8-KShareholder Matters

APPLIED MATERIALS INC /DE 8-K Report, Shareholder Vote Results (Mar 13, 2023)

Filed March 13, 2023For Securities:AMAT

Summary

This 8-K filing reports on the results of Applied Materials, Inc.'s (AMAT) Annual Meeting of Shareholders held on March 9, 2023. The key outcomes include the overwhelming election of all ten director nominees, with strong support across the board. Shareholders also approved, on an advisory basis, the compensation of the company's Named Executive Officers for Fiscal Year 2022, though with a notable percentage of 'Against' votes. The meeting also saw shareholders express a preference for an annual advisory vote on executive compensation. A significant development was the approval of a shareholder proposal requesting the Board to consider enabling owners of 10% of outstanding common stock to call a special shareholder meeting. This proposal received a majority of 'For' votes, indicating shareholder desire for increased responsiveness. Conversely, a shareholder proposal seeking to incorporate the CEO pay ratio into executive compensation policies was not approved.

Key Highlights

  • 1All ten director nominees were overwhelmingly elected for a one-year term.
  • 2Shareholders approved, on an advisory basis, the compensation of Named Executive Officers for FY2022, although a significant portion voted against it.
  • 3Shareholders favored holding an advisory vote on executive compensation on an annual basis.
  • 4The appointment of KPMG LLP as the independent registered public accounting firm for FY2023 was ratified.
  • 5A shareholder proposal allowing owners of 10% of common stock to call a special meeting was approved by shareholders and will be considered by the Board.
  • 6A shareholder proposal to include the CEO pay ratio in executive compensation policies was not approved.

Frequently Asked Questions

Shareholders overwhelmingly supported all ten director nominees, with 'For' votes significantly outweighing 'Against' and 'Abstain' votes for each individual. This indicates strong confidence in the current board composition.

Shareholders approved the executive compensation for Fiscal Year 2022 on an advisory basis, but with a notable percentage (approximately 9.5%) voting against it. This suggests some level of shareholder concern or dissatisfaction with executive pay, despite the overall approval.

The approval of the proposal allowing shareholders holding 10% of common stock to call a special meeting is significant as it grants more power to shareholders to initiate urgent discussions or actions outside of regular annual meetings. The Board of Directors will now consider implementing this proposal.

No, the shareholder proposal to include the CEO pay ratio factor in the executive compensation program and policy was not approved by shareholders.