Company: CCNE
Filing Date: 2025-02-20
Form Type: S-4
Source: 0001193125-25-030821
Chunk: 195

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-02-20
Form: S-4
Chunk 195
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 the Merger In considering the information contained in this joint proxy statement/prospectus, you should be aware that ESSA’s directors and executive officers have interests in the merger that are different from, or in addition to, the interests of ESSA shareholders generally. The ESSA Board of Directors was aware of these interests and considered them, among other things, in approving the merger. These interests, to the extent material, are described below. Treatment of ESSA Restricted Stock Awards Pursuant to the merger agreement, any vesting restrictions on each restricted share of ESSA common stock subject to a substantial risk of forfeiture outstanding immediately prior to the effective time of the merger will automatically lapse, and all vested restricted stock awards will be exchanged for the merger consideration (less applicable taxes and withholdings and without interest). The directors do not hold any equity awards that will vest as a result of the merger. As of February 20, 2025, (i) Mr. Olson holds 14,463 restricted stock awards, (ii) Messrs. Gray, Hangen, and Muto each respectively hold 7,232 outstanding restricted stock awards, and (iii) Mr. Grayuski holds 3,616 outstanding restricted stock awards. The estimated value of Messrs. Olson, Gray, Grayuski, Hangen and Muto’s restricted stock awards are (i) $283,330 in the case of Mr. Olson, (ii) $141,714 in the case of Messrs. Gray, Hangen and Muto and (iii) $70,837 in the case of Mr. Grayuski. The estimated value is based on a per share price of ESSA common stock of $19.59, which is the average closing market price of ESSA common stock over the five business days following the public announcement of the merger. 145

Treatment of ESSA Performance-Based Cash-Settled Awards

Pursuant to the merger agreement, any vesting or other forfeiture restrictions on each ESSA performance-based cash-settled award outstanding immediately prior to the effective time of the merger will automatically fully vest and be settled in cash (less applicable taxes and withholdings and without interest), with any applicable performance-based vesting conditions to be deemed achieved at the greater of the target level of performance or actual annualized performance measured as of the most recently completed fiscal quarter prior to the closing of the merger. The directors do not hold any performance-based cash-settled awards that will