Company: MBINL
Filing Date: 2025-04-04
Form Type: DEF 14A
Source: 0001104659-25-032188
Chunk: 32

Company: Merchants Bancorp
Filing Date: 2025-04-04
Form: DEF 14A
Chunk 32
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 incentive award would be pro-rated based on the number of days employed by us in 2024. A target equity incentive award was not established for Mr. Schroeter in 2024. The Compensation Committee and Board determined Mr. Schroeter’s compensation was appropriately structured in other ways to ensure that he was properly motivated and aligned with shareholder interest, in particular, that his compensation should be primarily tied to the performance of our mortgage warehouse business. 21 In the same manner as for our cash incentives, as provided above in this CD&A, for 2024 equity awards the Compensation Committee established:

| ● | Performance Measures: total revenue, earnings per common share, and return on average total equity. |

| ● | Weighting: equal weighting to each performance measure. |

| ● | Payout Percentages: between 75% to 125% of target; provided, however, payouts could be reduced to zero percent if threshold 
 performance measures were not met and/or Merchants Bank failed to be well capitalized for any quarter in 2024.              |

Also, in the same manner as for our cash incentives, after our fiscal year-end the Compensation Committee reviews our overall performance as compared to the established performance measures, reviews whether Merchants Bank maintained well capitalized status for each quarter, and determines whether the NEO is entitled to receive a payout of such cash incentive. For 2024, if the 75% of target threshold for a performance measure was not met, no NEO would receive a payout with respect to the portion of their equity incentive award associated with that performance measure. Also, no NEO would receive a payout if Merchants Bank was not well capitalized at the end of any quarter in 2024. As provided above in this CD&A, at its January 2025 meeting, the Compensation Committee determined that for 2024 we achieved an average of 103% of the target performance measures, and Merchants Bank was well capitalized at the end of each quarter, and therefore each of Messrs. Petrie, Dunlap, Dury, and Sievers received a payout of 103% of their respective target equity incentive award in the form of restricted stock units, rounded up to the nearest whole share. In the case of Mr. Sievers, his incentive award was prorated based on the number of days he was employed by us in 2024. Each award vests ratably over a three (3) year period, with the first portion vesting on the February 1 stafter the first anniversary date of the