Company: AAOI
Filing Date: 2025-04-18
Form Type: PRE 14A
Source: 0001104659-25-036344
Chunk: 44

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-04-18
Form: PRE 14A
Chunk 44
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 stock. The guidelines’ minimum levels of stock ownership for our executive officers are as follows: 30

TABLE OF CONTENTS

| ​ | ​ | Officer Level           | ​ | ​ | ​ | Ownership Guideline   | ​ | ​ |
| ​ | ​ | Chief Executive Officer | ​ | ​ | ​ | 5x annual base salary | ​ | ​ |
| ​ | ​ | Chief Financial Officer | ​ | ​ | ​ | 2x annual base salary | ​ | ​ |
| ​ | ​ | Senior Vice President   | ​ | ​ | ​ | 2x annual base salary | ​ | ​ |
| ​ | ​ | Vice President          | ​ | ​ | ​ | 1x annual base salary | ​ | ​ |

Directors who are not also executive officers of the Company are required to hold shares of the Company’s common stock with a value equal to three times the amount of the annual retainer paid to directors. Stock ownership levels must be achieved by each executive officer and director within five years of the adoption of the guidelines or within five years of the individual’s first appointment as an executive officer or director, as applicable, whichever is later. Until the applicable stock ownership guideline is achieved, individuals are encouraged to retain an amount equal to 50% of the net shares obtained through the Company’s stock incentive plans. Stock that counts toward satisfaction of the guidelines includes: (i) shares of common stock owned directly by the executive officer or director; (ii) shares of common stock owned indirectly by the executive officer or director (e.g., by a spouse or other immediate family member residing in the same household or a trust for the benefit of the executive officer or director or his or her family), whether held individually or jointly; (iii) shares of common stock held under the Company’s employee stock purchase plan; (iv) shares granted under the Company’s long-term incentive plans; (v) shares represented by amounts invested in the Company’s 401(k) plan; and (vi) shares purchased in the open market. As of the date of this filing all of our executive officers and directors are in compliance with the guidelines. In February 2025, we amended our stock ownership and retention guidelines to make it clear that shares underlying unexercised stock options and unvested PSUs do not count toward the satisfaction of the minimum levels of stock ownership. Equity Grant Practices We do notgrant equity awards in anticipation of the release of material non-public information and we do not timethe release of material