Company: ISBA
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0000842517-25-000053
Chunk: 123

Company: ISABELLA BANK CORP
Filing Date: 2025-03-12
Form: 10-K
Item: Item 8
Chunk 123
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 common stock on the open market.  Shares held in the Rabbi Trust are included in the calculation of earnings per share.The components of shares eligible to be issued under the Directors Plan were as follows as of December 31:20242023 EligibleSharesMarketValueEligibleSharesMarketValueUnissued101,493 $2,638 154,119 $3,313 Shares held in Rabbi Trust142,535 3,704 150,581 3,237 Cash Incentive PlansExecutive Cash Incentive PlanWe provide an executive cash incentive plan, which provides separate potential payouts for Isabella Bank's CEO, President, and CFO based on achievement of personal and corporate goals.  The potential payouts under the plan range from 22% to 35% of the employee's annual salary.  Expenses related to this plan for 2024, 2023, and 2022 were $103, $53, and $252 respectively.

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Employee Cash Incentive PlanWe provide cash incentive plans to reward employees above and beyond their base salaries when our performance and operating profitability exceed established annual targets. Incentives are also awarded for achievement of personal performance goals.  Expenses related to this plan for 2024, 2023 and 2022 were $1,485, $796, and $1,072, respectively.Restricted Stock PlanUnder the RSP, an equity based bonus plan, we may award restricted stock bonuses to eligible employees on an annual basis that are not fully transferable or vested until certain conditions are met. Currently, the eligible employees are the Bank's CEO, President, and CFO.  The RSP authorizes the issuance of unvested restricted stock to an eligible employee with a maximum award ranging from 25% to 40% of the employee’s annual salary, on a calendar year basis.  The employee must also satisfy the annual performance targets and measures established by the Board of Directors.  If these grant conditions are not satisfied, then the award of restricted shares will lapse or be adjusted appropriately, at the discretion of the Board of Directors.  All such grant agreements contain vesting conditions and clawback provisions.A summary of changes in nonvested restricted stock awards follows for the years ended December 31:20242023Numberof SharesFairValueNumberof SharesFairValueBeginning balance27,072 $592 27,072 $592 Granted3,901 76 — — Vested(16