EMPLOYMENT AGREEMENT
This EMPLOYMENT AGREEMENT (the "Agreement") is entered into on April 20
2004, by and between the Board of Directors of FNBG Bancshares, Inc., a Georgia
corporation (the "Company"), the Board of Directors of First National Bank of
Gwinnett, a national bank (the "Bank"), and Xxxxxx X. Xxxxx, an individual
resident of Georgia (the "Executive), collectively the "Parties."
WHEREAS, the Bank and the Executive previously entered into an Employment
Agreement, dated May 31, 2002 ("Prior Agreement"); and
WHEREAS, by virtue of the reorganization of the Bank effective as of
January 1, 2004, the Company has been established and is now a holding company
of all stock of the Bank (the "Reorganization"); and
WHEREAS, this Agreement is intended to replace the Prior Agreement to
reflect the Reorganization and to add the Company as a party to the Employment
Agreement; and
WHEREAS, the Company and the Bank (collectively, the "Employer") recognize
the Executive's contribution to the growth and success of the Bank during its
initial years of operation and acknowledge that the contribution has been and
will continue to be a significant factor to the success of the Bank. The
Employer desires to provide for the continued employment of the Executive in a
manner that will reinforce and encourage the dedication of the Executive to the
Employer and promote the best interests of the Employer and its shareholders;
and
WHEREAS, the Employer and the Executive hereby agree that the establishment
of the Company and the Reorganization that led to its creation do not constitute
a Change in Control under this Agreement or the Prior Agreement.
NOW, THEREFORE, in consideration of the foregoing, the mutual covenants of
the Parties contained herein, and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the Parties, intending
to be legally bound, hereby agree as follows:
1. EMPLOYMENT. The Company and the Bank shall employ the Executive and
the Executive shall serve the Bank as Senior Vice President and Chief Financial
Officer of the Bank and shall serve the Company as the Secretary of the Company,
upon the terms and conditions set forth herein. The Executive shall have such
authority and responsibilities consistent with her position as are set forth in
the Company's and the Bank's Bylaws or assigned by the Executive Committee from
time to time. The Executive shall devote her full business time, attention,
skills, and efforts to the performance of her duties hereunder, except during
periods of illness or periods of vacation and leaves of absence consistent with
Company and Bank policies. The Executive may devote reasonable periods to
service as a director or advisor to other organizations and to charitable and
community activities, provided that such activities do not materially interfere
with the performance of her duties hereunder and are not in conflict or
competitive with or adverse to the interests of the Company and the Bank.
2. TERM. Unless earlier terminated as provided herein, the Executive's
employment under this Agreement shall commence on the date first written above
and be for a term ending May 31, 2007 (the "Term").
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3. COMPENSATION AND BENEFITS.
(a) Base Salary. The Employer shall pay the Executive a Base Salary
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at a rate of not less than Eighty Thousand Dollars ($80,000.00) per annum in
accordance with the salary payment practices of the Employer. The Executive
Committee shall review the Executive's Base Salary at least annually and may
increase the Executive's Base Salary if it determines in its sole discretion
that an increase is appropriate. The obligation for payment of the Base Salary
shall be apportioned between the Company and the Bank as they may agree from
time to time in their sole discretion.
(b) Employee Benefits. The Executive shall participate in any
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retirement, welfare, deferred compensation, life and health insurance, and other
benefit plans or programs of the Employer now or hereafter applicable to the
Executive or applicable generally to employees of the Employer and as
established by Board action.
(c) Long-Term Equity Compensation. The Executive shall participate in
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the Employer's long-term equity incentive program and be eligible for the grant
of stock options, restricted stock, and other awards thereunder or under any
similar plan adopted by the Company or the Bank. Prior to the Reorganization
and the execution of this Agreement, the Bank had granted to the Executive an
option (the "Performance Option") to purchase 10,000 shares of Common Stock of
the Bank. As a result of the Reorganization, the Employer shall substitute this
award of the Performance Option to purchase Bank Common Stock for a comparable
award of a Performance Option to purchase Common Stock of the Company.
(i) The award agreement for the Performance Option, as amended,
shall provide that three-fifths (3/5ths) of the shares subject to the
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Performance Option are vested as of the effective date of this Agreement,
and that an additional one-fifth(1/5th) of the shares subject to the
Performance Option shall vest on the last day of each of the successive two
(2) fiscal years of the Bank's operation.
(ii) For each fiscal year of the Bank ending after the date of
this Agreement, and as a condition to the vesting of the shares subject to
the Performance Option in such year (except in the event of a Change in
Control), the Bank must meet the following performance criteria:
(A) the Bank shall meet or exceed ninety percent (90%) of
the budgeted net income, after tax and the budgeted deposit growth for
each of the initial five (5) fiscal years of the Bank based on the
annual budgets approved by the Board of the Bank for each such fiscal
year;
(B) the Bank shall maintain a regulatory examination
rating of Camel 1 or 2; provided however, that if the Bank does not
meet the performance criteria for any year, the shares subject to the
Performance Option for such year may vest on any following fiscal year
end if, in the sole discretion of the Executive Committee, the Bank
exceeds the performance criteria for such following year. The
Executive Committee shall notify the Executive of any shares subject
to the Performance Option vested hereunder within a reasonable time
after the fiscal year end to which such options pertain. The good
faith determination of the Executive Committee regarding whether the
Bank met its yearly performance levels shall be conclusive.
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(iii) In addition, the award agreement for the Performance Option
will provide that:
(A) the Executive's option shall be qualified as an
incentive stock option under the Code;
(B) all options shall be exercisable at any time during
the ten years following the date of the Performance Option at a price
per share equal to the public offering price in the offering (subject
to standard antidilution adjustments in the event of stock splits,
dividends, or combinations), which the parties agree is the fair
market value of the Common Stock of the Company as of the date of
Grant; and
(C) all options shall be nontransferable and nonassignable
by the Executive or by any other person entitled hereunder to exercise
any such rights; provided, however, that upon the death of the
Executive, any rights granted hereunder shall be transferable by the
Executive's will or by the applicable laws of descent and
distribution.
(iv) Notwithstanding anything to the contrary contained in this
Section 3(c), the Performance Option shall become fully vested on the last
day of the fifth (5th) fiscal year of the Bank after its opening,
regardless of whether the performance criteria set forth in Subparagraph
(ii) above have been met.
(v) The Performance Option shall become immediately exercisable
and one hundred percent (100%) vested upon a Change in Control.
(d) Bonus Plan. The Executive shall be eligible to receive a cash
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bonus of up to twenty-five percent (25%) of her Base Salary each fiscal year
based upon
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certain performance levels or criteria as set by the Executive Committee. The
performance levels and/or criteria will be provided to the Executive when set by
the Executive Committee each year.
(e) Expense Reimbursement. The Company or the Bank shall reimburse
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the Executive for reasonable travel and other expenses related to the
Executive's duties which are incurred and accounted for in accordance with the
normal practices of the Company and the Bank.
4. TERMINATION.
(a) The Executive's employment under this Agreement may be terminated
prior to the end of the Term only as follows:
(i) upon the death of the Executive;
(ii) upon the disability of the Executive for a period of ninety
(90) days in any consecutive one hundred twenty (120) day period which, in
the opinion of the Executive Committee, renders her unable to perform the
essential functions of her job and for which reasonable accommodation is
unavailable. For purposes of this Agreement, a "disability" is defined as a
physical or mental impairment that substantially limits one or more major
life activities, and a "reasonable accommodation" is one that does not
impose an undue hardship on the Employer;
(iii) by the Employer for Cause upon delivery of a Notice of
Termination to the Executive;
(iv) by the Executive for Good Reason upon delivery of a Notice
of Termination to the Executive Committee within a ninety (90) day period
beginning on the thirtieth (30th) day after the occurrence of a Change in
Control or within a ninety (90) day
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period beginning on the one-year anniversary of the occurrence of a Change
in Control; or
(v) by the Executive for other than Good Reason pursuant to
Section 4(a)(iv) above, effective upon the thirtieth (30th) day after
delivery of Notice of Termination. If this occurs, all bonuses not paid
shall be canceled. The Executive Committee shall have the authority to
dismiss the Executive immediately upon receipt of the Executive's
resignation and pay will cease immediately.
(b) If the Executive's employment is terminated because of the
Executive's death, the Executive's estate shall receive any sums due her as Base
Salary and/or reimbursement of expenses through the end of the month during
which death occurred, plus any bonus earned or accrued under the Bonus Plan
through the date of death and a pro-rata share of any bonus with respect to the
current fiscal year which had been earned as of the date of the Executive's
death.
(c) During the period of any incapacity leading up to the termination
of the Executive's employment as a result of disability, the Employer shall
continue to pay the Executive her full Base Salary at the rate then in effect
and all other benefits (other than any bonus) until the Executive becomes
eligible for benefits under any long-term disability plan or insurance program
maintained by the Employer, provided that the amount of any such payments to the
Executive shall be reduced by the sum of the amounts, if any, payable to the
Executive for the same period under any disability benefit or pension plan of
the Company or any of its subsidiaries. Furthermore, the Executive
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shall receive any bonus earned or accrued under the Bonus Plan through the date
of incapacity.
(d) If the Executive's employment is terminated for Cause as provided
above, or if the Executive resigns (except for a termination of employment
pursuant to Section 4(a)(iv)), the Executive shall receive any sums due her as
Base Salary and/or reimbursement of expenses through the date of such
termination. In such event, all vested stock options must be exercised within
ninety (90) days of her termination or be forfeited.
(e) If the Executive's employment is terminated by the Executive
pursuant to Section 4(a)(iv), in addition to other rights and remedies available
in law or equity, the Executive shall be entitled to the following:
(i) the Employer shall pay the Executive in cash beginning
within fifteen (15) days of the Termination Date severance compensation
each month for twelve (12) months in an amount equal to one-twelfth
(1/12th) of her then current annual Base Salary, plus a lump sum payment of
the total of any bonus earned or accrued under the Bonus Plan through the
Termination Date plus a pro rata share of any bonus with respect to the
current fiscal year that has been earned as of the Termination Date.
(ii) All stock options and stock appreciation rights granted to
the Executive shall become immediately exercisable and shall become one
hundred percent (100%) vested. All options shall be exercisable at any time
during the ten (10) years following the date of initial public offering at
a price per share equal to the public offering price in the offering
(subject to standard
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antidilution adjustments in the event of stock splits, dividends, or
combinations), that the Parties agree is the fair market value of the
Common Stock of the Company as of the date of grant.
(f) With the exception of the provisions of this Section 4, and the
express terms of any benefit plan under which the Executive is a participant, it
is agreed that upon termination of the Executive's employment pursuant hereto,
the Employer shall have no obligation to the Executive for, and the Executive
waives and relinquishes, any further compensation or benefits (exclusive of
COBRA benefits).
(g) The parties intend that the severance payments and other
compensation provided for herein are reasonable compensation for the Executive's
services to the Employer and shall not constitute "excess parachute payments"
within the meaning of Section 280G of the Code and any regulations thereunder.
5. OWNERSHIP OF WORK. The Employer shall own all work product arising
during the course of the Executive's employment (prior, present, or future).
For purposes hereof, "Work Product" shall mean all intellectual property rights,
including all Trade Secrets, U.S. and international copyrights, patentable
inventions and other intellectual property rights, in any programming,
documentation, technology, or other work product that relates to the Employer,
its business, or its customers, and that the Executive conceives, develops, or
delivers to the Employer at any time during her employment, during or outside
normal working hours, in or away from the facilities of the Employer, and
whether or not requested by the Employer. If the Work Product contains any
materials, programming or intellectual property rights that the Executive
conceived or developed prior to, and independent of, the Executive's work for
the Employer, the
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Executive agrees to point out the pre-existing items to the Employer and the
Executive grants the Employer a worldwide, unrestricted, royalty-free right,
including the right to sublicense such items. The Executive agrees to take such
actions and execute such further acknowledgments and assignments as the Employer
may reasonably request to give effect to this provision.
6. PROTECTION OF TRADE SECRETS. The Executive agrees to maintain in
strict confidence and, except as necessary to perform her duties for the
Employer, the Executive agrees not to disclose any Trade Secrets of the Employer
during her employment or following the Executive's Termination Date so long as
she is receiving compensation from the Employer, or, if the Executive terminates
employment pursuant to Section 4(a)(v), for a period of six (6) months following
the Executive's Termination Date. As provided by Georgia statutes, "Trade
Secret" means information including a formula, pattern, compilation, program,
device, method, technique, process, drawing cost data, or customer list that:
(i) derives economic value, actual or potential, from not being generally known
to, and not being readily ascertainable by proper means by, other persons who
can obtain economic value from its disclosure or use; and (ii) is the subject of
efforts that are reasonable under the circumstances to maintain its secrecy.
7. PROTECTION OF OTHER CONFIDENTIAL INFORMATION. In addition, the
Executive agrees to maintain in strict confidence, and, except as necessary to
perform her duties for the Employer, not to use or disclose any Confidential
Business Information of the Employer during her employment and following the
Executive's Termination Date so long as she is receiving compensation from the
Employer, or, if the Executive terminates employment pursuant to Section
4(a)(v), for a period of six (6) months following the
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Executive's Termination Date. "Confidential Business Information" shall mean any
internal, nonpublic information (other than Trade Secrets already addressed
above) concerning the Employer's financial position and results of operations
(including revenues, assets, net income, etc.); annual and long-range business
plans, product or service plans; marketing plans and methods; training,
educational, and administrative manuals; customer and supplier information and
purchase histories; and employee lists. The provisions of Section 6 above and
this Section 7 shall also apply to protect Trade Secrets and Confidential
Business Information of third parties provided to the Employer under an
obligation of secrecy.
8. RETURN OF MATERIALS. The Executive shall surrender to the Employer,
promptly upon its request and in any event upon termination of the Executive's
employment, all media, documents, notebooks, computer programs, handbooks, data
files, models, samples, price lists, drawings, customer lists, prospect data, or
other material of any nature whatsoever (in tangible or electronic form) in the
Executive's possession or control, including all copies thereof, relating to the
Employer, its business, or its customers. Upon the request of the Employer, the
Executive shall certify in writing compliance with the foregoing requirement.
9. RESTRICTIVE COVENANTS.
(a) No Solicitation of Customers. During the Executive's employment
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with the Employer and after the Executive's Termination Date so long as she is
receiving compensation from the Employer, or, if the Executive terminates
employment pursuant to Section 4(a)(v), for a period of six (6) months following
the Executive's Termination Date, the Executive shall not (except on behalf of
or with the prior written consent of the
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Employer), either directly or indirectly, on the Executive's own behalf or in
the service or on behalf of others, (A) solicit, divert, or appropriate to or
for a Competing Business or (B) attempt to solicit, divert, or appropriate to or
for a Competing Business, any person or entity that was a customer of the
Employer on the Termination Date and is located in the Territory and with whom
the Executive has had material contact.
(b) No Recruitment of Personnel. During the Executive's employment
-----------------------------
with the Employer and after the Executive's Termination Date so long as she is
receiving compensation from the Employer or, if the Executive terminates
employment pursuant to Section 4(a)(v) above, for a period of six (6) months
following the Executive's Termination Date, the Executive shall not, either
directly or indirectly on the Executive's own behalf or in the service or on
behalf of others, (A) solicit, divert, or hire away, or (B) attempt to solicit,
divert, or hire away, to any Competing Business located in the Territory, any
employee of or consultant to the Employer engaged or experienced in the
Business, regardless of whether the employee or consultant is full-time or
temporary, the employment or engagement is pursuant to written agreement, or
whether the employment is for a determined period or is at will.
(c) Noncompetition Agreement. During the Executive's employment with
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the Employer and after the Executive's Termination Date so long as she is
receiving compensation from the Employer, or, if the Executive terminates
employment pursuant to Section 4(a)(v) above, for a period of six (6) months
following the Executive's Termination Date, the Executive shall not (without the
prior written consent of the Employer) compete with the Employer by, directly or
indirectly, forming, serving as an organizer, director, or officer of, or
consultant to, or acquiring or maintaining any interest
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in a depository institution or holding company therefor if such depository
institution or holding company has one or more offices or branches located in
the Territory.
10. INDEPENDENT PROVISIONS. The provisions in each of the above Sections
9(a), 9(b), and 9(c) are independent, and the unenforceability of any one
provision shall not affect the enforceability of any other provision.
11. SUCCESSOR, BINDING AGREEMENT. The rights and obligations of this
Agreement shall bind and inure to the benefit of the surviving corporation in
any merger or consolidation in which the Employer is a party or any assignee of
all or substantially all of the Employer's business and properties. The
Executive's rights and obligations under this Agreement may not be assigned by
her, except that her right to receive accrued but unpaid compensation,
unreimbursed expenses and other rights, if any, provided under this Agreement
which survive termination of this Agreement shall pass after death to the
personal representatives of her estate.
12. 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 personally delivered or sent by certified
mail, return receipt requested, postage prepaid, addressed to the respective
addresses last given by each party to the others; provided, however, that all
notices to the Employer shall be directed to the attention of the Company with a
copy to the Corporate Secretary of the Company. All notices and communications
shall be deemed to have been received on the date of delivery thereof. All
notices and other communications under this Agreement shall be given to the
Parties hereto at the following addresses:
If to the Employer:
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FNBG Bancshares, Inc.
0000 Xxxxxx Xxxxxx Xxxx
Xxxxxx, Xxxxxxx 00000
If to the Executive, to her at:
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--------------------------------
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13. GOVERNING LAW. This Agreement shall be governed by and construed and
enforced in accordance with the laws of the State of Georgia without giving
effect to the conflict of laws principles thereof. Any action brought by any
party to this Agreement shall be brought and maintained in a court of competent
jurisdiction in the State of Georgia.
14. NONWAIVER. Failure of the Employer to enforce any of the provisions
of this Agreement or any rights with respect thereto shall in no way be
considered to be a waiver of such provisions or rights, or in any way affect the
validity of this Agreement.
15. ENFORCEMENT. The Executive agrees that, in the event of any breach of
any covenant contained in Section 9(a), 9(b), or 9(c), the Employer shall be
entitled to obtain from a court of competent jurisdiction an injunction to
restrain the breach or anticipated breach of any such covenant, and to obtain
any other available legal, equitable, statutory, or contractual relief,
including, but not limited to, monetary damages. Should the Employer have cause
to seek such relief, no bond shall be required from the Employer, and the
Executive shall pay all attorney's fees and court costs that the Employer may
incur to the extent the Employer prevails in its enforcement action.
16. SAVINGS CLAUSE. The provisions of this Agreement shall be deemed
severable and the invalidity or unenforceability of any provision shall not
affect the
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validity or enforceability of the other provisions hereof. If any provision or
clause of this Agreement, or any portion thereof, shall be held by any court or
other tribunal of competent jurisdiction to be illegal, void, or unenforceable
in such jurisdiction, the remainder of such provision shall not be thereby
affected and shall be given full effect, without regard to the invalid portion.
It is the intention of the parties that, if any court construes any provision or
clause of this Agreement or any portion thereof, to be illegal, void, or
unenforceable because of the duration of such provision or the area or matter
covered thereby, such court shall reduce the duration, area, or matter of such
provision, and, in its reduced form, such provision shall then be enforceable
and shall be enforced.
17. JOINT AND SEVERAL. The obligations of the Company and the Bank to the
Executive hereunder shall be joint and several.
18. DEFINITIONS.
(a) Board means the Board of Directors.
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(b) Business means the operation of a depository financial
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institution, including, without limitation, the solicitation and acceptance of
deposits of money and commercial paper, the solicitation and funding of loans
and the provision of other banking services, and any other related business
engaged in by the Employer as of the Termination Date or any other conduct or
action by a lending institution as permitted by Federal or State law now or in
the future.
(c) Cause shall consist of any of:
-----
(i) the commission by the Executive of a willful act
(including, without limitation, a dishonest or fraudulent act) or a grossly
negligent act, or the willful or grossly negligent omission to act by the
Executive, which is intended to
15
cause, causes, or is reasonably likely to cause material harm to the
Employer (including harm to its business reputation);
(ii) the indictment of the Executive for the commission or
perpetration by the Executive of any felony or any crime involving
dishonesty, moral turpitude, or fraud;
(iii) the material breach by the Executive of this Agreement
that, if susceptible of cure, remains uncured ten (10) days following
written notice to the Executive of such breach;
(iv) the receipt of any form of notice, written or otherwise,
that any regulatory agency having jurisdiction over the Employer intends to
institute any form of formal or informal regulatory action against the
Executive or the Employer (such as a memorandum of understanding that
relates to the Executive's performance) that the Executive Committee
determines in good faith, with the Executive abstaining from participating
in the consideration of and vote on the matter, that the subject matter of
such action involves acts or omissions by or under the supervision of the
Executive or that termination of the Executive would materially advance the
Employer's compliance with the purpose of the action or would materially
assist the Employer in avoiding or reducing the restrictions or adverse
effects to the Employer related to the regulatory action;
(v) the exhibition by the Executive of a standard of behavior
within the scope of her employment that is materially disruptive to the
orderly conduct of the Employer's business operations (including, without
limitation, substance abuse or sexual misconduct) to a level which, in the
good faith and
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reasonable judgment of the Executive Committee, with the Executive
abstaining from participating in the consideration of and vote on the
matter, is materially detrimental to the Employer's best interest, and
that, if susceptible of cure, remains uncured ten (10) days following
written notice to the Executive of such specific inappropriate behavior;
(vi) the Executive is adjudicated bankrupt or the Executive
files for voluntary bankruptcy; or
(vii) the failure of the Executive to devote her full business
time and attention to her employment as provided under this Agreement.
(d) Change in Control means the occurrence during the Term of any of
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the following events, unless such event is a result of a Noncontrol Transaction:
(i) The individuals who, as of the date of this Agreement, are
members of the Board of the Company (the "Incumbent Board") cease for any
reason to constitute at least two-thirds (2/3rds) of the Board of the
Company; provided, however, that if the election or nomination for election
by the Company's shareholders of any new director was approved in advance
by a vote of at least two-thirds (2/3rds) of the Incumbent Board, such new
director shall, for purposes of this Agreement, be considered as a member
of the Incumbent Board; provided, further, that no individual shall be
considered a member of the Incumbent Board if such individual initially
assumed office as a result of either an actual or threatened "Election
Contest" (as described in Rule 14a-11 promulgated under the Securities
Exchange Act of 1934 (the "Exchange Act") or other actual or threatened
solicitation of proxies or consents by or on behalf of any person
17
other than the Board of the Company (a "Proxy Contest"), including by
reason of any agreement intended to avoid or settle any Election Contest or
Proxy Contest.
(ii) An acquisition (other than directly from the Company) of
any voting securities of the Company (the "Voting Securities") by any
"Person" (as the term "person" is used for purposes of Section 13(d) or
14(d) of the Exchange Act) immediately after which such Person has
"Beneficial Ownership" (within the meaning of Rule 13 promulgated under the
Exchange Act) of twenty percent (20%) or more of the combined voting power
of the Company's then outstanding Voting Securities; provided, however,
that in determining whether a Change in Control has occurred, Voting
Securities that are acquired in a Noncontrol Acquisition shall not
constitute an acquisition that would cause a Change in Control.
(iii) Approval by the shareholders of the Company of: (A) a
merger, consolidation, or reorganization involving the Company; (B) a
complete liquidation or dissolution of the Company; or (C) an agreement for
the sale or other disposition of all or substantially all of the assets of
the Company to any Person (other than a transfer to a Subsidiary).
(iv) A notice of an application is filed with the Federal
Reserve Board (the "FRB") pursuant to Regulation "Y" of the FRB under the
Change in Bank Control Act or the Bank Holding Company Act or any other
bank regulatory approval (or notice of no disapproval) is granted by the
Federal Reserve, the OCC, the Federal Deposit Insurance Corporation, or any
Other
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regulatory authority for permission to acquire control of the Company or
any of its banking subsidiaries.
(v) Notwithstanding the foregoing, a Change in Control shall
not include any transaction involving only the Company and the Bank or its
subsidiaries.
(e) Code means the Internal Revenue Code of 1986, as amended.
----
(f) Competing Business means any business that, in whole or in part,
-------------------
is the same or substantially the same as the Business.
(g) Executive Committee means the Executive Committee of the Board of
-------------------
Directors of the Company or, if established, the Compensation Committee or
Personnel Committee of the Board of Directors of the Company. If no such
committee(s) exist, "Executive Committee" shall mean the Board.
(h) Good Reason means the occurrence after a Change in Control of any
-----------
of the following events or conditions:
(i) a negative change in the Executive's status, title,
position, or responsibilities;
(ii) a reduction in the Executive's Base Salary or any failure
to pay the Executive any compensation or benefits to which she is entitled
within five (5) days of the date due;
(iii) the Employer's requiring the Executive to be based at any
place outside a ten (10) mile radius from the executive offices occupied by
the Executive immediately prior to the Change in Control, except for
reasonably
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required travel on the Employer's business that is not materially greater
than such travel requirements prior to the Change in Control;
(iv) the failure by the Employer to continue in effect (without
reduction in benefit level and/or reward opportunities) any material
compensation or employee benefit plan in which the Executive was
participating at any time within ninety (90) days preceding the date of a
Change in Control; or
(v) Any material breach by the Employer of any material
provision of this Agreement.
(i) Termination Date means the earliest of:
-----------------
(i) the Executive's death or disability;
(ii) the end of the Term; or
(iii) the effective date of the Executive's termination of
employment, as outlined in Sections 4(a)(iii), 4(a)(iv), or 4(a)(v).
(j) Territory means a radius of ten (10) miles from the main office
---------
of the Employer or any branch office of the Employer.
19. ENTIRE AGREEMENT. This Agreement constitutes the entire agreement
between the Parties hereto and supersedes all prior agreements, if any,
understandings, and arrangements, oral or written, between the Parties with
respect to the subject matter hereof, including, but not limited to, the
Employment Agreement between the Bank and the Executive dated May 31, 2002.
20. COUNTERPARTS. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original but all of which
together shall constitute one and the same instrument.
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IN WITNESS WHEREOF, the Company and the Bank have caused this Agreement to
be executed and their seals to be affixed hereunto by its officers thereunto
duly authorized, and the Executive has signed and sealed this Agreement,
effective as of the date first above written.
THE COMPANY
FNBG BANCSHARES, INC.
By: /s/Xxxxx X. Xxxxx
-------------------
Title: President and CEO
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THE BANK
FIRST NATIONAL BANK OF GWINNETT
By: /s/Xxxxx X. Xxxxx
--------------------
Title: President and CEO
--------------------
THE EXECUTIVE
/s/Xxxxxx X. Xxxxx
--------------------
Xxxxxx X. Xxxxx
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