First Niagara Financial in Buffalo, N.Y., is shelling out another six-figure sum for severance to an ousted executive.
The $38 billion-asset company disclosed in an exhibit to a quarterly regulatory filing that Daniel Cantara 3rd, its former chief banking officer, will receive a severance package valued at $1.6 million. Cantara left First Niagara in February, having lost his job as part of a reshuffling under newly appointed President and CEO Gary Crosby.
Cantara will receive biweekly payments of roughly $43,500 for 18 months, an amount equal to his annual base salary plus 150% of his 2013 target bonus, according to the filing. He also is eligible for up to $15,000 of reimbursement for outplacement services and legal fees, although First Niagara and Cantara also agreed that they would not pursue any legal actions tied to Cantara's ouster.
Cantara also agreed to a wide-ranging noncompete agreement that will expire 12 months after his departure.
The company had promoted Cantara to chief banking officer in late 2012, when then-CEO John Koelmel was pursuing an aggressive acquisition strategy. Koelmel was fired in March 2013, and secured a severance package valued at roughly $2.9 million.