Form 4: NewtekOne Legal Officer Granted Restricted Stock

NewtekOne's Chief Legal Officer, Michael Adam Schwartz, received a grant of 2,247 restricted shares of common stock.

Summary

• Michael Adam Schwartz, Chief Legal Officer of NewtekOne, Inc. (NEWT), was granted 2,247 restricted shares of the company's common stock.
• The grant occurred on January 14, 2026, under the Shareholder and Board approved NewtekOne, Inc. 2023 Stock Incentive Plan.
• The shares were granted at a price of $13.91 per share.
• Following this transaction, Michael Adam Schwartz beneficially owns 49,713 shares directly.
• The restricted shares will vest 100% after twenty-four (24) months from the grant date.
• Dividends in the form of common stock will be paid during the restricted period and will vest according to the same schedule.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive. While a routine executive compensation event, it signifies continued management alignment with shareholder interests and a commitment to the company's future performance through a long-term vesting schedule. It does not, however, indicate any immediate operational or financial breakthroughs.

Positives

• The grant of restricted stock aligns the interests of the Chief Legal Officer with those of the shareholders, as the value of the award is tied to the company's stock performance.
• This type of equity award serves as a retention incentive for key management personnel.
• The grant was made under a shareholder and board-approved stock incentive plan, indicating proper corporate governance.

Future Outlook

The grant of restricted stock with a two-year vesting schedule indicates a future commitment and alignment of the Chief Legal Officer's interests with the long-term performance of NewtekOne. The payment of dividends in common stock during the restricted period further ties future value to company performance.

Management Comments

• The reporting person was granted 2,247 restricted shares of the Issuer's common stock as a restricted stock award with 100% of the shares vesting after twenty-four (24) months.
• Dividends in the form of common stock will be paid during the restricted period, and such common stock will also vest pursuant to the vesting schedule.

Industry Context

Executive compensation, particularly through equity awards like restricted stock, is a standard practice across various industries. It is commonly used to attract, retain, and motivate key personnel by linking their financial incentives to the company's long-term success and shareholder value creation. This grant by NewtekOne aligns with typical industry practices for executive remuneration.

Comparison to Industry Standards

• The use of restricted stock awards with a multi-year vesting schedule is a common and accepted practice in executive compensation across publicly traded companies, aligning with general industry standards for long-term incentive plans.
• The grant under a shareholder-approved stock incentive plan is consistent with best practices in corporate governance, similar to plans observed at companies like JPMorgan Chase & Co. or Bank of America, which frequently utilize equity awards for their senior executives to foster long-term commitment and performance.

Corporate Governance

Stakeholder Impact

• Shareholders: The grant of restricted stock to a key executive aligns management's financial interests with those of shareholders, potentially encouraging decisions that enhance long-term shareholder value.
• Employees: This type of award can serve as a benchmark for other employees, signaling the company's commitment to performance-based incentives and retention of key talent.

Next Steps

• The restricted shares granted to Michael Adam Schwartz are scheduled to vest 100% after twenty-four (24) months from the grant date of January 14, 2026.

Key Dates

Keywords

NewtekOne, NEWT, Restricted Stock Award, Executive Compensation, Form 4, Insider Transaction, Stock Incentive Plan, Corporate Governance