STOCKHOLDERS' EQUITY

3 Months Ended

Mar. 31, 2024

STOCKHOLDERS' EQUITY [Abstract]

STOCKHOLDERS' EQUITY

NOTE 13 – STOCKHOLDERS’ EQUITY

Stock Repurchase Programs

On July 24, 2023, the Corporation announced that its Board of Directors approved a new stock repurchase program, under which

the Corporation may repurchase up to $

225

 million of its outstanding common stock. Repurchases under the program may be executed

through open market purchases, accelerated share repurchases, and/or privately negotiated transactions or plans, including under plans

complying with Rule 10b5-1 under the Exchange Act. The Corporation’s stock repurchase program is subject to various factors,

including the Corporation’s capital position, liquidity, financial performance and alternative uses of capital, stock trading price, and

general market conditions. The Corporation’s stock repurchase program does not obligate it to acquire any specific number of shares

and does not have an expiration date. The stock repurchase program may be modified, suspended, or terminated at any time at the

Corporation’s discretion. During the first quarter of 2024, the Corporation repurchased

3,006,551

 shares of common stock through

open market transactions at an average price of $

16.63

 for a total cost of approximately $

50.0

 million under this stock repurchase

program. As of March 31, 2024, the Corporation has remaining authorization to repurchase approximately $

100.0

 million of common

stock, which it expects to execute through the end of the third quarter of 2024. The Corporation’s holding company has no operations

and depends on dividends, distributions and other payments from its subsidiaries to fund dividend payments, stock repurchases, and to

fund all payments on its obligations, including debt obligations.

Common Stock

The following table shows the changes in shares of common stock outstanding for the quarters ended March 31, 2024 and 2023:

Total Number of Shares

Quarter Ended March 31,

2024

2023

Common stock outstanding, beginning of year

169,302,812

182,709,059

Common stock repurchased

(1)

(3,142,589)

(3,865,375)

Common stock reissued under stock-based compensation plan

548,729

970,429

Restricted stock forfeited

(1,905)

(25,415)

Common stock outstanding, end of period

166,707,047

179,788,698

 (1)

For the quarters ended March 31, 2024 and 2023 includes

136,038

 and

287,835

 shares, respectively, of common stock surrendered to cover officers' payroll and income taxes.

For the quarters ended March 31, 2024 and 2023, total cash dividends declared on shares of common stock amounted to $

26.9

million ($

0.16

 per share) and $

25.4

 million ($

0.14

 per share), respectively. On

April 25, 2024

, the Corporation’s Board of Directors

declared a quarterly cash dividend of $

0.16

 per common share. The dividend is payable on

June 14, 2024

 to shareholders of record at

the close of business on

May 30, 2024

. The Corporation intends to continue to pay quarterly dividends on common stock. However,

the Corporation’s common stock dividends, including the declaration, timing, and amount, remain subject to consideration and

approval by the Corporation’s Board Directors at the relevant times.

Preferred Stock

The Corporation has

50,000,000

 authorized shares of preferred stock with a par value of $

1.00

, subject to certain terms. This stock

may be issued in series and the shares of each series have such rights and preferences as are fixed by the Corporation’s Board of

Directors when authorizing the issuance of that particular series and are redeemable at the Corporation’s option.

No

 shares of

preferred stock were outstanding as of March 31, 2024 and December 31, 2023.

Treasury Stock

The following table shows the changes in shares of treasury stock for the quarters ended March 31, 2024 and 2023.

Total Number of Shares

Quarter Ended March 31,

2024

2023

Treasury stock, beginning of year

54,360,304

40,954,057

Common stock repurchased

3,142,589

3,865,375

Common stock reissued under stock-based compensation plan

(548,729)

(970,429)

Restricted stock forfeited

1,905

25,415

Treasury stock, end of period

56,956,069

43,874,418

FirstBank Statutory Reserve (Legal Surplus)

The Puerto Rico Banking Law of 1933, as amended (the “Puerto Rico Banking Law”), requires that a minimum of

10

% of

FirstBank’s net income for the year be transferred to a legal surplus reserve until such surplus equals the total of paid-in-capital on

common and preferred stock. Amounts transferred to the legal surplus reserve from retained earnings are not available for distribution

to the Corporation without the prior consent of the Puerto Rico Commissioner of Financial Institutions.

The Puerto Rico Banking Law

provides that, when the expenditures of a Puerto Rico commercial bank are greater than receipts, the excess of the expenditures over

receipts must be charged against the undistributed profits of the bank, and the balance, if any, must be charged against the legal

surplus reserve, as a reduction thereof. If the legal surplus reserve is not sufficient to cover such balance in whole or in part, the

outstanding amount must be charged against the capital account and the Bank cannot pay dividends until it can replenish the legal

surplus reserve to an amount of at least 20% of the original capital contributed.

 FirstBank’s legal surplus reserve, included as part of

retained earnings in the Corporation’s consolidated statements of financial condition, amounted to $

199.6

 million as of each of March

31, 2024 and December 31, 2023. There were

no

 transfers to the legal surplus reserve during the quarter ended March 31, 2024.