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                      SENIOR EXECUTIVE SEVERANCE AGREEMENT
                         INCLUDING AMENDMENT NUMBER ONE

     This Agreement is made and entered into between Stock Yards Bank & Trust
Company, a Kentucky banking corporation with its principal office located in
Louisville, Kentucky (the "Bank") and NANCY B. DAVIS, and with an address at
1040 East Main Street, Louisville, Kentucky 40206 (the "Executive").

                              W I T N E S S E T H:

     The Bank is a wholly owned subsidiary of S.Y. Bancorp, Inc., a Kentucky
corporation and bank holding company ("S.Y. Bancorp").

     S.Y. Bancorp, as the sole shareholder of the Bank, considers the
establishment and maintenance of a sound and vital management team to be
essential to protecting and enhancing the best interests of the Bank, S.Y.
Bancorp, and S.Y. Bancorp's shareholders.

     S.Y. Bancorp and the Bank recognize that, as is the case with many publicly
held bank holding companies, the possibility exists that an unsolicited tender
offer or takeover bid and a consequent change of control of S.Y. Bancorp may
occur, and thus, that as a practical matter, a change of control of the Bank,
may occur, and that such a possibility is unsettling and distracting to key
executives of the Bank.

     S.Y. Bancorp and the Bank have concluded that it is in the best interests
of S.Y. Bancorp, its shareholders and the Bank to take reasonable steps to help
assure certain key executives of the Bank that, notwithstanding an unsolicited
tender offer or takeover bid, or an actual change of control, they will be
treated fairly and with concern for their welfare.

     S.Y. Bancorp and the Bank have also concluded that it is important that,
should S.Y. Bancorp receive takeover or acquisition proposals from third
parties, that it be able to call upon the key executives of the Bank for their
candid assessment and advice concerning whether such proposals are in the best
interests of S.Y. Bancorp, its shareholders and the Bank, free of the influences
caused by the uncertainties and risks of their own personal employment
situations.

     For the foregoing reasons the Board of Directors of S.Y. Bancorp and of the
Bank have approved the Bank's entering into severance agreements with key
executives of the Bank pursuant to the Bank's Senior Executive Severance Plan
(the "Plan").

     The Executive is a key executive of the Bank and has been selected by the
Bank's board of directors and by the board of

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directors of the Bank's sole shareholder, S.Y. Bancorp, as a key executive to
participate in and under the Plan.

     NOW THEREFORE, in consideration of these premises and for other good and
valuable consideration, the Bank and the Executive agree as follows:

     1.   DEFINITIONS. As used in this Agreement, the following terms shall have
the following meanings:

     "TERM" shall mean the period commencing on the date first above written and
ending on the last day of the month in which Executive attains the age of
sixty-five (65) years.

     A "CHANGE IN CONTROL" of S.Y. Bancorp shall be deemed to have occurred if:

     (i)  any Person (as defined in this definition) is or becomes the
Beneficial Owner (as defined in this definition) of securities of S.Y. Bancorp
representing 20% or more of the combined voting power of S.Y. Bancorp's then
outstanding securities (unless (A) such Person is the Beneficial Owner of 20% or
more of such securities as of April 26, 1995 or (B) the event causing the 20%
threshold to be crossed is an acquisition of securities directly from S.Y.
Bancorp);

     (ii) during any period of two consecutive years beginning after April 26,
1995, individuals who at the beginning of such period constitute the Board of
Directors of S.Y. Bancorp and any new director (other than a director designated
by a person who has entered into an agreement with S.Y. Bancorp to effect a
transaction described in clause (i), (iii) or (iv) of this Change in Control
definition) whose election or nomination for election was approved by a vote of
at least two-thirds of the directors then still in office who either were
directors at the beginning of the period or whose election or nomination for
election was previously so approved cease for any reason to constitute a
majority of the Board of Directors of S.Y. Bancorp;

    (iii) the shareholders of S.Y. Bancorp approve a merger or consolidation of
S.Y. Bancorp with any other corporation (other than a merger or consolidation
which would result in the voting securities of S.Y. Bancorp outstanding
immediately prior thereto continuing to represent (either by remaining
outstanding or by being converted into voting securities of the entity surviving
such merger or consolidation), in combination with voting securities of S.Y.
Bancorp or such surviving entity held by a trustee or other fiduciary pursuant
to any employee benefit plan of S.Y. Bancorp or such surviving entity or of any
subsidiary of S.Y. Bancorp or such surviving entity, at least 80% of

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the combined voting power of the securities of S.Y. Bancorp or such surviving
entity outstanding immediately after such merger or consolidation); or

     (iv) the shareholders of S.Y. Bancorp approve a plan of complete
liquidation or dissolution of S.Y. Bancorp or an agreement for the sale or
disposition by S.Y. Bancorp of all or substantially all of S.Y. Bancorp's
assets.

     (v)  For purposes of the definition of Change in Control, "Person" shall
have the meaning ascribed to such term in Section 3(a)(9) of the Securities
Exchange Act of 1934, as amended, as supplemented by Section 13(d)(3) of such
Act; provided, however, that Person shall not include (i) S.Y. Bancorp, any
subsidiary or any other Person controlled by S.Y. Bancorp, (ii) any trustee or
other fiduciary holding securities under any employee benefit plan of S.Y.
Bancorp or of any subsidiary, or (iii) a corporation owned, directly or
indirectly, by the shareholders of S.Y. Bancorp in substantially the same
proportions as their ownership of securities of S.Y. Bancorp.

     (vi) For purposes of the definition of Change in Control, a Person shall be
deemed the "Beneficial Owner" of any securities which such Person, directly or
indirectly, has the right to vote or dispose of or has "beneficial ownership"
(within the meaning of Rule 13d-3 under the Securities Exchange Act of 1934, as
amended) of, including pursuant to any agreement, arrangement or understanding
(whether or not in writing); provided, however, that: (i) a Person shall not be
deemed the Beneficial Owner of any security as a result of an agreement,
arrangement or understanding to vote such security (x) arising solely from a
revocable proxy or consent given in response to a public proxy or consent
solicitation made pursuant to, and in accordance with the Securities Exchange
Act of 1934, as amended, and the applicable rules and regulations thereunder or
(y) made in connection with, or to otherwise participate in, a proxy or consent
solicitation made, or to be made, pursuant to, and in accordance with, the
applicable provisions of the Securities Exchange Act of 1934, as amended, and
the applicable rules and regulations thereunder; in either case described in
clause (x) or clause (y) above, whether or not such agreement, arrangement or
understanding is also then reportable by such Person on Schedule 13D under the
Securities Exchange Act of 1934, as amended (or any comparable or successor
report); and (ii) a Person engaged in business as an underwriter of securities
shall not be deemed to be the Beneficial Owner of any securities acquired
through such Person's participation in good faith in a firm commitment
underwriting until the expiration of forty days after the date of such
acquisition.

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     "CAUSE" for termination shall exist if the Executive (i) willfully and
continually fails to substantially perform his duties (other than as a result of
incapacity or temporary or Permanent Disability) for the Bank as described in
the most recent written description of such duties maintained by the Bank's
personnel department and communicated to the Executive after a written demand
for substantial performance is delivered to the Executive by the Bank's board of
directors specifically identifying the manner in which the board of directors
believes that the Executive has not substantially performed his duties; or (ii)
engages in gross misconduct constituting a violation of law or breach of
fiduciary duty which misconduct is materially and demonstrably injurious to the
Bank.

     "CUSTOMER" shall mean any firm, individual, corporation or entity which
used the facilities, products or services of the Bank during the twelve (12)
month period immediately preceding the voluntary or involuntary termination of
Executive's employment with the Bank; but Customer shall not include any firm,
individual, corporation or entity with which Executive had a business
relationship, either for Executive or for Executive's previous employer, prior
to the date of Executive's employment with the Bank and which Executive
specifically identifies in writing to the Bank within thirty (30) days following
the date of Executive's employment with the Bank, except that following eighteen
(18) months employment with the Bank, any such firm, individual, corporation or
entity so identified by Executive shall be deemed to have become a Customer of
the Bank if they otherwise meet the definition of "Customer" as set forth above.

     "FORCED RESIGNATION" means a resignation at the Executive's initiative
following a Change in Control and the occurrence of any of the following
triggering events, provided such resignation occurs within twelve (12) months
after a triggering event or, if earlier, within thirty-six (36) months after a
Change in Control:

     (i)  without his express written consent, the Executive is assigned any
duties inconsistent with the positions, duties, responsibilities and status he
held with the Bank immediately prior to the Change in Control, or a change
occurs in the Executive's reporting responsibilities, titles or offices as in
effect immediately prior to the Change in Control, or the Executive is removed
from, or there is a failure to re-elect the Executive to, any of such positions,
except in connection with the termination of the Executive's employment for
Cause, or Retirement, or as a result of his death or Permanent Disability;

     (ii) a reduction by the Bank in the Executive's salary as in effect on the
date hereof or as the same may have been increased from time to time prior to
the Change in Control;

    (iii) the Bank's requiring the Executive to work from an office anywhere
other than at the Bank's principal executive

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offices, except for required travel on the Bank's business to an extent
substantially consistent with his present business travel obligations or such
obligations as are incident to a promotion;

     (iv) the failure by the Bank to continue in effect any deferred benefit or
compensation plan, pension plan, profit sharing plan, life insurance plan, major
medical or hospitalization plan or disability plan in which the Executive is
participating at the time of the Change in Control (or plans providing
substantially similar benefits), or the taking of any action by the Bank which
would adversely affect the Executive's participation in, or materially reduce
his benefits under, any of such plans or deprive him of any material fringe
benefits; or

      (v) the failure by the Bank to provide the Executive with the number of
paid vacation, illness, and personal leave days to which he is entitled at the
time of a Change in Control in accordance with the Bank's normal personnel
policy applicable to all employees.

     "RETIREMENT" shall mean the Executive's retirement in accordance with the
Bank's retirement policy applicable to all employees classified as "senior
executives".

     "BASE AMOUNT" shall have the meaning given to such term in Section
280G(b)(3) of the Internal Revenue Code of 1986.

     "PERMANENT DISABILITY" means any mental or physical condition or impairment
which prevents the Executive from substantially performing his duties for a
period of more than ninety (90) consecutive days.

     "ACQUISITION TRANSACTION" shall be deemed to have taken place if the
shareholders of SY Bancorp approve (a) a merger or consolidation of SY Bancorp
with any other corporation, other than a merger or consolidation which would
result in the voting securities of SY Bancorp which are outstanding immediately
prior to such merger or consolidation continuing to represent (either by
remaining outstanding or by being converted into voting securities of the entity
surviving such merger or consolidation) at least 80% of the voting securities of
SY Bancorp or such surviving entity outstanding immediately after such merger or
consolidation or (b) a plan of complete liquidation or dissolution of SY Bancorp
or an agreement for the sale or disposition by SY Bancorp of all or
substantially all of SY Bancorp's assets.

     2(a)(i) SEVERANCE PAYMENT UPON INVOLUNTARY TERMINATION PRIOR TO ACQUISITION
TRANSACTION. Except as set forth in Section 2(a)(ii), if the Executive's
employment with the Bank is involuntarily terminated by the Board of Directors
of the Bank during the Term and within a twelve month period beginning on the

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later of the date the Board of Directors approves the going forward of
discussions with a potential buyer or buyers for SY Bancorp or the Bank or the
date the Executive has expressed the Executive's written opposition to such sale
or potential sale of SY Bancorp or the Bank to the Board of Directors, the Bank
shall pay the Executive (A) his full salary through the date of such
termination, which termination shall not be effective until the later of the
effective date set forth in the Notice of Termination or two weeks following
written notice to the Executive, and (B) the Severance Payment described in this
Section 2(a)(i). On the effective date of an Acquisition Transaction which
results from such discussions, the Bank shall pay to the Executive a severance
payment equal to 299 percent of the Executive's Base Amount (the "Severance
Payment"). The Severance Payment under this Section 2(a)(i) shall be payable to
the Executive in a lump sum, in immediately available funds, and shall be
subject to any applicable payroll or other taxes required to be withheld. Such
Severance Payment shall be in lieu of any other severance payment provided for
by the Bank in accordance with its standard of practice and operations for
Executive at the time of payment of this Severance Payment.

     (ii) FORFEITURE OF SEVERANCE PAYMENT. No payment shall be made under
Section 2(a)(i) to the Executive if (A) the Executive voluntarily divulges or
otherwise discloses, directly or indirectly, any trade secrets or other
confidential information concerning the business, policies, or sale or potential
sale of SY Bancorp or the Bank which is not lawfully attainable from public
sources, unless such disclosure is required by law or authorized by the Bank,
(B) the Executive is involuntarily terminated by the Bank for Cause, (C) the
Executive is terminated due to death, Retirement or Permanent Disability, or (D)
the Executive fails to fulfill the Executive's responsibilities as an officer
and/or director of the Bank and SY Bancorp during the period after the
above-mentioned Board of Director's approval and while the Executive remains
employed by the Bank; provided, however, following public announcement by the
Bank or SY Bancorp of an Acquisition Transaction or proposed Acquisition
Transaction, the Executive shall not be deemed to have breached his
responsibilities as an officer or director of the Bank and SY Bancorp and
thereby to have forfeited his entitlement to the severance payment described in
Section 2(a)(i) above if he expresses publicly his opposition to such
transaction or proposed transaction, solicits votes or proxies from shareholders
of SY Bancorp against the transaction or otherwise solicits or encourages others
to oppose such transaction.

     (b)  SEVERANCE PAYMENT UPON TERMINATION FOLLOWING CHANGE IN CONTROL. During
the Term, if the Executive's employment with the Bank terminates (either at the
initiative of the Bank or the Executive) within thirty-six (36) months after a
Change in Control for any reason whatsoever other than for Cause or as a result
of the Executive's death, Retirement, or Permanent

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Disability, the Bank shall pay the Executive his full salary through the date of
such termination, which termination shall not be effective until the later of
two (2) weeks following written notice thereof to the Executive or the effective
date set forth in the notice of termination. In addition, for a termination at
the initiative of the Executive (other than a Forced Resignation) that occurs
within twenty-four (24) months after a Change in Control, the Bank shall pay the
Severance Payment to the Executive as of the effective date of such termination.
For a termination at the initiative of the Executive (other than a Forced
Resignation) that occurs more than twenty-four (24) months but less than
thirty-six (36) months after a Change in Control, the Bank shall pay the
Executive as of the effective date of such termination 2/3 of the Severance
Payment. For a termination at the Bank's initiative (other than for Cause) that
occurs within thirty-six (36) months after a Change in Control or for a Forced
Resignation, the Bank shall pay the Severance Payment to the Executive as of the
effective date of such termination. Notwithstanding any provision to the
contrary, in no event shall any Severance Payment (or portion thereof) be paid
to the Executive if the Executive's employment is terminated for Cause or as a
result of the Executive's death, Retirement, or Permanent Disability. Further,
the Severance Payment (or portion thereof) shall be payable to the Executive in
a lump sum, in immediately available funds, on the date the Executive's
termination is effective, and shall be subject to any applicable payroll or
other taxes required to be withheld. The Severance Payment shall be in lieu of
any other severance payment provided for by the Bank in accordance with its
standard of practice and operations for Executive at the time of payment of the
Severance Payment.

     (c)  NON-DUPLICATION OF PAYMENTS. In no event shall the Executive receive a
payment under both Sections 2(a) and 2(b), and to the extent the Executive
satisfies the conditions for payment under both such sections, the Bank shall
pay to the Executive the payment computed under whichever section results in the
largest payment to the Executive.

     3.   OTHER PAYMENTS AND BENEFITS. Upon termination of the Executive's
employment, the Executive shall have the following rights with respect to
certain fringe benefits provided by the Bank:

          (a)  ACCRUED VACATION AND SICK PAY. The Executive shall be entitled to
receive, in accordance with the Bank's standard employment policies in effect as
of the date of this Agreement (or such more favorable policies as exist on the
date of such termination), payment for any vacation and sick days which have
accrued for the year in which the termination occurs but have not yet been paid
to the Executive.

          (b)  INSURANCE. The Executive shall be entitled to continue, at his
sole cost and expense, his participation in all

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life, disability, major medical and hospitalization insurance plans maintained
by the Bank for his benefit or, in the event that such continuation is not
permitted under the terms of such plans, the Bank shall, at the Executive's
request, arrange for comparable individual plans for the benefit of, but at the
sole expense of, the Executive, or shall provide the Executive with such other
and greater rights as are required by applicable law.

          (c)  PROFIT SHARING AND PENSION PLANS. The Executive's participation
in all profit sharing, pension, deferred benefit and retirement plans shall
continue through the last day of the Executive's employment, with any
terminating distributions and/or vested rights under such plans being governed
by the terms of such plans.

          (d)  LOAN PROGRAM. All loans to the Executive under the Bank's loan
program that are outstanding as of the time the Executive's employment ceases
hereunder shall be treated in the same manner as loans are treated upon
Retirement under the Bank's personnel policies in effect on the date hereof.

          (e)  EDUCATION PROGRAM. The Executive shall be entitled to complete,
at the Bank's expense, all courses in which the Executive is enrolled under the
Bank's Education Program on the date of his termination.

4. CALCULATION METHOD; ADJUSTMENTS TO SEVERANCE PAYMENT

     (a)  MISCELLANEOUS REDUCTION. The Bank shall have the responsibility for
calculating the Base Amount which shall serve as the basis for calculating the
Severance Payments and shall provide such calculations and the support therefor
to the Executive on the date of his termination, Voluntary Resignation or Forced
Resignation. The Executive shall have a right to cause an audit to be made of
the Bank's calculation of the Base Amount, the Severance Payment and the other
amounts payable hereunder by a certified public accountant, benefits consultant
or similar expert chosen by the Executive. If such audit reveals that the
calculations performed by the Bank were in error or have resulted in the payment
to the Executive of an amount less than that to which he is entitled hereunder,
the Bank shall immediately rectify such underpayment and, in addition, reimburse
the Executive for the cost of performing such audit.

     (b)  TRANSITION TO RETIREMENT. The Bank and Executive each acknowledge and
agree that the purpose of this Agreement is not to provide unjust enrichment to
Executive, but rather to provide funds or employment security, as the case may
be, during any potential transition as a result of Change of Control.
Accordingly, the parties hereto agree that as Executive approaches retirement
age, the need for providing such support in the event of a Change of Control
decreases proportionately, in part due to retirement and related benefits and
their imminent

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availability to Executive. Based upon such rationale, the Severance Payment
payable to Executive shall decrease as follows:

<Table>
<Caption>
=================================================================
 AGE OF EXECUTIVE AT DATE            PERCENTAGE OF EXECUTIVE'S
  OF SEVERANCE PAYMENT                  BASE AMOUNT PAYABLE
-----------------------------------------------------------------
          <S>                                  <C>
          58                                   250%
-----------------------------------------------------------------
          59                                   225%
-----------------------------------------------------------------
          60                                   200%
-----------------------------------------------------------------
          61                                   175%
-----------------------------------------------------------------
          62                                   150%
-----------------------------------------------------------------
          63                                   125%
-----------------------------------------------------------------
          64                                   100%
-----------------------------------------------------------------
          65                                     0%
=================================================================
</Table>

     5.   BANK REGULATORY PROVISION. Notwithstanding any other provision of this
Agreement, the parties agree as follows:

     (a)  The Bank's board of directors may terminate the Executive's employment
at any time, but any termination by the Bank's board of directors other than
termination for Cause, shall not prejudice the Executive's right to compensation
or other benefits under the Agreement. The Executive shall have no right to
receive compensation or other benefits for any period after termination for
Cause.

     (b)  If the Executive is suspended and/or temporarily prohibited from
participating in the conduct of the Bank's affairs by a notice served under
section 8(e)(3) or (g)(1) of the Federal Deposit Insurance Act (12 U.S.C.
1818(e)(3) and (g)(1)) the Bank's obligations under the Agreement shall be
suspended as of the date of service unless stayed by appropriate proceedings. If
the charges in the notice are dismissed, the Bank may, in its discretion, (i)
pay the Executive all or part of the compensation withheld while its contract
obligations were suspended or (ii) reinstate (in whole or in part) any of its
obligations which were suspended.

     (c)  If the Executive is removed and/or permanently prohibited from
participating in the conduct of the Bank's affairs by an order issued under
8(e)(4) or (g)(1) of the Federal Deposit Insurance Act (12 U.S.C. 1818(e)(4) and
(g)(1)), all obligations of the Bank under the Agreement shall terminate as of
the effective date of the order, but vested rights of the contracting parties
shall not be affected.

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     (d)  If the Bank is in default (as defined in section 3(x)(1) of the
Federal Deposit Insurance Act), all obligations under the Agreement shall
terminate as of the date of default, but this paragraph 5(d) shall not affect
any vested rights of the contracting parties.

     (e)  All obligations under the Agreement shall be terminated, except to the
extent determined that continuation of the contract is necessary for the
continued operation of the Bank:

          (i)  by the Director or his or her designee, at the time the Federal
Deposit Insurance Corporation enters into an agreement to provide assistance to
or on behalf of the Bank under the authority contained in section 13(c) of the
Federal Deposit Insurance Act; or

          (ii) by the Director or his or her designee, at the time the Director
or his or her designee approves a supervisory merger to resolve problems related
to operation of the Bank or when the Bank is determined by the Director to be in
an unsafe or unsound condition.

     6.   FEES AND COSTS. The Bank agrees to advance to Executive all legal
fees, costs, and expenses arising out of or in any way related to or incurred by
the Executive in connection with enforcing any right or benefit provided in this
Agreement, or in interpreting this Agreement, or in contesting or disputing any
termination of the Executive's employment hereunder purportedly for Cause or
other action taken by the Bank hereunder;

     7.   INDEMNITY. The Bank agrees to and does hereby indemnify and hold
Executive harmless from and against any and all excise taxes payable by the
Executive pursuant to section 4999 of the Internal Revenue Code of 1986, as
amended, as a result of any payment hereunder being deemed an "excess parachute
payment" under Section 280(G) of the Internal Revenue Code of 1986, as amended,
and all further excise taxes and federal and state income taxes (together with
interest and penalty, if any) payable with respect to, or as a result of the
operation of, this indemnification provision, it being the intent of this
Section 7 to "gross up" the amount paid to the Executive so that he is in the
same economic position he would have been but for certain payments hereunder
being deemed excess parachute payments. For purposes of the preceding sentence,
to the extent the payments made under this Agreement, together with other
payments made by SY Bancorp or the Bank to the Executive, cause the total of all
such payments to result in an "excess parachute payment" under Section 280G of
the Internal Revenue Code of 1986, as amended, an ordering rule shall apply
whereby the payments under this Agreement shall be deemed the "excess parachute
payment"; provided, however, in no event shall the amount which is deemed to be
the "excess parachute payment" for purposes of the

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indemnification under this Section 7 exceed the actual "excess parachute
payment" under Section 280G of the Internal Revenue Code of 1986, as amended,
resulting from payments made to the Executive by SY Bancorp or the Bank.

     8.   MITIGATION. The Executive shall not be required to mitigate the amount
of any payment provided for in its Agreement, whether by seeking other
employment or otherwise, nor shall the amount of any payment provided for herein
be reduced by any compensation earned or received by the Executive as a result
of his employment by another employer following his termination hereunder.

     9.   COVENANT NOT TO COMPETE. Notwithstanding the terms and provisions of
any other "Officer Non-Solicitation and Confidentiality Agreement" by and
between the Bank and the Executive, which may provide for negation of covenants
not to compete from the Executive to the Bank in the event of a Change in
Control as defined herein, in the event of the receipt by the Executive of
Severance Payments hereunder, the Executive hereby covenants to the Bank, for a
period of eighteen (18) months following the receipt of the Severance Payment as
contemplated herein, Executive will not, directly or indirectly, either for the
Executive or for any other person, entity or company, (i) solicit Customers, or
business patronage, of the Bank for the purpose of providing services which are
identical or similar to services then provided by the Bank either within the
Commonwealth of Kentucky, or within a radius of fifty (50) miles from the Bank's
offices in Louisville, Kentucky, (ii) divert or attempt to divert from the Bank
any Customer of the Bank, or (iii) solicit for employment any employee of the
Bank. It is understood that breach of this provision by Executive will result in
irreparable injury to the Bank and, by reason thereof, Executive consents and
agrees that, for any violation of this provision, the rights of the Bank under
the terms of this Agreement may be specifically enforced with injunctive relief
and Executive hereby waives any claim or defense that the Bank has an adequate
remedy at law. This remedy of injunctive relief shall be in addition to the
right of the Bank to pursue any other remedies at law or in equity available to
it, including the recovery of damages and reasonable attorney fees.

     10.  NOTICES. Any notices, requests, demands and other communications
provided for by this Agreement shall be sufficient if in writing and if sent by
registered or certified mail to the Executive at the last address he has filed
in writing with the Bank or, in the case of the Bank, at its principal executive
offices.

     11.  GOVERNING LAW. The provisions of this Agreement shall be construed in
accordance with the laws of the Commonwealth of Kentucky.

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     12.  AMENDMENT. This Agreement may be amended or cancelled by mutual
agreement of the parties in writing without the consent of any other person and,
so long as the Executive lives, no person, other than the parties hereto, shall
have any rights under or interest in this Agreement or the subject matter
hereof.

     13.  SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon and inure
to the benefit of the Bank and its successors and assigns; including but not
limited to any successor to the Bank, direct or indirect, resulting from
purchase, merger, consolidation or otherwise. This Agreement shall also be
binding upon the Executive and shall inure to the benefit of the Executive, his
personal or legal representatives, successors, heirs and assigns.

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

                                             STOCK YARDS BANK & TRUST COMPANY

                                             By: /s/ Henry A. Meyer
                                                 ------------------

                                             Title: Vice Chairman

                                             /s/ Nancy B. Davis
                                             ------------------
                                             Executive

                                      -12-<Page>

                               S.Y. BANCORP, INC.

                 AMENDED AND RESTATED 1995 STOCK INCENTIVE PLAN

     1.  PURPOSE. The name of this plan is the S.Y. Bancorp, Inc. 1995 Stock
Incentive Plan (the "Plan"). The purpose of the Plan is to further the best
interests of S.Y. Bancorp, Inc. (the "Company") by (a) assisting the Company and
its Subsidiaries (as hereinafter defined) in attracting and retaining key
employees and nonemployee directors and (b) providing such persons with an
additional incentive to work to increase the value of the Company's stock by
granting them a stake in the future of the Company which corresponds to the
stake of each of the Company's shareholders.

     2.  DEFINITIONS.

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

(a)  "1999 Amendments" shall mean the amendments to the Plan approved by the
shareholders of the Company at the Annual Meeting of Shareholders held on April
20, 1999.

(b)  "Award" shall mean any grant under the Plan in the form of Stock Options,
Stock Appreciation Rights or any combination thereof.

(c)  "Board" shall mean the Board of Directors of the Company.

(d)  "Business Combination" shall mean any business combination between the
Company or a

Subsidiary and any entity other than the Company or Subsidiary that does not
constitute in change in control but which the Company intends to reflect as a
pooling of interests for accounting purposes.

(e)  "Change in Control" shall be deemed to have occurred if:

     (i) any Person (as defined in this Section 2(e) is or becomes the
Beneficial Owner (as defined in this Section 2(e) of securities of the Company
representing 20% or more of the combined voting power of the Company's then
outstanding securities (unless (A) such Person is the Beneficial Owner of 20% or
more of such securities as of April 26, 1995 or (B) the event causing the 20%
threshold to be crossed is an acquisition of securities directly from the
Company);

     (ii) during any period of two consecutive years beginning after April 26,
1995, individuals who at the beginning of such period constitute the Board and
any new director (other than a director designated by a person who has entered
into an agreement with the Company to effect a transaction described in clause
(i) (iii) or (iv) of this Change in Control definition) whose election or
nomination for election was approved by a vote of at least two-thirds of the
directors then still in office who either were directors at the beginning of the
period or whose election or nomination for election was previously so approved
cease for any reason to constitute a majority of the Board;

     (iii) the shareholders of the Company approve a merger or consolidation of
the Company with any other corporation (other than a merger or consolidation
which would result in the voting securities of the Company outstanding
immediately prior thereto continuing to represent (either by remaining
outstanding or by being converted into voting securities of the entity surviving
such merger or consolidation), in combination with voting securities of the
Company or such surviving entity held by a trustee or other fiduciary pursuant
to any employee benefit plan of the Company or such surviving entity or of any
Subsidiary of the Company or such surviving entity,

                                        1
<Page>

at least 80% of the combined voting power of the securities of the Company or
such surviving entity outstanding immediately after such merger or
consolidation); or

     (iv) the shareholders of the Company approve a plan of complete liquidation
or dissolution of the Company or an agreement for the sale or disposition by the
Company of all or substantially all of the Company's assets.

     For purposes of the definition of Change in Control, "Person" shall have
the meaning ascribed to such tern) in Section 3(a)(9) of the Exchange Act as
supplemented by Section 13(d)(3) of the Exchange Act; provided, however, that
Person shall not include (i) the Company, any Subsidiary or any other Person
controlled by the Company, (ii) any trustee or other fiduciary holding
securities under any employee benefit plan of the Company or of any Subsidiary,
or (iii) a corporation owned, directly or indirectly, by the shareholders of the
Company in substantially the same proportions as their ownership of securities
of the Company.

For purposes of the definition of Change of Control, a Person shall be deemed
the "Beneficial Owner" of any securities which such Person, directly or
indirectly, has the right to vote or dispose of or has "beneficial ownership"
(within the meaning of Rule 13d-3 under the Exchange Act) of, including pursuant
to any agreement, arrangement or understanding (whether or not in writing);
provided, however, that: (i) a Person shall not be deemed the Beneficial Owner
of any security as a result of an agreement, arrangement or understanding to
vote such security (x) arising solely from a revocable proxy or consent given in
response to a public proxy or consent solicitation made pursuant to, and in
accordance with, the Exchange Act and the applicable rules and regulations
thereunder or (y) made in connection with, or to otherwise participate in, a
proxy or consent solicitation made, or to be made, pursuant to, and in
accordance with, the applicable provisions of the Exchange Act and the
applicable rules and regulations thereunder; in either case described in clause
(x) or clause (y) above, whether or not such agreement, arrangement or
understanding is also then reportable by such Person on Schedule 13D under the
Exchange Act (or any comparable or successor report); and (ii) a Person engaged
in business as an underwriter of securities shall not be deemed to be the
Beneficial Owner of any securities acquired through such Person's participation
in good faith in a firm commitment underwriting until the expiration of forty
days after the date of such acquisition.

     (f) "Code" shall mean the Internal Revenue Code of 1986, as amended from
time to time, or any successor thereto.

     (g) "Committee" shall mean the Compensation Committee of the Board, or any
other committee the -Board may subsequently appoint to administer the Plan. The
Committee shall be composed of not less than three -directors each of whom is a
Disinterested Person.

     (h) "Disabled" or "Disability" shall have the meaning assigned thereto in
Section 22(e)(3) of the Code.

     (i) "Disinterested Person" shall mean any person who is not and has not
within the prior one year been eligible for selection as a person to whom Stock
may be allocated or to whom Stock Options or Stock. Appreciation Rights may be
granted pursuant to this Plan or any other plan of the Company or any of its
affiliates entitling the participants therein to acquire Stock, Stock Options,
or stock appreciation rights of the Company or any of its affiliates. For
purposes of this definition, the terms contained herein shall have the same
meaning as they have in Rule 16b-3 (d) (3) promulgated under the Securities
Exchange Act of 1934.

     (j) "Eligible Employee, shall mean an employee of the Company, its Parent,
if any, or any Subsidiary described in Section 5 of the Plan.

     (k) "Exercise Price" shall have the meaning set forth in Section 6(c) of
the Plan.

                                        2
<Page>

     (l) "Fair Market Value" shall mean, as of any given date, with respect to
any Awards granted hereunder, the mean of the high and low trading price of the
stock on such date as reported on the National Association of Securities Dealers
Automated Quotation System or, if the stock is admitted to trade on a national
securities exchange, on such exchange; provided, however, that if any such
quotation system or exchange is closed on any day on which Fair Market Value is
to be determined, Fair Market Value shall be determined as of the first day
immediately preceding such day on which such exchange or quotation system was
open for trading.

     (m) "Incentive Stock Option" shall mean any Stock Option intended to
qualify as an "incentive stock option" within the meaning of Section 422 of the
Code.

     (n) "Insider" shall mean any individual who is subject to Section 16(b) of
the Securities Exchange Act of 1934, as amended.

     (O) "Nonemployee Director" shall mean any person who is not an employee of
the Company or any Subsidiary or affiliate (as such term is defined in Rule 405
of the Securities Act of 1933, as amended) of the Company and who on or after
April 26, 1995 serves as a member of the Board.

     (p) "Nonqualified Stock Option" means any stock option granted under the
Plan that is not designated as an Incentive Stock Option.

     (q) "Parent" shall have the meaning assigned thereto in Section 424 of the
Code and the regulations promulgated thereunder.

     (r) "Rule 16b-3" shall mean Rule 16b-3, as promulgated by the Securities
and Exchange Commission under the Securities Exchange Act of 1934, as amended,
or any successor regulation.

     (s) "Stock" shall mean the common stock, no par value, of the Company.

     (t) "Stock Appreciation Right" shall mean the right pursuant to an Award
granted under Section 7 of the Plan, (i) in the case of a Related Stock
Appreciation Right (as defined in Section 7 of the Plan), to surrender to the
Company all or a portion of the related Stock Option and receive an amount equal
to the excess of the Fair Market Value of one share of Stock as of the date such
Stock Option or portion thereof is surrendered over the Exercise Price per share
specified in such Stock Option, multiplied by the number of shares of Stock in
respect of which such Stock Option is being surrendered, and (ii) in the case of
a Freestanding Stock Appreciation Right (as defined in Section 7 of the Plan),
to exercise such Freestanding Stock Appreciation Right and receive an amount
equal to the excess of the Fair Market Value of one share of Stock as of the
date of exercise over the price per share specified in such Freestanding Stock
Appreciation Right, multiplied by the number of shares of Stock in respect of
which such Freestanding Stock Appreciation Right is being exercised.

     (u) "Stock Option" shall mean any option to purchase shares of Stock
granted pursuant to Section 6 of the Plan.

     (v) "Stock Ownership," whenever necessary to determine a person's stock
ownership in the Company, its Parent or any Subsidiary, shall include stock
actually owned and stock indirectly owned by application of the rules of
attribution contained in Section 424(d) of the Code.

                                        3
<Page>

     (w) "Subsidiary" shall have the meaning assigned thereto in Section 424 of
the Code and the regulations promulgated thereunder. A "Subsidiary" shall
include any entity, which becomes a Subsidiary after the date of adoption of
this Plan.

     (x) "Surrendered Shares" shall mean the shares of Stock described in
Section 7 of the Plan, which (in lieu of being purchased) are surrendered for
cash or Stock, or for a combination of cash and Stock, in accordance with
Section 7.

     3.  ADMINISTRATION OF THE PLAN. The Plan shall be administered by the
Committee.

     The Company, by action of the Committee, and subject to other provisions
and limitations of this Plan, may from time to time grant Awards to such
Eligible Employees as the Committee may in its sole discretion determine, for
such number of shares of the Company's Stock and on such terms and conditions as
the Committee may determine in its sole discretion.

     The Committee may make, publish, amend, and rescind such rules and
practices as it may in its sole discretion deem necessary or helpful to the
administration of the Plan and the issuance and exercise of Awards granted
pursuant to the Plan.

     All decisions made by the Committee pursuant to the provisions of the Plan
and as to the terms and conditions of any Award (and any agreements relating
thereto) shall be final and binding on all persons.

     4.  AVAILABLE SHARES. Subject to the provisions of Section II of this Plan,
the aggregate maximum number of shares of Stock reserved and available for
issuance under this Plan shall be seven hundred twenty thousand (720,000). All
such shares shall be reserved to the extent the Company deems appropriate from
authorized but unissued shares of Stock and from shares of Stock which have been
reacquired by the Company. Any shares of Stock subject to a Stock Option which
remain unissued after the cancellation, expiration or exchange of such Stock
Option shall again become available for use under the Plan, but any Surrendered
Shares which remain unissued after the surrender of a Stock Option under Section
7 of the Plan and any shares of Stock used to satisfy a withholding obligation
under Section 6(g) of the Plan shall not again become available for use under
the Plan.

     5.  EMPLOYEES ELIGIBLE TO PARTICIPATE IN THE PLAN. An Eligible Employee
shall mean a salaried employee of the Company, its Parent, if any, or its
Subsidiaries who is designated by the Committee, m its sole discretion, as
eligible to receive Awards pursuant to this Plan.

     6.  STOCK OPTIONS.

     (a) FORM. The Stock Options granted pursuant to this Plan shall be in such
form as the Committee may from time to time approve. Each grant of a Stock
Option pursuant to this Plan shall be made in writing upon such terms and
conditions as may be determined by the Committee at the time of grant, subject
to the terms, conditions, and limitations set forth in this Plan. The grant of
an option shall be evidenced by a written agreement executed by the Secretary of
the Company and the Eligible Employee.

     (b) NATURE OF OPTIONS. The Committee shall have the right to grant any
Eligible Employee either Incentive Stock Options or Nonqualified Stock Options,
or both, and shall have the right to grant new Stock Options in exchange for
outstanding Stock Options which have a higher or lower Exercise Price. Whether
an option is to be an Incentive Stock Option or a Nonqualified Stock Option
shall be determined by the Committee in its sole discretion. Each option that
the Committee intends to constitute an Incentive Stock Option shall be
specifically designated as such and each option that is not intended to
constitute an Incentive Stock Option shall specifically state "This option is
not an incentive stock option." If any option is issued without a specific
designation, it shall be deemed to constitute a Nonqualified Stock Option. The

                                        4
<Page>

Committee may, however, specifically provide that a Stock Option shall
constitute an Incentive Stock Option to the extent of its exercise as to any
particular number of shares and a Nonqualified Stock Option to the extent of the
remainder of the shares, provided the Committee specifically provides that the
Stock Option shall be deemed an Incentive Stock Option to the extent of the
first shares exercised up to the number of shares as to which the option is
intended to constitute an Incentive Stock Option, and that the option shall be
considered a Nonqualified Stock Option as to the remainder of the shares as to
which it is exercised.

     (c) EXERCISE PRICE. The Stock Options granted pursuant to this Plan shall
provide a specified price at which the shares subject to the Stock Option maybe
purchased (hereinafter called the "Exercise Price"). If any Stock Option issued
pursuant to this Plan is designated as an Incentive Stock Option, the Exercise
Price for each share of Stock subject to the Incentive Stock Option shall,
except as hereinafter provided, be an amount at least equal to the Fair Market
Value of one share of Stock of the Company as of the date of grant of the
Incentive Stock Option. Notwithstanding the above, in tile event that on the
date of grant of the Incentive Stock Option, an Eligible Employee owns stock
(taking into account all classes of stock which are then outstanding) in the
Company which possesses more than 10% of the total combined voting power of all
classes of stock of the Company or owns stock of a Parent or a Subsidiary of the
Company which possesses more than 10% of the total combined voting power of all
classes of stock of the Company's Parent or its Subsidiary, the Exercise Price
for each share of Stock subject to the Incentive Stock Option (to the extent
required by the Code at the time of grant) shall be an amount equal to at least
110% of the Fair Market Value of one share of Stock of the Company as determined
as of the date of grant of the Incentive Stock Option. (For purposes of this
paragraph, the rules of attribution contained in Section 424(d) of the Code
(relating to the attribution of Stock ownership) shall be applied to determine
Stock Ownership.)

     (d) EXERCISE PERIOD. Each Stock Option by its terms shall provide the
period during which it is exercisable, provided, however, no Stock Option shall
be exercisable until the expiration of at least six months from the date the
Stock Option is granted. Each Stock Option granted under this Plan shall provide
an expiration date which date shall be set by the Committee but in no event
shall the expiration date of any Stock Option that is designated an Incentive
Stock Option be a date later than ten years from the date of grant of the
Incentive Stock Option or, if the grantee of the Incentive Stock Option, at the
time of grant, owns stock (taking into account all classes of stock then
outstanding) possessing more than 10% of the total combined voting power of all
classes of stock of the Company, its Parent, or any Subsidiary, the expiration
date of each such Incentive Stock Option (to the extent required by the Code at
the time of grant) shall not be more than five years from the date of grant.
(For purposes of this paragraph, the rules of attribution contained in Section
424(d) of the Code (relating to the attribution of Stock ownership) shall be
applied to determine Stock Ownership.) Each Incentive Stock Option issued under
this Plan shall provide for expiration within three months after the termination
of the Eligible Employee's employment with the Company due to retirement. Each
Incentive Stock Option issued pursuant to this Plan may provide that it shall be
exercisable within twelve months after termination of employment if the Eligible
Employee is disabled. Further, each Incentive Stock Option issued pursuant to
this Plan may provide that in the case of termination of employment by reason of
the Eligible Employee's death, the Incentive Stock Option may be exercised by
the Eligible Employee's estate or other person who receives the Stock Option by
bequest or the laws of -descent and distribution for a period of twelve months
after the Eligible Employee's death. In no event shall the -exercise period be
extended beyond the time which the Eligible Employee would have been required to
exercise the Incentive Stock Option had he not terminated employment, become
disabled or died. The Committee shall, except

                                        5
<Page>

as specifically restricted herein, in its own discretion, determine the term of
Non qualified Stock Options that are - issued pursuant to this Plan and the
circumstances in which such Nonqualified Stock Options shall be exercisable
beyond the termination of employment, disability or death of the Eligible
Employee; provided, that if the Nonqualified Stock Option does not specifically
state when it may be exercised after the termination of the grantee's
employment, death or disability, the Stock Option shall be governed by the
provisions stated above for Incentive Stock Options. Except as otherwise
provided in this Section 6 or Section 16 of the Plan, or as determined by the
Committee in its sole discretion, if an Eligible Employee's employment with the
Company, any Subsidiary or any Parent terminates (including termination for
cause, voluntary resignation or other termination under mutually agreeable
circumstances), all Stock Options held by the Eligible Employee will terminate
immediately upon the effective date and time of the Eligible Employee's
termination of employment.

     (e) TRANSFERABILITY OF OPTIONS. Each Stock Option granted under this Plan
shall provide that such option shall be exercisable during the grantee's
lifetime only by the grantee and that such option shall not be transferable by
the grantee other than by will or the laws of descent and distribution. Stock
Options granted pursuant to this Plan may, but need not, provide for exercise by
the grantee's estate or other person who obtains tile right to exercise the
option by bequest or pursuant to the laws of descent and distribution.

     (f) METHOD OF EXERCISE. Stock Options may be exercised by giving written
notice of exercise delivered in person or by mail at the Company's principal
executive office, specifying the number of shares of Stock with respect to which
the Stock Option is being exercised, accompanied by payment in full of the
Exercise Price. Each Stock Option shall provide that payment of the Exercise
Price may be made either in cash, by check acceptable to the Committee or, at
the discretion of the Committee, in a number of shares of Stock of the Company
having an aggregate Fair Market Value equal to the Exercise Price, or by a
combination of the foregoing forms of consideration. The Committee may also (in
its discretion) allow an Eligible Employee to pay such Exercise Price (in whole
or in part) by electing that the Company withhold shares of Stock (that
otherwise would be transferred to such Eligible Employee as a result of the
exercise of such Stock Option) to the extent necessary to pay such Exercise
Price. Any payment made in Stock shall be treated as equal to the Fair Market
Value of such Stock on the date that a properly endorsed certificate for such
Stock is delivered to the Committee or the date that Stock is treated by the
Committee as withheld from the exercise of the Stock Option. Each Stock Option
shall provide that the Exercise Price shall be payable upon or before the
issuance of the Stock of the Company to be received pursuant to the exercise of
the Stock Option.

     (g) STATEMENT AS TO WITHHOLDING OF FEDERAL INCOME OR OTHER TAXES. The
exercise or surrender of any Stock Option granted under the Plan or the exercise
of a Freestanding Stock Appreciation Right shall constitute an Eligible
Employee's full and complete consent to whatever action the Committee deems
necessary to satisfy the federal and state tax withholding requirements, if any,
which the committee in its discretion deems applicable to such exercise or
surrender. The Committee shall also have the right to provide in an option
agreement that an Eligible Employee may elect to satisfy federal and state tax
withholding requirements through a reduction in the number of shares of Stock
actually transferred to him or her under the Plan, and if the Eligible Employee
is an Insider, any such election and any such reduction shall be effected so as
to satisfy the conditions to the exemption under Rule 16b-3.

     (h) ADDITIONAL INCENTIVE STOCK OPTION LIMITATION. No Stock Option that is
designated an Incentive Stock Option shall be issued pursuant to terms under
which the right to exercise the Incentive Stock Option is affected by the
exercise of another Stock Option or the right to exercise another Stock Option
is affected by exercise of the Incentive Stock Option.

                                        6
<Page>

     (i) ANNUAL LIMIT ON INCENTIVE STOCK OPTIONS. To the extent that the
aggregate Fair Market Value of Stock (determined as of the date an Incentive
Stock Option is granted) with respect to which Incentive Stock Options first
become exercisable in any calendar year exceeds $100,000, such Stock Options
shall be treated as Nonqualified Stock Options. The Fair Market Value of Stock
subject to any other option (determined as of the date such option is granted)
which (1) satisfies the requirements of Section 422 of the Code and (2) is
granted to an Eligible Employee under a plan maintained by the Company, a
Subsidiary or a Parent shall be treated (for purposes of this $100,000
limitation) as if granted under the Plan. The Committee shall interpret and
administer the limitations set forth in this Section 6(i) in accordance with
Section 422(d) of the Code.

     7.  STOCK APPRECIATION RIGHTS.

     (a) GRANT AND EXERCISE. Stock Appreciation Rights may be granted either in
conjunction with all or part of any Stock Option granted under the Plan
("Related Stock Appreciation Rights") or alone ("Freestanding Stock Appreciation
Rights") and, in either case, in addition to other Awards granted under the
Plan. Eligible Employees shall enter into a Stock Appreciation Rights agreement
with the Company if requested by the Committee, in such form as the Committee
shall determine.

         (i)   TIME OF GRANT. Related Stock Appreciation Rights related to
     Nonqualified. Stock Option may be granted either at or after the time of
     the grant of such Nonqualified Stock Option. Related Stock Appreciation
     Rights related to an Incentive Stock Option may be granted only at the time
     of the grant of such Incentive Stock Option. Freestanding Stock
     Appreciation Rights may be granted at any time.

         (ii)  EXERCISABILITY. Related Stock Appreciation Rights shall be
     exercisable only at such time or times and only to the extent that the
     Stock Options to which they relate shall be exercisable in accordance with
     their terms and Freestanding Stock Appreciation Rights shall be exercisable
     from time to time in accordance with such terms and conditions as shall be
     determined by the Committee in its sole discretion at or after the time of
     grant; provided, however, that any Stock Appreciation Right granted to an
     Insider shall not be exercisable during the first six months from the date
     of grant of such Stock Appreciation Right, except that this additional
     limitation shall not apply in the event of death or Disability of the
     Insider prior to the expiration of the six-month period. A Related Stock
     Appreciation Right granted in connection with an Incentive Stock Option may
     be exercised only if and when the Fair Market Value of the Stock subject to
     the Incentive Stock Option exceeds the Exercise Price of such Stock Option.

         (iii) METHOD OF EXERCISE. Stock Appreciation Rights shall be exercised
     by an Eligible Employee by giving written notice of exercise delivered in
     person or by mail as required by the terms of any agreement evidencing the
     Stock Appreciation Right at the Company's principal executive office,
     specifying the number of shares of Stock in respect of which the Stock
     Appreciation Right is being exercised. If requested by the Committee, the
     Eligible Employee shall deliver to the Company the agreement evidencing the
     Stock Appreciation Right being exercised and, in the case of a Related
     Stock Appreciation Right, the Stock Option agreement evidencing any related
     Stock Option, for notation thereon of such exercise and return thereafter
     of such agreements to the Eligible Employee.

         (iv)  AMOUNT PAYABLE. Upon the exercise of a Related Stock Appreciation
     Right, an Eligible Employee shall be entitled to receive an amount in cash
     or shares of Stock equal in value to the excess of the Fair Market Value of
     one share of Stock on the date of exercise over the Exercise Price per
     share specified in the related Stock Option,

                                        7
<Page>

     multiplied by the number of shares of Stock in respect of which the Related
     Stock Appreciation Right shall have been exercised, with the Committee
     having in its sole discretion the right to determine the form of payment.

Upon the exercise of a Freestanding Stock Appreciation Right, an Eligible
Employee shall be entitled to receive an amount in cash or shares of Stock equal
in value to the excess of the Fair Market Value of one share of Stock on the
date of exercise over the price per share specified in the Freestanding Stock
Appreciation Right, which shall be not less than 100% of the Fair Market Value
of the Stock on the date of grant, multiplied by the number of shares of Stock
in respect of which the Freestanding Stock Appreciation Right shall have been
exercised, with the Committee having in its sole discretion the right to
determine the form of payment.

     (b) TERMS AND CONDITIONS. Stock Appreciation Rights granted under the Plan
shall be subject to the following terms and conditions and shall contain such
additional terms and conditions, not inconsistent with the terms of the Plan, as
the Committee shall deem desirable.

         (i)   TERM OF STOCK APPRECIATION RIGHTS. The term of a Related Stock
     Appreciation Right shall be the same as the term of the related Stock
     Option. A Related Stock Appreciation Right or applicable portion thereof
     shall terminate and no longer be exercisable upon the exercise,
     termination, cancellation or surrender of the related Stock Option, except
     that, unless otherwise provided by the Committee in its sole discretion at
     or after the time of grant, a Related Stock Appreciation Right granted with
     respect to less than the full number of shares of Stock covered by a
     related Stock Option shall terminate and no longer be exercisable if and to
     the extent that the number of shares of Stock covered by the exercise,
     termination, cancellation or surrender of the related Stock Option exceeds
     the number of shares of stock not covered by the Related Stock Appreciation
     Right.

     The term of each Freestanding Stock Appreciation Right shall be fixed by
     the Committee, but no Freestanding Stock Appreciation Right shall be
     exercisable more than ten years after the date such right is granted.

         (ii)  TRANSFERABILITY OF STOCK APPRECIATION RIGHTS. Stock Appreciation
     Rights shall be transferable only when and to the extent that a Stock
     Option would be transferable under Section 6(e) of the Plan.

         (iii) TERMINATION OF EMPLOYMENT. In the event of the termination of
     employment of an Eligible Employee holding a Related Stock Appreciation
     Right, such right shall be exercisable to the same extent that the related
     Stock Option is exercisable after such termination.

     In the event of the termination of employment of the holder of a
     Freestanding Stock Appreciation Right, such right shall be exercisable to
     the same extent that a Stock Option with the same terms and conditions as
     such Freestanding Stock Appreciation Right would have been exercisable in
     the event of the termination of employment of the holder of such Stock
     Option.

     8.  GRANT OF OPTIONS TO NONEMPLOYEE DIRECTORS. Each Nonemployee Director
who is serving as such on April 26, 1995, shall as of such date automatically
(without any action by the Committee) be granted a Nonqualified Stock Option to
purchase one thousand (1,000) shares of Stock for an Exercise Price equal to
100%; of the Fair Market Value of the Stock on such date. Each Nonemployee
Director who is first elected to serve as such after April 26, 1995 at any
annual or special meeting of shareholders of the Company shall as of the date of
such election automatically (without any action by the Committee) be granted a
Nonqualified Stock Option to purchase one thousand (1,000) shares of Stock for
an Exercise Price equal to 100% of the Fair Market Value of the Stock on such
date. Subject to Section 16 of the Plan, a Nonemployee

                                        8
<Page>

Director must serve continuously as a Nonemployee Director of the Company for a
period of twelve consecutive months after the date such Stock Option is granted
before he or she can exercise any part of SUCH Stock Option. Thereafter, on and
after the first anniversary of the date of granting the Stock Option and before
the second anniversary, the Nonemployee Director may exercise the Stock Option
with respect to not more than 20% of the number of shares of Stock covered
thereby; on and after the second anniversary and before the third anniversary,
the Nonemployee Director may exercise the Stock Option with respect TO not more
than 40% of the number of shares of Stock covered thereby; on and after the
third anniversary and before the fourth anniversary, the Nonemployee Director
may exercise the Stock Option with respect TO not more than 60% of the number of
shares of Stock covered thereby; on and after the fourth anniversary and before
the fifth anniversary, the Nonemployee Director may exercise the Stock Option
with respect to not more than 80% of the number of shares of Stock covered
thereby; and on and after the fifth anniversary and before the expiration of the
stated term of the Stock Option, which shall be ten years from the date of its
granting, the Nonemployee Director may at any time or from time to time exercise
the Stock Option with respect to all or any portion of the shares of Stock
covered thereby. If a Nonemployee Director's service with the Company terminates
by reason of permanent or total disability, death or retirement or resignation
from active service as a director of the Company, any Stock Option held by such
Nonemployee Director may be exercised for a period of twelve months from the
date of such termination or until the expiration of the Stock Option, whichever
is shorter, to the extent to which the individual would on the date of exercise
have been entitled to exercise the Stock Option if such individual had continued
to serve as a Nonemployee Director; provided, however, if a Nonemployee
Director's service with the Company terminates by reason of his or her
attainment of the Company's mandatory retirement age for directors, all
outstanding Stock Options granted under the Plan shall become fully vested and
immediately exercisable. All applicable provisions of the Plan not inconsistent
with this Section 8 shall apply to Nonqualified Stock Options granted to
Nonemployee Directors; provided, however, that the Committee may not exercise
discretion under any provision of the Plan with respect to Stock Options granted
under this Section 8 to the extent that such discretion is inconsistent with
Rule 16b-3. The maximum number of shares of Stock as to which Stock Options may
be granted to any Nonemployee Director under the Plan, as in effect through
April 25, 2005, shall be one thousand (1,000) shares of Stock. A grant of a
Nonqualified Stock Option to a Nonemployee Director under this Section 8 is
intended to allow such Nonemployee Director to be a Disinterested Person and all
Nonqualified Stock Options granted to Nonemployee Directors as well as this
Section 8 shall be construed to effect such intent.

     9.  TERMINATION OF EMPLOYMENT. The employment of an Eligible Employee by
the Company shall not be deemed to have terminated for purposes of this Plan if
the Eligible Employee is transferred to and becomes an employee of a Subsidiary
or Parent of the Company. Further, the Eligible Employee's employment by the
Company shall not be considered terminated if he becomes an employee of another
corporation (the "Other Company") which assumes the Stock Options issued
pursuant to this Plan or issues its own stock option in substitution of an
option issued under this Plan in a transaction to which Section 424(a) of the
Code applies, provided he becomes an employee of the other Company, its
Subsidiary or its Parent at the time of the transaction. Absence on leave,
whether paid or unpaid, approved by the management of the Company shall not
constitute the termination of employment for any purpose of this Plan, provided
the leave does not exceed ninety (90) days. To the extent required under Section
421 of the Code for favorable tax treatment for Incentive Stock Options, if the
period of leave of absence exceeds ninety (90) days, the leave of absence shall
be considered a termination of employment unless the Eligible Employee's right
to return is guaranteed by statute or contract. If the Eligible Employee's right
to return is not so guaranteed, the Eligible Employee shall be considered to
have tem1inated his employment, for purposes of this Plan, as of the end of the
ninetieth (90th) day of such absence. The immediately preceding two sentences
shall apply solely for tax treatment purposes and not for any other purpose
under the Plan.

     10. REQUIREMENTS OF LAW. If any law, any regulation of the Securities and
Exchange Commission, or any regulation of any other commission or agency having
jurisdiction shall

                                        9
<Page>

require the Company or the exercising optionee to take any action with respect
to the shares of Stock to be acquired upon exercise of a Stock Option, then the
date upon which the Company shall deliver or cause to be delivered the
certificate or certificates for the shares of Stock shall be postponed until
full compliance has been made with all such requirements of law or regulations.
Further, if the Company shall so require at or before the time of the delivery
of the shares with respect to which the exercise of a Stock Option has been
made, the exercising optionee shall deliver to the Company his written statement
that he intends to hold the shares so acquired by him on exercise of the Stock
Option for investment only and not with a view to resale or other distribution
thereof to the public. Further, in the event the Company shall have determined
that in compliance with the Securities Act of 1933 or other applicable statute
or regulation, it is necessary to register any of the shares of Stock with
respect to which the exercise of a Stock Option has been made or qualify such
shares for exemption from any requirements of the Securities Act of 1933 or
other applicable statutes or regulations, then the Company shall take such
action at its own expense, but not until such action has been completed shall
the shares subject to the Stock Option be delivered to the exercising optionee.
Further, in the event at the time of exercise of the Stock Option shares of
Stock of the Company shall be listed on any stock exchange, then if required to
do so, the Company shall register the shares with respect to which exercise is
so made in accordance with the provisions of the Securities Act of 1933 or any
other applicable law or regulations, and the Company shall make prompt
application for the listing of option shares on such stock exchange, again at
the expense of the Company.

     11. ADJUSTMENT. The number, kind or class (or any combination thereof) of
shares of stock reserved under Section 4 of the Plan, the number, kind or class
(or any combination thereof) of shares of Stock subject to Awards granted under
the Plan, the Exercise Price of any outstanding Stock Options and the price per
share specified in a Freestanding Stock Appreciation Right shall be adjusted by
the Board in an equitable manner to reflect any change in the capitalization of
the Company, including, but not limited to, such changes as stock dividends or
stock splits. Furthermore, the Board shall have the right to adjust (in a manner
which satisfies the requirements of Section 424(a) of the Code) the number,
kind or class (or any combination thereof) of shares of Stock reserved under
Section 4 of the Plan, the number, kind or class (or any combination thereof) of
shares of Stock subject to Awards granted under the Plan, the Exercise Price of
any outstanding Stock Options and the price per share specified in a
Freestanding Stock Appreciation Right in the event of any corporate transaction
described in Section 424(a) of the Code which provides for the substitution or
assumption of such A wards in order to take into account on an equitable basis
the effect of such transaction. If any adjustment under this Section 11 would
create a fractional share of Stock or a right to acquire a fractional share of
Stock, such fractional share shall be disregarded and the number of shares of
Stock reserved under the Plan and the number subject to any Awards granted under
the Plan shall be the next lower number of shares of Stock, rounding all
fractions downward. An adjustment made under this Section 11 by the Board shall
be conclusive and binding on all affected persons and, further, shall not
constitute an increase in "the number of shares reserved under Section 41,
within the meaning of Section 12 of the Plan.

     12. AMENDMENT OR DISCONTINUANCE OF THE PLAN. The Plan may be amended by the
Board from time to time to the extent that the Board deems necessary or
appropriate; provided, however,

         (1)   no such amendment shall be made absent the approval of the
               shareholders of the Company required under Section 422 of the
               Code (a) to increase the number of shares of Stock reserved for
               issuance under Section 4, or (b) to change the class of employees
               eligible to receive A wards under Section 5,

                                       10
<Page>

         (2)   to the extent shareholder approval is required in order for the
               exemption set forth in Rule 16b-3 to be available in respect of
               Awards granted pursuant to the Plan, the Board shall not amend
               the Plan absent the approval of the shareholders of the Company
               in accordance with Rule 16b-3, (a) to increase materially (within
               the meaning of Rule 16b- 3) the benefits accruing to any insider
               under the Plan, (b) to increase materially (within the meaning of
               Rule 16b-3) the number of securities which may be issued under
               the Plan to Insiders, or (c) otherwise modify materially (within
               the meaning of Rule 16b-3) the requirements as to eligibility by
               Insiders for participation in the Plan,

         (3)   no amendment shall be made to change the terms and  conditions
               of a Stock Option which can be granted to a Nonemployee
               Director absent the approval of the shareholders of the Company,
               and

         (4)   no provision of the Plan (including Section 8) shall be amended
               more than once every six months if amending such provision
               would result in the loss of an exemption under Rule 16b-3.

Any amendment which specifically applies to Nonqualified Stock Options or Stock
Appreciation Rights shall not require shareholder approval unless such approval
is necessary to comply with Section 16 of the Securities Exchange Act of 1934,
as amended, or Section 15 of the Plan. The Board also may suspend the granting
of Awards --under the Plan at any time and may terminate the Plan at any time;
provided, however, the Board shall not have the right unilaterally to modify,
amend or cancel any Award granted before such suspension or termination or
otherwise impair any outstanding Award granted under the Plan unless (1) the
Eligible Employee or Nonemployee Director consents in writing to such
modification, amendment or cancellation or (2) there is a dissolution or
liquidation of the Company or a transaction described in Section 11, Section 14
or Section 16 of the Plan. The Board may also vest the administration of the
Plan in persons other than the Committee provided one member of any body that is
vested with the power to administer the Plan shall be a member of the Board and
all members of such body shall be Disinterested Persons. In the event that the
authority to administer the Plan is vested in any body other than the Committee,
the references herein to the Committee shall be considered to be references to
that body.

     13. COMPANY'S RIGHT TO TERMINATE EMPLOYEES NOT IMPAIRED. Notwithstanding
the provisions of this Plan or the provisions of Awards granted pursuant to
this, Plan, the right of the company (or its Parent or any Subsidiary) to
terminate any employee shall not be in any manner affected or impaired by the
adoption of this Plan or by the grant of Awards pursuant to the Plan.

     14. LIQUIDATION OF THE COMPANY. In the event of the complete liquidation or
dissolution of the Company, any Awards granted pursuant to the Plan remaining
unexercised shall be deemed cancelled, without, regard to or limitation by any
other provisions of the Plan.

     15. SHAREHOLDER APPROVAL. The Plan shall be submitted to a meeting of the
shareholders of the Company, either at the regular annual meeting thereof or at
a special meeting called for the purpose of the consideration of the Plan, and
the Plan shall not become effective unless its adoption is approved by the
shareholders of the Company within twelve (12) months of its adoption by the
Board. Upon approval by the shareholders, this Plan shall take effect without
further action by the Company, provided such approval is obtained within twelve
(12) months of the adoption of this Plan by the Board. Any Awards granted under
the Plan prior to 'the Plan's approval by the shareholders of the Company shall
be granted subject to such approval, and, absent timely approval of the Plan by
such shareholders, such Awards shall be null and void.

                                       11
<Page>

     16. CHANGE IN CONTROL.

     (a) Change in Control. If there is a Change in Control and as a result of
the transactions contemplated by the Change in Control, a successor will acquire
all or a substantial portion of the assets or outstanding capital stock of the
Company, then the kind of shares of Common Stock which shall be subject to the
Plan and to each outstanding Stock Option shall automatically be converted into
and replaced by shares of Common Stock, or such other class of equity securities
having rights and preferences no less favorable than Common Stock of the
successor and the number of shares subject to the Stock Options and the purchase
price per share upon exercise of the Stock Options shall be correspondingly
adjusted, so that, by virtue of such Change in Control of the Company, each
optionee shall have the right to purchase (i) that number of shares of the
successor which, as of the date of the Change in Control, have a fair market
value equal to the fair market value of the shares of the Company theretofore
subject to an option, (ii) for a purchase price per share which, when multiplied
by the number of shares of the successor subject to the Stock Option, shall
equal the aggregate exercise price at which the optionee could have acquired
shares of the Company under such Stock Option.

     (b) Acceleration. Notwithstanding the provisions of Section 6(d), if there
is a Change in Control, then the right to exercise all Stock Options shall be
accelerated (i) immediately upon the Change in Control if it occurs more than
two years following the adoption of the Plan by the stockholders of the Company;
(ii) immediately upon the Change in Control if the transaction in which it
occurs is not intended to be reflected as a pooling of interests for accounting
purposes; or (iii) if the Change in Control occurs within two years following
approval of the 1999 Amendments to this Plan by stockholders of the Company and
the transaction with respect to which the Change in Control occurs is intended
to be reflected as a pooling of interests for accounting purposes, on earlier to
occur of (x) the date which is three months after the occurrence of the Change
in Control or (y) the date of consummation of such transaction, unless prior to
that date the Board of Directors finds that the acceleration of the right to
exercise Stock Options would prevent the transaction being reflected as a
pooling of interests for accounting purposes. If the Company or a Subsidiary
engages in a Business Combination within two years following approval of the
1999 Amendments to this Plan by stockholders of the Company, and if the Board of
Directors finds that a future acceleration of the right to exercise Stock
Options upon the occurrence of a Change in Control would prevent the Business
Combination being reflected as a pooling of interests for accounting purposes,
the Board of Directors may, at any time prior to a Change in Control, revoke the
provisions of this Section 16(b) regarding acceleration of the right to exercise
with respect to any Stock Options granted prior the earlier of (i) the date of
the finding by the Board of Directors, or (ii) two years following the approval
of the 1999 Amendments to this Plan by stockholders of the Company.

     17. QUALIFICATION OF OPTIONS ISSUED UNDER THE PLAN AS INCENTIVE STOCK
OPTIONS. It is the intention of the Company that those Stock Options that are
issued pursuant to the Plan that are designated as Incentive Stock Options shall
constitute "incentive stock options" within the meaning of Section 422 of the
Code. However, in the event that any Stock Option so designated does not
constitute an "incentive stock option" within the meaning of Section 422 of the
Code for any reason whatsoever, none of the Company, a Parent or Subsidiary or
their shareholders, directors, officers or employees, shall be liable to any
person for such failure to constitute an "incentive stock option." If the
characterization of any Stock Option as an "incentive stock option" within the
meaning of Section 422 of the Code is challenged by the Internal Revenue
Service, the Company may, but shall not be required to, pay the reasonable legal
and accounting expenses incurred in an attempt to establish the characterization
of the Stock Options issued under the Plan as "incentive stock options" within
the meaning of Section 422 of the Code. In all events, however, the Company
shall make available to any Eligible Employee such factual information, which is
reasonably necessary to establish the characterization of the Stock Options for
federal income tax purposes.

                                       12
<Page>

     It is intended that any Stock Option granted under the Plan that is not
specifically designated as an Incentive Stock Option shall not constitute an
Incentive Stock Option.

     18. EFFECTIVE DATE OF THE PLAN. The Plan shall be effective on the date it
is approved by the shareholders of the Company.

     19. TERM OF THE PLAN. No Stock Option may be issued pursuant to the Plan on
or after the earlier of (i) its termination by action of the Board; (ii) ten
years from the earlier of the date of adoption of this Plan by the Board or its
approval by the shareholders of the Company; or (iii) the date on which all of
the Stock reserved under Section 4 of the Plan has (as a result of the surrender
or exercise of Stock Options granted under the Plan) been issued or is no longer
available for use under the Plan.

     20. SHAREHOLDER RIGHTS. No Eligible Employee or Nonemployee Director shall
have any rights as a shareholder of the Company as a result of the grant of an
Award under the Plan or his or her exercise or surrender of such Award pending
the actual delivery of any Stock subject to such Award to such Eligible Employee
or Nonemployee Director.

     21. CONSTRUCTION. The Plan shall be construed under the laws of the state
of Kentucky.

     22. OTHER CONDITIONS. Each agreement evidencing an Award may require that
an Eligible Employee or Nonemployee Director (as a condition to the exercise of
such Award) enter into any agreement or make such representations prepared by
the Company, including any agreement which restricts the transfer of Stock
acquired pursuant to the exercise of an Award or provides for the purchase of
such Stock by the Company under certain circumstances.

                                       13

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