Company: CRUS
Filing Date: 2025-06-04
Form Type: DEF 14A
Source: 0000772406-25-000019
Chunk: 57

Company: CIRRUS LOGIC, INC.
Filing Date: 2025-06-04
Form: DEF 14A
Chunk 57
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 year 2026 and the year-over-year growth of such strategic revenue over fiscal years 2027 and 2028 relative to goals established by the Compensation Committee.

The strategic revenue is intended to represent investments made in growth beyond the Company’s current core business, with a particular emphasis on key target markets such as integrated circuit components for PC devices, automotive, and/or industrial applications. The goal for strategic revenue for fiscal year 2026 is based on the Company’s fiscal year 2026 Annual Operating Plan forecast, and the year-over-year strategic revenue growth goals for fiscal years 2027 and 2028 are derived from the Company’s strategic plan.

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Strategic revenue performance is evaluated annually at the end of each fiscal year—2026, 2027, and 2028. At the time of grant, a target number of PSUs is set, representing the total potential award if target performance is met across all three fiscal years. One-third of this target share number serves as a baseline allocation for calculating that year’s performance-based payout. The payout amount for each fiscal year depends on the level of performance achieved, assessed at three levels:

• threshold performance results in a payout equal to 50% of the annual baseline allocation;

• target performance results in a payout equal to 100% of the annual baseline allocation; and

• maximum performance results in a payout equal to 200% of the annual baseline allocation.

For performance levels that fall between these points, payouts are calculated using straight-line interpolation. For a given year, payout is zero shares if threshold performance is not met, and payout cannot exceed 200% of the annual baseline allocation. The PSUs vest (at a level in accordance with these performance criteria) in three tranches, with each vesting event occurring as soon as reasonably practicable following the public reporting of the financial results of each fiscal year of the three-fiscal-year performance period.

With the support of management, the Compensation Committee assessed the level of challenge associated with achieving the strategic revenue goals tied to these new PSUs. The target level was intended to reflect the achievement of key operational objectives through solid execution, while attainment of the maximum level was designed to reward outstanding performance.

#### c. Performance Outcomes
During fiscal year 2022, on March 2, 2022, MSUs were granted to NEOs Mr. Forsyth, Mr. Thomas, Mr. Alberty, and Mr. Dougherty, among other executives, in connection with the Compensation Committee’s annual review of their compensation.