PACIFIC CONTINENTAL CORPORATION/PACIFIC CONTINENTAL BANK CHANGE IN CONTROL SALARY CONTINUATION AGREEMENTChange of Control Agreement |
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Exhibit 10.10
PACIFIC CONTINENTAL CORPORATION/PACIFIC CONTINENTAL BANK
CHANGE IN CONTROL
SALARY CONTINUATION AGREEMENT
THIS CHANGE IN CONTROL/SALARY CONTINUATION AGREEMENT (this "AGREEMENT") is
entered into as of this 17th day of August, 2005, by and between PACIFIC
CONTINENTAL CORPORATION, an Oregon corporation (the "COMPANY"), its wholly owned
subsidiary PACIFIC CONTINENTAL BANK, an Oregon state-chartered bank (the
"BANK"), and BASANT SINGH ("EXECUTIVE"). This Agreement will be effective as of
the Effective Date determined pursuant to the Plan and Agreement of Merger dated
as of the date hereof among the Company, the Bank, NWB Financial Corporation and
Northwest Business Bank (the "MERGER AGREEMENT"). If the Merger Agreement is
terminated for any reason, this Agreement will be null and void and of no
effect.
The Company, the Bank and Executive agree as follows:
1. DEFINITIONS.
1.1 Cause. "CAUSE" means any one or more of the following:
a. Removal or discharge of Executive pursuant to order
of any federal banking authority;
b. Executive perpetrates fraud, dishonesty, or other act
of misconduct in the rendering of services to the
Company or the Bank or to customers of the Company or
the Bank, or if Executive engages in conduct which,
in the opinion of the Board of Directors, materially
interferes with the performance of Executive's duties
or harms the reputation of the Company or the Bank by
reason of the adverse reaction of the community to
such conduct;
c. Executive conceals from, or knowingly fails to
disclose to, any federal banking regulatory authority
or the Board of Directors any material matters
affecting the viability of the Company or the Bank;
or
d. Executive fails (or refuses) to faithfully or
diligently perform any of the usual and customary
duties of his employment and either fails to remedy
the lapse or formulate a plan for its correction with
the Company or the Bank (if such failure is not
susceptible to immediate correction) within thirty
(30) days after notice to Executive explaining in
detail the allegations and recommended correction.
Notwithstanding the foregoing, Executive shall not be terminated
without:
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a. Ten days written notice setting forth Company's
intention to terminate for Cause;
b. An opportunity for Executive to rebut termination for
Cause within five business days after receiving
notice; and
c. A final finding, in good faith, by the Board of
Directors that Cause existed.
1.2 Change in Control. "CHANGE IN CONTROL" means a change "in the
ownership or effective control" or "in the ownership of a
substantial portion of the assets" of the Company or the Bank,
within the meaning of Section 280G of the Internal Revenue
Code of 1986, as amended; provided however, that an internal
reorganization of the Company or the Bank shall not constitute
a Change in Control.
1.3 Change in Control Payment. "CHANGE IN CONTROL PAYMENT" has the
meaning assigned in Section 3 of this Agreement.
1.4 Compensation. "COMPENSATION" Means Executive's highest base
compensation, together with bonuses earned pursuant to the
Company and/or Bank's then-existing bonus plan(s), for each of
the three most recent calendar years, including the current
calendar year. For purposes of the current calendar year
determination, Executive's base compensation will be
annualized and it will be assumed that Executive will earn the
maximum bonus amount payable pursuant to the Company and/or
Bank's then-existing bonus plan(s).
1.5 Disability. "DISABILITY" means a physical or mental impairment
that renders Executive incapable of substantially performing
the usual and customary duties of his employment for a period
of 90 consecutive days, unless with reasonable accommodation
Executive could continue to perform such duties, and making
these accommodations would not pose an undue hardship on the
Company or the Bank. Disability shall be determined by the
definition and procedure set forth in the Company disability
plan.
1.6 Employment Agreement. "EMPLOYMENT AGREEMENT" has the meaning
assigned in Section 5 of this Agreement.
1.7 Good Reason. "GOOD REASON" means only any one or more of the
following:
a. Reduction of Executive's Post Change in Control
Salary or elimination of any significant compensation
or benefit plan benefiting Executive, unless the
reduction or elimination is generally applicable to
substantially all similarly situated employees (or
similarly situated employees of a successor or
controlling entity of the Company or the Bank)
formerly benefited;
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b. The Post Change in Control assignment to Executive
without his consent of any authority or duties
materially inconsistent with Executive's position as
of the date of the Change of Control; or
c. A relocation or transfer of Executive's principal
place of employment that would require Executive to
commute on a regular basis more than 30 miles each
way from his present place of employment.
1.8 Parachute Payment Amount. "PARACHUTE PAYMENT AMOUNT" has the
meaning assigned in Section 5 of this Agreement.
1.9 Post Change in Control Salary. For purposes of Section 4 of
this Agreement, "POST CHANGE IN CONTROL SALARY" means, for the
Salary Continuation Period, the base compensation and
bonus(es) that Executive would have been entitled to if
his/her employment had not been terminated. For purposes of
determining the bonus(es) that Executive would have been
entitled to, it will be assumed that Executive would have
earned the maximum bonus amount payable pursuant to the
Company and/or Bank's bonus plan(s) in existence at the time
of the Change in Control.
1.10 Salary Continuation Payment. "SALARY CONTINUATION PAYMENT" has
the meaning assigned in Section 4 of this Agreement.
1.11 Salary Continuation Period. "SALARY CONTINUATION PERIOD" has
the meaning assigned in Section 4 of this Agreement.
1.12 Termination Event After Change in Control. A "TERMINATION
EVENT AFTER CHANGE IN CONTROL" shall be deemed to occur upon,
and only upon, any one or more of the following:
a. Termination of Executive's employment by Executive
for Good Reason within the Salary Continuation
Period;
b. Termination of Executive's employment by the Bank
and/or the Company other than for Cause or
Disability, or death within the Salary Continuation
Period; or
c. Termination of Executive's employment or of this
Agreement by the Bank and/or the Company other than
for Cause, Disability or death prior to a Change in
Control if such termination occurs within twelve (12)
months before the execution of a definitive agreement
providing for a Change in Control.
1.13 Trade Secret. "TRADE SECRET" means information, including a
drawing, cost data, customer list, formula, pattern,
compilation, program, device, method, technique or process
that:
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a. Derives independent economic value, actual or
potential, from not being generally known to the
public or to other persons who can obtain economic
value from its disclosure or use; and
b. Is the subject of efforts that are reasonable under
the circumstances to maintain its secrecy.
2. COMMITMENT OF EXECUTIVE. In the event that any person extends any
proposal or offer that is intended to or may result in a Change in
Control, Executive shall, at the Company's or the Bank's request,






