Company: PENG
Filing Date: 2025-12-19
Form Type: DEF 14A
Source: 0001616533-25-000073
Chunk: 66

Company: Penguin Solutions, Inc.
Filing Date: 2025-12-19
Form: DEF 14A
Chunk 66
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 role;

• Individual performance;

• Company performance;

• Competitive market practices; and

• Unvested equity position.

As part of its annual review of our long-term incentive program, in September 2024 the Compensation Committee decided to grant fisc al 2025 equit y awards for each then-serving NEO in the form of (i) 50% time-based RSUs, with a longer four-year vesting period in order to enhance the retention component of our executive compensation program, and (ii) 50% PSUs tied to a three-year performance period in order to further align our executive compensation program with market practices and stockholder interests.

PSU Vesting Condition – TSR . All NEOs’ PSUs are earned, if at all, based on the Company’s total stockholder return (“TSR”) relative to the performance of the median company in the Russell 2000 Index, as id entified on the date of grant, following the end of a given three-year performance period, subject to the executive’s continued employment through the date of the Compensation Committee’s certification of our performance. Upon a change in control (as defined in the 2017 Plan) that (i) occurs within twelve months of the grant date, the performance goals applicable to the PSUs are deemed satisfied at the target performance level and the PSUs vest as of the date of such change in control under the 2017 Plan and are earned in an amount consistent with the target performance level, or (ii) occurs more than twelve months following the grant date, the PSUs vest as of the date of the change in control under the 2017 Plan based on actual performance through the date of such change in control under the 2017 Plan and are earned in an amount consistent with the executives’ actual performance.

| Company TSR Performance Relative to Median Company in Russell 2000 Index * |     | Percentage of Target PSUs Eligible to Vest * |
| + 25% of median company performance                                        |     | 200%                                         |
| +12.5% of median company performance                                       |     | 150%                                         |
| At median company performance                                              |     | 100%                                         |
| -12.5% of median company performance                                       |     | 75%                                          |
| -25% of median company performance                                         |     | 50%                                          |
| Less than -25% of median company performance                               |     | 0%                                           |

* If the Company’s TSR performance falls between the levels indicated