Form 4: Pathfinder Bancorp CEO James A. Dowd Reports Acquisition of 35,000 Shares of Restricted Stock
SEC Form 4 Filing
Pathfinder Bancorp's CEO, James A. Dowd, reported acquiring 35,000 shares of restricted stock and provided details on his holdings of common stock and stock options.
Summary
- On January 31, 2025, James A. Dowd, the President and CEO of Pathfinder Bancorp, Inc., acquired 35,000 shares of common stock.
- These shares were acquired as restricted stock at a price of $0 per share.
- The restricted stock vests at a rate of 25% per year, starting on January 31, 2026.
- Following the transaction, Dowd directly owns 55,704 shares of common stock.
- Dowd also indirectly owns 18,052 shares through a 401(k) and 20,594 shares through an ESOP.
- Additionally, Dowd holds 15,816 stock options with an exercise price of $11.35, which were granted on May 6, 2017, and expire on May 26, 2026.
Sentiment
Score: 7
Explanation: The sentiment is moderately positive due to the CEO's acquisition of restricted stock, indicating confidence in the company's future performance. This aligns the CEO's interests with shareholders.
Positives
- The acquisition of restricted stock aligns the CEO's interests with those of the shareholders, as the vesting schedule incentivizes long-term performance.
- The vesting schedule of the restricted stock promotes long-term commitment from the CEO.
Future Outlook
The CEO's acquisition of restricted stock suggests a positive outlook, as it aligns his interests with the long-term success of the company.
Industry Context
Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders, providing transparency to investors.
Comparison to Industry Standards
- Executive compensation packages often include restricted stock to align management's interests with shareholder value, a common practice among publicly traded companies.
- Vesting schedules for restricted stock typically range from three to five years, with annual or quarterly vesting increments, similar to the vesting schedule reported here.
- Stock option grants are also a common component of executive compensation, providing an incentive for executives to increase the company's stock price.
Stakeholder Impact
- Shareholders may view the CEO's acquisition of restricted stock positively, as it aligns his interests with the company's long-term success.
- Employees may see this as a sign of confidence in the company's future.
Key Dates
| Date | Description |
|---|---|
| 05/06/2017 | Grant date of stock options with an exercise price of $11.35 |
| 01/31/2025 | Date of transaction: Acquisition of 35,000 shares of restricted stock |
| 01/31/2026 | Commencement date for vesting of restricted stock at a rate of 25% per year |
| 05/26/2026 | Expiration date of stock options |
| 02/04/2025 | Date of signature for the Form 4 filing |
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