Company: CVBF
Filing Date: 2025-04-08
Form Type: DEF 14A
Source: 0000950170-25-051966
Chunk: 88

Company: CVB FINANCIAL CORP
Filing Date: 2025-04-08
Form: DEF 14A
Chunk 88
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 the Company’s internal financial reporting and forecasting processes, ensuring the integrity of the public financial statements and reports filed by CVB Financial Corp., enhancing the Company's liquidity and interest rate risk management and strategies, overseeing the Company’s important Finance and Accounting Department, engaging with the Company’s shareholders and investors, and helping to manage the Company’s operating expenses. The Committee further noted that Mr. Nicholson had played a leading role in overseeing the Company’s safe and sound balance sheet profile, including managing the Company’s asset-liability sensitivity, ongoing liquidity requirements and the restructuring of portions of the Company’s bond investment portfolio. In view of these considerations, the Compensation Committee approved a plan-based discretionary bonus of $107,200 for Mr. Nicholson (which represents 20% of his base salary in effect as of March 1, 2024).

In summary, the Compensation Committee awarded Mr. Nicholson an aggregate objective incentive award and plan-based discretionary bonus award of $225,120 for 2024, which represents a cumulative total of 42% of his base salary in effect as of March 1, 2024. This compared to an aggregate amount of 47% of base salary for 2023 (which amount included a one-time supplemental discretionary bonus).

Mr. Farnsworth’s Annual Bonus.Mr. Farnsworth’s incentive and bonus compensation for 2024 was similarly comprised of two components, namely, a metrics-based incentive award and a plan-based discretionary bonus, in accordance with the financial metrics and subjective criteria set forth in his ECP Plan.

With respect to these two components of his Plan, for Mr. Farnsworth, the individual performance measures and their respective percentage weightings differed from those applicable to Messrs. Brager and Nicholson in certain respects. Besides net profit after tax, average total loans and noninterest (operating) expenses, Mr. Farnsworth is also measured on average loan delinquencies and the ratio of nonperforming loans and foreclosed properties to total loans, as these metrics are considered to be indicative of sound credit management in his role as our Chief Credit Officer. In addition, with respect to his plan-based discretionary bonus, Mr. Farnsworth is evaluated on his efforts to create a positive credit environment through his active management of our loan portfolio, as well as his support of sales efforts, responsiveness to customers, visits to loan centers, oversight of our new loan originations and current loan extensions, and workouts of troubled loans. Certain of Mr. Farnsworth’s performance goals are different because his credit management