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Theodore J. Aanensen

Director at Kearny Financial
Board

About Theodore J. Aanensen

Independent director of Kearny Financial Corp. (KRNY), age 80 as of June 30, 2025; first appointed to the Board in 1986; current term expires in 2026. Former Chairman of the Board of Kearny Bank (Jan 2000–Jan 2004) and Kearny Financial (Mar 2001–Jan 2004). Co‑owner and President (since 1982) of Aanensen’s, a luxury home remodeling and custom cabinetry company founded in 1951 in Kearny, NJ. Graduate of Upsala College; recognized for strong leadership, sales, and customer assessment skills, and long-standing knowledge of the bank’s industry and board governance practices.

Past Roles

OrganizationRoleTenureCommittees/Impact
Kearny BankChairman of the BoardJan 2000–Jan 2004Led board governance; contributed leadership and policy oversight.
Kearny Financial Corp.Chairman of the BoardMar 2001–Jan 2004Led holding company board; strengthened governance processes.
Aanensen’s (luxury home remodeling and custom cabinetry)Co‑Owner; PresidentPresident since 1982; company est. 195150+ years of business management experience; leadership, sales, customer assessment skills.

External Roles

OrganizationRoleTenureNotes
Aanensen’s (private company)Co‑Owner; PresidentSince 1982Privately held, not a public company directorship.
Other public company boardsCompany discloses: no directors currently serve on other public company boards.

Board Governance

  • Independence: Determined independent under Nasdaq rules.
  • Committee assignments:
    • Compensation Committee Chair.
    • Nominating & Corporate Governance Committee member.
  • Board attendance: Board held 18 meetings in FY2025; all directors attended >75% of Board/committee meetings for which they were eligible. Executive sessions: two in FY2025.
  • Board leadership: Separate Chair and CEO roles (Chair: John J. Mazur, Jr.; CEO: Craig L. Montanaro).
  • Director training/ethics: Ongoing director training; Code of Ethics covering conflicts of interest; anti‑hedging/anti‑pledging policy for directors and executive officers.

Fixed Compensation (Director)

Component (FY2025)Amount (USD)
Fees Earned or Paid in Cash$112,800
Stock Awards$0
Option Awards$0
Change in Pension Value$0
All Other Compensation (see breakdown)$32,259
Total$145,059

Breakdown of All Other Compensation (FY2025):

  • Health and long‑term care premiums: $23,749.
  • Bank‑owned life insurance (imputed income): $8,510.

Board/committee retainer structure (context for fees):

  • Quarterly retainer (non‑employee directors): $15,700 for Kearny Bank Board; $11,000 for Company Board. Audit & Compliance Committee: $1,562.50 member, $2,500 chair quarterly; Compensation Committee: $1,000 member, $1,500 chair quarterly; no fees for other committees.

Performance Compensation (Director)

ItemDetail
FY2025 equity grantsNone; no director stock awards granted in FY2025.
Outstanding options (as of 6/30/2025)100,000 vested stock options. (Strike/expiration not specified for directors in proxy.)
Performance metrics tied to director payNone disclosed for directors; compensation is retainer‑based with committee fees.

Other Directorships & Interlocks

  • Public boards: Company disclosure indicates no directors (including Mr. Aanensen) currently serve on other public company boards, reducing external interlock/conflict risk.

Expertise & Qualifications

  • 50+ years of business leadership; President/co‑owner of a specialty remodeling/manufacturing firm; prior Chair roles at KRNY/Kearny Bank. Brings leadership, sales, customer assessment, and broad industry/board governance understanding. Education: Upsala College.

Equity Ownership

Ownership Detail (as of Aug 22, 2025)Amount
Total beneficially owned shares246,677; less than 1% of outstanding shares.
Included: Stock options100,000 shares (exercisable within 60 days counted as beneficial).
Included: Spouse holdings11,529 shares (incl. 49 shares in spouse’s deposit reinvestment account).
Included: Trust for grandchild1,000 shares.
Pledged sharesNone; company discloses only CEO pledging 8,748 shares, with anti‑pledging policy for directors/executives.
HedgingProhibited for directors/executives under anti‑hedging policy.
Director stock ownership guidelinesRequired minimum: 3x annual cash retainer; directors comply with guidelines.

Governance Assessment

  • Strengths:

    • Independent status, long tenure, prior board chair experience; leads Compensation Committee and serves on Nominating & Corporate Governance (key levers for pay/governance quality).
    • Board structure separates Chair/CEO; strong attendance and regular executive sessions.
    • Use of independent compensation consultant (Pearl Meyer) with no conflicts; pay practices include clawback, stock ownership guidelines, anti‑hedging/pledging.
    • No related‑party transactions >$120,000; insider loans governed under standard terms and board‑approved with interested director abstaining.
  • Pay and alignment:

    • Director compensation is cash retainer plus committee fees with modest perquisites (health/long‑term care; life insurance imputed income); no new stock awards in FY2025; options held are vested legacy awards.
    • Company‑wide say‑on‑pay support for executives remained high (95.65% in Oct 2024), signaling broad shareholder confidence in Compensation Committee oversight.
  • RED FLAGS / Watch items:

    • Legacy director life insurance benefits (imputed income) persist for certain directors, including Mr. Aanensen; while modest, investors may scrutinize non‑cash perquisites.
    • Very long tenure (since 1986) can raise questions about independence from management over time; mitigated by formal independence determination, committee leadership, and anti‑hedging/pledging controls.

Overall, current disclosures suggest no material conflicts, solid committee leadership and governance hygiene, with alignment mechanisms (ownership guidelines, clawbacks) and high shareholder support for pay practices.