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    Katie A. Lorenson

    President and Chief Executive Officer at Alerus Financial Corp
    Board
    Since 2021
    Age
    44 years
    Tenure
    Joined ALRS in December 2017 as Executive Vice President and Chief Financial Officer, and was promoted to President and Chief Executive Officer in 2021.

    Also at Alerus Financial Corp

    DEC
    Daniel E. Coughlin
    Director and Executive Chairman
    AAV
    Alan A. Villalon
    Executive Vice President and Chief Financial Officer
    FRW
    Forrest R. Wilson
    Executive Vice President and Chief Retirement Services Officer

    About

    Katie A. Lorenson is a seasoned financial executive with a robust professional background in financial services and strategic leadership.

    She has held key roles earlier in her career, including positions at RSM, serving as Manager on the Financial Institutions Team, and as Chief Financial Officer at both Central Bancshares, Inc. and MidWest One Financial Group, Inc..

    At ALRS, she joined in December 2017 as Executive Vice President and Chief Financial Officer and was subsequently promoted to President and Chief Executive Officer in 2021, where she now oversees multiple financial service areas including retirement, wealth management, mortgage, and banking products.

    $ALRS Performance Under Katie A. Lorenson

    Past Roles

    OrganizationRoleDate RangeDetails
    ALRSExecutive Vice President and Chief Financial OfficerDec 2017 - 2021Held role before promotion to President & CEO
    ALRSLeader of Retirement, Wealth Management, Mortgage & Banking Product Areas2020Assumed leadership over key product areas preceding CEO appointment
    MidWestOne Financial Group, Inc.Chief Financial OfficerN/AServed as CFO following acquisition of Central Bancshares in 2015
    Central Bancshares, Inc.Chief Financial OfficerN/AHeld the CFO role prior to its acquisition by MidWestOne Financial Group
    RSM (formerly McGladrey & Pullen)Manager on the Financial Institutions TeamN/AWorked on the Financial Institutions Team

    Fixed Compensation

    Data from  FY 2024
    Component NameAmountPayment ScheduleAdditional Details
    Base Salary$600,000AnnualReflects a 9% increase from 2023; annual base salary for 2024
    Stock Awards - Time-Based$144,0003-year vesting6,594 RSUs granted on February 27, 2024; vesting on February 27, 2027; grant date fair value of $21.84 per share under the 2019 Equity Incentive Plan
    All Other Compensation$36,340Regular PaymentIncludes perquisites of $10,465, Company 401(k) Match of $15,525, and ESOP contributions of $10,350

    Performance Compensation

    Data from  FY 2024

    Bonus Component

    MetricThresholdTargetMaximumWeightActual Results
    Adjusted Net Income (ANI)$23.733 million$27.921 million$32.109 million50%$27.955 million
    Adjusted Total Revenue$169.304 million$199.181 million$229.058 million25%$218.035 million
    Return on Equity (ROE)6.10%7.18%8.62%25%7.03%
    • Evaluation Period: Calendar year 2024
    • Bonus Achievement: 106.0% of target, adjusted to 104.0%
    • Target Bonus Amount: $330,000
    • Bonus Paid: $343,200

    Performance-Based RSUs

    DetailValue
    Grant DateFebruary 27, 2024
    Grant Date Fair Value$216,000
    Grant Date Stock Price$21.84 per share
    Threshold Shares4,945
    Target Shares9,890
    Maximum Shares14,835
    Vesting ScheduleVesting based on performance over a 3-year period (January 1, 2024 – December 31, 2026) with vesting on February 27, 2027; subject to meeting performance targets

    Summary

    The performance compensation for 2024 includes a Bonus Component based on key financial metrics (Adjusted Net Income, Adjusted Total Revenue, and ROE) with specific thresholds, targets, maximums, and weightings, resulting in a bonus payout of $343,200. Additionally, the Performance-Based RSUs are granted with defined share thresholds and vesting conditions over a three-year performance period, supporting alignment with long-term company performance and shareholder interests.