Company: PLPC
Filing Date: 2025-03-21
Form Type: DEF 14A
Source: 0001628280-25-014223
Chunk: 21

Company: PREFORMED LINE PRODUCTS CO
Filing Date: 2025-03-21
Form: DEF 14A
Chunk 21
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 award is service- based RSUs, vesting three years after the date of the grant based solely on continued employment by the Company. The Committee chose to emphasize performance over three years (rather than weigh performance and service equally) because it believes this approach aligns the Company’s performance with shareholders’ interests, while acknowledging the benefit from long-term service.

| 172024 Proxy Statement | PREFORMEDLINEPRODUCTSCOMPANY |

| DIRECTORS AND EXECUTIVE OFFICERS COMPENSATION |

Compensation Discussion and Analysis For the performance-based RSUs, the number of shares in which the participant becomes vested will depend upon the specific level of growth in pre-tax income and sales growth measured over a specified period (historically, either one-year or three-year performance period). For the 2024 grants, the Committee once again analyzed the history of the RSU grants, and whether such grants effectively aligned the interests of the NEOs with the Company’s interests, taking into account industry data and input from officers regarding the Company’s markets, projections and costs. The Committee’s intention is to incentivize management to grow the Company while maintaining profit margins. The Committee uses a three-year base to measure growth during the performance period and, for 2024, established thresholds for pre-tax income growth of -7% to 0% and for sales growth ranging from 0% to 2%. Given the Company's very strong performance during 2023 and the decline in demand anticipated for 2024 due to elevated inventory levels in U.S. communications and energy markets and other market headwinds, the Committee believed this was an appropriate range of performance achievement for these growth measures. The Executive Chairman and CEO’s award is set at a target number of RSUs equal to 100% of their salary if the target performance is achieved, with a maximum award equal to 200% of their salary if the maximum performance is achieved. The awards to the other officers are as follows: the award is set at a number of RSUs equal to that percentage of the participant’s salary that is specified at the time of grant if the target performance is achieved. The maximum amount of the performance portion of the award is equal to the target award. The amount of the service-vested award that can be earned is equal to the target award. Each officer was granted the number of RSUs equal to the maximum level under the performance criteria. The threshold payout is at 25% of the maximum number of performance-based RSUs if the minimum level of both measures are achieved