Matthew Cassell
About Matthew Cassell
Matthew C. Cassell is the Chief Banking Officer of First Western Trust Bank (First Western Financial, Inc.; MYFW) and, effective June 5, 2025, serves as Chief Revenue Officer of the Bank; he is 49 years old, joined the company in May 2020 as President of Commercial Banking, and was promoted to Chief Banking Officer in February 2023 . He holds a Bachelor’s Degree from Colorado Christian University with an emphasis in Management and Marketing and has 25 years of banking leadership experience across local, regional, and national banks, including Colorado President at Simmons Bank . Performance contributions highlighted by the Compensation Committee include reducing the loan-to-deposit ratio to below 96 while improving Net Interest Margin, strengthening sales processes/tools, and hiring key leadership—aligning his incentives to operating efficiency and revenue growth . 2024 pay-for-performance outcomes: Short-Term Incentive (STI) achieved 62% ($66,900 vs. $108,200 target); equity awards were granted as RSUs and PSUs with PSU performance tied to average annual Operating EPS; the 2022 PSU cycle paid 0%, reinforcing performance sensitivity .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Simmons Bank | Colorado President | Not disclosed | Led Colorado market; prior state/regional leadership roles across banking over ~25 years |
| First Western Trust Bank | President, Commercial Banking | May 2020–Feb 2023 | Oversaw strategy, execution and product development across Commercial & Private Banking, Treasury Mgmt, Retirement Services, Mortgage Banking |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| None disclosed | — | — | No Item 404 related-party transactions; employment agreement permits board service with CEO consent but no external directorships are disclosed |
Fixed Compensation
| Metric | 2023 | 2024 |
|---|---|---|
| Base Salary ($) | $295,188 | $306,750 |
| All Other Compensation ($) | $10,910 | $12,190 |
| STI Opportunity (Chief Banking Officer) | Threshold | Target | Maximum |
|---|---|---|---|
| % of Base Salary | 18% | 35% | 70% |
Notes:
- 2024 annualized base salary change vs. 2023: +4% .
- Perquisites detail (2024): 401(k) match $10,350, HSA match $1,000, cell phone $840 .
Performance Compensation
Annual Cash Incentive (STI) – Structure and Outcomes
| 2024 STI Metrics (CBO) | Weighting |
|---|---|
| Gross Revenues | 30% |
| Operating EPS | 40% |
| Operating PTPPNI | 0% |
| PTIM Fees | 0% |
| Qualitative Factors | 30% |
| 2024 STI Outcome | Value |
|---|---|
| Target ($) | $108,200 |
| Achieved ($) | $66,900 |
| Achievement (%) | 62% |
| Non-Equity Incentive Plan Compensation Reported (SCT) | $58,000 |
The proxy discloses STI “amount achieved” of $66,900 (62% of $108,200 target) and separately reports $58,000 under “Non-Equity Incentive Plan Compensation”; the difference likely reflects plan/reporting timing, but the company provides both figures .
Long-Term Equity Incentives – Grants and Vesting
| 2024 Stock-Based Awards (Granted for 2023 performance) | Count | Vesting |
|---|---|---|
| Time-Based RSUs (grant date May 1, 2024) | 1,769 | 20% per year over 5 years, service-based |
| Performance-Based PSUs (Target) | 1,769 | 3-year performance period (avg annual Operating EPS), then 2-year service; payout 0–150% of target |
| PSU Performance Cycles | Performance Period Start | Performance Period End | Vesting Date | Achievement % |
|---|---|---|---|---|
| 2020 PSU Cycle (regular) | 1/1/2020 | 12/31/2022 | 12/31/2024 | 150% |
| 2020 PSU Cycle (special grant) | 1/1/2020 | 12/31/2022 | 11/18/2023 & 11/18/2025 | 114% |
| 2021 PSU Cycle | 1/1/2021 | 12/31/2023 | 12/31/2025 | 55% |
| 2022 PSU Cycle | 1/1/2022 | 12/31/2024 | 12/31/2026 | 0% |
| 2023 PSU Cycle (forecast) | 1/1/2023 | 12/31/2025 | 12/31/2027 | 0% (est.) |
| 2024 PSU Cycle (forecast) | 1/1/2024 | 12/31/2026 | 12/31/2028 | 100% (est.) |
| 2022 PSU Cycle – Cassell | Target PSUs Granted | Actual PSUs Vested |
|---|---|---|
| Outcome | 540 | 0 |
No stock options were granted to NEOs in 2024, reducing volatility exposure from option overhang; awards emphasized RSUs and PSUs .
Equity Ownership & Alignment
| Ownership Detail (as of April 11, 2025) | Amount |
|---|---|
| Total Beneficial Ownership (shares) | 8,815 (<1%) |
| Direct/Common Shares Held | 7,911 |
| RSUs Issuable within 60 days | 904 |
| Options Exercisable within 60 days | None disclosed for Cassell |
| Hedging/Pledging | Prohibited for directors/executives under insider trading policy; no margin accounts, no derivatives |
| Stock Ownership Guideline | Other Senior Executive Officers: 2× base salary; 5 years to comply; post-5-year sale limit to 50% of net shares if not met |
Policy framework (no hedging/pledging and ownership guidelines with sale limits) reduces insider selling pressure and promotes long-term alignment, though individual compliance status is not disclosed .
Employment Terms
| Term | Detail |
|---|---|
| Agreement Effective Date | June 22, 2023 |
| Role & Reporting | Chief Banking Officer, reporting to CEO |
| Initial Term & Renewal | Expires Dec 31, 2023; auto-renews for successive 1-year terms unless 90-day notice (evergreen) |
| Base Salary (Agreement) | At least $300,000; annual review for market changes |
| 2024 Base Salary | $306,750 |
| STI Eligibility | Eligible under First Western Financial, Inc. Incentive Plan for Senior Executive Officers |
| Benefits | Eligible for LTIP, savings/retirement, welfare benefits |
| Termination—Cause or Resignation w/o Good Reason | Pay accrued salary, prior-year earned bonus, other accrued benefits |
| Death/Disability | Accrued salary, other accrued benefits, pro-rata annual bonus, plus 3 months’ salary |
| Termination—Without Cause or Resignation for Good Reason | One year’s salary, accrued benefits, COBRA; pro-rated portion of each outstanding unvested equity award vests |
| Change-in-Control (Double Trigger) | If terminated w/o Cause or resigns for Good Reason within 24 months post-CIC: 2× base amount cash, accrued benefits, COBRA; all equity fully vests; performance conditions deemed at “target” |
| 280G Treatment | Cutback to avoid 4999 excise tax (no tax gross-up) |
| Restrictive Covenants | Non-compete & non-solicit for 365 days post-termination |
| Clawback Policy | Compliant with Nasdaq/Exchange Act 10D; recoup excess incentive comp for restatement over 3 prior fiscal years, subject to exceptions |
Investment Implications
- Pay-for-performance alignment: Cassell’s 2024 STI paid 62% of target and his 2022 PSUs vested at 0%, indicating the committee’s willingness to reduce payouts when Operating EPS and other objectives are not met; future PSU cycles hinge on Operating EPS trajectory (2024 cycle currently forecast at 100%) .
- Retention risk vs. alignment: Equity mix (RSUs five-year vesting; PSUs with multi-year performance plus service tail) and an evergreen contract reduce near-term departure risk; however, CIC terms provide full vesting and 2× cash, creating potential retention pressure around strategic transactions (double-trigger mitigates windfall risk) .
- Selling pressure: Prohibition on hedging/pledging and post-5-year sale limits for executives not meeting ownership guidelines dampen forced selling; Cassell’s beneficial ownership (<1%) and absence of options reduce near-term liquidity-driven sales signals .
- Execution risk: Contributions to balance-sheet efficiency (LDR <96, NIM improvement) are positives, but the 2022 PSU miss underscores sensitivity to earnings quality and growth consistency; monitoring 2024–2026 Operating EPS vs. PSU targets is key for forward incentives and potential share settlement supply .
- Contract economics: Standard severance (1× salary) and double-trigger CIC (2× base amount with target-level performance for equity) plus 280G cutback reflect conservative governance posture; limited perquisites and clawback policy further align with shareholder-friendly practices .