2018 Guide to Effective Proxies

6 TH EDITION | GUIDE TO EFFECTIVE PROXIES 52 BOSTON PROPERTIES, INC. BRINKER INTERNATIONAL, INC. CABOT CORPORATION CAPITAL ONE FINANCIAL CORPORATION Table of Contents PROXY STATEMENT 1 CORPORATE GOVERNANCE PRINCIPLES AND BOARD MATTERS 1 TheBoard ofDirectors 1 Board Leadership 2 Board Committees 4 Board’s RoleinRiskOversight 7 DirectorIndependence 7 ConsiderationofDirectorNominees 10 Proxy AccessBy-Law Provisions 12 Code ofBusinessConductandEthicsandOther Policies 12 CommunicationswiththeBoard 13 PROPOSAL 1: ELECTION OF DIRECTORS 14 VoteRequired 14 InformationRegarding theNomineesandExecutiveOfficers 15 PRINCIPAL AND MANAGEMENT STOCKHOLDERS 26 Section16(a)BeneficialOwnership Reporting Compliance 29 COMPENSATION DISCUSSION AND ANALYSIS 30 ExecutiveSummary 30 CompensationGovernance 34 AssessingPerformance 35 Performance-Based EquityAwards; Three-Year TSRDrivesActualEarned Pay 46 AlignmentofPaywithPerformance 49 AllocationofLTIEquityAwards 51 BenchmarkingPeer GroupandCompensationAdvisor’s Role 52 RoleofManagement inCompensationDecisions 54 Other CompensationPolicies 54 COMPENSATION COMMITTEE REPORT 60 COMPENSATION OF EXECUTIVE OFFICERS 61 SummaryCompensationTable 61 2017 Grants ofPlan-Based Awards 63 OutstandingEquityAwards atDecember 31,2017 65 2017 OptionExercises andStockVested 67 NonqualifiedDeferred Compensation 68 PotentialPayments UponTerminationorChange inControl 69 PayRatioDisclosure 77 COMPENSATION OF DIRECTORS 79 DirectorCompensationTable 80 DirectorStockOwnership Guidelines 81 Total of 02 pages in section BRINKER INTERNATIONAL, INC. INDEX Page ProxySummary 1 Proposal1—ElectionofDirectors 5 Proposal2—RatificationofIndependentRegisteredPublicAccountingFirm 10 Proposal3—AdvisoryVoteonExecutiveCompensation 11 Proposal4—AdvisoryVoteonFrequencyofFutureAdvisoryVotesonExecutiveCompensation 12 InformationAbouttheBoardofDirectorsandGovernanceoftheCompany 13 ExecutiveOfficers 22 ExecutiveCompensation—CompensationDiscussionandAnalysis 24 CompensationDiscussionandAnalysis 24 BenchmarkingProxyPeerGroup 28 TargetedFixedVersusVariableCompensationMixfortheNamedExecutiveOfficersfor Fiscal2017 28 Fiscal2017ActualShort-TermIncentivePayoutversusTarget 30 Company-PaidBenefitsfortheNamedExecutiveOfficers 35 ReportoftheCompensationCommittee 37 Fiscal2017SummaryCompensationTable 38 Fiscal2017GrantsofPlan-BasedAwardsTable 39 Fiscal2017OutstandingEquityAwardsatFiscalYear-EndTable 40 Fiscal2017OptionExercisesandStockVestedTable 42 Fiscal2017PotentialPaymentsUponTerminationorChangeinControlforWymanT.Roberts 46 Fiscal2017PotentialPaymentsUponTerminationorChangeinControlforJosephG.Taylor 47 Fiscal2017PotentialPaymentsUponTerminationorChangeinControlforKelliValade 48 Fiscal2017PotentialPaymentsUponTerminationorChangeinControlforSteveProvost 49 Fiscal2017PotentialPaymentsUponTerminationorChangeinControlforRichardBadgley 50 ReportoftheAuditCommittee 51 StockOwnershipofCertainPersons 52 Section16(a)BeneficialOwnershipReportingCompliance 53 CompensationCommitteeInterlocksandInsiderParticipation 53 Miscellaneous 53 FAQ’sAbouttheMeetingandVoting 54 MakingPeopleFeelSpecial BrinkerInternational • 2017Notice&Proxy Table of Contents SectionI-CorporateGovernanceatCapitalOne 10 OverviewofCorporateGovernanceatCapitalOne ............................................. 10 OurBoardofDirectors .................................................................... 10 BiographiesofDirectorNominees ........................................................... 16 BoardLeadershipStructure ................................................................ 21 KeyBoardGovernancePractices ........................................................... 23 StockholderEngagementProgram .......................................................... 27 BoardCommittees ........................................................................ 29 ExecutiveOfficers ........................................................................ 32 RelatedPersonTransactions ............................................................... 35 Environmental,SocialandGovernancePractices .............................................. 36 HowtoContactUs ....................................................................... 37 SectionII-SecurityOwnership 38 SecurityOwnershipofCertainBeneficialOwners .............................................. 38 SecurityOwnershipofDirectorsandNamedExecutiveOfficers ................................... 39 Section16(a)BeneficialOwnershipReportingCompliance ....................................... 40 SectionIII-DirectorCompensation 41 DirectorCompensationObjectives ........................................................... 41 DirectorCompensationProcedures .......................................................... 41 DirectorCompensationStructure ............................................................ 41 CompensationofDirectors ................................................................. 42 OtherBenefits ........................................................................... 43 StockOwnershipRequirements ............................................................. 43 SectionIV-CompensationDiscussionandAnalysis 44 Introduction ............................................................................. 45 OurCompensationObjectives .............................................................. 45 ImportantAspectsofOurExecutiveCompensationPrograms .................................... 46 Considerationof2017SayonPayVote ...................................................... 47 ChiefExecutiveOfficerCompensation ....................................................... 48 NEOCompensation ...................................................................... 58 AdditionalPerformanceConditionsandRecoveryProvisions ..................................... 64 ProcessandCriteriaforCompensationDecisions .............................................. 66 OtherCompensationArrangements ......................................................... 69 OtherAspectsofExecutiveCompensation .................................................... 70 SectionV-NamedExecutiveOfficerCompensation 73 2017SummaryCompensationTable......................................................... 73 2017GrantsofPlan-BasedAwards .......................................................... 75 2017GrantsofPlan-BasedAwardsTable .................................................... 77 2017OptionExercisesandStockVestedTable ................................................ 78 2017OutstandingEquityAwardsatFiscalYear-EndTable ...................................... 79 PensionBenefits ......................................................................... 81 2017PensionBenefitsTable ............................................................... 82 8 CAPITALONEFINANCIALCORPORATION 2018PROXYSTATEMENT Total of 02 pages in section 2018PROXYSTATEMENT Table of Contents AbouttheAnnualMeeting ......................................................................... 1 Governance ..................................................................................... 5 Proposal1—ElectionofDirectors ................................................................... 5 CertainInformationRegardingDirectors .......................................................... 6 BoardGovernanceandComposition ................................................................. 12 CorporateGovernanceGuidelines ............................................................... 12 BoardComposition ........................................................................... 12 ImportantFactorsinAssessingDirectorQualifications ............................................... 12 HowweAssessDirectorIndependence ........................................................... 13 OurLeadershipStructure–Non-ExecutiveChairoftheBoard;ExecutiveSessions ......................... 14 HowourBoardOperates ....................................................................... 14 HowWeEvaluatetheBoard’sEffectiveness ........................................................ 17 OurBoard’sRoleinRiskOversight ............................................................... 17 OtherGovernancePoliciesandPractices ............................................................. 19 TransactionswithRelatedPersons ............................................................... 19 ProceduresforStockholderstoRecommendDirectorNominees ....................................... 20 DirectorAttendanceatMeetings ................................................................ 20 CodeofBusinessEthics ........................................................................ 20 CommunicationswiththeBoard ................................................................. 20 DirectorCompensation ............................................................................ 21 DirectorCompensationTable ................................................................... 22 BeneficialStockOwnershipofDirectors,ExecutiveOfficersandPersonsOwningMoreThanFivePercentof CommonStock ................................................................................ 23 ExecutiveCompensation .......................................................................... 25 CompensationCommitteeReport................................................................ 25 CompensationDiscussionandAnalysis ............................................................ 25 SummaryCompensationTable .................................................................. 44 GrantofPlan-BasedAwardsTable ............................................................... 46 OutstandingEquityAwardsatFiscalYear-EndTable ................................................. 48 OptionExercisesandStockVestedTable .......................................................... 49 PensionBenefits ............................................................................. 49 DeferredCompensation ....................................................................... 51 PotentialPaymentsUponTerminationorChangeinControl ........................................... 53 Proposal2—AdvisoryApprovalofExecutiveCompensation ............................................. 58 AuditCommitteeMatters .......................................................................... 59 AuditCommitteeReport ....................................................................... 59 AuditFees .................................................................................. 60 AuditCommitteePre-ApprovalPolicy ............................................................. 60 Proposal3—RatificationofAppointmentofIndependentRegisteredPublicAccountingFirm .................. 61 OtherInformation ................................................................................ 62 Section16(a)BeneficialOwnershipReportingCompliance ............................................ 62 FutureStockholderProposalsandDirectorNominations.............................................. 62 AnnualReportonForm10-K .................................................................... 62 SolicitationofProxies ......................................................................... 62 Miscellaneous ............................................................................... 62 AppendixA—NON-GAAPRECONCILIATION ...........................................................A-1