Georgetown Savings Bank 2009 Incentive Compensation Plan for Joseph W. Kennedy

Summary

This agreement outlines the 2009 incentive compensation plan for Joseph W. Kennedy, Senior Vice President and Chief Financial Officer of Georgetown Savings Bank. The plan sets specific financial performance goals, including targets for return on assets, net interest margin, and non-interest expense levels. Incentive payouts are tied to achieving these goals, with higher payouts for exceeding targets. Eligibility requires satisfactory job performance, no written warnings, and active employment at the time of payment.

EX-10.2 3 ex10-2.txt EX-10.2 EXHIBIT 10.2 GEORGETOWN SAVINGS BANK INCENTIVE COMPENSATION PLAN FISCAL 2009 GOALS ================================================================================ Organizational Level: Executive Employee: Joseph W. Kennedy Incentive Target: $13,467 Title: Senior Vice President/Chief Financial Officer ================================================================================ MINIMUM THRESHOLD: The Bank must achieve a Return on Assets ("ROA") equal - ------------------- to 75% of budget. Once this threshold has been met, goals listed below will be eligible for payment. Tier 1: Bank-wide Performance GOAL: #1: Profitability - Achieve ROA - -------- Annual Payout Percentage: 50% = $6,734 - ----------------------------------------------------------------- Annual Payout Annual Goals - ----------------------------------------------------------------- 75% of budget = .16% $2,245 - ----------------------------------------------------------------- At budget = .21% $4,489 - ----------------------------------------------------------------- 125% of budget = .26% $6,734 - ----------------------------------------------------------------- Stretch Goal - ----------------------------------------------------------------- Every .05% over .26% $2,245 - ----------------------------------------------------------------- Tier 2: Team Performance - ------------------------- GOAL #2: Profitability - Achieve Net Interest Margin Percentage - ------- Annual Payout Percentage: 30% = $4,040 - ----------------------------------------------------------------- Annual Goals Annual Payout - ----------------------------------------------------------------- 95% of budget = 3.07% $1,347 - ----------------------------------------------------------------- At budget = 3.23% $2,693 - ----------------------------------------------------------------- 105% of budget = 3.39% $4,040 - ----------------------------------------------------------------- Stretch Goal - ----------------------------------------------------------------- Every .16% over 3.39% $1,350 - ----------------------------------------------------------------- GOAL #3: Profitability - Achieve Non-Interest Expense Level - ------- Annual Payout Percentage: 20% = $2,693 - ----------------------------------------------------------------- Annual Goals Annual Payout - ----------------------------------------------------------------- 2% above budget = $5,932,014 $ 898 - ----------------------------------------------------------------- At budget = $5,815,700 $1,795 - ----------------------------------------------------------------- 2% below budget = $5,699,386 $2,693 - ----------------------------------------------------------------- Stretch Goal - ----------------------------------------------------------------- Every $116,314 below $5,699,386 $ 900 - ----------------------------------------------------------------- Tier 3: Individual Performance ---------------------- Goals: None [GRAPHIC OMITTED] Minimum Level of Expectations - ----------------------------- To be eligible for this Incentive Compensation Plan the employee must meet the following: o Performing at a satisfactory level or above, o Not on written warning, and o Actively employed at the time of the incentive payment.