Company: CGC
Filing Date: 2025-07-25
Form Type: PRE 14A
Source: 0001104659-25-070853
Chunk: 77

Company: Canopy Growth Corp
Filing Date: 2025-07-25
Form: PRE 14A
Chunk 77
---
 the Omnibus Incentive Plan. Pursuant to the Hong Agreement, Ms. Hong was eligible to receive, at least once every fiscal year, a long-term award grant equal to 300% of her base salary (using the fair market value of the Shares on the date of grant), which may be comprised of Options, RSUs, PSUs and/or any other form of award authorized by the Omnibus Incentive Plan. The CGCN Committee, in its sole discretion, may determine the ratio of the various forms of awards that Ms. Hong was entitled to receive pursuant to the Omnibus Incentive Plan. Pursuant to the Hong Agreement, Ms. Hong’s employment with the Company was “at will.” The Hong Agreement stipulates that if the Company terminates Ms. Hong’s employment without cause, then, provided that Ms. Hong signs and returns to the Company a full and final employment separation, release and waiver of liability (the “ Hong Separation Agreement ”), the Company will provide (a) a lump sum payment equal to 18 months’ of Ms. Hong’s base salary, which shall be payable no later than two and a half months following the end of the calendar year in which the termination occurs; (b) a lump sum payment equal to 150% of the average actual annual amounts paid to Ms. Hong as a short-term annual incentive performance bonus during the prior two years, which shall be payable no later than two and a half months following the end of the calendar year in which the termination occurs; (c) any outstanding PSUs will vest at actual performance levels for all years already certified by the Board or any responsible committee thereof; and (d) if Ms. Hong were to elect continuation coverage under the Company’s medical plan pursuant to the Consolidated Omnibus Budget Reconciliation Act (“ COBRA ”), a reimbursement to Ms. Hong for a portion of the COBRA premium 57 TABLE OF CONTENTS payments as further described in the Hong Agreement. The Company was also able to terminate Ms. Hong’s employment with cause, without further liability to Ms. Hong. The Hong Agreement contains certain non-competition and non-solicitation provisions in favor of the Company for a period of 18 months following the termination of the Hong Agreement. Ms. Hong was terminated from the Company without cause on July 9, 2025 and subject to Ms. Hong’s compliance with the terms of the Hong Employment Agreement including Ms. Hong’s entry into the Hong Separation Agreement, Ms. Hong will be