, and (b) renewals, extensions or refundings of
any such indebtedness, unless it is provided by the capital note, indenture or similar instrument creating, evidencing, renewing, extending or refunding the same or pursuant to which the same is
outstanding, that such indebtedness is not senior in right of payment to the Debentures. 

        The
Corporation in the third quarter of 1999 issued $2,000,000 in aggregate principal amount of 8.0% Optional Convertible Debentures ("Series A Debentures") with the same maturity
date and conversion
terms as the Debentures. The Debentures will rank on a parity basis with the Series A Debentures with respect to the right of interest and principal payments. 

2

   
        Debentures are subordinate to the claims of creditors and depositors and in the event of liquidation all depositors and other creditors of the Bank shall be entitled to be paid in full
with such interest as may be provided by law before any payment shall be made on account of principal of or interest on the Debentures. 

        7.    Put Rights.    If the Corporation shall (i) formally
resolve to or actually consolidate or merge with another entity, or (ii) formally resolve to or actually sell or otherwise dispose of a substantial portion of its assets, the holder or holders
of this Debenture shall have the right to tender this Debenture to the Corporation (or its successors) for purchase subject to the provisions of Section 670 at a purchase price equal to 102% of the
outstanding principal amount of this Debenture, plus accrued and unpaid interest hereon to, but excluding, the date of purchase. No interest shall accrue or be paid on the 2% call premium. The put
rights contained in this Section shall only be effective after December 1, 2004. 

        8.    Default.    If any of the following events occur ("Event of
Default"), the holder hereof shall have all remedies available under applicable law and accrued and unpaid principal and interest on this Debenture shall immediately be due and payable subject to the
provisions of Section 670: 

	(a)
	The
Corporation fails to pay any interest on this Debenture when it is due and payable, and the failure continues for a period of 60 days;

	(b)
	The
Corporation fails to satisfy the conditions of Section 7 above or pay the principal of this Debenture at its maturity;

	(c)
	The
Corporation commences any voluntary proceeding under any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, receivership,
dissolution, or liquidation law or statute, of any jurisdiction, whether now or subsequently in effect; or the Corporation is adjudicated insolvent or bankrupt by a court of competent jurisdiction; or
the Corporation petitions or applies for, acquiesces in, or consents to, the appointment of any receiver or trustee of the Corporation or for all or substantially all of its property or assets; or the
Corporation makes an assignment for the benefit of its creditors; or the Corporation admits in writing its inability to pay its debts as they mature; or

	(d)
	There
is commenced against the Corporation any proceeding relating to the Corporation under any bankruptcy, reorganization, arrangement, insolvency,
readjustment of debt, receivership, dissolution, or liquidation law or statute, of any jurisdiction, whether now or subsequently in effect, and the proceeding remains undismissed for a period of 60
days or the Corporation by any act indicates its consent to, approval of, or acquiescence in, the proceeding; or a receiver or trustee is appointed for the Corporation or for all or substantially all
of its property or assets, and the receivership or trusteeship remains undischarged for a period of 60 days; or a warrant of attachment, execution or similar process is issued against any substantial
part of the property or assets of the Corporation, and the warrant or similar process is not dismissed or bonded within 60 days after the levy. 

        9.    Redemption.    This Debenture is not subject to optional or
mandatory redemption prior to maturity. 

        10.    Exchange.    The holder of this Debenture may, at any time on
or before the date of its maturity or the date fixed for its redemption, by surrendering this Debenture to the Corporation at its office, exchange this Debenture for another debenture or debentures of
a like principal amount and of like tenor, date and maturity in denominations of $20,000 or integral multiples thereof, subject to Commissioner approval if the exchange involves a sale of a security. 

        11.    Transfer.    This Debenture may be transferred only at the
office of the Corporation by the surrender hereof for cancellation, and upon the payment of any stamp tax or other governmental 

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charge connected with the transfer. If this Debenture is transferred, a new debenture or debentures of like tenor, date and maturity shall be issued to the transferee. The transfer shall not be made
to a third party who is not an "accredited investor" as defined in 17 CFR 230.501, except with the prior written consent of the Commissioner. 

        12.    Registered Owner.    The Corporation may treat the person or
persons whose name or names appear hereon as the absolute owner or owners of this Debenture for the purpose of receiving payment of, or on account of, the principal and interest due on this Debenture
and for all other purposes, and it shall not be affected by any notice to the contrary. 

        13.    Corporate Obligation.    The holder or holders of this
Debenture shall not have any recourse for the payment in whole or in part of the principal or interest on this Debenture against any incorporator, or present or future stockholder of the Corporation
by virtue of any law, or by the enforcement of any assessment, or otherwise, or against any officer or director of the Corporation by reason of any matter prior to the delivery of this Debenture, or
against any present or future officer or director of the Corporation. The holder or holders of this Debenture, by the acceptance hereof and as a part of the consideration for this Debenture, expressly
agree that the Debentures are obligations solely of the Corporation and expressly release all claims and waive all liability against the foregoing persons in connection with this Debenture. 

        14.    Validity.    All acts, conditions, and things required to
happen, exist, and be performed precedent to and in connection with the issuance of this Debenture have happened, exist, and have been performed as so required. 

        15.    Restriction on Payment.    No payment shall at any time be made
on account of the principal of the Debentures of the Bank unless following such payment the aggregate of the shareholders' equity, and debentures thereafter outstanding shall be the equal of such
aggregate (including the Debentures) at the date of the original issue of debentures, or as may be otherwise authorized by the California Commissioner of the Department of Financial Institutions
("Commissioner"). 

        IN
WITNESS WHEREOF, the Corporation has signed and sealed this Convertible Subordinated Debenture this        day
of                        , 2000. 

	 	 	ALLIANCE BANK
	

 	
 	

By:	
 	

 
	 	 	 	 	
 President
	Corporate

Seal or Facsimile	 	 	 	 
	

 	
 	

By:	
 	

 
	 	 	 	 	
 Secretary

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QuickLinks

Exhibit 10.3

Alliance Bank Optional Convertible Subordinated Debenture

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