Company: BPOPM
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001140361-25-010189
Chunk: 52

Company: POPULAR, INC.
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 52
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 construed as earnings guidance. The Committee believes the target levels for absolute performance are challenging, yet achievable, based upon consideration of historical performance, budget forecasts, and peer practices, among others. While we do not disclose forward-looking goals, we commit to disclosing target performance and performance achievement in the Compensation Discussion and Analysis (“CD&A”) each year as performance awards vest. Nevertheless, if the Corporation does not meet the threshold projected for the 3-year period ending December 31, 2026, no payment will be made. Our historical performance share payouts for the absolute metric to date have averaged 101% of target during the last 8 performance cycles. Restricted Stock Time-vested restricted stock, reflecting 50% of the target LTI opportunity, supports our goals to encourage executive stock ownership and retention. The value of awards granted may vary from zero to 1.5 times the executive’s target award based upon consideration of the prior year’s corporate and individual performance assessed by the Committee on a holistic basis. Once granted, shares vest on a pro-rata basis, with 25% vesting annually over 4 years. The Committee granted 2024 restricted stock awards at target level for the CEO and above target level for the other NEOs (as shown in the table below), recognizing each NEO’s strong leadership and contributions to Popular’s solid performance in 2023. Due to Mr. Vázquez’s retirement on March 31, 2024, the Committee approved an LTI award in an amount equal to 80% of Mr. Vázquez’s base salary, solely in the form of time-based restricted stock with a one-year vesting and subject to certain restrictive covenants, including customary confidentiality covenants, as well as non-competition and non-solicit restrictions that extend for one year after his retirement date. As a result of his retirement, Mr. Vázquez was not awarded performance shares during 2024. The Committee granted Mr. García, who became the Corporation’s new CFO on April 1, 2024, an LTI Award in respect of 2024 based on his new CFO LTI award target.

EXECUTIVE AND DIRECTOR COMPENSATION | 55

TABLE OF CONTENTS

The awards, indicated in the table below, will vest as previously described to the extent that the corresponding service and performance conditions are met. The terms of the awards include covenants that prohibit the solicitation of the Corporation’s employees and customers.

|                   |     | Performance 
      Shares