ISBC 2017 Form 10-K & 2018 Proxy Statement

38 Committee are fundamentally “corporate goals” in that they are aligned closely with our strategic objectives for growth, productivity, profitability and risk management. The Compensation and Benefits Committee is committed to continuing to evaluate our compensation practices and has decided to adjust the weighting of the CEO and COO annual incentive opportunity to 85% for corporate goals and 15% for personal goals for 2018 from the previous weighting of 60% for corporate goals and 40% for personal goals. The Company believes that the Chief Executive Officer’s and the Chief Operating Officer’s direct personal accountability for the achievement of objectively measurable and verifiable goals that are particularly relevant to our industry, our strategy, and our stage of corporate development has contributed in a meaningful way to our success. Each Named Executive Officer's annual cash incentive award is defined as a percentage of base salary. The corporate financial targets and individual goals are established by the Compensation and Benefits Committee no later than 90 days after the commencement of the period of service to which the performance goal relates, but in no event after 25% of the performance period has elapsed, and in either case, so long as the outcome is substantially uncertain at the time that the goal is established. Such targets and goals are weighted in relation to the Named Executive Officer's position and duties. As corporate financial targets and/or individual performance goals exceed or fall short of achievement levels (which are established at Threshold, Target and Maximum Achievements), the actual amount paid under the plan will exceed or fall short of the targeted payment amount. Annual Incentive Opportunity The Compensation and Benefits Committee regularly evaluates the level of annual incentive compensation, including the annual incentive compensation opportunity available to each of our Named Executive Officers based on the Company’s growth and financial performance, as well as peer competitive compensation practices, and overall marketplace conditions. The Company’s objective is to continue to provide annual incentive opportunities that are commensurate with our annual financial and operational results, as well as each Named Executive Officer’s personal contribution to those results. In that context, the Committee increased the CFO’s annual incentive opportunity from a maximum cash incentive opportunity of 100% to 110%. There were no other changes to the annual incentive opportunity for any of our other Named Executive Officers. 2017 Incentive Opportunity Under the Executive Officer Annual Incentive Plan for 2017, the Compensation and Benefits Committee established the following range of annual cash incentive award opportunities for Threshold, Target and Maximum Achievements as a percentage of base salary: Executive Officer Threshold (1) Target (1) Maximum Kevin Cummings 122.0% 161.0% 200.0% Domenick A. Cama 97.6% 128.8% 160.0% Richard S. Spengler 81.0% 100.5% 120.0% Paul Kalamaras 81.0% 100.5% 120.0% Sean Burke 74.3% 92.1% 110.0% (1) Assumed 100% achievement of all individual goals. PROXY STATEMENT