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Danette Garza

Director at Finward Bancorp
Board

About Danette Garza

Independent director since 2013; age 70. Credentials include J.D., M.B.A., and C.P.A.; currently an attorney at Austgen, Kuiper, Jasaitis, P.C. and previously Chief Executive Officer of Jack Gray Logistics Network, Inc. . Beneficial ownership totals 6,592 FNWD shares; components include an IRA, restricted shares, trustee holdings, and directly owned shares . She is designated an “audit committee financial expert” and is independent under Nasdaq standards .

Past Roles

OrganizationRoleTenureCommittees/Impact
Austgen, Kuiper, Jasaitis, P.C.Attorney (corporate, estate planning, elder law)OngoingLegal expertise supporting governance and risk oversight
Jack Gray Logistics Network, Inc.Chief Executive OfficerPastBusiness operations and finance experience; visibility into logistics and industrial markets
Jack Gray Transport, Inc. and affiliatesOwner2015–2023Involuntary Chapter 11 petitions filed May 2023; dismissed with prejudice June 2023 (reputational context)
Lake County Superior CourtProbate Commissioner2013–2017Fiduciary oversight; probate, guardianship, and trust matters

External Roles

OrganizationRoleTenureNotes
Austgen, Kuiper, Jasaitis, P.C.AttorneyOngoingActive law practice; no FNWD-related transactions disclosed
Jack Gray Logistics Network, Inc.Former CEOPastPrivate company role; no current public-company interlocks disclosed

Board Governance

  • Independence: All directors except the CEO are independent; Garza is independent. Non-management directors meet in executive session at least twice annually .
  • Attendance and engagement: Board met or acted 17 times in 2024; no director attended fewer than 80% of aggregate board and committee meetings. All directors in office attended the May 24, 2024 Annual Meeting .
  • Committee memberships and roles (2024; plus post-AGM composition changes):
    • Audit Committee: Member; designated as “audit committee financial expert” .
    • Compensation & Benefits Committee: Member (Chair transitions to Jennifer R. Evans post-AGM) .
    • Risk Management & Compliance Committee: Member (expanded roster post-AGM) .
  • Board structure: Independent Chairman (Joel Gorelick); no Lead Independent Director given separation of roles and independent chair .

Fixed Compensation

Component2024 AmountPolicy Detail
Annual cash retainer$28,917 Base retainer $28,500 for non-employee directors; independent Chair receives +$30,000; committee chair retainers: Risk ($3,500), Compensation ($3,000), others ($2,500)
Equity grant (annual)$0 (foregone for 2024) Policy contemplates ~$11,000 equity award; directors agreed to forego for 2024
Medical/Vision benefitsElected both (only outside director to do so) Offered only to directors active prior to Jan 1, 2024; Garza elected both; Gorelick elected vision only

Notes:

  • “All Other Compensation” for Garza was below disclosure threshold (<$10,000) in 2024 .
  • Total cash fees to non-employee directors in aggregate were $281,083 for 2024 .

Performance Compensation

ItemTerms2024 Outcome
Director equity award (policy)Annual grant of Bancorp common stock ≈$11,000; vests immediately upon grant; granted under 2015 Plan No director equity grants issued for 2024 per board decision

No performance metrics (TSR/ROA/ESG) are tied to director compensation; equity awards vest immediately and are not performance-based for directors .

Other Directorships & Interlocks

CompanyPublic/PrivateRoleInterlock/Conflict
None disclosedNo other public-company boards or interlocks disclosed in proxy

Expertise & Qualifications

  • Credentials: J.D., M.B.A., C.P.A.; designated audit committee financial expert .
  • Technical expertise: Finance/accounting, legal (corporate, estate, elder law), operations; risk oversight and compliance exposure via committee work .
  • Community/legal service: Probate Commissioner (2013–2017) .

Equity Ownership

MetricAmountDetail
Total beneficial ownership6,592 shares Under 1% of outstanding shares
Breakdown600 (IRA); 1,545 (restricted, voting but no dispositive power); 3,200 (trustee); 1,247 (solely owned) Restricted shares are counted toward ownership guidelines; director awards historically vest immediately
Ownership value vs guideline (12/31/2024)≈$185,282 (6,592 × $28.11) Meets $100,000 director stock ownership guideline threshold
Ownership value vs guideline (3/28/2025)≈$191,272 (6,592 × $29.10) Continues to meet guideline threshold
Pledging/HedgingProhibited by Insider Trading Policy (hedging, short sales, derivatives, pledging) Alignment-enhancing restriction

Governance Assessment

  • Strengths:

    • Deep finance/legal skill set with CPA/J.D./MBA; designated audit committee financial expert enhances Audit Committee effectiveness .
    • Active engagement across three key committees (Audit; Compensation; Risk & Compliance), indicating strong involvement in oversight of financial reporting, pay, and risk management .
    • Independence and compliance with director stock ownership guidelines support alignment with shareholders; policy also imposes stringent anti-hedging/anti-pledging restrictions .
    • Attendance meets board thresholds; board and committee activity levels were high in 2024 (Board 17; Audit 5; Compensation 6; Risk & Compliance 12) .
  • Considerations / potential red flags:

    • Involuntary bankruptcy petitions filed in May 2023 against companies she owned (Jack Gray Transport and affiliates) were dismissed with prejudice in June 2023; although resolved favorably, investors may view this as a historical reputational event requiring continued monitoring .
    • Medical/vision benefits for outside directors (Garza elected both) may be viewed by some governance observers as non-standard compared to typical director programs, though permitted for legacy directors and below disclosure thresholds in 2024 .
    • Related-party policy permits director loans on market terms with board approval; aggregate loans to directors/executives totaled ~$11.1M at 12/31/2024; no Garza-specific transaction is disclosed, but the policy warrants standard monitoring for conflicts .
  • Compensation structure signals:

    • 2024 director equity grants were foregone, tilting mix toward cash retainer; this reduces dilution and optics of equity timing but also limits equity-based alignment for that year .
    • Use of independent compensation consultant (Meridian) for executive and director pay determinations supports process integrity .
  • Overall: Garza’s credentials and committee footprint strengthen board oversight in audit, compensation, and risk. Ownership guideline compliance and anti-hedging policy enhance alignment. The Jack Gray petitions (dismissed) and legacy medical/vision benefits are minor governance optics to note, with no disclosed related-party transactions tied to her.

Additional governance policies:

  • Compensation recovery (clawback) policy adopted Nov 17, 2023 per Nasdaq Listing Rule 5608 and Exchange Act Section 10D .
  • Director stock ownership guidelines: $100,000 market value; 5-year compliance window; holding requirements on vested shares .