Company: KD
Filing Date: 2025-06-16
Form Type: DEF 14A
Source: 0001140361-25-022676
Chunk: 48

Company: Kyndryl Holdings, Inc.
Filing Date: 2025-06-16
Form: DEF 14A
Chunk 48
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 Under the revised design, the award payout is based on cumulative three-year adjusted operating cash flow, with relative TSR performance applied as a payout modifier. This update supports long-term pay-for-performance alignment by sharpening the focus on a key strategic metric that reinforces Kyndryl’s strategy to position the Company for sustainable revenue growth, further margin expansion and strong free cash flow generation. It also simplifies the PSU plan design by moving to a two-metric structure and discontinuing the cumulative signings measure, which has become less of a focus now that the Company has achieved constant-currency revenue growth in the fourth quarter of fiscal 2025.

| KYNDRYL2025 PROXY STATEMENT|51 |

TABLE OF CONTENTS

Other Compensation Executive Severance and Retirement Plan The Company maintains the Kyndryl Executive Severance and Retirement Plan (“Severance Plan”), which is described in detail under “Potential Payments upon Termination or Change in Control” below. Each of the NEOs is entitled to benefits under the Severance Plan, as set forth under “Potential Payments upon Termination or Change in Control.” The CHC Committee considers it important that the Company not have to engage in case-by-case negotiations with respect to executive departures. The CHC Committee also believes that having a severance plan furthers the Company’s ability to attract and retain talented executives and that being covered under the terms of a severance plan would allow executives to focus on their duties and provide them security in the event of proposed extraordinary transactions. Limited Perquisites Consistent with our compensation philosophy, we provide our NEOs with limited perquisites, as set forth in the table below. The CHC Committee has determined that these perquisites are necessary to enable the NEOs to perform their duties efficiently and to minimize distractions, and that the benefits the Company receives from providing these perquisites significantly outweigh the cost of providing them.

| Benefit                               |     | CEO |     | Other NEOs |     | Description and Business Rationale                                                                                                                                                                                                                                                                                                                                                                                                      |
| Executive Wellbeing Program           |     |     |     |            |     | •Executive health exams are offered to encourage senior leaders of the Company to be proactive with preventive healthcare.                                                                                                                                                                                                                                                                                                              |
| Executive Financial Wellness Programs |     |     |     |            |     | •Financial planning and tax preparation services are offered to allow our NEOs to focus more fully on their service to the Company without the distraction of sometimes complex tax compliance and financial planning.                                                                                                                                                                                                                  |
| Personal Use of                       
 Aircraft                              |     |