UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): January 23, 2006
HMN Financial, Inc.
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(Exact name of registrant as specified in its chapter)
Delaware 0-24100 41-1777397
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
1016 Civic Center Drive Northwest
PO Box 6057
Rochester, Minnesota 55903-6057
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (507) 535-1200
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(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions
|_| Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
|_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|_| Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
|_| Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 1.01. Entry into a Material Definitive Agreement.
2005 Bonuses
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On January 24, 2006, the Compensation Committee of the Board of Directors (the
"Compensation Committee") of HMN Financial, Inc. (the "Company") authorized
payment of a $160,000 cash bonus to Michael McNeil, the Company's President and
Chief Executive Officer, after performance targets were achieved in accordance
with his 2005 bonus plan, a description of which was filed as Exhibit 10.1 the
Company's Current Report on Form 8-K dated January 24, 2005 and filed January
28, 2005.
In addition, the Compensation Committee exercised its discretion to pay cash
bonuses to each of the Company's other executive officers in the following
amounts:
Name - 2005 Bonus
Bradley C. Krehbiel - $33,800
Jon J. Eberle - $31,250
Susan K. Kolling - $26,778
Dwain C. Jorgensen - $25,685
2006 Base Salaries
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On January 24, 2006, the Compensation Committee authorized the following
increases to the base salaries of the Company's executive officers. On January
26, 2006 the Compensation Committee authorized an increase to the base salary of
the Company's President and Chief Executive Officer, Michael McNeil. All
increase were effective January 1, 2006:
Name - 2005 Base Salary; 2006 Base Salary
Michael McNeil - $300,000; $310,000
Bradley C. Krehbiel - $135,200; $150,000
Jon J. Eberle - $125,000; $130,000
Susan K. Kolling - $107,110; $110,325
Dwain C. Jorgensen -$102,740; $105,825
2006 Bonus Plan
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On January 26, 2006, the Compensation Committee adopted a cash bonus plan for
Michael McNeil, the Company's President and Chief Executive Officer. A
description of this plan is filed as Exhibit 10.1 hereto and incorporated herein
by reference.
Item 2.02. Results of Operations and Financial Condition.
On January 23, 2006 the Company issued a press release, which is furnished as
Exhibit 99, and incorporated by reference in this
Current Report on Form 8-K.
Item 9.01. Financial Statements and Exhibits
(c) Exhibits (the following exhibits are furnished to the SEC)
Exhibit Number Description
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10.1 Description of Michael McNeil 2006 Bonus Plan
99 Press release dated January 23, 2006
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
HMN Financial, Inc.
(Registrant)
Date: January 27, 2006 /s/ Jon Eberle
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Jon Eberle, SVP/CFO/Treasurer
EXHIBIT INDEX
Exhibit Number Description
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10.1 Description of Michael McNeil 2006 Bonus Plan
99 Press release dated January 23, 2006