EXHIBIT 10.14
TAX PAYMENT BONUS PLAN
FOR
XXXX XXXXXX
THIS AGREEMENT is effective the 1st day of December, 2000, between
INTERMOUNTAIN COMMUNITY BANCORP and its President and CEO, XXXX XXXXXX.
RECITALS
A. As a result of XXXX XXXXXX exercising stock options in April,
1999, he incurred significant capital gain tax and in order to satisfy the tax,
XXXX XXXXXX entered into a loan agreement with Pend Oreille Bank.
B. Based upon XXXX XXXXXX'x performance as President and CEO of
INTERMOUNTAIN COMMUNITY BANCORP, the Board of Directors has determined that it
would be appropriate for the company to bonus XXXX XXXXXX adequate funds to
repay the principal amount of the capital gain tax over a five-year time frame.
C. It is both XXXX XXXXXX'x and INTERMOUNTAIN COMMUNITY BANCORP's
desire to transfer the loan from Pend Oreille Bank to Panhandle State Bank.
WHEREFORE, BASED UPON THE FOREGOING RECITALS AND THE TERMS AND
CONDITIONS CONTAINED HEREIN, THE PARTIES AGREE AS FOLLOWS:
1. INTERMOUNTAIN COMMUNITY BANCORP shall pay to XXXX XXXXXX, in
the form of a bonus, the total sum of One Hundred Twenty Two Thousand Nine
Hundred Thirty One and 51/100 Dollars ($122,931.51), which shall be paid in
annual installments of twenty percent (20%) per year ($24,586.30), with the
first payment due on or before December 20, 2000, and like annual payments due
on or before the 20th day of December of each year until the final payment on
December 20, 2004.
2. The payments made pursuant to this agreement shall be subject
to the standard withholding amounts.
3. This agreement shall not be construed to create a guarantee of
employment at INTERMOUNTAIN COMMUNITY BANCORP nor shall this agreement be
implied as any contract agreement for continued employment.
4. Twenty percent (20%) of the bonus will be paid, in cash, no
later than December 20. The remaining bonus, although defined under this
agreement, will not be considered earned until actually paid pursuant to this
agreement. To qualify for each annual payment, XXXX XXXXXX must still be a
full-time employee on each payment date.
Any vested and unpaid bonus will be forfeited if XXXX XXXXXX
leaves the employment of the bank (1) by his own volition, or (2) is terminated
for just cause. Under the
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following circumstances, XXXX XXXXXX will become fully vested and will be
entitled to be paid, in cash, the balance of the bonus amount upon the following
events:
(a) Death;
(b) Permanent disability; or
(c) In the event more than fifty percent (50%) of the
stock of the bank is sold or there has been a change
of control as a result of a merger.
5. The benefits contemplated by this agreement are hereby
expressly declared to be nonassignable, and any such attempt at assignment shall
be void and of no effort.
6. XXXX XXXXXX shall enter into an unsecured loan agreement with
Panhandle State Bank in order to satisfy the full amount of the outstanding loan
with Pend Oreille Bank. The bonus payments contemplated by this agreement shall
be sued to serve the loan between Panhandle State Bank and XXXX XXXXXX.
7. This agreement shall be binding upon and enure to the benefit
of the parties and their successors or assigns.
The parties have executed this agreement this 4th day of January 2001.
INTERMOUNTAIN COMMUNITY BANCORP
/s/ Xxxx Xxxxxx /s/ Xxxx Xxxxxx
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XXXX XXXXXX, Chairman XXXX XXXXXX
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