TFS Financial Corporation CEO Retention Award

TFS Financial Corporation has granted a special one-time equity award to its Chairman, President, and CEO, Marc Stefanski. The award, valued at approximately $7.7 million, consists of 215,200 restricted stock units (RSUs) and 322,800 performance stock units (PSUs). The RSUs are subject to a five-year cliff vesting period, with full vesting upon completion of continuous service, and include dividend-equivalent rights. The PSUs are also subject to a five-year cliff vesting period and are contingent upon the company achieving specific performance goals related to its return on average assets, with 20% vesting each fiscal year if the goal is met. Both awards are designed to incentivize Mr. Stefanski's leadership over the next five years, ensuring continuity and enhancing shareholder value. The awards were approved by the Company's Compensation Committee and independent Board members, based on Mr. Stefanski's contributions and industry expertise. Vesting is subject to continuous employment, with accelerated vesting in cases of death or disability, and forfeiture upon termination for other reasons. The award agreements include post-employment non-competition and non-solicitation clauses.