SEC Contract Filing

Filing Date: 2016-11-09

Document Content:
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<TYPE>EX-10.2
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<FILENAME>d312376dex102.htm
<DESCRIPTION>EX-10.2
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 <P STYLE="margin-top:0px;margin-bottom:0px" ALIGN="right"><FONT STYLE="font-family:Times New Roman" SIZE="2"><B>Exhibit 10.2 </B></FONT></P>
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 </P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">SEVERANCE COMPENSATION AGREEMENT </FONT></P>
<P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">This agreement (the &#147;Agreement&#148;) is entered into this 18th day of July, 2016 (&#147;Effective Date&#148;), by
and between Citizens Business Bank (the &#147;Bank&#148;), and David Farnsworth, Executive Vice President of the Bank (the &#147;Executive&#148;). </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT
STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">Whereas, the Bank&#146;s Board of Directors has determined that it is appropriate to reinforce and encourage the continued attention and dedication of members of the Bank&#146;s senior
management, including the Executive, to their assigned duties without distraction in potentially disturbing circumstances arising from the possibility of a Change in Control (as defined herein) of CVB Financial Corp. (the &#147;Company&#148;) or the
Bank, a wholly owned subsidiary of the Company; and </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">Whereas, this Agreement sets forth the compensation which
the Bank agrees it will pay to the Executive upon a Change in Control and subsequent termination of the Executive&#146;s employment or resignation for good reason by the Executive. </FONT></P>
<P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">Now, therefore, in consideration of these promises and the mutual covenants and agreements contained herein and to induce
the Executive to remain employed by the Bank and to continue to exert Executive&#146;s best efforts on behalf of the Bank, the parties agree as follows: </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT
STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">1. Compensation Upon a Change in Control </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">A. In
the event that a Change in Control occurs during the Bank&#146;s employment of the Executive and </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">(i) the
Executive&#146;s employment is terminated by the Company or the Bank or any successor to the Company or the Bank other than for Cause (as defined below), within one hundred and twenty (120) days prior to the completion of such Change of Control or
within one (1) year after the completion of such Change in Control; or </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">(ii) the Executive resigns his or her
employment for Good Reason (as defined below) within one (1) year after the completion of such Change in Control; </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT
STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">the Executive shall receive the following: (i) an amount equal to two (2) times the Executive&#146;s annual base compensation for the last calendar year ended immediately preceding the
Change in Control, plus (ii) an amount equal to two (2) times the average annual bonus received for the last two calendar years ended immediately preceding the Change in Control, plus (iii) all accrued obligations (such as earned but unused vacation
pay) and vested benefits (including but not limited to any awards of stock options or restricted stock under any Bank or Company equity incentive plan) accrued prior to any such termination of or resignation by the Executive. The Bank shall pay such
amounts and/or provide such vested benefits, less applicable withholdings, employment and payroll taxes (which taxes shall be </FONT></P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT
STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">1 </FONT></P>

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 </P> <P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">paid upon termination or resignation of Executive&#146;s employment or at the time
payments are made hereunder, as required by law), in 24 equal monthly installments (without interest or other adjustment) on the first day of each month commencing with the first such date that is at least six (6) months after the date of the
Executive&#146;s &#147;separation from service&#148; (as such term is defined for purposes of Section 409A of the Internal Revenue Code pursuant to Treasury Regulations and other guidance promulgated thereunder) and continuing for 23 successive
months thereafter. This payment schedule is intended to comply with the requirements of Section 409A of the Internal Revenue Code and shall be interpreted consistently therewith. </FONT></P>
<P STYLE="line-height:0pt;margin-top:0px;margin-bottom:0px"><FONT STYLE="font-family:Times New Roman" SIZE="1" COLOR="#FFFFFF">B. The Executive may designate in writing (on a fo