Company: SBAC
Filing Date: 2025-04-07
Form Type: DEF 14A
Source: 0001193125-25-074669
Chunk: 52

Company: SBA COMMUNICATIONS CORP
Filing Date: 2025-04-07
Form: DEF 14A
Chunk 52
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 performance metrics, was awarded a score, with approximately 50% being performance at the minimum level for which a bonus would be awarded, 75% for performance at budget or expected levels, 100% for an excellent year and 200% for an extraordinary year. This evaluation, which is inherently subjective and depends on an overall analysis of the effectiveness of the individual executive and his contribution to SBA’s performance, allows the Compensation Committee to take into account events and priorities for a given fiscal year that were not evident or budgeted for at the beginning of such year, to the extent appropriate. In determining annual incentive compensation, the Compensation Committee calculates the actual results during the year on a constant currency basis (utilizing the budgeted exchange rates to eliminate the impact of movements in foreign currency) due to the belief that an individual should not benefit nor be penalized as a result of movements in foreign currency that are outside their control. No adjustments are made to equity-based compensation for movements in foreign currency exchange rates, consistent with the impact of such movements to our shareholders. 2024 Annual Incentive Compensation Decisions For 2024, the Compensation Committee modified the annual incentive compensation program design to (i) remove AFFO as one of the two financial metrics to address shareholder concerns that the same metric was being utilized in both our annual and our long-term incentive compensation program, (ii) add a new financial metric, Site Leasing Revenue, and (iii) reduce the portion of the Annual Incentive Program that was based on financial, operational and qualitative metrics and a subjective analysis of the contribution that each NEO made in the attainment of such metric from 40% to 25% to align with current best practices. The bonus targets remained at 150% of base salary for the CEO position (with Mr. Cavanagh moving from 100% to 150% in connection with his promotion to CEO) and 100% for the other NEOs and the bonus opportunity cap remained at 200% of the annual bonus target for each of the NEOs. The performance metrics for the 2024 annual incentive program were as follows:

| > | 50% of each NEO’s annual bonus target was based on the performance level of Adjusted EBITDA achieved. We believe that Adjusted EBITDA is one of our most important performance metrics used by investors, shareholders and creditors as an indicator of the performance of our core operations. For 2024, we modified this component of the annual bonus target to utilize our reported Adjusted E