Company: CLSKW
Filing Date: 2025-09-08
Form Type: 8-K
Source: 0000950170-25-113381
Chunk: 1

Company: CLEANSPARK, INC.
Filing Date: 2025-09-08
Form: 8-K
Item: Item 5.02
Chunk 1
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, and Mr. Carson (each, an “ Executive”).

The base salaries, bonus targets, bitcoin payments and RSU grants described in this section and in the section entitled “ Performance and Retention RSU Grants” were approved by the Board following the Committee’s review of benchmark data provided by the Company’s independent compensation consultant. In approving the below described compensation packages, the Committee and the Board sought to ensure that total annual direct compensation of the Executives will be competitive relative to the Company’s peers in its industry and in the broader energy and technology sectors. In determining the compensation packages set forth in the new Employment Agreements and making the performance and retention RSU grants discussed below, the Committee and the Board also considered Mr. Schultz’s agreement to accept the role of Chief Executive Officer and the increase in duties and responsibilities of each of the other Executives following the departure of the Company’s prior Chief Executive Officer and the leadership realignment described above. The Committee and the Board also sought to adjust compensation to take into account the Company’s recent achievements and to reinforce the near-term accountability and long-term alignment between Executive reward and the Company’s financial outcomes, including by expanding the use of bitcoin as an element of the Executive compensation program.

The Employment Agreements provide for the base salaries set forth in the below table, payable according to the Company’s normal payroll practices, which amount will be reviewed periodically and is subject to adjustment by the Board or the Compensation Committee (the “ Committee”) of the Board.

In addition, each Executive will be entitled to receive (i) an annual discretionary target cash bonus up to the percentage of his base salary set forth in the below table, paid at the sole discretion of the Committee (provided that the Committee anticipates setting performance criteria upon which to base its determination), and (ii) the number of restricted stock units (“ RSUs”) set forth in the below table, which will vest in three equal installments on each of the first, second, and third anniversaries of the grant date.

  Name                      Annual Base Salary      FY 2025 Annual Bonus Target Percentage      FY 2025 Annual Bonus Target Amount      Number of RSUs  
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  S. Matthew Schultz                  $950,000      up to 200%                                                          $1,900,000             627,753  
  Gary A. Vecchiarelli                $650,000      up to 150%                                                            $975