Company: SREA
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001140361-25-010983
Chunk: 51

Company: SEMPRA
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 51
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5-2017        |     | 40% of Target   |
| 2016-2018        |     | 40% of Target   |
| 2017-2019        |     | 151% of Target  |
| 2018-2020        |     | 137% of Target  |
| 2019-2021        |     | 89% of Target   |
| 2020-2022        |     | 140% of Target  |
| 2021-2023        |     | 163% of Target  |
| 2022-2024        |     | 190% of Target  |
| Ten-Year Average |     | 103% of Target  |

Table 5 Rigor of Incentive Targets At the start of each year, our Compensation and Talent Development Committee sets challenging yet achievable incentive targets, designed to motivate our team to drive strong performance and sustained value creation and to closely align executives’ interests with those of our shareholders. Performance-Based Annual Bonus Plan For 2024, the Compensation and Talent Development Committee selected earnings, weighted at 80%, safety, weighted at 12% and environmental, culture and governance, weighted at 8%, for the measurement of annual company performance under the performance-based annual bonus plan. The committee utilizes earnings as the basis of the primary annual bonus metric because it believes this measure provides an accurate and comprehensive picture of annual company financial performance that plan participants, shareholders, analysts and other parties can clearly understand. The committee makes certain predefined adjustments to GAAP earnings as described in Appendix B to this proxy statement to calculate ABP Earnings. The committee set a challenging 2024 ABP Earnings target of $3,051 million based on the company’s financial plan. The 2024 target reflected an increase of $267 million, or 10%, over our 2023 target ABP Earnings of $2,784 million and $74 million higher than our 2023 ABP Earnings of $2,977 million. The $244 million range between the 2024 ABP Earnings target and maximum goals continues the trend of broadening this range, which was $223 million in 2023. The range between the target and maximum ABP Earnings goals has expanded each of the past five years and has more than tripled from $81 million in 2020 to $244 million in 2024. Our 2024 ABP Earnings of $3,158