Company: NOC
Filing Date: 2025-04-04
Form Type: DEF 14A
Source: 0001133421-25-000016
Chunk: 78

Company: NORTHROP GRUMMAN CORP /DE/
Filing Date: 2025-04-04
Form: DEF 14A
Chunk 78
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='center'>Proposal 4 - Support Improved Clawback Policy regarding Unearned Executive Pay</div>

Shareholders ask the Board of Directors to amend the Company Policy on recoupment of incentive pay to apply to the each Named Executive Officer and to state that conduct or negligence - not merely misconduct - shall trigger mandatory application of that policy. Also the Board shall report to shareholders in each annual meeting proxy the results of any deliberations regarding the policy, including the Board's reasons for not applying the policy after specific deliberations conclude, about whether or not to cancel or seek recoupment of unearned compensation paid, granted or awarded to NEOs under this policy.

This improved clawback policy shall at least be included in the Governess Guidelines of the Company or similar document and be easily accessible on the Company website.

The current Clawback Policy is incomplete and can be difficult for shareholders to access.

Wells Fargo offers a prime example of why Northrop Grumman (NOC) needs a stronger policy. After 2016 Congressional hearings, Wells Fargo agreed to pay $185 million to resolve claims of fraudulent sales practices. The Wells Fargo Board then moved to claw back $136 million from 2 top executives. Wells Fargo unfortunately concluded that the CEO had only turned a blind eye to the practice of opening fraudulent accounts and thus failed to attempt any clawback and left $136 million on the table.

At minimum this proposal alerts NOC shareholders that NOC executives can now be richly rewarded even when they are negligent. This is the wrong incentive for NOC executives at a time when the best incentives for NOC executives should be adopted.

<div align='center'>Please vote yes:

Support Improved Clawback Policy regarding Unearned Executive Pay -</div>

#### Proposal 4

#### 92Northrop Grumman

#### Proposal 4: Shareholder Proposal
Board of Directors’ Statement in Opposition to Proposal 4

The Board of Directors recommends that shareholders vote against Proposal 4. We believe that implementation of this proposal is unnecessary given the Company’s comprehensive recoupment policy which promotes executive accountability and protects shareholder interests and is fully compliant with the required recoupment provisions under NYSE and SEC rules.

Our current recoupment policy is comprehensive and effectively protects the interests of our shareholders.

Northrop Grumman has a comprehensive Policy Regarding the Recoupment of Certain Incentive Compensation Payments (Company Recoupment Policy) 1 . The Company Recoupment Policy requires the Company to attempt to recover certain incentive compensation from executive officers, regardless of