Company: SREA
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001140361-25-010983
Chunk: 61

Company: SEMPRA
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 61
---
     |   $810,500 |
| Justin C. Bird          |     |       $780,000 |     |   |     | 90%          |     |   |     | 143%        |     |   |     | $1,003,400 |
| Diana L. Day            |     |       $510,000 |     |   |     | 60%          |     |   |     | 143%        |     |   |     |   $437,400 |
| Trevor I. Mihalik       |     |       $950,000 |     |   |     | 100%         |     |   |     | 143%        |     |   |     | $1,357,900 |

Table 13

| (1) | The actual performance score of 142.93% is rounded in this Table 13. |

| (2) | Final award payouts are rounded up to the nearest hundred dollars. |

3. Long-Term Equity-Based Incentives Long-term equity-based incentives are the largest single component of each named executive officer’s target total direct compensation package comprising approximately half or more of each named executive officer’s target total direct compensation in 2024. See Figure 3 for these percentages. In accordance with our pay-for-performance philosophy, performance-based restricted stock units constitute two-thirds of the 2024 annual long-term incentive plan awards and stock options (for Messrs. Martin, Mihalik and Bird and Ms. Sedgwick) or service-based restricted stock units (for Ms. Day) constitute the remaining one-third of the awards. Rationale for 2024 Annual LTIP Award Design The Compensation and Talent Development Committee has implemented what it believes is a balanced equity incentive award design that is based one-third on relative total shareholder return, one-third on relative EPS growth and one-third on either nonqualified stock options (for Messrs. Martin, Mihalik and Bird and Ms. Sedgwick) or service-based restricted stock units (for Ms. Day). The committee believes this design creates a strong alignment with shareholder interests and with our growth strategy that is simple and easily communicated to participants, shareholders and other stakeholders. The committee approved this equity award structure after considering many variables, including alignment with shareholder interests, retention, plan expense, share usage, market trends and feedback from our shareholder engagement. In determining the design of the performance-based components of our 2024 annual LTIP awards, the Compensation and