Company: HCKT
Filing Date: 2025-03-21
Form Type: DEF 14A
Source: 0000950170-25-043233
Chunk: 69

Company: HACKETT GROUP, INC.
Filing Date: 2025-03-21
Form: DEF 14A
Chunk 69
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. Dungan equal to $189,443 and $99,457, respectively, as of the grant date. These grants vest one third annually over a three year period.

As described above, in September 2024, the Compensation Committee approved the one-time grant of the Stock Price Awards to the Company’s named executive officers. In connection with the Stock Price Awards, the annual equity incentive award opportunities for the named executive officers during the performance period of the Stock Price Awards will be reduced by 50% compared to the annual equity incentive award opportunities in the Company’s executive compensation program for 2024 for compensation years 2025 through 2028 even if the performance hurdles are achieved earlier than that. The $30 share price hurdle associated with the Stock Price Awards was achieved in the fourth quarter of 2024. One third of the Stock Price Awards issued to Messrs. Fernandez, Dungan and Ramirez will vest in September of 2024.

The Company’s Compensation Committee has once again established challenging performance targets for 2025. The Compensation Committee set the annual “Commence,” “Goal” and “Superior” targets from 80%, 110% and 115% percent of 2024 adjusted diluted earnings per share of $1.61 which excludes the impact of overperformance from the Company’s SAP segment software sales in the fourth quarter of 2024 which are not expected to be repeated. The non-equity (cash) and equity bonus incentive opportunities for the Company's named executive officers at the Commence, Goal and Superior target levels for 2025, as a percentage of base salary, remains the same as in 2025.

For 2025, Mr. Ramirez will also participate in the Company's senior leadership equity program which vests a portion of the participant’s annual equity opportunity after the conclusion of the compensation year subject to the achievement of personal management objectives established for each individual.

(See “Compensation Discussion and Analysis” beginning on page 14 of this proxy statement for more information regarding aspects of the Company’s executive compensation programs and the Compensation Committee’s decisions in respect of executive compensation in 2024. See also “Narrative Disclosure to Summary Compensation Table and Plan-Based Awards Table” beginning on page 28 of this proxy statement for more information regarding the terms contained in the employment agreements of the Company's named executive officers).

For the reasons discussed in this proxy statement, including under “Compensation Discussion and Analysis” above, the Board unanimously recommends that shareholders vote in favor of the following resolution:

“Resolved, that