CWB-Management Proxy Circular-2024-EN

DEFERRED SHARE UNIT PLAN

The DSU Plan promotes a greater alignment of long-term interests between our directors and shareholders by linking a portion of annual director compensation to the future value of CWB common shares.

DSUs are issued after each quarter in arrears. DSUs are fully vested when issued and are counted as common shares (on a one-for-one basis) for determining whether a director has met the minimum director equity requirement.

DSUs are only redeemable once a director ceases to serve as a director and are paid out in cash within 15 days of the redemption date(s) chosen by the former director, not later than December 14 of the calendar year, following the year in which they cease to be a director. The value of a DSU at the time of grant and at the time of redemption is equal to the average daily volume weighted trading price of a CWB common share on the applicable date and the four consecutive trading days immediately prior to that date. DSUs earn notional dividends at the same rate that dividends are paid on CWB's common shares. Notional DSU dividends are reinvested in additional DSUs. Effective May 1, 2023, each director receives a minimum of $95,000 of their annual director retainer in the form of DSUs (representing an increase from $80,000). The Chair of the Board receives a minimum of $182,500 of their annual Chair of the Board retainer in the form of DSUs (representing an increase from $80,000). Directors, including the Chair of the Board may elect to receive all or part of any cash remuneration, including LAP Chair and meeting fees, in the form of DSUs.

Fiscal 2023

Market or payout value of all vested DSUs not paid out or distributed (2) ($)

Market value (2) ($)

Number of DSUs vested for Fiscal 2023 (1)

Total DSUs held as of October 31, 2023

Andrew J. Bibby

4,355

119,675

25,118

690,243

Marie Y. Delorme

7,417

203,819

14,914

409,837

Maria Filippelli

8,210

225,611

19,543

537,042

Linda M.O. Hohol

4,505

123,797

28,139

773,260

Robert A. Manning (3)

5,494

150,975

46,157

1,268,394

E. Gay Mitchell

4,110

112,943

19,233

528,523

Sarah A. Morgan-Silvester

8,875

243,885

41,791

1,148,417

Margaret J. Mulligan

9,202

252,871

39,724

1,091,616

Irfhan A. Rawji

7,417

203,819

14,914

409,837

Ian M. Reid

5,890

161,857

43,141

1,185,515

(1) DSUs are issued after each quarter in arrears. (2) DSUs are valued based on $27.48, the closing price of CWB common shares on the TSX on October 31, 2023. (3) Mr. Manning retired from the Board on April 6, 2023.

DIRECTOR TOTAL COMPENSATION

For the fiscal year ended October 31, 2023, independent directors earned a total of $2,126,817 in retainers and fees. Below are the amounts, before withholdings, earned by the independent directors during fiscal 2023 for membership on the Board and its committees:

Director Fees (1) ($)

In DSUs (2)

In Cash

All Other Compensation ($)

Total Compensation ($)

Andrew J. Bibby

124,100

87,500

-

211,600

Marie Y. Delorme

7,500

175,000

-

182,500

Maria Filippelli

6,450

205,417

-

211,867

Linda M.O. Hohol

125,650

87,500

-

213,150

Robert A. Manning (3)

37,500

50,000

-

87,500

E. Gay Mitchell

135,500

87,500

-

223,000

Sarah A. Morgan-Silvester

188,050

178,750

-

366,800

Margaret J. Mulligan

8,250

190,000

-

198,250

Irfhan A. Rawji

27,750

175,000

-

202,750

Ian M. Reid

129,400

100,000

-

229,400

Total

790,150

1,336,667

2,126,817

(1) Includes each individual’s director or Chair of the Board retainer, Committee Chair retainers, additional retainer for servin g on both the Audit and Risk Committees, and LAP fees, as applicable. (2) Prior to May 1, 2023, each director was required to receive a minimum of $80,000 of their annual director retainer in the form of DSUs. Effective May 1, 2023 this amount increased to $95,000 for directors and $182,500 for the Chair of the Board. (3) Mr. Manning retired from the Board effective April 6, 2023.

15 | Canadian Western Bank- Management Proxy Circular

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