Company: MRCY
Filing Date: 2025-09-10
Form Type: DEF 14A
Source: 0001049521-25-000029
Chunk: 34

Company: MERCURY SYSTEMS INC
Filing Date: 2025-09-10
Form: DEF 14A
Chunk 34
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,680 |            |

(1) No stock appreciation rights were outstanding as of August 25, 2025.

(2) The number of shares included for outstanding performance stock units ("PSUs") assumes target performance is achieved thereunder.

(3) The number of shares available for future grants under the 2018 Plan does not impact the size of the initial share reserve (1,900,000 shares, as described above) under the 2025 Plan. If approved, the 2025 Plan will be our only active employee equity incentive plan, replacing our 2018 Plan. Awards granted under our 2018 Plan from August 26, 2025 through the date of shareholder approval at the Annual Meeting will be treated as if they were issued under the 2025 Plan for purposes of calculating the remaining number of shares available for future grants under the 2025 Plan. Each share underlying a stock option or stock appreciation right granted during this time period under the 2018 Plan will count as 0.5 shares against the 2025 Plan share reserve, and each share underlying a full value award granted during this time period under the 2018 Plan will count as one share against the 2025 Plan share reserve).

#### Burn Rate
The table below sets forth the following information regarding the awards granted under the 2018 Plan: (i) the burn rate for each of the last three fiscal years, and (ii) the average burn rate over the last three fiscal years. The burn rate for each fiscal year has been calculated as (a) the sum of (1) the number of shares underlying time-based equity awards granted during the fiscal year; (2) the number of shares earned under PSUs during the fiscal year; and (3) the number of shares underlying stock options granted during the fiscal year, divided by (b) the weighted average number of shares of our common stock outstanding for the applicable year.

| Element                                                       |     | 2025 |      |            |     | 2024 |      |            |     | 2023 |      |            |     | Three-Year Average |      |            |
| Time-based equity awards granted                              
 (composed of restricted shares and deferred shares)           |     |      |      |    802,033 |     |      |      |  1,053,099 |     |      |      |    213,555 |     |                    |      |    689,562 |
| PSUs earned                                                   |