Summary
Dominion Energy, Inc. (D) filed an 8-K on February 2, 2022, detailing its 2022 executive compensation plans. The Compensation and Talent Development Committee approved both the 2022 Annual Incentive Plan and the 2022 Long-Term Incentive Program. These plans outline performance-based cash awards for officers under the annual plan and a mix of restricted stock and performance grants for the long-term program. The annual incentive plan is funded based on consolidated financial operating earnings goals, with potential funding between 0% and 200% of target. Payouts are contingent on achieving these financial goals, as well as operational, safety, diversity, inclusion, and environmental objectives. The long-term incentive program, designed to align executive pay with shareholder value and strategic goals, consists of restricted stock (40%) with a three-year cliff vesting period and a performance grant (60%). The performance grant's payout is tied to total shareholder return (TSR) relative to peers, cumulative operating earnings per share, and non-carbon emitting generation capacity, with a three-year performance period ending December 31, 2024.
Key Highlights
- 1Dominion Energy approved its 2022 Annual Incentive Plan, providing performance-based cash awards for officers.
- 2The 2022 Annual Incentive Plan's funding is tied to consolidated financial operating earnings, with a range from 0% to 200% of target.
- 3Payouts for the annual plan can be adjusted based on operating, safety, diversity, inclusion, and environmental goals.
- 4The 2022 Long-Term Incentive Program combines restricted stock (40%) and performance grants (60%) for officers.
- 5Restricted stock under the long-term program has a three-year cliff vesting period.
- 6The performance grant payout is based on a three-year performance period (ending Dec 31, 2024) and measured against TSR relative to peers (50%), EPS (40%), and non-carbon emitting generation capacity (10%).