AMENDED AND RESTATED
SUPPLEMENTAL EXECUTIVE RETIREMENT AGREEMENT
THIS AMENDED AND RESTATED SUPPLEMENTAL EXECUTIVE RETIREMENT
AGREEMENT (the “Agreement”) is dated as of January 1, 2007, by and between EAST BOSTON
SAVINGS BANK , a corporation organized and existing under the laws of the Commonwealth of
Massachusetts (the “Bank”) and ROBERT F. VERDONCK (the “Executive”). The Agreement is an
amendment and restatement of the agreement by and between the Bank and the Executive dated January 29,
1985, as amended by instruments dated February 10, 1994, and September 14, 1995, and as amended and
restated as of July 1, 1996 and December 1, 2003.
In consideration of the mutual covenants herein contained, the parties hereby agree as follows:
1. Definitions .
(a) “Actuarial Equivalent” means a benefit of equivalent value when computed on the basis of an
interest rate of 6.5% and the 1983 Group Annuity Mortality Table, Unisex (50% male, 50% female), with no
setback; provided, however, that for purposes of determining the value of a lump sum distribution, the following
assumptions will be used:
Mortality: Applicable mortality table under Section 417(e)(3) of the Code.
(b) “Accrued Benefit” means 70% of the Executive’s Final Average Salary, offset by the SBERA
Pension Benefit and multiplied by the Executive’s Non-forfeitable Percentage set forth in Paragraph 2(b) if the
Executive has less than 20 years of service.
(c) “Cause” means the following:
(i) the conviction of the Executive for any felony involving moral turpitude, deceit,
dishonesty or fraud;
(ii) a material act or acts of dishonesty in connection with the performance of the
Executive’s duties, including without limitation, material misappropriation of funds or property;
(iii) an act or acts of gross misconduct (including sexual harassment) by the Executive
exposing the Bank to potential material liabi