Company: APTV
Filing Date: 2025-03-10
Form Type: DEF 14A
Source: 0000950170-25-036263
Chunk: 23

Company: Aptiv PLC
Filing Date: 2025-03-10
Form: DEF 14A
Chunk 23
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, the Compensation Committee approved an increase to Mr. Massaro’s annual incentive award opportunity from 125% to 135% as a percentage of base salary as a result of the Compensation Committee's annual market assessment.

36 COMPENSATION DISCUSSION AND ANALYSIS The Compensation Committee, working with management and its independent compensation consultant, sets the performance metrics and objectives based on Aptiv’s annual business objectives. For 2024, the Compensation Committee approved the following performance metrics for the Annual Incentive Plan:

| Performance Metric                                                           |     | Weighting |     | Rationale                                                                                                                                                                                 |
| Adjusted Operating Income (OI)(1)                                            |     | 30%       |     | OI provides a measure of our income realized from business operations and serves as an indicator of our overall financial performance                                                     |
| Cash Flow Before Financing (CFBF) / Simplified Operating Cash Flow (SOCF)(2) |     | 30%       |     | CFBF (enterprise-wide ("Total Aptiv") metric) / SOCF (segment-only metric) measures the generation of cash required to gain scale in our current platforms and to pursue future platforms |
| Growth Over Market (GOM)                                                     |     | 15%       |     | GOM measures sales growth relative to the automotive markets in which we operate and supports the conversion of bookings to revenue                                                       |
| Strategic Results Metric                                                     |     | 25%       |     | The Strategic Results Metric is intended to align organizational focus and reinforce the importance of making progress on strategic goals that drive long-term value creation             |

(1) OI represents net income before interest expense, other income (expense), net, income tax (expense) benefit, equity income (loss), net of tax, amortization, restructuring and other special items. See Appendix A for further details. (2) CFBF represents cash provided by (used in) operating activities plus cash provided by (used in) investing activities, adjusted for the purchase price of business acquisitions and other transactions, the cost of significant technology investments and net proceeds from the divestiture of discontinued operations and other significant businesses. See Appendix A for further details. SOCF is defined, on a segment basis, as earnings before interest, tax, depreciation and amortization (“EBITDA”), plus or minus changes in accounts receivable, inventory and accounts payable, less capital expenditures net of proceeds from asset dispositions, plus restructuring expense, less cash expenditures for restructuring. Design Changes from 2023 Annual Incentive Plan