Company: ASB
Filing Date: 2025-03-17
Form Type: DEF 14A
Source: 0000007789-25-000025
Chunk: 51

Company: ASSOCIATED BANC-CORP
Filing Date: 2025-03-17
Form: DEF 14A
Chunk 51
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 the Company’sAnnual Report on Form 10-K ConsolidatedStatement of Income.                                                          |
| Revenue Before Long-Term Credit Charge(Revenue Before LTCC) | 30%        | Directly aligns with strategicinitiatives to grow the Company.                                                                              | A Non-GAAP measure that consists of  NetInterest Income plus Noninterest Income (Loss)generated by Associated which can be found inthe Company's Annual Consolidated Statementof Income.                                                                                                          |
| Operating Leverage                                          | 30%        | Measures efficiency aimed atachieving revenue growth fasterthan expenses, encouraging abalanced focus on growth, not justexpense reduction. | Year-over-year percentage change in totalRevenue Before LTCC minus the percentagechange in total Noninterest Expense. This is aNon-GAAP measure. A positive ratio showsthat revenue is growing faster than expenses. Anegative ratio indicates that expenses areaccumulating faster than revenue. |

2024 MIP Payout In consideration of the successful balance sheet repositioning designed to further drive improved profitability and accelerate the organic growth strategy plus to reward management for their leadership and key successes in 2024, the Committee approved an adjustment to the MIP for payment calculation purp oses.

| Description                     | Overview                                                                                                                                                                                                                                                                                                                                          | One-TimeAfter-Tax Adjustment |
| 2024 Balance SheetRepositioning | Non-recurring balance sheet repositioning to further acceleratethe Company's organic growth strategy.Note: The adjustment included Mortgage Fee Income, Investment Security Sales Loss,Reinvestment of Security Sales Proceeds, Net Provision Impact, Credit Card InterestIncome, FHLB Prepayment Penalty, benefit of FHLB refinancing and Taxes. | $253 million(netloss)        |

After the adjustment, achievement under the 2024 MIP was funded at 103.3% of target. • Without adjusting MIP performance for the balance sheet repositioning, MIP achievement would have been below threshold performance under the plan. Accordingly, the calculated payout would be zero. • After removing the financial impacts of the balance sheet repositioning, the adjusted MIP achievement was 103.3% of target performance which is approximately the same funding level estimated prior to the balance sheet repositioning. • Since the adjusted achievement percent was not nominally different compared to the estimated unadjusted achievement and was well aligned with forecast and operational performance results, the Committee approved a plan payout of 103.3%.

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The actual and adjusted results for the respective plan metrics are as follows:

**2024