Steele Bancorp Inc. (STLE) Updates Executive Retirement Agreements

What Happened
Steele Bancorp’s subsidiary, Central Penn Bank & Trust, entered into a new supplemental executive retirement agreement with J. Todd Troxell and amended existing supplemental retirement agreements for CEO Jeffrey J. Kapsar, CFO Thomas C. Graver, Jr., and COO Thomas L. Eberhart. The Bank’s Board approved the Agreement and Amendments on July 16, 2026; the documents are dated August 28, 2026. The changes increase the annual retirement benefits these executives will receive and include related provisions for early termination, disability, death and certain change-in-control events.

Key Details

• New agreement for J. Todd Troxell (Corporate Secretary; Senior EVP & Chief Banking Officer): normal retirement benefit of $45,600 per year, payable in equal monthly installments over 15 years starting the month after he reaches age 65. Benefits vest over time and include early termination, disability, death and change-in-control provisions; payments can be forfeited for violating non‑compete/solicitation covenants or if terminated for cause.
• Amendments for other executives (normal retirement benefits increased): Jeffrey J. Kapsar (President & CEO) — from $114,000 to $157,000 per year; Thomas C. Graver, Jr. (Senior EVP & CFO) — from $71,000 to $117,000 per year; Thomas L. Eberhart (Senior EVP & COO) — from $55,000 to $79,000 per year. Corresponding changes were made to early termination, disability, death and change-in-control vesting schedules.
• Payment timing: normal and early termination benefits generally paid over a 15‑year period in equal monthly installments; death and certain other provisions specify lump-sum or continuing payments depending on timing.

Why It Matters
These amendments increase Steele Bancorp’s contractual long‑term compensation obligations to top executives, which could affect future cash outflows or pension-related liabilities as those benefits vest and become payable. The changes are retention- and succession-oriented (vesting over time and including change-in-control protections), signaling the bank’s intent to secure its senior leadership. The filing does not indicate immediate cash payments; investors should note the potential for higher future expenses and watch for related disclosures in periodic reports.