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Sincerely,
JEFFREY M. SOLOMON
Chair and Chief Executive Officer |
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| DATE | | |
Thursday, June 24, 2021
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| TIME | | |
10:00 AM ET
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| RECORD DATE | | |
May 14, 2021
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Important Notice Regarding the Availability of Proxy Materials for the 2021 Annual Meeting of Stockholders to Be Held on June 24, 2021. The Proxy Statement and Annual Report to stockholders are also available at
www.cowen.com/annualreports.html |
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Page
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PROPOSAL 1 – ELECTION OF DIRECTORS | | | |
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DIRECTOR NOMINEES | | | | | 2 | | |
KEY FACTS ABOUT OUR BOARD | | | | | 2 | | |
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EXECUTIVE OFFICERS OF THE COMPANY | | | | | 23 | | |
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COMPENSATION DISCUSSION AND ANALYSIS | | | | | 24 | | |
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Annual Report to Stockholders and Form 10-K | | | | | 65 | | |
Householding | | | | | 65 | | |
Other Matters | | | | | 66 | | |
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| | | | A-1 | | |
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PROPOSAL 1
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| |
ELECTION OF DIRECTORS
☑
The Board recommends a vote “FOR” the election of the director nominees
|
| |
|
|
| |
BRETT BARTH, 49
INDEPENDENT LEAD DIRECTOR
Director Since: 2018
Cowen Committees
• Compensation (Chair)
• Nominating & Corporate Governance
Other US-Listed Company
Directorships
• Golden Arrow Merger Corp.
• Former (Past 5 Years): None
|
| |
RELEVANT SKILLS
•
Financial Services
•
Executive Leadership and Management
•
Corporate Governance
•
Investment Management
|
|
| Mr. Barth has extensive experience vetting investment opportunities across the asset class spectrum and through a range of market environments, working with both traditional and alternative investment managers. At BBR, Mr. Barth co-manages the firm and oversees the company’s investment approach and implementation. His professional background has provided him with extensive expertise in investment and wealth management. | | ||||||
|
CAREER HIGHLIGHTS
•
BBR Partners, private wealth management advisory firm (2000 — present)
–
Co-Founder and Co-CEO
–
Member, Executive Committee
–
Member, Investment Committee
•
Prior to BBR, Mr. Barth was a member of Goldman Sachs Equity Capital Markets Group in New York and Hong Kong
|
| ||||||
|
OTHER EXPERIENCE AND COMMUNITY INVOLVEMENT
•
University of Pennsylvania
–
Trustee
–
Member, Board of Overseers of the Graduate School of Education
–
Past Chair, Penn Fund, undergraduate annual giving program
–
Past Inaugural Chair, Undergraduate Financial Aid Leadership Council
•
UJA-Federation of New York
–
Member, Board and Executive Committee
–
Co-chair, Annual Campaign
–
Member, endowment’s Investment Committee
–
Past recipient, Alan C. Greenberg Young Leadership Award
|
| ||||||
|
EDUCATION
•
Graduate of University of Pennsylvania
|
|
| | | |
JEFFREY M.
SOLOMON |
| |
BRETT H.
BARTH |
| |
KATHERINE E.
DIETZE |
| |
GREGG A.
GONSALVES |
| |
STEVEN
KOTLER |
| |
LAWRENCE E.
LEIBOWITZ |
| |
MARGARET L.
POSTER |
| |
DOUGLAS A.
REDIKER |
|
| | KEY SKILLS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
Audit & Financial Expertise
|
| | | | | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | | | | |
| |
Corporate Strategy & Business Development
|
| | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | |
| |
Corporate Governance / Ethics
|
| | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| |
Executive Leadership & Management
|
| | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| |
Financial Services
|
| | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | |
| |
Global Business & Operations
|
| | | | • | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| |
Investment Banking
|
| | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | |
| |
Investment Management
|
| | | | • | | | | | | • | | | | | | | | | | | | | | | | | | • | | | | | | | | | | | | | | | | | | | | | |
| |
Talent Development / Compensation
|
| | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| |
Institutional Markets
|
| | | | • | | | | | | • | | | | | | | | | | | | | | | | | | • | | | | | | • | | | | | | | | | | | | | | | |
| |
Risk Oversight
|
| | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | |
| |
Social Responsibility
|
| | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | |
| |
Sustainability
|
| | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | | | | |
| | Technology | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
•
|
| | | | | | | | | | | | | | |
| | KEY EXPERIENCES | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
CEO, President or COO
|
| | | | • | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| |
CFO or Other Financial Expert
|
| | | | | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | | | | |
| |
Private Company Management & Governance
|
| | | | • | | | | | | • | | | | | | | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| |
Public Company Management & Governance
|
| | | | • | | | | | | • | | | | | | | | | | | | | | | | | | | | | | | | • | | | | | | | | | | | | | | | |
| |
Non-Profit
|
| | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | | | | | | | | | | | | | | | | |
| | DEMOGRAPHICS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Gender | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
Male
|
| | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | |
| | Female | | | | | | | | | | | | | | | |
|
•
|
| | | | | | | | | | | | | | | | | | | | | |
|
•
|
| | | | | | | | |
| | Race / Ethnicity | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | African American / Black | | | | | | | | | | | | | | | | | | | | | |
|
•
|
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Asian / Pacific Islander | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Hispanic / LatinX | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Native American | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
White / Caucasian
|
| | | | • | | | | | | • | | | | | | • | | | | | | | | | | | | • | | | | | | • | | | | | | • | | | | | | • | | | |
| | Other | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Age | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | At May 14, 2021 | | | | | 55 | | | | | | 49 | | | | | | 63 | | | | | | 53 | | | | | | 74 | | | | | | 61 | | | | | | 69 | | | | | | 61 | | | |
| | BOARD TENURE | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Years on Board | | | | | 10 | | | | | | 3 | | | | | | 10 | | | | | | 1 | | | | | | 11 | | | | | | 3 | | | | | | 2 | | | | | | 6 | | | |
| | OTHER PUBLIC COMPANY BOARDS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Number of Public Boards | | | | | 0 | | | | | | 1 | | | | | | 1 | | | | | | 1 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | | |
| | | |
COWEN BOARD COMMITTEES MEMBERSHIP
|
| |||||||||||||||
|
NAME
|
| |
Audit
|
| |
Nominating and
Corporate Governance |
| |
Compensation
|
| |||||||||
|
BRETT H. BARTH
INDEPENDENT LEAD DIRECTOR |
| | | | | | | | |
|
•
|
| | | |
|
•
|
| |
|
KATHERINE E. DIETZE
INDEPENDENT |
| | |
|
•
|
| | | | | | | | | | | | | |
|
GREGG GONSALVES
INDEPENDENT |
| | | | • | | | | | | • | | | | | | | | |
|
STEVEN KOTLER
INDEPENDENT |
| | |
|
•
|
| | | |
|
•
|
| | | | | | | |
|
LAWRENCE E. LEIBOWITZ
INDEPENDENT |
| | | | | | | | | | | | | | |
|
•
|
| |
|
MARGARET POSTER
INDEPENDENT FINANCIAL EXPERT |
| | | | • | | | | | | • | | | | | | • | | |
|
DOUG REDIKER
INDEPENDENT” |
| | | | | | | | | | | | | | |
|
•
|
| |
| |
Director
|
| | |
Fees Earned
Paid in Cash ($) |
| | |
Stock
Awards ($)(1) |
| | |
All Other
Compensation ($)(2) |
| | |
Total
|
| | ||||||||||||
| |
Brett H. Barth(3)
|
| | | | | — | | | | | | | 270,000 | | | | | | | 1,098 | | | | | | | 271,098 | | | |
| |
Katherine E. Dietze
|
| | | | | 115,000 | | | | | | | 115,000 | | | | | | | — | | | | | | | 230,000 | | | |
| |
Gregg A. Gonsalves(4)
|
| | | | | 133,334 | | | | | | | 100,000 | | | | | | | — | | | | | | | 233,334 | | | |
| |
Steven Kotler
|
| | | | | 105,000 | | | | | | | 105,000 | | | | | | | — | | | | | | | 210,000 | | | |
| |
Lawrence E. Leibowitz
|
| | | | | 50,000 | | | | | | | 150,000 | | | | | | | — | | | | | | | 200,000 | | | |
| |
Margaret L. Poster
|
| | | | | 100,000 | | | | | | | 100,000 | | | | | | | 499 | | | | | | | 200,499 | | | |
| |
Douglas A. Rediker(3)
|
| | | | | — | | | | | | | 200,000 | | | | | | | — | | | | | | | 200,000 | | | |
| |
PROPOSAL 2
|
| |
ADVISORY VOTE ON NAMED EXECUTIVE OFFICER COMPENSATION
☑
The Board recommends a vote “FOR” the approval, on an advisory (non-binding) basis, of the compensation paid to our named executive officers
|
| |
| Advisory Vote on Executive Compensation and Stockholder Engagement | | | | 25 | |
| 2020 Performance Overview | | | | 27 | |
| Key Features of Our Compensation Program | | | | 28 | |
| Compensation Philosophy and Objectives | | | | 28 | |
| Compensation Determinations for 2020 | | | | 30 | |
| Compensation Program and Payments | | | | 33 | |
| Setting Compensation | | | | 36 | |
| Relationship of Compensation Policies and Practices to Risk Management | | | | 37 | |
| Clawback Policy | | | | 37 | |
| Executive Officer Stock Ownership Guidelines | | | | 38 | |
| Anti-Hedging Policy | | | | 38 | |
| Tax and Accounting Impact and Policy | | | | 38 | |
| |
What We Heard from Stockholders
|
| | |
Action Taken by Company Management and the
Compensation Committee |
| |
| | While stockholders did not express any specific concerns with the levels of compensation paid to our named executive officers, stockholders noted that more details on Cowen’s compensation process and how the pool of compensation for management is determined would be helpful in demonstrating to stockholders that the compensation process is tied to performance and not entirely discretionary. | | | | We have enhanced the description in the “Compensation and Philosophy and Objectives” section below to provide a more robust and detailed discussion related to the Compensation Committee’s determinations related to firmwide compensation as well as the compensation of our named executive officers. | | |
| | Stockholders agree that Return on Common Equity, or ROCE, is an appropriate criterion for performance-based compensation but some stockholders indicated that they would like to see some form of total shareholder return, or TSR, as an additional measure used in the determination of performance-based compensation. | | | | The Company added a TSR modifier as a component of Performance Shares awarded in 2020. | | |
| | Stockholders also expressed a preference for our named executive officers to receive a greater amount of their compensation in the form of performance-based awards. | | | | As part of 2020 compensation, we increased substantially the dollar value of Performance Shares issued to our Chief Executive Officer relative to 2019 award values. In addition, we increased the grant date value of Performance Share awards issued to each of our named executive officers relative to 2019 award values. | | |
| | Stockholders were supportive of the removal of the evergreen provision from the 2010 Equity and Incentive Plan in the 2020 Equity Incentive Plan approved at the 2020 Annual Meeting of Stockholders. | | | | The Company plans to present an amended and restated equity and incentive plan for stockholder approval at its 2021 Annual Meeting of Stockholders. The amended and restated equity and incentive plan will not include an evergreen provision. | | |
| |
Performance Level*
|
| | |
3-Year AROCE**
|
| | |
Payout Rate***
|
| |
| |
Below Threshold
|
| | |
Below 8%
|
| | |
0% Payout
|
| |
| |
Threshold
|
| | |
8%
|
| | |
50% Payout
|
| |
| |
Target
|
| | |
10%
|
| | |
100% Payout
|
| |
| |
Above Target
|
| | |
12%
|
| | |
150% Payout
|
| |
| |
Maximum (capped)
|
| | |
Greater than 15%
|
| | |
200% Payout
|
| |
| |
Relative TSR Position
|
| | |
Modifier*
|
| | |||
| |
25th percentile and below
|
| | | | | 0.9 | | | |
| |
50th percentile
|
| | | | | 1.0 | | | |
| |
75th percentile and above
|
| | | | | 1.1 | | | |
| | Chief Executive Officer | | | |
8× Base Salary
|
| | | | $ | 8,000,000 | | | |
| | Other Executive Officers | | | |
3× Base Salary
|
| | | | $ | 2,100,000 | | | |
| |
Name & Principal
Position |
| | |
Year
|
| | |
Salary
($) |
| | |
Bonus
($)(1) |
| | |
Stock
Awards ($)(2) |
| | |
All Other
Compensation ($) |
| | |
Total
($) |
| | ||||||||||||||||||
| |
Jeffrey M. Solomon
Chief Executive Officer |
| | | | | 2020 | | | | | | | 1,000,000 | | | | | | | 13,000,000 | | | | | | | 3,157,115 | | | | | | | 1,833,388(3) | | | | | | | 18,990,503 | | | |
| | | 2019 | | | | | | | 950,000 | | | | | | | 1,300,000 | | | | | | | 3,588,250 | | | | | | | 1,640,563 | | | | | | | 7,478,814 | | | | |||||
| | | 2018 | | | | | | | 950,000 | | | | | | | 1,875,000 | | | | | | | 1,053,481 | | | | | | | 1,210,376 | | | | | | | 5,088,857 | | | | |||||
| |
Stephen A. Lasota
Chief Financial Officer |
| | | | | 2020 | | | | | | | 700,000 | | | | | | | 4,847,295 | | | | | | | 899,110 | | | | | | | 373,870(3) | | | | | | | 6,820,275 | | | |
| | | 2019 | | | | | | | 700,000 | | | | | | | 1,212,500 | | | | | | | 854,236 | | | | | | | 353,358 | | | | | | | 3,120,094 | | | | |||||
| | | 2018 | | | | | | | 500,000 | | | | | | | 1,625,000 | | | | | | | 396,485 | | | | | | | 311,652 | | | | | | | 2,833,137 | | | | |||||
| |
John Holmes
Chief Operating Officer |
| | | | | 2020 | | | | | | | 700,000 | | | | | | | 5,347,295 | | | | | | | 927,220 | | | | | | | 386,842(3) | | | | | | | 7,361,357 | | | |
| | | 2019 | | | | | | | 700,000 | | | | | | | 927,220 | | | | | | | 926,630 | | | | | | | 361,137 | | | | | | | 3,235,267 | | | | |||||
| | | 2018 | | | | | | | 500,000 | | | | | | | 1,675,000 | | | | | | | 515,193 | | | | | | | 311,652 | | | | | | | 3,001,845 | | | | |||||
| |
Owen S. Littman
General Counsel and Secretary |
| | | | | 2020 | | | | | | | 700,000 | | | | | | | 4,847,295 | | | | | | | 899,110 | | | | | | | 366,686(3) | | | | | | | 6,818,910 | | | |
| | | 2019 | | | | | | | 700,000 | | | | | | | 1,212,500 | | | | | | | 890,424 | | | | | | | 351,955 | | | | | | | 3,154,879 | | | | |||||
| | | 2018 | | | | | | | 500,000 | | | | | | | 1,650,000 | | | | | | | 396,485 | | | | | | | 311,652 | | | | | | | 2,858,137 | | | |
| |
Other Compensation ($)
|
| | |
Jeffrey M.
Solomon |
| | |
Stephen A.
Lasota |
| | |
John
Holmes |
| | |
Owen S.
Littman |
| | ||||||||||||
| |
Vested Deferred Cash Awards
|
| | | | | 1,773,575 | | | | | | | 363,983 | | | | | | | 380,698 | | | | | | | 369,802 | | | |
| |
Dividend Equivalents
|
| | | | | 10,572 | | | | | | | 2,692 | | | | | | | 2,753 | | | | | | | 2,703 | | | |
| |
Tax and Financial Planning
|
| | | | | 49,241 | | | | | | | 7,195 | | | | | | | 3,391 | | | | | | | — | | | |
| | | | | |
Corporate
Action Date |
| | |
Threshold
(#) |
| | |
Target
(#) |
| | |
Maximum
(#) |
| | |
Estimated
Future Payouts Under Equity Incentive Plan Awards(1) |
| | |
All Other
Stock Awards: Number of Shares of Stock or Units (#)(2) |
| | |
Grant Date
Fair Value of Stock Awards ($)(3) |
| | |||||||||||||||
| |
Jeffrey M. Solomon
|
| | |
2/19/2020
|
| | |
1/16/2020
|
| | | | | — | | | | | | | — | | | | | | | — | | | | | | | 129,931 | | | | | | | 2,269,895 | | | |
|
7/1/2020
|
| | |
2/10/2020
|
| | | | | 27,000 | | | | | | | 54,000 | | | | | | | 108,000 | | | | | | | — | | | | | | | 887,220 | | | | |||||
| |
Stephen A. Lasota
|
| | |
2/19/2020
|
| | |
1/16/2020
|
| | | | | — | | | | | | | — | | | | | | | — | | | | | | | 19,490 | | | | | | | 340,490 | | | |
|
7/1/2020
|
| | |
2/10/2020
|
| | | | | 17,000 | | | | | | | 34,000 | | | | | | | 68,000 | | | | | | | — | | | | | | | 558,620 | | | | |||||
| |
John Holmes
|
| | |
2/19/2020
|
| | |
1/16/2020
|
| | | | | — | | | | | | | — | | | | | | | — | | | | | | | 21,099 | | | | | | | 368,600 | | | |
|
7/1/2020
|
| | |
2/10/2020
|
| | | | | 17,000 | | | | | | | 34,000 | | | | | | | 68,000 | | | | | | | — | | | | | | | 558,620 | | | | |||||
| |
Owen S. Littman
|
| | |
2/19/2020
|
| | |
1/16/2020
|
| | | | | — | | | | | | | — | | | | | | | — | | | | | | | 19,490 | | | | | | | 340,490 | | | |
|
7/1/2020
|
| | |
2/10/2020
|
| | | | | 17,000 | | | | | | | 34,000 | | | | | | | 68,000 | | | | | | | — | | | | | | | 558,620 | | | |
| | | | | |
Stock Awards
|
| | ||||||||||||||||||||||||
| | | | | |
Number of
Shares that Have Not Vested (#) |
| | |
Market Value
of Shares that Have Not Vested ($)(1) |
| | |
Equity
Incentive Plan Awards: Number of Unearned Units That Have Not Vested (#) |
| | |
Equity
Incentive Plan Awards: Market Value of Unearned Units That Have Not Vested ($)(1) |
| | ||||||||||||
| | Jeffrey M. Solomon | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
2016 PSA Award(2)
|
| | | | | — | | | | | | | — | | | | | | | 29,166 | | | | | | | 758,024 | | | |
| |
2017 RSU Award(3)
|
| | | | | 22,083 | | | | | | | 573,937 | | | | | | | — | | | | | | | — | | | |
| |
2017 Incentive Award(4)
|
| | | | | 8,953 | | | | | | | 232,688 | | | | | | | — | | | | | | | — | | | |
| |
2018 RSU Award(5)
|
| | | | | 18,419 | | | | | | | 478,710 | | | | | | | — | | | | | | | — | | | |
| |
2019 RSU Award(6)
|
| | | | | 120,651 | | | | | | | 3,135,719 | | | | | | | — | | | | | | | — | | | |
| |
2019 PSA Award(7)
|
| | | | | — | | | | | | | — | | | | | | | 28,000 | | | | | | | 727,720 | | | |
| |
2020 RSU Award(8)
|
| | | | | 113,690 | | | | | | | 2,954,803 | | | | | | | — | | | | | | | — | | | |
| |
2020 PSA Award(9)
|
| | | | | — | | | | | | | — | | | | | | | 27,000 | | | | | | | 701,730 | | | |
| | Stephen A. Lasota | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
2016 PSA Award(2)
|
| | | | | — | | | | | | | — | | | | | | | 25,000 | | | | | | | 649,750 | | | |
| |
2017 RSU Award(3)
|
| | | | | 3,825 | | | | | | | 99,412 | | | | | | | — | | | | | | | — | | | |
| |
2017 Incentive Award(4)
|
| | | | | 13,100 | | | | | | | 340,469 | | | | | | | — | | | | | | | — | | | |
| |
2018 RSU Award(5)
|
| | | | | 4,857 | | | | | | | 126,233 | | | | | | | — | | | | | | | — | | | |
| |
2018 Incentive Award(10)
|
| | | | | 8,993 | | | | | | | 233,728 | | | | | | | — | | | | | | | — | | | |
| |
2019 RSU Award(6)
|
| | | | | 14,118 | | | | | | | 366,927 | | | | | | | | | | | | | | | | | |
| |
2019 PSA Award(7)
|
| | | | | — | | | | | | | — | | | | | | | 17,500 | | | | | | | 454,825 | | | |
| |
2020 RSU Award(8)
|
| | | | | 17,054 | | | | | | | 443,233 | | | | | | | — | | | | | | | — | | | |
| |
2020 PSA Award(9)
|
| | | | | — | | | | | | | — | | | | | | | 17,000 | | | | | | | 441,830 | | | |
| | John Holmes | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
2016 PSA Award(2)
|
| | | | | — | | | | | | | — | | | | | | | 25,000 | | | | | | | 649,750 | | | |
| |
2017 RSU Award(3)
|
| | | | | 3,825 | | | | | | | 99,412 | | | | | | | — | | | | | | | — | | | |
| |
2017 Incentive Award(4)
|
| | | | | 13,100 | | | | | | | 340,469 | | | | | | | — | | | | | | | — | | | |
| |
2018 RSU Award(5)
|
| | | | | 4,857 | | | | | | | 126,233 | | | | | | | — | | | | | | | — | | | |
| |
2018 Incentive Award(10)
|
| | | | | 17,986 | | | | | | | 467,456 | | | | | | | — | | | | | | | — | | | |
| |
2019 RSU Award(6)
|
| | | | | 17,313 | | | | | | | 449,965 | | | | | | | — | | | | | | | — | | | |
| |
2019 PSA Award(7)
|
| | | | | — | | | | | | | | | | | | | | 17,500 | | | | | | | 454,825 | | | |
| |
2020 RSU Award(8)
|
| | | | | 18,462 | | | | | | | 479,827 | | | | | | | — | | | | | | | — | | | |
| |
2020 PSA Award(9)
|
| | | | | — | | | | | | | — | | | | | | | 17,000 | | | | | | | 441,830 | | | |
| | Owen S. Littman | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| |
2016 PSA Award(2)
|
| | | | | — | | | | | | | — | | | | | | | 25,000 | | | | | | | 649,750 | | | |
| |
2017 RSU Award(3)
|
| | | | | 3,825 | | | | | | | 99,412 | | | | | | | — | | | | | | | — | | | |
| |
2017 Incentive Award(4)
|
| | | | | 13,100 | | | | | | | 340,469 | | | | | | | — | | | | | | | — | | | |
| |
2018 RSU Award(5)
|
| | | | | 4,857 | | | | | | | 126,233 | | | | | | | — | | | | | | | — | | | |
| |
2018 Incentive Award(10)
|
| | | | | 8,993 | | | | | | | 233,728 | | | | | | | — | | | | | | | — | | | |
| |
2019 RSU Award(6)
|
| | | | | 15,714 | | | | | | | 408,407 | | | | | | | | | | | | | | | | | |
| |
2019 PSA Award(7)
|
| | | | | — | | | | | | | — | | | | | | | 17,500 | | | | | | | 454,825 | | | |
| |
2020 RSU Award(8)
|
| | | | | 17,054 | | | | | | | 443,233 | | | | | | | | | | | | | | | | | |
| |
2020 PSA Award(9)
|
| | | | | — | | | | | | | — | | | | | | | 17,000 | | | | | | | 441,830 | | | |
| |
Name
|
| | |
Number of
Shares Acquired on Vesting |
| | |
Value Realized
on Vesting ($)(1) |
| | ||||||
| |
Jeffrey M. Solomon
|
| | | | | 116,712 | | | | | | | 1,850,854 | | | |
| |
Stephen A. Lasota
|
| | | | | 34,305 | | | | | | | 510,619 | | | |
| |
John Holmes
|
| | | | | 35,039 | | | | | | | 521,833 | | | |
| |
Owen S. Littman
|
| | | | | 34,572 | | | | | | | 513,762 | | | |
| | | | | | | | | | | | | | | | |
Triggering Events
|
| | ||||||||||||||||||||||||
| |
Name
|
| | |
Type of Payment
|
| | |
Voluntary
Termination ($) |
| | |
Involuntary
Termination ($) |
| | |
Involuntary
Termination in Connection with a Change in Control(4)(5) ($) |
| | |
Death
($) |
| | |
Disability
($) |
| | |||||||||||||||
| |
Jeffrey M. Solomon
|
| | | Cash Severance(1) | | | | | | — | | | | | | | 18,285,858 | | | | | | | 22,835,858 | | | | | | | 9,755,659 | | | | | | | 9,755,659 | | | |
|
Equity Acceleration(2)
|
| | | | | — | | | | | | | 9,563,332 | | | | | | | 9,563,332 | | | | | | | 9,563,332 | | | | | | | 9,563,332 | | | | |||||
| Total | | | | | | — | | | | | | | 27,849,190 | | | | | | | 32,399,190 | | | | | | | 19,318,991 | | | | | | | 19,318,991 | | | | |||||
| |
Stephen A. Lasota
|
| | | Cash Severance(3) | | | | | | — | | | | | | | 4,696,473 | | | | | | | 7,146,473 | | | | | | | 3,196,473 | | | | | | | 3,196,473 | | | |
|
Equity Acceleration(2)
|
| | | | | — | | | | | | | 3,156,407 | | | | | | | 3,156,407 | | | | | | | 3,156,407 | | | | | | | 3,156,407 | | | | |||||
| Total | | | | | | — | | | | | | | 7,852,880 | | | | | | | 10,302,880 | | | | | | | 6,352,880 | | | | | | | 6,352,880 | | | | |||||
| |
John Holmes
|
| | | Cash Severance(3) | | | | | | — | | | | | | | 4,964,042 | | | | | | | 7,564,042 | | | | | | | 3,464,042 | | | | | | | 3,464,042 | | | |
|
Equity Acceleration(2)
|
| | | | | — | | | | | | | 3,509,768 | | | | | | | 3,509,768 | | | | | | | 3,509,768 | | | | | | | 3,509,768 | | | | |||||
| Total | | | | | | — | | | | | | | 8,473,810 | | | | | | | 11,073,810 | | | | | | | 6,973,810 | | | | | | | 6,973,810 | | | | |||||
| |
Owen S. Littman
|
| | | Cash Severance(3) | | | | | | — | | | | | | | 4,798,773 | | | | | | | 7,298,773 | | | | | | | 3,298,773 | | | | | | | 3,298,773 | | | |
|
Equity Acceleration(2)
|
| | | | | — | | | | | | | 3,197,888 | | | | | | | 3,197,888 | | | | | | | 3,197,888 | | | | | | | 3,197,888 | | | | |||||
| Total | | | | | | — | | | | | | | 7,996,661 | | | | | | | 10.496,661 | | | | | | | 6,496,661 | | | | | | | 6,496,661 | | | |
| |
Beneficial Owner
|
| | |
Amount and Nature of
Beneficial Ownership |
| | |
Percent of Class
|
| | ||||||
| | Brett H. Barth | | | | | | 66,052(1) | | | | | | | * | | | |
| | Katherine E. Dietze | | | | | | 12,007(2) | | | | | | | * | | | |
| | Gregg A. Gonsalves | | | | | | —(3) | | | | | | | * | | | |
| | Steven Kotler | | | | | | 2,500(4) | | | | | | | * | | | |
| | Lawrence E. Leibowitz | | | | | | 8,000(5) | | | | | | | * | | | |
| | Margaret L. Poster | | | | | | —(6) | | | | | | | * | | | |
| | Douglas A. Rediker | | | | | | —(7) | | | | | | | * | | | |
| | Jeffrey M. Solomon | | | | | | 526,750 | | | | | | | 2.0% | | | |
| | John Holmes | | | | | | 157,387 | | | | | | | * | | | |
| | Stephen A. Lasota | | | | | | 201,083 | | | | | | | * | | | |
| | Owen S. Littman | | | | | | 152,124(8) | | | | | | | * | | | |
| |
All directors and executive officers
as a group (11 persons) |
| | | | | 1,125,903 | | | | | | | 4.2% | | | |
| |
Name and Address of Beneficial Owner
|
| | |
Amount and Nature of
Beneficial Ownership |
| | |
Percent of Class
|
| | ||||||
| |
FMR LLC(1)
245 Summer Street Boston, MA 02210 |
| | | | | 2,994,518 | | | | | | | 11.15% | | | |
| |
BlackRock, Inc.(2)
55 East 52nd Street New York, NY 10055 |
| | | | | 2,680,545 | | | | | | | 9.98% | | | |
| |
The Vanguard Group(3)
100 Vanguard Boulevard Malvern, PA 19355 |
| | | | | 1,671,090 | | | | | | | 6.22% | | | |
| |
Arbiter Partners Capital Management LLC(4)
530 Fifth Avenue, 20th Floor New York, NY 10036 |
| | | | | 1,456,873 | | | | | | | 5.42% | | | |
| |
Dimensional Fund Advisors LP(5)
6300 Bee Cave Road, Building One Austin, TX 78746 |
| | | | | 1,364,007 | | | | | | | 5.08% | | | |
| | | | | |
2020
|
| | |
2019
|
| | ||||||
| |
Audit Fees(1)
|
| | | | $ | 5,653,283 | | | | | | $ | 5,222,917 | | | |
| |
Audit-Related Fees(2)
|
| | | | | 47,274 | | | | | | | 44,038 | | | |
| |
Tax Fees(3)
|
| | | | | 1,143,687 | | | | | | | 1,270,915 | | | |
| |
All Other Fees(4)
|
| | | | | 86,100 | | | | | | | — | | | |
| |
Total
|
| | | | | 6,930,345 | | | | | | $ | 6,537,870 | | | |
| |
PROPOSAL 3
|
| |
RATIFICATION OF THE SELECTION OF OUR INDEPENDENT PUBLIC ACCOUNTANT
☑
The Board recommends a vote “FOR” ratification of the selection of KPMG LLP as our independent registered public accounting firm for 2021
|
| |
| |
PROPOSAL 4
|
| |
APPROVAL OF AN INCREASE IN THE SHARES AVAILABLE FOR ISSUANCE UNDER THE 2020 EQUITY INCENTIVE PLAN
☑
The Board recommends a vote “FOR” approval of the increase in shares available for issuance under the 2020 Equity Incentive Plan.
|
| |
| |
PROPOSAL 5
|
| |
THE STOCKHOLDER PROPOSAL
☒
The Board recommends a vote “AGAINST” the stockholder proposal
|
| |
| |
WHAT VOTE IS REQUIRED AND HOW WILL MY VOTES BE COUNTED?
|
| | ||||||||||||
| | | | | |
Board’s
Recommendation |
| | |
Vote Required to Adopt Proposal
|
| | |
Effect if I do
not specify how I want my shares voted* |
| |
| |
PROPOSAL 1:
|
| | |
FOR
|
| | |
The eight nominees for director will be elected by an affirmative vote of a majority of the votes cast by holders of our Class A common stock present online or by proxy and entitled to vote on the proposal at the Annual Meeting.
|
| | |
FOR
|
| |
| | Election of Directors | | | ||||||||||||
| |
PROPOSAL 2:
|
| | |
FOR
|
| | |
If the advisory vote on the compensation of our named executive officers included in this proxy statement receives more votes “for” than “against,” then it will be deemed to be approved.
|
| | |
FOR
|
| |
| | Advisory Vote on Named Executive Officer Compensation | | | ||||||||||||
| |
PROPOSAL 3:
|
| | |
FOR
|
| | |
To be approved by our stockholders, this proposal requires the affirmative vote of a majority of the votes cast by holders of our Class A common stock present online or by proxy and entitled to vote on the proposal at the Annual Meeting.
|
| | |
FOR
|
| |
| | Ratification of the Selection of Our Independent Public Accountant | | | ||||||||||||
| |
PROPOSAL 4:
|
| | |
FOR
|
| | |
To be approved by our stockholders, this proposal requires the affirmative vote of a majority of the votes cast by holders of our Class A common stock present online or by proxy and entitled to vote on the proposal at the Annual Meeting.
|
| | |
FOR
|
| |
| | Approval of the Increase in the Shares Available for Issuance Under the 2020 Equity Incentive Plan | | | ||||||||||||
| |
PROPOSAL 5:
|
| | |
AGAINST
|
| | |
To be approved by our stockholders, this non-binding proposal requires the affirmative vote of a majority of the votes cast by holders of our Class A common stock present online or by proxy and entitled to vote on the proposal at the Annual Meeting.
|
| | |
AGAINST
|
| |
| | The Stockholder Proposal | | |