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Timothy P. Turner

Executive Vice President and Chief Credit Officer at PEOPLES BANCORP OF NORTH CAROLINA
Executive

About Timothy P. Turner

Timothy P. Turner, age 62, is Executive Vice President and Chief Credit Officer of Peoples Bank, responsible for Commercial Credit and Credit Administration; he has been with the Bank since 2010 and holds a BBA and MBA from Campbell University, with 37 years of banking experience as of Feb 1, 2025 . Company operating performance during his tenure in credit leadership shows stable profitability with net earnings of $16.4m in 2024 (vs. $15.5m in 2023, $16.1m in 2022), ROAA ~0.99% in 2024, and improved credit quality with nonaccrual loans declining to 0.04% of loans at 12/31/2024 (from 0.36% in 2023) . The Company’s compensation framework emphasizes performance orientation, with annual incentives tied to budget attainment and individual goals, and long-term alignment through time-based RSUs under the 2020 Omnibus Plan .

Past Roles

OrganizationRoleYearsStrategic impact
Peoples BankFirst Vice President – Commercial Credit2010Joined to lead commercial credit functions during post-crisis period; elevated credit discipline and underwriting oversight .
Peoples BankSenior Vice President – Senior Credit Officer2010s (after FVP)Expanded responsibility across credit administration, supporting asset quality and risk governance .
Peoples BankSenior Vice President, Chief Credit Officer2019Named CCO; oversight of Credit Administration and Loan Operations .
Peoples BankExecutive Vice President, Chief Credit Officer2019–presentLeads Commercial Credit and Credit Administration, supporting improved nonaccrual metrics by YE 2024 .

External Roles

No public company directorships or external board roles are disclosed for Mr. Turner .

Fixed Compensation

  • Mr. Turner is not a “named executive officer” (NEO) in the 2025 proxy; individual base salary, target/actual bonus, and perquisites are not disclosed in the Summary Compensation Table (NEOs are CEO, former CEO, CFO, CBO) .

Performance Compensation

  • Annual cash incentives: The Bank’s Management Incentive Plan links payout opportunity to corporate budget attainment and individual goals; for 2024, no NEO earned/was paid an incentive under this plan (discretionary bonuses were paid to NEOs in January 2025). Plan mechanics inform broader officer incentives though Mr. Turner’s specific payouts are not disclosed .
  • Long-term incentives: Under the 2020 Omnibus Plan, time-based RSUs are granted to employees and directors; RSUs vest on fixed schedules and convert 1:1 into common shares. Examples of recent RSU schedules for NEOs (illustrative of plan cadence): 2021 grant vested 2/3/2025; 2022 grant vests 1/20/2026; 2023 grant vests 1/19/2027; 2024 grant vests 1/22/2028 . Clawback applies to incentive-based compensation under SEC/Nasdaq rules (3-year lookback) .

Equity Ownership & Alignment

ItemDetail
Initial beneficial ownership (Form 3)1,178.8904 shares directly; 295 shares indirectly via spouse, as of event date 03/17/2022 (filed 03/25/2022) .
Subsequent changes (Form 4)Section 16 filings exist for Mr. Turner; investors should review each Form 4 for transaction dates, amounts, and post-transaction holdings to assess selling pressure (example source references available) .
Pledging/hedgingThe Company’s Insider Trading Policies restrict trading when in possession of MNPI, require trading in open windows, and encourage pre-clearance; no specific pledge policy or disclosure of pledging by Mr. Turner is provided .
Ownership guidelinesNo executive stock ownership guidelines are disclosed in the proxy .

Employment Terms

  • Individual employment agreement terms for Mr. Turner are not disclosed; employment agreements summarized in the proxy apply to NEOs (Sellers, Cable, Hooper, Perry), including auto-renewing terms, non-compete/non-solicit, and severance/CIC protections .
  • For reference (NEO template): Upon CIC termination within 1 year, payment equals accrued obligations plus the greater of pro-rated remaining-term base salary or 2.99× base salary, pro-rated last-year bonus, accelerated vesting of equity/stock options, and full vesting of non-qualified plans; unvested RSUs would accelerate (NEO example values as of 12/31/2024: CEO ~$1.545m; former CEO ~$1.830m; CFO ~$847k; CBO ~$789k) .

Performance & Track Record (Company context relevant to role)

MetricFY 2022FY 2023FY 2024
Net earnings ($ millions)16.123 15.546 16.353
ROAA (%)0.97 0.97 0.99
ROAE (%)13.01 13.37 12.59
Nonaccrual loans / total loans (%)0.36 0.36 0.04
Allowance for credit losses / loans (%)1.02 1.01 0.88

Notes: 2024 included a negative ACL provision (-$0.285m) with net charge-offs of $1.432m; the nonaccrual ratio improvement and ACL modeling changes are described in the proxy’s MD&A appendix .

Governance, Policies, and Say‑on‑Pay context

  • Compensation philosophy emphasizes performance, peer benchmarking, asset quality, and cumulative shareholder return as factors; Compensation Committee independence affirmed .
  • Clawback policy compliant with SEC/Nasdaq rules adopted in Oct 2023 and incorporated into NEO employment agreements in Nov 2023 .
  • Most recent disclosed Say‑on‑Pay approval (2022 meeting) was 89%; shareholders will vote on Say‑on‑Pay and frequency again in 2025 .

Related Party Transactions and Red Flags

  • Related-person loan policies adhere to Regulation O and require market terms; Board reviews/approves non-Reg O related transactions. No Turner-specific related party transactions are disclosed .
  • No disclosures of tax gross‑ups, option repricing, or pledging related to Mr. Turner appear in the proxy .

Investment Implications

  • Alignment and retention: Turner’s long tenure (since 2010) in credit leadership and the Company’s improved nonaccrual ratio to 0.04% at YE 2024 are supportive signals for risk management continuity; however, as a non-NEO, his individual pay mix, targets, and severance/CIC protections are undisclosed, leaving some retention risk unquantified .
  • Incentive structure: Company-wide incentives emphasize budget and individual objectives with time-based RSUs; 2024 NEO MIP payouts were zero, with compensation delivered via discretionary cash and time-based equity—suggesting near-term cash emphasis over formulaic performance incentives during a transition year (CEO change), which may reduce direct pay-for-performance sensitivity for non-NEOs as well .
  • Ownership and trading: Mr. Turner’s last clearly quantified ownership from Form 3 (2022) reflects modest shareholdings; comprehensive Form 4 review is needed to assess current holdings and any selling pressure. Insider trading windows and pre-clearance policies mitigate informational risk, with clawback coverage in place for incentive compensation .
  • Execution risk: The credit function’s performance (declines in nonaccruals) reduces risk to capital and earnings; continued normalization of ACL (0.88% of loans) implies reliance on sound underwriting and macro resilience. Monitoring future credit trends, insider filings, and whether incentive metrics evolve toward more explicit risk-adjusted targets will be key .

Data gaps: As Mr. Turner is not an NEO, his individual base salary, bonus outcomes, equity grants, employment agreement terms, and ownership guidelines compliance are not disclosed in the proxy; targeted review of his Section 16 Form 4 filings is recommended for up-to-date ownership and trading analysis .