Company: SREA
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001140361-25-010983
Chunk: 48

Company: SEMPRA
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 48
---
 long-term equity-based incentives.

| 42 |     | 2025 Proxy Statement |

TABLE OF CONTENTS Executive Compensation The relative value of Mr. Martin’s 2024 total direct pay opportunity for each of the three components of total direct compensation at target company performance is shown below in Figure 2. Figure 2 Note: Based on 2024 annual base salary, 2024 target performance-based annual bonus and the target grant date value of 2024 long-term equity-based incentives. Our pay mix is designed to align our executives’ interests with our shareholders’ interests by providing a greater proportion of target annual compensation through performance-based annual bonuses and long-term equity-based incentives rather than base salary. This means that most pay is intended to be variable and increase or decrease based on company performance. As shown in Figure 2, almost three-quarters of Mr. Martin’s target total direct pay opportunity in 2024 was in the form of performance-based equity awards (comprising two-thirds performance-based restricted stock units and one-third nonqualified stock options) and over 90% was in the form of at-risk variable incentive pay. Actual pay mix may vary substantially from target pay mix. This may occur as a result of company performance, which greatly affects annual bonuses and payout percentages for EPS growth-based LTIP awards, and stock performance, which significantly impacts payout percentages for TSR-based LTIP awards and the ultimate value realized for all equity awards. Figure 3 shows the percentage of each component of the total 2024 direct pay opportunity as of December 31, 2024 at target company performance for each of our named executive officers. Figure 3 Note: Based on annual base salary and target performance-based annual bonus as of December 31, 2024 and the target grant date value of the 2024 annual long-term incentive plan award for each named executive officer.

| 2025 Proxy Statement |     | 43 |

TABLE OF CONTENTS Executive Compensation

Target Compensation Summary The table below summarizes 2024 base salaries, the target value of 2024 performance-based annual bonuses, and the target value of 2024 annual LTIP awards for the named executive officers. All of the named executive officers except for Mr. Martin assumed new roles effective January 1, 2024. Ms. Sedgwick, who was previously Chief Administrative Officer and Chief Human Resources Officer, was promoted to Executive Vice President and Chief Financial Officer; Mr. Mihalik, who was previously Executive Vice President and Chief Financial Officer, became Executive Vice President and