Exhibit 10.45
2008 Management Incentive Plan
| 2008 Management Incentive PlanMIP will be initially calculated based on the following components and payout tier structure.BudgetTotal RevenuePerformance Results 418.0 454.9 473.4 482.6 487.2491.8494.3 496.7 499.2 501.6 504.12007 Actual = 504.7% to Actual (Actual/Budget)< 85%85% 92.5% 96.25% 98.13% 99.06%100%100.5% 101% 101.5% 102% 102.5%CAP30%2008 Plan = 491.8Payout Factor0% 50% 60% 70% 80% 90%100%110% 120% 130% 140% 150%Budget Net Income After TaxPerformance Results 99.2 107.9 112.3 114.5 115.6116.7117.0 117.3 117.6 117.9 118.22007 Actual = 100.8% to Actual (Actual/Budget)< 85%85% 92.5% 96.25% 98.13% 99.06%100%100.25% 100.5% 100.75% 101% 101.25%CAP25%2008 Plan = 116.7Payout Factor0%50% 60% 70% 80% 90%100%110% 120% 130% 140% 150%Budget DepositsPerformance Results 7,888.8 7,979.8 8,025.3 8,048.1 8,059.4 8,070.8 8,080.98091.18,495.6 8,900.2 9,304.7 9,709.3 10,113.82007 Actual = 8,301.925% to Actual (Actual/Budget)< 97.5%97.5% 98.63% 99.19% 99.47% 99.61% 99.75% 99.88%100%105% 110% 115% 120% 125%CAP20%2008 Plan = 8,091.055Payout Factor0%50% 60% 70% 80% 90% 100% 110%120%126% 132% 138% 144% 150%Budget Non Performing AssetsPerformance Results 330.7 315.6 308.1 304.4 302.5300.6294.6 288.6 282.6 276.6 270.52007 Actual = 251.540% to Actual (Actual/Budget)< 90%90% 95% 97.5% 98.75% 99.38%100%102% 104% 106% 108% 110%CAP15%2008 Plan = 300.6Payout Factor0%50% 60% 70% 80% 90%100%110% 120% 130% 140% 150%Budget Expense MgmtPerformance Results 318.9 315.7 314.2 313.4 313.0312.6311.0 309.5 307.9 306.3 304.82007 Actual = 327.423% to Actual (Actual/Budget)< 98%98% 99% 99.5% 99.75% 99.88%100%100.5% 101% 101.5% 102% 102.5%CAP10%2008 Plan = 312.6Payout Factor0% 50% 60% 70% 80% 90%100%110% 120% 130% 140% 150%00%Payout % is incremental between tiers (ex. Each % over budget earns x% additional incentive)1Discretion may be used by the compensation committee to over-ride the formula under appropriate circumstances |
| 2Any adjustments for unusual items (such as acquisitions, divestitures) w ill require compensation committee approvalDiscretionary Modifier — Guidelines Only 3The above numbers w ill not include the impact of extra-ordinary items |
| An additional peer group ranking modifier may be used to determine final payouts of MIP4The above numbers w ill be adjusted to neutralize the impact of equity compensation |
| Component Weighting 5The above numbers w ill be adjusted to normalize the impact of equity adjustments due to interest rate movements Revenue 50%Peer Group: 6The discretion of management and the compensation committee is the final factor in the determination of |
| EXHIBIT Net Income 50% Chemical Bank eligibility and for final determination of payment aw ard. Independent BankPeer Ranking FactorMBTAbove 75th Percentile 125%Old NationalBelow 25th Percentile 50%First Merit Mercentile Bank Macatawa Bank Capital Bancorp2008 vs 2007 performanceCitizens First 10.45 |
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