Form 4: OFG Bancorp Executive Cesar A. Ortiz Awarded Restricted Stock Units

Cesar A. Ortiz, Chief Risk Officer of OFG Bancorp, received 1,980 restricted stock units under the company's Amended and Restated 2007 Omnibus Performance Incentive Plan.

Summary

• Cesar A. Ortiz, Chief Risk Officer of OFG Bancorp, was granted 1,980 restricted stock units on March 11, 2025.
• The grant was awarded under the OFG Bancorp Amended and Restated 2007 Omnibus Performance Incentive Plan.
• The restricted units represent 100% of a grant from February 20, 2025.
• The underlying shares of common stock are expected to be received at the end of the restricted period.
• The restricted period lapses in three annual installments: 33% on the first anniversary, 33% on the second anniversary, and 33% on the third anniversary of the award date.
• Following the transaction, Ortiz beneficially owns 4,164 shares.

Sentiment

Score: 7

Explanation: The document reflects a routine executive compensation matter, which is generally viewed neutrally to positively as it aligns management with shareholder interests. The sentiment is slightly positive due to the incentive structure.

Positives

• The award of restricted stock units aligns the executive's interests with those of the shareholders.
• The vesting schedule encourages long-term performance and retention.

Future Outlook

The restricted stock units will vest over the next three years, subject to the provisions of the OFG Bancorp Amended and Restated 2007 Omnibus Performance Incentive Plan.

Industry Context

Executive compensation through stock awards is a common practice in the financial services industry to incentivize performance and align management's interests with shareholders.

Comparison to Industry Standards

• Stock awards are a typical component of executive compensation packages in the banking industry.
• Companies like Popular, Inc. and First BanCorp also utilize stock-based compensation to incentivize their executives.
• The vesting schedule of three years is a standard practice to ensure long-term commitment.

Stakeholder Impact

• The award of restricted stock units could have a slightly positive impact on shareholder sentiment as it aligns management's interests with those of the shareholders.
• Employees may view the award positively as it demonstrates the company's commitment to rewarding its executives.

Key Dates