FS Bancorp Inc.'s subsidiary, 1st Security Bank of Washington, has entered into change of control agreements with three executives: Robert Nesbitt (Chief Credit Operations Officer), Sean McCormick (Chief Credit Administration Officer), and Phillip Whittington (Chief Financial Officer). Under these agreements, if a change in control occurs and the executive experiences involuntary termination within six months before or twelve months after the change, they will receive a lump sum severance payment equal to twelve months of their current salary, payable within 45 days of termination. Involuntary termination is defined to include termination other than for cause, significant reductions in salary or benefits not applied to all senior officers, relocation more than 20 miles from Mountlake Terrace, or a material demotion.