Company: HOUS
Filing Date: 2025-03-24
Form Type: DEF 14A
Source: 0001398987-25-000047
Chunk: 103

Company: Anywhere Real Estate Inc.
Filing Date: 2025-03-24
Form: DEF 14A
Chunk 103
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2018 Plan, the 2018 Second Amended and Restated Long-Term Incentive Plan in effect immediately prior to Board approval of the 2018 Plan (without giving effect to the proposed share increase) will remain in effect (referred herein as the “Current Plan”). Failure of our stockholders to approve the 2018 Plan will not affect the rights of existing award holders under the Current Plan.

Why Stockholders Should Vote to Approve the 2018 Plan

The approval of the 2018 Plan by our stockholders is critical because the number of shares authorized for issuance under the Current Plan is not expected to be sufficient to meet our needs in 2025. As shown in the New Plan Benefits Table below, our annual performance share unit awards have been granted subject to stockholder approval of this proposal. If stockholders do not approve the 2018 Plan, and the Current Plan remains in effect, our ability to issue equity-based awards will be extremely limited, which we expect would have a significant negative impact on our ability to:

Align Management and Board Compensation with Stockholders Interests. We use our robust equity program to align key employee and director compensation with stockholder interests and encourage a long-term commitment to the Company. 73% of our CEO's target direct compensation is attributable to long-term incentives that have historically been granted in the form of equity awards , with 60% of his annual LTI award made in the form of stock-settled performance share units. Equity awards have also comprised a significant portion of target direct compensation for other members of our leadership team as well as over half of the value of annual Board retainers.

Retain and Attract Top Talent. The 2018 Plan is essential in our efforts to recruit and retain key employees who are critical to the continued execution of our business strategy. The Board believes that the types of incentive and equity awards available under the 2018 Plan serve as a powerful attraction, retention and motivation tool for key employees and non-employee Directors.

Minimize Cash Compensation Spend. There are insufficient shares available to issue equity awards under the Current Plan. If the 2018 Plan is not approved, we will be required to consider other compensation alternatives including the use of cash-settled PSU and RSU awards. Replacing stock-settled equity awards with cash-settled awards would increase our cash compensation expense and significantly deplete cash that could be utilized for other purposes, including execution of strategic growth objectives.

Upon stockholder approval, the 2018 Plan will