Company: NWFL
Filing Date: 2025-10-08
Form Type: S-4/A
Source: 0001193125-25-234244
Chunk: 71

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-10-08
Form: S-4/A
Chunk 71
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it payments have commenced, the executive’s beneficiary will continue to receive the benefits at the same time and in the same amounts the benefits would have been paid to the
executive had he survived. In the event of a change in control prior to the executive attaining age 65, the executive will receive a lump sum payment of the account balance plus an amount equal to the contributions and earnings credited to the
executive’s account over the preceding 24 months. The executives will forfeit all benefits under the SERPs if their employment is terminated for cause.

Policies and Practices Related to the Grant of Stock Options

The Compensation Committee and the Board of Directors of PB Bankshares have developed a practice of not granting stock options to executive
officers during closed quarterly trading windows as determined under PB Bankshares’ insider trading policy. Consequently, PB Bankshares does not expect to grant, any stock options to any named executive officers within four business days
preceding or one business day after the filing with the SEC of any report on Forms 10-K, 10-Q or 8-K that discloses material non-public information. The Compensation Committee and the Board of Directors do not take material non-public information into account when determining the timing of equity
awards and do not time the disclosure of material non-public information in order to impact the value of executive compensation.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

This discussion and analysis reflects our financial information and other relevant statistical data, and is intended to enhance your
understanding of PB Bankshares’ financial condition and results of operations. The information in this section has been derived from the audited consolidated financial statements of PB Bankshares for the years ended December 31, 2023 and
2024, which appear beginning on page F-1 of this proxy statement/prospectus. You should read the information in this section in conjunction with the business and financial information regarding PB
Bankshares provided in this proxy statement/prospectus. In this discussion, references to “we”, “our” and “us” refer to PB Bankshares and its subsidiaries.

December 31, 2024

Overview

Our business has traditionally focused on originating fixed-rate one- to four-family residential real
estate loans and offering retail deposit accounts. In September 2019, we hired our current president and chief executive officer, Janak M. Amin, and under his leadership team we have developed a commercial lending infrastructure, with a
particular focus on expanding our commercial real estate and commercial