Company: BA
Filing Date: 2025-03-07
Form Type: DEF 14A
Source: 0001193125-25-049921
Chunk: 51

Company: BOEING CO
Filing Date: 2025-03-07
Form: DEF 14A
Chunk 51
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 also reviews and approves adjustments, if any, to NEO base salaries in February; any base salary adjustments generally take effect in March. Elements of compensation may also be reviewed and adjusted at other times during the year in connection with promotions or other changes in roles or responsibilities. Base Salary Base salaries provide a fixed level of cash compensation for each executive based on competitive market data and individual factors such as competencies, skills, experience, contributions, performance and the assumption of new responsibilities or promotions. There are no specific weightings assigned to these individual factors. In 2024, base salaries for Ms. Pope and Messrs. Raymond and Calhoun were adjusted in connection with their role changes, as described under “2024 NEO Pay Decisions” starting on page 61. Mr. Ortberg’s base salary was approved by the Board in connection with his hire in August 2024. No changes were made to the base salaries of our other NEOs during 2024. Annual Incentive Plan The annual incentive plan is designed to drive near-term program execution and operational excellence, as well as to differentiate executives based on individual performance. The Compensation Committee sets annual incentive award targets for executive officers each year. In 2024, Ms. Pope’s and Mr. Raymond’s annual incentive targets were adjusted in connection with their role changes, as described under “2024 NEO Pay Decisions” starting on page 61. Mr. Ortberg did not participate in our 2024 annual incentive plan. No changes were made to the annual incentive targets for our other NEOs during 2024. Actual incentive awards are determined as follows: Incentive Score.The Company performance metrics driving our annual incentive plan payouts are measured through a formulaic incentive score. The incentive score is determined by comparing our performance under both financial and operational metrics against targets established in connection with our long-range business plan. It is expected that both maximum performance and performance resulting in zero payout would be infrequent. These goals incorporate expectations regarding the probability of achieving performance goals, key risks and a degree of “stretch” to appropriately incentivize superior performance. For each of the financial and operational performance score components, actual performance that is higher or lower than target for any metric is assigned a percentage score based on a curve established by the Compensation Committee, with a score of 100% corresponding to target performance. The incentive score elements for each of our business units is illustrated on the next page. As these scores incorporate performance at the business unit level, the incentive score that applies to each executive depends on the