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David A. Ayoub

Director at Pathfinder Bancorp
Board

About David A. Ayoub

David A. Ayoub, age 62, is an independent director of Pathfinder Bancorp, Inc. (PBHC) serving since 2012; his current term expires in 2026 . He is Partner-in-Charge of the Tax Department at Bowers & Company CPAs, PLLC, a CPA licensed in New York, with a B.S. in Accounting from Rochester Institute of Technology; he is active in AICPA and NYSSCPA and has held nonprofit board leadership roles, including Past Chair of Make-A-Wish Foundation of Central New York . The Board has determined he is independent under NASDAQ rules, and he is designated as the Audit Committee financial expert .

Past Roles

OrganizationRoleTenureCommittees/Impact
Bowers & Company CPAs, PLLCPartner-in-Charge, Tax Department30+ years in accounting/taxLeads tax compliance, M&A consulting; technical research and strategic tax planning
PBHC Board of DirectorsIndependent DirectorDirector since 2012; current term to 2026Audit Committee Chair; designated Audit Committee financial expert

External Roles

OrganizationRoleTenureCommittees/Impact
American Institute of Certified Public Accountants (AICPA)MemberNot disclosedProfessional standards involvement
New York State Society of CPAs (NYSSCPA)MemberNot disclosedProfessional standards involvement
Make-A-Wish Foundation of Central New YorkPast ChairNot disclosedNonprofit leadership

Board Governance

  • Independence: Board determined all directors except the CEO (Dowd) and Funiciello are independent; Ayoub is independent .
  • Committee assignments (2024): Audit Chair; Compensation Member; ALCO Member; Directors’ Loan Review Member .
  • Audit Committee: Met six times in 2024; Ayoub qualifies as the Audit Committee financial expert under SEC criteria .
  • Board/Committee attendance: In 2024, no director attended fewer than 75% of total Board and committee meetings; Board held 12 regular and 1 special meeting .
  • Engagement: Independent directors hold executive sessions at least twice a year .

Fixed Compensation

Component (Director)2024 AmountNotes
Annual retainer (PBHC non-employee director)$20,000Standard cash retainer
Meeting fees – Board$800 per meetingStandard cash fee
Meeting fees – Committee$600 per meeting$300 for Directors’ Loan Committee
Audit Committee Chair retainer$4,100Additional to chair
Fees earned (Ayoub, 2024)$44,700Total cash fees received
Non-qualified deferred comp earnings (Ayoub, 2024)$7,349Above market/preferential earnings on deferred fees
Total reported (Ayoub, 2024)$52,049Cash plus deferred earnings

Notes: Director fees reviewed annually; Trustee Deferred Fee Plan allows up to $2,000/month deferrals with 10-year payout post-termination/benefit age; change-in-control provisions provide calculated benefits if service terminates within 36 months after a change in control .

Performance Compensation

  • No performance-based equity or cash compensation is disclosed for directors in 2024; director compensation consisted of cash fees and deferred compensation earnings. Options outstanding reflect prior grants; no new director equity grants disclosed in 2024 .

Other Directorships & Interlocks

CategoryDisclosed Details
Current public company boardsNone disclosed in PBHC proxy for Ayoub
Private/nonprofit boardsMake-A-Wish Foundation of Central New York (Past Chair)
Potential interlocks with PBHC competitors/suppliers/customersNone disclosed for Ayoub; related-party transactions disclosed involve other directors (e.g., Funiciello)

Expertise & Qualifications

  • CPA with extensive tax and M&A consulting experience; technical leadership over tax compliance and strategic planning .
  • Designated Audit Committee financial expert; strengthens financial reporting oversight .
  • Community leadership background indicating stakeholder engagement and governance breadth .

Equity Ownership

MetricAmountDetails
Total beneficial ownership (shares)40,208Includes direct and indirect holdings
Ownership as % of outstanding0.8%As of 4,761,182 outstanding shares
Options included in beneficial ownership8,787Exercisable within 60 days of record date
IRA holdings1,647Included in beneficial ownership
401(k) plan holdings17,763Included in beneficial ownership
Shares pledged as collateralNoneCompany disclosure: no pledging; policy prohibits pledging
Anti-hedgingProhibitedNo short sales/derivative hedging permitted for directors

Risk Indicators & RED FLAGS

  • Late Section 16 filing: A Form 4 for Director David Ayoub was filed late, indicating a timeliness lapse in reporting insider transactions (administrative red flag) .
  • Related-party exposure: Ayoub not listed among participants in the preferential-rate employee mortgage program in 2023–2024; disclosed related-party transactions involve other directors (e.g., JF Real Estate commissions, long-term lease with LLC involving Director Funiciello) .
  • Hedging/pledging: Prohibited by policy; no pledging by directors reported, mitigating alignment risk .
  • Litigation/regulatory history: Proxy states none of the directors/executive officers have been subject to securities litigation, regulatory enforcement, or bankruptcy in the past ten years .

Governance Assessment

  • Strengths: Independent status; Audit Chair and financial expert designation; robust committee workload (Audit, Compensation, ALCO, Loan Review); satisfactory attendance; no pledging/hedging and meaningful personal share ownership enhancing alignment .
  • Concerns: Late Form 4 filing suggests a control/process lapse in insider reporting; modest absolute ownership for a bank director, though 0.8% is notable given PBHC’s small float .
  • Overall: Ayoub’s deep tax/M&A expertise and audit leadership support board effectiveness and investor confidence; monitor insider reporting compliance to avoid recurrent administrative red flags .