Company: ASB
Filing Date: 2025-03-17
Form Type: DEF 14A
Source: 0000007789-25-000025
Chunk: 36

Company: ASSOCIATED BANC-CORP
Filing Date: 2025-03-17
Form: DEF 14A
Chunk 36
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, interest and tax penalties in the year the award vests or is granted. This summary does

not constitute tax advice and does not address possible state, local or foreign tax consequences.

Restricted Stock Awards

Unless an election is made by the recipient under Section 83(b) of the Code, a participant will not recognize any taxable income

upon the award of shares of restricted stock that are not transferable and are subject to a substantial risk of forfeiture. Dividends

paid with respect to the RSAs prior to the lapse of restrictions applicable to that stock will be taxable as compensation income

to the participant. Generally, the participant will recognize taxable ordinary income at the first time those shares become

transferable or are no longer subject to a substantial risk of forfeiture, in an amount equal to the fair market value of those

shares when the restrictions lapse, less any amount paid with respect to the RSA award. The recipient’s tax basis will be equal

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to the sum of the amount of ordinary income recognized upon the lapse of restrictions and any amount paid for such RSA. The

recipient’s holding period will commence on the date on which the restrictions lapse.

As indicated above, a participant may elect, under Section 83(b) of the Code, to recognize taxable ordinary income upon the

award date of RSA (rather than being taxed as described above) based on the fair market value of the shares of Common Stock

subject to the award on the date of the award. If a participant makes that election, any dividends paid with respect to that RSA

will not be treated as compensation income, but rather as dividend income, and the participant will not recognize additional

taxable income when the restrictions applicable to the RSA lapse. Assuming compliance with the applicable tax withholding

and reporting requirements, Associated will be entitled to a tax deduction equal to the amount of ordinary income recognized by

a participant in connection with the participant’s RSA in the taxable year in which that participant recognizes that ordinary

income.

Restricted Stock Units

The granting of RSUs generally should not result in the recognition of taxable income by the recipient or a tax deduction by

Associated. The settlement of RSUs should generally result in immediate recognition of taxable ordinary income by the

recipient equal to the amount of the then-current fair market value of the shares of Common Stock received and a corresponding

tax deduction by Associated.

Stock Options

The grant of stock options under the 2025 Plan will not result in taxable income to the recipient of the option or an income tax

deduction for Associated.