Company: BPOPM
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001140361-25-010189
Chunk: 7

Company: POPULAR, INC.
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 7
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 nor pledging or hedging of our securities                                                                                    |
| •Compensation Recoupment (clawback) Policy                                                                                                                                        |
| •Annual say-on-pay advisory vote                                                                                                                                                  |
| •Independent compensation consultant                                                                                                                                              |
| •Compensation governance framework that establishes the guiding principles we use to develop our employee compensation programs and design the incentives available to executives |

| Executive alignment with long-term shareholder value     
 •Stock ownership requirements for our executive officers 
 •Extended equity vesting (over a four-year period)       |
|:---------------------------------------------------------|
| •Double-trigger equity vesting upon change in control    |

Pay Mix in the Compensation Program Our executive compensation program focuses on the achievement of annual and long-term goals that generate sustained company performance and strong returns to our shareholders. As illustrated in the graphs below, in 2024, 81% of total target compensation for the CEO and 66% on average for the other NEOs was at-risk, subject to corporate and individual performance. Base Salary With the exception of Mr. García, who received a 45% adjustment on his base salary upon his promotion to CFO on April 1, 2024, the other NEOs did not receive a salary increase adjustment during 2024. Short-Term Annual Cash Incentive Popular’s short-term cash incentive rewards the achievement of annual financial and non-financial goals that reinforce the Corporation’s business strategy and priorities. The short-term annual cash incentive is awarded based on the degree of achievement of the corporate adjusted after-tax net income goal, the annual adjusted after-tax Return on Average Tangible Common Equity (“ROATCE”) goal, the key milestones tied to the Corporation’s muti-year transformation initiative and individual pre-determined financial and non-financial goals based on each NEO’s role. For 2024, the total short-term cash incentive target as a percentage of base salary was 135% for the CEO and 80% for the other NEOs. Actual payouts can range from zero to 1.5 times the target award. After considering all incentive components, the Talent and Compensation Committee (the “Committee”) approved annual cash incentive payments in respect of 2024 equal to 94% of target for Mr. Alvarez, 91% of target for Mr. García, 95% of target for Mr. Ferrer, 91% of target for Mr. Soriano and 84% of

| PROXY STATEMENT SUMMARY  | 7 |

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target for Mr. Chinea