Company: PENG
Filing Date: 2025-12-19
Form Type: DEF 14A
Source: 0001616533-25-000073
Chunk: 76

Company: Penguin Solutions, Inc.
Filing Date: 2025-12-19
Form: DEF 14A
Chunk 76
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1) The amount reported in this column for fiscal 2025 for Mr. Frey represents a sign-on bonus in the amount of $50,000, which is further described in “ Compensation Discussion and Analysis ” above.

(2) Amounts reported in this column for fiscal 2025 represent the grant date fair values of the RSUs and PSUs granted during fiscal 2025, as calculated in accordance with FASB ASC Topic 718. See our Stock-Based Compensation Note to the consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended August 29, 2025 for the assumptions used in calculating the amounts reported in this column. Under FASB ASC Topic 718, the vesting conditions related to the PSUs granted to the NEOs in fiscal 2025 are considered market conditions and not performance conditions. Accordingly, there is no grant date fair value in excess of the amount reflected in the table above that could be calculated and disclosed based on achievement of the underlying market condition. The fair values of PSUs granted in September 2024 and August 2025 were determined as of the date of grant using the Monte Carlo simulation method, which utilizes multiple input variables to estimate the probability of meeting the performance objectives established for the award, including the expected volatility of our stock price relative to the group of peer companies listed in “ How We Make Executive Compensation Decisions – Comparison to Relevant Peer Group ” above at the end of the three-year performance period and risk-free interest rates of 3.55% and 3.65%, respectively, derived from linear interpolation of the term structure of Treasury Constant Maturities yield rates for such periods; as such, their maximum grant date fair values were the same as their target grant date fair values shown in the table. Based on the Monte Carlo simulation method, the grant date fair values of the PSUs were 232.73% of our average stock price on the grant date for Mr. Adams; 162.22% of our average stock price on the grant date for Messrs. Olmstead, Clark, and Manca, and Ms. Kuykendall; and 158.06% of our average stock price on the grant date for Mr. Frey. The grant date fair values of the PSUs were $6,771,594, $858,248, $2,005,867, $643,669, $858,248, and $1,029,897 for Messrs. Adams,