Company: BKYI
Filing Date: 2025-06-27
Form Type: DEF 14A
Source: 0001437749-25-021438
Chunk: 30

Company: BIO KEY INTERNATIONAL INC
Filing Date: 2025-06-27
Form: DEF 14A
Chunk 30
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 misalignment was due in part to increases in salary during the years presented, which increases are not tied to the performance of our common stock.

Compensation Actually Paid and Net Loss. The amount of compensation actually paid to our PEO is aligned with our net loss over the three years presented in the table, while the amount paid to our Non-PEO NEOs is not aligned with our net loss over the three years presented in the table. This is because equity constitutes a greater portion of the mix of compensation actually paid to our PEO than our Non-PEO NEOs.

Action to Recover Erroneously Awarded Compensation

In preparing our year-end 2023 consolidated financial statements, we determined that certain errors were made which required the restatement of our previously issued financial statements for the interim periods occurring within the year ended December 31, 2023. These errors resulted in the overstatement of accounts receivable and revenue, understatements of certain allowances for accounts receivable and certain reserves for inventory, and an understatement of net loss and total stockholders’ equity. This restatement is reflected in our Annual Report on Form 10-K for the year ended December 31, 2023, filed with the SEC on June 5, 2024 and amended on June 20, 2024.

Our executive officers did not receive any incentive-based compensation in 2023 that was subject to recovery. Accordingly, no recovery was required or sought from any of our executive officers under our Clawback Policy, which is filed as Exhibit 97.1 to our Annual Report on Form 10-K for the year ended December 31, 2024.

Policies and Practices Related to the Grant of Certain Equity Awards Close in Time to the Release of Material Nonpublic Information

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DIRECTOR COMPENSATION</div>

The following table sets forth for each director, information regarding their compensation for the year ended December 31, 2024:

|                      |     | Fees earned or 
 paid in cash   |       |     | Stock Awards |       |     | Total |        |
| Name (1)             |     | -$             |       |     | -$) (2       |       |     | -$    |        |
| Robert J. Michel (3) |     |                | 6,000 |     |              | 7,002 |     |       | 13,002 |
| Emmanuel Alia (4)    |     |                | 6,