Company: BCDRF
Filing Date: 2025-02-28
Form Type: 20-F
Source: 0000891478-25-000054
Chunk: 317

Company: Banco Santander, S.A.
Filing Date: 2025-02-28
Form: 20-F
Chunk 317
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 and corporate behaviours. Remuneration must be free of gender-based bias and help eliminate inequalities that could result from it. |

The remuneration elements the policy lays down include necessary mechanisms to ensure remuneration will be conducive to achieving strategic and long-term sustainability objectives of Banco Santander.

Accordingly, it bases executive directors and senior managers’ variable pay on pre-determined, specific and quantifiable financial, sustainability-based and value-creation targets that are consistent with Banco Santander’s interests, including in regard to environmental, social and governance matters. For more details, please see section 6.3about the policy's application in 2024 and section 6.4about the remuneration policy for 2025 and subsequent years. Lastly, the remuneration committee and the board enlisted the assistance of Willis Towers Watson to: • Compare markets and entities similar to the Group in size, characteristics and operations using relevant data for setting remuneration. • Estimate the fair value of variable remuneration linked to long-term objectives. 6.2 Remuneration of directors for supervisory and collective decision-making duties: policy applied in 2024 A. Composition and limits According to our Bylaws, the remuneration of directors in their roles consists of a fixed annual amount set at the general shareholders' meeting. This amount remains in effect until shareholders vote to amend it, even though the board may reduce it in the years it deems appropriate. At the AGM, remuneration for 2024 was set at EUR 6 million (limit that has not been updated since 2012 and whose amount finally consumed has been systematically lower), which included (a) an annual allotment and (b) attendance fees. Santander has taken out a civil liability insurance policy for directors and other executives of the Group, subject to usual terms proportionate to its circumstances. Directors can receive shares, share options or other forms of share-based compensation, subject to prior approval at the general meeting. Directors can also receive other compensation following a proposal made by the remuneration committee and upon resolution by the board of directors, as may be deemed appropriate, in consideration for the performance of other duties in Banco Santander, whether they are executives' duties or not, in addition to their oversight and collective decision-making as board members. Non-executive directors do not have the right to receive any benefit on the occasion of their removal from office.

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