Company: CPS
Filing Date: 2025-04-03
Form Type: DEF 14A
Source: 0001320461-25-000073
Chunk: 7

Company: Cooper-Standard Holdings Inc.
Filing Date: 2025-04-03
Form: DEF 14A
Chunk 7
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.03M (including the accounting value of the modification). The opposite dynamic has occurred in prior years, where the average stock price used to convert value to shares was higher than the accounting value on the grant date and therefore a lower value was reported in the Summary Compensation Table. This dynamic impacted all NEOs in a similar manner and is further described in the footnotes to the Summary Compensation Table. 
 2024 Performance-Based Restricted Stock Units                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
 Following its review of the benchmarking analysis by FW Cook, and considering peer group prevalence data, the Compensation Committee determined that the value of the Performance RSUs granted in 2024 should approximate 60% of the total value of each NEO’s annual long-term incentive opportunity. Further, the Compensation Committee determined that Performance RSUs granted in 2024 should be based on two metrics, FCF and RTSR. The payout of this award is based on the Company’s FCF performance in 2024 and the RTSR performance versus a pre-established comparator group over the three-year performance period (2024-2026).  We believe Performance RSUs align the interests of our NEOs with those of our stockholders and further emphasize the importance of our long-term performance.                                                                                                                                                                                                                                                                                                                                         |

| 43 |     | 2025 Proxy Statement |

| Proposal 2 |

| The FCF metric is measured on a one-year performance period ending on December 31, 2024, with target and above target payout opportunities as detailed below.  For 2024 FCF was used as a replacement for ROIC due to the strategic importance of driving cash flow to service the Company’s long-term debt.  The one-year performance period was used given difficulty in multi-year forecasting of financial performance metrics given industry volatility, which the Committee viewed as balanced by the three-year relatives TSR modifier.  Unlike prior year PSU awards which paid 50% of target for threshold performance and linear interpolation between threshold and target, performance at any level below target would result in no earnout.                                                                                                                                                                                                                                                                                                                                          
 •FCF must be between $1.0 million and $29.9 million for payout at target (100%).   If FCF is greater than or equal to $30.0 million, then payout will be at maximum (200%).  No linear interpolation applies between performance levels and, as noted above, there is no payout for performance below target.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
 In June 2024, the Committee supported the Company’s decision to