XML 26 R2.htm IDEA: XBRL DOCUMENT v3.23.2
Pay vs Performance Disclosure
number in Thousands
 12 Months Ended
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
Pay vs Performance Disclosure [Table]      
Pay vs Performance [Table Text Block]
Year-end value of $100 invested on December 31, 2019 in:
YearSummary Compensation Table Total for PEO (1)Compensation Actually Paid to PEO (1)(2)(3)(4)Average Summary Compensation Table Total for Non-PEO NEOs (5)Average Compensation Actually Paid to Non-PEO NEOs (2)(3)(4)(5)Arrow Financial CorporationABA NASDAQ Community Bank Index (TR)Net
Income
(in millions)		Net Operating Earnings (in millions) (6)
2022$1,742,204 $1,922,576 $584,089 $562,080 $107.97 $102.65 $48.80 $48.31 
2021$2,146,089 $2,013,535 $557,166 $601,047 $105.51 $113.25 $49.90 $49.99 
2020$1,692,259 $1,430,452 $481,414 $436,109 $84.42 $85.57 $40.80 $40.84 
    
Company Selected Measure Name Net Operating Earnings    
Named Executive Officers, Footnote [Text Block] The PEO, Principal Executive Officer, in each reporting year is Thomas J. MurphyNon-PEO NEOs reflect the average Summary Compensation Table total compensation and average CAP for the following executives in each reporting year: Edward J. Campanella, David S. DeMarco, David D. Kaiser and Andrew J. Wise    
PEO Total Compensation Amount $ 1,742,204 $ 2,146,089 $ 1,692,259
PEO Actually Paid Compensation Amount $ 1,922,576 2,013,535 1,430,452
Adjustment To PEO Compensation, Footnote [Text Block] Subtractions from, and additions to, total compensation in the Summary Compensation table by year to calculate CAP include:
202220212020
PEOAverage of Other Non-PEO NEOsPEOAverage of Other Non-PEO NEOsPEOAverage of Other Non-PEO NEOs
Total Compensation from from Summary Compensation Table$1,742,204 $584,089 $2,146,089 $557,166 $1,692,259 $481,414 
Adjustments for Pension
Adjustment Summary Compensation Table Pension$(470,237)$(52,579)$(908,942)$(46,099)$(614,685)$(49,985)
Amount added for current year service cost$595,215 $33,255 $571,465 $31,163 $482,936 $29,857 
Total Adjustments for Pension$124,978 $(19,324)$(337,477)$(14,936)$(131,749)$(20,128)
Adjustments for Equity Awards
Adjustment for grant date values in the Summary Compensation Table$(226,485)$(38,251)$(187,798)$(24,251)$(184,917)$(24,950)
Year-end fair value of unvested awards granted in the current year$230,583 $32,940 $279,970 $54,023 $173,356 $27,724 
Year-over-year difference of year-end fair values and vest date fair values for awards granted in prior years$38,559 $18,756 $106,511 $29,766 $(110,642)$(21,395)
Difference in fair values between prior year-end fair values and vest date fair values for awards granted in prior years$(986)$1,098 $(6,543)$(721)$(18,867)$(6,556)
Forfeitures during current year equal to prior year-end fair value$— $(17,228)$— $— $— $— 
Dividends or dividend equivalents not otherwise included in total compensation$13,723 $— $12,783 $— $11,012 $— 
Total Adjustments for Equity Awards$55,394 $(2,685)$204,923 $58,817 $(130,058)$(25,177)
Compensation Actually Paid (as calculated)$1,922,576 $562,080 $2,013,535 $601,047 $1,430,452 $436,109 
    
Non-PEO NEO Average Total Compensation Amount $ 584,089 557,166 481,414
Non-PEO NEO Average Compensation Actually Paid Amount $ 562,080 601,047 436,109
Adjustment to Non-PEO NEO Compensation Footnote [Text Block] Subtractions from, and additions to, total compensation in the Summary Compensation table by year to calculate CAP include:
202220212020
PEOAverage of Other Non-PEO NEOsPEOAverage of Other Non-PEO NEOsPEOAverage of Other Non-PEO NEOs
Total Compensation from from Summary Compensation Table$1,742,204 $584,089 $2,146,089 $557,166 $1,692,259 $481,414 
Adjustments for Pension
Adjustment Summary Compensation Table Pension$(470,237)$(52,579)$(908,942)$(46,099)$(614,685)$(49,985)
Amount added for current year service cost$595,215 $33,255 $571,465 $31,163 $482,936 $29,857 
Total Adjustments for Pension$124,978 $(19,324)$(337,477)$(14,936)$(131,749)$(20,128)
Adjustments for Equity Awards
Adjustment for grant date values in the Summary Compensation Table$(226,485)$(38,251)$(187,798)$(24,251)$(184,917)$(24,950)
Year-end fair value of unvested awards granted in the current year$230,583 $32,940 $279,970 $54,023 $173,356 $27,724 
Year-over-year difference of year-end fair values and vest date fair values for awards granted in prior years$38,559 $18,756 $106,511 $29,766 $(110,642)$(21,395)
Difference in fair values between prior year-end fair values and vest date fair values for awards granted in prior years$(986)$1,098 $(6,543)$(721)$(18,867)$(6,556)
Forfeitures during current year equal to prior year-end fair value$— $(17,228)$— $— $— $— 
Dividends or dividend equivalents not otherwise included in total compensation$13,723 $— $12,783 $— $11,012 $— 
Total Adjustments for Equity Awards$55,394 $(2,685)$204,923 $58,817 $(130,058)$(25,177)
Compensation Actually Paid (as calculated)$1,922,576 $562,080 $2,013,535 $601,047 $1,430,452 $436,109 
    
Compensation Actually Paid vs. Total Shareholder Return [Text Block]
CAP and Cumulative TSR / Cumulative TSR of the Peer Group

cap v tsr.jpg
    
Compensation Actually Paid vs. Net Income [Text Block]
CAP and Company Net Income

cap v NI.jpg
    
Compensation Actually Paid vs. Company Selected Measure [Text Block]
CAP and Company Selected Measure, Net Operating Earnings

CAP vs NOE.jpg
    
Total Shareholder Return Vs Peer Group [Text Block]
CAP and Cumulative TSR / Cumulative TSR of the Peer Group

cap v tsr.jpg
    
Tabular List [Table Text Block] Net Operating Earnings
•Return on Equity
•Efficiency Ratio
•Non-Performing Loans
•Net Charge-Offs
    
Total Shareholder Return Amount $ 107.97 105.51 84.42
Peer Group Total Shareholder Return Amount 102.65 113.25 85.57
Net Income (Loss) $ 48,800,000 $ 49,900,000 $ 40,800,000
Company Selected Measure Amount 48,310 49,990 40,840
PEO Name Thomas J. Murphy    
Additional 402(v) Disclosure [Text Block] The following table illustrates the valuation assumptions used for stock option awards included as part of CAP:
•Expected life of each stock option is based on the "simplified method" using an average of the remaining vest and remaining term, as of the vest/fiscal year end date.
•Number of options and exercise price are valued as of Fiscal Year End 2022 point-in-time.
•Risk-free-rate is based on the Treasury Constant Maturity rate closest to the remaining expected life as of the vest/fiscal year end date.
•Historical volatility is based on daily price history for each expected life (years) prior to each vest/fiscal year end date. Closing prices provided by S&P Capital IQ are adjusted for dividends and splits.
For Stock Options Vesting in
202220212020
Expected volatility36% - 39%36% - 41%28% - 29%
Expected dividend yield3.1% - 3.1%3.4% - 3.6%2.9% - 3.0%
Expected term, in years3.0 - 4.53.0 - 4.53.0 - 4.5
Risk-free interest rate1.4% - 1.7%0.2% - 0.5%1.3% - 1.4%
The following table illustrates the valuation assumptions as of the vesting date for restricted stock awards that vested in each of 2022, 2021 and 2020 (note that no awards vested during 2020):
Weighted Average Fair Value
202220212020
Weighted Average Fair Value at vesting$34.35$27.61N/A
    
Measure [Axis]: 1      
Pay vs Performance Disclosure [Table]      
Measure Name Net Operating Earnings    
Non-GAAP Measure Description [Text Block] Net Operating Earnings as defined in the Compensation Discussion and Analysis section of this Proxy Statement    
Measure [Axis]: 2      
Pay vs Performance Disclosure [Table]      
Measure Name Return on Equity    
Measure [Axis]: 3      
Pay vs Performance Disclosure [Table]      
Measure Name Efficiency Ratio    
Measure [Axis]: 4      
Pay vs Performance Disclosure [Table]      
Measure Name Non-Performing Loans    
Measure [Axis]: 5      
Pay vs Performance Disclosure [Table]      
Measure Name Net Charge-Offs    
PEO [Member] | Change in Pension Value [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Pension $ (470,237) $ (908,942) $ (614,685)
PEO [Member] | Pension Adjustments, Service Cost [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Pension 595,215 571,465 482,936
PEO [Member] | Pension Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 124,978 (337,477) (131,749)
PEO [Member] | Equity Award Value Reported in Summary Compensation Table [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards (226,485) (187,798) (184,917)
PEO [Member] | Equity Awards Granted During the Year, Unvested [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 230,583 279,970 173,356
PEO [Member] | Equity Awards Granted in Prior Years, Unvested [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 38,559 106,511 (110,642)
PEO [Member] | Equity Awards Granted in Prior Years, Vested [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards (986) (6,543) (18,867)
PEO [Member] | Equity Awards that Failed to Meet Vesting Conditions [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 0 0 0
PEO [Member] | Equity Awards, Value of Dividends and Other Earnings Paid Adjustment [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 13,723 12,783 11,012
PEO [Member] | Equity Award Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount 55,394 204,923 (130,058)
Non-PEO NEO [Member] | Change in Pension Value [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Pension (52,579) (46,099) (49,985)
Non-PEO NEO [Member] | Pension Adjustments, Service Cost [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Pension 33,255 31,163 29,857
Non-PEO NEO [Member] | Pension Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount (19,324) (14,936) (20,128)
Non-PEO NEO [Member] | Equity Award Value Reported in Summary Compensation Table [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards (38,251) (24,251) (24,950)
Non-PEO NEO [Member] | Equity Awards Granted During the Year, Unvested [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 32,940 54,023 27,724
Non-PEO NEO [Member] | Equity Awards Granted in Prior Years, Unvested [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 18,756 29,766 (21,395)
Non-PEO NEO [Member] | Equity Awards Granted in Prior Years, Vested [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 1,098 (721) (6,556)
Non-PEO NEO [Member] | Equity Awards that Failed to Meet Vesting Conditions [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards (17,228) 0 0
Non-PEO NEO [Member] | Equity Awards, Value of Dividends and Other Earnings Paid Adjustment [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount, Equity Awards 0 0 0
Non-PEO NEO [Member] | Equity Award Adjustments [Member]      
Pay vs Performance Disclosure [Table]      
Adjustment to Compensation Amount $ (2,685) $ 58,817 $ (25,177)