Moog Proxy - FY2022 - Host - Flipbook - Page 21
In developing his recommendations for base salary increases and adjustments for the calendar year for the NEOs, other than
himself, in 2022, the CEO was also guided by the pay increases made across other Moog sites worldwide. The following table
shows the 2022 and 2021 calendar year annual base salaries and corresponding percentage increase:
Calendar Year Base Salary ($)
Name
2022
John R. Scannell
$
2021
1,049,922 $
Increase (%)
1,019,346
3%
Jennifer Walter
561,808
530,005
6%
Patrick J. Roche(1)
625,000
508,794
23 %
Mark J. Trabert
519,064
503,942
3%
Maureen M. Athoe
496,309
481,853
3%
(1) Mr. Roche's increase reflects his promotion to Executive Vice President, Chief Operating Officer.
Short Term Incentive (STI)
Annual bonuses paid to senior executives are developed in accordance with the revised STI plan introduced in fiscal 2022. For
the over 400 participants within this group, payments under the STI plan are paid based on the Company's performance against
annual EPS and FCF targets. EPS is defined as reported net earnings divided by diluted average common shares outstanding.
FCF is defined as net cash provided by operating activities less cash flows from investing activities related to the purchase of
property, plant and equipment.
The following table shows each of the two performance target ranges:
Weighting
(%)
Performance Goal
Threshold
($)
Target
($)
Maximum
($)
Adjusted EPS
75 % $
3.44 $
4.91 $
6.38
Adjusted FCF (in millions)
25 % $
80 $
159 $
239
The objective of the STI plan is to reward our executives for improvements in our operating performance. On occasion, there
may be non-operating events which significantly influence our EPS or FCF reported in accordance with generally accepted
accounting principles ("GAAP"). These non-operating events are not representative of the underlying performance of the
business and could have a large positive or large negative impact on STI payments. Therefore, the Company reviews these nonoperating events each fiscal year and may adjust for these impacts when setting targets and measuring performance to ensure
the actual STI reflects the underlying operating performance. STI objectives are not modified during the year once they have
been set.
On-target payouts vary based on a participant's responsibilities and are set as a percentage of base salary. During fiscal 2022,
the CEO was eligible to receive an on-target STI bonus of 80% of base salary and the other NEOs were eligible to receive an ontarget STI bonus of 45% of base salary. Performance at or below threshold would result in no payout and performance at or
above maximum would be capped at two times the on-target percentage payout.
Actual total Company results and actual STI payouts for fiscal 2022 were as follows:
Actual
($)
CEO
Performance
(%)
Weighting
(%)
STI Factor
(%)
Target Payout
(% of base
salary)
Payout
(% of base
salary)
Adjusted EPS
$
5.56
144 %
75 %
108.2 %
80 %
86.5 %
Adjusted FCF (in millions)
$
7
—%
25 %
—%
80 %
—%
Actual
($)
NEO (other then CEO)
Performance
(%)
Weighting
(%)
STI Factor
(%)
Target Payout
(% of base
salary)
Payout
(% of base
salary)
Adjusted EPS
$
5.56
144 %
75 %
108.2 %
45 %
48.7 %
Adjusted FCF (in millions)
$
7
—%
25 %
—%
45 %
—%
19