Calculation of Award Earned. As soon as practicable after January 2, 2021, your number of shares of Stock that you will receive upon vesting of the PSUs will be determined by the Committee using the chart below based on the Company’s EPS XA Growth (%), Cash Flow from Operations ($MM), and Net Sales Growth (%) for its fiscal year ending January 2, 2021, as weighted below: 2020 Inducement PSU Grant Agreement – U.S. (Updated July 2020) Metric Weighting Threshold Target Maximum EPS XA Growth (%) 40 % 13 16 19 Cash Flow from Operations ($MM) 40 % 600 750 900 Net Sales Growth (%) 20 % 2 3 4 * For any metric, the payout for achievement below the Threshold level with respect to such metric is 0%, at the Threshold level is 25%, at the Target level is 100%, and at the Maximum level is 200%. * Straight-line interpolation is used for calculating results between the achievement levels. For purposes of this Agreement: • EPS XA Growth will be determined by considering any increase in the Company’s earnings per share on an excluding actions basis for the fiscal year ending January 2, 2021 as compared to earnings per share on an excluding actions basis for the fiscal year ended December 28, 2019. • Cash Flow from Operations ($MM) will be determined by considering net cash from operating activities for the fiscal year ending January 2, 2021. • Net Sales Growth (%) will be determined by considering any increase in the Company’s sales for the fiscal year ending January 2, 2021 as compared to sales for the fiscal year ended December 28, 2019. • The Committee, in its discretion, may specify whether metrics include or exclude (or will be adjusted to include or exclude) extraordinary items, the impact of charges for restructurings or productivity initiatives, non-operating items, discontinued operations and other unusual and non-recurring items, the effects of currency fluctuations, the effects of financing activities (by way of example, without limitation, the effect on earnings per share of issuing convertible debt securities), the effects of acquisitions and acquisition expenses, the effects of divestiture and divestiture expenses, and the effects of tax or accounting changes, each determined in accordance with generally accepted accounting principles.
Calculation of Award Earned. As soon as practicable after the Vesting Date, your number of shares of Stock that you will receive upon vesting of the PSUs will be determined by the Committee using the chart below based on the Company’s Cash Flow from Operations ($MM), Average Adjusted Operating Margin and Relative Total Shareholder Return for the performance period commencing on December 31, 2023 and ending on January 2, 2027, as weighted below: Metric Weighting Threshold Target Maximum Cash Flow from Operations ($MM) 40% $900 $1,200 $1,500 Average Adjusted Operating Margin (%) 40% 10.3% 11.4% 12.5% Relative Total Shareholder Return (%ile) 20% 25th %ile 50th %ile 75th %ile * For any metric, the payout for achievement below the Threshold level with respect to such metric is 0%, at the Threshold level is 25%, at the Target level is 100%, and at the Maximum level is 200%. * Straight-line interpolation is used for calculating the applicable payout percentage with respect to achievement between (1) Threshold and Target levels and (2) Target and Maximum levels. * If the Company’s Total Shareholder Return during the performance period is negative, the payout earned for the Relative Total Shareholder Return component of this Award is capped at 100% of Target, regardless of percentile ranking. * The applicable payout percentage for each metric will be determined independently in accordance with this Section 3. The resulting payout percentage for each metric shall then be multiplied by its associated weighting, the sum of which will be the final payout percentage. The final payout percentage will be multiplied by the number of PSUs awarded as set forth in Section 2 above in order to calculate the earned award. For purposes of this Agreement: • Average Adjusted Operating Margin will be determined by averaging the adjusted operating margin (i.e., operating margin excluding actions) achievement for each year over the three-year performance period. Operating margin excluding actions is calculated as operating income excluding actions as a percentage of net sales for the same period. • Cash Flow from Operations ($MM) will be the cumulative performance of cash flow from operations over the three-year performance period.
Calculation of Award Earned. The percentage of the Grant Value earned shall be determined by multiplying (x) by (y) by (z), where
Calculation of Award Earned
