Company: WTFCN
Filing Date: 2025-04-03
Form Type: DEF 14A
Source: 0001104659-25-031671
Chunk: 97

Company: WINTRUST FINANCIAL CORP
Filing Date: 2025-04-03
Form: DEF 14A
Chunk 97
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 ​ |      0.38% | ​ | ​ | ​ | ​ | ​                 | ​ | 0.74% | ​ | ​ | ​ |

Total Potential Dilution . Our equity plan dilution rate (or overhang) as of March 17, 2025 was 3.3% (calculated by dividing (1) the number of shares subject to awards outstanding plus the number of shares remaining available for grant under the 2022 Plan and the Director Plan, by (2) the total number of shares of Common Stock outstanding). If shareholders approve the 2025 Plan, the 1,825,000 shares available for issuance under the 2025 Plan would increase our total potential dilution rate by 2.7% to 6.0%. Expected Plan Duration . Based on our historic and projected future use of equity-based compensation, we estimate that the shares requested under the 2025 Plan will be sufficient to provide awards for approximately six years. However, the actual duration of the shares reserve will depend on currently unknown factors, such as the Company’s future stock price, changes in participation, our hiring and promotion activity, future grant practices, award type mix and levels, competitive market practices, acquisitions and divestitures, and the rate of returned shares due to forfeitures, the need to attract, retain and incentivize key talent, the number of dividend equivalent rights outstanding, the extent to which they provide for settlement in stock and the amount and frequency of the Company’s dividend payments, and how the Company chooses to balance total compensation between cash and equity-based awards. If the 2025 Plan is approved by shareholders, we will continue to be able to make awards of long-term equity incentives, which we believe are critical for attracting, motivating, rewarding and retaining a talented management team who will contribute to our success. The Board believes that the Company has granted equity in a reasonable manner, with a three-year average burn rate of approximately 0.74% of the outstanding shares of Common Stock. Purpose of the 2025 Plan The 2025 Plan is intended to provide the Company with the ability to provide market-responsive, stock-based incentives and other rewards for officers, employees, directors and consultants of the Company and its subsidiaries that (i) provide such award recipients with a stake in the growth of the Company and (ii) encourage them to continue in the service of the Company and its subsidiaries. We believe that the 2025 Plan will enhance our ability to link pay to performance and our ability