Company: BCDRF
Filing Date: 2025-02-28
Form Type: 20-F
Source: 0000891478-25-000054
Chunk: 27

Company: Banco Santander, S.A.
Filing Date: 2025-02-28
Form: 20-F
Chunk 27
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 committee                                                                        
 Assists the board in fulfilling its oversight of the responsible business strategy and sustainability issues (company and Group) |

|                                                        |     | é                      |     |                                                                   |     | é |     | é                                                           |
| Executive & management level (main bodies & functions) |     |                        |     |                                                                   |     |   |     |                                                             |
|                                                        |     | Risk control committee |     | Accounting & financial management information corporate committee 
 Financial accounting & control function                           |     |   |     | Sustainability, risk, reporting and ESG businesses function |

| Defence lines: |     |                                                                                  |     |                     |     |                    |
|                |     | 1stline of defence                                                               
 (Business owners, general accounting and management and sustainability function) |     | 2ndline of defence  
 (Risk & compliance) |     | 3rdline of defence 
 (Internal Audit)   |

¢ Overall responsibility ¢ Supervisory oversight é Reporting é Risk é Impact é Opportunities

A. The BRC works with the RBSCC (Responsible Banking, Sustainability and Cultural Committee) to review ESG-related conduct risk, data protection risk, customer vulnerability, reputational issues, risk policies and how business units adopted these policies.

| For more details on  sustainability governance, see note'SN2.Sustainability governance'. |

1.4.1 Integration of sustainability-related performance in incentive schemes Grupo Santander’s remuneration policy reflects our strategic and long-term sustainability objectives. Variable pay is based on pre-determined, specific and quantifiable financial, sustainability-based and value-creation targets.

| For more details, see section6.1 'Remuneration policy'in the Corporate Governance chapter. |

Our long-term incentives (LTI) scheme applies to our top 36 Groups' executives, including the Executive Chair and the CEO. Sustainability has formed part of the last three LTI schemes, with a 20% weighting. The proposal for 2025-2027 will be subject to vote at the Annual General Meeting in 2025.

| For more details, see section6.3 'Remuneration of directors for executive duties'in the Corporate Governance chapter. |

Short-term variable remuneration has a qualitative and quantitative component. Under the qualitative component, sustainability has had a ± 5% weighting in the Group, global businesses and subsidiaries since 2020. Short-term incentives apply to our top 236 Groups' executives and global and subsidiary corporate centre employees. In 2024,