Company: LILA
Filing Date: 2025-04-09
Form Type: DEF 14A
Source: 0001712184-25-000084
Chunk: 47

Company: Liberty Latin America Ltd.
Filing Date: 2025-04-09
Form: DEF 14A
Chunk 47
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 remaining half of the award, which was paid and delivered in the form of 6,247 LILA shares and 12,493 LILAK shares on March 14, 2025.

Equity Incentive Awards

General . Multi-year equity incentive awards, whether in the form of conventional equity awards or performance-based awards, represent a significant portion of our executives’ compensation. These awards ensure that our executives have a continuing stake in our company’s success, align their interests with our shareholders and also serve the goal of retention through vesting requirements and forfeiture provisions.

Given the uncertain macroeconomic environment in 2024, in particular in the countries in which we operate, the compensation committee established a 2024 long-term incentive program comprised of RSUs and SARs that vest over a three-year period (the 2024 Long-Term Incentive Awards ). Furthermore, the compensation committee approved the 2024 performance objectives to be achieved in order to vest in the LILAB performance share unit award that was granted to Mr. Nair pursuant to the 2022 Nair Agreement (together with the 2024 Long-Term Incentive Awards, the 2024 Equity Incentive Awards ).

The RSUs, SARs and PSUs that comprise the 2024 Equity Incentive Awards were strategically selected by the compensation committee based on the following conclusions and considerations:

• The organizational risks of incentive compensation can be reduced through:

• the use of multiple equity vehicles (for example, RSUs, SARs and PSUs) with different performance, retention, risk and reward profiles; and

• annual grants of equity awards that spread the target incentive compensation over multiple and overlapping performance/service periods and provide the flexibility to change performance metrics, weighting and targets from grant to grant.

• The use of performance-based equity awards, such as PSUs, adds an element of market risk over the performance/service period to better align the interests of management and shareholders, while focusing management on achieving specified performance targets to earn the award; and

• The use of conventional equity awards, such as SARs, provides a retention mechanism and alignment with shareholders by only delivering value if the stock price appreciates.

2024 Long-Term Equity Awards. Pursuant to the Liberty Latin America 2018 Incentive Plan ( Incentive Plan ), in March 2024, the compensation committee approved the target annual equity values for 2024 and granted an aggregate of 2,409,444 RSUs (the 2024 RSUs )