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C. Jimmy Chao

Chairman of the Board at FIRST COMMUNITY CORP /SC/
Board

About C. Jimmy Chao

C. Jimmy Chao, 69, is a Class III director and has served on First Community Corporation’s board since formation in 1994; he has been independent Chairman of the Board since May 19, 2021 after serving as Vice Chair from May 2020 to May 2021 . He is President and CEO of Chao and Associates, Inc., an engineering firm he founded in 1987; he holds an M.S. in Structural Engineering from the University of South Carolina and completed all Ph.D. coursework, maintains Professional Engineer licenses across multiple states, and is a member of ASCE, NSPE, and SAME . In 2009 he was named South Carolina Civil Engineer of the Year; he is adjunct faculty at USC’s Department of Civil and Environmental Engineering since 2011, and has held public oversight roles (Board of Registration for Professional Engineers and Surveyors—appointed 2017; Chair 2022–2024; current Southern Zone Assistant VP of NCEES) .

Past Roles

OrganizationRoleTenureCommittees/Impact
First Community CorporationDirector; Vice Chair; Chairman (independent)Director since 1994; Vice Chair May 2020–May 2021; Chairman since May 19, 2021Independent Board Chair structure separates Chair/CEO roles, enhancing oversight
Chao and Associates, Inc.President & CEOSince 1987Leads structural/civil engineering and land surveying firm; deep small-business market insight

External Roles

OrganizationRoleTenureCommittees/Impact
University of South CarolinaAdjunct Professor, Civil & Environmental EngineeringSince 2011Academic engagement; design review committee member
SC Board of Registration for Professional Engineers & SurveyorsBoard Member; ChairAppointed 2017; Chair 2022–2024Professional licensure oversight (public interest)
National Council of Examiners for Engineering and Surveying (NCEES)Southern Zone Assistant Vice PresidentCurrentNational standards leadership
Educational Foundation of Lexington School District OnePast ChairPrior to 2025Community education governance
Capital City Lake Murray Country Regional Tourism BoardPast ChairPrior to 2025Regional economic/tourism governance

Board Governance

  • Independence: The board determined Chao is independent under Nasdaq standards; a majority of FCCO’s directors are independent .
  • Leadership: FCCO intentionally separates CEO and Chair roles; Chao has served as independent Chairman since May 19, 2021, with rationale focused on governance effectiveness and management focus .
  • Attendance: The board met 12 times in 2024; each director attended at least 75% of combined board and committee meetings; seven directors attended the 2024 Annual Meeting in person .
  • Committees: 2024 committee membership lists do not include Chao (Audit Chair: Sosebee; members: Hollar, Jones, Kitchens; Compensation Chair: Brown; members: Layden, Reynolds, Snipe, Todd; Nominating Chair: Todd; members: Reynolds, Snipe, Sosebee) .
  • Risk oversight and ethics: Board maintains a Code of Business Conduct and Ethics; ongoing reexamination of leadership structures; insider trading policy pre-clearance requirements and restrictions on hedging, short sales, and pledging .

Fixed Compensation

ComponentAmountNotes
Chairman Retainer (2024)$14,500Annual cash retainer for Chairman
Per Board Meeting Fee (Chairman)$1,350Fee per board meeting for Chairman
Fees Earned or Paid in Cash (2024)$36,700Total cash fees for Chao in 2024
Stock Awards (Grant-Date Fair Value)$21,995Restricted stock grant valued per FASB ASC 718
Total 2024 Director Compensation$58,695Cash + equity; no options outstanding
Equity Grant (shares)1,224Granted Feb 20, 2024 to each non-employee director
Equity Grant (per-share value)$17.97Grant-date price; unvested at 12/31/2024; fully vested Jan 1, 2025

Performance Compensation

Metric CategoryStructureDisclosed Targets/MeasuresNotes
Director equity awardsTime-based restricted stockNone disclosed for directors1,224 RS shares granted 2/20/2024; vested 1/1/2025
Plan safeguardsGovernance featuresNo repricing; double-trigger vesting on CoC; no dividends on unvested performance awardsAnnual director award cap $140,000; independent committee administration
Options for directorsNot usedN/ANo outstanding stock options held by directors at 12/31/2024

The Restated Equity Incentive Plan prohibits repricing, requires fair-market exercise prices, mandates double-trigger vesting for change of control, and caps annual awards to non-employee directors at $140,000—positive governance signals for pay structure .

Other Directorships & Interlocks

  • Public company boards: None disclosed for Chao .
  • Committee roles at FCCO: Board Chairman; not listed on audit, compensation, or nominating committees for 2024 .
  • Interlocks/related-party ties: Proxy independence review cites specific related transactions for another director; no Item 404 related-person transactions are disclosed involving Chao; nominating committee annually reviews directors’ questionnaires for related-party transactions .

Expertise & Qualifications

  • Structural engineering executive with decades of operations experience; professional licensure across multiple states; industry honors (South Carolina Civil Engineer of the Year, 2009) .
  • Academic and regulatory governance roles (USC adjunct; SC licensure board chair; NCEES zone leadership) signaling technical oversight competence relevant to credit/operational risk contexts .
  • Board brings small-business market insight aligned with FCCO’s primary target segment .

Equity Ownership

CategoryShares/Units% OwnershipNotes
Common shares owned51,4641.29%Includes 42,983 shares held indirectly by Yuhjen Jane Chao Family Trust
Rights to acquire (deferred share units)48,510N/ADeferred director compensation units deliver stock within 30 days post board separation
2024 fees deferred$63,852N/AIncludes dividend allocations; accumulated units in 2024: 3,391; cumulative units since inception: 48,510
Shares outstanding basis7,681,600N/ABasis for % ownership calculation
  • Stock ownership guidelines: Legacy directors must own at least 10,000 shares; deferred units count toward compliance; directors may not sell stock until thresholds met; new directors phased requirements (1,000 immediate; 5,000 within five years; 10,000 to sell) .
  • Insider trading policy: Pre-clearance for trades; restrictions on hedging, short sales, and pledging company securities .

Say-on-Pay & Shareholder Feedback

ItemForAgainstAbstainBroker Non-Vote
2024 Say-on-Pay4,497,016150,12415,3691,235,862
  • 2024 director election (Class III): Chao received 4,272,427 For; 390,082 Withheld; 1,235,862 broker non-votes, indicating majority support with some withheld votes typical of routine refresh considerations .

Governance Assessment

  • Board effectiveness: Independent Chair with clear separation from management enhances oversight; Chao’s technical and regulatory credentials strengthen risk governance in a community bank context .
  • Independence & engagement: Affirmed independent; attendance at least 75% across directors; Chao not seated on key committees, which preserves Chair impartiality while independent committees handle audit/comp/nomination matters .
  • Alignment: Meaningful share ownership (51,464 shares) plus substantial deferred units (48,510) under a plan that delivers stock at board separation aligns incentives with long-term value; stock ownership guidelines and trading restrictions reinforce alignment and discipline .
  • Compensation risk signals: Modest cash retainer and time-based equity with robust plan safeguards (no repricing; double-trigger CoC; director award cap) limit pay-incentivized risk-taking; absence of options further reduces misalignment risk .
  • Conflicts/related-party exposure: No Item 404 related-party transactions disclosed for Chao; annual questionnaire-based review by independent nominating committee mitigates risk of undisclosed relationships .
  • Shareholder sentiment: Strong approval for say-on-pay; Chao’s re-election supported by a significant majority, though withheld votes are non-trivial and warrant continued monitoring of board refresh and independence optics .

RED FLAGS: None material disclosed specific to Chao (no pledging reported; no related-party transactions). Monitoring recommended for any future business dealings involving Chao and Associates with FCCO (not disclosed) and for sustained director ownership guideline compliance and attendance disclosure detail beyond the 75% threshold .