BANK OF GRANITE
On July 14, 2008, the Board of Directors (the Board) of Bank of Granite Corporation
Company) and its banking subsidiary, Bank of Granite (the Bank), named Jerry A. Felts
Operating Officer of both the Company and the Bank. Mr. Felts was engaged with the Bank in November
of 2007 in a consulting capacity.
According to the oral agreement
between the Bank and Jerry A. Felts
effective July 14, 2008,
Mr. Felts will receive nonemployee compensation as Chief Operating Officer at an hourly rate of
$150, not to exceed $20,000 per month, plus reimbursement for out-of-pocket business related
expenses. He will report directly to Scott Anderson, Chief Executive Officer of both the Company
and the Bank.
Either party can terminate this agreement
upon appropriate notice.