Document:

Variable Compensation Plan Summary Description

 Exhibit10.19 
 FULTON FINANCIAL CORPORATION 
 VARIABLE COMPENSATION PLAN 

SUMMARY DESCRIPTION 
 AS OF JANUARY 1, 2010  
 Objective/Purpose 

On May 30, 2006, the Fulton Financial Corporation (“Fulton”) Board of Directors (“Board”) first
approved an annual cash incentive compensation structure, the Variable Compensation Plan (the “Variable Plan.”) The Variable Plan is designed to: (i) assist Fulton and its subsidiaries in attracting, motivating, and retaining the key
employees critical to the long-term success of Fulton and its subsidiaries; (ii) align the interest of these employees with those of Fulton’s shareholders; and (iii) enable Fulton to recognize the individual effort of these employees
by paying them annual cash bonuses, which are subject to the achievement of specified levels of organizational and individual goals. This summary description of the Variable Plan is to filed with the Securities and Exchange Commission. This document
may be amended, from time to time, to reflect subsequent amendments to the Variable Plan. 
 Administration 

The Variable Plan is administered by the committee of the Board that is responsible for executive compensation matters.
Currently this committee is the Human Resources Committee (the “Committee”). The Committee shall have authority, in its sole discretion, to construe, interpret and administer the Variable Plan, establish rules and administrative procedures
thereunder, make all determinations, including the determination of the Performance Target and the Individual Goals (as such terms are defined below) and compensation awards under the Variable Plan, and delegate the review of awards for participants
other than Senior Executive Officers (defined below), as the Committee may deem appropriate. All determinations made by the Committee shall be reflected in meeting minutes or written consents and, unless modified or rejected by the Board, shall be
final and binding. Awards under the Variable Plan for the Senior Executive Officers shall be disclosed in Fulton’s filings with the Securities and Exchange Commission, to the extent required. 

Eligible Participants 
 In addition to any Fulton employee that the Committee may specifically designate as an eligible participant, the following categories of personnel are all “Participants” who are eligible to
participate in the Variable Plan: 
  

	 	•	 	 Tier 1 Participants consist of Fulton’s Chief Executive Officer and other named executive officers included in Fulton’s annual proxy
statement (“Senior Executive Officers”). 

	 	•	 	 Tier 2 Participants consist of the Presidents and CEOs of Fulton’s bank subsidiaries and the regional presidents of Fulton Bank, N.A.

  

	 	•	 	 Tier 3 Participants consist of Fulton’s Department Heads/Managers and Commercial and Retail Banking Heads at Fulton’s subsidiary banks.

  

	 	•	 	 Tier 4 Participants consist of Market Managers at Fulton Bank, N.A.’s Fulton Financial Advisors Division, and the Commercial Lending Officers,
Leasing Officers, Cash Management Sales, and Branch Managers of Fulton’s subsidiary banks. 

 New hires and employees promoted into a position in one of the above tiers prior to October 1st of a plan year may be eligible for pro-rated participation for that specific plan year. Individuals hired or promoted
after October 1st shall be eligible for plan
participation effective January 1st of the following
year. A plan year is based on a calendar year. 
 Annual Threshold Performance Target Hurdle 

Prior to the commencement of each plan year, the Committee establishes an annual threshold organizational performance
target hurdle (the “Performance Target”), which must be achieved by Fulton for any award to be made under the Variable Plan. The Committee determines whether the Performance Target has been achieved in each plan year. 

The current Performance Target is Fulton’s earnings per share growth being in the top two-thirds of a peer group
selected by the Committee. The current peer group selected by the Committee is Fulton’s Performance Peer Group, which is listed in Fulton’s proxy statement. However, the Committee may use a different performance target or performance peer
group in future years. 
 If the Committee determines that the Performance Target for a plan year has been
achieved, each Participant is eligible to receive a cash bonus, the amount of which is based on their achievement of their respective individual performance goals. 
 Individual Participant Performance Goals 
 In each
plan year, individual performance goals (the “Individual Goals”) will be set for each Participant in the Variable Plan. The Individual Goals of all Tier 1 Participants shall be reviewed and approved by the Committee. The Individual Goals
of the Participants in Tiers 2, 3 and 4 shall be reviewed and approved by their respective managers. 

Specifically, each Participant is eligible to receive a cash bonus equal to a percentage of base salary, with the
possibility of achieving a higher amount for superior individual and company performance. These payouts are substantially based on the 

  
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results of each Participant’s individual scorecard of critical performance factors that are tailored to his or her position and job responsibilities and different weights are given to each
participant’s performance factors. Generally, performance factors that are more directly aligned with the interests of shareholders are given greater weight. 
 Variable Compensation Awards 
 The Committee approves
awards for Tier 1 Participants up to a pre-set maximum. The Tier 1 threshold, target or maximum award percentages are set for different levels of achievement of Individual Goals. The Committee may delegate award determinations for the Participants
in Tiers 2, 3 and 4 to the Senior Executive Officers or other senior officers who may consult with the managers and supervisors of these Participants in determining the amount of each such Participant’s award. 

The Board, based on the recommendation of the Committee but in its sole discretion, shall approve the amount of each
individual’s Variable Plan award for the Tier 1 Participants, as well as the aggregate amount of the annual variable compensation awards to be granted. Individual Variable Plan awards, expressed as an annual percentage, will be made in
accordance with an established payout matrix set by the Committee for Tier 1 Participants. The current payout matrix of awards set by the Committee for Tier 1 Participants is: 

 

													
	 Tier 1 Participant
	  	Threshold	 	 	Target	 	 	Maximum	 
	 Fulton CEO
	  	 	25	% 	 	 	50	% 	 	 	100	% 
	 Other Senior Executive Officers
	  	 	17.5	% 	 	 	35	% 	 	 	60	% 

 The
Committee may delegate award determinations for the Participants in Tiers 2, 3 and 4 to the Senior Executive Officers or other senior officers who may consult with the managers and supervisors of these Participants in determining the amount of each
such Participant’s award. 

  
 3Fairmount Bancorp, Inc. 2010 Stock Option Plan

 Exhibit 10.1 
 FAIRMOUNT BANCORP, INC. 
 2010 STOCK OPTION PLAN 

ARTICLE I 

ESTABLISHMENT OF THE PLAN 
 Fairmount Bancorp, Inc. (the “Corporation”) hereby establishes this 2010 Stock Option Plan (the “Plan”) upon the terms and conditions hereinafter stated. 

ARTICLE II 

PURPOSE OF THE PLAN 
 The purpose of this Plan is to retain personnel of experience and ability in key positions by providing Employees and Non-Employee Directors with a proprietary interest in the Corporation and its
Subsidiary Companies as compensation for their contributions to the Corporation and the Subsidiary Companies and as an incentive to make such contributions in the future and rewarding Employees and Non-Employee Directors for outstanding
performance. All Incentive Stock Options issued under this Plan are intended to comply with the requirements of Section 422 of the Code, and the regulations thereunder, and all provisions hereunder shall be read, interpreted and applied
with that purpose in mind. Each recipient of an Option hereunder is advised to consult with his or her personal tax advisor with respect to the tax consequences under federal, state, local and other tax laws of the receipt and/or exercise of an
Option hereunder. 
 ARTICLE III 
 DEFINITIONS 
 The following words and phrases when used in this Plan with
an initial capital letter, unless the context clearly indicates otherwise, shall have the meanings set forth below. Wherever appropriate, the masculine pronouns shall include the feminine pronouns and the singular shall include the plural.

 3.1 “Advisory Director” means a person appointed to serve as an advisory or emeritus director by the Board
of either the Corporation or the Bank or any successors thereto. 
 3.2 “Bank” means Fairmount Bank, the wholly
owned subsidiary of the Corporation. 
 3.3 “Beneficiary” means the person or persons designated by an Optionee
to receive any benefits payable under the Plan in the event of such Optionee’s death. Such person or persons shall be designated in writing on forms provided for this purpose by the Committee and may be changed from time to time by similar
written notice to the Committee. In the absence of a written designation, the Beneficiary shall be the Optionee’s surviving spouse, if any, or if none, his or her estate. 

3.4 “Board” means the Board of Directors of the Corporation. 

3.5 “Change in Control” shall mean a change in the ownership of the Corporation or the Bank, a change in the effective
control of the Corporation or the Bank or a change in the ownership of a substantial portion of the assets of the Corporation or the Bank, in each case as provided under Section 409A of the Code and the regulations thereunder. In no event,
however, shall a Change in Control be deemed to have occurred as a result of any acquisition of securities or assets of the Corporation, the Bank or a subsidiary of either of them, by the 

 
Corporation, the Bank, any subsidiary of either of them, or by any employee benefit plan maintained by any of them. For purposes of this Section 3.5, the term “person” shall
include the meaning assigned to it under Sections 13(d)(3) or 14(d)(2) of the Exchange Act. 
 3.6 “Code” means
the Internal Revenue Code of 1986, as amended. 
 3.7 “Committee” means a committee of two or more directors
appointed by the Board pursuant to Article IV hereof. 
 3.8 “Common Stock” means shares of the common stock,
$0.01 par value per share, of the Corporation. 
 3.9 “Director” means a member of the Board of Directors of
the Corporation or a Subsidiary Company or any successors thereto, including Non-Employee Directors as well as Officers and Employees serving as Directors. 
 3.10 “Disability” means in the case of any Optionee that the Optionee: (i) is unable to engage in any substantial gainful activity by reason of any medically determinable physical or
mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, or (ii) is, by reason of any medically determinable physical or mental impairment which can be expected to
result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than three months under an accident and health plan covering employees of the Corporation
or the Bank (or would have received such benefits for at least three months if he had been eligible to participate in such plan). 
 3.11 “Effective Date” means the date upon which the Board adopts this Plan. 
 3.12 “Employee” means any person who is employed by the Corporation or a Subsidiary Company, or is an Officer of the Corporation or a Subsidiary Company, but not including directors who
are not also Officers of or otherwise employed by the Corporation or a Subsidiary Company. 
 3.13 “Employer
Group” means the Corporation and any Subsidiary Company which, with the consent of the Board, agrees to participate in the Plan. 
 3.14 “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
 3.15 “Exercise Price” means the price at which a share of Common Stock may be purchased by an Optionee pursuant to an Option. 

3.16 “Fair Market Value” shall be equal to the fair market value per share of the Corporation’s Common Stock on the
date an Option is granted. For purposes hereof, the Fair Market Value of a share of Common Stock shall be the closing sale price of a share of Common Stock on the date in question (or, if such day is not a trading day in the U.S. markets, on
the nearest preceding trading day), as reported with respect to the principal market (or the composite of the markets, if more than one) or national quotation system in which such shares are then traded, or if no such closing prices are reported,
the mean between the high bid and low asked prices that day on the principal market or national quotation system then in use, or if the Common Stock is not readily tradable on an established securities market, the Fair Market Value shall be based
upon a reasonable valuation method that complies with Section 409A of the Code and the regulations issued thereunder. 

3.17 “Incentive Stock Option” means any Option granted under this Plan which the Board intends (at the time it is
granted) to be an incentive stock option within the meaning of Section 422 of the Code or any successor thereto. 
 3.18
“Non-Employee Director” means a member of the Board (including advisory boards, if any) of the Corporation or any Subsidiary Company or any successor thereto, including an Advisory Director of the Board of

  
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the Corporation and/or any Subsidiary Company, or a former Officer or Employee of the Corporation and/or any Subsidiary Company serving as a Director or Advisory Director, who is not an Officer
or Employee of the Corporation or any Subsidiary Company. 
 3.19 “Non-Qualified Option” means any Option
granted under this Plan which is not an Incentive Stock Option. 
 3.20 “Officer” means an Employee whose
position in the Corporation or Subsidiary Company is that of a corporate officer, as determined by the Board. 
 3.21
“Option” means a right granted under this Plan to purchase Common Stock. 
 3.22 “Optionee” means
an Employee or Non-Employee Director or former Employee or Non-Employee Director to whom an Option is granted under the Plan. 

3.23 “Retirement” means: 
 (a) A termination of employment which constitutes a “retirement” at the “normal retirement age” or later under the Fairmount Bancorp, Inc. Employee Stock Ownership Plan or such other
qualified pension benefit plan maintained by the Corporation or a Subsidiary Company as may be designated by the Board or the Committee, or, if no such plan is applicable, which would constitute “retirement” under the Fairmount Bancorp,
Inc. Employee Stock Ownership Plan, if such individual were a participant in that plan; provided, however, that the provisions of this subsection (a) will not apply as long as an Optionee continues to serve as a Non-Employee Director, including
service as an Advisory Director. 
 (b) With respect to Non-Employee Directors, retirement means retirement from service on the
Board of Directors of the Corporation or a Subsidiary Company or any successors thereto (including retirement from service as an Advisory Director to the Corporation or any Subsidiary Company) after reaching normal retirement age as established by
the Company. 
 3.24 “Stock Option Agreement” means the written agreement setting forth the number of shares
subject to the Option, the exercise price thereof, designating the Option as an Incentive Stock Option or a Non-Qualified Option and such other terms of the Option as the Committee shall deem appropriate. 

3.25 “Subsidiary Companies” means those subsidiaries of the Corporation, including the Bank, which meet the definition
of “subsidiary corporations” set forth in Section 424(f) of the Code, at the time of granting of the Option in question. 
 ARTICLE IV 
 ADMINISTRATION OF THE PLAN 

4.1 Duties of the Committee. The Plan shall be administered and interpreted by the Committee, as appointed from time
to time by the Board pursuant to Section 4.2. The Committee shall have the authority to adopt, amend and rescind such rules, regulations and procedures as, in its opinion, may be advisable in the administration of the Plan, including,
without limitation, rules, regulations and procedures which (i) address matters regarding the satisfaction of an Optionee’s tax withholding obligation pursuant to Section 12.2 hereof, (ii) to the extent permissible by applicable
law and regulation, include arrangements to facilitate the Optionee’s ability to borrow funds for payment of the exercise or purchase price of an Option, if applicable, from securities brokers and dealers, and (iii) subject to any legal or
regulatory restrictions or limitations, include arrangements which provide for the payment of some or all of such exercise or purchase price by delivery of previously owned shares of Common Stock or other property and/or by withholding some of
the shares of Common Stock which are being acquired. The interpretation and construction by the Committee of any provisions of the Plan, any rule, regulation or procedure adopted by it pursuant thereto or of any Option shall be final and
binding in the absence of action by the Board. 

  
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 4.2 Appointment and Operation of the Committee. The members of the
Committee shall be appointed by, and will serve at the pleasure of, the Board. The Board from time to time may remove members from, or add members to, the Committee, provided the Committee shall continue to consist of two or more members of the
Board, each of whom shall be a Non-Employee Director, as defined in Rule 16b-3(b)(3)(i) of the Exchange Act or any successor thereto. In addition, each member of the committee shall be (i) an “outside director” within the meaning
of Section 162(m) of the Code and regulations thereunder at such times as is required under such regulations and (ii) an “independent director” as such term is defined in Rule 5605(a)(2) of the Marketplace Rules of the Nasdaq
Stock Market or any successor thereto. The Committee shall act by vote or written consent of a majority of its members. Subject to the express provisions and limitations of the Plan, the Committee may adopt such rules, regulations and
procedures as it deems appropriate for the conduct of its affairs. It may appoint one of its members to be chairman and any person, whether or not a member, to be its secretary or agent. The Committee shall report its actions and decisions
to the Board at appropriate times, but in no event less than one time per calendar year. 
 4.3 Revocation for
Misconduct. The Board or the Committee may by resolution immediately revoke, rescind and terminate any Option, or portion thereof, to the extent not yet vested, previously granted or awarded under this Plan to an Employee who is
discharged from the employ of the Corporation or a Subsidiary Company for cause, which, for purposes hereof, shall mean termination because of the Employee’s personal dishonesty, incompetence, willful misconduct, breach of fiduciary duty
involving personal profit, intentional failure to perform stated duties, willful violation of any law, rule, or regulation (other than traffic violations or similar offenses) or final cease-and-desist order. Options granted to a Non-Employee
Director who is removed for cause pursuant to the Corporation’s Articles of Incorporation or Bylaws or the Bank’s Federal Stock Charter or Bylaws or the constituent documents of such other Subsidiary Company on whose board he serves shall
terminate as of the effective date of such removal. 
 4.4 Limitation on Liability. Neither the members of
the Board nor any member of the Committee shall be liable for any action or determination made in good faith with respect to the Plan, any rule, regulation or procedure adopted by it pursuant thereto or any Options granted under it. If a member of
the Board or the Committee is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of anything done or not done by him or
her in such capacity under or with respect to the Plan, the Corporation shall, subject to the requirements of applicable laws and regulations, indemnify such member against all liabilities and expenses (including attorneys’ fees), judgments,
fines and amounts paid in settlement actually and reasonably incurred by him or her in connection with such action, suit or proceeding if he or she acted in good faith and in a manner he or she reasonably believed to be in the best interests of the
Corporation and its Subsidiary Companies and, with respect to any criminal action or proceeding, had no reasonable cause to believe his or her conduct was unlawful. In addition, the Corporation shall pay ongoing expenses incurred by such member
if a majority of disinterested directors concludes that such member may ultimately be entitled to indemnification; provided, however, that before making advance payment of expenses, the Corporation shall obtain an agreement that the Corporation will
be repaid if such member is later determined not to be entitled to such indemnification. 
 4.5 Compliance with Laws and
Regulations. All Options granted hereunder shall be subject to all applicable federal and state laws, rules and regulations and to such approvals by any government or regulatory agency as may be required. The Corporation shall not
be required to issue or deliver any certificates for shares of Common Stock prior to the completion of any registration or qualification of or obtaining of consents or approvals with respect to such shares under any federal or state law or any rule
or regulation of any government body, which the Corporation shall, in its sole discretion, determine to be necessary or advisable. Moreover, no Option may be exercised if such exercise would be contrary to applicable laws and regulations.

 4.6 Restrictions on Transfer. The Corporation may place a legend upon any certificate representing shares
acquired pursuant to an Option granted hereunder, noting that the transfer of such shares may be restricted by applicable laws and regulations. 
 4.7 No Deferral of Compensation Under Section 409A of the Code. All Options granted under the Plan are designed to not constitute a deferral of compensation for purposes of
Section 409A of the Code. Notwithstanding any other provision in this Plan to the contrary, all of the terms and conditions of any Option granted under this Plan shall be designed to satisfy the exemption for stock options set forth in the

  
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regulations issued under Section 409A of the Code. Both this Plan and the terms of all Options granted hereunder shall be interpreted in a manner that requires compliance with all of
the requirements of the exemption for stock options set forth in the regulations issued under Section 409A of the Code. No Optionee shall be permitted to defer the recognition of income beyond the exercise date of a Non-Qualified Option or
beyond the date that the Common Stock received upon the exercise of an Incentive Stock Option is sold. 
 ARTICLE V

 ELIGIBILITY 
 Options may be granted to such Employees or Non-Employee Directors of the Corporation and its Subsidiary Companies as may be designated from time to time by the Board or the Committee. Options may
not be granted to individuals who are not Employees or Non-Employee Directors of either the Corporation or its Subsidiary Companies. Non-Employee Directors shall be eligible to receive only Non-Qualified Options. 

ARTICLE VI 

COMMON STOCK COVERED BY THE PLAN 
 6.1 Option Shares. The aggregate number of shares of Common Stock which may be issued pursuant to this Plan, subject to adjustment as provided in Article IX, shall be 44,403
shares. None of such shares shall be the subject of more than one Option at any time, but if an Option as to any shares is surrendered before exercise, or expires or terminates for any reason without having been exercised in full, or for any
other reason ceases to be exercisable, the number of shares covered thereby shall again become available for grant under the Plan as if no Options had been previously granted with respect to such shares. During the time this Plan remains in
effect, the aggregate grants of Options to each Employee and each Non-Employee Director shall not exceed 25% and 5% of the shares of Common Stock initially available under the Plan, respectively, and Options granted to Non-Employee Directors in the
aggregate may not exceed 30% of the number of shares initially available under this Plan, in each case subject to adjustment as provided in Article IX. 
 6.2 Source of Shares. The shares of Common Stock issued under the Plan may be authorized but unissued shares, treasury shares or shares purchased by the Corporation on the open market
or from private sources for use under the Plan. 
 ARTICLE VII 

DETERMINATION OF 
 OPTIONS, NUMBER OF SHARES, ETC. 
 The Board or the Committee shall, in its
discretion, determine from time to time which Employees or Non-Employee Directors will be granted Options under the Plan, the number of shares of Common Stock subject to each Option, and whether each Option will be an Incentive Stock Option or a
Non-Qualified Stock Option. In making all such determinations there shall be taken into account the duties, responsibilities and performance of each respective Employee and Non-Employee Director, his or her present and potential contributions
to the growth and success of the Corporation, his or her salary or other compensation and such other factors as the Board or the Committee shall deem relevant to accomplishing the purposes of the Plan. The Board or the Committee may, but shall
not be required to, request the written recommendation of the Chief Executive Officer of the Corporation other than with respect to Options to be granted to him or her. 

  
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 ARTICLE VIII 
 OPTIONS 
 Each Option granted hereunder shall be on the following terms and
conditions: 
 8.1 Stock Option Agreement. The proper Officers on behalf of the Corporation and each Optionee shall
execute a Stock Option Agreement, which shall set forth the total number of shares of Common Stock to which it pertains, the exercise price, whether it is a Non-Qualified Option or an Incentive Stock Option, and such other terms, conditions,
restrictions and privileges as the Board or the Committee in each instance shall deem appropriate; provided, however, that they are not inconsistent with the terms, conditions and provisions of this Plan. Each Optionee shall receive a copy of
his or her executed Stock Option Agreement. Any Option granted with the intention that it will be an Incentive Stock Option, but which fails to satisfy a requirement for Incentive Stock Options, shall continue to be valid and shall be treated
as a Non-Qualified Option. 
 8.2 Option Exercise Price. 

(a) Incentive Stock Options. The per share price at which the subject Common Stock may be purchased upon exercise of
an Incentive Stock Option shall be no less than 100% of the Fair Market Value of a share of Common Stock at the time such Incentive Stock Option is granted, except as provided in Section 8.9(b), and subject to any applicable adjustment pursuant
to Article IX hereof. 
 (b) Non-Qualified Options. The per share price at which the subject Common Stock may
be purchased upon exercise of a Non-Qualified Option shall be no less than 100% of the Fair Market Value of a share of Common Stock at the time such Non-Qualified Option is granted, subject to any applicable adjustment pursuant to Article IX hereof.

 8.3 Vesting and Exercise of Options. 
 (a) General Rules. Incentive Stock Options and Non-Qualified Options shall become vested and exercisable at a rate no more rapid than 20% per year, commencing one year from the
date of grant as shall be determined by the Committee, and the right to exercise shall be cumulative. Notwithstanding the foregoing, except as provided in Section 8.3(b) hereof, no vesting shall occur on or after an Employee’s
employment and/or service as a Non-Employee Director (which, for purposes hereof, shall include service as an Advisory Director) with the Corporation or any of the Subsidiary Companies is terminated. In determining the number of shares of
Common Stock with respect to which Options are vested and/or exercisable, fractional shares will be rounded down to the nearest whole number; provided, however, that such fractional shares shall be aggregated and deemed vested on the final date of
vesting. 
 (b) Accelerated Vesting. Unless the Board or the Committee shall specifically state otherwise at
the time an Option is granted, all Options granted under this Plan shall become vested and exercisable in full on the date an Optionee terminates his of her employment with the Corporation or a Subsidiary Company or service as a Non-Employee
Director (including for purposes hereof service as an Advisory Director) because of his or her death or Disability (provided, however, no such accelerated vesting shall occur if a Recipient remains employed by or continues to serve as a Director
(including for purposes hereof service as an Advisory Director) of at least one member of the Employer Group). Furthermore, notwithstanding the general rule contained in Section 8.3(a), all Options granted under this Plan shall become vested
and exercisable in full as of the effective date of a Change in Control. 
 8.4 Duration of Options. 

(a) General Rule. Except as provided in Sections 8.4(b) and 8.9, each Option or portion thereof granted to Employees
and Non-Employee Directors shall be exercisable at any time on or after it vests and becomes exercisable until the earlier of (i) 10 years after its date of grant or (ii) six months after the date on which the Optionee ceases to be
employed (or in the service of the Board of Directors) by the Corporation and all Subsidiary Companies, unless the Board of Directors or the Committee in its discretion decides at the time of grant to extend such period of exercise to a period not
exceeding three years. In no event shall an Option be exercisable more than 10 years after its date of grant. In the event an Incentive Stock Option is not exercised within 90 days of the effective date of termination of the
Optionee’s status as an Employee, the tax treatment accorded Incentive Stock Options by the Code may not be available. In addition, the accelerated vesting of Incentive Stock Options provided by Section 8.3(b) may result in all or a
portion of such Incentive Stock Options no longer qualifying as Incentive Stock Options. 

  
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 (b) Exception for Termination Due to Disability, Retirement, Change in Control or
Death. Unless the Board or the Committee shall specifically state otherwise at the time an Option is granted: (i) if an Employee terminates his or her employment with the Corporation or a Subsidiary Company as a result of
Disability or Retirement without having fully exercised his or her Options, the Employee shall have the right, during the three year period following his or her termination due to Disability or Retirement, to exercise such Options, and (ii) if
a Non-Employee Director terminates his or her service as a Director (including service as an Advisory Director) with the Corporation or a Subsidiary Company as a result of Disability or Retirement without having fully exercised his or her Options,
the Non-Employee Director shall have the right, during the three year period following his or her termination due to Disability or Retirement, to exercise such Options. 
 Subject to the provisions of Article IX hereof, unless the Board or the Committee shall specifically state otherwise at the time an Option is granted, if an Employee or Non-Employee Director terminates
his or her employment or service with the Corporation or a Subsidiary Company following a Change in Control without having fully exercised his or her Options, the Optionee shall have the right to exercise such Options during the remainder of the
original ten year term (five year term for options subject to Section 8.9(b)) of the Option from the date of grant. 
 If
an Optionee dies while in the employ or service of the Corporation or a Subsidiary Company or terminates employment or service with the Corporation or a Subsidiary Company as a result of Disability or Retirement and dies without having fully
exercised his or her Options, the executors, administrators, legatees or distributees of his estate shall have the right, during the one year period following his or her death, to exercise such Options. 

In no event, however, shall any Option be exercisable beyond the earlier of (i) ten years from the date it was granted, or
(ii) with respect to incentive stock options subject to Section 8.9(b), the original expiration date of the Option. 

(c) Required Regulatory Provision. Notwithstanding anything herein to the contrary, to the extent applicable, Officers
and Directors of the Corporation must either exercise or forfeit their Options granted hereunder in the event the Bank becomes critically undercapitalized under applicable federal regulations, is subject to Office of Thrift Supervision enforcement
action, or receives a capital directive under applicable federal regulations. 
 8.5
Nonassignability. Options shall not be transferable by an Optionee except by will or the laws of descent or distribution, and during an Optionee’s lifetime shall be exercisable only by such Optionee or the Optionee’s
guardian or legal representative. Notwithstanding the foregoing, or any other provision of this Plan, an Optionee who holds Non-Qualified Options may transfer such Options to his or her immediate family or to a duly established trust for the
benefit of one or more of these individuals. For purposes hereof, “immediate family” includes, but is not necessarily limited to, the Participant’s spouse, children (including step children), parents, grandchildren and great
grandchildren. Options so transferred may thereafter be transferred only to the Optionee who originally received the grant or to an individual or trust to whom the Optionee could have initially transferred the Option pursuant to this
Section 8.5. Options which are transferred pursuant to this Section 8.5 shall be exercisable by the transferee according to the same terms and conditions as applied to the Optionee. 

8.6 Manner of Exercise. Options may be exercised in part or in whole and at one time or from time to time. The
procedures for exercise shall be set forth in the written Stock Option Agreement provided for in Section 8.1 above. 

8.7 Payment for Shares. Payment in full of the purchase price for shares of Common Stock purchased pursuant to the
exercise of any Option shall be made to the Corporation upon exercise of the Option. All shares sold under the Plan shall be fully paid and nonassessable. Payment for shares may be made by the Optionee (i) in cash or by check,
(ii) by delivery of a properly executed exercise notice, together with irrevocable instructions to a broker to sell the shares and then to properly deliver to the Corporation the amount of sale proceeds to pay the exercise price, all in
accordance with applicable laws and regulations, or (iii) at the discretion of the Board or the Committee, by delivering shares of Common Stock (including shares acquired pursuant to the previous exercise of an Option) equal in fair market
value to the purchase price of the shares to be acquired pursuant to the Option, by 

  
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withholding some of the shares of Common Stock which are being purchased upon exercise of an Option, or any combination of the foregoing. With respect to subclause (iii) hereof, the
shares of Common Stock delivered to pay the purchase price must have either been (x) purchased in open market transactions or (y) issued by the Corporation pursuant to a plan thereof more than six months prior to the exercise date of the
Option. 
 8.8 Voting and Dividend Rights. No Optionee shall have any voting or dividend rights or other
rights of a stockholder in respect of any shares of Common Stock covered by an Option prior to the time that his or her name is recorded on the Corporation’s stockholder ledger as the holder of record of such shares acquired pursuant to an
exercise of an Option. 
 8.9 Additional Terms Applicable to Incentive Stock Options. All Options issued
under the Plan which are designated as Incentive Stock Options will be subject, in addition to the terms detailed in Sections 8.1 to 8.8 above, to those contained in this Section 8.9. 

(a) Amount Limitation. Notwithstanding any contrary provisions contained elsewhere in this Plan and as long as
required by Section 422 of the Code, the aggregate Fair Market Value, determined as of the time an Incentive Stock Option is granted, of the Common Stock with respect to which Incentive Stock Options are exercisable for the first time by the
Optionee during any calendar year, under this Plan and stock options that satisfy the requirements of Section 422 of the Code under any other stock option plan(s) maintained by the Corporation (or any parent or Subsidiary Company), shall not
exceed $100,000. 
 (b) Limitation on Ten Percent Shareholders. The price at which shares of Common Stock may
be purchased upon exercise of an Incentive Stock Option granted to an individual who, at the time such Incentive Stock Option is granted, owns, directly or indirectly, more than 10% of the total combined voting power of all classes of stock issued
to shareholders of the Corporation or any Subsidiary Company, shall be no less than 110% of the Fair Market Value of a share of the Common Stock of the Corporation at the time of grant, and such Incentive Stock Option shall by its terms not be
exercisable after the earlier of the date determined under Section 8.4 or the expiration of five years from the date such Incentive Stock Option is granted. 
 (c) Notice of Disposition; Withholding; Escrow. An Optionee shall immediately notify the Corporation in writing of any sale, transfer, assignment or other disposition (or action
constituting a disqualifying disposition within the meaning of Section 421 of the Code) of any shares of Common Stock acquired through exercise of an Incentive Stock Option, within two years after the grant of such Incentive Stock Option or
within one year after the acquisition of such shares, setting forth the date and manner of disposition, the number of shares disposed of and the price at which such shares were disposed of. The Corporation shall be entitled to withhold from any
compensation or other payments then or thereafter due to the Optionee such amounts as may be necessary to satisfy any minimum withholding requirements of federal or state law or regulation and, further, to collect from the Optionee any additional
amounts which may be required for such purpose. The Committee may, in its discretion, require shares of Common Stock acquired by an Optionee upon exercise of an Incentive Stock Option to be held in an escrow arrangement for the purpose of
enabling compliance with the provisions of this Section 8.9(c). 
 ARTICLE IX 

ADJUSTMENTS FOR CAPITAL CHANGES 
 9.1 General Adjustments. The aggregate number of shares of Common Stock available for issuance under this Plan, the number of shares to which any Option relates, the maximum number of
shares that can be covered by Options to each Employee, each Non-Employee Director and Non-Employee Directors as a group and the exercise price per share of Common Stock under any Option shall be proportionately adjusted for any increase or decrease
in the total number of outstanding shares of Common Stock issued subsequent to the Effective Date of this Plan resulting from a split, subdivision or consolidation of shares or any other capital adjustment, the payment of a stock dividend, or other
increase or decrease in such shares effected without receipt or payment of consideration by the Corporation. 

  
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 9.2 Adjustments for Mergers and Other Corporate Transactions. If, upon a
merger, consolidation, reorganization, liquidation, recapitalization or the like of the Corporation, the shares of the Corporation’s Common Stock shall be exchanged for other securities of the Corporation or of another corporation, each Option
shall be converted, subject to the conditions herein stated, into the right to purchase or acquire such number of shares of Common Stock or amount of other securities of the Corporation or such other corporation as were exchangeable for the number
of shares of Common Stock of the Corporation which such Optionee would have been entitled to purchase or acquire except for such action, and appropriate adjustments shall be made to the per share exercise price of outstanding Options; provided,
however, that in each case the number of shares or other securities subject to the substituted or assumed stock option and the exercise price thereof shall be determined in a manner that satisfies the requirements of Treasury Regulation
§1.424-1 and the regulations issued under Section 409A of the Code so that the substituted or assumed option is not deemed to be a modification of the outstanding Options. Notwithstanding any provision to the contrary herein, the term
of any Option granted hereunder and the property which the Optionee shall receive upon the exercise or termination thereof shall be subject to and be governed by the provisions regarding the treatment of any such Options set forth in a definitive
agreement with respect to any of the aforementioned transactions entered into by the Corporation to the extent any such Option remains outstanding and unexercised upon consummation of the transactions contemplated by such definitive agreement.

 ARTICLE X 
 AMENDMENT AND TERMINATION OF THE PLAN 
 The Board may, by resolution, at
any time terminate or amend the Plan with respect to any shares of Common Stock as to which Options have not been granted, subject to applicable federal banking regulations and any required stockholder approval or any stockholder approval which the
Board may deem to be advisable for any reason, such as for the purpose of obtaining or retaining any statutory or regulatory benefits under tax, securities or other laws or satisfying any applicable stock exchange listing requirements. The
Board may not, without the consent of the holder of an Option, alter or impair any Option previously granted or awarded under this Plan except as provided by Article IX hereof or except as specifically authorized herein. 

Notwithstanding anything to the contrary herein, in no event shall the Board of Directors without stockholder approval amend the Plan or
shall the Board of Directors or the Committee amend an Option in any manner that effectively allows the repricing of any Option previously granted under the Plan either through a reduction in the Exercise Price or through the cancellation and
regrant of a new Option in exchange for the cancelled Option (except as permitted pursuant to Article IX in connection with a change in the Corporation’s capitalization). 
 ARTICLE XI 
 EMPLOYMENT RIGHTS 

Neither the Plan, nor the grant of any Options hereunder, nor any action taken by the Committee or the Board in connection with the Plan
shall create any right on the part of any Employee or Non-Employee Director of the Corporation or a Subsidiary Company to continue in such capacity. 
 ARTICLE XII 
 WITHHOLDING 

12.1 Tax Withholding. The Corporation may withhold from any cash payment made under this Plan sufficient amounts to
cover any applicable minimum withholding and employment taxes, and if the amount of such cash payment is insufficient, the Corporation may require the Optionee to pay to the Corporation the amount required to be withheld as a condition to delivering
the shares acquired pursuant to an Option. The Corporation also may withhold or collect amounts with respect to a disqualifying disposition of shares of Common Stock acquired pursuant to exercise of an Incentive Stock Option, as provided in
Section 8.9(c). 

  
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 12.2 Methods of Tax Withholding. The Board or the Committee is authorized
to adopt rules, regulations or procedures which provide for the satisfaction of an Optionee’s tax withholding obligation by the retention of shares of Common Stock to which the Employee would otherwise be entitled pursuant to an Option and/or
by the Optionee’s delivery of previously owned shares of Common Stock or other property. 
 ARTICLE XIII 

EFFECTIVE DATE OF THE PLAN; TERM 
 13.1 Effective Date of the Plan. This Plan shall become effective on the Effective Date, and Options may be granted hereunder no earlier than the date this Plan is approved by
stockholders and no later than the termination of the Plan; provided, however, that this Plan is approved by stockholders of the Corporation pursuant to Article XIV hereof. 
 13.2 Term of Plan. Unless sooner terminated, this Plan shall remain in effect for a period of 10 years ending on the tenth anniversary of the Effective Date. Termination of the
Plan shall not affect any Options previously granted, and such Options shall remain valid and in effect until they have been fully exercised or earned, are surrendered or by their terms or the terms hereof expire or are forfeited. 

ARTICLE XIV 
 STOCKHOLDER APPROVAL 
 The Corporation shall submit this Plan to
stockholders for approval at a meeting of shareholders of the Corporation held within 12 months following the Effective Date in order to meet the requirements of (i) Section 422 of the Code and regulations thereunder and
(ii) Section 162(m) of the Code and regulations thereunder. In addition to any other stockholder approvals that may be deemed necessary or appropriate by the Corporation, this Plan is subject to approval by a majority of the total
votes eligible to be cast by stockholders of the Corporation. 
 ARTICLE XV 

MISCELLANEOUS 
 To the extent not governed by federal law, this Plan shall be construed under the laws of the State of Maryland. 

  
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