Company: THC
Filing Date: 2025-04-11
Form Type: DEF 14A
Source: 0001193125-25-079143
Chunk: 49

Company: TENET HEALTHCARE CORP
Filing Date: 2025-04-11
Form: DEF 14A
Chunk 49
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6, the NEO will be required to repay the full amount of the cash retention bonus. Long-Term Incentive Compensation 2024 Annual LTI Awards In 2024, annual LTI compensation for executive officers was granted entirely in RSUs, comprised of time-based awards vesting ratably over three years and performance-based awards earned over a three-year performance period. In order to further enhance alignment between LTI compensation and the interests of our shareholders, the HR Committee determined that the LTI awards for the Chairman and CEO would be granted 60% in performance-based RSUs and 40% in time-based RSUs, while the LTI awards for the remaining NEOs would remain at an equal split between time-based RSUs and performance-based RSUs. The HR Committee believes that the Company’s long-term incentive compensation program provides alignment of management’s incentives with shareholder interests and encourages sustained value creation for shareholders.

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Compensation Discussion & Analysis

| Performance-Based RSUs (60% for Dr. Sutaria; 
 50% for Other NEOs)                          |     | •  Earned based on Adjusted FCF Less NCI and Adjusted EPS, with goals set annually to reflect current conditions and business strategy with below threshold (0%), threshold (50%), target (100%), and max (200%)   •  Subject to Relative TSR multiplier based on performance over the entire performance period (+/- 25% based on cumulative performance versus direct peers) |
| Time-Based RSUs (40% for Dr. Sutaria;        
 50% for Other NEOs)                          |     | •  Solely subject to service-based vesting and forfeiture conditions   •  Awards directly align executive and shareholder interests while encouraging retention throughout the three-year ratable vesting cycle                                                                                                                                                                |

| Performance Metrics              |     | Rationale and Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| Adjusted Earnings Per Share      |     | •  Key metric for our shareholders because our Adjusted EPS drives share price performance   •  Measures the Company’s per-share profitability, excluding certain gains and losses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| Adjusted Free Cash Flow Less NCI |     | •  Sustained cash flow generation allows the Company to fund objectives important to the Company’s long-term strategy without raising additional debt   •  Measures the Company’s ability to generate cash flows