Company: NWBI
Filing Date: 2025-03-07
Form Type: DEF 14A
Source: 0001193125-25-049104
Chunk: 39

Company: Northwest Bancshares, Inc.
Filing Date: 2025-03-07
Form: DEF 14A
Chunk 39
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2) |     |          | 15 | % |     |                   | 67.50 | % |     |               | 65.00 | % |     |               | 60.00 | % |     |                 | 64.11 | %  |     |             | 108.90 | % |     |          | 16.34 | % |
| Loan Growth          |     |          | 15 | % |     |                   |  3.23 | % |     |               |  4.62 | % |     |               |  6.00 | % |     |                 | (1.39 | )% |     |             |      — | % |     |          |     — | % |

| (1) | Results exclude the impact of Securities Restructuring and merger/restructuring expenses (non-GAAP). |

| (2) | Excludes amortization of intangible assets and merger, asset disposition and restructuring expenses (non-GAAP). |

The Compensation Committee has discretion under the Management Bonus Plan to adjust the overall performance level achieved to include or exclude the effect of extraordinary, unusual or non-recurringitems, changes in tax or accounting rules or the effect of mergers or acquisitions. These adjustments aim to maintain fairness to both participants and shareholders, while also fostering actions that promote the long-term health of the business and align with predetermined performance goals. In 2024, the economic challenges facing regional financial institutions persisted, including elevated interest rates, increased credit costs, industry-wide funding constraints, and compressed net interest margins. At the start of the year, the Company set its financial targets based on reasonable expectations of the market conditions at that time. However, as the year progressed, it became clear that maintaining disciplined loan growth, particularly in the consumer portfolio, was critical to balancing profitability and risk. As a result, the Company focused on commercial loan expansion, achieving a 21% year-over-year increase, while deliberately limiting consumer loan growth to preserve pricing discipline and long-term financial stability. While this approach ultimately strengthened key financial metrics, it also resulted in a shortfall on the Loan Growth KPI. As a result, initial funding under the Management Bonus Plan was determined to be 92.47% of target based on the following actual performance outcomes:

| • |     | Three of the four Management Bonus KPIs (adjusted ROAA, adjusted ROAE, and Efficiency Ratio) showed strong progress and achieved above target performance. |

| • |     |