Form 4: S&T Bancorp Executive Vice President Susan A. Nicholson Reports Changes in Beneficial Ownership

Executive Vice President Susan A. Nicholson reports changes in beneficial ownership of S&T Bancorp Inc. stock due to vesting of restricted stock units, forfeiture of performance shares, and shares withheld for tax liability.

Summary

• On April 1, 2024, Susan A. Nicholson, Executive Vice President of S&T Bancorp Inc., reported changes in her beneficial ownership of the company's stock.
• These changes include the forfeiture of 178 performance shares from the 2021 Long-Term Incentive Plan, which vested at 73% between the threshold and target levels.
• Shares were withheld to cover tax liabilities upon the vesting of restricted stock.
• Nicholson also acquired shares through the vesting of restricted stock units, which automatically converted into common stock.
• The transactions resulted in a net change in Nicholson's holdings of S&T Bancorp common stock.
• Nicholson now directly owns 3,427 shares of common stock and 2,073 restricted stock units.

Sentiment

Score: 6

Explanation: The sentiment is neutral as the filing primarily reports routine transactions related to executive compensation. The forfeiture of some performance shares is a minor negative, but overall, the filing reflects standard corporate governance practices.

Positives

• The vesting of restricted stock units indicates a continued alignment of executive compensation with company performance.
• The reporting person now directly owns 3,427 shares of common stock and 2,073 restricted stock units.

Negatives

• The forfeiture of performance shares suggests that certain performance targets were not fully met under the 2021 Long-Term Incentive Plan.

Risks

• Fluctuations in the stock price could impact the value of the vested restricted stock units.
• Changes in tax laws could affect the tax liability associated with the vesting of restricted stock.

Future Outlook

The restricted stock units will continue to vest in equal annual installments over the next two years, aligning executive compensation with long-term company performance.

Industry Context

Form 4 filings are a routine part of corporate governance, providing transparency into the transactions of company insiders and their alignment with shareholder interests. This filing is typical for executives receiving stock-based compensation.

Comparison to Industry Standards

• Executive compensation packages often include restricted stock units that vest over time, aligning executive incentives with long-term shareholder value.
• The vesting schedules and performance-based components are common practices in the banking industry, similar to those at companies like PNC Financial Services and Citizens Financial Group.

Stakeholder Impact

• The vesting of restricted stock units aligns executive interests with those of shareholders, potentially driving long-term value creation.

Key Dates