Company: KMX
Filing Date: 2025-05-08
Form Type: DEF 14A
Source: 0001170010-25-000073
Chunk: 36

Company: CARMAX INC
Filing Date: 2025-05-08
Form: DEF 14A
Chunk 36
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 by an independent committee of non-employee directors.

▪ Long-Term Equity Awards : equity awards: (i) are approved by an independent committee of non-employee directors; (ii) contain three and four-year vesting provisions; and (iii) for senior management, must be held in compliance with CarMax’s executive stock ownership guidelines.

▪ Sales Bonuses : sales bonuses are monitored to ensure that associates are not overpaid based on inflated sales figures. Monitoring tools include: (i) centralized assignment of sales targets; (ii) centralized and non-negotiable vehicle pricing; (iii) electronic reporting of sales; and (iv) daily vehicle inventory monitoring.

▪ Hourly Pay : hourly pay is tracked and managed through a centralized time management and reporting system.

Following discussion and a review of the summary noted above, the Committee determined that our compensation policies and practices do not create risks that are reasonably likely to have a material adverse effect on the Company.

STOCK GRANT PRACTICES

The Committee does not take material, nonpublic information into account when determining the timing and terms of equity awards. Instead, equity awards are generally made on an annual basis according to a predetermined schedule. Any material proximity between an equity award’s grant date and the release of information that could be expected to affect such grant’s value is mitigated by the predetermined schedule. Annual equity awards are approved at the start of the new fiscal year to incentivize our executive officers to deliver on the Company’s strategic objectives for the new fiscal year and the annual equity grant date is generally the first business day in May.

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We do not time the release of material, nonpublic information to affect the value of executive compensation. During fiscal year 2025, we did not grant equity awards to our NEOs during the four business days prior to or the one business day following the filing of our periodic reports or the filing or furnishing of a Form 8-K that discloses material, nonpublic information.

#### STOCK OWNERSHIP GUIDELINES
To further align the long-term financial interests of our executives and our shareholders, the Committee has established the following stock ownership guidelines for its executive officers:

| Subject Officers         |     | Required to Own the Lesser of:    |
| Chief Executive Officer  |     | 6 x Base Salary or 300,000 shares |
| Executive Vice President |     | 3 x Base Salary or 100,000 shares |
| Senior Vice President    |     | 2 x Base Salary or 50