Company: TCMD
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001558370-25-003924
Chunk: 27

Company: TACTILE SYSTEMS TECHNOLOGY INC
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 27
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1) | Pursuant to the Transition Agreement, all of Mr. Reuvers’ 2024 PSUs and two-thirds of his 2024 RSUs were cancelled on June 20, 2024, the date of the Clarification Letter, as they were to be unvested when his employment terminated on March 31, 2025. |

These RSUs are scheduled to vest one-third on each of the first three anniversaries of the grant date, subject to continued service on each vesting date. Because Ms. Dodd served as a non-employee director on the date of the 2024 annual meeting of stockholders, she received the annual grant of RSUs for non-employee directors, which were 10,469 RSUs with an effective grant date of May 8, 2024. These RSUs will vest in full on the earlier of one year from the grant date or the date of the 2025 annual meeting of stockholders. The 2024 PSUs have three separate performance years of 2024, 2025 and 2026, with the performance metrics, weighting and potential achievement from 25% to 175% of target as follows:

| ​                               | ​      | ​         | ​      | ​    |
| Performance Metric              | Weight | Threshold | Target | Max  |
| Revenue Growth over Prior Year  | 65%    | 25%       | 100%   | 175% |
| ●Margin in 2024                 
 ●Change from Prior Year in 2025 
 ●Change from Prior Year in 2026 | 35%    | ​         | ​      | ​    |

| ​                    |  ​ |
| 2025 Proxy Statement | 39 |

Executive Compensation

If and to the extent any 2024 PSUs are determined by the Compensation and Organization Committee to be earned based on the level of achievement of the performance goals, the earned 2024 PSUs with respect to each performance year will vest as follows:

| ​                 |                       | ​ | ​ | ​                                                                                                         |
| Fraction of Grant | Earned Based on       |   | ​ | Vests                                                                                                     |
| 1/3               | 2024 Performance Year |   | → | Date on which the Committee certifies the number of PSUs earned with respect to the 2025 performance year |
| 1/3               | 2025 Performance Year |   | → | ​                                                                                                         |
|