Agenda

*Agenda subject to change

7:00 a.m. – 8:00 a.m.
Registration + Breakfast
Sponsored by:  Kaplan Partners

8:00 a.m. – 8:15 a.m.
Welcoming Remarks
Al Dominick, President, Bank Director
Jack Milligan, Editor, Bank Director magazine
Al and Jack welcome attendees to Chicago and Bank Director’s annual Bank Executive & Board Compensation Conference with a look at the next two days’ agenda, one that focuses on how economic, technological and demographic trends are reshaping the financial community.

8:15 a.m. – 9:05 a.m.
The Innovation Requirement
John Corbett, President & CEO, CenterState Bank of Florida
Todd Leone, Partner, McLagan
Kevin M. O’Connor, President & CEO, Bridge Bancorp Inc. and Bridgehampton National Bank
Since the crisis of 2008, we have seen significant change within financial services; however, much of the action taken by market players has been reactionary and defensive.  Although a great deal has been said about the excesses and errors of the past, the current focus for banks, in particular, must be on the need to innovate or risk becoming stagnant and losing the ability to compete for exceptional talent.

9:05 a.m. – 9:55 a.m.
The Forces Shaping the Industry
Steven D. Hovde, President & CEO, Hovde Group, LLC
Compensation committees have the challenge of designing plans that reward performance in an environment where bank performance is being challenged.  This session will provide a broad overview of the forces that are shaping the industry’s earnings picture today and what to expect in 2015.

9:55 a.m. – 10:10 a.m.
Assembling the Best Team
Flynt Gallagher, President, Compensation Advisors a Meyer-Chatfield Affiliate
Mika Moser, Senior Vice President, Bank Director
The uncertainty about what the regulators really want, compounded by the specter of future legislation, has many hesitating to change their staffing plans at a time when it is most needed. During this interactive session, we pose a series of questions to attendees (utilizing an audience response system to provide real-time feedback) in order to identify how bankers feel about emerging compensation and hiring trends.

10:10 a.m. – 10:30 a.m.
Refreshment Break 

11:30 a.m. – 12:20 p.m.
Topic Breakouts (select one) 

Breakout I:  What’s Up With Clawbacks
Jim Bean, Principal, McLagan
Bev Wise, Chief Human Resources Officer, Administration, Susquehanna Bancshares, Inc.
As some begin to broaden their clawback policies to cover more executives, increase disclosures or add potential triggers, we look at what’s up with clawbacks today.

Breakout II:  Paying For Performance
Christian Chandler, Partner, Hogan Lovells US LLP
Shane Meredith, Senior Consultant, Meridian Compensation Partners, LLC
Daniel Rodda, Lead Consultant, Meridian Compensation Partners, LLC
Creating alignment between pay and performance is critical in today’s environment of executive pay scrutiny.  However, understanding how to assess the relationship and communicate it effectively can be challenging.  There are many different methodologies and perspectives that can be considered and the results can show different conclusions.  This session will layout different tools for assessing the relationship between pay and performance and using the results to improve the effectiveness of your executive pay program.

Breakout III:  Elvis Has Left The Building – When Your Top Talent Leaves
Stan Cornish, Executive Vice President & Chief Operating Officer, The Business Bank of St. Louis
Steve Marlow, Consulting Principal, Bank Compensation Consulting
Suzanne Walker, Counsel, Kilpatrick Townsend & Stockton LLP
How does it feel when a top performer walks in your office, resignation letter in hand?  During this breakout, we will explore some of the more strategic implementations and designs of benefit programs and their real life results.  Banking executives will give testimonials of how their programs work to retain their best people. 

12:20 p.m. – 1:30 p.m.
Lunch
Sponsored by:  Compensation Advisors a Meyer-Chatfield Affiliate 

1:30 p.m. – 2:20 p.m.
What Are the Skeletons in Your Compensation Closet?
Laura Hay, Managing Director, Pearl Meyer & Partners
Loreen A. LaGatta, Director of Human Resources, Union First Market Bankshares Corporation
John Roe, Head of Advisory and Client Services, ISS Corporate Services
Moderated by:  Al Dominick, President, Bank Director
Through legacy plans, infrequent reviews or changing circumstances, there could be unintended outcomes in your bank’s executive compensation plans.  Directors may not even be aware of the issues until it has significant ramifications for the bank and its executives.  During this session, we will identify areas where we commonly see unintended consequences that increase governance and/or retention risk and how to address them.

2:20 p.m. – 3:10 p.m.
You Think What?!?! – Point/Counterpoint Debate
Gayle Appelbaum, Principal, McLagan
Flynt Gallagher, President, Compensation Advisors a Meyer-Chatfield Affiliate
Eric Kracov, Partner, Kilpatrick Townsend & Stockton LLP
Donald L. Norman, Jr., Partner, Barack Ferrazzano Kirschbaum & Nagelberg LLP
In this fast-paced, interactive panel discussion, we solicit the opinions of consultants and attorneys on seven hot topics and ideas.  Once the panelists have weighed in on a statement, we open things up to all attendees, asking for people to agree or disagree with the statement made via an audience response keypad.  Real-time results follow the voting.

3:10 p.m. – 3:30 p.m.
Refreshment Break
Sponsored By:  Meridian Compensation Partners, LLC 

3:30 p.m. – 4:20 p.m.
Topic Breakouts (select one)

Breakout I:  The Regulatory Environment:  Where Are We Now 
Todd Leone, Partner, McLagan
Chris Richter, Director, McLagan 
Banks need to address the fact that the industry has changed and a new pay model must accompany the new economic and business models they are pursuing.

Breakout II:  Time to Talk Comp:  Coming Out of TARP & Troubled Conditions
Andrew K. Strimaitis, Partner, Barack Ferrazzano Kirschbaum & Nagelberg LLP
Designed for those banks coming out of TARP & troubled conditions, we look at how to get back to thinking proactively about compensation, especially if you haven’t had to deal with executives on difficult issues in maybe 5 or 6 years.

Breakout III:  Getting the Most Out of Your Peer Group
Greg Swanson, Vice President, Pearl Meyer & Partners
Pamela J. Taylor, SVP, Human Resources, HomeStreet Bank
Establishing the competitive market for executive pay levels is just one purpose of peer group information – there is so much more.  You will leave this session with new and innovative approaches for evaluating peer group practices to inform your strategic compensation decisions. 

4:25 p.m. – 5:15 p.m.
Meeting Evolving Expectations
Susan O’Donnell, Partner, Meridian Compensation Partners, LLC
Rudi Hall Thompson, Executive Vice President & Chief Human Resources Officer, Hancock Bank and Whitney Bank
Moderated by:  Jack Milligan, Editor, Bank Director magazine
Designing a compensation program that meets your needs without having to be revamped every time a new rule comes out is a challenge in today’s environment of continuously evolving regulation and scrutiny.  To wrap up the first day’s conversations, we juxtapose regulatory expectations and shareholder expectations with examples of incentive plans being rolled out at larger institutions.  From metrics to payout caps, reduction in stock option use and other pay practices, we shine a light on the various opportunities a bank’s compensation committee and HR team have available.

5:15 p.m. – 5:20 p.m.
Closing Remarks
Al Dominick, President, Bank Director 

5:20 p.m. – 6:30 p.m.
Networking Cocktail Reception
Sponsored by:  Hovde Group, LLC

7:00 a.m. – 8:00 a.m.
Breakfast
Sponsored by:  Bank Compensation Consulting 

8:15 a.m. – 9:05 a.m.
Skill Sets For The Next Generation CEO
William H. W. Crawford, IV, CEO, United Bank & United Financial Bancorp, Inc.
James F. Deutsch, Managing Partner, Patriot Financial Partners, L.P.
Alan Kaplan, Founder & CEO, Kaplan Partners
For boards and CEOs that accept the premise that “people are our most important asset,” investing in the future leadership of the institution should come naturally.  As many think about what kind of bank they want to run, this session introduces various skill sets that will be needed in the future. 

9:15 a.m. – 10:05 a.m.
Topic Breakouts (select one) 

Breakout I:  Succession Planning:  Protecting Your Bank’s Future
Michael L. Kubacki, Executive Chairman, Lake City Bank
Donald L. Norman, Jr., Partner, Barack Ferrazzano Kirschbaum & Nagelberg LLP
Kristine Oliver, Managing Director, Pearl Meyer & Partners
A bank’s leadership team helps define its strategic vision and long-term, sustained success.  Therefore, it is critical that directors and management work together to identify, develop and retain their internal pipeline of talent.  This breakout session provides best practices for successful succession planning which can be incorporated into a framework which banks can use in the ongoing evaluation of their CEO and leadership succession strategy. 

Breakout II:  Board Succession & Compensation Planning
Gayle Appelbaum, Principal, McLagan
Eric Kracov, Partner, Kilpatrick Townsend & Stockton LLP
In this breakout session, we tackle the fundamental issues and suggestions specific to board succession planning.

Breakout III:  Linking Executive and Director Compensation to Shareholder Interests through Long-Term Incentives
Mike Blanchard, CEO, Blanchard Consulting Group
Matt Brei, SVP & Partner, Blanchard Consulting Group
Linking a component of executive and director compensation to shareholders and the long-term performance of your bank is critical in structuring a balanced compensation package.  As part of this session, we will review current trends in equity compensation including different types of equity (real vs. synthetic), performance-based programs, vesting provisions and director grants.

10:05 a.m. – 10:25 a.m.
Refreshment Break 

10:25 a.m. – 11:15 a.m.
Topic Breakouts (select one)

Breakout I:  How BOLI (Bank Owned Life Insurance) Can Be Used to Reduce Interest Rate Risk
James Calla, National Sales Director, Meyer-Chatfield
BOLI is an attractive asset choice because it can be used as an investment purchase and vehicle to insure key personnel. Banks using BOLI can also mitigate losses in the investment portfolio with income statement neutral results.  Takeaways include how higher earnings from BOLI can be used to:

• Help offset the rising cost of employee benefits through tax-deferred income from BOLI assets
• Increase a bank’s earnings, increase capital and increase shareholder value
• Finance Non-Qualified Deferred Compensation plans for key executives
• Help diversify the bank’s balance sheet by investing 2-3% of its assets in a BOLI policy

Breakout II:  One Degree of Separation – The Connection Between Your Talent & Your Customer
Elden Maxwell, Vice President & Global Head of Talent Management, Sutherland Global Services
Banking customer loyalty has dropped considerably in the past few years, and there is a perception that banks are just out to make a buck.  Retention of those individuals who represent the face and voice of the organization to your customers remains critical to your bank’s success.  Even in an age of digital banking, that personal relationship that your customer has with the folks in your branch and in your call center can still be the key factor for keeping your customers from moving to alternative financial services providers. 

Breakout III:  M&A and Executive Compensation: Dealing with the Issues
Steven D. Hovde, President & CEO, Hovde Group, LLC
The HR & compensation considerations prior to an acquisition are considerable.  Compensation plans for senior executives – along with change-in-control agreements – can have a material impact on deal pricing, so now is the time for potential sellers to review those contracts.  This session will focus on what to look for and discuss.

11:25 a.m. – 11:45 a.m.
Bringing It All Together
Jack Milligan, Editor, Bank Director magazine
Naomi Snyder, Managing Editor, Bank Director magazine
To wrap up this year’s conference, Bank Director’s Editor, Jack Milligan, and Managing Editor, Naomi Snyder, share their biggest takeaways from the peer exchange conversations on Monday as well as those from both days at the conference.

11:45 a.m. – 12:00 p.m.
Closing Remarks
Jack Milligan, Editor, Bank Director magazine