Company: KD
Filing Date: 2025-06-16
Form Type: DEF 14A
Source: 0001140361-25-022676
Chunk: 39

Company: Kyndryl Holdings, Inc.
Filing Date: 2025-06-16
Form: DEF 14A
Chunk 39
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5 AIP target incentive opportunity is prorated for changes in each executive officer’s salary during the fiscal year. |

| KYNDRYL2025 PROXY STATEMENT|45 |

TABLE OF CONTENTS

Long-Term Equity Incentives

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 COMPENSATION 
 PHILOSOPHY   |     | ​Long-term equity incentive awards are intended to ensure that our NEOs have a continuing stake in our long-term success, are motivated to achieve longer-term performance objectives linked to our business strategy and receive compensation tied to stockholder value creation. We grant long-term equity incentive (“LTI”) awards under the Amended and Restated Kyndryl 2021 Long-Term Performance Plan (“LTPP”). |
| In determining the size and award mix of the annual long-term incentive opportunity, the CHC Committee considers a number of factors, including competitive market data. The CHC Committee currently awards a mix of performance share units (“PSUs”) and time-vesting restricted stock units (“RSUs”) that consists 65% of PSUs and 35% of RSUs, to NEOs as part of the annual long-term incentive opportunity. |     |              |     |                                                                                                                                                                                                                                                                                                                                                                                                                        |
| Once performance share unit awards have been granted, the number of shares that an NEO will receive on vesting, if any, depends on the Company’s attainment of specific financial or strategic targets.                                                                                                                                                                                                          |     |              |     |                                                                                                                                                                                                                                                                                                                                                                                                                        |
| Finally, the CHC Committee considers time-vesting restricted stock units an important tool to retain key talent and ensure that executives have a continuing stake in our long-term success.                                                                                                                                                                                                                     |     |              |     |                                                                                                                                                                                                                                                                                                                                                                                                                        |

As part of the review of the compensation of our NEOs undertaken by the CHC Committee in April 2024, our CHC Committee reviewed the target long-term equity incentives of each of the NEOs, including in comparison to market data. No changes were made to the NEOs’ target long-term equity incentives in fiscal 2025.

| In June 2024, the CHC Committee granted the fiscal 2025 annual long-term equity incentive awards under the LTPP in the form of PSUs and RSUs. The CHC Committee determined to balance its goals of tying our NEOs’ compensation to achievement of business objectives and attracting and retaining high-performing talent by awarding 65% of the total target award opportunity in the form