Min J. Kim
About Min J. Kim
Min J. Kim is President and Chief Executive Officer of OP Bancorp and Open Bank and has served on the Board since April 2010; she is 65 and holds a BS in Finance from the University of Southern California . She has over 39 years of banking experience across Korean-American community banks, including prior CEO and President roles at Nara Bancorp/Nara Bank and executive roles at Hanmi Bank . OP Bancorp’s “Pay Versus Performance” shows CAP to PEO tracking operating outcomes and a $100 TSR cohort value of 144/98/87 for 2024/2023/2022 respectively, with ROA 0.92%, ROE 10.68%, and efficiency ratio 61.19% in 2024 . Board leadership is structurally separated (independent Chair Brian Choi) which mitigates CEO/Chair dual-role risks; Kim is CEO and director but not Chair .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| OP Bancorp / Open Bank | President & CEO; Director | Since Apr 2010 | Led strategic growth in Korean-American banking; oversight of all facets of company operations and strategy . |
| Nara Bancorp / Nara Bank (now Bank of Hope/Hope Bancorp Inc) | CEO & President | ~2006–2009 (3.5 years from 2006) | Led turnaround/growth at a leading Korean-American bank . |
| Nara Bancorp / Nara Bank | EVP & COO; EVP & CCO; SVP & Chief Credit Administrator | 1996–Mar 2006 | Built credit/operations infrastructure and risk discipline . |
| Hanmi Bank | Vice President & Branch Manager | 1985–1995 | Front-line growth and client franchise building in LA market . |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Open Stewardship Foundation | Director (board comprises five current/former OPBK directors including Kim) | Since 2011 | Community engagement; recurring donation commitment of 10% of after-tax income has strengthened brand and local relationships . |
Fixed Compensation
| Year | Base Salary ($) | Target Bonus Cap (% of Salary) | Other Compensation ($) | Perquisites | Notes |
|---|---|---|---|---|---|
| 2024 | 576,300 | 100% (CEO cap) | 23,100 (401k match $20,700 + $2,400 cell phone) | Cell phone allowance | Base last increased Apr 2023; CEO salary subject to minimum 3% annual increases per agreement . |
| 2023 | 562,185 | 100% (CEO cap) | 27,778 (401k match $25,378 + $2,400 cell phone) | Cell phone allowance | — |
Performance Compensation
| Year | Metric | Weighting | Target | Actual | Payout (% of Salary) | Payout ($) | Vesting/Timing |
|---|---|---|---|---|---|---|---|
| 2024 | ROA | Bank Goals (70%) | 1.01% | 0.92% | — | — | Cash bonus paid Mar 2025 . |
| 2024 | ROE | Bank Goals (70%) | 11.30% | 10.68% | — | — | — |
| 2024 | Efficiency Ratio | Bank Goals (70%) | 57.35% | 61.19% | — | — | — |
| 2024 | Individual Goals | 30% | Role-specific | Achieved per HRCC review | 54.8% | 315,900 | Paid Mar 2025 . |
| 2023 | ROA | Bank Goals (70%) | 1.17% | 1.13% | — | — | Cash bonus paid Mar 2024 . |
| 2023 | ROE | Bank Goals (70%) | 13.52% | 13.05% | — | — | — |
| 2023 | Efficiency Ratio | Bank Goals (70%) | 56.64% | 57.59% | — | — | — |
| 2023 | Individual Goals | 30% | Role-specific | Achieved per HRCC review | 97.0% | 557,300 | Paid Mar 2024 . |
Notes:
- HRCC administers the Management Incentive Plan; CEO cap is 100% of salary; payouts require at least 80% goal achievement; Board retains discretion to adjust .
- Exact sub-metric payout conversions are not disclosed; tables show targets, actuals, and total payout determined by HRCC .
Equity Ownership & Alignment
| Date (Record) | Shares Beneficially Owned | % of Outstanding | Vested/Unvested Detail | Option/RSU Status |
|---|---|---|---|---|
| Apr 30, 2025 | 611,425 | 4.12% | Not broken out in 2025 table | No unvested awards listed for CEO in outstanding awards as of 12/31/2024 . |
| Apr 30, 2024 | 618,286 | 4.14% | Not broken out in 2024 table | — |
| Apr 28, 2023 | 635,051 | 4.15% | Includes 21,406 RSUs vesting within 60 days | 60,000 options exercisable within 60 days . |
| Apr 30, 2021 | 599,642 | 3.93% | Includes 15,000 RSUs vesting within 60 days | 210,000 options exercisable within 60 days . |
Additional alignment controls:
- Insider Trading Policy covers hedging and trading; Company maintains a clawback policy conforming to Exchange Act Rule 10D-1 and Nasdaq Rule 5608 .
- No disclosure of any pledged shares by Kim; no stock ownership guidelines are disclosed in the proxies reviewed .
Employment Terms
| Provision | Key Terms |
|---|---|
| Agreement | CEO employment agreement dated Nov 1, 2017; initial 3-year term with annual auto-renewal; extended initial term to Dec 31, 2024 via Jun 24, 2021 addendum . |
| Base Salary | Initially $410,000; minimum 3% annual increases; latest increase to $576,300 in Apr 2023 . |
| Bonus & Equity Eligibility | Eligible for annual Management Incentive Plan and equity awards under Company plans, subject to Board approval . |
| Severance (No Cause) | 175% of base salary paid over 12 months; Company pays COBRA premiums for 12 months . |
| Change-in-Control (Double-trigger) | If terminated without Cause or resigns for Good Reason within 6 months before or 2 years after a CoC: 225% of base salary over 12 months; Company pays COBRA premiums for 24 months . |
| Definitions | Cause, Good Reason, and Change in Control defined; CoC aligned with Exchange Act concepts and Section 409A “change in control event” gating for deferred comp . |
| 280G Treatment | Cutback to maximize deductible amount; no tax gross-up . |
| Restrictive Covenants | Non-solicitation of employees for 2 years post-termination; no non-compete disclosed . |
Board Governance
- Board independence: Four of seven 2025 nominees independent; historical majority independent; roles of CEO and Chair separated (Brian Choi is Chairman) .
- Committee service: Kim serves on the Board Risk and Compliance Committee (BRCC) alongside independent directors; BRCC oversees cybersecurity, ERM, regulatory compliance, technology, third-party risk, and reports to the Board .
- Attendance: Board held 14 meetings in 2024; each incumbent director attended all Board and assigned committee meetings .
- Director compensation: Officers do not earn additional director fees; non-officer director cash retainers and annual RSU grants are disclosed separately .
Compensation Structure Analysis
- Mix shift: Kim received no stock awards in 2022–2024 (stock awards line “—”), with compensation primarily cash salary and annual incentives; in 2021 she received $635,768 in stock awards as part of broader grants to NEOs .
- Performance linkage: CEO bonus capped at 100% of salary with 70% weighting to Bank financial metrics (ROA, ROE, efficiency) and 30% individual goals; payouts moved from 97% in 2023 to 54.8% in 2024 reflecting under-target performance on Bank metrics .
- Risk controls: Annual compensation risk review; HRCC concluded programs do not encourage excessive risk; clawback policy in place .
Company Performance Snapshot (for pay-for-performance context)
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Revenues ($ USD) | 17,619,000 * | 14,181,000* | 16,427,000 * |
Values retrieved from S&P Global.
*FY2023 value has no document citation and is directly from S&P Global.
Related Party Transactions
- Ordinary banking relationships with officers/directors/families conducted on market terms; as of 12/31/2024, group was not indebted; deposits totaled $2.3 million .
- Open Stewardship Foundation contributions (10% of after-tax income annually) and shared board service by OPBK directors; Company does not control the Foundation and does not consolidate it .
- Audit Committee reviews/approves related party transactions under a written policy; considerations include benefit to Company, director independence, alternative sources, and arm’s-length terms .
Say‑on‑Pay & Shareholder Feedback
- 2025 agenda includes advisory vote on executive compensation and advisory frequency vote; Board recommends “FOR” say‑on‑pay and “ONE YEAR” frequency .
- 2024 annual meeting Form 8‑K disclosed election and auditor ratification results; say‑on‑pay results were not disclosed in that 8‑K excerpt .
Expertise & Qualifications
- Education: BS in Finance, University of Southern California .
- Domain: Credit, operations, executive leadership; deep ties in Korean-American banking markets .
- Board capabilities: Provides comprehensive perspective on business, market, community, and culture to Board .
Fixed/Director Compensation (Board)
| 2024 Non‑Officer Director Compensation | Cash Fees ($) | Stock Awards ($) | Unvested RSUs (shares) |
|---|---|---|---|
| Range by director | 35,000–84,000 | ~30,002–41,999 | 3,226–4,516 |
Officers (including Kim) do not receive additional director compensation .
Employment & Contracts (additional notes)
- Benefits: Standard employee benefits; 401(k) match on first 6% of comp; no discretionary profit share in 2024/2023 .
- COLI: Company-owned life insurance with death benefit arrangements for executives; benefit terminates upon retirement/termination; designed to offset benefit expenses .
Investment Implications
- Incentive alignment: CEO bonus is strictly tied to ROA/ROE/efficiency and individual strategic goals; 2024 payout decline versus 2023 indicates responsiveness to below-target performance—supportive of pay-for-performance governance .
- Retention and transition: Robust severance (175% base) and enhanced CoC protection (225% base, double-trigger) reduce abrupt departure risk; non-solicit further protects human capital, but absence of disclosed non-compete increases external mobility flexibility .
- Ownership alignment: Meaningful direct ownership (4.12%) and historical options suggest economic alignment; 2025 proxy shows no unvested awards for CEO, reducing near-term forced selling pressure from vesting events; no pledging disclosed; clawback mitigates restatement risks .
- Governance quality: Independent Chair, majority-independent board, committee separation, and strong BRCC oversight lower dual-role/independence concerns even with CEO on the Board .
- Red flags: No tax gross-ups and presence of 280G cutback are shareholder-friendly; no evidence of option repricing or related-party lending beyond ordinary-course on market terms; monitor say‑on‑pay outcomes in 2025 and any leadership transition signals (e.g., CEO-in-transit arrangements at the Bank level) for potential succession dynamics .
All figures and statements above are sourced from OPBK’s DEF 14A filings and 8-Ks as cited in brackets.
Revenue values marked with * are retrieved from S&P Global.