Company: GGG
Filing Date: 2025-03-12
Form Type: DEF 14A
Source: 0001193125-25-052581
Chunk: 25

Company: GRACO INC
Filing Date: 2025-03-12
Form: DEF 14A
Chunk 25
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     |                     $343,000 |
| Total                 |     |                 $2,379,000 |     |                   $1,638,000 |

| (1) | Audit Fees include fees for the audits of our annual financial statements and the effectiveness of internal controls over financial reporting, reviews of our quarterly financial statements, statutory audits and consents. |

| (2) | Audit-Related Fees include fees and expenses for advisory services related to regulatory reporting requirements. |

| (3) | Tax Fees in 2024 include tax compliance services of $101,000 and tax advice of $231,000. Tax Fees in 2023 include tax compliance services of $93,000 and tax advice of $250,000. |

Pre-ApprovalPolicies The Audit Committee’s policy on approval of services performed by the independent registered public accounting firm is to pre-approveall audit and permissible non-auditservices to be provided by the independent registered public accounting firm during the fiscal year. The Audit Committee reviews each non-auditservice to be provided and assesses the impact of the service on the firm’s independence. 18 Graco Inc. 2025 Proxy Statement

EXECUTIVE COMPENSATION Compensation Discussion and Analysis Overview In 2024, the Company continued to invest in its four core strategies for growth and long-term value creation: new product development; new markets; global expansion; and acquisitions. During the year, net sales were $2.113 billion (down 4% from 2023), diluted net earnings per share were $2.82 (down 4% from 2023), dividends paid per share were $1.02 (up 9% from 2023 - our 25 thconsecutive annual increase), and share repurchases totaled 398,631 shares. Total shareholder return during the period was -2%.The Company’s short-term cash incentive plan continued to use net sales and earnings per share as the sole metrics to reward top-lineand bottom-line performance. The earnings per share metrics used for determining 2024 cash incentive plan payouts were adjusted to exclude certain items as defined by the Management Organization and Compensation Committee (for purposes of this Executive Compensation section, the “MOCC”) and as described in more detail on page 26, which we refer to as “Incentive EPS.” For 2024, Incentive EPS was $2.75. The following charts detail the Company’s net sales and Incentive EPS results against targets and prior year performance. The