Form 4: Central Pacific Financial Corp Director Acquires Shares as Part of Board Compensation

Christopher Lutes, a director at Central Pacific Financial Corp, acquired 3,289 shares of common stock at $21.28 per share as part of his board compensation.

Summary

• On May 14, 2024, Christopher Lutes, a director of Central Pacific Financial Corp, acquired 3,289 shares of common stock.
• The shares were acquired at a price of $21.28 per share.
• This transaction was part of the 2024 Board of Directors fees, covering the period from May 1, 2024, to April 30, 2025, and were approved by the Board Compensation Committee in July 2023.
• Following the transaction, Lutes directly owns 19,340 shares of Central Pacific Financial Corp.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive as it reflects a director's increased stake in the company, aligning interests with shareholders. The transaction is part of a pre-approved compensation plan, indicating stability and planned execution.

Positives

• The acquisition of shares by a director demonstrates confidence in the company.

Industry Context

Directors receiving stock as part of their compensation is a common practice to align their interests with those of the shareholders.

Comparison to Industry Standards

• Stock-based compensation for board members is a common practice among publicly traded companies, particularly in the financial sector.
• The amount of stock awarded varies depending on the company's size, performance, and compensation policies.
• Comparing Central Pacific Financial Corp's director compensation to peers like Bank of Hawaii or First Hawaiian Bank would provide a better understanding of whether the compensation is in line with industry standards.

Stakeholder Impact

• The transaction could have a slightly positive impact on shareholders as it aligns the director's interests with theirs.

Key Dates