Company: OSBC
Filing Date: 2025-04-18
Form Type: DEF 14A
Source: 0001558370-25-005000
Chunk: 88

Company: OLD SECOND BANCORP INC
Filing Date: 2025-04-18
Form: DEF 14A
Chunk 88
---
 2019 annual meeting of stockholders, and amended and restated for the first time by our stockholders at our 2021 annual meeting to increase the number of authorized shares of common stock under the 2019 Equity Incentive Plan to a total of 1,800,000 shares. If the Restated Equity Incentive Plan is not approved by our stockholders, it will not be adopted, the shares available for issuance under the 2019 Equity Incentive Plan will not be increased and we will continue to operate under our existing 2019 Equity Incentive Plan, as amended and restated in 2021. Rationale for the Request for Additional Shares The board of directors believes that the Restated Equity Incentive Plan is in the best interests of our stockholders and the Company, because equity awards provide a key compensation component to our executive officers and key employees, which helps to attract, retain and motivate key personnel, align employee and stockholder interests and link employee compensation to company performance. In order to give us the flexibility to continue to provide long-term incentive awards as a key component of our overall compensation program, the Compensation Committee has recommended to the board that we request our stockholders approve an additional 800,000 shares of common stock for issuance under the Restated Equity Incentive Plan. In the event the Restated Equity Incentive Plan is not approved and our existing plan ceases to have shares available to grant, we believe that higher cash compensation may be required to attract and retain key employees and other individuals. As of March 21, 2025, the record date for our annual meeting, the closing market price per share of our common stock on the NASDAQ Stock Market was $16.92. As part of the Compensation Committee’s recommendation to the board to approve the increase in the total number of shares authorized for issuance under the Restated Equity Incentive Plan, the Compensation Committee solicited the advice of McLagan Partners, Inc., its independent compensation consultant. Historical Burn Rate Basic burn rate, which is a measure of share utilization rate in equity compensation plans, is an important factor for investors concerned about stockholder dilution. Basic burn rate is defined as the gross number of equity-based awards granted during a calendar year divided by the weighted average number of shares of common stock outstanding during the year.

| ​                                              | ​ |          ​ | ​ |          ​ | ​ |          ​ | ​ |          ​ |
| Equity Award Vehicle                           | ​ |       2022 |