Company: EAI
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000065984-25-000012
Chunk: 1163

Company: ENTERGY ARKANSAS, LLC
Filing Date: 2025-02-18
Form: 10-K
Item: Item 8
Chunk 1163
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 with and, in certain respects, goes beyond, the requirements of the SEC rules and NYSE Listing Standards for the recovery of any erroneously awarded performance-based incentive compensation.  Additionally, all executive officers of Entergy and its subsidiaries, including the NEOs, are subject to a discretionary recoupment policy that allows for recovery of incentive compensation, including time-based awards, from an officer who engages in certain detrimental conduct.  See section of this CD&A discussing “Recoupment of Compensation (Clawback Provisions)” for additional information about these policies.No Hedging of Company StockDirectors, executive officers, and employees of Entergy and its subsidiaries may not directly or indirectly engage in transactions intended to hedge or offset the market value of the Company’s common stock owned by them.No Pledging of Company StockDirectors and executive officers of Entergy and its subsidiaries may not directly or indirectly pledge Entergy common stock as collateral for any obligation.No Excessive PerquisitesExecutive officers receive limited ongoing perquisites that make up a small portion of total compensation.No Tax Gross-UpsThe Company does not provide tax gross-ups to the members of the OCE other than certain relocation benefits.No Dividends on Unearned Performance AwardsThe Company does not pay dividends on unearned PUP awards.No Repricing or Exchange of Underwater Stock OptionsThe Company’s equity incentive plan does not permit repricing or the exchange of underwater stock options without the approval of its shareholders.No Employment AgreementsThe Company does not have employment contracts with its executive officers.Independent Compensation ConsultantThe Talent and Compensation Committee retains an independent compensation consultant to advise on the executive compensation programs and practices.Annual Say-on-PayThe Company values the input of its shareholders on the executive compensation programs and holds annual say-on-pay votes.Annual Compensation Risk AssessmentA risk assessment of the compensation programs is performed on an annual basis to ensure that the programs and policies do not incentivize unnecessary or excessive risk-taking behavior.

2024 Incentive Program Changes

Based in part on shareholder feedback and consistent with our compensation principles and philosophy discussed earlier in this CD&A, the Talent and Compensation Committee refined Entergy's 2024 incentive compensation programs by:

•Moving the Adjusted FFO/Debt Ratio measure from the PUP to the annual incentive program, weighted at 10%, and moving the Environmental Stewardship measure from the annual incentive program to the PUP, beginning with the 2024–2026 performance period (“2024–2026 PUP”), weighted at 20%.  The Environmental St