Company: SNPS
Filing Date: 2025-02-14
Form Type: DEF 14A
Source: 0000883241-25-000008
Chunk: 87

Company: SYNOPSYS INC
Filing Date: 2025-02-14
Form: DEF 14A
Chunk 87
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 Policy      |     | •Dilution to our existing stockholders should be closely managed.                                                                    |     | •The Compensation Committee approves an annual gross equity budget at the beginning of the year to achieve a gross burn rate that approximates the average burn rate for peer group companies and the software and services industry more generally.                                                                                                                                                                                                                                                                                                                      |
| Compensation Recovery Policy |     | •We must be able to recoup incentive compensation from executive officers in the event of a restatement of our financial statements. |     | •As required under the Nasdaq Listing Standards and SEC rules, we must “claw back” incentive compensation paid to our executive officers in the event of a restatement of our financial statements that are filed with the SEC if less compensation would have been earned by the executive officer based on the restated financial results.                                                                                                                                                                                                                              |

#### 2025 Proxy Statement81
| PROPOSAL 4 — Advisory Vote to Approve Executive Compensation |

### Executive Compensation Risk Management
The following characteristics of our executive compensation program work to reduce the possibility of our executive officers, either individually or as a group, making excessively risky business decisions that could maximize short-term results at the expense of long-term value:

• Compensation allocation between fixed and variable, annual and long-term, and cash and equity compensation encourages strategies and actions that are in the Company’s long-term best interests;

• Base salaries are positioned to be consistent with executive officers’ responsibilities, so they are not motivated to take excessive risks to achieve financial security;

• Incentive awards are determined based on a variety of performance indicators, thus diversifying the risk associated with any single performance factor;

• Design of long-term compensation program rewards executive officers for driving sustainable, profitable growth for stockholders;

• Vesting periods for equity compensation awards encourage executive officers to focus on sustained stock price appreciation;

• Incentive plans are not overly leveraged with maximum payout caps and have design features that are intended to balance pay for performance with an appropriate level of risk-taking;

• Compensation recovery policy, which provides for the recoupment of incentive compensation paid to executive officers in the event of a restatement of our financial statements;

• Prohibition on hedging and pledging of shares by our executive officers and directors to reduce risks to stockholder value; and

• Share ownership guidelines, which align the interests of our executive officers with those of our stockholders, and to promote accountability and mitigate excessive risk taking in long-term decision making.

#### Conclusion
We remain strongly committed to our pay for performance philosophy.