Company: CPSS
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001683168-25-001548
Chunk: 1174

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 7
Chunk 1174
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-Pay Advisory Vote Outcome 

The Compensation Committee annually considers
the results of the most recent advisory vote by shareholders to approve executive officer compensation. In the 2024 advisory vote, a majority
of the voted shares (92%) approved of the compensation of our named executive officers. The Compensation Committee interprets
that vote as a reason to retain the existing design, purposes and structure of our executive compensation programs. The Compensation
Committee will continue to consider the results from future shareholder advisory votes regarding executive officer compensation in its
future administration of executive compensation.

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Compensation Objectives

The Company’s objectives with respect to compensation
are several. The significant objectives are to cause compensation (i) to be sufficient in total amount to provide reasonable
assurance of retaining key executives, (ii) to include a significant contingent component, so as to provide strong incentives to meet
designated Company objectives, and (iii) to include a significant component tied to the price of the common stock, so as to align management’s
incentives with shareholder interests. The Compensation Committee ("Committee") of the Company’s Board of Directors
is charged with administering the Company’s compensation plans to meet those objectives. To the extent that elements
of compensation would not advance such objectives, or would do so less effectively than would other elements, the Committee seeks to
avoid paying compensation in those forms.

Role of the Compensation
Committee and the Chief Executive Officer

Our Board has authorized the Compensation Committee,
which is composed solely of independent directors, to make all decisions regarding executive compensation, including administration of
our compensation plans. In that regard, the Compensation Committee:

    ·
    Reviews and discusses with management the factors underlying our compensation policies and decisions, including overall compensation objectives;

    ·
    Reviews and approves all Company goals and objectives (both financial and non-financial) relevant to the compensation of the Chief Executive Officer;

    ·
    Evaluates, together with the other independent directors, the performance of the Chief Executive Officer in light of these goals and objectives and that individual’s overall effectiveness;

    ·
    Fixes and approves each element of the compensation of the Chief Executive Officer;

    ·
    Reviews the performance evaluations of all other members of executive management (the Chief Executive Officer prepares and presents to the Compensation Committee the performance evaluations of the other executive officers);

    ·
    Reviews and approves each element of compensation, as well as the terms and conditions of employment, of those other executive officers;

    ·
    Grants awards under our