Company: PRGO
Filing Date: 2025-03-10
Form Type: PRE 14A
Source: 0000950170-25-035751
Chunk: 34

Company: PERRIGO Co plc
Filing Date: 2025-03-10
Form: PRE 14A
Chunk 34
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 execution of our consumer-focused Self-Care transformation strategy. However, to ensure that awards reflect a named executive officer’s contribution to our results, the TCC has, or in the case of the CEO, the independent directors have, the discretion to adjust any executive officer’s actual award down to as low as 0% payout based on overall individual performance. The maximum incentive award payout for any individual executive is capped at 200% of the target award opportunity.

2024 AIP Performance Measures.For 2024, TCC made changes to the design of the AIP for the ELT, including NEOs.

First, to better support our One Perrigo strategy, the TCC decided that all financial measures for the 2024 AIP would be based on Total Perrigo performance, with no separately weighted segment financial measures.

Second, the TCC added Total Perrigo Operating Cash Flow as a measure, weighted 20%, to underscore the importance of converting income to cash. The other financial measures would be Total Perrigo Operating Income ("AIP OI") weighted 40%, Total Perrigo Net Sales ("AIP Net Sales") weighted 20%, and Total Perrigo Gross Margin weighted 20%. AIP Net Sales and AIP OI exclude the impact of currency as well as acquisitions and divestitures that were not included in our annual plan.

Lastly, the individual strategic objectives component was changed from a separately-weighted category determining 20% of earned AIP to a modifier of the results on the financial measures.

As part of Project Energize, in 2024 it was agreed that a one-time change to Executive AIP payments would take place. Instead of issuing 100% cash payment in 2025 based on performance results, AIP rewards would be administered as follows:

Cash equal to one-third of the bonus earned will be paid in March 2025; and

An amount equal to two-thirds of bonus earned plus an additional 10% premium will be issued in a two year service-vesting RSU, with 50% of the RSU vesting in March 2026 and 50% vesting in March 2027 (such grants the "AIP Bonus RSUs".

#### PERRIGO•2025 PROXY STATEMENT29
Executive Compensation This change to the 2024 Executive Level short term incentives was made as part of the overall Project Energize program that was launched by Perrigo in 2024. This change will not repeat for the 2025 AIP. 202