Company: VUZI
Filing Date: 2025-04-28
Form Type: DEF 14A
Source: 0001104659-25-040266
Chunk: 40

Company: Vuzix Corp
Filing Date: 2025-04-28
Form: DEF 14A
Chunk 40
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 of time that directors expend in fulfilling their duties as members of our Board and the skill-level we require of members of our Board. In 2022, Vuzix retained Farient Advisors to provide an overview of market best practices and approach to Director compensation. After consideration, the Board approved a number of changes, which include the following:

| ◾ | Equity grants (RSUs) to be set based on a fixed dollar value as opposed to 
 number of shares to eliminate volatility in director compensation;         |

| ◾ | Cash retainers and Chair fees to remain unchanged, but directors are offered the option to receive 0%, 50% or 100% of cash retainers in RSUs; |

| ◾ | RSUs will vest annually, one-year following the grant date as opposed to monthly as they had in the past; |

| ◾ | A stock ownership policy that requires directors to hold a minimum of 3x the annual cash retainer in Company stock (as outlined in the stock ownership policy section); |

| ◾ | A limit on total annual director compensation; and |

| ◾ | Appointment of a Lead Independent Director. |

35 Director Compensation Program for 2024 included: Director Compensation

| Compensation Element                     |     |                               2024 |
| Board Cash Retainer                      |     |                         $60,000(1) |
| Incremental Chair Fees                   
 ◾                                        
 Lead Independent Director                
 ◾                                        
 Audit                                    
 ◾                                        
 All other committees                     |     |                            $15,000 
                            $12,000 
                            $10,000 |
| Equity Grant (shares or RSU FMV)         |     | The equivalent of $100,000 in RSUs |
| Stock Ownership Requirement              |     |              3x base cash retainer |
| Total Annual Director Compensation Limit |     |      $300,000 (cash and equity)(2) |

| (1) | Directors can choose to receive RSUs in lieu of cash retainers                                 |
| (2) | Total annual director compensation limit was reduced from $500,000 in 2021 to $300,000 in 2022 |

DIRECTOR COMPENSATION — YEAR ENDED DECEMBER 31, 2024

|                      |     | Fees Paid in |        |     | Stock   |         |     | Stock  |         |     |         |
|                      |     | Cash         |        |     | Options |         |     | Awards |         |