Filed by the Registrant |
Preliminary Proxy Statement | |||||||
Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) | |||||||
Definitive Proxy Statement | |||||||
Definitive Additional Materials | |||||||
Soliciting Material under §240.14a-12 |
(Name of Registrant as Specified In Its Charter) |
No fee required | ||||||||
Fee paid previously with preliminary materials | ||||||||
Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a-6(i)(1) and 0-11 |
Proto Labs, Inc. will hold | ||||||||||||||||
TIME AND DATE: | 8:30 a.m. Central Time, on Thursday, May 23, 2024 | |||||||||||||||
ITEM OF BUSINESS: | 1.Elect eight directors to hold office until the next Annual Meeting of Shareholders or until their successors are duly elected. 2.Vote on the ratification of the selection of Ernst & Young LLP as our independent registered public accounting firm for | |||||||||||||||
4.Vote on the approval of the Amended and Restated Proto Labs, Inc. 2022 Long-Term Incentive Plan. 5.Act on any other matters that may properly come before the Annual Meeting, or any adjournment or postponement thereof. | ||||||||||||||||
RECOMMENDATION: | ||||||||||||||||
The board of directors recommends that shareholders vote FOR each of the following: | ||||||||||||||||
•The approval of the Amended and Restated Proto Labs, Inc. 2022 Long-Term Incentive Plan. | ||||||||||||||||
Only shareholders of record at the close of business on | ||||||||||||||||
By Order of the Board of Directors | ||||||||||||||||
Jason Frankman Corporate Secretary |
TABLE OF CONTENTS |
PROXY SUMMARY | ||
| Plan Category | | | Number of Securities to Be Issued Upon Exercise of Outstanding Options and Stock Appreciation Rights | | | Weighted Average Exercise Price of Outstanding Options and Stock Appreciation Rights | | | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in the First Column) | |
| Equity compensation plans approved by security holders(1) | | | #594,005(1) | | | $97.78 | | | #5,766,8762) | |
| Equity compensation plans not approved by security holders | | | — | | | — | | | — | |
| Total | | | 594,005 | | | 97.78 | | | 5,766,876 | |
Name | Age | Director Since | Independent | Audit Committee | Compensation and Talent Committee | Nominating and Governance Committee | ||||||||||||||
Robert Bodor | 51 | 2021 | No | |||||||||||||||||
Archie C. Black | 62 | 2016 | Yes | |||||||||||||||||
Sujeet Chand | 66 | 2017 | Yes | |||||||||||||||||
Moonhie Chin | 66 | 2019 | Yes | |||||||||||||||||
Rainer Gawlick | 56 | 2008 | Yes | |||||||||||||||||
Stacy Greiner | 50 | 2021 | Yes | |||||||||||||||||
Donald G. Krantz | 69 | 2017 | Yes | |||||||||||||||||
Sven A. Wehrwein | 73 | 2011 | Yes |
Chairperson | |||||
Member |
1 |
TENURE | AGE | DIVERSITY | ||||||||||||
Average: 8 Years | Average: 62 Years | 38% Diverse |
SKILLS & EXPERIENCE | ||||||||||||||||||||||||||
QUALIFICATIONS / ATTRIBUTES | Robert Bodor | Archie C. Black | Sujeet Chand | Moonhie Chin | Rainer Gawlick | Stacy Greiner | Donald G. Krantz | Sven A. Wehrwein | ||||||||||||||||||
Finance: Well versed in finance with the ability to interpret financial results and what drives performance, obtain the most from its value drivers and foresee the likely outcomes from board decisions. | l | l | l | l | l | l | ||||||||||||||||||||
Operational: Experience with operational matters, including developing long-term operational strategies and leading organizations to meet objectives. Knowledge of multiple operational functions and principles. Proven ability to plan and manage operational process for maximum efficiency and productivity. | l | l | l | l | l | l | l | l | ||||||||||||||||||
Industry Experience: IM, CNC, 3DP, & Sheet Metal: Relevant experience in the industry in which the Company operates. | l | l | l | l | ||||||||||||||||||||||
Public Company Leadership: Current or former executive of publicly-listed company. | l | l | l | l | l | l | l | l | ||||||||||||||||||
Strategy and M&A: Experience with M&A activities; current or former executive role with responsibility to develop and execute corporate strategy. | l | l | l | l | l | l | l | l | ||||||||||||||||||
Sales, Marketing, E-commerce: Current or former executive role with responsibilities for sales, marketing, e-commerce, or customer service. | l | l | l | l | l | |||||||||||||||||||||
Technology, IT, Cybersecurity: Expertise or degree in area, covering digital technology, cyber security, digital marketing, social media, etc. Could be current or former executive role in the IT sector. | l | l | l | l | l | l | l | |||||||||||||||||||
Global Experience: Proven knowledge of the overseas markets in which the Company operates. | l | l | l | l | l | l | l | l | ||||||||||||||||||
Lean Manufacturing Expertise: Qualifications include current or former executive role in the manufacturing sector; expertise in sourcing, manufacturing, supply chain, infrastructure, logistics, product development, distribution and marketing. | l | l | l |
2 |
SKILLS & EXPERIENCE | ||||||||||||||||||||||||||
QUALIFICATIONS / ATTRIBUTES | Robert Bodor | Archie C. Black | Sujeet Chand | Moonhie Chin | Rainer Gawlick | Stacy Greiner | Donald G. Krantz | Sven A. Wehrwein | ||||||||||||||||||
Risk Oversight: Risk oversight processes assess the nature and scope of risks applicable to the Company, review appropriate controls to minimize risks, and monitor the controls to ensure their effectiveness. | l | l | l | l | l | l | l | l | ||||||||||||||||||
Corporate Governance Expertise: Corporate governance oversight includes the rules, controls, policies, and processes that guide the Company's operations and corporate behavior. | l | l | l | l | l | l | ||||||||||||||||||||
RACIAL/ETHNIC DIVERSITY | ||||||||||||||||||||||||||
Black/African American | ||||||||||||||||||||||||||
Asian | l | l | ||||||||||||||||||||||||
Hispanic | ||||||||||||||||||||||||||
White | l | l | l | l | l | l | ||||||||||||||||||||
GENDER DIVERSITY | ||||||||||||||||||||||||||
Female | l | l | ||||||||||||||||||||||||
Male | l | l | l | l | l | l | ||||||||||||||||||||
OTHER QUALIFICATIONS & TENURE | ||||||||||||||||||||||||||
Sitting CEO | l | |||||||||||||||||||||||||
Number of other public company boards | 0 | 2 | 2 | 1 | 1 | 0 | 0 | 2 | ||||||||||||||||||
Years on Board | 3 | 8 | 6 | 4 | 15 | 2 | 7 | 12 | ||||||||||||||||||
3 |
4 |
5 |
6 |
CEO | CFO | Average Other Current NEOs | ||||||||||||
Salary | Non-Equity Incentive Plan Compensation | Option Awards | Stock Awards | Performance Based | ||||||||||||||||||||||||||||
7 |
Proposal | Board's Voting Recommendation | |||||||
1. | Election of the eight director nominees named in this Proxy Statement to serve for one-year terms. | For | ||||||
2. | Ratification of the selection of Ernst & Young LLP as our independent registered public accounting firm for fiscal 2024. | For | ||||||
3. | Advisory vote to approve the executive officer compensation disclosed in this Proxy Statement (“say-on-pay”). | For | ||||||
4. | Approval of the Amended and Restated Proto Labs, Inc. 2022 Long-Term Incentive Plan | For |
8 |
PROXY STATEMENT |
QUESTIONS AND ANSWERS ABOUT THE ANNUAL MEETING AND VOTING |
9 |
10 |
11 |
12 |
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT |
Name and Address of Beneficial Owner | Beneficial Ownership on March 28, 2024 | ||||||||||
Number | Percent | ||||||||||
Greater than 5% shareholders: | |||||||||||
BlackRock, Inc. | |||||||||||
50 Hudson Yards | |||||||||||
New York, NY 10001 | 4,472,070 | (1) | 17.5 | % | |||||||
The Vanguard Group | |||||||||||
100 Vanguard Blvd. | |||||||||||
Malvern, PA 19355 | 2,922,263 | (2) | 11.4 | % | |||||||
Disciplined Growth Investors, Inc. | |||||||||||
150 South Fifth Street, Suite 2550 | |||||||||||
Minneapolis, MN 55402 | 1,739,638 | (3) | 6.8 | % | |||||||
Directors and named executive officers: | |||||||||||
Archie C. Black | 17,578 | (4) | * | ||||||||
Sujeet Chand | 16,013 | (5) | * | ||||||||
Moonhie Chin | 11,456 | (6) | * | ||||||||
Rainer Gawlick | 36,868 | (7) | * | ||||||||
Stacy Greiner | 11,004 | (8) | * | ||||||||
Donald Krantz | 16,013 | (9) | * | ||||||||
Sven A. Wehrwein | 26,995 | (10) | * | ||||||||
Robert Bodor | 95,981 | (11) | * | ||||||||
Daniel Schumacher | 21,853 | (12) | * | ||||||||
Michael R. Kenison | 24,718 | (13) | * | ||||||||
Bjoern Klaas | 21,455 | (14) | * | ||||||||
Oleg Ryaboy | 15,270 | (15) | * | ||||||||
All directors and executive officers as a group (12 persons) | 315,204 | (16) | 1.2 | % |
13 |
14 |
CORPORATE GOVERNANCE |
15 |
16 |
Audit Committee | Compensation and Talent Committee | Nominating and Governance Committee | ||||||
Sven A.Wehrwein (chair) | Moonhie Chin (chair) | Sujeet Chand (chair) | ||||||
Rainer Gawlick | Archie C. Black | Archie C. Black | ||||||
Stacy Greiner | Donald G. Krantz | Sven A. Wehrwein |
17 |
18 |
PROPOSAL 1—ELECTION OF DIRECTORS |
Robert Bodor – Age51 Director since 2021 | Dr. Bodor has served as our President and Chief Executive Officer since March 2021. Dr. Bodor previously served as our Vice President and General Manager – Americas from January 2015 to March 2021. From July 2013 to January 2015, Dr. Bodor served as our Chief Technology Officer. From December 2012 to June 2013, Dr. Bodor served as our Director of Business Development. Prior to joining Protolabs, from January 2011 to December 2012, Dr. Bodor held several roles at Honeywell, most recently leading SaaS business offerings for Honeywell’s Life Safety Division. Dr. Bodor holds B.S., M.S., and Ph.D. degrees in Engineering and Computer Science. Skills and Qualifications Dr. Bodor’s extensive leadership and operating experience provides important perspective to our board of directors. Dr. Bodor brings extensive knowledge in business and product development. As Chief Executive Officer, Dr. Bodor is also responsible for determining our strategy, articulating priorities and managing our continued growth. | |||||||
Archie C. Black – Age 62 Director since 2016 Committees Compensation & Talent Nominating & Governance | Mr. Black has served as a director of our Company since March 2016, including as Chairman of the Board from May 2020 to May 2023. From 2001 until his retirement in October 2023, Mr. Black served as the Chief Executive Officer of SPS Commerce, Inc., a provider of cloud-based supply chain management solutions, where he currently serves as Executive Chair of the board. Prior to joining SPS Commerce, Inc., Mr. Black was a Senior Vice President and Chief Financial Officer at Investment Advisors, Inc. Prior to his time at Investment Advisors, Inc., Mr. Black spent three years at PricewaterhouseCoopers. Skills and Qualifications Mr. Black contributes to our board’s extensive management, financial, and operational experience. During his time as President and Chief Executive Officer at SPS Commerce, Inc., Mr. Black led the transformation of a tech-driven startup company into a global business and developed a deep knowledge of the requirements involved with being a public company. Other Current U.S. Public Company Board Memberships: SPS Commerce, Inc. Graco, Inc. | |||||||
19 |
Sujeet Chand – Age 66 Director since 2017 Committees Nominating & Governance (Chair) | Dr. Chand was the Senior Vice President and Chief Technology Officer at Rockwell Automation, Inc. from 2005 until his retirement in 2021. Prior to taking on that role, Mr. Chand served in various leadership positions at Rockwell. Mr. Chand has sat on multiple government, industry, and higher education advisory boards, and has long had significant interaction with the board of directors of Rockwell. Mr. Chand earned a Doctor of Philosophy degree in electrical and computer engineering and a master's degree in electrical engineering from the University of Florida. Skills and Qualifications Mr. Chand’s qualifications to serve on our board of directors include, among other skills and qualifications, his deep technical expertise and industry knowledge, particularly his experience at Rockwell and his service on other public company boards. Mr. Chand brings a highly effective balance of strategic insight and technical engineering skills, as well as a unique perspective on technology, innovation and customer needs. He has previously served on the boards of the National Institute for Standards and Technology (NIST), National Electrical Manufacturers Association (NEMA), FIRST Robotics, Wisconsin Technology Council, University of Wisconsin Foundation, and Robert W. Baird Venture Partners. He has also represented the U.S. as the head of a delegation to Intelligent Manufacturing Systems, a worldwide consortium on manufacturing technology. Other Current U.S. Public Company Board Memberships: Flowserve Corporation Veeco Instruments, Inc. | |||||||
Moonhie Chin – Age66 Director since 2019 Committees Compensation & Talent (Chair) | Ms. Chin was employed at Autodesk from 1989 to 2019 and held multiple leadership positions, including most recently, Senior Vice President of Digital Platform and Experience. Autodesk is a global leader in Architectural, Engineering and Construction (AEC), Product Design and Manufacturing, and Media and Entertainment Software with millions of customers. Her expertise extends to general management, business model transformation from perpetual license to subscription, digital platforms, extracting business insights from advanced analytics, global multi-channel models, global customer support and operations, strategic planning, and corporate governance. Prior to joining Autodesk, she worked for the General Electric Company which she joined after earning her B.S. from the Columbia University School of Engineering and Applied Sciences. Skills and Qualifications Ms. Chin's leadership, strategic acumen, operational proficiency and exceptional track record of incubating and driving new initiatives enable her to provide valuable insights and counsel on strategy and the realization of key drivers. She is a recognized mentor to emerging leaders, especially women in technology, and is engaged in leadership opportunities that promote a culture of excellence, positive team dynamics, and personal and professional development. Other Current U.S. Public Company Board Memberships: FARO Technologies, Inc. | |||||||
Rainer Gawlick – Age56 Director since2008 Committees Audit | Dr. Gawlick has served as our Chairman of the Board since May 2023. He also serves on the boards of ChyronHego, Sectigo, Cloudsense, Oktopost, PhotoShelter and Progress Software Corporation, a publicly traded company, where he is also a member of the audit committee and the strategy committee. Previously, from July 2015 to October 2016, Dr. Gawlick was President of Perfecto Mobile, Ltd., a leader in mobile testing. Prior to that he was with IntraLinks, Inc., a computer software company providing virtual data rooms and other content management services, where he served as Executive Vice President of Global Sales. From August 2008 to April 2012, Dr. Gawlick served as Chief Marketing Officer of Sophos Ltd, a computer security company providing endpoint, network and data protection software. From April 2005 to August 2008, Dr. Gawlick served as Vice President of Worldwide Marketing and Strategy at SolidWorks Corp., a CAD software company. He also has held a variety of executive positions in other technology businesses and was a consultant with McKinsey & Company. Skills and Qualifications Dr. Gawlick has extensive sales, marketing and product-management experience in the technology industry. Dr. Gawlick offers expertise in building brand awareness, managing marketing and sales on a global scale and developing growth strategies, which enables him to counsel our Company on our on-going growth initiatives. In addition, Dr. Gawlick has extensive business experience in Europe, which is our key international market. Other Current U.S. Public Company Board Memberships: Progress Software Corporation | |||||||
20 |
Stacy Greiner – Age50 Director since2021 Committees Audit | Ms. Greiner is the Chief Operating Officer at DailyPay, the leader in on-demand pay. Prior to DailyPay, she most recently served as the General Manager of the Sales & Marketing Solutions business for Dun & Bradstreet, a global provider of business decisioning data and analytics. In this role, Ms. Greiner was responsible for the growth and profitability of the company’s solutions for its Sales & Marketing customers. Before this role, she served as the global Chief Marketing Officer for Dun & Bradstreet. Prior to Dun & Bradstreet, Ms. Greiner was Chief Marketing Officer at DMI, a global digital services firm where she transformed Marketing into a modern growth engine enabling the company’s rapid expansion. Previously, Ms. Greiner held executive roles at Cisco, DXC and IBM. She led Marketing for Cisco System’s Software Platforms Group, building its new business in edge analytics. She also served as the first CMO for DXC’s Big Data and Analytics division, shaping and launching this new Service Line. Before DXC, Ms. Greiner was an executive at IBM, most recently leading product marketing for IBM’s Business Analytics division. Her early career was as a software developer and product manager starting with Accenture’s Center for Strategic Technology in Silicon Valley and several Silicon Valley start-ups. Ms. Greiner holds an MBA from the MIT Sloan School of Management and a BS in Aerospace Engineering from Iowa State University. Skills and Qualifications Ms. Greiner has spent over two decades helping organizations around the world use emerging technologies, data and analytics to better serve their customers, create new business models, and transform their operations. | |||||||
Donald G. Krantz – Age69 Director since 2017 Committees Compensation & Talent | Dr. Krantz is currently an associate at Digi Labs, a Wayzata-based technology incubator. He serves on the advisory board for Activated Research Company, a maker of catalysis-based instruments. Dr. Krantz served as our Executive Vice President and Technology Officer from January 2015 until his retirement in June 2016. From January 2007 to January 2015, Dr. Krantz served as our Chief Operating Officer. From November 2005 to January 2007, Dr. Krantz served as our Vice President of Development. Prior to joining our Company, Dr. Krantz served in various roles at MTS Systems, Inc., a builder of custom precision testing and advanced manufacturing systems, including as a business unit Vice President, Vice President of Engineering, and most recently, Chief Technology Officer. Dr. Krantz was an Engineering Fellow at Alliant Techsystems and Honeywell, Inc., and was named the 2005 Distinguished Alumnus of the Department of Computer Science and Engineering at the University of Minnesota. In 2016, he was named a “Titan of Technology” by the Minneapolis/St. Paul Business Journal. Skills and Qualifications Dr. Krantz's knowledge of and experience in leadership positions within multiple departments of our Company, as well as his education and experience, enable him to provide guidance and counsel on strategy, relationships, general business matters and risk management. | |||||||
Sven A. Wehrwein – Age73 Director since2011 Committees Audit (Chair) Nominating & Governance | Mr. Wehrwein has served as a director of our Company since June 2011, is chair of the audit committee, and is a member of the nominating and governance committee. He also served as Board Chair from May 2017 to May 2020. Mr. Wehrwein has been an independent financial consultant to emerging companies since 1999. During his 40-plus years in accounting and finance, Mr. Wehrwein has experience as a certified public accountant (inactive), investment banker to emerging-growth companies, chief financial officer, and audit committee chair. He currently serves on the board of directors of SPS Commerce, Inc., a publicly traded supply-chain management software company, and AtriCure, Inc., a publicly traded medical device company. Earlier in his career, Mr. Wehrwein also served on the board of these publicly traded companies: Compellent Technologies, Cogentix Medical, Image Sensing Systems, Synovis Life Technologies, Vital Images, and Zamba. He served as the audit committee chair for all of these companies. Skills and Qualifications Mr. Wehrwein’s qualifications to serve on our board of directors include, among other skills and qualifications, his capabilities in financial understanding, strategic planning and auditing expertise, given his experiences in investment banking and in financial leadership positions. As chairman of the audit committee, Mr. Wehrwein also keeps the board abreast of current audit issues and collaborates with our independent auditors and senior management team. Other Current U.S. Public Company Board Memberships: AtriCure, Inc. SPS Commerce, Inc. |
21 |
THE BOARD UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE “FOR”EACH NOMINEE LISTED. | ||
22 |
COMPENSATION DISCUSSION AND ANALYSIS |
Revenue | Cash Generation | Strategic | ||||||
$503.9m | $73.3m | Protolabs Network Performance & Integration | ||||||
Revenue increased to $503.9 million in 2023 compared with $488.4 million in 2022. | Cash generated from operations during the year totaled $73.3 million as compared to $62.1 million in 2022. | Enhanced our ability to serve customers more extensively with the industry's most complete and comprehensive CNC offer, resulting in nearly 70% network revenue growth. |
23 |
24 |
Topic | Actions / Decisions | |||||||
2023 Salary Adjustments | ✔ | As a result of the Company's performance in 2022, no base salary adjustments were made in 2023. | ||||||
✔ | In lieu of base salary increases in 2023, our named executive officers each received an equity grant of stock options with a grant date value of 20% of base salary for Dr. Bodor and approximately 10% of base salary for all other named executive officers. The options vest 100% after one year and expire after three years. The decision in 2023 to grant options instead of merit-based salary increases was a one-time occurrence based on 2022 corporate performance and driven by our conviction that stock options more closely align with shareholder interests by tying management’s rewards directly to performance and results. | |||||||
2023 Annual Incentives and Long-Term Incentives | ✔ | Paid annual incentives to our named executive officers in the range of 42% - 66% of target for the partial achievement of corporate and regional objectives where applicable. | ||||||
✔ | Granted our named executive officers 2023 equity awards comprised of stock options, restricted stock units (“RSUs”) and PSUs. The equity grant in 2023 to each of Dr. Bodor and Mr. Schumacher was based on a calculation of 50% in the form of PSUs, 25% in the form of RSUs, and 25% in the form of stock options. The equity grant in 2023 for the other named executive officers was based on a calculation of 50% in the form of RSUs, 25% in the form of PSUs, and 25% in the form of stock options. | |||||||
Annual Incentive Program Performance Metrics and Design | ✔ | Continued the use of revenue and adjusted operating income (“AOI”) as our short-term incentive bonus metrics. | ||||||
✔ | Maintained the annual incentive plan maximum payout for 2023 at 200% of the target incentive award. | |||||||
PSU Performance Metrics | ✔ | Continued to measure performance for PSU awards based on the Company’s three-year cumulative TSR performance relative to the Russell 2000 Growth Index. | ||||||
Benchmarking | ✔ | Reviewed and approved changes to our compensation peer group for 2024 compensation. |
Things We Do | Things We Don’t Do | ||||
•“Double-trigger” accelerated equity vesting upon a change in control •Meaningful stock ownership guidelines for our executive officers •Requirement that executive officers hold 100% of after-tax shares from option exercises or RSU/PSU vesting until they have achieved their ownership requirement •Continual review of our compensation programs for alignment with our shareholder expectations of driving profitable growth •Compensation recoupment (“clawback”) policy •Equity award approval policy •Independent compensation and talent committee •Independent compensation consultant •Annual compensation risk assessment | •No tax gross-ups on perquisites, severance or change in control payments •No hedging/pledging of Protolabs stock by executive officers •No option repricing without shareholder approval •No excessive or additional perquisites unique to named executive officers •No guaranteed bonus •No pension or executive retirement plan benefits •No multi-year guarantee for salary increases, non-performance-based bonuses or equity compensation •No single trigger or excessive change in control benefits •No liberal change in control definitions for severance or equity benefits |
25 |
26 |
2022 Peer Group | Recommended Changes | ||||||||||||||
3D Systems Corporation (DDD) Badger Meter, Inc. (BMI) Cerence Inc. (CRNC) Enerpac Tool Group Corp. (EPAC) ESCO Technologies Inc. (ESE) FARO Technologies, Inc. (FARO) Helios Technologies, Inc. (HLIO) Novanta Inc. (NOVT) Power Integrations, Inc. (POWI) Raven Industries, Inc. (RAVN) RBC Bearings Incorporated (RBC) Semtech Corporation (SMTC) SPS Commerce, Inc. (SPSC) Universal Display Corporation (OLED) Vicor Corporation (VICR) | (-) Exclusions Power Integrations, Inc. Raven Industries, Inc. Universal Display Corporation | (+) Additions | EVO Payments Lindsay Corporation | 3D Systems Corporation (DDD) Badger Meter, Inc. (BMI) CTS Corporation (CTS) Enerpac Tool Group Corp. (EPAC) ESCO Technologies Inc. (ESE) EVO Payments (EVOP) FARO Technologies, Inc. (FARO) Helios Technologies, Inc. (HLIO) Lindsay Corporation (LNN) Novanta Inc. (NOVT) RBC Bearings Incorporated (RBC) Semtech Corporation (SMTC) SPS Commerce, Inc. (SPSC) (VICR) |
27 |
Annual Revenue(1) | Market Capitalization(1) | ||||||||||||||
$ | |||||||||||||||
$ | |||||||||||||||
$ |
Compensation Component | Form of Compensation | Purpose | ||||||||||||||||
Cash | • | Compensate each | ||||||||||||||||
• | Provide steady cash flow not contingent on short-term variations in Company performance | |||||||||||||||||
Cash | • | Align compensation with our annual corporate financial performance | ||||||||||||||||
• | Reward achievement of short-term financial objectives | |||||||||||||||||
• | Provide participants with a meaningful total cash compensation opportunity (base salary plus annual incentive) | |||||||||||||||||
Long-Term Incentives | Stock Options, Restricted Stock Units and Performance Stock Units | • | Align compensation with our long-term returns to shareholders | |||||||||||||||
• | Encourage long-term retention | |||||||||||||||||
• | Create a long-term performance focus | |||||||||||||||||
• | Provide executive ownership opportunities |
28 |
| Name | | | 2021 Annual Base Salary | | | 2020 Annual Base Salary | | | Percentage Change from 2020 Annual Base Salary to 2021 Annual Base Salary | | | Base Pay Percent Reduction from May 1, 2020 to September 30, 2020(6) | | | Total 2020 Dollar Amount Reduced from May 1, 2020 to September 30, 2020(6) | |
| Robert Bodor (1) | | | $500,000 | | | $340,717 | | | * | | | 10% | | | $14,415 | |
| Daniel Schumacher (2) | | | $206,799 | | | $— | | | * | | | 0% | | | $— | |
| Arthur R. Baker III | | | $318,558 | | | $318,558 | | | 0% | | | 10% | | | $13,477 | |
| Michael R. Kenison (3) | | | $340,000 | | | $— | | | * | | | 0% | | | $— | |
| Bjoern Klaas | | | $336,635 | | | $328,440 | | | 2% | | | 10% | | | $13,685 | |
| Victoria M. Holt (4) | | | $108,277 | | | $612,000 | | | * | | | 20% | | | $51,785 | |
| John A. Way (5) | | | $344,091 | | | $369,685 | | | * | | | 10% | | | $15,640 | |
Name | 2023 Annual Base Salary | 2022 Annual Base Salary | Percentage Change from 2022 Annual Base Salary to 2023 Annual Base Salary | ||||||||
Robert Bodor | $600,000 | $600,000 | 0 | % | |||||||
Daniel Schumacher | $360,000 | $360,000 | 0 | % | |||||||
Michael R. Kenison | $350,200 | $350,200 | 0 | % | |||||||
Bjoern Klaas | $346,734 | $346,734 | 0 | % | |||||||
Oleg Ryaboy | $350,000 | $350,000 | 0 | % |
Name | Number of One-Time Stock Options(1) | Approximate Percentage of Base Salary | Grant Date Fair Value of Stock Options | ||||||||
Robert Bodor | 10,448 | 20 | % | $120,007 | |||||||
Daniel Schumacher | 3,135 | 10 | % | $36,009 | |||||||
Michael R. Kenison | 3,048 | 10 | % | $35,010 | |||||||
Bjoern Klaas | 3,048 | 10 | % | $35,010 | |||||||
Oleg Ryaboy | 3,048 | 10 | % | $35,010 |
29 |
| Name | | | Revenue | | | AOI | | |||
| Consolidated | | | Geographic Unit | | | Consolidated | | |||
| Robert Bodor | | | 100% | | | | | 100% | | |
| Arthur R. Baker III | | | 100% | | | | | 100% | | |
| Michael R. Kenison | | | 35% | | | 65% | | | 100% | |
| Bjoern Klaas | | | 35% | | | 65% | | | 100% | |
Name | Revenue (75%) | AOI (25%) | |||||||||
Consolidated | Geographic Unit | Consolidated | |||||||||
Robert Bodor | 100 | % | 100 | % | |||||||
Daniel Schumacher | 100 | % | 100 | % | |||||||
Michael R. Kenison | 35 | % | 65 | % | 100 | % | |||||
Bjoern Klaas | 35 | % | 65 | % | 100 | % | |||||
Oleg Ryaboy | 100 | % | 100 | % |
Name | Target Payout as % of | |||||||
100 | % | |||||||
Michael R. Kenison | ||||||||
Bjoern Klaas | ||||||||
Oleg Ryaboy |
| Objective | | | 2021 Threshold Growth (%) | | | 2021 Threshold Amount ($) | | | 2021 Target Growth (%) | | | 2021 Target Amount ($) | | | Actual Performance(1) | | | Final Payout Factor | |
| Consolidated Revenue(2) | | | 0% | | | $433.0M | | | 9.8% | | | $480.0M | | | $447.9M | | | 82.7% | |
| United States Revenue(3) | | | 0% | | | $344.0M | | | 10.3% | | | $383.6M | | | $363.5M | | | 95.6% | |
| EMEA Revenue(4) | | | 0% | | | $78.0M | | | 9.7% | | | $86.5M | | | $73.9M | | | 0.0% | |
| Consolidated Adjusted Operating Income | | | 18.2% | | | — | | | 21.2% | | | — | | | 12.9% | | | 0.0% | |
| United States Adjusted Operating Income | | | 30.2% | | | — | | | 33.2% | | | — | | | 29.5% | | | 0.0% | |
| EMEA Adjusted Operating Income | | | 18.2% | | | — | | | 21.2% | | | — | | | 9.4% | | | 0.0% | |
Objective | 2023 Threshold (%) | 2023 Threshold ($) | 2023 Target (%) | 2023 Target ($) | Actual Performance (%)(1) | Actual Performance ($)(1) | Final Payout Factor | ||||||||||||||||
Consolidated Revenue(2) | — | $480.1M | — | $535.5M | — | $499.9M | 60.7 | % | |||||||||||||||
United States Revenue(3) | — | $363.0M | — | $407.5M | — | $363.9M | 31.7 | % | |||||||||||||||
EMEA Revenue(4) | — | $67.8M | — | $72.6M | — | $70.1M | 82.2 | % | |||||||||||||||
Consolidated Adjusted Operating Income Margin | 11.8 | % | — | 14.1 | % | — | 11.8 | % | — | 40.7 | % |
30 |
| Name | | | 2021 Actual Incentive Amount ($) | | | Percent of Annual Incentive Target Achieved (%) | |
| Robert Bodor (1) | | | $282,062 | | | 63% | |
| Daniel Schumacher (2) | | | $38,465 | | | 62% | |
| Arthur R. Baker III | | | $98,793 | | | 62% | |
| Michael R. Kenison (3) | | | $101,730 | | | 70% | |
| Bjoern Klaas (4) | | | $31,945 | | | 32% | |
| Victoria M. Holt (5) | | | $63,266 | | | 62% | |
| John A. Way (6) | | | $— | | | 0% | |
Name | 2023 Actual Incentive Amount ($) | Percent of Annual Incentive Target Achieved (%) | ||||||
Robert Bodor | $334,063 | 56 | % | |||||
Daniel Schumacher | $130,285 | 56 | % | |||||
Michael R. Kenison | $87,348 | 42 | % | |||||
Bjoern Klaas | $114,748 | 66 | % | |||||
Oleg Ryaboy | $97,435 | 56 | % |
| Name | | | Aggregate Grant Date Fair Value of 2021 Equity Awards | | | Number of RSUs Awarded | | | Number of Stock Options Awarded | | | Target Number of PSUs Awarded | |
| Robert Bodor | | | $2,255,577 | | | 7,413 | | | 11,842 | | | 970 | |
| Daniel Schumacher | | | $400,038 | | | 4,833 | | | 1,936 | | | — | |
| Arthur R. Baker III | | | $1,255,527 | | | 4,212 | | | 3,442 | | | 970 | |
| Michael R. Kenison | | | $380,038 | | | 2,657 | | | 2,943 | | | — | |
| Bjoern Klaas | | | $714,467 | | | 2,365 | | | 1,826 | | | 624 | |
| Victoria M. Holt | | | $— | | | — | | | — | | | — | |
| John A. Way | | | $1,364,804 | | | 4,433 | | | 3,128 | | | 1,386 | |
31 |
Name | Targeted Value of 2023 Equity Awards | Number of RSUs Awarded | Number of Stock Options Awarded for 2023 Long Term Incentives | Target Number of PSUs Awarded | ||||||||||
Robert Bodor | $3,000,000 | 22,164 | 42,061 | 44,327 | ||||||||||
Daniel Schumacher | $700,000 | 5,172 | 9,815 | 10,343 | ||||||||||
Michael R. Kenison | $550,000 | 8,127 | 7,712 | 4,064 | ||||||||||
Bjoern Klaas | $450,000 | 6,649 | 6,310 | 3,325 | ||||||||||
Oleg Ryaboy | $700,000 | 10,343 | 9,815 | 5,172 |
Relative TSR Percentile | PSU Payout (% of Target) | ||||||||
Below 25th percentile | 0% | ||||||||
25th percentile | 50% | ||||||||
50th percentile | 100% | ||||||||
75th percentile or greater |
32 |
Relative TSR Percentile | PSU Payout (% of Target) | ||||
Below 25th percentile | 0% | ||||
25th percentile | 50% | ||||
50th percentile | 100% | ||||
75th percentile or greater | 150% |
| Performance Level | | | 2021 Organic Revenue | | | Revenue Payout Factor | | | 2021 Adjusted EPS | | | EPS Payout Factor | |
| Threshold | | | $575,837,000 | | | 25% | | | $4.34 | | | 25% | |
| Target | | | $690,000,000 | | | 50% | | | $4.57 | | | 50% | |
| Maximum | | | ≥$805,694,000 | | | 75% | | | ≥$4.80 | | | 75% | |
33 |
34 |
COMPENSATION AND TALENT COMMITTEE REPORT |
COMPENSATION AND TALENT COMMITTEE INTERLOCKS AND INSIDER PARTICIPATION |
COMPENSATION RISK ASSESSMENT |
35 |
CONSULTANT INDEPENDENCE ANALYSIS |
36 |
| Name and Principal Position | | | Year | | | Salary ($) | | | Stock Awards ($)(1) | | | Option Awards ($)(2) | | | Non-Equity Incentive Plan Compensation ($)(3) | | | All Other Compensation ($)(4) | | | Total ($) | |
| Robert Bodor(5) President and Chief Executive Officer | | | 2021 | | | 473,277 | | | 1,430,533 | | | 825,044 | | | 282,062 | | | 11,200 | | | 3,022,116 | |
| 2020 | | | 338,658 | | | 475,722 | | | 153,036 | | | 24,900 | | | 11,200 | | | 1,003,516 | | |||
| 2019 | | | 324,492 | | | 447,048 | | | 153,014 | | | 59,941 | | | 11,000 | | | 995,495 | | |||
| Daniel Schumacher(6) Interim Chief Financial Officer | | | 2021 | | | 206,799 | | | 316,783 | | | 83,255 | | | 38,465 | | | 7,933 | | | 653,235 | |
| 2020 | | | — | | | — | | | — | | | — | | | — | | | — | | |||
| 2019 | | | — | | | — | | | — | | | — | | | — | | | — | | |||
| Arthur R. Baker III Chief Technology Officer | | | 2021 | | | 318,558 | | | 980,427 | | | 275,100 | | | 98,793 | | | 9,096 | | | 1,681,974 | |
| 2020 | | | 317,044 | | | 475,722 | | | 153,036 | | | 19,113 | | | 11,200 | | | 976,115 | | |||
| 2019 | | | 312,312 | | | 447,048 | | | 153,014 | | | 56,133 | | | 11,000 | | | 979,507 | | |||
| Michael R. Kenison(7) Vice President/General Manager - Americas | | | 2021 | | | 291,795 | | | 253,478 | | | 126,560 | | | 101,730 | | | 6,745 | | | 780,308 | |
| 2020 | | | — | | | — | | | — | | | — | | | — | | | — | | |||
| 2019 | | | — | | | — | | | — | | | — | | | — | | | — | | |||
| Bjoern Klaas Vice President and Managing Director - Europe, Middle East and Africa | | | 2021 | | | 336,635 | | | 568,525 | | | 145,942 | | | 31,945 | | | 14,108 | | | 1,097,155 | |
| 2020 | | | 324,274 | | | 317,212 | | | 102,010 | | | 20,318 | | | 15,179 | | | 778,993 | | |||
| 2019 | | | 322,390 | | | 298,066 | | | 102,011 | | | 112,925 | | | 13,863 | | | 849,255 | | |||
| Victoria M. Holt(8) Former President and Chief Executive Officer | | | 2021 | | | 108,277 | | | — | | | — | | | 63,266 | | | 7,269 | | | 178,812 | |
| 2020 | | | 583,292 | | | 2,314,264 | | | 425,022 | | | 73,440 | | | 11,200 | | | 3,407,218 | | |||
| 2019 | | | 600,000 | | | 2,160,169 | | | 340,034 | | | 215,308 | | | 11,000 | | | 3,326,511 | | |||
| John A. Way Former Chief Financial Officer | | | 2021 | | | 344,091 | | | 1,114,800 | | | 250,004 | | | — | | | 11,200 | | | 1,720,095 | |
| 2020 | | | 367,985 | | | 713,631 | | | 229,513 | | | 33,272 | | | 11,200 | | | 1,355,601 | | |||
| 2019 | | | 362,436 | | | 670,677 | | | 229,523 | | | 97,748 | | | 11,000 | | | 1,371,384 | |
Name and Principal Position | Year | Salary ($) | Bonus ($)(1) | Stock Awards ($)(2) | Option Awards ($)(3) | Non-Equity Incentive Plan Compensation ($)(4) | All Other Compensation ($)(5) | Total ($) | ||||||||||||||||||
Robert Bodor(6) President and Chief Executive Officer | 2023 | 600,000 | — | 3,311,588 | 870,010 | 334,063 | 11,200 | 5,126,861 | ||||||||||||||||||
2022 | 600,000 | — | 3,064,725 | 700,020 | 243,600 | 11,200 | 4,619,545 | |||||||||||||||||||
2021 | 473,277 | — | 1,430,533 | 825,044 | 282,062 | 11,200 | 3,022,116 | |||||||||||||||||||
Daniel Schumacher(7) Chief Financial Officer | 2023 | 360,000 | — | 772,719 | 211,023 | 130,285 | 9,102 | 1,483,129 | ||||||||||||||||||
2022 | 360,000 | 50,000 | 507,491 | 165,438 | 62,532 | 8,241 | 1,153,702 | |||||||||||||||||||
2021 | 206,799 | — | 316,783 | 83,255 | 38,465 | 7,933 | 653,235 | |||||||||||||||||||
Michael R. Kenison(8) Vice President/General Manager - Americas | 2023 | 350,200 | — | 509,867 | 172,525 | 87,348 | 11,200 | 1,131,140 | ||||||||||||||||||
2022 | 350,200 | 20,487 | 415,025 | 112,518 | 29,729 | 6,379 | 934,338 | |||||||||||||||||||
2021 | 291,795 | — | 253,478 | 126,560 | 101,730 | 6,745 | 780,308 | |||||||||||||||||||
Bjoern Klaas Vice President and Managing Director -Europe, Middle East and Africa | 2023 | 346,734 | — | 417,146 | 147,525 | 114,748 | 13,503 | 1,039,656 | ||||||||||||||||||
2022 | 346,734 | — | 415,025 | 112,518 | 54,702 | 13,455 | 942,434 | |||||||||||||||||||
2021 | 336,635 | — | 568,525 | 145,942 | 31,945 | 14,108 | 1,097,155 | |||||||||||||||||||
Oleg Ryaboy(9) Chief Technology Officer | 2023 | 350,000 | — | 648,885 | 210,024 | 97,435 | 11,200 | 1,317,544 | ||||||||||||||||||
2022 | 350,000 | — | 375,002 | 125,015 | 23,683 | — | 873,700 | |||||||||||||||||||
2021 | — | — | — | — | — | — | — |
Name | RSUs | PSUs | |||||||||||||||
Grant Date Fair Value | Target Value(a) | Target Grant Date Fair Value | Maximum Grant Date Fair Value | ||||||||||||||
Robert Bodor | $750,030 | $1,500,000 | $2,561,558 | $5,123,116 | |||||||||||||
Daniel Schumacher | $175,020 | $350,000 | $597,699 | $1,195,398 | |||||||||||||
Michael R. Kenison | $275,018 | $137,500 | $234,849 | $469,698 | |||||||||||||
Bjoern Klaas | $225,002 | $112,500 | $192,144 | $384,288 | |||||||||||||
Oleg Ryaboy | $350,007 | $175,000 | $298,878 | $597,756 |
| Name | | | RSUs | | | PSUs | | |||
| | | | | | | Target | | | Maximum | |
| Robert Bodor | | | $1,210,204 | | | $220,329 | | | $330,494 | |
| Daniel Schumacher | | | $316,783 | | | $— | | | $— | |
| Arthur R. Baker III | | | $760,098 | | | $220,329 | | | $330,494 | |
| Michael R. Kenison | | | $253,478 | | | $— | | | $— | |
| Bjoern Klaas | | | $426,788 | | | $141,737 | | | $212,606 | |
| Victoria M. Holt | | | $— | | | $— | | | $— | |
| John A. Way | | | $799,979 | | | $314,821 | | | $472,232 | |
Name | Grant Date Fair Value of One-Time Option Grants | Grant Date Fair Value of LTI Option Grants | |||||||||
Robert Bodor | $120,007 | $750,003 | |||||||||
Daniel Schumacher | $36,009 | $175,014 | |||||||||
Michael R. Kenison | $35,010 | $137,515 | |||||||||
Bjoern Klaas | $35,010 | $112,515 | |||||||||
Oleg Ryaboy | $35,010 | $175,014 |
Compensation and Talent Committee | Estimated Future Payouts Under Non-Equity Incentive Plan Awards | Estimated Future Payouts Under Equity Incentive Plan Awards (2) | All Other Stock Awards: Number of Shares of Stock or Units (#)(3) | All Other Option Awards: Number of Securities Underlying Options (#) | Exercise or Base Price of Option Awards ($/Sh) | Grant Date Fair Value of Stock and Option Awards ($)(4) | |||||||||||||||||||||||||||||||||||||||||
Name | Grant Date | Approval Date(1) | Threshold ($) | Target ($) | Maximum ($) | Threshold (#) | Target (#) | Maximum (#) | |||||||||||||||||||||||||||||||||||||||
Robert Bodor | $ | 195,000 | $ | 600,000 | $ | 1,200,000 | |||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 22,164 | 750,030 | ||||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (5) | 2/9/2023 | 10,448 | 33.84 | 120,007 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (6) | 2/9/2023 | 42,061 | 33.84 | 750,003 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 22,164 | 44,327 | 88,654 | 2,561,558 | ||||||||||||||||||||||||||||||||||||||||||
Daniel Schumacher | $ | 76,050 | $ | 234,000 | $ | 468,000 | |||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 5,172 | 175,020 | ||||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (5) | 2/9/2023 | 3,135 | 33.84 | 36,009 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (6) | 2/9/2023 | 9,815 | 33.84 | 175,014 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 5,172 | 10,343 | 20,686 | 597,699 | ||||||||||||||||||||||||||||||||||||||||||
Michael R. Kenison | $ | 68,289 | $ | 210,120 | $ | 420,240 | |||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 8,127 | 275,018 | ||||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (5) | 2/9/2023 | 3,048 | 33.84 | 35,010 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (6) | 2/9/2023 | 7,712 | 33.84 | 137,515 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 2,032 | 4,064 | 8,128 | 234,849 | ||||||||||||||||||||||||||||||||||||||||||
Bjoern Klaas | $ | 56,344 | $ | 173,367 | $ | 346,734 | |||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 6,649 | 225,002 | ||||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (5) | 2/9/2023 | 3,048 | 33.84 | 35,010 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (6) | 2/9/2023 | 6,310 | 33.84 | 112,515 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 1,663 | 3,325 | 6,650 | 192,144 | ||||||||||||||||||||||||||||||||||||||||||
Oleg Ryaboy | $ | 56,875 | $ | 175,000 | $ | 350,000 | |||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 10,343 | 350,007 | ||||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (5) | 2/9/2023 | 3,048 | 33.84 | 35,010 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | (6) | 2/9/2023 | 9,815 | 33.84 | 175,014 | ||||||||||||||||||||||||||||||||||||||||||
2/14/2023 | 2/9/2023 | 2,586 | 5,172 | 10,344 | 298,878 |
| | | | | Compensation Committee | | | Estimated Future Payouts Under Non-Equity Incentive Plan Awards | | | Estimated Future Payouts Under Equity Incentive Plan Awards(2) | | | All Other Stock Awards: Number of Shares of Stock or Units (#)(3) | | | All Other Option Awards: Number of Securities Underlying Options (#)(4) | | | Exercise or Base Price of Option Awards ($/Sh) | | | Grant Date Fair Value of Stock and Option Awards(5) | | ||||||||||||||
| Name | | | Grant Date | | | Approval Date(1) | | | Threshold ($) | | | Target ($) | | | Maximum ($) | | | Threshold (#) | | | Target (#) | | | Maximum (#) | | ||||||||||||
| Robert Bodor | | | $153,815 | | | $473,277 | | | $946,554 | | | | | | | | | | | | | | | | | | | | | ||||||||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | 3,104 | | | | | | | | | $560,148 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | | | | 2,190 | | | 180.46 | | | $175,035 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | 485 | | | 970 | | | 1,455 | | | | | | | | | | | | $220,329 | | |
| | | | 3/1/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | 4,309 | | | | | | | | | $650,056 | | ||
| | | | 3/1/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | | | 9,652 | | | 150.86 | | | $650,009 | | |||
| Daniel Schumacher | | | $68,014 | | | $110,000 | | | $170,090 | | | | | | | | | | | | | | | | | | | | |||||||||
| | | | 5/18/2021 | | | 5/11/2021 | | | | | | | | | | | | | | | | | | | 1,748 | | | | | | | | $166,759 | | |||
| | | | 5/18/2021 | | | 5/11/2021 | | | | | | | | | | | | | | | | | | | | | | 1,936 | | | 95.40 | | | $83,255 | | ||
| | | | 12/1/2021 | | | 11/5/2021 | | | | | | | | | | | | | | | | | | | 3,085 | | | | | | | | $150,024 | | |||
| Arthur R. Baker III | | | $51,766 | | | $159,279 | | | $318,558 | | | | | | | | | | | | | | | | | | | | | ||||||||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | 4,212 | | | | | | | | | $760,098 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | | | | 3,442 | | | 180.46 | | | $275,100 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | 485 | | | 970 | | | 1,455 | | | | | | | | | | | | $220,329 | | |
| Michael R. Kenison | | | $47,417 | | | $145,898 | | | $291,795 | | | | | | | | | | | | | | | | | | | | | ||||||||
| | | | 5/18/2021 | | | 5/11/2021 | | | | | | | | | | | | | | | | | | | 2,657 | | | | | | | | | $253,478 | | ||
| | | | 5/18/2021 | | | 5/11/2021 | | | | | | | | | | | | | | | | | | | | | | 2,943 | | | 95.40 | | | $126,560 | | ||
| Bjoern Klaas | | | $54,703 | | | $168,318 | | | $336,635 | | | | | | | | | | | | | | | | | | | | | ||||||||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | 2,365 | | | | | | | | | $426,788 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | | | | 1,826 | | | 180.46 | | | $145,942 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | 312 | | | 624 | | | 936 | | | | | | | | | | | | $141,737 | | |
| Victoria M. Holt | | | $35,190 | | | $108,277 | | | $216,554 | | | | | | | | | | | | | | | | | | | | | ||||||||
| John A. Way | | | $83,872 | | | $258,069 | | | $516,137 | | | | | | | | | | | | | | | | | | | | | ||||||||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | 4,433 | | | | | | | | | $799,979 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | | | | | | | | | | | | 3,128 | | | 180.46 | | | $250,004 | | ||
| | | | 2/16/2021 | | | 2/2/2021 | | | | | | | | | | | 693 | | | 1,386 | | | 2,079 | | | | | | | | | | | $314,821 | |
38 |
39 |
| | | Option Awards | | | Stock Awards | | ||||||||||||||||||||||
| Name | | | Option Grant Date(1) | | | Number of Securities Underlying Unexercised Options (#) Exercisable | | | Number of Securities Underlying Unexercised Options (#) Unexercisable | | | Option Exercise Price ($/Sh) | | | Option Expiration Date | | | Number of Shares or Units of Stock That Have Not Vested (#) | | | Market Value of Shares or Units of Stock That Have Not Vested ($)(2) | | | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) | | | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(2) | |
| Robert Bodor | | | 02/13/14 | | | 1,632 | | | — | | | 78.59 | | | 02/13/24 | | | | | | | | | | | | | |
| | | 02/09/15 | | | 3,998 | | | — | | | 67.15 | | | 02/09/25 | | | | | | | | | | | | | ||
| | | 02/08/16 | | | 5,673 | | | — | | | 57.88 | | | 02/08/26 | | | | | | | | | | | | | ||
| | | 02/13/17 | | | 2,721 | | | 907 | | | 58.35 | | | 02/13/27 | | | | | | | | | | | | | ||
| | | 02/12/18 | | | 2,253 | | | 751 | | | 105.75 | | | 02/12/28 | | | | | | | | | | | | | ||
| | | 02/11/19 | | | 1,602 | | | 1,602 | | | 104.99 | | | 02/11/29 | | | | | | | | | | | | | ||
| | | 02/10/20 | | | 917 | | | 2,751 | | | 96.72 | | | 02/10/30 | | | | | | | | | | | | | ||
| | | 02/16/21 | | | — | | | 2,190 | | | 180.46 | | | 02/16/31 | | | | | | | | | | | | | ||
| | | 03/01/21 | | | — | | | 9,652 | | | 150.86 | | | 03/01/31 | | | | | | | | | | | | | ||
| | | | | | | | | | | | | | | | | 1,286 | | | 66,036 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 656 | | | 33,686 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 1,415 | | | 72,660 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 2,304 | | | 118,310 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 3,104 | | | 159,390 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 4,309 | | | 221,267 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 13,074(3) | | | 671,349 | | | | | | | | ||
| | | | | | | | | | | | | | | | | | | | | | | | 1,506 | | | $77,333(4) | | |
| | | | | | | | | | | | | | | | | | | | | | | | 970 | | | $49,810(5) | | |
| Daniel Schumacher | | | 05/16/18 | | | 93 | | | 93 | | | 117.55 | | | 05/16/28 | | | | | | | | | | | | | |
| | | 05/15/19 | | | 177 | | | 355 | | | 106.85 | | | 05/15/29 | | | | | | | | | | | | | ||
| | | 05/19/20 | | | 256 | | | 769 | | | 117.00 | | | 05/20/30 | | | | | | | | | | | | | ||
| | | 05/18/21 | | | — | | | 1,936 | | | 95.40 | | | 05/18/31 | | | | | | | | | | | | | ||
| | | | | | | | | | | | | | | | | 238 | | | 12,221 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 128 | | | 6,573 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 309 | | | 15,867 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 636 | | | 32,659 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 1,748 | | | 89,760 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 3,085 | | | 158,415 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 6,144(6) | | | 315,495 | | | | | | | | ||
| Arthur R. Baker III | | | 05/02/16 | | | 1,737 | | | — | | | 60.96 | | | 05/02/26 | | | | | | | | | | | | | |
| | | 02/13/17 | | | — | | | 907 | | | 58.35 | | | 02/13/27 | | | | | | | | | | | | | ||
| | | 02/12/18 | | | 2,413 | | | 805 | | | 105.75 | | | 02/12/28 | | | | | | | | | | | | | ||
| | | 02/11/19 | | | 1,602 | | | 1,602 | | | 104.99 | | | 02/11/29 | | | | | | | | | | | | | ||
| | | 02/10/20 | | | 917 | | | 2,751 | | | 96.72 | | | 02/10/30 | | | | | | | | | | | | | ||
| | | 02/16/21 | | | — | | | 3,442 | | | 180.46 | | | 02/16/31 | | | | | | | | | | | | | ||
| | | | | | | | | | | | | | | | | 1,286 | | | 66,036 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 703 | | | 36,099 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 1,415 | | | 72,660 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 2,304 | | | 118,310 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 4,212 | | | 216,286 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 9,920(7) | | | 509,391 | | | | | | | | ||
| | | | | | | | | | | | | | | | | | | | | | | | 1,506 | | | $77,333(4) | | |
| | | | | | | | | | | | | | | | | | | | | | | | 970 | | | $49,810(5) | | |
| Michael R. Kenison | | | 05/16/18 | | | 232 | | | 233 | | | 117.55 | | | 05/16/28 | | | | | | | | | | | | | |
| | | 05/15/19 | | | 532 | | | 1,064 | | | 106.85 | | | 05/15/29 | | | | | | | | | | | | | ||
| | | 05/19/20 | | | 520 | | | 1,561 | | | 117.00 | | | 05/20/30 | | | | | | | | | | | | | ||
| | | 05/18/21 | | | — | | | 2,943 | | | 95.40 | | | 05/18/31 | | | | | | | | | | | | | ||
| | | | | | | | | | | | | | | | | 635 | | | 32,607 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 320 | | | 16,432 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 927 | | | 47,601 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 1,289 | | | 66,190 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 2,657 | | | 136,436 | | | | | | | | ||
| | | | | | | | | | | | | | | | | 5,828(8) | | | 299,266 | | | | | | | |
Option Awards | Stock Awards | |||||||||||||||||||||||||||||||||||||
Name | Option Grant Date(1) | Number of Securities Underlying Unexercised Options (#) Exercisable | Number of Securities Underlying Unexercised Options (#) Unexercisable | Option Exercise Price ($/Sh) | Option Expiration Date | Stock Award Grant Date | Number of Shares or Units of Stock That Have Not Vested (#) | Market Value of Shares or Units of Stock That Have Not Vested ($)(2) | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(2) | ||||||||||||||||||||||||||||
Robert Bodor | 02/13/14 | 1,632 | — | 78.59 | 02/13/24 | |||||||||||||||||||||||||||||||||
02/09/15 | 3,998 | — | 67.15 | 02/09/25 | ||||||||||||||||||||||||||||||||||
02/08/16 | 5,673 | — | 57.88 | 02/08/26 | ||||||||||||||||||||||||||||||||||
02/13/17 | 3,628 | — | 58.35 | 02/13/27 | ||||||||||||||||||||||||||||||||||
02/12/18 | 3,004 | — | 105.75 | 02/12/28 | ||||||||||||||||||||||||||||||||||
02/11/19 | 3,204 | — | 104.99 | 02/11/29 | ||||||||||||||||||||||||||||||||||
02/10/20 | 2,751 | 917 | 96.72 | 02/10/30 | ||||||||||||||||||||||||||||||||||
02/16/21 | 1,094 | 1,096 | 180.46 | 02/16/31 | ||||||||||||||||||||||||||||||||||
03/01/21 | 4,826 | 4,826 | 150.86 | 03/01/31 | ||||||||||||||||||||||||||||||||||
02/15/22 | 6,286 | 18,861 | 59.40 | 02/13/32 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 10,448 | 33.84 | 02/14/26 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 42,061 | 33.84 | 02/14/33 | ||||||||||||||||||||||||||||||||||
02/10/20 | 768 | 29,921 | ||||||||||||||||||||||||||||||||||||
02/16/21 | 1,552 | 60,466 | ||||||||||||||||||||||||||||||||||||
03/01/21 | 2,155 | 83,959 | ||||||||||||||||||||||||||||||||||||
02/15/22 | 8,839 | 344,367 | ||||||||||||||||||||||||||||||||||||
02/14/23 | 22,164 | 863,509 | ||||||||||||||||||||||||||||||||||||
35,478 | (3) | 1,382,222 | ||||||||||||||||||||||||||||||||||||
02/15/22 | 23,570 | (4) | 918,287 | |||||||||||||||||||||||||||||||||||
02/14/23 | 44,327 | (5) | 1,726,980 | |||||||||||||||||||||||||||||||||||
Daniel Schumacher | 05/16/18 | 186 | — | 117.55 | 05/16/28 | |||||||||||||||||||||||||||||||||
05/15/19 | 532 | — | 106.85 | 05/15/29 | ||||||||||||||||||||||||||||||||||
05/19/20 | 768 | 257 | 117.00 | 05/20/30 | ||||||||||||||||||||||||||||||||||
05/18/21 | 968 | 968 | 95.40 | 05/18/31 | ||||||||||||||||||||||||||||||||||
08/30/22 | 2,151 | 6,454 | 39.11 | 08/30/32 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 3,135 | 33.84 | 02/14/26 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 9,815 | 33.84 | 02/14/33 | ||||||||||||||||||||||||||||||||||
05/19/20 | 212 | 8,260 | ||||||||||||||||||||||||||||||||||||
05/18/21 | 874 | 34,051 | ||||||||||||||||||||||||||||||||||||
08/30/22 | 6,291 | 245,097 | ||||||||||||||||||||||||||||||||||||
02/14/23 | 5,172 | 201,501 | ||||||||||||||||||||||||||||||||||||
12,549 | (6) | 488,909 | ||||||||||||||||||||||||||||||||||||
08/30/22 | 3,077 | (4) | 119,880 | |||||||||||||||||||||||||||||||||||
02/14/23 | 10,343 | (5) | 402,963 |
40 |
Option Awards | Stock Awards | |||||||||||||||||||||||||||||||||||||
Name | Option Grant Date(1) | Number of Securities Underlying Unexercised Options (#) Exercisable | Number of Securities Underlying Unexercised Options (#) Unexercisable | Option Exercise Price ($/Sh) | Option Expiration Date | Stock Award Grant Date | Number of Shares or Units of Stock That Have Not Vested (#) | Market Value of Shares or Units of Stock That Have Not Vested ($)(2) | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(2) | ||||||||||||||||||||||||||||
Michael R. Kenison | 05/16/18 | 465 | — | 117.55 | 05/16/28 | |||||||||||||||||||||||||||||||||
05/15/19 | 1,596 | — | 106.85 | 05/15/29 | ||||||||||||||||||||||||||||||||||
05/19/20 | 1,560 | 521 | 117.00 | 05/20/30 | ||||||||||||||||||||||||||||||||||
05/18/21 | 1,471 | 1,472 | 95.40 | 05/18/31 | ||||||||||||||||||||||||||||||||||
02/15/22 | 1,010 | 3,032 | 59.40 | 02/13/32 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 3,048 | 33.84 | 02/14/26 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 7,712 | 33.84 | 02/14/33 | ||||||||||||||||||||||||||||||||||
05/19/20 | 430 | 16,753 | ||||||||||||||||||||||||||||||||||||
05/18/21 | 1,329 | 51,778 | ||||||||||||||||||||||||||||||||||||
02/15/22 | 2,841 | 110,685 | ||||||||||||||||||||||||||||||||||||
02/14/23 | 8,127 | 316,628 | ||||||||||||||||||||||||||||||||||||
12,727 | (7) | 495,844 | ||||||||||||||||||||||||||||||||||||
02/15/22 | 1,894 | (4) | 73,790 | |||||||||||||||||||||||||||||||||||
02/14/23 | 4,064 | (5) | 158,333 | |||||||||||||||||||||||||||||||||||
Bjoern Klaas | 02/11/19 | 2,136 | — | 104.99 | 02/11/29 | |||||||||||||||||||||||||||||||||
02/10/20 | 1,833 | 612 | 96.72 | 02/10/30 | ||||||||||||||||||||||||||||||||||
02/16/21 | 912 | 914 | 180.46 | 02/16/31 | ||||||||||||||||||||||||||||||||||
02/15/22 | 1,010 | 3,032 | 59.40 | 02/13/32 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 3,048 | 33.84 | 02/14/26 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 6,310 | 33.84 | 02/14/33 | ||||||||||||||||||||||||||||||||||
02/10/20 | 512 | 19,948 | ||||||||||||||||||||||||||||||||||||
02/16/21 | 1,183 | 46,090 | ||||||||||||||||||||||||||||||||||||
02/15/22 | 2,841 | 110,685 | ||||||||||||||||||||||||||||||||||||
02/14/23 | 6,649 | 259,045 | ||||||||||||||||||||||||||||||||||||
11,185 | (8) | 435,768 | ||||||||||||||||||||||||||||||||||||
02/15/22 | 1,894 | (4) | 73,790 | |||||||||||||||||||||||||||||||||||
02/14/23 | 3,325 | (5) | 129,542 | |||||||||||||||||||||||||||||||||||
Oleg Ryaboy | 09/09/22 | 1,576 | 4,731 | 40.06 | 09/09/32 | |||||||||||||||||||||||||||||||||
02/14/23 | — | 3,048 | 33.84 | 02/14/26 | ||||||||||||||||||||||||||||||||||
02/14/23 | — | 9,815 | 33.84 | 02/14/33 | ||||||||||||||||||||||||||||||||||
09/09/22 | 7,021 | 273,538 | ||||||||||||||||||||||||||||||||||||
02/14/23 | 10,343 | 402,963 | ||||||||||||||||||||||||||||||||||||
17,364 | (9) | 676,501 | ||||||||||||||||||||||||||||||||||||
02/14/23 | 5,172 | (5) | 201,501 |
| | | Option Awards | | | Stock Awards | | ||||||||||||||||||||||
| Name | | | Option Grant Date(1) | | | Number of Securities Underlying Unexercised Options (#) Exercisable | | | Number of Securities Underlying Unexercised Options (#) Unexercisable | | | Option Exercise Price ($/Sh) | | | Option Expiration Date | | | Number of Shares or Units of Stock That Have Not Vested (#) | | | Market Value of Shares or Units of Stock That Have Not Vested ($)(2) | | | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#) | | | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(2) | |
| Bjoern Klaas | | | 02/11/19 | | | 1,068 | | | 1,068 | | | 104.99 | | | 02/11/29 | | | | | | | | | | | | ||
| | | | 02/10/20 | | | 611 | | | 1,834 | | | 96.72 | | | 02/10/30 | | | | | | | | | | | | | |
| | | | 02/16/21 | | | — | | | 1,826 | | | 180.46 | | | 02/16/31 | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | 1,059 | | | 54,380 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 943 | | | 48,423 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 1,536 | | | 78,874 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 2,365 | | | 121,443 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 5,903(9) | | | 303,120 | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | 1,004 | | | $51,555(4) | |
| | | | | | | | | | | | | | | | | | | | | | | | | 624 | | | $32,042(5) | |
| Victoria M. Holt | | | 02/13/17 | | | 7,256 | | | 1,814 | | | 58.35 | | | 02/13/27 | | | | | | | | | | | | ||
| | | | 02/12/18 | | | 5,363 | | | 1,788 | | | 105.75 | | | 02/12/28 | | | | | | | | | | | | | |
| | | | 02/11/19 | | | 3,560 | | | 1,780 | | | 104.99 | | | 02/11/29 | | | | | | | | | | | | | |
| | | | 02/10/20 | | | 2,546 | | | 2,547 | | | 96.72 | | | 02/10/30 | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | 2,571 | | | 132,021 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 1,561 | | | 80,157 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 1,572 | | | 80,722 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 2,133 | | | 109,529 | | | | | | | |
| | | | | | | | | | | | | | | | | | | 7,837(10) | | | 402,429 | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | 8,367 | | | $429,645(4) | |
| John A. Way | | | 02/08/16 | | | 2,837 | | | — | | | 57.88 | | | 02/28/22 | | | | | | | | | | | | ||
| | | | 02/13/17 | | | 5,444 | | | — | | | 58.35 | | | 02/28/22 | | | | | | | | | | | | | |
| | | | 02/12/18 | | | 3,218 | | | — | | | 105.75 | | | 02/28/22 | | | | | | | | | | | | | |
| | | | 02/11/19 | | | 2,403 | | | — | | | 104.99 | | | 02/28/22 | | | | | | | | | | | | | |
| | | | 02/10/20 | | | 1,375 | | | — | | | 96.72 | | | 02/28/22 | | | | | | | | | | | | |
| | | | Option Awards | | | Stock Awards | | ||||||
| Name | | | Number of Shares Acquired on Exercise (#) | | | Value Realized on Exercise ($)(1) | | | Number of Shares Acquired on Vesting (#) | | | Value Realized on Vesting ($)(2) | |
| Robert Bodor | | | — | | | — | | | 4,279 | | | 843,177 | |
| Daniel Schumacher | | | 363 | | | 30,466 | | | 732 | | | 66,246 | |
| Arthur R. Baker III | | | 7,102 | | | 886,116 | | | 4,283 | | | 766,545 | |
| Michael R. Kenison | | | — | | | — | | | 2,513 | | | 227,427 | |
| Bjoern Klaas | | | — | | | — | | | 2,043 | | | 245,396 | |
| Victoria M. Holt | | | 18,910 | | | 2,464,531 | | | 9,563 | | | 1,884,289 | |
| John A. Way | | | — | | | — | | | 6,373 | | | 1,255,800 | |
Option Awards | Stock Awards | |||||||||||||
Name | Number of Shares Acquired on Exercise (#) | Value Realized on Exercise ($)(1) | Number of Shares Acquired on Vesting (#) | Value Realized on Vesting ($)(2) | ||||||||||
Robert Bodor | — | — | 6,275 | 214,793 | ||||||||||
Daniel Schumacher | — | — | 2,900 | 96,720 | ||||||||||
Michael R. Kenison | — | — | 2,505 | 82,833 | ||||||||||
Bjoern Klaas | — | — | 2,522 | 86,328 | ||||||||||
Oleg Ryaboy | — | — | 2,340 | 80,098 |
42 |
43 |
44 |
45 |
Name | Termination Without Cause or For Good Reason Not During Transition Period or in Anticipation of Change in Control ($) | Termination Without Cause or For Good Reason Upon a Change in Control or During Transition Period ($) (1) | Termination Without Cause or For Good Reason in Anticipation of Change in Control ($) (2) | Death ($) | Disability ($) | Change in Control Without Termination ($) | Retirement ($) | ||||||||||||||||
Robert Bodor | |||||||||||||||||||||||
Base Salary Payment | 600,000 | 1,200,000 | 1,200,000 | — | — | — | — | ||||||||||||||||
Incentive Payment | 600,000 | 1,200,000 | 1,200,000 | 600,000 | 600,000 | — | — | ||||||||||||||||
Benefits Continuation | 5,563 | 8,344 | 8,344 | — | — | — | — | ||||||||||||||||
Accelerated Option Vesting | 107,331 | 268,846 | 268,846 | 268,846 | 268,846 | — | — | ||||||||||||||||
Accelerated RSU Vesting | 432,800 | 1,382,222 | 1,382,222 | 1,382,222 | 1,382,222 | — | — | ||||||||||||||||
Accelerated PSU Vesting(3) | — | — | — | 1,187,851 | — | 1,187,851 | — | ||||||||||||||||
Daniel Schumacher | |||||||||||||||||||||||
Base Salary Payment | 360,000 | 360,000 | 360,000 | — | — | — | — | ||||||||||||||||
Incentive Payment | 234,000 | 468,000 | 468,000 | — | — | — | — | ||||||||||||||||
Benefits Continuation | — | — | — | — | — | — | — | ||||||||||||||||
Accelerated Option Vesting | 28,611 | 66,304 | 66,304 | 66,304 | 66,304 | — | — | ||||||||||||||||
Accelerated RSU Vesting | 157,359 | 488,909 | 488,909 | 488,909 | 488,909 | — | — | ||||||||||||||||
Accelerated PSU Vesting(3) | — | — | — | 214,241 | — | 214,241 | — | ||||||||||||||||
Michael R. Kenison | |||||||||||||||||||||||
Base Salary Payment | 350,200 | 350,200 | 350,200 | — | — | — | — | ||||||||||||||||
Incentive Payment | 210,120 | 420,240 | 420,240 | — | — | — | — | ||||||||||||||||
Benefits Continuation | 13,578 | 13,578 | 13,578 | — | — | — | — | ||||||||||||||||
Accelerated Option Vesting | 25,477 | 55,091 | 55,091 | 55,091 | 55,091 | — | — | ||||||||||||||||
Accelerated RSU Vesting | 158,694 | 495,844 | 495,844 | 495,844 | 495,844 | — | — | ||||||||||||||||
Accelerated PSU Vesting(3) | — | — | — | 101,971 | — | 101,971 | — | ||||||||||||||||
Bjoern Klaas | |||||||||||||||||||||||
Base Salary Payment | 346,734 | 346,734 | 346,734 | — | — | — | — | ||||||||||||||||
Incentive Payment | 173,367 | 346,734 | 346,734 | — | — | — | — | ||||||||||||||||
Benefits Continuation | — | — | — | — | — | — | — | ||||||||||||||||
Accelerated Option Vesting | 23,680 | 47,913 | 47,913 | 47,913 | 47,913 | — | — | ||||||||||||||||
Accelerated RSU Vesting | 144,649 | 435,768 | 435,768 | 435,768 | 435,768 | — | — | ||||||||||||||||
Accelerated PSU Vesting(3) | — | — | — | 92,374 | — | 92,374 | — | ||||||||||||||||
Oleg Ryaboy | |||||||||||||||||||||||
Base Salary Payment | 350,000 | 350,000 | 350,000 | — | — | — | — | ||||||||||||||||
Incentive Payment | 175,000 | 350,000 | 350,000 | — | — | — | — | ||||||||||||||||
Benefits Continuation | 8,500 | 8,500 | 8,500 | — | — | — | — | ||||||||||||||||
Accelerated Option Vesting | 28,165 | 65,859 | 65,859 | 65,859 | 65,859 | — | — | ||||||||||||||||
Accelerated RSU Vesting | 191,920 | 676,501 | 676,501 | 676,501 | 676,501 | — | — | ||||||||||||||||
Accelerated PSU Vesting(3) | — | — | — | 67,167 | — | 67,167 | — |
| Name | | | Termination Without Cause or For Good Reason Not During Transition Period or in Anticipation of Change in Control | | | Termination Without Cause or For Good Reason Upon a Change in Control or During Transition Period(1) | | | Termination Without Cause or For Good Reason in Anticipation of Change in Control (2) | | | Death | | | Disability | | | Change in Control Without Termination | | | Retirement | |
| Robert Bodor | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | 500,000 | | | 1,000,000 | | | 1,000,000 | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | 473,277 | | | 946,554 | | | 946,554 | | | 473,277 | | | 473,277 | | | — | | | — | |
| Benefits Continuation | | | 5,357 | | | 8,036 | | | 8,036 | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | 270,615 | | | 671,349 | | | 671,349 | | | 671,349 | | | 671,349 | | | — | | | 270,615 | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | 68,159 | | | — | | | — | | | 68,159 | |
| Daniel Schumacher | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Benefits Continuation | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Arthur R. Baker III | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | 318,558 | | | 318,558 | | | 318,558 | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | 159,279 | | | 318,558 | | | 318,558 | | | — | | | — | | | — | | | — | |
| Benefits Continuation | | | 4,747 | | | 4,747 | | | 4,747 | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | 231,948 | | | 509,391 | | | 509,391 | | | 509,391 | | | 509,391 | | | — | | | — | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | 68,159 | | | — | | | — | | | — | |
| Michael R. Kenison | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | 340,000 | | | 340,000 | | | 340,000 | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | 145,898 | | | 291,795 | | | 291,795 | | | — | | | — | | | — | | | — | |
| Benefits Continuation | | | 12,797 | | | 12,797 | | | 12,797 | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | 128,940 | | | 299,266 | | | 299,266 | | | 299,266 | | | 299,266 | | | — | | | — | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
46 |
| Name | | | Termination Without Cause or For Good Reason Not During Transition Period or in Anticipation of Change in Control | | | Termination Without Cause or For Good Reason Upon a Change in Control or During Transition Period(1) | | | Termination Without Cause or For Good Reason in Anticipation of Change in Control (2) | | | Death | | | Disability | | | Change in Control Without Termination | | | Retirement | |
| Bjoern Klaas | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | 336,635 | | | 336,635 | | | 336,635 | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | 168,318 | | | 336,635 | | | 336,635 | | | — | | | — | | | — | | | — | |
| Benefits Continuation | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | 135,205 | | | 303,120 | | | 303,120 | | | 303,120 | | | 303,120 | | | — | | | — | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | 45,051 | | | — | | | — | | | — | |
| Victoria M. Holt | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | 108,277 | | | 216,554 | | | 108,277 | | | — | | | — | | | — | | | — | |
| Benefits Continuation | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | 429,645 | | | — | | | — | | | 429,645 | |
| John A. Way(4) | | | | | | | | | | | | | | | | | | | | | ||
| Base Salary Payment | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Incentive Payment | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Benefits Continuation | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated Option Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated RSU Vesting | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
| Accelerated PSU Vesting(3) | | | — | | | — | | | — | | | — | | | — | | | — | | | — | |
Year | Summary Compensation Table Total for Current CEO(1) | Compensation Actually Paid (CAP) to Current CEO(1,2) | Summary Compensation Table Total for Former CEO(1) | Compensation Actually Paid (CAP) to Former CEO(1,2) | Average Summary Compensation Table Total for Non-CEO NEOs(1) | Average Compensation Actually Paid (CAP) to Non- CEO NEOs(1,2) | Value of Initial Fixed $100 Investment Based On:(3) | Net Income (Loss) (in thousands) | Non-GAAP Revenue in Constant Currency (in thousands) (5) | |||||||||||||||||||||||
Company TSR | Peer Group TSR(4) | |||||||||||||||||||||||||||||||
2023 | $5,126,861 | $6,729,460 | NA | NA | $1,242,867 | $1,552,217 | $38 | $148 | $17,220 | $504,044 | ||||||||||||||||||||||
2022 | $4,619,545 | $2,034,934 | NA | NA | $1,017,900 | $550,832 | $25 | $123 | ($103,462) | $500,005 | ||||||||||||||||||||||
2021 | $3,022,116 | $504,316 | $178,812 | ($5,566,128) | $1,187,153 | ($354,016) | $51 | $177 | $33,372 | $484,799 | ||||||||||||||||||||||
2020 | NA | NA | $3,407,218 | $6,736,558 | $1,028,556 | $2,350,811 | $151 | $144 | $50,867 | $433,379 |
Year | Current CEO | Former CEO | Non-CEO NEOs | ||||||||
2023 | Robert Bodor | Daniel Schumacher, Michael R. Kenison, Bjoern Klaas, and Oleg Ryaboy | |||||||||
2022 | Robert Bodor | Daniel Schumacher, Michael R. Kenison, Bjoern Klaas, Oleg Ryaboy, and Arthur R. Baker III | |||||||||
2021 | Robert Bodor | Victoria Holt | Daniel Schumacher, Arthur R. Baker III, Michael R. Kenison, Bjoern Klaas, and John A. Way | ||||||||
2020 | Victoria Holt | Robert Bodor, Arthur R. Baker III, Bjoern Klaas, and John A. Way |
47 |
Current CEO | Average | |||||||
Non-CEO NEOs | ||||||||
Total 2023 Compensation reported in Summary Compensation Table (SCT) | $5,126,861 | $1,242,867 | ||||||
Adjustments for stock and option awards | ||||||||
Subtract SCT amounts of stock and option awards | (4,181,598) | (772,429) | ||||||
Add fair value at year-end of awards granted during fiscal year 2023 that are outstanding and unvested at year-end | 4,901,078 | 899,352 | ||||||
+/- The difference between fair value of awards from the end of fiscal year 2022 to the end of fiscal year 2023 for awards granted in any prior fiscal year that are outstanding and unvested at year-end | 793,909 | 152,781 | ||||||
Add the fair value as of the vesting date for awards granted and vesting during fiscal year 2023 | — | — | ||||||
+/- The change in fair value from the end of fiscal year 2022 to the vesting date for awards granted in any prior fiscal year for which all applicable vesting conditions were satisfied during fiscal year 2023 | 89,210 | 29,646 | ||||||
Subtract fair value at end of prior year for awards granted in any prior fiscal year that fail to meet the applicable vesting conditions during fiscal year 2023 | — | — | ||||||
Add dividends or other earnings paid on stock or option awards in 2023 prior to vesting if not otherwise included in total compensation for fiscal year 2023 | — | — | ||||||
Compensation Actually Paid for Fiscal Year 2023 (as calculated) | $6,729,460 | $1,552,217 |
Year | CD&A Peer Group | ||||
2023 | 3D Systems Corporation, Badger Meter, Inc., Cerence Inc., CTS Corporation, Enerpac Tool Group Corp, ESCO Technologies, Inc., FARO Technologies, Inc., Helios Technologies Inc., Lindsay Corporation, Novanta Inc., RBC Bearings Incorporated, Semtech Corporation, SPS Commerce, Inc., and Vicor Corporation. | ||||
2022 | 3D Systems Corporation, Badger Meter, Inc., Cerence Inc., Enerpac Tool Group Corp., ESCO Technologies Inc., FARO Technologies, Inc., Helios Technologies, Inc., Novanta Inc., Power Integrations, Inc. Raven Industries, Inc. RBC Bearings Incorporated, Semtech Corporation, SPS Commerce, Inc., Universal Display Corporation, and Vicor Corporation. | ||||
2021 | 3D Systems Corporation, Axon Enterprise, Inc., Badger Meter, Inc., Cognex Corporation, ESCO Technologies Inc., FARO Technologies, Inc., Helios Technologies, Inc., Monolithic Power Systems, Inc., Novanta Inc., Power Integrations, Inc., Raven Industries, Inc., RBC Bearings Incorporated, Semtech Corporation, SPS Commerce, Inc., and Universal Display Corporation. | ||||
2020 | 3D Systems Corporation, Axon Enterprise, Inc., Badger Meter, Inc., Cognex Corporation, ESCO Technologies Inc., FARO Technologies, Inc., Helios Technologies, Inc., Monolithic Power Systems, Inc., Novanta, Inc., Power Integrations, Inc., Raven Industries, Inc., RBC Bearings Incorporated, Shutterstock, Inc., SPS Commerce, Inc., and Universal Display Corporation. |
Value of $100 Initial Fixed Investment on December 31, 2019 | |||||||||||
Year | PRLB | Russell 2000 Growth Index | CD&A Peer Group | ||||||||
2023 | $38 | $128 | $148 | ||||||||
2022 | $25 | $110 | $123 | ||||||||
2021 | $51 | $138 | $177 | ||||||||
2020 | $151 | $120 | $144 |
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Most Important Performance Measures | ||
Revenue in Constant Currency(1) | ||
3-Year Cumulative TSR Performance relative to Russell 2000 Growth Index | ||
Adjusted Operating Income(2) |
49 |
50 |
DIRECTOR COMPENSATION |
Annual cash retainer: | $50,000 | ||||||||
Additional annual cash retainer for Chairman: | $ | ||||||||
Annual cash retainer for committee chairs: | Audit Committee: $20,000 Compensation and Talent Committee: $15,000 Nominating and Governance Committee: $10,000 | ||||||||
Annual cash retainer for other committee members: | Audit Committee: $8,000 Compensation and Talent Committee: $6,000 Nominating and Governance Committee: $4,000 | ||||||||
Annual equity award: | $145,000 grant date fair value of restricted stock units or deferred stock units (at the director’s election) which become vested in full on the earlier of the first anniversary of the grant date or the date of the next annual meeting of our shareholders | ||||||||
New director equity award: | Restricted stock units or deferred stock units (at the director’s election) with $145,000 grant date fair value, granted and vested on the date the director is first elected to the board | ||||||||
In addition, a grant of pro-rata portion of the restricted stock units or deferred stock units (at the director’s election) which was granted to directors at the most recent annual meeting of shareholders, which will vest at the following annual meeting of shareholders | |||||||||
Meeting fees: | Generally none, but the compensation and talent committee has the discretion to provide for meeting fees if the number of board of directors meetings exceeds eight per year or if the number of meetings of any committee exceeds six per year |
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| Name | | | Fees Earned or Paid in Cash ($) | | | Stock Awards ($) | | | Option Awards ($) | | | Total | |
| Archie C. Black | | | 106,000 | | | 145,000 | | | — | | | 251,000 | |
| Sujeet Chand | | | 60,000 | | | 145,000 | | | — | | | 205,000 | |
| Moonhie Chin | | | 54,000 | | | 145,000 | | | — | | | 199,000 | |
| Rainer Gawlick | | | 73,000 | | | 145,000 | | | — | | | 218,000 | |
| John B. Goodman(1) | | | 64,000 | | | 145,000 | | | — | | | 209,000 | |
| Stacy Greiner(2) | | | 6,319 | | | 189,716 | | | — | | | 196,035 | |
| Donald G. Krantz | | | 50,000 | | | 145,000 | | | — | | | 195,000 | |
| Sven A. Wehrwein | | | 74,000 | | | 145,000 | | | — | | | 219,000 | |
Name | Fees Earned or Paid in Cash ($) | Stock Awards ($) | Option Awards ($) | Total ($) | ||||||||||
Archie C. Black | 87,956 | 145,000 | — | 232,956 | ||||||||||
Sujeet Chand | 60,000 | 145,000 | — | 205,000 | ||||||||||
Moonhie Chin | 61,600 | 145,000 | — | 206,600 | ||||||||||
Rainer Gawlick | 113,444 | 145,000 | — | 258,444 | ||||||||||
Stacy Greiner | 58,000 | 145,000 | — | 203,000 | ||||||||||
Donald G. Krantz | 56,000 | 145,000 | — | 201,000 | ||||||||||
Sven A. Wehrwein | 74,000 | 145,000 | — | 219,000 |
| Name | | | Number of Shares Underlying Unexercised Options | | | Number of Shares Subject to Unvested DSUs | | | Number of Shares Subject to Unvested RSUs | |
| Archie C. Black | | | — | | | 1,520 | | | — | |
| Sujeet Chand | | | — | | | 1,520 | | | — | |
| Moonhie Chin | | | — | | | 1,520 | | | — | |
| Rainer Gawlick | | | 4,055 | | | 1,520 | | | — | |
| John B. Goodman | | | — | | | 1,520 | | | — | |
| Stacy Greiner | | | — | | | 767 | | | — | |
| Donald G. Krantz | | | — | | | — | | | 1,520 | |
| Sven A. Wehrwein | | | 6,055 | | | 1,520 | | | — | |
Name | Number of Shares Underlying Unexercised Options | Number of Shares Subject to Unvested DSUs | Number of Shares Subject to Unvested RSUs | ||||||||
Archie C. Black | — | 4,513 | — | ||||||||
Sujeet Chand | — | 4,513 | — | ||||||||
Moonhie Chin | — | 4,513 | — | ||||||||
Rainer Gawlick | 3,340 | 4,513 | — | ||||||||
Stacy Greiner | — | 4,513 | — | ||||||||
Donald G. Krantz | — | — | 4,513 | ||||||||
Sven A. Wehrwein | 3,340 | 4,513 | — |
52 |
PROPOSAL 2—RATIFICATION OF SELECTION OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM |
THE BOARD, UPON RECOMMENDATION OF THE AUDIT COMMITTEE, UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE “FOR” THE RATIFICATION OF ERNST & YOUNG LLP AS OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM FOR FISCAL 2024. | ||
53 |
AUDIT COMMITTEE REPORT |
54 |
FEES PAID TO INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM |
Fiscal Year | ||||||||
2023 | 2022 | |||||||
Audit Fees | $1,220,027 | $1,387,698 | ||||||
Audit-Related Fees | — | — | ||||||
Tax Fees | — | 3,571 | ||||||
All Other Fees | — | — | ||||||
Total | $1,220,027 | $1,391,269 |
55 |
PROPOSAL 3—ADVISORY VOTE ON EXECUTIVE COMPENSATION |
THE BOARD UNANIMOUSLY RECOMMENDS THAT YOU VOTE “FOR” THE ADVISORY (NONBINDING) RESOLUTION. | ||
56 |
PROPOSAL 4—APPROVAL OF THE AMENDED AND RESTATED PROTO LABS, INC. 2022 LONG-TERM INCENTIVE PLAN |
57 |
58 |
Stock Options Outstanding | #457,280 | ||||
Weighted Average Exercise Price of Stock Options Outstanding | $54.33 | ||||
Weighted Average Remaining Term of Stock Options Outstanding | 7.6 years | ||||
Full Value Awards Outstanding | #855,010 | ||||
Restricted Stock Units | #671,249 | ||||
Performance Stock Units | #183,761 | ||||
Shares Available for Grant under the 2022 Plan | #640,972 |
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60 |
61 |
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63 |
THE BOARD UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE “FOR” APPROVAL OF THE AMENDED AND RESTATED PROTO LABS, INC. 2022 LONG-TERM INCENTIVE PLAN | ||
64 |
EQUITY COMPENSATION PLAN INFORMATION |
Plan Category | Number of Securities to Be Issued Upon Exercise of Outstanding Options, Warrants and Rights | Weighted Average Exercise Price of Outstanding Options, Warrants and Rights | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in the First Column) | |||||||||||||||||
Equity compensation plans approved by security holders(1) | 1,131,875 | $ | 59.92 | 1,689,082 | (2) | |||||||||||||||
Equity compensation plans not approved by security holders | — | — | — | |||||||||||||||||
Total | 1,131,875 | 59.92 | 1,689,082 | (2) |
OTHER MATTERS |
SUBMISSION OF SHAREHOLDER PROPOSALS AND NOMINATIONS |
65 |
ADDITIONAL INFORMATION |
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