Company: DXPE
Filing Date: 2025-05-01
Form Type: DEF 14A
Source: 0001020710-25-000087
Chunk: 40

Company: DXP ENTERPRISES INC
Filing Date: 2025-05-01
Form: DEF 14A
Chunk 40
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,000 |          |     | 14.3 | %        |
| Kent Yee      |     |             | 450,000 |     |             | 400,000 |     |   | 50,000 |          |     | 12.5 | %        |
| Paz Maestas   |     |             | 350,000 |     |             | 300,000 |     |   | 50,000 |          |     | 16.7 | %        |
| Chris Gregory |     |             | 350,000 |     |             | 300,000 |     |   | 50,000 |          |     | 16.7 | %        |

The Compensation Committee establishes the base salary of each NEOs based on consideration of the individual’s performance and experience, Company performance and internal equitable considerations to support teamwork. The Compensation Committee considers the recommendations of our Chief Executive Officer in determining the appropriate base salary levels for the NEOs, other than the Chief Executive Officer. The Compensation Committee considers the compensation of the Chief Executive Officers of other comparable publicly-held companies in determining the appropriate base salary for our Chief Executive Officer. Although the Compensation Committee believes that competitive base salaries are necessary to attract and retain a highly-qualified executive team, it believes that a significant portion of executive compensation should be based on a pay-for-results model.

#### Short-Term Annual Bonus Incentive
Under the terms of the employment agreement with our Chief Executive Officer, he is entitled to receive a bonus of 5% of our profit before income tax, which is determined and paid on a quarterly basis and capped at 2x the CEO's base salary. The Compensation Committee can decide to pay all or a portion of this bonus in the form of cash or stock. The determination of whether the bonus is to be paid in cash or shares is to be made prior to the date on which the amount of the bonus is determined. If shares will be issued, the number of shares is determined by dividing the portion of the bonus to be paid by the closing price of a share of our Common Stock on the last day of the period for which the bonus was earned, rounded up to the nearest whole share. For 2024, 2023 and 2022, all incentive cash bonuses were paid in cash.

At the beginning of each year, our Chief Executive Officer makes a recommendation to the Compensation Committee, which the Committee reviews and approves, regarding whether our other NEOs will receive an incentive cash bonus