Company: KD
Filing Date: 2025-06-16
Form Type: DEF 14A
Source: 0001140361-25-022676
Chunk: 45

Company: Kyndryl Holdings, Inc.
Filing Date: 2025-06-16
Form: DEF 14A
Chunk 45
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 Company’s Securities Industry Services platform in the second-half of fiscal 2025; excluding the impact of workforce rebalancing charges incurred during fiscal 2025, which aligns with the Company’s public disclosures wherein workforce rebalancing charges were excluded from the Company’s reported adjusted results when the performance period target was set but have been included within adjusted results since the beginning of fiscal 2025; excluding the impact of any cash usage associated with the deployment of LTI cash-deferred plans consistent with the treatment of stock-based compensation; and adjusting for the non-cash settlement of a disputed receivable. |

| (3) | The Signings attainment reflects an adjustment under the pre-determined category of material changes to commercial agreements driven by a change in the strategies of the Company’s former parent that were not contemplated at the time the 2023-2025 award was granted. A key element of the Company’s strategic priorities in its three-A’s initiatives since the Spin-off has been reducing low-margin revenue streams under the Accounts initiative, and the resolution of such Accounts typically involved passing back the software relationship with the client from the Company to our former parent. While this action negatively impacted signings, it greatly improved the Company’s overall profitability. In addition, the Company delivered on its communicated goal of returning to year-over-year constant-currency revenue growth in the fourth quarter of fiscal 2025 and was ahead of its profitability objectives. |

| (4) | The graph below reflects the growth in Kyndryl’s TSR over the three-year performance period in comparison with companies in the S&P MidCap 400 Index. |

| KYNDRYL2025 PROXY STATEMENT|49 |

TABLE OF CONTENTS

The following table shows the target potential and the actual awards earned based on results over the fiscal 2023-2025 performance period.

| Name               |     |  Adjusted 
 Operating 
 Cash Flow 
    Target 
 Award (in 
   shares) |     |  Adjusted 
 Operating 
 Cash Flow 
 Payout at 
  110% (in 
   shares) |     |  Signings 
    Target 
 Award (in 
   shares) |     |  Signings 
 Payout at 
   34% (in 
   shares) |     |   Relative 
 TSR Target 
  Award (in 
    shares) |     |    Relative 
  TSR Payout 
 at 200% (in 
     shares) |     |   Total 
    PSUs 
  Earned