Company: ABM
Filing Date: 2025-02-14
Form Type: DEF 14A
Source: 0000950170-25-020776
Chunk: 44

Company: ABM INDUSTRIES INC /DE/
Filing Date: 2025-02-14
Form: DEF 14A
Chunk 44
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s’ fiscal year 2024 equity awards, please see “Grants of Plan-Based Awards During Fiscal Year 2024.”

The grant date fair value of the PSs was calculated in accordance with ASC Topic 718 using a Monte Carlo simulation that used various assumptions including an expected term based on the period from the grant date to October 31, 2026 the last day of the performance period, an expected volatility of 32.99% and a risk-free interest rate of 4.10%.

The grant date fair value of the RSUs represents the closing price per share of ABM common stock on the grant date.

On January 8, 2024, the Compensation Committee approved a grant of RSUs to Mr. Jacobson with a value of approximately $1.5 million. The Committee believed this award was appropriate to recognize Mr. Jacobson’s significant contributions to the Company,

32ABM Industries Incorporated 2025 Proxy Statement

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while at the same time providing additional retention to Mr. Jacobson during the Company’s critical transformation period. The award will vest in full on the second anniversary of the grant date.

2022-2024 Performance Share Overview

In fiscal year 2022, we granted PSs with a TSR-modifier (“2022-2024 TSR-Modified Performance Shares”), which could be earned, if at all, based on Company financial metrics comprised of M&A adjusted EBITDA (75% weighting) and organic revenue (25% weighting) (reconciliations for such metrics are set forth in Appendix C). The 2022-2024 TSR-Modified Performance Shares earned were calculated at the end of the three-year period (November 1, 2021 to October 31, 2024) based on the average funding of three, one-year performance periods (November 1, 2021 – October 31, 2022; November 1, 2022 – October 31, 2023; and November 1, 2023 – October 31, 2024). Performance is measured annually for each performance measure and the payout is determined at the end of the three-year period. The goals associated with the first year of the performance period are based on the Company's budget and the performance goals for years two and three are based on pre-determined growth rates over prior year performance as established at the beginning of the performance period. The final payout based on Company financial metrics was subject to modification via a multiplier on a scale