AMENDED AND RESTATED CHANGE IN CONTROL AGREEMENT AMONG ESB FINANCIAL CORPORATION, ESB BANK AND
Exhibit 10.4
[Form for SVPs]
AMENDED AND RESTATED CHANGE IN CONTROL AGREEMENT AMONG
ESB FINANCIAL CORPORATION, ESB BANK
AND
This AMENDED AND RESTATED CHANGE IN CONTROL AGREEMENT (this “Agreement”), dated as of the 21st
day of November 2006, among ESB Financial Corporation (the “Corporation”), ESB Bank, a Pennsylvania
chartered savings bank and a wholly owned subsidiary of the Corporation (the “Bank”), and
(the “Executive”). Any reference to the “Employers” shall mean both the
Corporation and the Bank, and any reference to an “Employer” shall mean either the Corporation or
the Bank, as the context requires.
WHEREAS, the Executive is presently an officer of the Employers, and the Executive and the
Employers have previously entered into a change in control agreement
dated
, 200___(the
“Prior Agreement”);
years ending prior to the calendar year in which the Date of Termination occurs, provided that the
highest base salary and the highest cash bonus may be paid in separate years.
(d) Code. Code shall mean the Internal Revenue Code of 1986, as amended.
(i) Without the Executive’s express written consent, the assignment by the
Employers to the Executive of any duties which are materially inconsistent with the
Executive’s positions, duties, responsibilities and status with the Employers
immediately prior to a Change in Control, or a material change in the Executive’s
reporting responsibilities, titles or offices as an employee and as in effect
immediately prior to such a Change in Control, or any removal of the Executive from
or any failure to re-elect the Executive to any of such responsibilities, titles or
offices, except in connection with the termination of the Executive’s employment for
Cause, Disability or Retirement or as a result of the Executive’s death or by the
Executive other than for Good Reason;
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(ii) Without the Executive’s express written consent, a reduction by the
Employers in the Executive’s base salary as in effect on the date of the Change in
Control or as the same may be increased from time to time thereafter or a material
reduction in the package of fringe benefits provided to the Executive; or
(iii) The failure by the Employers to obtain the assumption of and agreement to
perform this Agreement by any successors as contemplated in Section 6 hereof.
(a) pay to the Executive, in a lump sum as of the Date of Termination, a cash amount equal to
1.5 times the Executive’s Annual Compensation; and
(b) maintain and provide for a period ending at the earlier of (i) eighteen (18) months after
the Date of Termination or (ii) the date of the Executive’s full-time employment by another
employer (provided that the Executive is entitled under the terms of such employment to benefits
substantially similar to those described in this subparagraph (b)), at no cost to the Executive,
the Executive’s continued participation in all group insurance, life insurance, health and
accident, disability and other employee benefit plans, programs and arrangements in which the
Executive was entitled to participate immediately prior to the Date of Termination (other than
retirement plans or stock compensation plans of the Employers), provided that in the event that the
Executive’s participation in any plan, program or arrangement as provided in this subparagraph
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(b) is barred, or during such period any such plan, program or arrangement is discontinued or
the benefits thereunder are materially reduced, the Employers shall arrange to provide the
Executive with benefits substantially similar to those which the Executive was entitled to receive
under such plans, programs and arrangements immediately prior to the Date of Termination. If the
provision of any of the benefits covered by this Section 2(b) would trigger the 20% tax and
interest penalties under Section 409A of the Code, then the benefit(s) that would trigger such tax
and interest penalties shall not be provided (collectively, the “Excluded Benefits”), and in lieu
of the Excluded Benefits the Employers shall pay to the Executive, in a lump sum within 30 days
following termination of employment or within 30 days after such determination should it occur
after termination of employment, a cash amount equal to the cost to the Employers of providing the
Excluded Benefits.
(c) The payment to the Executive hereunder shall be paid by the Corporation and the Bank in the
same proportion as the time and services actually expended by the Executive on behalf of each
respective Employer, and no payments shall be duplicated.
(a) The Executive shall not be required to mitigate the amount of any benefits hereunder by
seeking other employment or otherwise, nor shall the amount of any such benefits be reduced by any
compensation earned by the Executive as a result of employment by another employer after the Date
of Termination or otherwise, except as set forth in Section 2(b) above.
(b) The specific arrangements referred to herein are not intended to exclude any other
benefits which may be available to the Executive upon a termination of employment with the
Employers pursuant to employee benefit plans of the Employers or otherwise.
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To the Employers: | ESB Financial Corporation and ESB Bank | |||
000 Xxxxxxxx Xxxxxx | ||||
Xxxxxxx Xxxx, Xxxxxxxxxxxx 00000 | ||||
To the Executive: | ||||
At the address last appearing on | ||||
the personnel records of the Employers |
9. Governing Law. The validity, interpretation, construction and performance of this
Agreement shall be governed by the laws of the United States where applicable and otherwise by the
substantive laws of the Commonwealth of Pennsylvania.
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(a) Nothing contained herein shall be deemed to create other than a terminable at will
employment relationship between the Employers and the Executive, and the Employers may terminate
the Executive’s employment at any time, subject to providing any payments specified herein in
accordance with the terms hereof.
(b) Nothing contained herein shall create or require the Employers to create a trust of any
kind to fund any benefits which may be payable hereunder, and to the extent that the Executive
acquires a right to receive benefits from the Employers hereunder, such right shall be no greater
than the right of any unsecured general creditor of the Employers.
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(a) If the Executive is suspended from office and/or temporarily prohibited from participating
in the conduct of the Employers’ affairs pursuant to notice served under Section 8(e)(3) or Section
8(g)(1) of the Federal Deposit Insurance Act (AFDIA@)(12 U.S.C.
''1818(e)(3) and 1818(g)(1)), the Employers’ obligations under this Agreement shall be
suspended as of the date of service, unless stayed by appropriate proceedings. If the charges in
the notice are dismissed, the Employers may, in their discretion: (i) pay the Executive all or part
of the compensation withheld while their obligations under this Agreement were suspended, and (ii)
reinstate (in whole or in part) any of their obligations which were suspended.
(b) If the Executive is removed from office and/or permanently prohibited from participating
in the conduct of the Employers’ affairs by an order issued under Section 8(e)(4) or Section
8(g)(1) of the FDIA (12 U.S.C. ''1818(e)(4) and (g)(1)), all obligations of the
Employers under this Agreement shall terminate as of the effective date of the order, but vested
rights of the Executive and the Employers as of the date of termination shall not be affected.
(c) If the Bank is in default, as defined in Section 3(x)(1) of the FDIA (12 U.S.C.
'1813(x)(1)), all obligations under this Agreement shall terminate as of the date of default,
but vested rights of the Executive and the Employers as of the date of termination shall not be
affected.
(d) All obligations under this Agreement shall be terminated pursuant to 12 C.F.R.
'563.39(b)(5) (except to the extent that it is determined that continuation of the Agreement
for the continued operation of the Employers is necessary): (i) by the Director of the OTS, or
his/her designee, at the time the Federal Deposit Insurance Corporation (AFDIC@) enters
into an agreement to provide assistance to or on behalf of the Bank under the authority contained
in Section 13(c) of the FDIA (12 U.S.C. '1823(c)); or (ii) by the Director of the OTS, or
his/her designee, at the time the Director or his/her designee approves a supervisory merger to
resolve problems related to operation of the Bank or when the Bank is determined by the Director of
the OTS to be in an unsafe or unsound condition, but vested rights of the Executive and the
Employers as of the date of termination shall not be affected.
[Signature page follows]
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Attest: | ESB FINANCIAL CORPORATION | |||||
By: | ||||||
Xxxxxxxxx X. Xxxxxxxx | ||||||
President and Chief Executive Officer | ||||||
Attest: | ESB BANK | |||||
By: | ||||||
Xxxxxxxxx X. Xxxxxxxx | ||||||
President and Chief Executive Officer | ||||||
Attest: |
||||||
By: | ||||||
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