Company: CFG-PE
Filing Date: 2025-07-23
Form Type: 424B2
Source: 0001193125-25-163534
Chunk: 20

Company: CITIZENS FINANCIAL GROUP INC/RI
Filing Date: 2025-07-23
Form: 424B2
Chunk 20
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 accrue or be payable.

Under the FRB’s capital rules, we are subject to certain risk-based and leverage capital requirements. If we fail to meet the effective
minimum requirements with applicable buffers taken into account, we will be subject to constraints on capital distributions, including dividends. The severity of the constraints depends on the amount of the shortfall and the amount of our
“eligible retained income.”

Further, these limitations may change from time to time. For example, in March 2020, the FRB
adopted a rule that, beginning October 1, 2020, replaced the 2.5% static capital conservation buffer with a “stress capital buffer”, which is the higher of 2.5% and the difference between the starting and the minimum projected CET1
capital ratios under the severely adverse scenario as modeled by the FRB as part of the supervisory stress testing framework, plus four quarters of planned common stock dividends. This rule also replaced the quantitative assessment in the
Comprehensive Capital Analysis and Review (“CCAR”) with a requirement that a firm’s planned capital distributions be consistent with any effective capital distribution limitations that would apply under the firm’s own baseline
projections. This rule further provides that a firm must receive prior approval for any capital distribution, other than a capital distribution on a newly issued capital instrument (including the Series I Preferred Stock offered hereby), if the firm
is required to resubmit its capital plan. Additionally, on July 27, 2023, the federal banking agencies issued a notice of proposed rulemaking to modify the regulatory capital requirements applicable to large banking organizations with over
$100 billion of total assets and their depository institution subsidiaries. The proposed rule would generally require banking organizations subject to Category III and IV standards, like us, to compute regulatory capital consistent with
Category I and II standards. As proposed, the new capital rules could require us and our depository institution subsidiaries to hold additional regulatory capital. The FRB has indicated that it expects to work with the other federal banking
regulators in 2025 on a revised proposal. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Capital and Regulatory Matters” in our Form 10-Q for the
quarter ended March 31, 2025.

If we are not paying full dividends on any outstanding dividend parity stock, we will not be able to pay full dividends on the Series I Preferred Stock.

When dividends are paid in part, and not paid in full, upon the shares
of the Series