Maritza Arizmendi
About Maritza Arizmendi
Maritza Arizmendi, CPA, Esq., is OFG’s Chief Financial Officer, serving since 2017; she is based in San Juan, PR and is 56 years old. She previously served as SVP of Corporate Finance and Chief Accounting Officer at OFG; prior roles include CFO & Treasurer, SVP of Financial Planning, and VP of Risk Management at BBVAPR, plus Vice President of Loan Review at Poncebank, and Senior Auditor at PwC. She holds a bachelor’s degree in accounting and a J.D. from the University of Puerto Rico; she is a Certified Public Accountant and admitted to practice law in Puerto Rico . Company performance context: cumulative TSR reached 202.10 in 2024, with net income of $198,170k and EPS of $4.23 (vs. 174.51, $181,172k and $3.85 in 2023), indicating continued earnings growth and shareholder value creation during her tenure .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| OFG | Chief Financial Officer | 2017–present | Finance leadership through multi-year growth; tied pay to TBV and ROATCE metrics to align with shareholders |
| OFG | SVP Corporate Finance & Chief Accounting Officer | — | Strengthened corporate finance and reporting discipline |
| BBVAPR | Chief Financial Officer & Treasurer | — | Led financial planning and capital management |
| BBVAPR | SVP Financial Planning | — | Built planning frameworks and operating leverage focus |
| BBVAPR | VP Risk Management | — | Enhanced enterprise risk oversight |
| Poncebank | Vice President, Loan Review | — | Credit review and portfolio quality |
| PricewaterhouseCoopers LLP | Senior Auditor | — | Foundation in audit, controls, and reporting |
External Roles
No external directorships or committee roles for Ms. Arizmendi were disclosed in the proxy statements .
Fixed Compensation
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Base Salary ($) | $393,750 | $432,892 | $462,000 |
| Target Bonus % of Salary | 70% | 70% | 70% |
| Target Bonus ($) | $280,000 | $308,000 | $323,400 |
| Actual Non-Equity Incentive Paid ($) | $289,600 | $391,500 | $330,968 |
| All Other Compensation ($) | $53,334 | $64,478 | $75,230 |
| Total Compensation ($) | $1,001,639 | $1,188,954 | $1,173,602 |
Performance Compensation
Annual Cash Bonus – Corporate Scorecards
2024 Corporate Scorecard (CFO payout = $330,968; paid in Q1 following year)
| Metric | Weight | Target | Actual (% of Target) | Score | Payout (CFO) | Vesting |
|---|---|---|---|---|---|---|
| Market Share Operating Income 1 | 10 | 100% | 100.61% | 10.06 | $330,968 | Cash paid following year |
| Market Share Operating Income 2 | 10 | 100% | 100.04% | 10.00 | $330,968 | Cash paid following year |
| Deposit Growth | 15 | 100% | -16.10% | 0.00 | $330,968 | Cash paid following year |
| Customer & Digital Adoption | 20 | 100% | 174.70% | 34.94 | $330,968 | Cash paid following year |
| Texas Ratio | 15 | 100% | 114.54% | 17.18 | $330,968 | Cash paid following year |
| Efficiency Ratio | 30 | 100% | 100.52% | 30.16 | $330,968 | Cash paid following year |
| Total | 100 | 100% | 102.34% | 102.34 | $330,968 | Cash paid following year |
2023 Corporate Scorecard (CFO payout = $391,500; paid in Q1 following year)
| Metric | Weight | Target | Actual (% of Target) | Score | Payout (CFO) | Vesting |
|---|---|---|---|---|---|---|
| Market Share Operating Income | 35 | 100% | 105.54% | 36.94 | $391,500 | Cash paid following year |
| Customer & Digital Adoption | 20 | 100% | 195.67% | 39.13 | $391,500 | Cash paid following year |
| Texas Ratio | 15 | 100% | 133.47% | 20.02 | $391,500 | Cash paid following year |
| Efficiency Ratio | 30 | 100% | 103.34% | 31.00 | $391,500 | Cash paid following year |
| Total | 100 | 100% | 127.09% | 127.09 | $391,500 | Cash paid following year |
Note: CFO’s cash bonus is solely the corporate scorecard multiplied by target bonus; business unit and individual adjustments do not apply to the CFO .
Equity Incentives – Grants and Metrics
2024 Grants (awarded 2/23/2024)
| Type | Grant Date | Shares/Units | Grant Date Fair Value ($) | Vesting |
|---|---|---|---|---|
| RSUs | 02/23/2024 | 4,250 | $152,703 | Annual in thirds starting 02/23/2025 |
| PSUs | 02/23/2024 | 4,250 | $152,703 | Performance cycles ending 12/31/2024, 12/31/2025, 12/31/2026 |
2025 Equity Awards (for 2024 performance; approved in 2025)
| Type | Target Value ($) | Target Amount (Shares) | Time-Based RSUs Value ($)/Shares | Total Value ($) | % of Base Salary | Target % of Base Salary |
|---|---|---|---|---|---|---|
| PSUs | $162,408 | 3,890 | $162,408 / 3,890 | $324,815 | 98% | 70% |
Performance Share Metrics (3-year cycle ending 12/31/2027)
| Metric | Threshold | Target | Maximum |
|---|---|---|---|
| Tangible Book Value (TBV) | $30.38 | $31.97 | $33.57 |
| 3-Year Average ROATCE | 13.58% | 14.30% | 15.01% |
Company practice: no stock options are granted to NEOs, eliminating option repricing risk .
Equity Ownership & Alignment
| Item | 2023 | 2024 |
|---|---|---|
| Stock Ownership Policy Compliance – Qualifying Common Stock (#) | 84,962 | 87,052 |
| Total Value ($) | $3,184,376 | $3,684,041 |
| Multiple of Compensation | 8.09× | 7.97× |
| Applicable Minimum Multiple Requirement | 3.00× | 3.00× |
Beneficial Ownership and Outstanding Awards (as of 12/31/2024)
| Item | Value |
|---|---|
| Beneficially Owned Common Shares | 64,893; includes 4,700 restricted units vesting within 60 days |
| Ownership as % of Shares Outstanding | <1% (45,440,269 shares outstanding) |
| Unvested RSUs (#) | 26,859 |
| Unvested RSUs Market Value ($) | $1,136,673 |
| Unearned PSUs (#) | 3,525 |
| Unearned PSUs Market Value ($) | $149,178 |
| Stock Vested in 2024 – Shares | 21,417 |
| Stock Vested in 2024 – Value Realized ($) | $803,986 |
Vesting Schedules and Potential Selling Pressure
| Award | Vesting Details |
|---|---|
| RSUs | Lapse annually in thirds commencing 02/23/2025 for 4,250 units; in halves commencing 02/21/2025 for 3,400 units; and on 02/22/2025 for 1,584 units |
| PSUs | Performance cycles end 12/31/2024 (4,750 shares), 12/31/2025 (5,100 shares), and 12/31/2026 (4,250 shares) – payouts based on TBV and ROATCE achievements |
Alignment and Risk Controls
- Ownership guidelines: 3× salary requirement for NEOs; CFO materially exceeds requirement (7.97×) .
- Anti-hedging and pledging: Hedging and pledging of Company stock are prohibited; executive trades require pre-clearance and adhere to blackout periods .
- Clawback: 3-year recoupment of incentive-based compensation upon material accounting restatements .
Employment Terms
| Item | Details |
|---|---|
| Employment Agreement / Severance | No CFO-specific employment agreement or change-in-control compensation agreement was disclosed; CEO has formal employment and CIC agreements, but CFO is not listed among CIC beneficiaries in the proxy . |
| Life Insurance | NEO life insurance up to $700,000 (or $1,000,000 if qualified) provided; CEO has an additional $3,000,000 policy . |
| Retirement | 401(k)/1081.01(d) plan with Company matching 50% of employee contributions up to 8% of salary (2024) . |
| Ownership Policy Compliance Timeline | Executives must comply within 2–4 years after first equity award post-appointment . |
Company Performance Context (Pay vs Performance disclosure)
| Metric | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Total Shareholder Return (Index) | 80.21 | 116.81 | 124.45 | 174.51 | 202.10 |
| Net Income ($000) | 74,327 | 146,151 | 166,239 | 181,172 | 198,170 |
| EPS ($) | 1.32 | 2.85 | 3.46 | 3.85 | 4.23 |
Governance and Compensation Process
- Compensation mix: Base salary, annual cash bonus, and long-term equity; significant portion is variable and performance-based .
- CFO bonus determination: 100% linked to corporate scorecard; target bonus maintained at 70% of salary in 2024 .
- Compensation consultant: Pearl Meyer engaged; peer group updated and used for benchmarking in 2024 .
- Say-on-pay: Annual advisory vote; Board recommended voting “FOR” in 2025 .
- Compensation Committee: Jorge Colón-Gerena (Chair), Nestor de Jesús, Annette Franqui .
Investment Implications
- Alignment: Strong ownership alignment—CFO’s stock value equals ~8× compensation multiple vs 3× requirement; hedging/pledging prohibited, reducing misalignment risk .
- Retention and selling pressure: Material RSU tranches vesting (annual in thirds from 02/23/2025 and other tranches on 02/21–02/22/2025) and PSU cycles ending through 2026 create periodic liquidity events; monitor Form 4s around Q1/Q2 each year for potential sales .
- Pay-for-performance: Annual cash awards tightly linked to corporate scorecards; PSUs tied to multi-year TBV and ROATCE targets—constructive for long-term value creation, with thresholds/targets set above current TBV and robust ROATCE levels .
- Contract risk: No CFO-specific severance or CIC agreement disclosed—implicit retention relies on ongoing equity refresh and policy framework; downside protection appears limited vs CEO, which may modestly raise external poaching risk if market competition intensifies .
- Trading signals: Upcoming vesting schedules and pay cadence suggest seasonality in potential insider activity; absence of options reduces forced selling dynamics from expiration/underwater repricing, but RSU/PSU settlements could incrementally increase float if sold .