James E. Murphy
About James E. Murphy
James E. Murphy, age 64, is Executive Vice President and Chief Credit Officer of Pioneer Bancorp (PBFS) since July 2023, with a four-decade banking career spanning commercial lending and credit leadership at Community Bank, N.A. (2019–Jul 2023), National Union Bank of Kinderhook (2015–2019), NBT Bank, N.A. (2012–2015), and earlier line and credit executive roles at JPMorgan Chase . Company performance during his tenure shows improving TSR (value of $100 investment: $91 in FY2023, $102 in FY2024, $118 for the six months ended Dec 31, 2024) alongside reported net income of $21.9M (FY2023), $15.3M (FY2024), and $9.6M (six months ended Dec 31, 2024) .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Community Bank, N.A. | Chief Commercial Credit Officer | 2019–Jul 2023 | Senior commercial credit oversight |
| National Union Bank of Kinderhook | Chief Credit Officer | 2015–2019 | Bank-wide credit leadership |
| NBT Bank, N.A. | Chief Credit Officer | 2012–2015 | Credit risk management |
| JPMorgan Chase | Line and credit executive roles | Not disclosed | Line and credit executive experience |
External Roles
No public-company directorships or external board roles disclosed in the proxy materials for Murphy. (Skip if not disclosed.)
Fixed Compensation
Murphy is not listed among the named executive officers (NEOs) whose individual salary/bonus and grant-date fair values are disclosed, which in FY2023–FY2024 and the six months ended Dec 31, 2024 include CEO Thomas L. Amell, CFO Patrick J. Hughes, and EVP/Chief Banking Officer Jesse Tomczak . As a result, Murphy’s base salary, target bonus %, and actual bonus amounts are not disclosed in the proxy.
Performance Compensation
Pioneer Bank’s Targeted Incentive Plan (TIP) covers executive officers approved annually; each NEO participates. The plan uses bank-wide and multi-year performance metrics, with goals equally weighted for non-CEO executives and differentiated weights for the CEO . Actual TIP payouts disclosed for FY2024 plan year cover the CEO ($287,575), CFO ($140,000), and Chief Banking Officer ($130,000); Murphy’s individual payout is not disclosed .
| Metric | Weighting (Non-CEO Execs) | Target | Actual | Payout | Vesting/Timing |
|---|---|---|---|---|---|
| Current-year Return on Assets | 25% | Not disclosed | Not disclosed | Not disclosed | Paid within 2.5 months post plan year; must be employed on last day of plan year |
| Three-year Return on Assets | 25% | Not disclosed | Not disclosed | Not disclosed | Same as above |
| Core deposit growth | 25% | Not disclosed | Not disclosed | Not disclosed | Same as above |
| Three-year ROA vs peer group (savings banks, size-stratified) | 25% | Not disclosed | Not disclosed | Not disclosed | Same as above |
| Plan-level gates (net income, safety and soundness; satisfactory performance) | N/A | Minimum thresholds | N/A | N/A | Same as above |
Notes:
- CEO metrics weighted 15%, 40%, 15%, 30% respectively; non-CEO executives’ goals are equally weighted .
- Discretionary bonuses were not awarded for the six months ended Dec 31, 2024 .
Equity Ownership & Alignment
- Anti-hedging/anti-pledging: Executives are prohibited from short sales, derivatives/hedging, and pledging or margin accounts absent Board approval; the Board has not approved any exceptions .
- No pledging: No director or executive officer has pledged PBFS shares as loan collateral as of Oct 15, 2024 and Mar 24, 2025 .
- 2020 Equity Incentive Plan awards generally vest 20% annually over five years beginning May 21, 2025; unvested awards accelerate upon death, disability, or involuntary termination following a change in control . Stock awards and options granted May 21, 2024 to NEOs vest 20% annually starting May 21, 2025 .
| Ownership Metric | Sep 29, 2023 | Oct 15, 2024 | Mar 24, 2025 |
|---|---|---|---|
| Total beneficial ownership (shares) | — | 10,000 | 15,000 |
| Percent of shares outstanding | <1% | <1% | <1% |
| Options exercisable within 60 days | — | Not disclosed | 5,000 |
| Unvested restricted stock | — | 10,000 | 10,000 |
| Any pledged shares | No | No | No |
Employment Terms
- Role and start date: EVP & Chief Credit Officer since July 2023 .
- Change-in-control agreements: Pioneer Bank maintains individual CIC agreements for six executive officers (explicitly including the CFO and Chief Banking Officer), providing 2x base salary plus highest annual cash bonus (of the last three periods) upon qualifying termination on/after a change in control, plus up to 24 months of continued benefits; Murphy is not explicitly named among the six in the 2025 proxy and should be confirmed for inclusion .
- Equity award vesting: Under the 2020 Plan, awards vest 20% annually over five years beginning May 21, 2025; certain accelerations upon change in control-related involuntary termination .
- Insider trading policy: Strict restrictions on hedging/derivative transactions and pledging/margin accounts for directors and executive officers .
Investment Implications
- Alignment: Murphy’s beneficial ownership rose from nil (2023) to 10k (2024) and 15k (2025), comprising 10k unvested RS and 5k options exercisable, with no pledging—modestly positive alignment but still a de minimis stake (<1%) .
- Vesting overhang and potential selling pressure: The 10k unvested RS generally vest 20% annually beginning May 21, 2025 under the 2020 Plan, creating annual liquidity events (subject to service and policy constraints); options of 5k are exercisable within the near term, but strike/expiration and incremental unexercisable tranches for Murphy are not disclosed .
- Retention and CIC protection: The company uses standardized CIC agreements with 2x salary+bonus for six executives; Murphy’s inclusion should be verified, but if covered, the terms support retention through potential strategic events without excessive golden parachute multiples compared to CEO’s 3x .
- Pay-for-performance design: TIP metrics emphasize ROA (current and three-year), core deposits, and multi-year peer-relative ROA, with equal weighting for non-CEO executives—favorable alignment with bank safety/soundness and profitability; however, Murphy-specific targets and payouts are not disclosed, limiting direct pay-for-performance assessment .
- Execution risk: As Chief Credit Officer, Murphy’s remit is cyclical credit quality and portfolio risk management; firm-wide TSR and net income improved across FY2023–FY2024 and the six-month transition period, but causality to Murphy’s actions is not asserted; continued credit discipline remains the key lever for his performance assessment .