[8-K] BankFinancial Corporation Reports Material Event
BankFinancial Corporation and its banking subsidiary amended the employment agreements of CEO F. Morgan Gasior and CFO Paul A. Cloutier in connection with a merger agreement with First Financial Bancorp. The amendments state that Mr. Gasior will be terminated without cause upon closing of the merger and will be entitled to a severance payment under his amended agreement. Mr. Cloutier will be entitled to a severance payment if he remains employed through September 30, 2026, payable on the first payroll date following that date unless paid earlier.
The amendments also provide for reductions in severance payments as needed to avoid an excess parachute payment under Section 280G of the Internal Revenue Code and impose new non-competition restrictions. The filings reference the full amendment texts as Exhibits 10.1 and 10.2.
BankFinancial Corporation e la sua controllata bancaria hanno modificato i contratti di lavoro del CEO F. Morgan Gasior e del CFO Paul A. Cloutier in relazione a un accordo di fusione con First Financial Bancorp. Le modifiche prevedono che il Sig. Gasior sarà licenziato senza giusta causa al momento del perfezionamento della fusione e avrà diritto a un pagamento di indennità secondo il suo contratto modificato. Il Sig. Cloutier avrà diritto a un pagamento di indennità se resterà in servizio fino al 30 settembre 2026, pagabile nella prima data di paga successiva a tale data salvo pagamento anticipato.
Le modifiche prevedono inoltre riduzioni delle indennità, se necessario per evitare un excess parachute payment under Section 280G del Internal Revenue Code, e introducono nuove restrizioni di non concorrenza. I documenti citano i testi completi delle modifiche come Allegati 10.1 e 10.2.
BankFinancial Corporation y su filial bancaria enmendaron los contratos laborales del CEO F. Morgan Gasior y del CFO Paul A. Cloutier en relación con un acuerdo de fusión con First Financial Bancorp. Las enmiendas estipulan que el Sr. Gasior será despedido sin causa al cierre de la fusión y tendrá derecho a un pago por despido conforme a su contrato enmendado. El Sr. Cloutier tendrá derecho a un pago por despido si permanece empleado hasta el 30 de septiembre de 2026, pagadero en la primera fecha de nómina posterior a esa fecha salvo que se pague antes.
Las enmiendas también prevén reducciones en los pagos por despido cuando sea necesario para evitar un excess parachute payment under Section 280G del Internal Revenue Code y establecen nuevas restricciones de no competencia. Las presentaciones hacen referencia a los textos completos de las enmiendas como Anexos 10.1 y 10.2.
BankFinancial Corporation와 그 은행 계열사는 First Financial Bancorp와의 합병 계약에 따라 CEO F. Morgan Gasior 및 CFO Paul A. Cloutier의 고용계약을 수정했습니다. 수정 내용에 따르면 Gasior 씨는 합병 종결 시 정당한 사유 없이 해고되며 수정된 계약에 따라 퇴직금(해고 위로금)을 지급받게 됩니다. Cloutier 씨는 2026년 9월 30일까지 재직할 경우 퇴직금을 받을 권리가 있으며, 해당 금액은 그 날짜 이후 첫 급여일에 지급되되 조기 지급될 수 있습니다.
또한 수정안은 필요 시 excess parachute payment under Section 280G을 회피하기 위해 퇴직금액을 감액할 수 있도록 규정하며 새로운 경업금지 제한을 도입합니다. 서류는 수정안 전문을 증빙서류 10.1 및 10.2로 참조합니다.
BankFinancial Corporation et sa filiale bancaire ont modifié les contrats de travail du PDG F. Morgan Gasior et du directeur financier Paul A. Cloutier dans le cadre d’un accord de fusion avec First Financial Bancorp. Les amendements prévoient que M. Gasior sera licencié sans motif à la clôture de la fusion et qu’il aura droit, en vertu de son contrat modifié, à une indemnité de départ. M. Cloutier pourra percevoir une indemnité de départ s’il reste en poste jusqu’au 30 septembre 2026, payable à la première date de paie suivant cette date, sauf paiement anticipé.
Les amendements prévoient également des réductions des indemnités si nécessaire pour éviter un excess parachute payment under Section 280G de l’Internal Revenue Code et imposent de nouvelles clauses de non-concurrence. Les dépôts renvoient aux textes complets des amendements en tant que pièces 10.1 et 10.2.
BankFinancial Corporation und ihre Banktochter haben die Arbeitsverträge von CEO F. Morgan Gasior und CFO Paul A. Cloutier im Zusammenhang mit einem Fusionsvertrag mit First Financial Bancorp geändert. Die Änderungen sehen vor, dass Herr Gasior bei Abschluss der Fusion ohne Angabe von Gründen gekündigt wird und ihm gemäß seinem geänderten Vertrag eine Abfindungszahlung zusteht. Herr Cloutier hat Anspruch auf eine Abfindungszahlung, wenn er bis zum 30. September 2026 beschäftigt bleibt; die Zahlung erfolgt an dem ersten folgenden Gehaltszahlungsdatum, sofern sie nicht früher geleistet wird.
Die Änderungen sehen außerdem Kürzungen der Abfindungszahlungen vor, soweit dies zur Vermeidung einer excess parachute payment under Section 280G des Internal Revenue Code erforderlich ist, und führen neue Wettbewerbsverbote ein. Die Einreichungen verweisen auf die vollständigen Änderungsdokumente als Anlagen 10.1 und 10.2.
- Section 280G reduction clause to avoid excess parachute payments, reducing potential tax-related complications
- CFO severance conditioned on continued employment through September 30, 2026, which can support post-merger continuity
- New non-compete restrictions provide protections that are customary in acquisitions and may preserve transaction value
- CEO termination upon closing creates an immediate executive leadership change and a contractual severance obligation
- Severance payment obligations are created or confirmed by the amendments; monetary amounts are not disclosed in the filing
- Key financial impact unclear because the filing specifies triggers and protections but does not disclose severance amounts or timing details beyond the CFO service condition
Insights
TL;DR: Amendments formalize post-merger executive exit and protections, adding severance, tax-offset clauses, and non-compete terms.
The agreements document a planned CEO termination at closing with a contractual severance entitlement and a conditioned CFO severance tied to continued employment through September 30, 2026. The inclusion of a Section 280G reduction clause is a governance control to limit excess parachute tax exposure, which can preserve net proceeds for the company and shareholders. New non-compete terms align with typical acquirer protections. No severance amounts are disclosed in the filing, limiting quantitative assessment.
TL;DR: Contract changes align executive compensation mechanics with the merger timetable and mitigate 280G tax risk while preserving severance rights.
The amendments explicitly link executive severance outcomes to the merger and to a service date for the CFO, clarifying payout triggers. The 280G reduction provision indicates attention to potential golden parachute tax consequences, suggesting negotiated protection for both company cost control and executive net recovery. The filing does not disclose monetary amounts or how reductions will be calculated, which constrains assessment of the financial impact on transaction economics.
BankFinancial Corporation e la sua controllata bancaria hanno modificato i contratti di lavoro del CEO F. Morgan Gasior e del CFO Paul A. Cloutier in relazione a un accordo di fusione con First Financial Bancorp. Le modifiche prevedono che il Sig. Gasior sarà licenziato senza giusta causa al momento del perfezionamento della fusione e avrà diritto a un pagamento di indennità secondo il suo contratto modificato. Il Sig. Cloutier avrà diritto a un pagamento di indennità se resterà in servizio fino al 30 settembre 2026, pagabile nella prima data di paga successiva a tale data salvo pagamento anticipato.
Le modifiche prevedono inoltre riduzioni delle indennità, se necessario per evitare un excess parachute payment under Section 280G del Internal Revenue Code, e introducono nuove restrizioni di non concorrenza. I documenti citano i testi completi delle modifiche come Allegati 10.1 e 10.2.
BankFinancial Corporation y su filial bancaria enmendaron los contratos laborales del CEO F. Morgan Gasior y del CFO Paul A. Cloutier en relación con un acuerdo de fusión con First Financial Bancorp. Las enmiendas estipulan que el Sr. Gasior será despedido sin causa al cierre de la fusión y tendrá derecho a un pago por despido conforme a su contrato enmendado. El Sr. Cloutier tendrá derecho a un pago por despido si permanece empleado hasta el 30 de septiembre de 2026, pagadero en la primera fecha de nómina posterior a esa fecha salvo que se pague antes.
Las enmiendas también prevén reducciones en los pagos por despido cuando sea necesario para evitar un excess parachute payment under Section 280G del Internal Revenue Code y establecen nuevas restricciones de no competencia. Las presentaciones hacen referencia a los textos completos de las enmiendas como Anexos 10.1 y 10.2.
BankFinancial Corporation와 그 은행 계열사는 First Financial Bancorp와의 합병 계약에 따라 CEO F. Morgan Gasior 및 CFO Paul A. Cloutier의 고용계약을 수정했습니다. 수정 내용에 따르면 Gasior 씨는 합병 종결 시 정당한 사유 없이 해고되며 수정된 계약에 따라 퇴직금(해고 위로금)을 지급받게 됩니다. Cloutier 씨는 2026년 9월 30일까지 재직할 경우 퇴직금을 받을 권리가 있으며, 해당 금액은 그 날짜 이후 첫 급여일에 지급되되 조기 지급될 수 있습니다.
또한 수정안은 필요 시 excess parachute payment under Section 280G을 회피하기 위해 퇴직금액을 감액할 수 있도록 규정하며 새로운 경업금지 제한을 도입합니다. 서류는 수정안 전문을 증빙서류 10.1 및 10.2로 참조합니다.
BankFinancial Corporation et sa filiale bancaire ont modifié les contrats de travail du PDG F. Morgan Gasior et du directeur financier Paul A. Cloutier dans le cadre d’un accord de fusion avec First Financial Bancorp. Les amendements prévoient que M. Gasior sera licencié sans motif à la clôture de la fusion et qu’il aura droit, en vertu de son contrat modifié, à une indemnité de départ. M. Cloutier pourra percevoir une indemnité de départ s’il reste en poste jusqu’au 30 septembre 2026, payable à la première date de paie suivant cette date, sauf paiement anticipé.
Les amendements prévoient également des réductions des indemnités si nécessaire pour éviter un excess parachute payment under Section 280G de l’Internal Revenue Code et imposent de nouvelles clauses de non-concurrence. Les dépôts renvoient aux textes complets des amendements en tant que pièces 10.1 et 10.2.
BankFinancial Corporation und ihre Banktochter haben die Arbeitsverträge von CEO F. Morgan Gasior und CFO Paul A. Cloutier im Zusammenhang mit einem Fusionsvertrag mit First Financial Bancorp geändert. Die Änderungen sehen vor, dass Herr Gasior bei Abschluss der Fusion ohne Angabe von Gründen gekündigt wird und ihm gemäß seinem geänderten Vertrag eine Abfindungszahlung zusteht. Herr Cloutier hat Anspruch auf eine Abfindungszahlung, wenn er bis zum 30. September 2026 beschäftigt bleibt; die Zahlung erfolgt an dem ersten folgenden Gehaltszahlungsdatum, sofern sie nicht früher geleistet wird.
Die Änderungen sehen außerdem Kürzungen der Abfindungszahlungen vor, soweit dies zur Vermeidung einer excess parachute payment under Section 280G des Internal Revenue Code erforderlich ist, und führen neue Wettbewerbsverbote ein. Die Einreichungen verweisen auf die vollständigen Änderungsdokumente als Anlagen 10.1 und 10.2.
FAQ
What changes did BankFinancial (BFIN) make to executive employment agreements?
Will the CEO receive a severance payment under the amended agreement?
Under what condition will the CFO be entitled to severance?
How does the filing address tax consequences for severance (Section 280G)?
Where can I find the full amendment texts for details?
