Company: MCFT
Filing Date: 2025-09-15
Form Type: DEF 14A
Source: 0001193125-25-202806
Chunk: 24

Company: MasterCraft Boat Holdings, Inc.
Filing Date: 2025-09-15
Form: DEF 14A
Chunk 24
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 by attracting and retaining qualified employees over time and motivate our executives to act in the long-term best interests of our shareholders. In particular, the CHC Committee and the Board feel that one way to align the Company’s strategy with the executive long-term incentive compensation is to tie the awards directly to the Company’s performance. Long-Term Incentive Plan (“LTIP”) awards are granted to our executive officers annually under our Second Amended and Restated Mastercraft 2015 Incentive Award Plan. In order to balance performance and retention incentives, during fiscal 2025, LTIP awards consisted of 50% restricted stock awards (“RSAs”) and 50% performance stock units (“PSUs”). The CHC Committee believes that together with the Company’s ownership requirements for executives, RSAs promote an “ownership” culture, align executives’ interests with those of our shareholders and provide retention incentives for our executive officers, while PSUs act as an additional tool for linking individual interests of our executive officers to those of our shareholders. RSAs vest annually in equal installments over a three-year period, subject to the executive officer’s continued employment.

| MASTERCRAFT BOAT HOLDINGS, INC. | 2025 PROXY STATEMENT | 35 |

Shares subject to PSUs are earned based upon the Company’s performance, over a three-year period, measured by a cumulative adjusted earnings per share, in each case subject to a potential adjustment based upon the application of a total shareholder return (“TSR”) modifier and subject to the executive officer’s continued employment with the Company. The TSR modifier is determined as the percentile ranking of the Company’s total shareholder return as compared to the total shareholder return of the companies represented in the Russell 2000 Index. At the end of the three-year performance period, the CHC Committee determines the actual number of shares the individual will receive based on achievement of the established performance goals and the TSR modifier. Results for the 2023 – 2025 performance period for awards granted in fiscal 2023 are set forth in the table below.

| PERFORMANCE METRIC         | TARGET | RESULTS | ACHIEVEMENT     |
| Cumulative Adjusted EPS(1) | $16.36 |   $6.82 | Below threshold |
| Payout %                   | 100.0% |      0% | Below threshold |
| TSR Modifier               |        |   0.89x |                 |
| Calculated Payout          |        |      0% |                 |

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