Company: MBINL
Filing Date: 2025-04-04
Form Type: DEF 14A
Source: 0001104659-25-032188
Chunk: 23

Company: Merchants Bancorp
Filing Date: 2025-04-04
Form: DEF 14A
Chunk 23
---
| ● | Michael R. Dury, President and Chief Executive Officer of Merchants Capital; |

| ● | John F. Macke, former Executive Vice President and Chief Financial Officer, who retired in September 2024; |

| ● | Martin A. Schroeter, President – Warehouse Lending; and |

| ● | Sean A. Sievers, Executive Vice President and Chief Financial Officer, who joined in September 2024. |

15 NEO Changes in 2024 The following summarizes recent changes and promotions affecting our NEOs, with additional detail as it relates to their 2024 compensation.

Regulatory Impact on Compensation As a publicly traded financial institution, we are subject to various regulations when considering and implementing compensation-related decisions. Although these regulations do not set specific parameters within which compensation decisions must be made, they do require that we be mindful of the risks associated with compensation programs designed to incentivize the achievement of better than average performance. In particular, the federal bank regulators, including the Federal Deposit Insurance Corporation (“FDIC”), have long held that excessive compensation is prohibited as an unsafe and unsound practice. In describing a framework to determine whether compensation is excessive, the FDIC has indicated that financial institutions should consider whether aggregate cash amounts paid, or noncash benefits provided, to employees are unreasonable or disproportionate to the services performed by an employee. The FDIC encourages financial institutions to review an employee’s compensation history and to consider internal pay equity, and, as appropriate, to consider benchmarking compensation to peer groups. Finally, the FDIC provides that, in order to give proper context, such an assessment must be made in light of the institution’s overall financial condition. Additionally, we must also take into account the joint agency Guidance on Sound Incentive Compensation Policies, which sets forth a framework for assessing and mitigating risk associated with incentive compensation plans, programs, and arrangements maintained by financial institutions. Other matters, such as accounting, tax, and SEC requirements regarding risk assessment are also considered by the Compensation Committee and Board as part of its compensation design and annual decisions. The SEC has adopted final “clawback” rules, as directed by the Dodd-Frank Act, which Nasdaq has implemented. Our clawback policy, among other things, requires that we recover excess incentive-based compensation from executive officers if we are required to prepare an accounting restatement due to material noncompliance with any financial reporting requirement under securities laws. Our clawback policy can be found on ourwebsite ( investors.merchantsbancorp.com) under the corporate profile