Company: CELH
Filing Date: 2025-04-02
Form Type: PRE 14A
Source: 0001193125-25-071343
Chunk: 45

Company: Celsius Holdings, Inc.
Filing Date: 2025-04-02
Form: PRE 14A
Chunk 45
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 historically been time-based and have not included performance-based vesting provisions. Stockholders advocated including strategic and operational performance metrics in long-term incentive awards. |     | For 2024, our Compensation Committee approved a new long-term PSU plan intended to be a portion of all ongoing equity grants going forward. The PSU plan includes three-year cumulative revenue goals, three-year relative TSR goals, and absolute stock price goals. The PSU plan is intended to account for approximately 50% of the overall long-term incentives for our CEO and 30% for our other NEOs.                                                                                                                                                                                                                                                                                                                                                                                  |
| Severance Provisions:   Several stockholders expressed concern over the amount of severance benefits that would be payable to our CEO and CFO in the event that they are terminated without cause or resign with good reason following a change in control.                                                 |     | In 2024, we entered into new employment agreements with our CEO and CFO that align all severance benefits more closely with the market. The severance benefits that would be payable following certain involuntary terminations in connection with a change in control are intended to be attractive to our CEO and CFO to maintain focus on the operations of the Company in the event of a change in control or potential change in control transaction   In addition, in 2024 we adopted executive severance and change in control plans that cover all our NEOs to extend the executive focus on our operations in the event of a potential change in control transaction. For more information, please refer to the “Potential Payments under Severance and Change in Control” section. |

Compensation Best Practices Our Compensation Committee regularly reviews our compensation practices and policies to ensure that they further our executive compensation philosophy and reduce unnecessary risk. The following table summarizes our NEO compensation program features and what we believe are “best practices” in terms of designing and administering the program.

| What we do:                                                                                                                                                      |     | What we don’t do:                                              |
| ☑  Pay for performance – greater than 75% of CEO and 70% of other NEOs compensation is variable and/or at risk                                                   |     | ☒   No executive is permitted to hedge or pledge Celsius stock |
| ☑  Double-trigger vesting under our proposed 2025 equity plan (subject to stockholder approval at the Annual Meeting) and for all PSUs granted beginning in 2024 |     | ☒   No excise tax gross-ups for our NEOs                       |
| ☑