Company: DMRC
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001437749-25-009135
Chunk: 44

Company: Digimarc CORP
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 44
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          | eGain Corp                               | Identiv       |
| Immersion | Intellicheck  | Logility Supply Chain Solutions, Inc.(1) | Mitek Systems |
| NVE       | PDF Solutions | Rekor Systems                            | ReposiTrak    |

| (1) | American Software changed its name to Logility Supply Chain Solutions, Inc. in 2024. |

For 2024, the Compensation Committee removed OMNIQ and Smith Mirco Software from the peer group because of their relatively small market capitalization.

<div align='center'>Our Compensation Program</div>

Compensation Elements and Pay Determination

There are three primary components of the executive compensation program: (1) base salary, (2) annual short-term incentive in the form of a cash bonus, and (3) a long-term incentive that is comprised of time-based Restricted Stock Units (“RSUs”) and Performance-Based Restricted Stock Units (“PRSUs”). The Compensation Committee believes that a material portion of all officers’ compensation must be “at risk,” so all officers have an annual short-term incentive element (a performance bonus) included in their compensation packages. “At risk” also means that the Company must meet a threshold performance level before any bonus is paid, and once that threshold is met, there should be an escalating scale which encourages exceeding the targets. The same principle applies to performance-based equity grants.

<div align='center'>26</div>

Compensation Program for 2024

| Pay Element              | Form                                                                                                                                                                                  | Description                                                                                                                  |                                                                                   |                                               | Rationale |                                                                                                                                        |
| Salary                   | Cash                                                                                                                                                                                  | ●                                                                                                                            | Fixed component of pay targeted at the median of the market                       |                                               | ●         | Designed to be market-competitive and attract and retain talent                                                                        |
| ●                        | Reviewed annually, taking into consideration executive’s level of responsibility, experience, knowledge, future potential, and competitive market data                                |                                                                                                                              |                                                                                   |                                               |           |                                                                                                                                        |
| Annual Incentive Plan    | Cash                                                                                                                                                                                  | ●                                                                                                                            | Variable compensation component linked to Company financial and strategic goals   |                                               | ●         | Incentivizes executives to focus on top line growth balanced with improving cash flow for future investments and growth                |
| ●                        | Tied to increase in Gross New Annual Recurring Revenue (1) (“ARR”) as a leading indicator of growth and improved Adjusted Non-GAAP Net Income (2) as an indicator of future cash flow |