EXHIBIT 10(ab)
UNION STATE BANK (THE "COMPANY")
KEY EMPLOYEES' SUPPLEMENTAL INVESTMENT PLAN
AMENDMENT NO. 2
The Union State Bank Key Employees' Supplemental Investment Plan ("Plan") is
hereby amended effective September 1, 2003 as follows:
1. Article II, Eligibility, is amended by adding the following sentence:
"Notwithstanding the above, any employee with total compensation in excess
of compensation limits for Employee Stock Ownership, or other qualified
plans, may participate on the first day of such eligibility."
2. Section 3.2 is amended in its entirety to read as follows:
"3.2 SALARY REDUCTION AGREEMENT. As a condition to the Company's
obligation to make a Salary Reduction Contribution for the
benefit of a Participant pursuant to Section 3.1, the
Participant must execute a Salary Reduction Agreement in the
form attached hereto. The Agreement for any Plan Year shall
be made before the beginning of that Year and shall remain
in full force and effect for subsequent Plan Years unless
revoked by a Participant by written instrument delivered to
the Company prior to the beginning of the Plan year in which
such revocation is to be effective, except that in the first
year of participation, a Participant may enter the Plan by
executing a Salary Reduction Agreement within 30 days after
first becoming eligible, which shall apply to compensation
payable for services rendered after the Salary Reduction
Agreement is delivered to the Company. The participant shall
always be vested in Salary Reduction Contributions."
3. New Section 3.4(c) is added to read as follows:
"3.4(c) A Participant's account balance in optional contributions will
not be fully vested at all times. Rather, the Participant will
be vested in this account to the same extent that his optional
account under the U.S.B. Holding Co., Inc. Employee Stock
Ownership Plan (with 401(k) Provisions) is vested.
4. New Section 3.5 is added as follows:
"3.5 LIMITS ON CONTRIBUTIONS. Notwithstanding the above, total
employee matching or optional contributions shall not exceed
twenty-five percent of each Participant's total compensation
in any Plan Year."
IN WITNESS WHEREOF, the Company has formally adopted Amendment No. 2 to
the Key Employees' Supplemental Investment Plan effective September 1, 2003.
UNION STATE BANK
By: /s/ Xxxxxx X. Xxxxx
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Xxxxxx X. Xxxxx
Chairman of the
Board, President and C.E.O.
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