Form 4: Insider Transaction: Lake Shore Bancorp EVP Tax Withholding

EVP Jeffrey M. Werdein reported the withholding of 302 shares of Lake Shore Bancorp common stock to satisfy tax obligations related to restricted stock vesting.

Summary

• Jeffrey M. Werdein, EVP-Commercial Division, disposed of 302 shares of common stock on April 23, 2026.
• The transaction was executed at a price of $15.85 per share.
• The disposal was a mandatory tax withholding event incident to the vesting of restricted stock.
• Following the transaction, the reporting person maintains direct ownership of 54,255 shares.
• Indirect holdings include 20,000 shares in an IRA, 7,782 shares via ESOP, 2,000 shares held by spouse, and 1,056 shares held by son.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event, as the transaction is a routine tax-related administrative action common in executive compensation plans.

Positives

• The transaction was a routine administrative tax withholding rather than a discretionary market sale.
• The reporting person retains a significant equity stake in the company.

Negatives

• The transaction represents a reduction in direct share ownership, albeit for tax purposes.

Risks

• Market price volatility could impact the value of remaining unvested restricted stock grants.

Future Outlook

No specific forward-looking guidance provided; the filing relates strictly to historical insider equity movements.

Industry Context

StockSavvy.ai notes that tax withholding filings are standard administrative procedures for executives receiving equity-based compensation and do not typically signal a change in management sentiment regarding company performance.

Comparison to Industry Standards

• The use of net-settlement (withholding shares for taxes) is a standard practice among U.S. publicly traded financial institutions to manage executive tax liabilities upon vesting.

Stakeholder Impact

• Minimal impact on shareholders as the transaction is a standard tax-related equity adjustment.

Next Steps

• Future vesting of remaining restricted stock tranches as per established grant schedules.

Key Dates

Keywords

Lake Shore Bancorp, LSBK, Form 4, Insider Trading, Tax Withholding, Equity Compensation