Prudential Bancorp, Inc. (NASDAQ:PBIP) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory
Arrangements of Certain Officers
(a)-(d) Not applicable.
(e) Effective June 19, 2019, Prudential Bank (the “Bank”), the wholly owned subsidiary of Prudential Bancorp, Inc. (the “Company”), entered into a Split-Dollar Endorsement Agreement (the “Agreement”) with Kevin Gallagher, Senior Vice President and Chief Lending Officer (the “Executive”). The Agreement provides that upon the Executive’s death while the Agreement is in force, the Executive’s beneficiary will receive an amount equal to the lesser of (i) two times the Executive’s annualized base salary at the date of death plus $100,000 reduced by any amount payable under the Bank’s group term life insurance plan or (ii) the Net Amount at Risk (as such term is defined in the Agreement) (the “Executive’s Interest”). The Bank will receive any amount of death benefits in excess of the Executive’s Interest. The Agreement may be terminated at any time by the Bank or the Executive and, in such event, the Bank will collect the cash surrender value or the death proceeds of the policies, as applicable, at the date of termination of the policy. The Agreement also will terminate upon termination of the Executive’s employment.
For additional information, reference is made to the Agreement which is included as Exhibit 10.1 hereto and which is incorporated herein by reference thereto. The foregoing description of the Agreement is qualified in its entirety by reference to the complete terms and conditions of the Agreement attached hereto as Exhibit 10.1.
(f) Not applicable.