Company: NTWK
Filing Date: 2025-04-16
Form Type: PRE 14A
Source: 0001641172-25-005001
Chunk: 56

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-04-16
Form: PRE 14A
Chunk 56
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 fiscal year in which it was earned.

Governance and Evolving Compensation Practices

The Compensation Committee and the Board are aware of evolving practices in executive compensation and corporate governance. In response, we have adopted and/or maintained certain policies and practices that are in keeping with “best practices” in many areas. For example:

● The Compensation Committee periodically engages an independent compensation consultant to evaluate our chief executive officer’s executive compensation practices in comparison to a peer group.

● We do not provide excessive executive perquisites to our named executive officers.

● Our incentive plans expressly prohibit repricing of options (directly or indirectly) without prior shareholder approval.

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● Our policy on the prevention of insider trading prohibits various types of transactions involving Company stock or securities, including short sales, options trading, hedging, margin purchases and pledges.

● Our stock ownership guidelines require our executive officers to align their long-term interests with those of our stockholders.

● Our policy prohibits the named executive officers from selling any newly issued shares for a period of three months, in an open market transaction.

● Beginning with our fiscal year 2019 to current, we modified our compensation practices for our CEO to tie a significant portion to financial results both on a top line and bottom-line basis.

General Compensation Overview

For 2024, compensation designed for our executive officers consisted of:

| ● | Base                                                                                                                              
 Salary                                                                                                                            |
| ● | Cash                                                                                                                              
 awards at the discretion of the Compensation Committee                                                                            |
| ● | Stock                                                                                                                             
 purchase options; and                                                                                                             |
| ● | Ability                                                                                                                           
 to participate generally in all group health and welfare benefit programs and tax-qualified retirement plans on the same basis as 
 applicable to all of our employees.                                                                                               |

In response to discussions we have had with certain shareholders and given the percentage voting in favor of our executive compensation, beginning with the 2019 fiscal year, Chief Executive Officer compensation shall consist of:

| ● | Base                                                                                                                              
 Salary                                                                                                                            |
| ● | Short-term                                                                                                                        
 cash awards conditioned upon achieving objective performance targets                                                              |
| ● | Long-term                                                                                                                         
 equity in the form of time and objective performance targets; and                                                                 |
| ● | Ability                                                                                                                           
 to participate generally in all group health and welfare benefit programs and tax-qualified retirement plans on the same basis as 
 applicable to all of our employees.                                                                                               |

The Compensation Committee administers the cash and non-cash compensation programs applicable to our executive officers. The Compensation Committee makes all decisions about executive officer compensation for