Company: RWT-PA
Filing Date: 2025-04-01
Form Type: DEF 14A
Source: 0000930236-25-000012
Chunk: 73

Company: REDWOOD TRUST INC
Filing Date: 2025-04-01
Form: DEF 14A
Chunk 73
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 mandatory four-year holding period with respect to these DSU awards, with the result that these DSU awards are not scheduled to be distributed to recipients in shares of Redwood common stock until four years following the grant date (i.e., in December 2028).

csRSUs Granted in December 2024 . The cash-settled RSUs (“csRSUs”) granted to executive officers in December 2024 have the four-year vesting schedule described above on pages 66-69 within this CD&A under the heading “2024 Long-Term Equity-Based Incentive Awards.”

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PSUs Granted in December 2024 . The PSUs granted to executive officers in December 2024 have the three-year vesting/performance measurement period described above on pages 66-69 within this CD&A under the heading “2024 Long-Term Equity-Based Incentive Awards.” For any of these PSUs that vest, they will be distributed to recipients in shares of Redwood common stock not later than 45 days following April 1, 2028.

Pay-for-Performance Outcomes from Long-Term Equity-Based Incentive Awards

As described above, long-term incentive awards (collectively, “LTI Awards”), including awards in the form of DSUs and PSUs, are a significant component of Redwood’s performance-based compensation program, and generally account for a majority of each NEO’s annual target compensation. These LTI Awards are a key component of the overall executive compensation program, as actual value delivery/realization from these LTI Awards aligns executive compensation with long-term stockholder return experiences, with a key focus on three-year performance measurement periods.

As detailed below, in 2024 Redwood’s NEOs vested into realized and delivered compensation from LTI Awards awarded in prior years as follows:

Mr. Abate : (i) vesting and delivery of 106,898 DSUs granted in December 2020; (ii) vesting and settlement of 106,898 csDSUs granted in December 2020; (iii) vesting and settlement of 29,605 csRSUs (which was a tranche consisting of 25% of the csRSUs granted in December 2023); and (iv) performance-based vesting of 67,591 PSUs granted in December 2021, which represented 35% of the target number of PSUs granted in December 2021 (based on level of overall attainment of performance