Company: TROW
Filing Date: 2025-03-26
Form Type: DEF 14A
Source: 0001104659-25-028002
Chunk: 43

Company: PRICE T ROWE GROUP INC
Filing Date: 2025-03-26
Form: DEF 14A
Chunk 43
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 Federated       
 Investors       
 Franklin        
 Resources, Inc. | Janus           
 Henderson Group 
 Invesco         
 Ltd.            |

The peer group listed above is similar to the peer group used in evaluating the competitive positioning of our compensation program, but consists of independent asset management firms that align with our business. The Compensation Committee selected operating margin as the sole performance metric because it is a key indicator of profitability and relative financial performance in the asset management industry. Operating margin is determined by dividing net operating income by total revenues for the performance period, as reported in the consolidated financial

| 60 | T. Rowe Price Group |

statements filed with the SEC or, if such financial statements are not available for a peer company at the time of determination, as otherwise disclosed in a press release by the peer company. In each case, net operating income is adjusted to exclude the effects of goodwill impairment, the cumulative effect of changes in accounting policies or principles, and gains or losses from discontinued operations, as each is reflected on the face of or in the notes to the relevant financial statements. For performance-based RSU awards made in 2024, the number of RSUs earned will be determined by comparing the Company’s operating margin for the three-year performance period with the average operating margin of the peer group for the period, and thereafter vest over the following two years (years four and five after the grant date). The following table shows the performance thresholds and related percentage of RSUs eligible to be earned that were established by the Compensation Committee for the 2024 awards.

| TROW                                                   
 Operating Margin as Percent of Industry Average Margin |     | >100% |     | 90%-99% |     | 80%-89% |     | 70%-79% |     | 60%-69% |     | 50%-59% |     | <50% |
| Amount                                                 
 of RSUs Eligible to Be Earned                          |     | 100%  |     | 90%     |     | 80%     |     | 70%     |     | 60%     |     | 50%     |     | 0%   |

Performance-based RSUs earned by each NEO following the completion of the relevant performance period vest at a rate of 50% per year, beginning in the month and year in the chart above, once the Compensation Committee certifies the number of RSUs earned. Payout of Performance-Based RSUs Granted in 2021 While the Compensation Committee does not consider these amounts