Business
Eastern Bankshares, Inc. Announces Intent to Declassify Its Board of Directors
BOSTON--(BUSINESS WIRE)-- Eastern Bankshares, Inc. (the “Company,” or together with its affiliates and subsidiaries, “Eastern”) (NASDAQ Global Select Market:
About this update from Eastern Bankshares, Inc.
[{"type":"text","content":" BOSTON--(BUSINESS WIRE)--\nEastern Bankshares, Inc. (the “Company,” or together with its affiliates and subsidiaries, “Eastern”) (NASDAQ Global Select Market: EBC), the stock holding company of Eastern Bank, today announced a plan to declassify the Company’s Board of Directors (“Board”), from three classes of directors to a single class. Following a recommendation by its Nominating and Governance Committee, the Board plans to propose an amendment to the Company’s Articles of Organization (“Charter”) to declassify the Board over a five (5) year period. The Board then intends to seek the approval of the Company’s shareholders of such amendment at the Company’s 2022 Annual Meeting of Shareholders (“2022 Annual Meeting”).\n\nCurrently, the Company’s Board is divided into three classes, with members of each class being elected to and serving three-year terms. The planned amendment to the Charter will provide that beginning with the Company’s 2024 Annual Meeting of Shareholders, the classes of directors will be nominated for re-election for three-, two- and one-year terms, respectively. If the proposed amendment is approved by the shareholders at the 2022 Annual Meeting, the Company’s Charter will be modified such that the Board will be fully declassified, with all directors standing for annual election, at the Company’s 2027 Annual Meeting of Shareholders.\n\n“The Eastern Bankshares, Inc. Board believes that a robust governance program is vital to creating long-term shareholder value,” stated Bob Rivers, Chief Executive Officer and Chair of the Board of Eastern Bankshares, Inc. and Eastern Bank. “The recent commitment by the Board to eliminate board classes and move to one-year terms over a transition period is a great demonstration of our commitment to strong corporate governance and accountability to our shareholders.”\n\nThe full text of the proposal will be included in the Company’s proxy statement to be filed with the Securities and Exchange Commission (“SEC”) prior to the Company’s 2022 Annual Meeting.\n\nABOUT EASTERN BANKSHARES, INC.\n\nEastern Bankshares, Inc. is the stock holding company for Eastern Bank. Founded in 1818, Boston-based Eastern Bank has more than 110 locations serving communities in eastern Massachusetts, southern and coastal New Hampshire, and Rhode Island. As of March 31, 2021, Eastern Bank had approximate...