Company: CRL
Filing Date: 2025-04-02
Form Type: DEF 14A
Source: 0001104659-25-030908
Chunk: 54

Company: CHARLES RIVER LABORATORIES INTERNATIONAL, INC.
Filing Date: 2025-04-02
Form: DEF 14A
Chunk 54
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 guideline for the CEO is 6 times base salary, and for executive officers who report to the CEO is 3 times base salary. We believe that all of these aspects of our Program are appropriate in light of, and consistent with, economic and market environments, our financial performance, the corporate actions taken, and executive compensation trends. Furthermore, our focus on near-term financial and operational objectives properly align management’s incentives with the interests of our shareholders. For example, our pay mix maintains a continued focus on variable, or “at risk,” compensation. On average, approximately 84% of 2024 target annual compensation for our named executives was based on long-term equity incentives, that reflects a rTSR performance metric that appropriately modifies the value ultimately realized as discussed on pages 52- 54of this Proxy Statement, and performance-based bonuses (89.5% for our CEO). Furthermore, annual base salary for our named executives remains a relatively small portion (16.0%) of our named executives’ core intended compensation (10.6% for our CEO). 44 Furthermore, as seen in the graph below, the alignment between executive pay and our performance is demonstrated by the close correlation from 2015 to 2024 between (1) the total compensation paid (consistent with the Summary Compensation Table) to our CEO in those years and (2) our non-GAAP earnings per share from continuing operations during that period. As illustrated, compensation generally increased with strong performance and decreased when performance declined. For purposes of this graph, “Other” refers to the total average amounts set forth in the following columns in the Summary Compensation Table on page 58of the Proxy Statement: (1) Change In Pension Value and Non-qualified Deferred Compensation Earnings; and (2) All Other Compensation. Information with respect to 2015, 2016, 2017, 2018, 2019, 2020, 2021, 2022 and 2023 compensation is set forth in our 2016, 2017, 2018, 2019, 2020, 2021, 2022, 2023 and 2024 Proxy Statements, respectively. Please see Appendix A to this Proxy Statement for reconciliation of our GAAP EPS to non-GAAP EPS for 2015-2024. In addition to the aspects of our Program summarized above and the quantified alignment between executive pay and our performance, we maintain existing compensation practices that represent strong corporate governance, including the following: • a