Company: EHC
Filing Date: 2025-04-01
Form Type: DEF 14A
Source: 0000785161-25-000013
Chunk: 34

Company: Encompass Health Corp
Filing Date: 2025-04-01
Form: DEF 14A
Chunk 34
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 performance for the three-year objectives. Except as noted below for the Non-Executive Director Group, the number of units granted was based on an assumed option value of $26.13 (Black-Scholes method) and on stock value of $73.37 (20-day average closing price preceding the February 2024 board meeting). All non-option awards are entitled to dividend equivalents that accrue when dividends are paid on our common stock and that are paid or delivered when the award vests and is released. The quarterly dividend paid on our common stock has been $0.17/share since October 2024.

2 Represents 14,789 shares of restricted stock, 41,524 options and 44,365 performance share units.

3 Represents 5,248 shares of restricted stock, 14,735 options and 15,743 performance share units.

4 Represents 2,812 shares of restricted stock, 7,894 options and 8,434 performance share units.

5 Represents 2,489 shares of restricted stock and 3,734 performance share units.

6 Represents 2,069 shares of restricted stock and 3,105 performance share units.

7 Represents 29,297 shares of restricted stock, 64,153 options and 78,216 performance share units.

8 Represents restricted stock units granted based on the close price of our common stock on the grant date.

9 Represents 159,165 shares of restricted stock and 230,003 performance share units.

#### Board Recommendation
The board of directors unanimously recommends a vote “FOR” the approval of the 2025 Omnibus Performance Incentive Plan.

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### CORPORATE GOVERNANCE AND BOARD STRUCTURE

#### Corporate Governance

#### Corporate Governance Guidelines
Our board of directors has developed corporate governance policies and practices in order to help fulfill its responsibilities to stockholders and provide a flexible framework for it to review, evaluate, and oversee the Company’s business operations and management. The board-adopted Corporate Governance Guidelines provide, among other things, that each member of the board will:

• dedicate sufficient time, energy, and attention to ensure the diligent performance of his or her duties;

• comply with the duties and responsibilities set forth in the guidelines and in our Bylaws;

• comply with all duties of care, loyalty, and confidentiality applicable to directors of publicly traded Delaware corporations; and

• adhere to our Standards of Business Ethics and Conduct, including the policies on conflicts of interest.

Our Nominating/Corporate Governance Committee oversees