Company: PFIS
Filing Date: 2025-04-01
Form Type: DEF 14A
Source: 0001104659-25-030614
Chunk: 47

Company: PEOPLES FINANCIAL SERVICES CORP.
Filing Date: 2025-04-01
Form: DEF 14A
Chunk 47
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 |                  |   550 |     | $              | 22,165 |
| Timothy H. Kirtley   |     |                  |   493 |     | $              | 19,868 |
| John R. Anderson III |     |                  |   502 |     | $              | 20,231 |

| (1) | Grant values based on the $40.30 per share closing price of our common stock on the grant date of February 21, 
 2024.                                                                                                          |

Clawback Agreements

In 2023, the compensation
committee adopted the Dodd-Frank Clawback Policy (the “Clawback Policy”) to adhere to the listing standards of Nasdaq and
the rules of the SEC implementing Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. The
Clawback Policy requires the compensation committee to recoup certain cash and equity incentive compensation paid to executive officers
in the event the Company is required to prepare an accounting restatement due to material noncompliance with any financial reporting requirement
under the federal securities laws. Under the policy, the compensation committee will require recoupment if it determines that incentive-based
compensation received by an executive exceeded the amount of incentive-based compensation that otherwise would have been received, had
it been calculated based on the restated amounts. Additionally, pursuant to the terms of the Cash Incentive Plan, all executives are subject
to a clawback provision. The clawback provision allows us to recover any overpayment under the Cash Incentive Plan in the event that we
are required to restate our financial statements because of any material noncompliance with a financial reporting requirement. If within
the previous three years a participant received an award based upon erroneous data, the participant is required to return any amount received
in excess of what would have been paid to the participant under the accounting restatement. In the event that the restatement is due to
a participant’s misconduct or fraudulent activity, then the participant is required to return the entire amount received based upon
the erroneous data.

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Benefits

ESOP. We maintain a
tax-qualified employee stock ownership plan, or “ESOP,” as a long-term incentive to focus executives on long-term value creation.
The ESOP covers substantially all employees who meet the eligibility requirements and is intended to incentivize and reward all employees,
including the named executive officers, based upon our long-term