Company: SION
Filing Date: 2025-01-17
Form Type: S-1
Source: 0001193125-25-008474
Chunk: 246

Company: Sionna Therapeutics, Inc.
Filing Date: 2025-01-17
Form: S-1
Chunk 246
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 The fiscal year 2024 annual bonus targets for Mr. Cloonan, Ms. Ridloff and Dr. McKee were 50%, 40% and 40%, respectively, of their annual base salaries. Our board of directors determined that, for fiscal year 2024, our corporate performance objectives were achieved at 110% of target, and based on such corporate performance achievement, Mr. Cloonan, Ms. Ridloff and Dr. McKee earned an annual bonus for fiscal year 2024 equal to $278,404, $197,976 and $197,976, respectively. Equity-Based Compensation Each of our NEOs holds outstanding equity awards under our 2020 Stock Option and Grant Plan (the “2020 Plan”). We believe that equity grants provide our executives with a strong link to our long- term performance, create an ownership culture, help to align the interests of our executives and our 180

stockholders, and enhance executive retention. The market for qualified and talented executives in the biopharmaceutical industry is highly competitive, and we compete for talent with many
companies that have greater financial resources than we do. Accordingly, we believe equity compensation is a crucial component of any competitive executive compensation package we offer. As such, our board of directors or our compensation committee
periodically reviews the equity incentive compensation of our executives and may grant equity incentive awards to them from time to time.

In March
2024, following the sale and issuance of our Series C Preferred Stock, pursuant to the Series C Preferred Stock Purchase Agreement, dated as of March 4, 2024, our board of directors granted Mr. Cloonan, Ms. Ridloff and Dr. McKee an
incentive stock option to purchase 959,920, 212,958 and 207,279 shares of our common stock, respectively. Such options vest in 48 equal monthly installments over a period of four years following March 4, 2024, subject to each applicable NEO’s
continued service with us through the applicable vesting dates; provided that the vesting of such shares will fully accelerate upon a “sale event” (as defined in the 2020 Plan and which does not include this offering) and as provided in
the Severance and CIC Agreements and/or the New Severance and CIC Plan (each as defined below). Each NEO’s outstanding awards as of December 31, 2024 are set forth in more detail in the “Outstanding Equity Awards at Fiscal