Ex-10.20: First Amendment to the Salary Continuation Agreement (Dominic Thomas Coletta)

EX-10.20 21 g98886exv10w20.htm EX-10.20: FIRST AMENDMENT TO THE SALARY CONTINUATION AGREEMENT (DOMINIC THOMAS COLETTA) exv10w20

EXHIBIT 10.20

First Amendment to Dominic Coletta’s
Salary Continuation Agreement

(Attached)

FIRST AMENDMENT
TO THE
FLORIDA CHOICE BANK
SALARY CONTINUATION AGREEMENT
FOR DOMINIC THOMAS COLETTA

THIS FIRST AMENDMENT is adopted as of this 15^th day of December, 2005, by and between FLORIDA CHOICE BANK, located in Mount Dora, Florida (the “Company”) and DOMINIC THOMAS COLETTA (the “Executive”).

WHEREAS, the Company and the Executive executed the FLORIDA CHOICE BANK SALARY CONTINUATION AGREEMENT on June 15, 2005 (the “Agreement”), which Agreement is subject to Internal Revenue Code Section 409A (“Section 409A”) and its rules and regulations; and

WHEREAS, the Company and the Executive now desire to amend and terminate the Agreement in accordance with Section 409A, its Proposed Regulations and Q&A-20 of Notice 2005-1, as of December 15, 2005 (the “Effective Date”).

NOW THEREFORE, effective as of the Effective Date, the following revisions shall be made:

A new Section 2.6 is added as follows:

“2.6 Benefit in Event of 409A Termination. Notwithstanding any other provisions of this Agreement to the contrary, if the Company elects to terminate this Agreement in accordance with a 409A Termination pursuant to Article 8, the Company shall pay to the Executive the benefit described in this Section 2.6 in lieu of any other benefit hereunder.

2.6.1 Amount of Benefit. The benefit under this Section 2.6 is one-hundred percent (100%) of the normal retirement benefit as set forth in Section 2.1.

2.6.2 Payment of Benefit. The Company shall pay no later than December 31, 2005, the lump sum present value of the normal retirement benefit determined as of December 31, 2005, utilizing the Discount Rate.

2.6.3 Satisfaction of All Company Obligations. Notwithstanding anything to the contrary in this Agreement or in that certain Supplemental Life Insurance Agreement between the Executive and the Company (as amended, the “Insurance Agreement”), immediately upon receipt of the lump sum payment provided for in Section 2.6.2 of this Agreement, the Executive’s rights under this Agreement and under the Insurance Agreement shall automatically cease and his participation in this Agreement and the Insurance Agreement shall automatically terminate such that no further amounts shall be paid or payable to the Executive under either this Agreement or the Insurance Agreement, and if the Company decides to maintain the Policy referred to in the Insurance Agreement after such time, the Company shall be the sole and direct beneficiary of the entire death proceeds of the Policy.”

	2.		Section 5.4 is deleted in its entirety.

	3.		The following is added at the end of Article 8:

			“Notwithstanding the foregoing provisions of this Article 8, the Company by resolution of the Board of Directors, may unilaterally terminate this Agreement in accordance with

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Article XI, F. of the Commentary to the Proposed Regulations under Section 409A of the Internal Revenue Code (or such finalized version of such regulations) and Q&A-20 of Notice 2005-1 (“409A Termination”). In the event of a 409A Termination, the Executive shall be paid (no later than December 31, 2005) the 409A Termination Benefit in accordance with Section 2.6.”

	4.		The content of Schedule A of the Agreement shall be deleted and replaced by the amended Schedule A.

	5.		All other terms and provisions of the Agreement and any previous amendments not herein amended shall remain in full force and effect.

IN WITNESS OF THE ABOVE, the Executive and the Company hereby consent to this First Amendment as of the date first written above.


Executive:		Florida Choice Bank:

/s/ Dominic Thomas Coletta	By:	/s/ Stephen R. Jeuck
Dominic Thomas Coletta
	Title:	CFO

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Salary Continuation Plan

Schedule A


Dominic Thomas Coletta
Birth Date: 1/10/1970		Termination of Agreement
Plan Anniversary Date: 1/1/2006
Normal Retirement: 12/31/2032, Age 62		Lump Sum
Normal Retirement Payment: Monthly for 18 years


	Discount		Benefit				Based On
Period	Rate		Level ₂		Vesting		Benefit
Ending	(1)		(2)		(3)		(4)
Dec 2005		5.00%		40,250		100%		359,116


₁		The first line reflects 12 months of data, January 2006 to December 2006.

₂		The benefit amount is based on a $40,250 beginning benefit, inflating at 4.00% each year to $116,056 at retirement.

^*		IF THERE IS A CONFLICT IN ANY TERMS OR PROVISIONS BETWEEN THIS SCHEDULE A AND THE AGREEMENT, THE TERMS AND PROVISIONS OF THE AGREEMENT SHALL PREVAIL. IF A TRIGGERING EVENT OCCURS, REFER TO THE AGREEMENT TO DETERMINE THE ACTUAL BENEFIT AMOUNT BASED ON THE DATE OF THE EVENT.