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Paul Ho-Sing-Loy

Executive Vice President and Chief Information Officer at MidWestOne Financial Group
Executive

About Paul Ho-Sing-Loy

Paul A. Ho-Sing-Loy, 64, is Executive Vice President & Chief Information Officer of MidWestOne Financial Group, Inc. (MOFG) and MidWestOne Bank; he joined on June 3, 2024 after over 30 years in financial services technology, including EVP/CIO at Lakeland Bank (NJ), SVP Business Solutions at Associated Bank, and divisional CTO roles at Bank of America and Wells Fargo; he holds a Bachelor’s in Computer Science from Cornell University . Company performance in 2024 featured above-target core EPS and core ROATCE incentive results (127% and 126% of target) with efficiency ratio below target (83%), and pay-versus-performance shows 2024 TSR at $96.4 on an initial $100, net loss of $60.3 million, and Company-selected measure diluted EPS of ($3.54) .

Past Roles

OrganizationRoleYearsStrategic Impact
Lakeland Bank (NJ)Executive Vice President, Chief Information OfficerLed enterprise IT strategy; banking technology modernization
Associated BankSenior Vice President, Business SolutionsDrove technology assessment and vendor management, aligned to operations
Bank of AmericaDivisional Chief Technology OfficerOversaw divisional technology; large-bank platform governance
Wells Fargo BankDivisional Chief Technology OfficerManaged divisional tech initiatives; risk and vendor oversight

External Roles

No public company directorships or external board roles disclosed for Ho-Sing-Loy .

Fixed Compensation

Metric20242025
Base Salary ($)$320,000 $326,400
Target Bonus (% of Salary)40% 40%
Actual Annual Cash Incentive ($)$80,043 (pro-rated from 6/3/2024)
All Other Compensation ($)$7,266 (401(k) match)
PerquisitesNo auto stipend (excluded for Ho-Sing-Loy)

Performance Compensation

Annual Cash Incentive (2024 design and payout)

MetricWeightingTargetActual Payout (% of Target)Vesting/Payment
Core EPS20% (5 equally-weighted goals; 3 financial=60%) Not disclosed127% Cash, paid in 2025
Core ROATCE20% Not disclosed126% Cash, paid in 2025
Efficiency Ratio20% Not disclosed83% Cash, paid in 2025
Individual Goal #1 (technology assessment)20% Not disclosed100% Cash, paid in 2025
Individual Goal #2 (vendor management)20% Not disclosed100% Cash, paid in 2025
Total Payout107.2% of target (pro-rated) Cash

Design notes: Threshold 50% of target; maximum 150%; linear interpolation between levels .

Long-Term Equity Incentives

Award TypeGrant DateUnits / ValueVesting SchedulePerformance Metrics / Notes
RSU8/15/20241,865 units; $50,019 grant-date value 1/3 on 8/15/2025, 8/15/2026, 8/15/2027 Time-based; retention-focused
PSU (2025)2/2025 approval$75,000 at target (units not disclosed) Vests after 3-year period3-year cumulative core diluted EPS and 3-year ROATCE, equally weighted; 50%–150% payout range; Committee may adjust for extraordinary events
RSU (2025)2/2025 approval$50,000 1/3 annually over 3 yearsTime-based; retention
OptionsNot grantedCompany does not currently grant options or SARs

PSU context: 2022–2024 PSU cycle certified at 0% payout, reinforcing performance gating .

Equity Ownership & Alignment

Ownership ElementDetail
Direct beneficial ownership2,015 shares; <1% of class
Unvested RSUs1,865 units; $54,309 market value at $29.12 close on 12/31/2024
Pledged sharesNone disclosed for Ho-Sing-Loy
Ownership guidelinesNEOs: 3x base salary (includes unvested shares); 50% retention until compliant; all NEOs compliant as of 12/31/2024
Anti-hedgingHedging prohibited for directors/officers/employees
ClawbackRobust clawback compliant with Rule 10D-1; amended Aug 2023
Plan capacity532,068 shares available under 2023 Equity Incentive Plan at 12/31/2024

Employment Terms

TermDetail
Employment start dateJune 3, 2024
Current roleExecutive Vice President & Chief Information Officer
Agreement termThrough Dec 31, 2025; auto-renews one year annually each Jan 1 unless nonrenewed; two-year tail post-change-in-control
Severance (no CIC)100% of then-current base salary; paid over 12 months
Severance (CIC, double trigger)200% of Base Compensation (greater of current salary or pre-CIC salary + prior-year incentive); lump sum
Non-compete / Non-solicit15 months post-termination (vs. 18 months for CEO)
COBRA continuationEmployee-rate premiums; incremental monthly cost at 12/31/2024: $565.40
PerquisitesNo monthly auto stipend (stipend applies to CEO/President/CFO only)

Potential Payments (as of 12/31/2024 assumptions)

TriggerCash SeveranceRSUs VestPSUs VestTotal
Involuntary Termination (no CIC)$320,000 $320,000
Involuntary Termination in CIC$800,086 $54,309 $854,395
Disability or Death$54,309 $54,309

Notes: Awards accelerate per plan terms upon death/disability; CIC treatment for PSUs differs by plan vintage; 280G cutback applies (no tax gross-ups) .

Change-of-Control Treatment (Merger with Nicolet Bankshares announced Oct 23, 2025)

  • Each outstanding MOFG RSU will fully vest, be canceled and convert into Nicolet (NIC) shares based on the exchange ratio; each MOFG PSU will fully vest and convert into NIC shares based on the higher of target or actual performance through closing, plus cash for accrued dividend equivalents .
  • Shareholder consideration: 0.3175 NIC shares per MOFG share, in an all-stock transaction valued at ~$864 million as of 10/22/2025 pricing .

Investment Implications

  • Pay-for-performance alignment: 2024 cash incentive payout for Ho-Sing-Loy at 107.2% (pro-rated), reflecting above-target core EPS/ROATCE and below-target efficiency ratio; long-term PSUs use stringent 3-year EPS/ROATCE metrics, with the prior 2022–2024 cycle paying 0%—indicative of disciplined performance gating .
  • Vesting and potential selling pressure: RSU tranche vesting on 8/15/2025–2027 creates known supply dates; merger terms accelerate vesting and convert RSUs/PSUs into NIC shares at closing, potentially increasing short-term insider liquidity post-transaction .
  • Retention and transition risk: Employment agreement provides 200% of Base Compensation upon double-trigger CIC termination and 15-month non-compete; severance and COBRA terms mitigate exit friction but maintain post-termination restraints .
  • Alignment safeguards: Anti-hedging policy, robust clawback, and ownership guidelines (3x salary, retention until compliance) support shareholder alignment; no options granted reduces repricing risk; no pledging disclosed for Ho-Sing-Loy .
  • Shareholder stance: 2024 say‑on‑pay approval at 95.1% indicates investor support for compensation practices and governance framework .