Exhibit (10)(iii)
RETIREMENT PAYMENT AGREEMENT
AGREEMENT entered into as of 1st day of October 1985 between Home Savings
and Loan Association a domestic Corporation having its principal office in
Albemarle. North Carolina (hereinafter referred to as the Association) and Xxxx
X. Xxxx of Albemarle. North Carolina (hereinafter referred to as the Director).
WITNESSETH:
WHEREAS, the Director is rendering valuable service and it is the desire
of the Association to have the benefit of his continued loyalty and service and
also to assist him in providing for the contingencies of retirement and death;
and,
WHEREAS, the Director hereby agrees to waive fees paid to him as a
Director in the amount of $200 per month for five years from the date of the
execution of this agreement;
NOW THEREFORE, in consideration of the premises contained herein, the
parties hereto mutually agree as follows:
1. Retirement Benefit: Should the Director still be in the Directorship
------------------
of the Association upon attainment of his 65th birthday, the Association will
commence to pay him $803 per month for a continuous period of 120 months. In the
event that the Director should die after becoming entitled to receive said
monthly installments but before any or all of said installments have been paid,
the Association will pay or will continue to pay said installments to such
beneficiary or beneficiaries as the Director has directed by filing with the
Association a notice in writing. In the event of the death of the last named
beneficiary before all the unpaid payments have been made, the balance of any
amount which remains unpaid at said death shall be computed on the basis of 6
percent per annum compound interest and shall be paid in a single sum to the
executor or administrator of the estate of the last named beneficiary to die. In
the absence of any such beneficiary designation, any amount remaining unpaid at
the Director's death shall be commuted on the basis of 6 percent per annum
compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
2. Death Benefit: Should the Director die while in the Directorship of
-------------
the Association and prior to the attainment of his 65th birthday, the
Association (beginning at a date to be determined by the Association but within
six months from the date of such death) will commence to pay $803 per month for
a continuous period of 120 months to such beneficiary or beneficiaries as the
Director has directed by filing with the Association a notice in writing.
Irrespective of the above, however, if the Director dies as a result of suicide
within two years of the execution of this agreement, the death benefit shall not
exceed an amount equal to his waived Directors' fees plus interest at the rate
of 7 1/2 percent per annum compounded annually. In the event of the death of the
last named beneficiary before all the unpaid payments have been made, the
balance of any amount which remains unpaid at said death shall be commuted on
the basis of 6 percent per annum compound interest and shall be paid in a single
sum to the executor or administrator of the estate of the last named beneficiary
to die. In the absence of any such beneficiary designation, any amount remaining
unpaid at the Director's death shall be commuted on the basis of 6 percent per
annum compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
3. Termination of Directorship:
---------------------------
A. If the Director terminates his Directorship, for reasons other
than death or the attainment of his 65th birthday, prior to two
years from the execution date of this Agreement, the Director's
benefits shall be limited to his waived Director fees plus interest
at the rate of 7 1/2 percent per annum compounded annually and shall
be paid in a single sum as soon as practical following the
termination of his Directorship.
B. If the Director terminates his Directorship, for reasons other
than death or the attainment of his 65th birthday, at the end of two
or more years from the execution date of this Agreement, he or his
beneficiary, as applicable, shall be entitled upon the attainment of
his 65th birthday, or his prior death, to a percentage of the
retirement benefits stated in Section 1 of this Agreement as
determined by the following table:
FULL NUMBER OF YEARS SERVED PERCENTAGE OF RETIREMENT
AS DIRECTOR FROM DATE OF BENEFITS STATED IN SECTION
EXECUTION OF THIS AGREEMENT 1 OF THIS AGREEMENT TO WHICH
UNTIL TERMINATION OF DIRECTORSHIP THE DIRECTOR IS ENTITLED
--------------------------------- ------------------------
2 40%
3 60%
4 80%
5 100%
4. Forfeiture Provisions:
A. During the period the retirement benefit is payable to the
Director under Section 1 of this Agreement, the Director shall not
engage in business activities which are in competition with the
Association without first obtaining the written consent of the
Association.
B. During the period the retirement payment is payable to the
Director under Section 1 of the Agreement, the Director shall be
available to render consulting services to the Association upon
request by an officer of the Association, but such requests shall
not be made more frequently than once each month. The Director shall
not be considered to have breached this condition if he is unable to
consult because of his mental or physical disability.
C. Payment of the retirement benefit under this Agreement may be
terminated by the Association, if the Director fails to comply with
either of the conditions set forth in paragraph (A) and (B) of this
Section 4.
5. General Provisions:
------------------
A. Except as otherwise provided by this Agreement, it is agreed
that neither the Director, nor his beneficiary shall have any right
to commute, sell, assign, transfer or otherwise convey the right to
receive any payments hereunder, which payments and the right thereto
are expressly declared to be nonassignable and nontransferable.
B. The benefits payable under this Agreement shall be independent
of, and in addition to, any other employment agreements that may
exist from time to time between the parties hereto, concerning any
other compensation payable by the Association to the Director
whether as salary, bonus, or otherwise. This Agreement shall not be
deemed to constitute a contract of employment between the parties
hereto, nor shall any provision hereof restrict the right of the
Association to discharge the Director or restrict the right of the
Director to terminate his Directorship.
C. The rights of the Director under this Agreement and of any
beneficiary of the Director shall be solely those of an unsecured
creditor of the Association. Any asset acquired by the Association
in connection with the liabilities assumed by it hereunder, shall
not be deemed to be held under any trust for the benefit of the
Director or his beneficiaries or to be considered security for the
performance of the obligations of the Association but shall be, and
remain, a general, unpledged, unrestricted asset of the Association.
D. The Association hereby reserves the right to accelerate the
payments specified in Sections 1, 2 and 3 above without the consent
of the Director, his estate, beneficiaries, or any other person
claiming through or under him.
E. The Association agrees that it will not merge or consolidate
with any other Association or organization, or permit its business
activities to be taken over by any other organization unless and
until the succeeding or continuing Association or other organization
shall expressly assume the rights and obligations of the Association
herein set forth. The Association further agrees that it will not
cease its business activities or terminate its existence, other than
as heretofore set forth in this Section, without having made
adequate provision for the fulfilling of its obligations hereunder.
F. This Agreement may be revoked or amended in whole or in part by
a writing signed by both of the parties hereto.
G. This Agreement shall be subject to and construed under the laws
of the State of North Carolina.
IN WITNESS THEREOF, the said Association has caused this Agreement to be
signed in its Corporate name by its duly authorized officer, and impressed with
its corporate seal, attested by its Secretary, and the said Director has
hereunto set his hand and seal, all on the day and year first above written.
ATTEST: HOME SAVINGS AND LOAN
ASSOCIATION
/s/ Xxxxxx X. Xxxxxx By: /s/ Xxxx X. Xxxx (Seal)
------------------------------- --------------------------
President
WITNESS: /s/ Xxxxx Xxxx, Xx. /s/ Xxxx X. Xxxx (Seal)
--------------------- --------------------------
(The Director)
BENEFICIARY DESIGNATION FORM
As Beneficiary to receive any death benefits payable on my behalf from
Home Savings and Loan Association, Albemarle, NC, I designate the following:
NAME DATE OF BIRTH ADDRESS RELATIONSHIP
---- ------------- ------- ------------
PRIMARY:
-------
Xxxxx X. Xxxx 12/10/27 X.X. Xxx 000, Xxxxxxxxx, X.X. Wife
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
CONTINGENT, If Any:
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
(Note: If more than one primary beneficiary is named, the benefit will be paid
in equal shares to those living. Should the contingent beneficiaries be eligible
to receive the benefits, such benefits will be paid in equal shares to such
living contingent beneficiaries. If none of the designated beneficiaries are
living at such time as the death benefit is payable, such benefit will be paid
to the Executor or the Administrator of your Estate.)
Name of Spouse if not given above:
----------------------------------------------
/s/ Xxxxx Xxxx, Xx. /s/ Xxxx X. Xxxx
------------------------------- ----------------------------------
Witness Signature of Director
October 1, 1985
----------------------------------
Date
Note: The original should be retained by the Association, one copy by the
Director, and one copy forwarded to Xxxxx/Xxxxxxxxxx, Inc.
RETIREMENT PAYMENT AGREEMENT
AGREEMENT entered into as of 1st day of October 1985 between Home Savings
and Loan Association a domestic Corporation having its principal office in
Albemarle. North Carolina (hereinafter referred to as the Association) and
Xxxxxx X. Xxxxxxx, Albemarle, North Carolina (hereinafter referred to as the
Director).
WITNESSETH:
WHEREAS, the Director is rendering valuable service and it is the desire of
the Association to have the benefit of his continued loyalty and service and
also to assist him in providing for the contingencies of retirement and death;
and,
WHEREAS, the Director hereby agrees to waive fees paid to him as a Director
in the amount of $100 per month for five years from the date of the execution of
this agreement;
NOW THEREFORE, in consideration of the premises contained herein, the
parties hereto mutually agree as follows:
1. Retirement Benefit: Should the Director still be in the Directorship
------------------
of the Association upon attainment of his 65th birthday, the Association will
commence to pay him $1,912 per month for a continuous period of 120 months. In
the event that the Director should die after becoming entitled to receive said
monthly installments but before any or all of said installments have been paid,
the Association will pay or will continue to pay said installments to such
beneficiary or beneficiaries as the Director has directed by filing with the
Association a notice in writing. In the event of the death of the last named
beneficiary before all the unpaid payments have been made, the balance of any
amount which remains unpaid at said death shall be computed on the basis of 6
percent per annum compound interest and shall be paid in a single sum to the
executor or administrator of the estate of the last named beneficiary to die. In
the absence of any such beneficiary designation, any amount remaining unpaid at
the Director's death shall be commuted on the basis of 6 percent per annum
compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
2. Death Benefit: Should the Director die while in the Directorship of
-------------
the Association and prior to the attainment of his 65th birthday, the
Association (beginning at a date to be determined by the Association but within
six months from the date of such death) will commence to pay $1,912 per month
for a continuous period of 120 months to such beneficiary or beneficiaries as
the Director has directed by filing with the Association a notice in writing.
Irrespective of the above, however, if the Director dies as a result of suicide
within two years of the execution of this agreement, the death benefit shall not
exceed an amount equal to his waived Directors' fees plus interest at the rate
of 7 1/2 percent per annum compounded annually. In the event of the death of
the last named beneficiary before all the unpaid payments have been made, the
balance of any amount which remains unpaid at said death shall be commuted on
the basis of 6 percent per annum compound interest and shall be paid in a single
sum to the executor or administrator of the estate of the last named beneficiary
to die. In the absence of any such beneficiary designation, any amount remaining
unpaid at the Director's death shall be commuted on the basis of 6 percent per
annum compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
3. Termination of Directorship:
---------------------------
A. If the Director terminates his Directorship, for reasons other than
death or the attainment of his 65th birthday, prior to two years from
the execution date of this Agreement, the Director's benefits shall be
limited to his waived Director fees plus interest at the rate of 7 1/2
percent per annum compounded annually and shall be paid in a single sum
as soon as practical following the termination of his Directorship.
B. If the Director terminates his Directorship, for reasons other than
death or the attainment of his 65th birthday, at the end of two or more
years from the execution date of this Agreement, he or his beneficiary,
as applicable, shall be entitled upon the attainment of his 65th
birthday, or his prior death, to a percentage of the retirement
benefits stated in Section 1 of this Agreement as determined by the
following table:
FULL NUMBER OF YEARS SERVED PERCENTAGE OF RETIREMENT
AS DIRECTOR FROM DATE OF BENEFITS STATED IN SECTION
EXECUTION OF THIS AGREEMENT 1 OF THIS AGREEMENT TO WHICH
UNTIL TERMINATION OF DIRECTORSHIP THE DIRECTOR IS ENTITLED
----------------------------------- -----------------------------
2 40%
3 60%
4 80%
5 100%
4. Forfeiture Provisions:
A. During the period the retirement benefit is payable to the
Director under Section 1 of this Agreement, the Director shall not
engage in business activities which are in competition with the
Association without first obtaining the written consent of the
Association.
B. During the period the retirement payment is payable to the
Director under Section 1 of the Agreement, the Director shall be
available to render consulting services to the Association upon
request by an officer of the Association, but such requests shall
not be made more frequently than once each month. The Director
shall not be considered to have breached this condition if he is
unable to consult because of his mental or physical disability.
C. Payment of the retirement benefit under this Agreement may be
terminated by the Association, if the Director fails to comply
with either of the conditions set forth in paragraph (A) and (B)
of this Section 4.
5. General Provisions:
------------------
A. Except as otherwise provided by this Agreement, it is agreed that
neither the Director, nor his beneficiary shall have any right to
commute, sell, assign, transfer or otherwise convey the right to
receive any payments hereunder, which payments and the right
thereto are expressly declared to be nonassignable and
nontransferable.
B. The benefits payable under this Agreement shall be independent of,
and in addition to, any other employment agreements that may exist
from time to time between the parties hereto, concerning any other
compensation payable by the Association to the Director whether as
salary, bonus, or otherwise. This Agreement shall not be deemed to
constitute a contract of employment between the parties hereto,
nor shall any provision hereof restrict the right of the
Association to discharge the Director or restrict the right of the
Director to terminate his Directorship.
C. The rights of the Director under this Agreement and of any
beneficiary of the Director shall be solely those of an unsecured
creditor of the Association. Any asset acquired by the Association
in connection with the liabilities assumed by it hereunder, shall
not be deemed to be held under any trust for the benefit of the
Director or his beneficiaries or to be considered security for the
performance of the obligations of the Association but shall be,
and remain, a general, unpledged, unrestricted asset of the
Association.
D. The Association hereby reserves the right to accelerate the
payments specified in Sections 1, 2 and 3 above without the
consent of the Director, his estate, beneficiaries, or any other
person claiming through or under him.
E. The Association agrees that it will not merge or consolidate with
any other Association or organization, or permit its business
activities to be taken over by any other organization unless and
until the succeeding or continuing Association or other
organization shall expressly assume the rights and obligations of
the Association herein set forth. The Association further agrees
that it will not cease its business activities or terminate its
existence, other than as heretofore set forth in this Section,
without having made adequate provision for the fulfilling of its
obligations hereunder.
F. This Agreement may be revoked or amended in whole or in part by a
writing signed by both of the parties hereto.
G. This Agreement shall be subject to and construed under the laws of
the State of North Carolina.
IN WITNESS THEREOF, the said Association has caused this Agreement to be
signed in its Corporate name by its duly authorized officer, and impressed with
its corporate seal, attested by its Secretary, and the said Director has
hereunto set his hand and seal, all on the day and year first above written.
ATTEST: HOME SAVINGS AND LOAN
ASSOCIATION
/s/ Xxxxxx X. Xxxxxx By: /s/ Xxxx X. Xxxx
________________________________ -------------------------------(Seal)
President
WITNESS: /s/ Xxxxx Xxxx, Xx. /s/ Xxxxxx X. Xxxxxxx
-------------------------------- -------------------------------(Seal)
(The Director)
BENEFICIARY DESIGNATION FORM
As Beneficiary to receive any death benefits payable on my behalf from Home
Savings
and Loan Association, Albemarle, NC, I designate the following:
NAME DATE OF BIRTH ADDRESS RELATIONSHIP
---- ------------- ------- ------------
PRIMARY:
-------
Xxxx X. Xxxxxxx 10/13/49 0000 Xxxxxxxxxx Xxxxx, Xxxxxxxxx, XX Wife
-------------------------------------------------------------------------------
-------------------------------------------------------------------------------
-------------------------------------------------------------------------------
CONTINGENT, If Any:
Xxxx Xxxxxx Xxxxxxx 3/14/71 0000 Xxxxxxxxxx Xxxxx, Xxxxxxxxx, XX Daughter
--------------------------------------------------------------------------------
Xxxxxx Xxxxx Xxxxxxx 7/19/76 0000 Xxxxxxxxxx Xxxxx, Xxxxxxxxx, XX Daughter
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
(Note: If more than one primary beneficiary is named, the benefit will be paid
in equal shares to those living. Should the contingent beneficiaries be eligible
to receive the benefits, such benefits will be paid in equal shares to such
living contingent beneficiaries. If none of the designated beneficiaries are
living at such time as the death benefit is payable, such benefit will be paid
to the Executor or the Administrator of your Estate.)
Name of Spouse if not given above:
----------------------------------------------
/s/ Xxxxx Xxxx, Xx. /s/ Xxxxxx X. Xxxxxxx
--------------------------------- -------------------------------------
Witness Signature of Employee
October 1, 1985
-------------------------------------
Date
Note: The original should be retained by the Association, one copy by the
Director, and one copy forwarded to Xxxxx/Xxxxxxxxxx, Inc.
RETIREMENT PAYMENT AGREEMENT
AGREEMENT entered into as of 1st day of October 1985 between Home Savings
and Loan Association a domestic Corporation having its principal office in
Albemarle. North Carolina (hereinafter referred to as the Association) and Xxxx
X. Xxxxxxxxx, Albemarle, North Carolina (hereinafter referred to as the
Director).
WITNESSETH:
WHEREAS, the Director is rendering valuable service and it is the desire of
the Association to have the benefit of his continued loyalty and service and
also to assist him in providing for the contingencies of retirement and death;
and,
WHEREAS, the Director hereby agrees to waive fees paid to him as a Director
in the amount of $200 per month for five years from the date of the execution of
this agreement;
NOW THEREFORE, in consideration of the premises contained herein, the
parties hereto mutually agree as follows:
1. Retirement Benefit: Should the Director still be in the Directorship
------------------
of the Association upon attainment of his 65th birthday, the Association will
commence to pay him $2,204 per month for a continuous period of 120 months. In
the event that the Director should die after becoming entitled to receive said
monthly installments but before any or all of said installments have been paid,
the Association will pay or will continue to pay said installments to such
beneficiary or beneficiaries as the Director has directed by filing with the
Association a notice in writing. In the event of the death of the last named
beneficiary before all the unpaid payments have been made, the balance of any
amount which remains unpaid at said death shall be computed on the basis of 6
percent per annum compound interest and shall be paid in a single sum to the
executor or administrator of the estate of the last named beneficiary to die. In
the absence of any such beneficiary designation, any amount remaining unpaid at
the Director's death shall be commuted on the basis of 6 percent per annum
compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
2. Death Benefit: Should the Director die while in the Directorship of
-------------
the Association and prior to the attainment of his 65th birthday, the
Association (beginning at a date to be determined by the Association but within
six months from the date of such death) will commence to pay $2,204 per month
for a continuous period of 120 months to such beneficiary or beneficiaries as
the Director has directed by filing with the Association a notice in writing.
Irrespective of the above, however, if the Director dies as a result of suicide
within two years of the execution of this agreement, the death benefit shall not
exceed an amount equal to his waived Directors' fees plus interest at the rate
of 7 1/2 percent per annum compounded annually. In the event of the death of
the last named beneficiary before all the unpaid payments have been made, the
balance of any amount which remains unpaid at said death shall be commuted on
the basis of 6 percent per annum compound interest and shall be paid in a single
sum to the executor or administrator of the estate of the last named beneficiary
to die. In the absence of any such beneficiary designation, any amount remaining
unpaid at the Director's death shall be commuted on the basis of 6 percent per
annum compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
3. Termination of Directorship:
---------------------------
A. If the Director terminates his Directorship, for reasons other than
death or the attainment of his 65th birthday, prior to two years from
the execution date of this Agreement, the Director's benefits shall be
limited to his waived Director fees plus interest at the rate of 7 1/2
percent per annum compounded annually and shall be paid in a single sum
as soon as practical following the termination of his Directorship.
B. If the Director terminates his Directorship, for reasons other than
death or the attainment of his 65th birthday, at the end of two or more
years from the execution date of this Agreement, he or his beneficiary,
as applicable, shall be entitled upon the attainment of his 65th
birthday, or his prior death, to a percentage of the retirement
benefits stated in Section 1 of this Agreement as determined by the
following table:
FULL NUMBER OF YEARS SERVED PERCENTAGE OF RETIREMENT
AS DIRECTOR FROM DATE OF BENEFITS STATED IN SECTION
EXECUTION OF THIS AGREEMENT 1 OF THIS AGREEMENT TO WHICH
UNTIL TERMINATION OF DIRECTORSHIP THE DIRECTOR IS ENTITLED
----------------------------------- -----------------------------
2 40%
3 60%
4 80%
5 100%
4. Forfeiture Provisions:
A. During the period the retirement benefit is payable to the
Director under Section 1 of this Agreement, the Director shall not
engage in business activities which are in competition with the
Association without first obtaining the written consent of the
Association.
B. During the period the retirement payment is payable to the
Director under Section 1 of the Agreement, the Director shall be
available to render consulting services to the Association upon request
by an officer of the Association, but such requests shall not be made
more frequently than once each month. The Director shall not be
considered to have breached this condition if he is unable to consult
because of his mental or physical disability.
C. Payment of the retirement benefit under this Agreement may be
terminated by the Association, if the Director fails to comply with
either of the conditions set forth in paragraph (A) and (B) of this
Section 4.
5. General Provisions:
------------------
A. Except as otherwise provided by this Agreement, it is agreed
that neither the Director, nor his beneficiary shall have any right to
commute, sell, assign, transfer or otherwise convey the right to
receive any payments hereunder, which payments and the right thereto
are expressly declared to be nonassignable and nontransferable.
B. The benefits payable under this Agreement shall be independent
of, and in addition to, any other employment agreements that may exist
from time to time between the parties hereto, concerning any other
compensation payable by the Association to the Director whether as
salary, bonus, or otherwise. This Agreement shall not be deemed to
constitute a contract of employment between the parties hereto, nor
shall any provision hereof restrict the right of the Association to
discharge the Director or restrict the right of the Director to
terminate his Directorship.
C. The rights of the Director under this Agreement and of any
beneficiary of the Director shall be solely those of an unsecured
creditor of the Association. Any asset acquired by the Association in
connection with the liabilities assumed by it hereunder, shall not be
deemed to be held under any trust for the benefit of the Director or
his beneficiaries or to be considered security for the performance of
the obligations of the Association but shall be, and remain, a general,
unpledged, unrestricted asset of the Association.
D. The Association hereby reserves the right to accelerate the
payments specified in Sections 1, 2 and 3 above without the consent of
the Director, his estate, beneficiaries, or any other person claiming
through or under him.
E. The Association agrees that it will not merge or consolidate
with any other Association or organization, or permit its business
activities to be taken over by any other organization unless and until
the succeeding or continuing Association or other organization shall
expressly assume the rights and obligations of the Association herein
set forth. The Association further agrees that it will not cease its
business activities or terminate its existence, other than as
heretofore set forth in this Section, without having made adequate
provision for the fulfilling of its obligations hereunder.
F. This Agreement may be revoked or amended in whole or in part by
a writing signed by both of the parties hereto.
G. This Agreement shall be subject to and construed under the laws
of the State of North Carolina.
IN WITNESS THEREOF, the said Association has caused this Agreement to be
signed in its Corporate name by its duly authorized officer, and impressed with
its corporate seal, attested by its Secretary, and the said Director has
hereunto set his hand and seal, all on the day and year first above written.
ATTEST: HOME SAVINGS AND LOAN
ASSOCIATION
/s/ Xxxxxx X. Xxxxxx By: /s/ Xxxx X. Xxxx (Seal)
----------------------------- ----------------------------------
President
WITNESS: /s/ Xxxxx Xxxx, Xx. /s/ Xxxx X. Xxxxxxxxx (Seal)
---------------------- -------------------------------------
(The Director)
BENEFICIARY DESIGNATION FORM
As Beneficiary to receive any death benefits payable on my behalf from
Home Savings and Loan Association, Albemarle, NC, I designate the following:
NAME DATE OF BIRTH ADDRESS RELATIONSHIP
---- ------------- ------- ------------
PRIMARY:
-------
Xxxxxx X. Xxxxxxxxx 07/20/42 P. X. Xxx 00, Xxxxxx, XX Wife
-----------------------------------------------------------------------------
-----------------------------------------------------------------------------
-----------------------------------------------------------------------------
CONTINGENT, If Any:
-----------------------------------------------------------------------------
-----------------------------------------------------------------------------
-----------------------------------------------------------------------------
(Note: If more than one primary beneficiary is named, the benefit will be paid
in equal shares to those living. Should the contingent beneficiaries be
eligible to receive the benefits, such benefits will be paid in equal shares to
such living contingent beneficiaries. If none of the designated beneficiaries
are living at such time as the death benefit is payable, such benefit will be
paid to the Executor or the Administrator of your Estate.)
Name of Spouse if not given above:____________________________________________
/s/ Xxxxx Xxxx, Xx. /s/ Xxxx X. Xxxxxxxxx
------------------------ --------------------------------------
Witness Signature of Employee
October 1, 1985
---------------------------------------
Date
Note: The original should be retained by the Association, one copy by the
Director, and one copy forwarded to Xxxxx/Xxxxxxxxxx, Inc.
RETIREMENT PAYMENT AGREEMENT
AGREEMENT entered into as of 1st day of October 1985 between Home Savings
and Loan Association a domestic Corporation having its principal office in
Albemarle. North Carolina (hereinafter referred to as the Association) and
Xxxxxxxx X. Xxxxxxxx, Xx., Albemarle, North Carolina (hereinafter referred to as
the Director).
WITNESSETH:
WHEREAS, the Director is rendering valuable service and it is the desire of
the Association to have the benefit of his continued loyalty and service and
also to assist him in providing for the contingencies of retirement and death;
and,
WHEREAS, the Director hereby agrees to waive fees paid to him as a Director
in the amount of $200 per month for five years from the date of the execution of
this agreement;
NOW THEREFORE, in consideration of the premises contained herein, the
parties hereto mutually agree as follows:
1. Retirement Benefit: Should the Director still be in the Directorship
------------------
of the Association upon attainment of his 65th birthday, the Association will
commence to pay him $3,528 per month for a continuous period of 120 months. In
the event that the Director should die after becoming entitled to receive said
monthly installments but before any or all of said installments have been paid,
the Association will pay or will continue to pay said installments to such
beneficiary or beneficiaries as the Director has directed by filing with the
Association a notice in writing. In the event of the death of the last named
beneficiary before all the unpaid payments have been made, the balance of any
amount which remains unpaid at said death shall be computed on the basis of 6
percent per annum compound interest and shall be paid in a single sum to the
executor or administrator of the estate of the last named beneficiary to die. In
the absence of any such beneficiary designation, any amount remaining unpaid at
the Director's death shall be commuted on the basis of 6 percent per annum
compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
2. Death Benefit: Should the Director die while in the Directorship of
-------------
the Association and prior to the attainment of his 65th birthday, the
Association (beginning at a date to be determined by the Association but within
six months from the date of such death) will commence to pay $3,000 per month
for a continuous period of 120 months to such beneficiary or beneficiaries as
the Director has directed by filing with the Association a notice in writing.
Irrespective of the above, however, if the Director dies as a result of suicide
within two years of the execution of this agreement, the death benefit shall not
exceed an amount equal to his waived Directors' fees plus interest at the rate
of 7 1/2 percent per annum compounded annually. In the event of the death of
the last named beneficiary before all the unpaid payments have been made, the
balance of any amount which remains unpaid at said death shall be commuted on
the basis of 6 percent per annum compound interest and shall be paid in a single
sum to the executor or administrator of the estate of the last named beneficiary
to die. In the absence of any such beneficiary designation, any amount remaining
unpaid at the Director's death shall be commuted on the basis of 6 percent per
annum compound interest and shall be paid in a single sum to the executor or
administrator of the Director's estate.
3. Termination of Directorship:
---------------------------
A. If the Director terminates his Directorship, for reasons other than
death or the attainment of his 65th birthday, prior to two years from
the execution date of this Agreement, the Director's benefits shall be
limited to his waived Director fees plus interest at the rate of 7 1/2
percent per annum compounded annually and shall be paid in a single sum
as soon as practical following the termination of his Directorship.
B. If the Director terminates his Directorship, for reasons other than
death or the attainment of his 65th birthday, at the end of two or more
years from the execution date of this Agreement, he or his beneficiary,
as applicable, shall be entitled upon the attainment of his 65th
birthday, or his prior death, to a percentage of the retirement
benefits stated in Section 1 of this Agreement as determined by the
following table:
FULL NUMBER OF YEARS SERVED PERCENTAGE OF RETIREMENT
AS DIRECTOR FROM DATE OF BENEFITS STATED IN SECTION
EXECUTION OF THIS AGREEMENT 1 OF THIS AGREEMENT TO WHICH
UNTIL TERMINATION OF DIRECTORSHIP THE DIRECTOR IS ENTITLED
----------------------------------- -----------------------------
2 40%
3 60%
4 80%
5 100%
4. Forfeiture Provisions:
A. During the period the retirement benefit is payable to the
Director under Section 1 of this Agreement, the Director shall not
engage in business activities which are in competition with the
Association without first obtaining the written consent of the
Association.
B. During the period the retirement payment is payable to the
Director under Section 1 of the Agreement, the Director shall be
available to render consulting services to the Association upon request
by an officer of the Association, but such requests shall not be made
more frequently than once each month. The Director shall not be
considered to have breached this condition if he is unable to consult
because of his mental or physical disability.
C. Payment of the retirement benefit under this Agreement may be
terminated by the Association, if the Director fails to comply with
either of the conditions set forth in paragraph (A) and (B) of this
Section 4.
5. General Provisions:
------------------
A. Except as otherwise provided by this Agreement, it is agreed
that neither the Director, nor his beneficiary shall have any right
to commute, sell, assign, transfer or otherwise convey the right to
receive any payments hereunder, which payments and the right thereto
are expressly declared to be nonassignable and nontransferable.
B. The benefits payable under this Agreement shall be independent
of, and in addition to, any other employment agreements that may
exist from time to time between the parties hereto, concerning any
other compensation payable by the Association to the Director whether
as salary, bonus, or otherwise. This Agreement shall not be deemed to
constitute a contract of employment between the parties hereto, nor
shall any provision hereof restrict the right of the Association to
discharge the Director or restrict the right of the Director to
terminate his Directorship.
C. The rights of the Director under this Agreement and of any
beneficiary of the Director shall be solely those of an unsecured
creditor of the Association. Any asset acquired by the Association in
connection with the liabilities assumed by it hereunder, shall not be
deemed to be held under any trust for the benefit of the Director or
his beneficiaries or to be considered security for the performance of
the obligations of the Association but shall be, and remain, a
general, unpledged, unrestricted asset of the Association.
D. The Association hereby reserves the right to accelerate the
payments specified in Sections 1, 2 and 3 above without the consent
of the Director, his estate, beneficiaries, or any other person
claiming through or under him.
E. The Association agrees that it will not merge or consolidate
with any other Association or organization, or permit its business
activities to be taken over by any other organization unless and
until the succeeding or continuing Association or other organization
shall expressly assume the rights and obligations of the Association
herein set forth. The Association further agrees that it will not
cease its business activities or terminate its existence, other than
as heretofore set forth in this Section, without having made adequate
provision for the fulfilling of its obligations hereunder.
F. This Agreement may be revoked or amended in whole or in part by
a writing signed by both of the parties hereto.
G. This Agreement shall be subject to and construed under the laws
of the State of North Carolina.
IN WITNESS THEREOF, the said Association has caused this Agreement to be
signed in its Corporate name by its duly authorized officer, and impressed with
its corporate seal, attested by its Secretary, and the said Director has
hereunto set his hand and seal, all on the day and year first above written.
ATTEST: HOME SAVINGS AND LOAN
ASSOCIATION
/s/ Xxxxxx X. Xxxxxx By: /s/ Xxxx X. Xxxx (Seal)
------------------------------ ---------------------------------
President
WITNESS: /s/ Xxxxx Xxxx, Xx. /s/ Xxxxxxxx X. Xxxxxxxx, Xx. (Seal)
---------------------- -------------------------------------
(The Director)
BENEFICIARY DESIGNATION FORM
As Beneficiary to receive any death benefits payable on my behalf from
Home Savings and Loan Association, Albemarle, NC, I designate the following:
NAME DATE OF BIRTH ADDRESS RELATIONSHIP
---- ------------- ------- ------------
PRIMARY:
-------
Xxxxxx X. Xxxxxxxx 09/14/49 Xx. #0, Xxx 000, Xxxxxxxxx, XX Wife
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
CONTINGENT, If Any:
Xxxxxxxx Xxxx Xxxxxxxx 00/0/00 Xx. #0, Xxx 000, Xxxxxxxxx, XX Daughter
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
(Note: If more than one primary beneficiary is named, the benefit will be paid
in equal shares to those living. Should the contingent beneficiaries be
eligible to receive the benefits, such benefits will be paid in equal shares to
such living contingent beneficiaries. If none of the designated beneficiaries
are living at such time as the death benefit is payable, such benefit will be
paid to the Executor or the Administrator of your Estate.)
Name of Spouse if not given above:
---------------------------------------------
/s/ Xxxxx Xxxx, Xx. /s/ Xxxxxxxx X. Xxxxxxxx, Xx.
----------------------------- -----------------------------------------
Witness Signature of Employee
October 1, 1985
-----------------------------------------
Date
Note: The original should be retained by the Association, one copy by the
Director, and one copy forwarded to Xxxxx/Xxxxxxxxxx, Inc.
