Company: BPOPM
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001140361-25-010189
Chunk: 54

Company: POPULAR, INC.
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 54
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 In determining our 2022-2024 adjusted ROATCE values, the Committee made the same adjustment to GAAP net income as those made for the short-term annual cash incentive award determination. Profit Sharing Incentive Popular’s compensation program includes a profit-sharing component, with eligibility extended to all employees. The annual contribution is determined by the Board at its discretion, considering: (i) the extent to which Popular exceeded the minimum level of 103% of budgeted after-tax net income before profit sharing in the prior year (up to a maximum of 115%), and (ii) other factors such as risk management and credit quality, and the execution of critical corporate growth and efficiency projects, among others. Awards may range up to 8% of each employee’s prior-year total cash compensation, with eligible compensation capped at $70,000. The first 4% of the contribution is payable in cash, with anything above 4% paid as a tax-deferred contribution by Popular to the retirement savings and investment plans. Due to the Corporation’s 2024 net income results, a profit-sharing award was not approved by the Committee for 2024. Perquisites and Benefits Perquisites and other executive benefits do not represent a significant portion of our executive compensation program. We do not provide employment agreements, change in control arrangements, tax gross-ups, supplemental retirement benefits or club memberships to our executives. During 2024, limited perquisites, such as the use of company-owned automobile, personal security for the CEO and tickets to events sponsored by Popular, were offered to NEOs. Former CFO Service Agreement Mr. Vázquez retired from his position as CFO of the Corporation on March 31, 2024 (the “CFO Retirement Date”). In connection with Mr. Vázquez’s voluntary retirement, on December 7, 2023, the Corporation and Mr. Vázquez entered into a service agreement (the “CFO Service Agreement”) pursuant to which Mr. Vázquez provides consulting services to Popular for a one year period following the CFO Retirement Date to facilitate the transition of the CFO responsibilities to his successor and provide additional business support as needed. Under the CFO Service Agreement, Mr. Vázquez receives a monthly consulting fee in an amount equal to $32,000 and is subject to certain restrictive covenants, including customary confidentiality covenants, as well as non-competition and non-solicit restrictions. CEO Retirement and Service and Award Agreements On February 25, 2025, Mr. Alvarez announced