Company: NOC
Filing Date: 2025-04-04
Form Type: DEF 14A
Source: 0001133421-25-000016
Chunk: 45

Company: NORTHROP GRUMMAN CORP /DE/
Filing Date: 2025-04-04
Form: DEF 14A
Chunk 45
---
rials, reflecting the range of similar investment alternatives available to our shareholders. To smooth volatility in the market, the TSR calculation is based on the average of the three-year returns for each of the 30 calendar days, starting from the grant date, to the last 30 days of the performance period. The maximum rTSR payout is capped at 100% of target shares if the absolute TSR is negative, even if the rTSR would have resulted in a higher score. |

* This metric is a non-GAAP financial measure. For more information, see “Appendix A - Use of Non-GAAP Financial Measures.”

#### 2025 Proxy Statement63

#### Executive Compensation
Recently Completed RPSR Performance Period (2022-2024)

In February 2022, when granting RPSRs to NEOs who were elected officers at the time of the grant, the Compensation and Human Capital Committee selected Adjusted Cumulative FCF*, Return on Invested Capital* and rTSR, equally weighted at 1/3, as the performance metrics for the awards and established the performance criteria for the awards as set forth in the table below. Based on the performance against these metrics, shares earned for 2022 RPSR grants can vary from 0% to 200% of the rights awarded.

|                                    |     |           |     | Performance Required to Score |     |        |     |      |     |         |     |            |
|                                    |     |           |     | Threshold                     |     | Target |     |      |     | Maximum |     |            |
| RPSR Metrics                       |     | Weighting |     | 0%                            |     | Low    
 100%   |     | High 
 100% |     | 200%    |     | 2024 Score |
| Adjusted Cumulative FCF*           |     | 1/3       |     |                               |     |        |     |      |     |         |     | 38%        |
| Return on Invested Capital*        |     | 1/3       |     |                               |     |        |     |      |     |         |     | 50%        |
| Relative TSR - 2022 TSR Peer Group |     | 1/3       |     |                               |     |        |     |      |     |         |     | 3%         |
| Relative TSR - S&P Industrials     |     |