Form 4: Central Pacific Financial Corp Executive Diane Murakami Reports Changes in Beneficial Ownership

Diane Murakami, EVP of Central Pacific Financial Corp, reports acquisition and disposal of common stock due to vesting of restricted stock units and performance stock units, and shares withheld for taxes.

Summary

• On February 18, 2025, Diane Murakami, an Executive Vice President at Central Pacific Financial Corp, filed a Form 4 with the SEC reporting changes in her beneficial ownership of the company's common stock.
• The reported transactions include the acquisition of shares through the vesting of Restricted Stock Units (RSUs) and Performance Stock Units (PSUs).
• Ms. Murakami also disposed of shares to cover tax obligations related to the vesting of these units.
• Specifically, she acquired 2,652 shares, 517 shares, and 948 shares through RSU and PSU grants.
• She disposed of 167, 306, 165, 337, and 431 shares to cover taxes at a price of $29.69 per share.
• Following these transactions, Ms. Murakami directly owns various blocks of common stock, including 3,570 shares, 1,002 shares, 3,573 shares, and 140 shares.
• The filing also includes a Power of Attorney document, granting Stacey L. Rocha the authority to act on Ms. Murakami's behalf in preparing and filing SEC forms related to her ownership of Central Pacific Financial Corp securities.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The filing is a routine disclosure of stock transactions related to executive compensation. The vesting of RSUs and PSUs is generally a positive sign, but the sale of shares to cover taxes is a normal occurrence.

Positives

• The vesting of RSUs and PSUs indicates that Ms. Murakami is meeting performance criteria or time-based vesting requirements, which can be seen as a positive sign.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders. These filings are closely watched by investors seeking insights into management's perspective on the company's stock.

Comparison to Industry Standards

• Monitoring insider transactions is a standard practice in financial analysis.
• Comparing the ratio of stock grants to salary and the frequency of insider sales to similar financial institutions can provide insights into Central Pacific Financial Corp's compensation practices and management's confidence in the company's future performance.
• Companies like Bank of Hawaii (BOH) and First Hawaiian, Inc. (FHB) are regional peers whose insider transaction patterns could be compared to CPF.

Stakeholder Impact

• The transactions have a minor impact on shareholders as they reflect routine executive compensation adjustments.
• Employees holding similar stock-based compensation may be interested in the details of the vesting and tax implications.

Key Dates

Keywords

Form 4, beneficial ownership, Central Pacific Financial Corp, Diane Murakami, RSU, PSU, stock, vesting, taxes, Stacey L. Rocha, Power of Attorney