STOCK OPTION AGREEMENT

STOCK OPTION AGREEMENT

FOR INCENTIVE STOCK OPTIONS UNDER SECTION 422

OF THE INTERNAL REVENUE CODE

PURSUANT TO THE

CECIL BANCORP, INC.

2009 EQUITY INCENTIVE PLAN

FOR EXECUTIVE OFFICERS

STOCK OPTIONS for a total of __________ shares of Common Stock of Cecil Bancorp, Inc. (the “Company”), which Option is intended to qualify as an Incentive Stock Option under Section 422 of the Internal Revenue Code of 1986, as amended, is hereby granted to ______________, (the “Optionee”), at the price determined as provided in, and in all respects subject to the terms, definitions and provisions of the 2009 Equity Incentive Plan (the “Plan”) adopted by the Company which is incorporated by reference herein, receipt of which is hereby acknowledged.

1.          Option Price . The Option price is $_____ for each Share, being 100% of the fair market value, as determined by the Committee, of the Common Stock on the date of grant of this Option (_____________, 2009).

2.          Exercises of Option . This Option shall be exercisable in accordance with provisions of the Plan, provided the holder of such Option is an employee, director or director emeritus of Cecil Bank (the “Bank”) or the Company as of such date, as follows:

A.        Such Options awarded to the Optionee are intended to satisfy the requirements of (incentive stock options( ((ISOs() within the meaning of Section 422 of the Internal Revenue Code of 1986, as amended. In the event that the Fair Market Value of the Common Stock subject

to such grant to the Optionee exceeds $100,000 per vesting event, then the excess of each installment shall be deemed non statutory stock options (not qualifying as ISOs).

B.        Options awarded to the Optionee shall continue to vest annually during such period that he serves as an employee, director or director emeritus of the Bank or the Company.

C.        Notwithstanding anything herein to the contrary, in no event shall any Options granted herein be exercisable for a period of six months from the Date of Grant, except in the event of the death or Disability of the Optionee or a Change in Control of the Company or the Bank. Upon the death or Disability of the Optionee or a Change in Control, all such Options shall be immediately 100% vested and exercisable.

D.        Upon termination of service for any reason, other than Disability or death, such Options shall cease to be exercisable three months from the date of termination of employment.

E.        Upon Disability, all Options shall be deemed immediately exercisable for a period not to exceed one year from such date of Disability.

F.        Upon death, all Options shall be immediately exercisable by the estate for two years from the date of death, not to exceed initial option term.

G.        Upon termination of employment with the Company or the Bank, if the Optionee continues status as a director or director emeritus of the Bank or the Company, the Optionee is entitled to continue to exercise any such Options during such continued service as a director or director emeritus, provided that if such Options are not exercised within three months of termination of employment, then such Options shall thereafter be deemed a Non-Statutory Stock Option.

(b)        Method of Exercise. This Option shall be exercisable by a written notice which shall:

(i)        State the election to exercise the Option, the number of Shares with respect to which it is being exercised, the person in whose name the stock certificate or certificates for such Shares of Common Stock is to be registered, his address and Social Security Number (or if more than one, the names, addresses and Social Security Numbers of such persons);

(ii)       Contain such representations and agreements as to the holder’s investment intent with respect to such shares of Common Stock as may be satisfactory to the Company’s counsel;

(iii)      Be signed by the person or persons entitled to exercise the Option and, if the Option is being exercised by any person or persons other than the Optionee, be accompanied by proof, satisfactory to counsel for the Company, of the right of such person or persons to exercise the Option; and

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(iv)      Be in writing and delivered in person or by certified mail to the Treasurer of the Company.

Payment of the purchase price of any Shares with respect to which the Option is being exercised shall be by shares of Company Common Stock, certified check, bank cashier’s or teller’s check. Common Stock utilized in full or partial payment of the exercise price must have been owned by the party exercising such Option for not less than six months prior to the date of exercise of such Option, and such Common Stock shall be valued at the Fair Market Value at the date of exercise. The Company shall accept full or partial payment in Common Stock only to the extent permitted by applicable law. The certificate or certificates for shares of Common Stock as to which the Option shall be exercised shall be registered directly in the name of the person or persons exercising the Option or held in a brokerage or trust account for the benefit of such person or persons.

(c)        Restrictions on Exercise . This Option may not be exercised if the issuance of the Shares upon such exercise would constitute a violation of any applicable federal or state securities or other law or valid regulation. As a condition to the Optionee’s exercise of this Option, the Company may require the person exercising this Option to make any representation and warranty to the Company as may be required by any applicable law or regulation.

3.          Non-transferability of Option . This Option may not be transferred in any manner otherwise than by will or the laws of descent or distribution and may be exercised during the lifetime of the Optionee only by the Optionee. The terms of this Option shall be binding upon the executors, administrators, heirs, successors and assigns of the Optionee.

4.          Term of Option . This Option may not be exercised more than ten (10) years from the Date of Grant of this Option, as set forth below, and may be exercised during such term only in accordance with the Plan and the terms of this Option Award Agreement. Notwithstanding anything herein in to the contrary, to the extent that the Optionee shall be deemed a 10% stockholder in accordance with Sections 422 and 318 of the Code, then with respect to ISOs, the Option exercise price shall be 110% of the exercise price noted above, and the option term shall be only 5 years from the Date of Grant.

5.          Adjustments . Subject to any required action by the stockholders of the Company, the number of Shares of Common Stock covered by this Award and the exercise price per Share shall be proportionately adjusted for the following ev