Company: SREA
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001140361-25-010983
Chunk: 58

Company: SEMPRA
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 58
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 measures, which historically have been included in the annual bonus plan, are also included for 2024, weighted at 12%, because the committee believes that strong safety performance is critical to our infrastructure-intensive businesses. Performance measures include employee safety metrics as well as metrics that promote public safety and safe operations. The committee added further Sustainability measures to the annual bonus plan in 2021 and continued their use in 2024 to incentivize progress on the company’s key sustainability commitments, including:

| • | Advancing a clean energy future |

| • | Fostering our high-performance culture by promoting an inclusive work environment that embraces varied backgrounds and perspectives |

| • | Making a difference in the communities we serve |

| • | Maintaining strong corporate governance practices |

During our shareholder engagement meetings, we solicit shareholders’ input on the performance measures and other aspects of our incentive plans. Some shareholders expressed a preference for the use of multiple performance measures in annual bonus plans, including a financial performance measure (there was not a clear preference for earnings or EPS), and for the use of different performance measures in our annual bonus and long-term incentive plans. Shareholder feedback related to our annual bonus plan performance measures and structure generally has been positive and shareholders generally support the incorporation of sustainability measures into the plan. ABP Earnings Goal Determination Table 9 shows the ABP Earnings criteria for 2024 performance-based annual bonuses:

| ​Financial Performance Measure (Dollars in Millions) |     | Threshold |     | Target |     | Maximum |
| ABP Earnings (Attributable to Common Shares)         |     |    $2,807 |     | $3,051 |     |  $3,295 |

Table 9 The committee set a challenging 2024 ABP Earnings target of $3,051 million based on the company’s financial plan. The 2024 target reflected an increase of $267 million, or 10%, over our 2023 target ABP Earnings of $2,784 million, and $74 million higher than our 2023 ABP Earnings of $2,977 million. The $244 million range between the 2024 ABP Earnings target and maximum goals continues the trend of broadening this range, which was $223 million in 2023. The range between the target and maximum ABP Earnings goals has expanded each of the past five years and has more than tripled from $81 million in 2020 to $244 million in 2024. Consistent