Company: TCBI
Filing Date: 2025-03-06
Form Type: DEF 14A
Source: 0001077428-25-000066
Chunk: 62

Company: TEXAS CAPITAL BANCSHARES INC/TX
Filing Date: 2025-03-06
Form: DEF 14A
Chunk 62
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 available to common stockholders.2Percentage change over the prior fiscal year.3Diluted earnings per common share.4Return on Average Assets.5Non-interest expense divided by the sum of net interest income and non-interest expense.6Common Equity Tier 1 capital divided by risk-weighted assets.7Return on Average Common Equity.8Total stockholder return.9Includes service charges on deposit accounts, as well as fees related to commercial card program, merchant transactions and FX transactions.10Net interest income plus non-interest income, less non-interest expense.11Stockholders’ equity excluding preferred stock, less goodwill and intangibles, divided by shares outstanding at period end.12Common Equity Tier 1 capital divided by risk-weighted assets.†Non-GAAP financial measures. See Annex A for information concerning these measures, including a description of how these measures are calculated and a reconciliation to the most comparable GAAP financial measure. |

| 2 |     | Performance Assessment and Compensation Determination Framework |

To make compensation decisions that drive long-term stockholder value, the Compensation Committee provides strong oversight and relies on a sound set of compensation principles, a disciplined performance assessment framework, consultation by and engagement of an independent advisor, and is informed by market data.

#### Committee Oversight
The Compensation Committee oversees the Company’s executive compensation programs. Each member of the Compensation Committee is an “independent director” as defined by the Nasdaq Stock Market Listing Standards and SEC rules. With approval of the Board, the Compensation Committee applies a compensation philosophy that focuses on a combination of competitive base salary and incentive compensation, including cash and equity-based programs, which are directly tied to performance and creation of stockholder value. That philosophy includes the tenet that a significant amount of the executive’s compensation should be variable.

The Compensation Committee meets throughout the year, including formal meetings, informal conferences and discussions with other directors, management and consultants. The Compensation Committee works with executive management, primarily the CEO, to assess the compensation approach and compensation levels for the executive officers and key employees other than the CEO. The Compensation Committee makes recommendations to the Board with respect to the overall executive compensation programs, philosophy and objectives of the Company. The Compensation Committee establishes objectives for the Company’s CEO and makes a recommendation to the full Board regarding the CEO’s compensation based, in part, on the evaluation of market data provided by its independent compensation consultant in addition to Board-approved financial plans for the Company. The Compensation Committee also reviews and approves the Company’s annual and long-term incentive plans for the NEOs (other