Company: HOVVB
Filing Date: 2025-02-07
Form Type: DEF 14A
Source: 0001140361-25-003579
Chunk: 23

Company: HOVNANIAN ENTERPRISES INC
Filing Date: 2025-02-07
Form: DEF 14A
Chunk 23
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, the Company has performed in the top half of its Peer Group for each of the five years ending with fiscal 2024. In addition, the Company continues to rank highest among its Peer Group in inventory turns. 48 The Compensation Committee’s policies and actions have included the following: Selection of bonus metrics that correspond to the financial and strategic operational needs of the Company during the relevant period. Focus on increasing profitability and EBIT Return on Investment and lowering or refinancing debt, reducing interest expense and achieving strategic initiatives over multi-year performance periods through periodic LTIP awards for all NEOs. Practice of tying portions of equity awards to performance criteria. For example, in fiscal 2024, the NEOs were granted PSUs, half of which are tied to absolute EBIT levels and half of which are tied to absolute EBIT Return on Investment levels. Additional details are described below under “Compensation Discussion and Analysis—Details of Compensation Elements—Stock Grants.” Active management of both equity award levels and the number of shares available for new equity-based awards. 49 The text of the resolution in respect of this proposal is as follows: “Resolved, that the compensation paid to the
Company’s named executive officers as disclosed
pursuant to Item 402 of Regulation S-K in the Proxy
Statement relating to the Company’s Annual Meeting
of Shareholders to be held on March 27, 2025,
including the Compensation Discussion and Analysis,
compensation tables and narrative discussion, is
hereby approved.” VOTE REQUIRED The approval of the compensation paid to the Company’s named executive officers requires the affirmative vote of a majority of the votes cast by the shareholders of Class A Common Stock and Class B Common Stock, voting together, represented in person or by proxy at the 2025 Annual Meeting. In determining whether the proposal has received the requisite number of affirmative votes, abstentions and broker non-votes will have no impact on such matter because such shares are not considered votes cast. Mr. Hovnanian and others with voting power over the shares held by the Hovnanian Family and various trusts and entities established for the benefit of the Hovnanian Family have informed the Company that they intend to vote in favor of this proposal. Because of their collective voting power, this proposal is assured passage. Our Board of Directors recommends that shareholders vote FOR the approval of this resolution. 50 51

| The          
 COMPENSATION 
 COMMITTEE    |

The Compensation Committee of the Board of Directors (the “Committee”) is the principal