Company: AAOI
Filing Date: 2025-04-28
Form Type: DEF 14A
Source: 0001104659-25-040212
Chunk: 40

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-04-28
Form: DEF 14A
Chunk 40
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 ​ | ​ | ​ | ​                            | $ | 145,559 | ​ | ​ | ​ | ​ | ​                      | ​ | 62.5% | ​ | ​ | ​ | ​ | ​                       | $ |  90,974 | ​ | ​ | ​ |

(1) Amounts for Mr. Yeh are paid in NTD and RMB, and the disclosed amounts reflect the effect of the applicable exchange rates. Equity Incentive Compensation We use equity incentive compensation to attract and retain our talent, to motivate them to achieve our corporate goals and to align their financial incentives with stockholder returns. Awards for 2024 Performance In 2024, the compensation committee granted awards of RSUs to the NEOs, 50% of which vest quarterly over a four-year period based on continued service and the remaining 50% of which are earned with respect to a variable number of shares (between 0 and 200% of the target number of shares) based on the Company’s achievement of preset performance goals. The PSUs granted in 2024 will vest 50% based on achievement of specified levels of relative TSR vs. the 2024 Peer Group (as summarized in the section above entitled “Competitive Positioning”), and 50% based on achievement of a specified stock price hurdle for a three-year performance period ending April 29, 2027. The relative TSR payout and performance curve is summarized below. Payouts will be interpolated on a straight-line basis for performance in-between the percentiles noted below.

| ​ | ​ | Performance Level | ​ | ​ | ​ | Percentile Rank vs. 2024 Peer Group | ​ | ​ | ​ | Earned Units as a% of Target |   |      |   | ​ | ​ |
| ​ | ​ | Below Threshold   | ​ | ​ | ​ | Below 25thpercentile                | ​ | ​ | ​ | ​                            | ​ | 0%   | ​ | ​ | ​ |
| ​ | ​ | Threshold         | ​ | ​ | ​ | 25thpercentile                      | ​ | ​ | ​ | ​                            | ​ | 25%  | ​ | ​ | ​ |
| ​ | ​ | Target            | ​ | ​ | ​ | 50thpercentile                      | ​ | ​ | ​ | ​                            | ​ | 100% | ​ | ​ | ​ |
| ​ | ​ | Maximum           | ​ | ​ | ​ | 75