Company: NWFL
Filing Date: 2025-10-08
Form Type: S-4/A
Source: 0001193125-25-234244
Chunk: 161

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-10-08
Form: S-4/A
Chunk 161
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 Lindsay Bixler, William Sayre and Larry Witt.
Pursuant to the merger agreement, the Company has agreed to honor these change in control agreements, which provide certain benefits in the event such employee’s employment is involuntarily terminated under specified circumstances, in
connection with or following a change in control, such as the merger. Messrs. Byers and Witt have each entered into new employment agreements and non-competition and
non-solicitation agreements with Norwood which supersede their change in control agreements.

The
remaining change in control agreements provide that, in the event of an involuntary termination of employment following a change in control of Presence Bank by its successor without cause, or if such employee terminates his or her employment for
“good reason”, as defined under such agreements, and such conditions are not remedied within 30 days following such notice of good reason, each employee subject to a change in control agreement is entitled to receive a lump sum payment
equal to two (2.0) times the sum of (i) the employee’s annual base salary at the greater of either the date of the change in control or on the date the employee is terminated, plus (ii) the employee’s highest cash bonus paid
over the prior three-year period. In addition, each employee will be entitled to receive from Norwood a lump sum payment equal to twelve months of reimbursement for the COBRA charge in effect at the time of the employee’s termination to cover
the cost of the employee’s continuation of health coverage.

Merger-Related Executive Compensation for PB Bankshares’s Named Executive Officers

The following table sets forth the estimated potential benefits to PB Bankshares’s named executive
officers in connection with a change in control of PB Bankshares or Presence Bank and assumes that the effective time of the merger will be January 1, 2026. If the merger closes after such date, then the estimated payments in

106

connection with a change of control listed below may be different due to changes in annual base salary and bonus levels and the vesting of some of the stock options and restricted stock awards without regard to the change of control. This table does not include the value of benefits in which the named executive officers are vested without regard to the occurrence of a change in control. The amounts shown below are estimates based on multiple assumptions that may or may not actually occur, and as a result, the actual amounts to be received by a named executive officer may differ materially from the amounts shown below. The following table sets forth an