Private Bancorp of America (PBAM) awards CEO performance-based option grant
Rhea-AI Filing Summary
Private Bancorp of America, Inc. reported a new equity incentive award for its President and Chief Executive Officer, Richard L. Sowers, under an existing employment agreement. On August 4, 2026, Sowers received a stock option to purchase 30,000 shares of common stock under the company’s 2026 Omnibus Equity Incentive Plan. The option has an exercise price of $85.65, equal to the closing stock price on the grant date, and a term ending on the tenth anniversary of the grant date. The option becomes exercisable when the company’s 2028 audited financial statements are delivered, subject to achievement of specified performance goals in the award agreement and Sowers’ continued employment with CalPrivate Bank through the vesting date. The award is also subject to the company’s standard forfeiture and clawback provisions for incentive compensation.
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8-K Event Classification
2 items: 5.02, 9.01
2 items
Item 5.02
Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers
Governance
Key personnel changes including departures, elections, or appointments of directors and executive officers.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Option Shares Granted: 30,000 shares
Exercise Price: $85.65
Option Term: Ten years
+2 more
5 metrics
Option Shares Granted
30,000 shares
Stock option award to CEO Richard L. Sowers on August 4, 2026
Exercise Price
$85.65
Per-share exercise price equal to closing stock price on grant date
Option Term
Ten years
Option terminates on the tenth anniversary of the August 4, 2026 grant date
Award Plan Year
2026
Grant made under Private Bancorp of America, Inc. 2026 Omnibus Equity Incentive Plan
Performance Period Endpoint
2028
Option vests upon delivery of 2028 audited financial statements, subject to goals
Key Terms
Omnibus Equity Incentive Plan, exercise price, clawback, performance goals
4 terms
Omnibus Equity Incentive Plan financial
"under the Private Bancorp of America, Inc. 2026 Omnibus Equity Incentive Plan"
A single, company-wide plan that lets a business grant different kinds of stock-based pay — such as stock options, shares that vest over time, or other equity awards — to employees, directors and consultants. It matters to investors because it determines how much of the company can be paid out in shares, how quickly those shares enter the market, and how well employees are motivated to grow the business; think of it as a toolbox or menu for paying with ownership stakes that can dilute existing holders and affect company performance.
exercise price financial
"The Option has an exercise price of $85.65, the closing price"
The exercise price is the fixed amount at which you can buy or sell an asset, like a stock, when using an options contract. It matters because it helps determine whether exercising the option will be profitable or not, depending on the current market price. Think of it as the set price you agree on today to buy or sell later.
clawback financial
"The Award will be subject to standard Company provisions for the forfeiture and clawback"
A clawback is a contractual or legal right to recover money that was already paid out—often executive bonuses, incentives, or erroneous payments—when certain conditions change, such as fraud, accounting mistakes, or failure to meet performance targets. It matters to investors because clawbacks protect shareholder value by discouraging risky or misleading behavior, can affect future cash flow and executive incentives, and signal stronger governance, much like a store recalling a refund after discovering it was issued in error.
performance goals financial
"subject to the achievement of the relevant performance goals as set forth"
Performance goals are specific, measurable targets a company sets for financial results, operational milestones, or individual roles—examples include revenue, profit, production levels, or completion of a project. They matter to investors because meeting or missing these targets influences management pay, future forecasts, deal-related payments and market confidence; think of them as a scoreboard that helps outsiders judge whether the business is performing as promised.
FAQ
What executive compensation change did PBAM disclose in this 8-K?
Private Bancorp of America, Inc. granted CEO Richard L. Sowers a stock option for 30,000 shares. The option was issued under the 2026 Omnibus Equity Incentive Plan with specific performance and service-based vesting conditions tied to 2028 audited financial statements.
What is the exercise price of Richard L. Sowers’ new stock option at PBAM?
The stock option granted to CEO Richard L. Sowers has an exercise price of $85.65 per share. This price equals the closing price of Private Bancorp of America’s common stock on the August 4, 2026 grant date.
When will the new PBAM CEO stock option become exercisable?
The option will become exercisable when Private Bancorp of America’s 2028 audited financial statements are delivered. Vesting is also contingent on achieving specified performance goals and Sowers’ continued employment through the vesting date.
What is the term of Richard L. Sowers’ PBAM stock option granted in August 2026?
The stock option granted to CEO Richard L. Sowers on August 4, 2026 terminates on the tenth anniversary of the grant date. After that date, any unexercised portion of the option will expire under the award’s terms.
Does the PBAM CEO stock option include clawback or forfeiture provisions?
Yes. The CEO’s stock option award is subject to Private Bancorp of America’s standard forfeiture and clawback provisions. These provisions allow the company to recoup or cancel incentive compensation under specified circumstances described in its governing policies.
AI-generated analysis. How Rhea-AI works. Not financial advice.
