Company: RWT-PA
Filing Date: 2025-04-01
Form Type: DEF 14A
Source: 0000930236-25-000012
Chunk: 34

Company: REDWOOD TRUST INC
Filing Date: 2025-04-01
Form: DEF 14A
Chunk 34
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 *CEO’s 2024 total target annual bonus was $1.9 million, comprised of a target Company Performance component of $1,425,000 and a target Individual Performance component of $475,000. CEO’s 2024 total realized annual bonus was $1,573,696, comprised of a Company Performance component of $956,196 (67% of target amount for this component) and an Individual Performance component of $617,500 (130% of target amount for this component). |

Endnotes are set forth on page 45, following the conclusion of this Executive Summary.

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| CEO’S 2024 LONG-TERM PAY-FOR-PERFORMANCE OUTCOME |

Long-Term Performance As described above, long-term incentive awards have been the predominant element of target compensation for Redwood’s CEO under the Company’s executive compensation program. Based on the structure of these awards, the CEO’s pay realization from long-term components of pay is generally linked to three-year performance as measured by absolute and relative stockholder returns, as well as to longer-term stock performance for awards that vest over a four-year service period.

| Redwood’s Long-Term TSR Performance |     |                                                                                                                                                                                                                                                                                                                                                                                         |
|                                     |     | Long-Term TSR:Three- and four-year total stockholder return is a key measure for assessing Redwood’s long-term performance – on both an absolute basis (TSR) and measured relative to peers and industry indices (rTSR) – and three- and four-year TSR metrics are structurally incorporated into Redwood’s executive compensation program and meaningfully impact realized pay values. 
 ▪As illustrated in the accompanying graphs, Redwood’s three-year TSR (2022-2024) lagged peers and industry indices. Our longer-term four-year TSR (2021-2024) exceeded most of these same peers and industry indices.                                                                                                                                                                   
 ▪As illustrated on the following page, pay realization from long-term components of compensation that vest over three- and four-year periods is correlated with these stockholder returns, in accordance with the pay-for-performance design of Redwood’s executive compensation program.                                                                                               |

Endnotes are set forth on page 45, following the conclusion of this Executive Summary.

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| CEO’S 2024 LONG-TERM PAY-FOR-PERFORMANCE OUTCOME (CONT.) |

Alignment of Long-Term