First Financial Corporation will replace CFO Rodger A. McHargue with Paul D. Nungester on January 1, 2027, under an agreement providing a $375,000 annual base salary. The succession matters because the agreement expressly seeks continuity of management and includes bonus, Equity and benefit provisions for the incoming finance chief.

Key Highlights

  • Rodger A. McHargue will retire as First Financial Corporation’s Secretary/Treasurer and Chief Financial Officer on December 31, 2026.
  • Paul D. Nungester’s employment agreement includes a target annual Bonus of at least 35% of base salary.
  • A change in control could trigger severance calculated using a 2.0 times multiplier under the agreement.

First Financial Corporation (NASDAQ: THFF) is a Major Banks company. Rodger A. McHargue will retire as Secretary/Treasurer and Chief Financial Officer on December 31, 2026, while Paul D. Nungester is set to take both positions on January 1, 2027. Nungester’s agreement provides annual base pay of $375,000.

Nungester Agreement Runs Through June 30, 2028

The employment agreement took effect September 1, 2026, and runs through June 30, 2028, with possible one-year extensions. His package includes a target annual bonus of at least 35% of base salary and a long-term incentive equity grant with a target value of at least 45% of base salary. Nungester previously held finance and accounting roles at Inveniam Capital Partners, Inc. and Premier Financial Corporation.

Agreement Sets Continuity and Separation Terms

The agreement states that its purpose includes assuring continuity of management and encouraging Nungester’s continued attention to his duties. If employment ends because of death, disability, just cause or voluntary resignation, compensation and vested benefits due through termination remain payable under the stated terms. Termination without just cause, or resignation for good reason, can entitle Nungester to salary and bonuses through the agreement’s remaining term, along with cash reimbursement for eligible benefits. After a change in control, the agreement uses a 2.0 times calculation for specified salary, bonus and benefit amounts. It also contains confidentiality, non-solicitation and non-compete provisions.