Company: ISBA
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0000842517-25-000053
Chunk: 122

Company: ISABELLA BANK CORP
Filing Date: 2025-03-12
Form: 10-K
Item: Item 8
Chunk 122
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 investment securities valued using the NAV provided by a third party investment advisor.  The NAV is quoted on a private market that is not active; however, the unit price is based on underlying investments which are traded on an active market.We anticipate contributions to the plan in 2025 to approximate net contribution costs.Estimated future benefit payments are as follows for the next ten years:Estimated Benefit Payments2025$915 2026724 2027553 2028546 2029532 2030 - 20342,356 Directors PlanPursuant to the terms of the Directors Plan, our directors are required to invest at least 25% of their board fees in our common stock.  These stock investments can be made either through deferred fees or through the purchase of shares through the Dividend Reinvestment Plan.  Deferred fees, under the Directors Plan, are converted on a quarterly basis into stock units of our common stock based on the fair value of a share of our common stock as of the relevant valuation date.  Stock units credited to a participant’s account are eligible for stock and cash dividends as declared. Dividend Reinvestment Plan shares are purchased pursuant to the Dividend Reinvestment Plan.Distribution of deferred fees from the Directors Plan occurs when the participant retires from the Board of Directors or upon the occurrence of certain other events.  The participant is eligible to receive a distribution in the form of shares of our common stock of all of the stock units that are then in his or her account, and any unconverted cash will be converted to and rounded up to whole shares of stock and distributed, as well.  The Directors Plan does not allow for cash settlement, and therefore, such share-based payment awards qualify for classification as equity.  We may use authorized but unissued shares or purchase shares of common stock on the open market to meet our obligations under the Directors Plan.We maintain the Rabbi Trust to fund the Directors Plan.  The Rabbi Trust is an irrevocable grantor trust to which we may contribute assets for the limited purpose of funding a nonqualified deferred compensation plan.  Although we may not use the assets of the Rabbi Trust for any purpose other than meeting our obligations under the Directors Plan, the assets of the Rabbi Trust remain subject to the claims of our creditors and are included in the consolidated financial statements.  We may contribute cash or common stock to the Rabbi Trust from time to time for the sole purpose of funding the Directors Plan.  The Rabbi Trust will use any cash that we contribute to purchase shares of our