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Pay vs Performance Disclosure

12 Months Ended

Dec. 31, 2022

USD ($)

Dec. 31, 2021

USD ($)

Dec. 31, 2020

USD ($)

Pay vs Performance Disclosure [Table]

Pay vs Performance [Table Text Block]

Pay Versus Performance

As required by Section 953(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act, and Item 402(v) of Regulation S-K, we are providing the following information about the relationship between “compensation actually paid” to our CEO and to our Non-CEO NEOs and certain financial performance of the Corporation. Compensation actually paid, as determined under SEC requirements, does not reflect the actual amount of compensation earned by or paid to our executive officers during a covered year. For further information concerning the Corporation’s pay-for-performance philosophy and how we align executive compensation with the Corporation’s performance, refer to the CD&A.

Pay Versus Performance Table

Fiscal Year (a)	Summary Compensation Table Total for CEO⁽ⁱ⁾ (b)	Compensation Actually Paid to CEO^(ii)(iii) (c)	Average Summary Compensation Table Total for Non-CEO NEOs⁽ⁱ⁾ (d)	Average Compensation Actually paid to Non-CEO NEOs^(ii)(iii) (e)	Value of Initial Fixed $100 Investment Based on^(iv):		Net Income ($ in thousands) (h)	ROATCE adjusted^(v) (i)
Fiscal Year (a)	Summary Compensation Table Total for CEO⁽ⁱ⁾ (b)	Compensation Actually Paid to CEO^(ii)(iii) (c)			Total Shareholder Return (f)	Peer Group Total Shareholder Return (g)	Net Income ($ in thousands) (h)	ROATCE adjusted^(v) (i)
2022	$6,323,708	$5,415,141	$2,022,253	$1,811,951	$124.26	$110.67	$1,102,641	15.47%
2021	5,119,158	10,039,211	1,761,108	2,847,634	149.29	132.19	934,889	18.47
2020	4,782,575	4,607,841	1,569,334	1,423,613	100.16	92.50	506,622	10.90

(i)

For the years 2020, 2021 and 2022 our CEO was Mr. Alvarez. Non-CEO NEOs refers to our NEO other than the CEO. For the years 2021 and 2022 the Non-CEO NEOs were: Messrs. C. Vázquez, J. Ferrer, L. Soriano, and M. Chinea. For 2020 the Non-CEO NEOs were: Messrs. C. Vázquez, J. Ferrer, L. Soriano, and E. Sepúlveda.

(ii)

Fair value or change in fair value, as applicable, of equity awards in the “Compensation Actually Paid” columns was determined by reference to (1) for restricted stock awards, closing price on applicable year-end dates or, in the case of vesting dates, the actual vesting price, (2) for performance-based awards (excluding TSR Awards), the same valuation methodology as restricted stock awards above except year-end and vesting date values are multiplied by the probability of achievement as of each such date, and (3) for TSR-based performance awards, the fair value calculated by a Monte Carlo simulation model as of the applicable year-end date(s) or, in the case of vesting date, the actual vesting price and probability of achievement.

(iii)

The adjustments (exclusions and additions) made to the Summary Compensation Total (SCT) to calculate the Compensation Actually Paid (CAP) amount are the following:

	CEO			Non-CEO NEOs
	Stock Awards Excluded from SCT	Change in Pension Value Excluded from SCT^(a)	Value of Stock Awards Added to CAP Amount^(b)	Average Stock Awards Excluded from SCT	Average Change in Pension Value Excluded from SCT^(a)	Average Value of Stock Awards Included in CAP Amount^(b)
2022	$3,022,051	—	$2,113,484	$632,641	—	$422,340
2021	2,447,529	—	7,367,582	466,286	—	1,552,813
2020	2,590,598	—	2,415,864	505,119	$43,972	403,370

(a)

This column contains the required accounting representation of the annual change in present value of the pension benefit as of December 31st. No additional pension benefits were earned in 2020-2022, as the Corporation’s defined benefit plans have been frozen since 2009. The increase in 2020 for Non-CEO NEOs was mainly due to a reduction in the discount rate used for measuring plan liabilities and an increase in life expectancies. Present value for changes in pension value were determined using year-end Statement of Financial Accounting Standard Codification Topic 715 assumptions with the following exception: payments are assumed to begin at the earliest possible retirement date at which benefits are unreduced (age 55 with 10 years of service).

(b)	The amounts deducted or added in calculating the equity award adjustments are as follows:

	Year	Year-end fair value of equity awards granted during the year ($)	Year over year change in fair value of outstanding and unvested equity awards ($)	Fair value as of vesting date of equity awards granted and vested in the year ($)(A)	Year over year change in fair value of equity awards granted in prior years that vested in the year ($)	Fair value at the end of the prior year of equity awards that failed to meet vesting conditions in the year ($)	Value of dividends or other earnings paid on stock or option awards not otherwise reflected in fair value or total compensation ($)	Total equity award adjustments ($)
CEO	2022	$2,411,524	($886,692)	$46,593	$393,123	—	$148,936	$2,113,484
	2021	3,411,525	3,250,920	41,414	540,836	—	122,887	7,367,582
	2020	2,480,796	(29,935)	48,190	(187,517)	—	104,330	2,415,864

	Year	Year-end fair value of equity awards granted during the year ($)	Year over year change in fair value of outstanding and unvested equity awards ($)	Fair value as of vesting date of equity awards granted and vested in the year ($)(A)	Year over year change in fair value of equity awards granted in prior years that vested in the year ($)	Fair value at the end of the prior year of equity awards that failed to meet vesting conditions in the year ($)	Value of dividends or other earnings paid on stock or option awards not otherwise reflected in fair value or total compensation ($)	Total equity award adjustments ($)
Non-CEO NEOs	2022	480,077	(204,643)	36,018	77,030	—	33,859	422,340
	2021	632,752	715,636	30,061	145,043	—	29,322	1,552,813
	2020	483,169	(17,930)	4,586	(94,676)	—	28,221	403,370

(A)

The values in this column reflect the fair value of a portion of a restricted stock award that was vested and withheld upon the grant of such award to a retirement eligible NEO for purposes of satisfying applicable tax obligations of the retirement eligible NEO in connection with the restricted stock award.

(iv)	The peer group selected for TSR is the Nasdaq Bank Index, as reported in our Annual Report on Form 10-K for the fiscal year ended December 31, 2022.

(v)

ROATCE measures how well the Corporation’s management is using its capital from investors to generate profits. It is computed by dividing net earnings applicable to common shareholders by average tangible common shareholders’ equity. Goodwill, other intangible assets (i.e., intellectual property, licenses, patents, etc.), and unrealized gains and losses from available for sale and held to maturity investments are excluded from the equity calculation. For incentive purposes, we adjust the ROATCE value, if applicable, to ensure that participants are neither rewarded nor penalized for items that are non-recurring, unusual or not indicative of ongoing operations. See Appendix A of this Proxy Statement for information about how we calculated the ROATCE for incentive compensation purposes in 2022 and prior periods.

Company Selected Measure Name

ROATCE adjusted

Named Executive Officers, Footnote [Text Block]

(i)

Peer Group Issuers, Footnote [Text Block]

(iv)	The peer group selected for TSR is the Nasdaq Bank Index, as reported in our Annual Report on Form 10-K for the fiscal year ended December 31, 2022.

PEO Total Compensation Amount

$ 6,323,708

$ 5,119,158

$ 4,782,575

PEO Actually Paid Compensation Amount

$ 5,415,141

10,039,211

4,607,841

Adjustment To PEO Compensation, Footnote [Text Block]

(iii)

The adjustments (exclusions and additions) made to the Summary Compensation Total (SCT) to calculate the Compensation Actually Paid (CAP) amount are the following:

	CEO			Non-CEO NEOs
	Stock Awards Excluded from SCT	Change in Pension Value Excluded from SCT^(a)	Value of Stock Awards Added to CAP Amount^(b)	Average Stock Awards Excluded from SCT	Average Change in Pension Value Excluded from SCT^(a)	Average Value of Stock Awards Included in CAP Amount^(b)
2022	$3,022,051	—	$2,113,484	$632,641	—	$422,340
2021	2,447,529	—	7,367,582	466,286	—	1,552,813
2020	2,590,598	—	2,415,864	505,119	$43,972	403,370

(a)

(b)	The amounts deducted or added in calculating the equity award adjustments are as follows:

	Year	Year-end fair value of equity awards granted during the year ($)	Year over year change in fair value of outstanding and unvested equity awards ($)	Fair value as of vesting date of equity awards granted and vested in the year ($)(A)	Year over year change in fair value of equity awards granted in prior years that vested in the year ($)	Fair value at the end of the prior year of equity awards that failed to meet vesting conditions in the year ($)	Value of dividends or other earnings paid on stock or option awards not otherwise reflected in fair value or total compensation ($)	Total equity award adjustments ($)
CEO	2022	$2,411,524	($886,692)	$46,593	$393,123	—	$148,936	$2,113,484
	2021	3,411,525	3,250,920	41,414	540,836	—	122,887	7,367,582
	2020	2,480,796	(29,935)	48,190	(187,517)	—	104,330	2,415,864

Non-PEO NEO Average Total Compensation Amount

$ 2,022,253

1,761,108

1,569,334

Non-PEO NEO Average Compensation Actually Paid Amount

$ 1,811,951

2,847,634

1,423,613

Adjustment to Non-PEO NEO Compensation Footnote [Text Block]

(iii)

The adjustments (exclusions and additions) made to the Summary Compensation Total (SCT) to calculate the Compensation Actually Paid (CAP) amount are the following:

	CEO			Non-CEO NEOs
	Stock Awards Excluded from SCT	Change in Pension Value Excluded from SCT^(a)	Value of Stock Awards Added to CAP Amount^(b)	Average Stock Awards Excluded from SCT	Average Change in Pension Value Excluded from SCT^(a)	Average Value of Stock Awards Included in CAP Amount^(b)
2022	$3,022,051	—	$2,113,484	$632,641	—	$422,340
2021	2,447,529	—	7,367,582	466,286	—	1,552,813
2020	2,590,598	—	2,415,864	505,119	$43,972	403,370

(a)

(b)	The amounts deducted or added in calculating the equity award adjustments are as follows:

	Year	Year-end fair value of equity awards granted during the year ($)	Year over year change in fair value of outstanding and unvested equity awards ($)	Fair value as of vesting date of equity awards granted and vested in the year ($)(A)	Year over year change in fair value of equity awards granted in prior years that vested in the year ($)	Fair value at the end of the prior year of equity awards that failed to meet vesting conditions in the year ($)	Value of dividends or other earnings paid on stock or option awards not otherwise reflected in fair value or total compensation ($)	Total equity award adjustments ($)
Non-CEO NEOs	2022	480,077	(204,643)	36,018	77,030	—	33,859	422,340
	2021	632,752	715,636	30,061	145,043	—	29,322	1,552,813
	2020	483,169	(17,930)	4,586	(94,676)	—	28,221	403,370

(A)

Compensation Actually Paid vs. Total Shareholder Return [Text Block]

Relation Between “Compensation Actually Paid” and Performance Measures

We believe the Pay versus Performance table above shows the alignment between compensation actually paid to the NEOs and the Corporation’s performance, consistent with our compensation philosophy cited in our CD&A section titled “Highlights of Our 2022 Executive Compensation Program and Pay Decisions”. Particularly, a large portion of the NEOs’ compensation is dependent on TSR performance and increased when our TSR performance increased but declined when our TSR performance declined.

Compensation Actually Paid vs. TSR

The graph below compares the Corporation's cumulative TSR to that of the Nasdaq Bank Index, assuming an initial $100 investment on December 31, 2019 and the value at the end of 2020, 2021 and 2022, based on the respective stock prices and reinvestment of dividends. In addition, the graph below describes the 3-year (2020-2022) relationship between the CEO and other Non-CEO NEOs compensation actually paid and the Corporation’s TSR.

Compensation Actually Paid vs. Net Income [Text Block]

Relation Between “Compensation Actually Paid” and Performance Measures

Compensation Actually Paid vs. Net Income

The graph below describes the 3-year (2020-2022) relationship between the CEO’s and other Non-CEO NEOs’ compensation actually paid and the Corporation’s net income. Note that, for incentive purposes, we use GAAP after-tax net income adjusted, if applicable, for non-recurring or unusual items that do not reflect the underlying performance of our ongoing operations. See Appendix A of this Proxy Statement for information about how we calculated net income for incentive compensation purposes in 2022 and prior periods.

Compensation Actually Paid vs. Company Selected Measure [Text Block]

Relation Between “Compensation Actually Paid” and Performance Measures

Compensation Actually Paid vs. ROATCE (adjusted)

The graph below describes the 3-year (2020-2022) relationship between the CEO’s and other Non-CEO NEOs’ compensation actually paid and the Corporation’s adjusted ROATCE. See Appendix A of this Proxy Statement for information about how we calculated the ROATCE for incentive compensation purposes in 2022 and prior periods.

Total Shareholder Return Vs Peer Group [Text Block]

Relation Between “Compensation Actually Paid” and Performance Measures

Compensation Actually Paid vs. TSR

Tabular List [Table Text Block]

The following were the most important financial performance measures, as determined by the Corporation, that link compensation actually paid to our CEO and Non-CEO NEOs to the Corporation’s performance for the most recently completed fiscal year: