ESOP

Employee stock ownership plan. Shares issued as part of an ESOP by banking organizations that are not publicly traded are exempted from the conditions that CET1 instruments can be redeemed only via discretionary repurchases and cannot be subject to any other arrangement that legally or economically enhances their seniority, that the banking organization does not create an expectation that the shares will be redeemed, and that the banking organization does not directly or indirectly fund the purchase of the instrument.