Document:

Exhibit 10.5

Exhibit 10.5

DELEK US HOLDINGS, INC.

2006 LONG-TERM INCENTIVE PLAN

STOCK APPRECIATION RIGHTS AGREEMENT

AGREEMENT, made as of June 10, 201____ 
(the “Grant Date”), by and between Delek US Holdings, Inc., a
Delaware corporation (the “Company”), and the participant identified below (the “Participant”).

	 	 	 
	Participant:
	 	 
	 

	 	 

WHEREAS, pursuant to the Delek US Holdings, Inc. 2006 Long-Term Incentive Plan (the “Plan”), the
Company desires to grant to the Participant, and the Participant desires to accept, an award of
stock appreciation rights (the “SARs”) with respect to shares of the Company’s Common Stock, $0.01
par value (the “Common Stock”), upon the terms and conditions set forth in this Agreement and the
Plan. Capitalized terms used but not defined herein shall have the meanings ascribed to such terms
in the Plan.

NOW, THEREFORE, the parties hereto agree as follows:

1. Grant of SARs. The Company hereby grants SARs to the Participant for the number of
shares, at the base price and upon the vesting conditions set forth in the table below. All
vesting is conditioned upon the Participant remaining in continuous service with the Company or its
affiliates through the applicable vesting dates.

	 	 	 	 	 	 	 
	Shares (#)	 	Base Price	 	Vesting Schedule
	 

	 	 	$	 	 	Except as otherwise provided herein or the
Plan, the SARs shall become vested and
exercisable with respect to one-fourth (25%) of
the shares of Common Stock subject thereto on
each of the first four (4) anniversaries of the
Grant Date.
	 	 	 	 	 	 

2. Term. The term of the SARs shall be for a period of ten (10) years from the Grant Date,
subject to earlier termination as provided herein and the Plan.

3. Termination of Service.

(a) Death or Disability. If the Participant’s service with the Company or its affiliates
is terminated due to the Participant’s death or Disability (as defined below), then: (i) that
portion of the SARs, if any, that is vested and exercisable on the date of termination shall remain
exercisable by the Participant (or, in the event of death, the Participant’s beneficiary) during
the one (1) year period following the date of termination but in no event after expiration of the
stated term hereof and, to the extent not exercised during such period, shall thereupon terminate,
provided that, in the event of a termination due to Disability, if the Participant dies during such
one (1) year period, then the Participant’s beneficiary may exercise the SARs, to the extent vested
and exercisable by the Participant immediately prior to the Participant’s death, for a period of
one (1) year following the date of death but in no event after expiration of the stated term
hereof, and (ii) that portion of the SARs, if any, that is not vested and exercisable on the date
of the Participant’s termination of service shall thereupon terminate. For purposes of this
Agreement, “Disability” shall mean the inability of Participant to perform the customary duties of
the Participant’s service with the Company or its affiliates by reason of a physical or mental
incapacity or
illness which is expected to result in death or to be of indefinite duration, as determined by a
duly licensed physician selected by the Company.

(b) Other Termination. If the Participant’s service with the Company or its affiliates is
terminated for any reason other than those set forth in Section 3(a) above, then: (i) that portion
of the SARs, if any, that is vested and exercisable on the date of termination shall remain
exercisable by the Participant during the one hundred eighty (180) day period following the date of
termination but in no event after expiration of the stated term hereof and, to the extent not
exercised during such period, shall thereupon terminate, and (ii) that portion of the SARs, if any,
that is not vested and exercisable on the date of termination shall thereupon terminate.

 

 

 

4. Exercise / Payment.

(a) Subject to the provisions hereof and of the Plan, upon the exercise of an SAR under this
Agreement, the Participant (or the Participant’s beneficiary, as the case may be) shall be entitled
to receive, in the Company’s sole discretion, cash and/or a number of whole shares having a Fair
Market Value equal to the product of X and Y, where —

	 	X =	 	the number of whole shares as to which the SAR is being exercised,
and

	 	Y = 	 	the excess of (i) the Fair Market Value per share on the date of
exercise over (ii) the base price per share with respect to the SARs being
exercised.

(b) The Participant may exercise SARs that are vested and exercisable under this Agreement by
delivering to the Secretary of the Company (i) a written notice of such exercise specifying the
number of shares of Common Stock covered by such exercise, and (ii) payment in full of the
withholding taxes due in connection with the exercise, unless other arrangements satisfactory to
the Company are made for the satisfaction of such payment.

(c) Upon the exercise of an SAR under this Agreement, the applicable tax withholding obligation may
be paid (i) in cash or by check (including the withholding of cash sufficient to cover the
withholding obligation from the proceeds of a cash settlement of the SARs); (ii) at the discretion
of the disinterested members of the Company’s Board of Directors, by (A) the delivery of
previously-owned shares of Common Stock, (B) means of a cashless exercise procedure in connection
with a stock settlement (including, without limitation, the withholding of shares from the
settlement or through a broker-assisted cashless exercise), (C) any other legal means that may be
acceptable to the disinterested members of the Board, or (D) by a combination of the foregoing; or
(iii) at the discretion of the disinterested members of the Board, in any combination of the above.

5. Rights as Stockholder. If and to the extent the SARs are settled in the form of shares
of Common Stock, no such shares shall be issued until the applicable tax withholding obligation is
satisfied in full. The Participant shall have no rights as a stockholder with respect to any
shares covered by the SARs unless, until and except to the extent that such shares are issued to
the Participant.

6. Nontransferability. The SARs may not be pledged, hypothecated or otherwise encumbered
or subject to any lien, obligation or liability of the Participant to any party (other than the
Company or an affiliate thereof), or assigned or transferred (collectively, “Transferred”) by the
Participant other than by will or the laws of descent and distribution or to a beneficiary upon the
death of the Participant, and the
SAR may be exercised during the lifetime of the Participant only by the Participant or his or her
guardian or legal representative. Any attempt by the Participant or any other person claiming
against, through or under the Participant to cause the SAR or any part of it to be Transferred in
any manner and for any purpose shall be null and void and without effect upon the Company, the
Participant or any other person.

7. Compliance With Law; Transfer Orders; Legends. If and to the extent the SARs are
settled in the form of shares of Common Stock, the Company will not be obligated to issue or
deliver such shares unless the issuance and delivery of such shares complies with applicable law,
including, without limitation, the Securities Act of 1933, as amended, the Securities Exchange Act
of 1934, as amended, and the requirements of any stock exchange or market upon which the Common
Stock may then be listed, and shall be further subject to the approval of counsel for the Company
with respect to such compliance. All certificates for shares of Common Stock delivered under the
SARs shall be subject to such stock-transfer orders and other restrictions as the Company may deem
advisable under the rules, regulations, and other requirements of the United States Securities and
Exchange Commission, any stock exchange or market upon which the Common Stock may then be listed,
and any applicable federal or state securities law. The Company may cause a legend or legends to
be placed on any such certificates to make appropriate reference to such restrictions.

Stock Appreciation Rights Agreement • Delek US Holdings, Inc. • 2006 Long-Term Incentive Plan • June 10, 2010 •Page 2 of 3

 

 

 

8. No Rights. Nothing contained in the Plan or this Agreement shall confer upon the
Participant any right with respect to the continuation of the Participant’s service with the
Company or its affiliates or interfere in any way with the right of the Company and its affiliates
at any time to terminate such service or to modify the terms and conditions of the Participant’s
service.

9. Provisions of the Plan. The provisions of the Plan, the terms of which are incorporated
in this Agreement, shall govern if and to the extent that there are inconsistencies between those
provisions and the provisions hereof. The Participant acknowledges receipt of a copy of the Plan
prior to the execution of this Agreement.

10. Miscellaneous. This Agreement shall be binding upon and shall inure to the benefit of
the parties hereto and their respective successors and permitted assigns. This Agreement shall be
governed by and construed in accordance with the laws of the State of Delaware, without regard to
its principles of conflicts of law. This Agreement constitutes the entire agreement between the
parties with respect to the subject matter hereof and, except as otherwise provided in the Plan,
may not be modified other than by written instrument executed by the parties.

IN WITNESS WHEREOF, this Agreement has been executed as of the date first above written.

	 	 	 	 	 	 	 
	DELEK US HOLDINGS, INC.	 	PARTICIPANT:	 	 
	 
	 	 	 	 	 	 
	 

	 	 

	 	 
	By:
	 	 	 	 	 	 
	Title:
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	By:

	 	 	 	 	 	 
	Title:

	 	 	 	 	 	 

Stock Appreciation Rights Agreement • Delek US Holdings, Inc. • 2006 Long-Term Incentive Plan • June 10, 2010 •Page 3 of 3Exhibit 10.1

Exhibit 10.1

Comm Bancorp, Inc. / Community Bank and Trust Company

125 North State Street

Clarks Summit, Pennsylvania 18411

July 27, 2010

Michael A. Narcavage

810 Blakely Street.

Jessup, PA 18434

Dear Mr. Narcavage:

Comm Bancorp, Inc. (the “Company”) and its subsidiary, Community Bank and Trust
Company (the “Bank”), consider the stability of its key management group to be essential
to the best interests of the Company, the Bank, and the Company’s shareholders. The
Company recognizes that, as is the case with many publicly-held corporations, the
possibility of a change in control may arise and that the attendant uncertainty may
result in the departure or distraction of key management personnel to the detriment of
the Company, the Bank, and the Company’s shareholders.

Accordingly, the Board of Directors of the Company (the “Board”) has determined that
appropriate steps should be taken to encourage members of the Bank’s key management group
to continue as employees of the Bank notwithstanding the possibility of a change in
control of the Company.

The Board also believes it important that, in the event of a proposal for transfer
of control of the Company and Bank, you will be able to assess the proposal and advise
the Board without being influenced by the uncertainties of your own situation.

In order to induce you to remain in the employ of the Bank, this Agreement, which
has been approved by the Board, sets forth the severance compensation which the Company
agrees will be provided to you in the event your employment with the Bank is terminated
subsequent to a “change in control” of the Company and the Bank under the circumstances
described below. The Company and the Bank intends to be legally bound by this Agreement.

1. Agreement to Provide Services; Right to Terminate .

(a) Termination Prior to Certain Offers . Except as otherwise provided in
paragraph (b) below, or in any written employment agreement between you and the Bank, the
Bank or you may terminate your employment at any time. If, and only if, such termination
occurs after a change in control of the Company (as defined in section 5), the provisions
of this Agreement regarding the payment of severance compensation and benefits shall
apply.

(b) Termination Subsequent to Certain Offers . In the event a tender offer
or exchange offer is made by a person (as defined in section 5) for more than 30 percent
of the combined voting power of the Company’s outstanding securities ordinarily having
the right to vote at elections of directors (“Voting Securities”), including the shares
of common stock, par value $0.33 per share, of the Company (the “Company Shares”), you
agree that you will not leave the employ of the Bank (other than as a result of Death or
Disability as such term is defined in section 6) and will render services to the Bank in
the capacity in which you then serve until such tender offer or exchange offer has been
abandoned or terminated or a change in control of the Company has occurred as a result of
such tender offer or exchange offer. If, during the period you are obligated to continue
in the employ of the Bank pursuant to this section 1(b), and the Bank, reduces your
compensation, your obligations under this section 1(b) shall thereupon terminate. You
understand and agree that if you terminate voluntarily your employment with the Bank
during such period without Good Reason, then you are not entitled to any of the payments
or benefits under this Agreement.

2. Term of Agreement . This Agreement shall commence on the date hereof and
shall continue in effect until July 26, 2011, subject, however, to one-year automatic
extensions at the end of each one year period so that this Agreement “evergreens” so as
to have a constant year term as of the end of each contract year unless either Comm
Bancorp, the Bank or Executive gives the other written notice at least six months prior
to the expiration of the then current contract year of their intention not to extend this
Agreement. This Agreement shall terminate if you or the Bank terminates your employment
prior to a change in control of the Company but without prejudice to any remedy the Bank
may have for breach of your obligations, if any, under section 1(b).

 

 

 

3. Severance Payment and Benefits If Termination Occurs Following Change in
Control of the Company for Disability Without Cause, or With Good Reason . If, within
12 months from the date of occurrence of any event constituting a change in control of
the Company (it being recognized that more than one such event may occur in which case
the 12-month period shall run from the date of occurrence of each such event), your
employment with the Bank is terminated: (i) by the Bank for Disability; (ii) by the Bank
without Cause; or (iii) by you with Good Reason (as defined in section 5), you shall be
entitled to a severance payment as follows:

(a) Disability . If your employment with the Bank is terminated for
Disability, your benefits shall thereafter be determined in accordance with the Bank’s
long-term disability income insurance plan. If the Bank’s long-term disability income
insurance plan is modified or terminated following a change in control, the Company shall
cause the Bank to substitute a plan with benefits applicable to you substantially similar
to those provided by such plan prior to its modification or termination. During any
period that you fail to perform your duties hereunder as a result of incapacity due to
physical or mental illness, you shall continue to receive your full base salary at the
rate then in effect until your employment is terminated by the Bank for Disability.

(b) Termination Without Cause or With Good Reason . If your employment with
the Bank is terminated without Cause by the Bank or with Good Reason by you, then the
Bank shall pay to you, upon demand, an amount equal to your full base salary plus
year-to-date accrued vacation leave through the Date of Termination at the rate in effect
on the date the change in control of the Company occurs.

4. Payment If Termination Occurs Following Change In Control of the Company
Because of Death, For Cause, or Without Good Reason . If your employment shall be
terminated following any event constituting a change in control of the Company because of
your death, or by the Bank for Cause, or by you other than for Good Reason, the Bank
shall pay you your full base salary plus year-to-date accrued vacation leave through the
Date of Termination at the rate in effect on the date when the change in control of the
Company occurs. The Company and Bank shall have no further obligations to you under this
Agreement.

5. Definitions of Certain Terms . For the purpose of this Agreement, the
terms defined in this section 5 shall have the meanings assigned to them herein.

(a) Cause . Termination of your employment by the Bank for “Cause” shall
mean termination because, and only because, you committed an act of fraud, embezzlement,
or theft constituting a felony or an act intentionally against the interests of the Bank
which causes the Bank material injury. Notwithstanding the foregoing, you shall not be
deemed to have been terminated for Cause unless and until there shall have been delivered
to you a copy of a resolution duly adopted by the affirmative vote of not less than
three-quarters of the entire membership of the Board at a meeting of the Board called and
held for the purpose (after reasonable notice to you and an opportunity for you, together
with your counsel, to be heard before the Board), finding that in the good faith opinion
of the Board you were guilty of conduct constituting Cause as defined above and
specifying the particulars thereof in detail.

(b) Change in Control . A “Change in Control” of the Company shall mean:

(i) A change in control of a nature that would be required to be reported in
response to Item 6(e) of Schedule 14A of Regulation 14A as in effect on the date hereof
pursuant to the Securities Exchange Act of 1934 (the “Exchange Act”); provided that,
without limitation, such a change in control shall be deemed to have occurred at such
time as any Person hereafter becomes the “Beneficial Owner” (as defined in Rule 13d-3
under the Exchange Act), directly or indirectly, of 30 percent or more of the combined
voting power of the Company’s Voting Securities; or

(ii) During any period of one consecutive years, individuals who at the beginning of
such period constitute the Board cease for any reason to constitute at least a majority
thereof unless the election, or the nomination for election by the Company’s
shareholders, of each new director was approved by a vote of at least two-thirds of the
directors then still in office who were directors at the beginning of the period; or

(iii) There shall be consummated (x) any consolidation or merger of the Company in
which the Company is not the continuing or surviving corporation or pursuant to which
Voting Securities would be converted into cash, securities, or other property, other than
a merger of the Company in which the holders of Voting Securities immediately prior to
the merger have the same proportionate ownership of common stock of the surviving
corporation immediately after the merger, or (y) any sale, lease, exchange, or other
transfer (in one transaction or a series of related transactions) of all, or
substantially all of the assets of the Bank, provided that any such consolidation,
merger, sale, lease, exchange or other transfer consummated at the insistence of an
appropriate banking regulatory agency shall not constitute a change in control; or

(iv) Approval by the shareholders of the Company of any plan or proposal for the
liquidation or dissolution of the Company.

(c) Date of Termination . “Date of Termination” shall mean (i) if your
employment is terminated by the Bank for Disability, 30 days after Notice of Termination
is given (provided that you shall not have returned to the performance of your duties on
a full-time basis during such 30-day period), and (ii) if your employment is terminated
for any other reason, the date on which a Notice of Termination is given; provided that
if within 30 days after any Notice of Termination is given the party receiving such
Notice of Termination notifies the other party that a dispute exists concerning the
termination, the Date of Termination shall be the date on which the dispute is finally determined, either by
mutual written agreement of the parties or by a final judgment, order, or decree of a
court of competent jurisdiction (the time for appeal therefrom having expired and no
appeal having been perfected). The term of this Agreement shall be extended until the
Date of Termination.

 

 

 

(d) Disability . Termination of your employment by the Bank for
“Disability” shall mean termination because of your absence from your duties with the
Bank on a full-time basis for 180 consecutive days as a result of your incapacity due to
physical or mental illness and your failure to return to the performance of your duties
on a full-time basis during the 30-day period after Notice of Termination is given.

(e) Good Reason . Termination by you of your employment for “Good Reason”
shall mean termination based on any of the following:

(i) A change in your status or position(s) with the Bank, which in your reasonable
judgment, does not represent a promotion from your status or position(s) as in effect
immediately prior to the change in control of the Company, or a change in your duties or
responsibilities which, in your reasonable judgment, is inconsistent with such status or
position(s), or any removal of you from, or any failure to reappoint or reelect you to,
such position(s), except in connection with the termination of your employment for Cause
or Disability or as a result of your death or by you other than for Good Reason.

(ii) A reduction by the Bank in your base salary as in effect immediately prior to
the change in control of the Company.

(iii) The failure by the Bank to provide and credit you with the number of paid
vacation days to which you are then entitled in accordance with the Bank’s normal
vacation policy as in effect immediately prior to the change in control of the Company.

(iv) The Bank requiring you to be based anywhere other than where your office is
located immediately prior to the change in control of the Company except for required
travel on the Bank’s business to an extent substantially consistent with the business
travel obligations which you undertook on behalf of the Bank prior to the change in
control of the Company.

(v) The failure by the Company to obtain from any successor the assent to this
Agreement contemplated by section 8 hereof.

(vi) Any purported termination by the Bank of your employment which is not effected
pursuant to a Notice of Termination satisfying the requirements of this Agreement; and
for purposes of this Agreement, no such purported termination shall be effective.

(vii) Any refusal by the Bank to continue to allow you to attend to matters or
engage in activities not directly related to the business of the Bank which, prior to the
change in control of the Company, you were permitted by the Board to attend to or engage
in.

(f) Notice of Termination . A “Notice of Termination” of your employment
given by the Bank shall mean a written notice given to you of the termination of your
employment which shall indicate the specific termination provision in this Agreement
relied upon, and shall set forth in reasonable detail the facts and circumstances claimed
to provide a basis for termination of your employment under the provision so indicated.

(g) Person . The term “Person” shall mean and include any individual,
corporation, partnership, group, association, or other “person,” as such term is used in
section 14(d) of the Exchange Act, other than the Company, the Bank or any employee
benefit plan(s) sponsored by the Bank.

6. Notice . For the purposes of this Agreement, notices and all other
communications provided for in the Agreement shall be in writing and shall be deemed to
have been duly given when delivered or mailed by United States certified or registered
mail, return receipt requested, postage prepaid, addressed to the respective addresses
set forth on the first page of this Agreement, provided that all notices to the Company
and Bank shall be directed to the attention of the President of the Company and the Bank
or to such other address as either party may have furnished to the other in writing in
accordance herewith, except that notices of change of address shall be effective only
upon receipt.

7. Successors; Binding Agreement .

(a) This Agreement shall inure to the benefit of, and be binding upon, any corporate
or other successor or assignee of the Company and the Bank which shall acquire, directly
or indirectly, by merger, consolidation or purchase, or otherwise, all or substantially
all of the business or assets of the Company and the Bank. The Company and the Bank shall
require any such successor, by an agreement in form and substance satisfactory to you,
expressly to assume and agree to perform this Agreement in the same manner and to the
same extent as the Company and the Bank would be required to perform if no such
succession had taken place.

 

 

 

(b) This Agreement shall inure to the benefit of and be enforceable by your personal
or legal representatives, executors, administrators, successors, heirs, distributees,
devisees and legatees. If you should die while any amount would still be payable to you
hereunder if you had continued to live, all such amounts, unless
otherwise provided herein, shall be paid in accordance with the terms of this Agreement
to your devisee, legatee, or other designee or, if there is no such designee, to your
estate.

8. Miscellaneous . No provision of this Agreement may be modified, waived,
or discharged unless such modification, waiver, or discharge is agreed to in a writing
signed by you and the President of the Company and the Bank. No waiver by either party
hereto at any time of any breach by the other party hereto of, or of compliance with, any
condition or provision of this Agreement to be performed by such other party shall be
deemed a waiver of similar or dissimilar provisions or conditions at the same, or at any
prior or subsequent, time. No agreements or representations, oral or otherwise, express
or implied, with respect to the subject matter hereof have been made by either party
which are not expressly set forth in this Agreement. The validity, interpretation,
construction, and performance of this Agreement shall be governed by laws of the
Commonwealth of Pennsylvania without giving effect to the principles of conflict of laws
thereof. Any prior agreement concerning the subject matter hereof is rendered null and
void on the date hereof.

9. Validity . The invalidity or unenforceability of any provision of this
Agreement shall not affect the validity or enforceability of any other provision of this
Agreement, which shall remain in full force and effect.

If this letter correctly sets forth our agreement on the subject matter hereof,
kindly sign and return to the Company the enclosed copy of this letter, which will then
constitute our agreement on this subject.

	 	 	 	 	 
	 	Very truly yours,

COMM BANCORP, INC. /

COMMUNITY BANK AND TRUST

COMPANY

 	 
	 	By:  	/s/ William F. Farber, Sr.
 	 
	 	 	William F. Farber, Sr. 	 
	 	 	President
 	 
	 

	 	 	 	 
	AGREED TO:

	By: 	 /s/ John P. Kameen	 
	 

	 	 	 
	 

	 	John P. Kameen

Secretary	 

Michael A. Narcavage
                
                

Michael A. Narcavage

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