HERITAGE BANKSHARES, INC. LIMITED ALTERNATIVE STOCK APPRECIATION RIGHT AGREEMENTAppreciation Right Agreement • August 28th, 2006 • Heritage Bankshares Inc /Va • State commercial banks
This Limited Alternative Stock Appreciation Right Agreement is made as of the above date of grant by and between Heritage Bankshares, Inc. (“Corporation”) and Michael S. Ives (“Grantee”) to implement the grant to the Grantee of the Limited Alternative Stock Appreciation Right described herein (“Right”), made by the Board of Directors of the Corporation on July 26, 2006. This Right is independent of and is not granted under the 2006 Heritage Equity Incentive Plan (“2006 Incentive Plan”), but for convenience, capitalized terms used herein shall have the same meaning as defined in the 2006 Incentive Plan unless otherwise defined herein or unless the context requires otherwise. For purposes of this Right, “terminate employment” and “termination of employment” shall mean terminate employment or termination of employment with the Corporation and/or a Subsidiary as a consequence of which the Grantee is no longer employed by the Corporation or any Subsidiary; “termination for cause,” “terminat
