Georgetown Savings Bank FY08 Incentive Plan for Charles Shediac, Senior Vice President, Chief Loan Officer

Summary

This agreement outlines the 2008 incentive compensation plan for Charles Shediac, Senior Vice President and Chief Loan Officer at Georgetown Savings Bank. The plan sets a target bonus of $15,000, with specific payouts tied to team performance goals such as commercial loan growth, branch personnel referrals for residential mortgages, implementation of small business lending, and achieving certain interest rate spreads. Additional bonuses are available for exceeding targets. Payouts are based on annual or milestone achievements, with no individual or bank-wide goals set at this time.

EX-10.3 4 ex10-3.txt EX-10.3 EXHIBIT 10.3 GEORGETOWN SAVINGS BANK FY08 INCENTIVE PLAN All figures below are representative of a twelve month period ================================================================================ Organizational Level: Executive Employee: Charles Shediac Incentive Target: $15,000 plus --------------------------------- sliding component ----------------- Title: Senior Vice President, Chief Loan Current Salary: $149,000 Officer ----------------- --------------------------------- ================================================================================ Tier 1: Bank-wide Performance Goal: None set at this time --------------------- Tier 2: Team Performance - Sales Goal #1: Commercial Loan Growth ---------------------- Payout Percentage: 34% of incentive Target = $5,100 Target: Total net outstanding commercial loan balances of $41,775,300 at June 30, 2008. Payout Timing: Annual Additional Payout: $5,100 for every $5,000,000 of commercial loan balances over Target. Goal #2: Complete Branch Platform Personnel Ability To Refer Residential --------------------------------------------------------------- Mortgages --------- Payout Percentage: 16.5% of incentive Target = $2,475 Target: Implementation of Branch Platform personnel fully able to refer residential mortgage loans to the Bank's loan originator. Payout Timing: After each branch has referred at least 3 mortgages to the loan originator and the loans have closed. Goal #3: Complete Small Business Lending Capability in the Branches ---------------------------------------------------------- Payout Percentage: 16.5% of incentive Target = $2,475 Target: Completion of implementation of branch based small business lending products in accordance with Loan Policy Payout Timing: Upon successful origination and closing of $500,000 in branch based small business loans Goal #4: Attain core interest rate spread -------------------------------- Payout Percentage: 16.5% of incentive Target = $2,475 Target: Year to date average core interest rate spread, as defined, equal to 3.20%. Payout Timing: Annual Goal #5: Exceed core interest rate spread -------------------------------- Payout Percentage: 16.5% of incentive Target = $2,475 Target: Year to date average core interest rate spread, as defined, equal to or exceeding 3.30%. Payout Timing: Annual Additional Payout: $4,950 for every 10 basis points over Target. Tier 3: Individual Performance ---------------------- Goal: None set at this time --------------------- [GRAPHIC OMITTED]