Company: RWT-PA
Filing Date: 2025-04-01
Form Type: DEF 14A
Source: 0000930236-25-000012
Chunk: 48

Company: REDWOOD TRUST INC
Filing Date: 2025-04-01
Form: DEF 14A
Chunk 48
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 that were contacted in 2024 responded that engagement in prior years had supported their understanding and support for the compensation program, without the need for direct engagement in 2024. Stockholders who did directly engage in 2024 were focused on understanding how stockholder concerns raised in 2022 had been fully addressed by the changes to the program over the course of 2022 and 2023 and were focused on how financial performance targets were established and the levels of compensation realized for performance at, above and below those target levels.

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| Section II - Executive Compensation in 2024 |     |   |     |                                                                                        |
|                                             |     | Ø |     | Redwood’s 2024 Performance                                                             |
|                                             |     | Ø |     | Elements of Compensation in 2024                                                       |
|                                             |     | Ø |     | Process for Compensation Determinations for 2024                                       |
|                                             |     | Ø |     | Compensation Peer Group for 2024                                                       |
|                                             |     | Ø |     | 2024 Base Salaries                                                                     |
|                                             |     | Ø |     | 2024 Performance-Based Annual Bonus Compensation                                       |
|                                             |     | Ø |     | Performance-Based Annual Bonuses Earned for 2024                                       |
|                                             |     | Ø |     | 2024 Long-Term Equity-Based Incentive Awards                                           |
|                                             |     | Ø |     | Vesting and Mandatory Holding Periods for 2024 Long-Term Equity-Based Incentive Awards |
|                                             |     | Ø |     | Pay-for-Performance Outcomes from Long-Term Equity-Based Incentive Awards              |

#### Redwood’s 2024 Performance
Overall, 2024 presented a challenging market and operating environment for Redwood and its closest industry peers. Significant volatility in key benchmark interest rates over the course of the year resulted in below-target performance on an absolute basis compared to Committee-established targets. On a relative basis, 2024 bvTSR and 2024 ROE were above certain peers and below others, as illustrated within the preceding “Executive Summary of CD&A” under the heading “Annual Financial Performance – 2024” on page 36 of this Proxy Statement. As further detailed within this Compensation Discussion and Analysis, Redwood’s annual financial performance for 2024 was below the targets established by the Committee, which drove below-target annual bonus realization for Redwood’s CEO and other executive officers.

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