Company: CFG-PE
Filing Date: 2025-04-11
Form Type: DEFA14A
Source: 0000759944-25-000047
Chunk: 3

Company: CITIZENS FINANCIAL GROUP INC/RI
Filing Date: 2025-04-11
Form: DEFA14A
Chunk 3
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 to the Company, and for Mr. Woods and Mr. Coughlin a small portion was awarded in the form of restricted cash (14%-17%) to provide some liquidity in light of their increased stock ownership requirements (which were increased from 3x to 6x base salary, in line with the ownership guideline in place for Mr. Van Saun). The PSUs and RSUs would be forfeited upon resignation by the executive, including by reason of retirement, and the restricted cash awards are subject to repayment in full if the executive resigns within three years. The PSUs have a three year-performance period (2024-2026) are based 50% on average ROTCE and 50% on cumulative EPS, and have a +/-20% total shareholder return (“TSR”) modifier. The maximum payout level for these awards is 150% of target, with maximum average ROTCE tied to

3 underlying 2026 ROTCE of 18%, which is at the upper end of our medium-term guidance and maximum cumulative EPS tied to 2026 EPS of $7.26. Proxy Advisory Review Our responsiveness to shareholders’ feedback on our executive compensation program was acknowledged by both Institutional Shareholder Services (“ISS”) and Glass Lewis (“GL”) in their voting recommendation reports this year. Nevertheless, each of ISS and GL has recommended that shareholders vote “AGAINST” our Say-on-Pay Proposal. These recommendations were driven by the LSAs granted in June 2024 to select executives identified as CEO successor candidates. We disagree with ISS’ and GL’s recommendations. We believe the rationale of the Board and Compensation and HR Committee in granting these awards was sound and appropriate and that the LSAs were structured in a manner aligned with shareholder interests. Conclusion We believe that the Compensation and HR Committee has designed and administered an executive compensation program that has a demonstrated history of maintaining appropriate alignment between executive compensation and company performance, is supported by effective corporate governance and risk management, and which has been responsive to shareholder feedback as demonstrated by the changes implemented during 2024. It was after careful consideration over several months by the Board and Compensation and HR Committee that the LSAs were granted and we believe those awards were critically necessary to preserve shareholder value. For all the reasons noted above, we urge you to vote FOR our “2025 Say-on-Pay” proposal and for all proposals set forth in our 2025 Proxy Statement. I hope that this letter, together with the more detailed information in our 2025 Proxy Statement, will assist you in making