Company: SBH
Filing Date: 2025-12-10
Form Type: DEF 14A
Source: 0001193125-25-313464
Chunk: 77

Company: Sally Beauty Holdings, Inc.
Filing Date: 2025-12-10
Form: DEF 14A
Chunk 77
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 awards would be canceled in in exchange for a cash payment (based upon the difference between the price per share offered in connection with the change-in-control and the exercise price, in the case of stock options). The estimated value of such awards is reflected in the “Change-in-Control with Qualified Termination” column of this table.

| SALLYBEAUTY HOLDINGS, INC. | 82 | 2025 Proxy Statement |

Pursuant to the terms of the severance agreements, any payments to the executive under such agreements will be reduced so that the present value of such payments plus any other “parachute payments” as determined under Section 280G of the Internal Revenue Code will not, in the aggregate, exceed 2.99 times the executive’s average taxable income from us over the five-year period ending prior to the year in which a change-in-control occurs. However, no such reduction will apply to payments that do not constitute “excess parachute payments” under Section 280G of the Internal Revenue Code.

If the executive terminates employment with the Company for any reason other than death or disability, retirement or a change-in-control with a qualified termination, then such executive will not be entitled to any payments or benefits in connection with such termination.

| SALLYBEAUTY HOLDINGS, INC. | 83 | 2025 Proxy Statement |

The CEO pay ratio figures below are a reasonable estimate calculated in a manner consistent with Item 402(u) of Regulation S-K under the Exchange Act. Given the different methodologies that various public companies will use to determine an estimate of their pay ratio, the estimated ratio reported below should not be used as a basis for comparison between companies.

The employee we identified as the median employee in FY24 is no longer employed by the Company. As a result, we identified a new median employee for FY25.

Our median employee determination date was July 1, 2025, which was within the last three months of FY25, as required by the pay ratio rule. We determined that the Company and its consolidated subsidiaries had 26,867 employees as of July 1, 2025. To determine our median employee, we used W-2 “gross pay” as our consistently applied compensation measure. We then annualized gross pay for permanent employees who commenced work during FY25 and any employees who were on temporary leave for a portion of FY25. From the considered population, we identified the median employee and determined their annual total compensation using the same methodology we use for our NEOs as set forth