Company: CZR
Filing Date: 2025-04-24
Form Type: DEF 14A
Source: 0001193125-25-093716
Chunk: 50

Company: Caesars Entertainment, Inc.
Filing Date: 2025-04-24
Form: DEF 14A
Chunk 50
---
 the shareholder experience and the creation of shareholder value, and it aligns the interests of executive officers with those of the Company and its shareholders. By measuring our stock performance relative to an index, it mitigates the impact of macroeconomic factors, both positive and negative, that affect the industry and/or stock price performance and are beyond the control of management, and it provides rewards that are more directly aligned with performance through different economic cycles.The performance and payout slopes for the rTSR portion of the 2024 LTI awards are as follows:•75thpercentile TSR ranking and above: 200% of target payout•50thpercentile TSR ranking: 100% of target payout•35thpercentile TSR ranking: 50% of target payout•Below 35thpercentile: No payout•Payouts for performance between threshold, target, and maximum percentile requirements are interpolated on a straight-line basis.•If our3-yearTSR is negative, then the final payout level for these awards will be capped at “target”, even if our TSR falls above the 50th percentile of the TSR ranking against the peer group. For example, if our3-yearTSR is negative, but our TSR ranking was attained at the 75th percentile, the final award payout level would be 100% of target, not 200%.37
Adjusted EBITDA The portion of the 2024 annual LTI awards that is based on Adjusted EBITDA (which has the same definition as that used for our annual incentive plan) is intended to motivate our senior management team to achieve operational performance that is aligned to top-lineoperating metrics. The Board and management view Adjusted EBITDA as a critical indicator of Company performance given the nature of our business, which is why the Compensation Committee determined it was appropriate to include Adjusted EBITDA as a performance metric in both the 2024 STI and the 2024 LTI programs. Adjusted EBITDA is a useful indicator of cash flow from operations, which continues to be of importance to our business. It also focuses executive officers on the Company’s most critical strategic priority of profitability, and aligns their incentives, both short and long term, with the goal of generating a measure of income, a key driver of valuation. For each calendar year ended or ending December 31st of 2024, 2025 and 2026 (each, a “Performance Year”), the Compensation Committee has established, or will establish, a “target” level of