Company: SXI
Filing Date: 2025-09-05
Form Type: DEF 14A
Source: 0001437749-25-028442
Chunk: 39

Company: STANDEX INTERNATIONAL CORP/DE/
Filing Date: 2025-09-05
Form: DEF 14A
Chunk 39
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2025 OIP awards due to certain negative tax consequences experienced by executives who reach retirement eligibility under the OIP.

All outstanding awards of RSAs and RSUs will vest on a pro-rated basis on the 1st, 2nd and 3rd anniversaries of the grant date, provided that the holder is employed continuously through the particular vest date. All RSAs and RSUs will immediately vest upon death, disability or retirement or in the event of an involuntary termination in connection with a change in control. All RSAs under the OIP are considered beneficially owned by the executive, have voting rights, and earn dividend equivalents, which are paid upon vesting. Upon grant, RSUs under the OIP are not considered beneficially owned by the executive and do not have voting rights. The beneficial ownership and voting rights are only provided upon vesting. RSUs do earn dividend equivalents from the time of award grant, which are paid upon vesting.

Each PSU grant cliff vests at the end of a 3-year performance period based on results achieved against Compensation Committee- approved performance metrics. Payouts under the PSU grant may range from 0% to 200% of the target award and are settled in shares of common stock. Payout begins at 50% of target for achieving threshold performance goals. If threshold performance goals are not achieved by the conclusion of the performance period, the PSU award would be forfeited and no shares would be delivered under the award. As noted below, actual achievement may be further modified either upward or downward on a sliding scale of up to 25% of payout, based on the relative TSR performance over the performance period. PSUs are also subject to forfeiture upon termination of employment during the performance period for any reason other than death, disability, retirement or involuntary termination in connection with a change in control.

Additionally, the Compensation Committee has the discretion to grant awards of restricted stock for a variety of reasons, including sign-on bonuses to attract talent and discretionary grants to retain and motivate executives.

The Compensation Committee believes that long-term incentive compensation is essential for retaining and motivating executives. It further believes that providing our executives with long-term incentives will encourage them to operate the Company’s business with a view towards building long-term shareholder value. Based on these considerations, the Compensation Committee, in consultation with its external compensation consultant, establishes (i) the target incentive amounts, (ii) the percentage of the target award that is granted in the form of RSUs and PSUs, and (iii) the performance measures at “