SEC Filings

DEF 14A
AECOM filed this Form DEF 14A on 01/23/2019
Entire Document
 

Table of Contents

PERFORMANCE EARNINGS PROGRAM — 2018 ACTUAL ACHIEVEMENTS AND PAYOUTS

Fiscal Years 2016-2018 (PEP2016)

AECOM's PEP2016 had two one-year performance periods, the second of which ended in fiscal year 2017. Performance was measured with a 50% emphasis on adjusted EPS and a 50% emphasis on free cash flow ("FCF") per share. Given AECOM's achievement of the PEP2016 goals as disclosed in our prior Proxy Statements, NEOs received PEP2016 payouts at 125% of the target award amounts. Although the performance period for PEP2016 ended at the end of fiscal year 2017, continued employment through December 15, 2018 was required before the PEP2016 awards became vested.

Fiscal Years 2017-2019 (PEP2017)

AECOM's PEP2017 has three one-year performance periods for its financial metrics with a 37.5% weighting for adjusted EPS, a 37.5% weighting for free cash flow per share and a 25% weighting for a three-year performance period ending December 14, 2019 for its relative TSR metric. As of September 30, 2018, PEP2017 is estimated to earn 83.7% based on the actual year 1 (fiscal year 2017) and year 2 (fiscal year 2018) financial and relative TSR performance and assuming financial performance at target for year 3 (fiscal year 2019). Details on year 2 (fiscal year 2018) financial and cumulative (fiscal years 2017 - 2018) relative TSR performance are as follows:

Year 2 (Fiscal Year 2018)
   
  Threshold
   
  Target
   
  Maximum
   
  Actual*
   
  Actual %
   
  Actual
Payout (%)

 

Adjusted EPS Growth1

        (5.0 )%     2.0%-5.0%         10.0 %     $ 2.44         –5.4% 1       0 %

FCF Per Share Growth2

        (5.0 )%     2.0%-5.0%         10.0 %     $ 3.93         43.4% 2       200 %

 

Fiscal Year 2017-2019
   
  Threshold
   
  Target
   
  Maximum
   
  Actual
   
  Estimated
Payout

 

Total Stockholder Return

        25 %       50 %       75 %       N/A         0 %
    *
    See Annex B, Reconciliation of Non-GAAP Items.
    1
    Calculated from $2.58 in fiscal year 2017.
    2
    Calculated from $2.74 which was 200% of Target in fiscal year 2017.

Fiscal Years 2018-2020 (PEP2018)

AECOM's PEP2018 has three one-year performance periods for its financial metrics with a 37.5% weighting for adjusted EPS, a 37.5% weighting for free cash flow per share and a 25% weighting for a three-year performance period ending December 14, 2020 for its relative TSR metric. As of September 30, 2018, PEP2018 is estimated to earn 86.4% based on the actual year 1 (fiscal year 2018) financial and relative TSR performance as disclosed below and assuming financial performance at target for years 2 (fiscal year 2019) and 3 (fiscal year 2020).

Year 1 (Fiscal Year 2018)
   
  Threshold
   
  Target
   
  Maximum
   
  Actual*
   
  Actual
Payout (%)

 

Adjusted EPS

      $ 2.43       $2.65-$2.75       $ 2.84       $ 2.63         90.9 %

FCF Per Share

      $ 2.19       $2.38-$2.48       $ 2.55       $ 4.24         200 %

 

Fiscal Year 2018-2020
   
  Threshold
   
  Target
   
  Maximum
   
  Actual
   
  Estimated
Payout

 

Total Stockholder Return

        25 %       50 %       75 %       N/A         0 %
    *
    See Annex B, Reconciliation of Non-GAAP Items.

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