Company: KHC
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001308179-25-000266
Chunk: 52

Company: Kraft Heinz Co
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 52
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 the composition of the Board and the needs and opportunities of Kraft Heinz over time. Imposing a rigid, one-size-fits-all approach to Board leadership would hamper the Board’s ability to effectively promote the Company’s and stockholder’s interests and long-term goals. Additionally, this proposal seeks to permanently have an independent director as the Chair, limiting the Board’s flexibility to decide who is the best suited director to serve as Chair. The Board believes this approach is unnecessarily restrictive and would not serve the Company’s and stockholders’ interests over time. Under our Corporate Governance Guidelines, the Board conducts an annual evaluation of its structure, considering the best interests of the Company and its stockholders. This evaluation includes factors such as the Company’s current circumstances, the tenure and skill sets of individual directors, and other relevant factors. At least annually, the Board appoints a Chair, Vice Chair, Board Committee members, and Committee Chairs. In the event that the Chair is not an independent director, or if the Board otherwise deems it beneficial to help ensure robust independent leadership of the Board, the Board selects an independent Lead Director with substantive duties and responsibilities. For example, as discussed above under Governance—Board Structure and Operations—Board Leadership Structure, in 2022, following the retirement of our then Chair, the Board combined the roles of Chair and CEO and appointed Mr. Patricio to the role, effective May 2022. Then, in 2023, in connection with the transition of our CEO from Mr. Patricio to Mr. Abrams-Rivera, the Board separated the roles of Chair and CEO, with Mr. Patricio continuing as non-executive Chair. Each of these changes in our Board leadership structure followed a thorough review by the Board, after considering a range of factors, and removing this flexibility would restrict the Board’s ability to adapt to circumstances and select a leadership structure that it believes to be in the best interests of the Company and its stockholders at the time. Furthermore, we believe this is in line with market practice, as the 2024 Spencer Stuart Board Index provides that only 39% of S&P 500 companies have a chair who meets the independence rules of the applicable stock exchange. 1Additionally, according to a 2023 survey published by The Conference Board, 76% of S&P companies provide that the board of directors has the flexibility to determine its leadership structure on a case-by-case basis and do not require the chair to be an independent director. 2 OUR STRONG LEAD