Company: SREA
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001140361-25-010983
Chunk: 52

Company: SEMPRA
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 52
---
 million was between our ABP Earnings target of $3,051 million and our ABP Earnings maximum goal of $3,295 million. Our above-target performance was driven by strong financial performance across all operating companies. Adjustments to GAAP earnings were predefined at the time the Compensation and Talent Development Committee determined the 2024 annual bonus plan goals. For a reconciliation of GAAP earnings to ABP Earnings, see “Reconciliation of 2024 GAAP Earnings to ABP Earnings” below and Appendix B to this proxy statement. For detailed information about the component measurements of annual company performance under the performance-based annual bonus plan, see “Annual Bonus Performance Results” below and Appendix B to this proxy statement.

| 2025 Proxy Statement |     | 45 |

TABLE OF CONTENTS Executive Compensation

Long-Term Equity-Based Incentives The 2024 annual LTIP award design for Messrs. Martin, Mihalik and Bird and Ms. Sedgwick was 100% performance based, with two-thirds in performance-based restricted stock units and one-third in nonqualified stock options, which the Compensation and Talent Development Committee views as performance-based because their value depends on our stock price increasing over time. The 2024 annual LTIP award design for Ms. Day was two-thirds performance-based restricted stock units and one-third service-based restricted stock units. The performance measures and weightings for the 2024 annual long-term incentive plan awards were: Figure 4

| (1) | Stock options were awarded to the chief executive officer and executive vice presidents. Other participants, including Ms. Day, received service-based restricted stock units in lieu of stock options. |

Note: The TSR portion of the awards includes two components: one that measures TSR relative to the S&P 500 Utilities Index, weighted at 70%, and one that measures TSR relative to our S&P 500 Index peers, weighted at 30%. The 2024 annual long-term incentive plan awards include two performance measures — relative total shareholder return (weighted at one-third of the total award value, 70% of which is based on performance against the S&P 500 Utilities Index and 30% of which is based on performance against the S&P 500 Index) and EPS growth (weighted at one-third of the total award value). The Compensation and Talent Development Committee measures performance against challenging targets in order to drive long-term growth and closely align executives’ interests with those of our shareholders. In the event that Sempra’s total shareholder return