|
Dear Fellow Shareholders:
On behalf of the Board of Trustees and employees of Eversource Energy, it is my pleasure to invite you to attend the 2025 Annual Meeting of Shareholders of Eversource Energy.
In 2024, Eversource’s dedicated and engaged employees again provided safe, reliable energy and water service, top-class customer service, and focused storm response to our 4.6 million customers. We invested more than $4.6 billion into our core businesses in 2024 to improve our already strong reliability and customer service, harden our systems against the impact of extreme weather, and enable additional clean energy resources to connect to the grid. We completed the sale of our offshore wind assets, enhancing our balance sheet and reducing corporate risk. And we completed the Phase II divestiture process for our water distribution business, leading to the execution in January 2025 of a definitive agreement to sell Aquarion Water Company. These initiatives are positioning the Company to move forward as a pure-play electric and natural gas utility company with considerable and attractive opportunities for investment.
|
| |
![]() |
|
| DATE: | | | Thursday, May 1, 2025 | |
| TIME: | | | 10:30 a.m. Eastern Time | |
| PLACE: | | |
Ropes & Gray LLP, 800 Boylston Street, Boston, Massachusetts 02199
|
|
| |
Important Notice Regarding the Availability of Proxy Statement Materials for the Annual Meeting of Shareholders to be held on May 1, 2025. The Proxy Statement for the Annual Meeting of Shareholders to be held on May 1, 2025 and the 2024 Annual Report are available on the Internet at www.envisionreports.com/ES
|
| |
| | | | | 1 | | | |
| | | | | 1 | | | |
| | | | | 3 | | | |
| | | | | 3 | | | |
| | | | | 4 | | | |
| Item 1: Election of Trustees | | | |
|
| | |
| | | | | 13 | | | |
| | | | | 13 | | | |
| | | | | 13 | | | |
| | | | | 14 | | | |
| | | | | 16 | | | |
| | | | | 17 | | | |
| | | | | 20 | | | |
| | | | | 20 | | | |
| | | | | 21 | | | |
| | | | | 22 | | | |
| | | | | 23 | | | |
| | | | | 23 | | | |
| | | | | 29 | | | |
| | | | | 30 | | | |
| | | | | 30 | | | |
| | | | | 31 | | | |
| | | | | 32 | | | |
| | | | | 32 | | | |
| | | | | 33 | | | |
| | | | | 33 | | | |
| | | | | 34 | | | |
| | | | | 35 | | | |
| | | | | 37 | | | |
| | | | | 37 | | | |
| | | | | 41 | | | |
| | | | | 41 | | | |
| | | | | 42 | | | |
| | | | | 42 | | | |
| | | | | 43 | | | |
| | | | | 44 | | | |
| | | | | 45 | | | |
| | | | | 45 | | | |
| | | | | 46 | | | |
| | | | | 46 | | |
| | | | | 55 | | | |
| | | | | 59 | | | |
| | | | | 59 | | | |
| | | | | 59 | | | |
| | | | | 60 | | | |
| | | | | 60 | | | |
| | | | | 61 | | | |
| | | | | 61 | | | |
| | | | | 61 | | | |
| | | | | 62 | | | |
| | | | | 62 | | | |
| | | | | 64 | | | |
| | | | | 65 | | | |
| | | | | 66 | | | |
| | | | | 66 | | | |
| | | | | 68 | | | |
| | | | | 68 | | | |
| | | | | 71 | | | |
| | | | | 71 | | | |
| | | | | 77 | | | |
| | | | | 78 | | | |
| | | |
|
| | ||
| | | | | 80 | | | |
| | | | | 81 | | | |
| | | |
|
| | ||
| | | |
|
| | ||
| | | | | 87 | | | |
| | | | | 87 | | | |
| | | | | 87 | | | |
| | | | | 88 | | | |
| Appendix A | | | |
|
| |
| |
Annual Meeting of Shareholders
|
| | |||
| |
Time and Date:
|
| |
10:30 a.m., Eastern Time, on Thursday, May 1, 2025
|
| |
| | Location: | | |
Ropes & Gray LLP, 800 Boylston Street, Boston, MA 02199
|
| |
| |
Record Date:
|
| | March 4, 2025 | | |
| | | | | | | | | | | | | | | | | | | | | |
Board Committees
|
| |||||||||||||||||||||||||||
|
Trustee
|
| |
Age
|
| |
Trustee
Since |
| |
Independent
|
| |
Audit
|
| |
Compensation
|
| |
Governance,
Environmental and Social Responsibility |
| |
Executive
|
| |
Finance
|
| ||||||||||||||||||||||||
| Cotton M. Cleveland | | | | | 72 | | | | | | 1992 | | | | | | Y | | | | | | | | | | | | | | | | | | C | | | | | | M | | | | | | M | | |
| Linda Dorcena Forry | | | | | 51 | | | | | | 2018 | | | | | | Y | | | | | | M | | | | | | | | | | | | M | | | | | | | | | | | | | | |
| Gregory M. Jones | | | | | 67 | | | | | | 2020 | | | | | | Y | | | | | | M | | | | | | | | | | | | M | | | | | | | | | | | | | | |
| Loretta D. Keane | | | | | 66 | | | | | | 2023 | | | | | | Y | | | | | | C | | | | | | | | | | | | | | | | | | M | | | | | | M | | |
| John Y. Kim | | | | | 64 | | | | | | 2018 | | | | | | Y | | | | | | | | | | | | M | | | | | | | | | | | | M | | | | | | C | | |
| David H. Long | | | | | 64 | | | | | | 2019 | | | | | | Y | | | | | | | | | | | | M | | | | | | M | | | | | | | | | | | | | | |
| Joseph R. Nolan, Jr. | | | | | 61 | | | | | | 2021 | | | | | | N | | | | | | | | | | | | | | | | | | | | | | | | C | | | | | | | | |
| Daniel J. Nova | | | | | 63 | | | | | | 2023 | | | | | | Y | | | | | | | | | | | | C | | | | | | | | | | | | M | | | | | | M | | |
| Frederica M. Williams | | | | | 66 | | | | | | 2012 | | | | | | Y | | | | | | M | | | | | | M | | | | | | | | | | | | | | | | | | | | |
| |
The Board of Trustees recommends that shareholders vote FOR Items 1, 2, 3 and 4.
|
| |
| |
The Board of Trustees recommends that shareholders vote AGAINST Item 5.
|
| |
| |
The Board of Trustees recommends that shareholders vote FOR the election of the nominees listed below.
|
| |
| |
Trustees should possess the highest personal and professional ethics, integrity and values, and be committed to representing the long-term interests of our shareholders. They must also have an inquisitive and objective perspective, practical wisdom and mature judgment. The Board should represent diverse experience at policy-making levels in business, government, education, community and charitable organizations, as well as areas that are relevant to our business activities. The Governance, Environmental and Social Responsibility Committee also seeks diversity in personal background when considering Trustee candidates.
|
| |
| |
Members:
Loretta D. Keane, Chair
Linda Dorcena Forry Gregory M. Jones Frederica M. Williams |
| | |
The Audit Committee is responsible for oversight of the Company’s financial statements, the internal audit function, and compliance by the Company with legal and regulatory requirements. The Committee also oversees:
•
The appointment, compensation, retention and oversight of our independent registered public accounting firm.
•
The independent registered public accounting firm’s qualifications, performance and independence, as well as the performance of our internal audit function.
•
The review of guidelines and policies that govern management’s processes in assessing, monitoring and mitigating major financial risk exposures.
•
Financial reporting and review of accounting standards and systems of internal control.
•
Significant accounting policies, management judgments and accounting estimates, and earnings releases.
•
All matters that may have a material impact on the financial statements or the Company’s compliance policies and practices.
The Audit Committee has sole authority to appoint or replace the independent registered public accounting firm (for which it seeks shareholder ratification), and to approve all audit engagement fees and terms.
The Committee meets independently with the internal audit staff, the independent registered public accounting firm, management, and then solely as a Committee, at least quarterly. Following each Committee meeting, the Audit Committee reports to the full Board. The Audit Committee met six times during 2024, including the annual joint meeting with the Finance Committee.
Additional information regarding the Audit Committee is contained in Item 3 of this proxy statement beginning on page 80.
Financial Expertise: Each member of the Audit Committee meets the financial literacy requirements of the SEC, the New York Stock Exchange (NYSE) and our Corporate Governance Guidelines. The Board has affirmatively determined that Ms. Keane is an “audit committee financial expert,” as defined by the SEC.
Independence: The Board has determined that each member of the Audit Committee meets the independence requirements of the SEC, the NYSE and our Corporate Governance Guidelines.
|
| |
| |
Members:
Daniel J. Nova, Chair
John Y. Kim David H. Long Frederica M. Williams |
| | |
The Compensation Committee is responsible for the compensation and benefit programs for all executive officers of Eversource Energy and has overall authority to establish and interpret our executive compensation programs. The Compensation Committee also:
•
Reviews our executive compensation strategy, evaluates components of total compensation, assesses performance against goals, market competitive data and other appropriate factors, and makes compensation-related decisions based upon Company and executive performance.
•
Reviews and recommends to the Board of Trustees the compensation of the non-employee members of the Board.
•
Reviews and approves corporate goals and objectives relevant to the Chief Executive Officer’s compensation and subject to the further review and approval of the independent Trustees, evaluates the performance of the Chief Executive Officer in light of those goals and objectives.
•
In collaboration with the Chief Executive Officer, oversees the evaluation of executive officers and engages in the succession planning process for the Chief Executive Officer and other executives.
•
Has the sole authority to select and retain experts and consultants in the field of executive compensation to provide advice to the Committee with respect to market data, competitive information, and executive compensation trends; retains an independent compensation consulting firm to provide compensation consulting services solely to the Compensation Committee.
Following each Committee meeting, the Compensation Committee reports to the full Board. The Compensation Committee met four times during 2024.
For additional information regarding the Compensation Committee, including the Committee’s processes for determining executive compensation, see the Compensation, Discussion and Analysis beginning on page 37.
Independence: The Board has affirmatively determined that each member of the Compensation Committee meets the independence requirements of the SEC, the NYSE and our Corporate Governance Guidelines.
|
| |
| |
Members:
Joseph R. Nolan, Jr., Chair
Cotton M. Cleveland Loretta D. Keane John Y. Kim Daniel J. Nova |
| | |
The Executive Committee is empowered to exercise all the authority of the Board, subject to certain limitations set forth in our Declaration of Trust, during the intervals between meetings of the Board.
Following each Committee meeting, the Executive Committee reports to the full Board. The Executive Committee met two times in 2024.
Independence: Except for Mr. Nolan, who is the Company’s Chairman of the Board, President and Chief Executive Officer, each member of the Executive Committee is independent.
|
| |
| |
Members:
John Y. Kim, Chair
Cotton M. Cleveland Loretta D. Keane Daniel J. Nova |
| | |
The Finance Committee assists the Board in fulfilling its oversight responsibilities relating to financial plans, policies and programs for Eversource Energy and its subsidiaries. The Finance Committee also:
•
Reviews the Company’s plans and actions to assure liquidity; its financial goals and proposed financing programs modifying the Company’s capital structure; its financing programs, including but not limited to the issuance and repurchase of common and preferred shares, long-term and short-term debt securities and the issuance of guarantees; and its operating plans, budgets and capital expenditure forecasts.
•
Reviews the Company’s Enterprise Risk Management (ERM) program and in conjunction with other Committees of the Board, practices to monitor and mitigate cyber, physical security, artificial intelligence and other risk exposures.
•
Reviews and recommends the Company’s dividend policy, as well as new business ventures and initiatives which may result in substantial expenditures, commitments and exposures.
•
Conducts an annual review of counter-party credit policy, insurance coverages and pension plan performance.
Following each Committee meeting, the Finance Committee reports to the full Board. The Finance Committee met five times during 2024, including the annual joint meeting with the Audit Committee.
Independence: While the Committee is not subject to the same independence requirements of the Audit, Compensation and Governance, Environmental and Social Responsibility Committees, the Board has affirmatively determined that each member of the Finance Committee is independent.
|
| |
| |
Members:
Cotton M. Cleveland, Chair
Linda Dorcena Forry Gregory M. Jones David H. Long |
| | |
The Governance, Environmental and Social Responsibility Committee is responsible for developing, overseeing and regularly reviewing our Corporate Governance Guidelines and related policies. The Governance, Environmental and Social Responsibility Committee also:
•
Serves as a nominating committee, establishing criteria for new Trustees and identifying and recommending prospective Board candidates and the appointment of Trustees to Board Committees.
•
Annually reviews the independence and qualifications of the Trustees and recommends to the Board appointments of the Committee members, the Lead Independent Trustee, and the Executive Chairman of the Board and the election of officers of the Company.
•
Annually evaluates the performance of the Board and its Committees.
•
Annually reviews the charters of the Board Committees.
•
Oversees the Company’s climate, environmental, human capital management and social responsibility strategy, programs, policies, risks, targets and performance, as well as related public reporting, in coordination with other Committees or the Board as necessary or appropriate.
Following each Committee meeting, the Governance, Environmental and Social Responsibility Committee reports to the full Board. The Governance, Environmental and Social Responsibility Committee met four times in 2024.
Independence: The Board has affirmatively determined that each member of the Governance, Environmental and Social Responsibility Committee meets the independence requirements of the SEC, the NYSE and our Corporate Governance Guidelines.
|
| |
|
Name and Address of Beneficial Owner
|
| |
Amount and Nature of
Beneficial Ownership |
| |
Percent of Class
|
| ||||||
|
The Vanguard Group, Inc.
100 Vanguard Blvd. Malvern, Pennsylvania 19355 |
| | | | 44,609,716(1) | | | | | | 12.18%(1) | | |
|
BlackRock, Inc.
55 East 52nd Street New York, New York 10055 |
| | | | 38,003,921(2) | | | | | | 10.58%(2) | | |
|
State Street Corporation
State Street Financial Center One Lincoln Street Boston, Massachusetts 02111 |
| | | | 26,605,659(3) | | | | | | 7.26%(3) | | |
|
Name of Beneficial Owner
|
| |
Amount and Nature of
Beneficial Ownership(1)(2) |
| |||
| Gregory B. Butler | | | | | 81,868(3) | | |
| Paul Chodak III | | | | | 36,134 | | |
| Cotton M. Cleveland | | | | | 83,587 | | |
| Linda Dorcena Forry | | | | | 10,994 | | |
| Gregory M. Jones | | | | | 13,833 | | |
| Loretta D. Keane | | | | | 8,059 | | |
| John Y. Kim | | | | | 34,820(4) | | |
| David H. Long | | | | | 15,988 | | |
| John M. Moreira | | | | | 44,273(3) | | |
| Joseph R. Nolan, Jr. | | | | | 236,273(3) | | |
| Daniel J. Nova | | | | | 7,533(5) | | |
| Susan Sgroi | | | | | 12,350 | | |
| Frederica M. Williams | | | | | 24,221 | | |
| All Trustees and Executive Officers as a group (16 persons) | | | | | 704,757(6) | | |
|
Compensation Element
|
| |
Amount
|
|
| Annual Cash Retainer | | | $120,000 | |
| Annual Stock Retainer | | | $165,000 | |
| Board and Committee Attendance Fees | | | None | |
| Annual Lead Trustee Retainer | | | $35,000 | |
| Annual Committee Chair and Vice Chair Retainer | | |
$25,000 Audit Committee
$20,000 Compensation Committee $15,000 Governance, Environmental and Social Responsibility Committee $15,000 Finance Committee $7,500 Audit Committee Vice Chair |
|
|
Trustee
|
| |
Fees Earned
Or Paid in Cash ($)(1) |
| |
Stock Awards
($)(2) |
| |
Total
($) |
| |||||||||
| Cotton M. Cleveland | | | | $ | 135,000.00 | | | | | $ | 154,372.32 | | | | | $ | 289,372.32 | | |
| Francis A. Doyle(3) | | | | | 75,500.00 | | | | | | 154,372.32 | | | | | | 229,872.32 | | |
| Linda Dorcena Forry | | | | | 120,000.00 | | | | | | 154,372.32 | | | | | | 274,372.32 | | |
| Gregory M. Jones | | | | | 120,000.00 | | | | | | 154,372.32 | | | | | | 274,372.32 | | |
| Loretta D. Keane | | | | | 140,416.67 | | | | | | 154,372.32 | | | | | | 294,788.99 | | |
| John Y. Kim | | | | | 135,000.00 | | | | | | 154,372.32 | | | | | | 289,372.32 | | |
| Kenneth R. Leibler(3) | | | | | 60,000.00 | | | | | | 154,372.32 | | | | | | 214,372.32 | | |
| David H. Long | | | | | 120,000.00 | | | | | | 154,372.32 | | | | | | 274,372.32 | | |
| Daniel J. Nova | | | | | 156,666.66 | | | | | | 154,372.32 | | | | | | 311,038.98 | | |
| William C. Van Faasen(3) (4) | | | | | 175,000.00 | | | | | | 154,372.32 | | | | | | 329,372.32 | | |
| Frederica M. Williams | | | | | 120,000.00 | | | | | | 154,372.32 | | | | | | 274,372.32 | | |
|
➢
Summary of 2024 Accomplishments and Compensation
➢
Pay for Performance Philosophy
➢
Executive Compensation Governance
➢
Named Executive Officers
➢
Overview of Our Compensation Program
➢
Market Analysis
➢
Mix of Compensation Elements
➢
Results of 2024 Say on Pay Vote
➢
Elements of 2024 Compensation
➢
2024 Annual Incentive Program Assessment
|
| |
➢
Long-Term Incentive Program
➢
Clawback, No Hedging and No Pledging Policies
➢
Share Ownership Guidelines and Retention Requirements
➢
Other Benefits
➢
Contractual Agreements
➢
Tax and Accounting Considerations
➢
Equity Grant Practices
➢
Compensation Committee Report
➢
Risk Analysis of Executive Compensation Program
|
|
| |
Category
|
| | |
Highlights
|
| |
| |
Financial Performance
|
| | |
Earnings Per Share: 2024 GAAP earnings equaled $2.27 per share, compared to goal of $4.52 per share. 2024 Non-GAAP earnings equaled $4.57 per share, exceeding the earnings goal by $0.05 per share of $4.52 per share. Non-GAAP earnings exclude charges totaling $2.30 per share as described below and in Exhibit A(1)
|
| |
|
Dividend Growth: Increased dividend to $2.86 per share, a $0.16 increase and 5.9 percent growth over 2023
|
| | |||||
|
Strategic Initiatives: Eversource successfully advanced several strategic initiatives and produced positive regulatory outcomes in 2024:
|
| | |||||
|
•
Successfully completed divestiture of our offshore wind investments
•
Completed Phase II of the sale process for our Aquarion water distribution business. These efforts led to the execution in January 2025 of a definitive agreement to sell our Aquarion water distribution business
•
Opportunistic issuance of $1 billion of equity helps to improve our financial condition
•
Achieved constructive regulatory outcomes in Connecticut, Massachusetts and New Hampshire:
◦
Received approval by the Connecticut Public Utilities Regulatory Authority (PURA) of the Connecticut Rate Adjustment Mechanism (RAM) Order of $873 million plus the recovery of an additional $70 million for our electric vehicle charging program
◦
Successfully reached a settlement with the New Hampshire Public Utilities Commission (NHPUC) for $61.2 million in temporary rates
◦
Successfully implemented our storm cost recovery strategy by making regulatory filings and further advance existing filings in each jurisdiction including $806 million in Connecticut; $222 million in Massachusetts; and $232 million in New Hampshire
◦
Received approval from the Massachusetts Department of Public Utilities (DPU) of the Electric Sector Modernization Plan (ESMP) including incremental investments of $600 million and corresponding recovery in future proceedings
◦
Our first rate base roll-in for Eversource Gas Company of Massachusetts received DPU approval for $140 million in recovery as agreed upon in the 2020 Columbia Gas Company settlement agreement
◦
Successful recovery, with no disallowances, of our Massachusetts Gas Safety Enhancement Program (GSEP) investments with new rates effective on November 1, 2024
•
Purchased a 26-acre portion of the Mystic Generating Station in Everett, Massachusetts which offers multi-use interconnection points for large-scale renewable energy
•
Received approval to construct the first-of-its-kind underground transmission and distribution substation in Cambridge, Massachusetts
•
Received a favorable and constructive draft Management Audit Report from PURA’s independent consultant with no significant adverse findings
|
| |
| |
Operational Performance
|
| | |
Reliability Performance: Electric System Reliability – measured by months between interruptions – 21.2 months apart – top decile in our industry
|
| |
|
Restoration Performance: Average system outage duration was 63.5 minutes, which was top decile in our New England and Mid-Atlantic peers and top decile in the industry
|
| | |||||
|
Safety: Safety performance was 0.76, measured by days away, restricted or transferred (DART) per 100 workers – continued to improve year over year
|
| | |||||
|
Gas Emergency Response: On-time response was 98.1 percent which continued to exceed regulatory emergency response requirements
|
| | |||||
|
Enhancing the Customer Experience: The Company achieved significant success in our projects geared towards enhancing and improving all aspects of our customers’ experiences:
|
| | |||||
|
•
Technology planning and development for our Massachusetts Advanced Metering Infrastructure (AMI or smart meters) continued throughout 2024 and the Company is on track to begin implementing smart meter technology for customers in 2025
•
Continued to execute on our Emergency Response Communications Plan and Stakeholder Engagement Plan and have aligned with state agencies in the states we serve
•
Further enhanced our communication strategy to ensure stakeholders are aware of potential regional energy adequacy issues by conducting Energy Supply webinars for key stakeholders
•
Successfully completed our OMNI Phase II project in Massachusetts that has enabled two million of our electric and gas customers to be on a single customer information system – Eversource was honored by SAP’s User Group as “Utility of the Year” for our OMNI deployment
•
Significantly scaled decarbonization offerings for customers to support increased energy efficiency goals in Massachusetts and Connecticut
|
| | |||||
|
Clean Energy Execution: We successfully advanced our initiatives in supporting clean-energy projects:
|
| | |||||
|
•
Company was successful in qualifying for $89 million in federal funding from the U.S. Department of Energy for the Huntsbrook clean energy interconnection hub that will be constructed in Connecticut
•
Company marked the commissioning of our geothermal pilot in Framingham, Massachusetts; converted most participating customers’ homes to geothermal and we are one of 11 companies nationwide that will receive federal funding through a grant to explore the feasibility of expanding this pilot
•
Received approval of the Company’s first Massachusetts ESMP, which sets out a comprehensive set of upgrades to our Massachusetts electric distribution system consistent with the long-range clean energy and climate mandates of the state
•
Received approval of four additional distributed energy resources (DER) interconnection upgrades in Massachusetts
•
Advanced utility-owned solar and electric vehicle infrastructure projects in Connecticut, Massachusetts and New Hampshire
•
Continued strong progress to reduce operational emissions as part of our existing carbon neutrality goals, achieving a 10 percent reduction in operations (Scopes 1 and 2) GHG emissions from 2022 to 2023 and over 30 percent compared to our baseline year of 2018
•
Maintained a commitment to oversee the progression of onshore construction for our former divested offshore wind projects – onshore construction for Revolution Wind is ahead of the revised schedule and onshore construction for South Fork Wind was completed in the second quarter of 2024. Eversource received the New York Project of the Year Award from the Engineering News-Record for our work building the onshore infrastructure for South Fork Wind
|
| |
| | | | | |
Sustainability: Company fell short of our goal to achieve a sustainability ranking of 81 to 93 percent, with a combined end of year ranking of 73.8 percent. The decrease was related in part to the loss on the Company’s sale of the offshore wind investments
|
| |
| | | | | |
Diverse Leadership: Achieved our goal to continue with our successful drive to build a talent pipeline of people with diverse experiences and thought.
|
| |
| | | | | |
Employees: Developed workforce strategies as part of our annual business and workforce planning process to address immediate and long-term resource and leadership needs
|
| |
| |
Additional Accomplishments:
|
| | |
Continued to receive numerous awards recognizing Eversource as a leader in corporate responsibility, see page 54 for additional information
|
| |
|
What we DO :
|
|
|
What we DON’T do :
|
|
| | Alliant Energy Corporation | | | DTE Energy Company | | | PG&E Corporation | | |
| | Ameren Corporation | | | Edison International | | | PPL Corporation | | |
| | American Electric Power Co., Inc. | | | Entergy Corporation | | | Public Service Enterprise Group, Inc. | | |
| | CenterPoint Energy, Inc. | | | Evergy, Inc. | | | Sempra Energy. | | |
| | CMS Energy Corp. | | | Exelon Corporation | | | WEC Energy Group, Inc. | | |
| | Consolidated Edison, Inc. | | | FirstEnergy Corp. | | | Xcel Energy Inc. | | |
| | Dominion Energy, Inc. | | | NiSource, Inc. | | | | | |
| | | |
Percentage of TDC at Target
|
| | | | | | | |||||||||||||||||||||
| | | | | | | | | | | | | | | |
Long-Term Incentive Program
|
| | | | | | | |||||||||
| | | |
Base
Salary |
| |
Annual
Incentive(1) |
| |
Performance
Shares(1) |
| |
RSUs(2)
|
| |
TDC
|
| |||||||||||||||
|
CEO
|
| | | | 12% | | | | | | 17% | | | | | | 53% | | | | | | 18% | | | | | | 100% | | |
|
NEO average, excluding CEO
|
| | | | 26% | | | | | | 19% | | | | | | 41% | | | | | | 14% | | | | | | 100% | | |
|
Total Direct Compensation - CEO
|
| |
Total Direct Compensation
All other NEOs |
|
|
![]() |
| |
![]() |
|
|
Financial (70%)
|
| |
Operational (30%)
|
|
|
![]() |
| |
![]() |
|
|
Category
|
| |
2024 Goal
|
| |
Company Performance
|
| |
Assessment
|
|
| Earnings Per Share | | |
$4.52 earnings per share
|
| |
Achieved: While GAAP earnings per share equaled $2.27 per share, non-GAAP earnings, excluding costs noted on Exhibit A, amounted to $4.57 per share, a 5.3% increase over 2023 non-GAAP earnings. Please see page 47 of this proxy statement for additional information.
|
| |
75%
|
|
| Dividend Growth | | |
Increase dividend beyond industry average
|
| |
Achieved: Increased dividend to $2.86 per share, a $0.16 increase and 5.9% growth over 2023, exceeding the industry median increase of 5.1% and consistent with our long-range plan and management guidance. Please see page 48 of this proxy statement for additional information.
|
| |
160%
|
|
| Strategic Initiatives and Regulatory Outcomes | | |
Advancement of key strategic projects and regulatory outcomes
|
| |
Achieved: This goal consisted of seven separate initiatives: 1) Finalize the divestiture of offshore wind investments; 2) Develop plans and implement a cost recovery strategy across three states for $800 million in storm costs that are currently deferred, in addition to pursuing resolution for the recently filed storms in CT for $635 million; 3) Successfully execute regulatory initiatives in each state such as the PSNH and Aquarion rate cases, electric and gas capital tracker mechanisms and PBR/K-bar filings; 4) Continue to implement plans and strategies to improve the Connecticut political and regulatory environment, while strengthening Massachusetts and New Hampshire stakeholder relations; 5) Achieve four additional approvals and execute upon Massachusetts Distributed Energy Resource initiatives; 6) Continue to drive the opportunity to secure clean energy funding from available state and federal programs; and 7) Continue to take leadership positions in all of our regions to drive regulatory policy that benefits customers and stakeholders. A full description of the goal and the results of the goal are set forth on page 48 of this proxy statement.
|
| |
160%
|
|
| Weightings = Earnings Per Share – 60%; Dividend Growth – 10%; Strategic Growth Initiatives – 30% | |
|
Category
|
| |
2024 Goal
|
| |
Company Performance
|
| |
Assessment
|
|
| Reliability – Average Months Between Interruptions (MBI) | | |
MBI of within 17.7 to 19.7 months
|
| |
Exceeded: MBI = 21.2 months. At the top decile of the performance goal’s range and in the top decile of the industry peer group. Please see page 49 of this proxy statement for addition information.
|
| |
190%
|
|
| Average Restoration Duration (SAIDI) | | |
SAIDI of 62 to 74 minutes
|
| |
Achieved: SAIDI = 63.5 minutes. At the top level of the performance range, in the top decile of the industry group as measured by recognized industry standards. Please see page 49 of this proxy statement for additional information.
|
| |
185%
|
|
| Safety Rate (Days Away Restricted Time (DART)) | | |
0.85 – 1.30 DART
|
| |
Exceeded: 0.76 DART – Substantially better than the performance goal range and industry and improving year over year. Please see page 49 of this proxy statement for additional information.
|
| |
170%
|
|
|
Category
|
| |
2024 Goal
|
| |
Company Performance
|
| |
Assessment
|
|
| Gas Service Response | | |
96% – 98% on time responses
|
| |
Exceeded: 98.1% – Performance met or exceeded all regulatory requirements, and at the top of the level of the performance goal range. Please see page 50 of this proxy statement for additional information.
|
| |
175%
|
|
| Diverse Leadership | | |
Expand applicant talent pool
|
| |
Achieved: 43.7%. Please see page 50 of this proxy statement for additional information.
|
| |
100%
|
|
|
Sustainability Ranking
|
| |
81st – 93rd percentile vs. US peer companies
|
| |
Not achieved: Eversource performance slightly below the target goal partly relating to the loss on sale of offshore wind investments; the Company received numerous recognitions and awards acknowledging sustainability excellence in 2024. Please see page 50 of this proxy statement for additional information.
|
| |
70%
|
|
| Enhance the Customer Experience | | |
Success in advancing important customer initiatives
|
| |
Achieved: This goal consisted of seven separate initiatives: 1) Continued enhancement and efficient execution of the Emergency and Outage Response Plan and Stakeholder Communications Plans; 2) Implement a Communication Plan to ensure policymakers, customers and employees are aware of energy resource adequacy impacts; 3) Establish a Meter Data Sharing policies/platform and communicate customer options in an online portal; 4) Successfully advance the implementation of AMI and MDMS to improve customer information in MA; 5) Achieve milestones established for OMNI-MA Phase II including go-live for Western MA in Q1 and Eastern MA in Q2; 6) Expand the development of utility-owned solar and storage projects; and 7) Scale decarbonization offerings to support increased energy efficiency goals. A full description of the goal and its results are set forth on page 50 of this proxy statement.
|
| |
140%
|
|
|
Clean Energy Execution
|
| |
Execute important clean energy initiatives
|
| |
Achieved: This goal consisted of six separate initiatives: 1) Support on-going offshore wind project construction; 2) Successfully finalize and implement the MA ESMP to enable a transition to a clean energy future and support state goals; 3) Plan, develop and build transmission infrastructure to facilitate the interconnection of clean, renewable energy projects; 4) Expand the development of utility-owned solar and EV infrastructure; 5) Continue to empower the cross-functional team to finalize science-based targets to advance carbon neutrality objectives; and 6) Plan and execute natural gas opportunities to support decarbonization and position natural gas as a key part of the clean energy transition, and advancing geo-thermal and hydrogen opportunities. A full description of the goal and its results are set forth on page 51 of this proxy statement.
|
| |
150%
|
|
| Weightings = Reliability – 25%; Restoration – 25%; Safety, Gas Response, Diverse Leadership, Sustainability and Key Initiatives – 50% | |
| Financial Performance at 109% (weighted 70%) | | | | | 76% | | |
| Operational Performance at 161% (weighted 30%) | | | | | 49% | | |
| Overall Performance | | | | | 125% | | |
|
Named Executive Officer
|
| |
2024 Award
|
| |
2023 Award
|
| ||||||
| Joseph R. Nolan, Jr. | | | | $ | 2,450,000 | | | | | $ | 1,630,000 | | |
| John M. Moreira | | | | | 1,000,000 | | | | | | 564,000 | | |
| Paul Chodak III(1) | | | | | 850,000 | | | | | | — | | |
| Susan Sgroi(1) | | | | | 486,000 | | | | | | — | | |
| Gregory B. Butler | | | | | 600,000 | | | | | | 468,000 | | |
| |
Three-Year
Average EPS Growth |
| |
| |
10.0%
|
| |
| |
9.0%
|
| |
| |
8.0%
|
| |
| |
7.0%
|
| |
| |
6.0%
|
| |
| |
5.0%
|
| |
| |
4.0%
|
| |
| |
3.0%
|
| |
| |
2.0%
|
| |
| |
1.0%
|
| |
| |
0.0%
|
| |
| |
Below 0%
|
| |
| |
Three-Year Relative Total Shareholder Return Percentiles
|
| | |||||||||||||||||||||||||||
| |
Below
10th |
| |
20th
|
| |
30th
|
| |
40th
|
| |
50th
|
| |
60th
|
| |
70th
|
| |
80th
|
| |
90th
|
| |
Above
90th |
| |
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
180%
|
| |
190%
|
| |
200%
|
| |
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
180%
|
| |
190%
|
| |
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
180%
|
| |
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
| |
60%
|
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
| |
40%
|
| |
50%
|
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
| |
20%
|
| |
40%
|
| |
60%
|
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
| |
—
|
| |
10%
|
| |
40%
|
| |
60%
|
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
| |
—
|
| |
—
|
| |
20%
|
| |
30%
|
| |
50%
|
| |
60%
|
| |
80%
|
| |
80%
|
| |
100%
|
| |
110%
|
| |
| |
—
|
| |
—
|
| |
—
|
| |
10%
|
| |
20%
|
| |
30%
|
| |
40%
|
| |
50%
|
| |
60%
|
| |
70%
|
| |
| |
—
|
| |
—
|
| |
—
|
| |
—
|
| |
10%
|
| |
20%
|
| |
30%
|
| |
40%
|
| |
50%
|
| |
60%
|
| |
| |
Three-Year
Average EPS Growth |
| |
| |
10.0%
|
| |
| |
9.0%
|
| |
| |
8.0%
|
| |
| |
7.0%
|
| |
| |
6.0%
|
| |
| |
5.0%
|
| |
| |
4.0%
|
| |
| |
3.0%
|
| |
| |
2.0%
|
| |
| |
1.0%
|
| |
| |
0.0%
|
| |
| |
Below 0%
|
| |
| |
Three Year Relative Total Shareholder Return Percentiles
|
| | |||||||||||||||||||||||||||
| |
Below
10th |
| |
20th
|
| |
30th
|
| |
40th
|
| |
50th
|
| |
60th
|
| |
70th
|
| |
80th
|
| |
90th
|
| |
Above
90th |
| |
| |
100%
|
| |
110%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
180%
|
| |
190%
|
| |
200%
|
| |
| |
90%
|
| |
100%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
180%
|
| |
190%
|
| |
| |
80%
|
| |
90%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
180%
|
| |
| |
70%
|
| |
80%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
170%
|
| |
| |
60%
|
| |
70%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
160%
|
| |
| |
40%
|
| |
60%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
150%
|
| |
| |
30%
|
| |
40%
|
| |
60%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
140%
|
| |
| |
—
|
| |
20%
|
| |
40%
|
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
130%
|
| |
| |
—
|
| |
—
|
| |
20%
|
| |
60%
|
| |
70%
|
| |
80%
|
| |
90%
|
| |
100%
|
| |
110%
|
| |
120%
|
| |
| |
—
|
| |
—
|
| |
—
|
| |
30%
|
| |
50%
|
| |
60%
|
| |
70%
|
| |
80%
|
| |
100%
|
| |
110%
|
| |
| |
—
|
| |
—
|
| |
—
|
| |
10%
|
| |
20%
|
| |
30%
|
| |
40%
|
| |
50%
|
| |
60%
|
| |
70%
|
| |
| |
—
|
| |
—
|
| |
—
|
| |
—
|
| |
10%
|
| |
20%
|
| |
30%
|
| |
40%
|
| |
50%
|
| |
60%
|
| |
|
Named Executive Officer
|
| |
Performance
Share Grant |
| |||
| Joseph R. Nolan, Jr. | | | | | 112,590 | | |
| John M. Moreira | | | | | 31,240 | | |
| Paul Chodak III | | | | | 28,286 | | |
| Susan Sgroi | | | | | 23,385 | | |
| Gregory B. Butler | | | | | 18,275 | | |
|
2022 – 2024 Long-Term Incentive Program
Performance Share Awards |
| ||||||
|
Named Executive Officer
|
| |
Performance
Share Award |
| |||
| Joseph R. Nolan, Jr. | | | | | 42,000 | | |
| John M. Moreira | | | | | 2,228 | | |
| Paul Chodak III | | | | | 4,078 | | |
| Susan Sgroi(1) | | | | | — | | |
| Gregory B. Butler | | | | | 8,220 | | |
| | | |
RSU Grants
|
| |||||||||||||||
|
Named Executive Officer
|
| |
2022
|
| |
2023
|
| |
2024
|
| |||||||||
| Joseph R. Nolan, Jr. | | | | | 18,290 | | | | | | 23,392 | | | | | | 37,530 | | |
| John M. Moreira | | | | | 970 | | | | | | 5,587 | | | | | | 10,413 | | |
| Paul Chodak III(1) | | | | | — | | | | | | — | | | | | | 9,429 | | |
| Susan Sgroi(1) | | | | | — | | | | | | — | | | | | | 7,795 | | |
| Gregory B. Butler | | | | | 3,580 | | | | | | 3,973 | | | | | | 6,092 | | |
|
Executive Officer
|
| |
Base Salary
Multiple |
| |||
| Chief Executive Officer | | | | | 6 | | |
| Executive Vice Presidents | | | | | 3 | | |
|
Operating Company Presidents/ Senior Vice Presidents
|
| | | | 2 | | |
| Vice Presidents | | | | | 1-1.5 | | |
Name and Principal Position
|
| |
Year
|
| |
Salary
|
| |
Stock
Awards(2) |
| |
Non-Equity
Incentive Plan(3) |
| |
Change in
Pension Value and Non-Qualified Deferred Earnings(4) |
| |
All Other
Compensation(5) |
| |
SEC Total
|
| |
Adjusted
SEC Total(6) |
| ||||||||||||||||||||||||
Joseph R. Nolan, Jr.
Chairman, President and Chief Executive Officer |
| | | | 2024 | | | | | $ | 1,384,770 | | | | | $ | 7,510,128 | | | | | $ | 2,450,000 | | | | | $ | 2,188,733 | | | | | $ | 44,523 | | | | | $ | 13,578,154 | | | | | $ | 11,389,421 | | |
| | | 2023 | | | | | | 1,325,001 | | | | | | 8,018,396 | | | | | | 1,630,000 | | | | | | 7,832,472 | | | | | | 79,708 | | | | | | 18,885,577 | | | | | | 11,053,105 | | | ||
| | | 2022 | | | | | | 1,273,078 | | | | | | 6,825,923 | | | | | | 2,688,000 | | | | | | 2,143,443 | | | | | | 28,690 | | | | | | 12,959,134 | | | | | | 10,815,691 | | | ||
John M. Moreira
Executive Vice President, Chief Financial Officer and Treasurer |
| | | | 2024 | | | | | | 826,925 | | | | | | 2,083,794 | | | | | | 1,000,000 | | | | | | 854,742 | | | | | | 25,760 | | | | | | 4,791,221 | | | | | | 3,936,479 | | |
| | | 2023 | | | | | | 721,156 | | | | | | 1,915,025 | | | | | | 564,000 | | | | | | 981,136 | | | | | | 27,436 | | | | | | 4,208,753 | | | | | | 3,227,617 | | | ||
| | | 2022 | | | | | | 543,056 | | | | | | 362,099 | | | | | | 900,000 | | | | | | 419,646 | | | | | | 12,200 | | | | | | 2,237,001 | | | | | | 1,817,355 | | | ||
Paul W. Chodak III(1)
Executive Vice President and Chief Operating Officer |
| | | | 2024 | | | | | | 850,002 | | | | | | 1,886,789 | | | | | | 850,000 | | | | | | — | | | | | | 431,633 | | | | | | 4,018,424 | | | | | | 4,018,424 | | |
| | | 2023 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | ||
| | | 2022 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | ||
Susan Sgroi(1)
Executive Vice President-Human Resources and Information Technology |
| | | | 2024 | | | | | | 533,654 | | | | | | 1,559,857 | | | | | | 486,000 | | | | | | — | | | | | | 40,092 | | | | | | 2,619,604 | | | | | | 2,619,604 | | |
| | | 2023 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | ||
| | | 2022 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | ||
Gregory B. Butler
Executive Vice President and General Counsel |
| | | | 2024 | | | | | | 727,156 | | | | | | 1,219,021 | | | | | | 600,000 | | | | | | — | | | | | | 10,919 | | | | | | 2,557,096 | | | | | | 2,557,096 | | |
| | | 2023 | | | | | | 703,421 | | | | | | 1,361,778 | | | | | | 468,000 | | | | | | 55,219 | | | | | | 13,652 | | | | | | 2,602,071 | | | | | | 2,546,852 | | | ||
| | | 2022 | | | | | | 685,387 | | | | | | 1,335,961 | | | | | | 720,000 | | | | | | — | | | | | | 12,106 | | | | | | 2,753,454 | | | | | | 2,753,454 | | |
| | | | | | | | |
Estimated Future Payouts
Under Non-Equity Incentive Plan Awards |
| |
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 and Option Awards ($)(3) |
| ||||||||||||||||||||||||||||||||||||
Name
|
| |
Grant Date
|
| |
Threshold
($) |
| |
Target
($) |
| |
Maximum
($) |
| |
Threshold
(#) |
| |
Target
(#) |
| |
Maximum
(#) |
| |||||||||||||||||||||||||||||||||
Joseph R. Nolan, Jr. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Annual Incentive(4) | | | | | 01/31/24 | | | | | $ | 980,000 | | | | | $ | 1,960,000 | | | | | $ | 3,920,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Long-Term Incentive(5) | | | | | 01/31/24 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 112,590 | | | | | | 225,180 | | | | | | 37,530 | | | | | $ | 7,510,128 | | |
John M. Moreira | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Annual Incentive(4) | | | | | 01/31/24 | | | | | | 340,000 | | | | | | 680,000 | | | | | | 1,360,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Long-Term Incentive(5) | | | | | 01/31/24 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 31,240 | | | | | | 62,480 | | | | | | 10,413 | | | | | | 2,083,794 | | |
Paul W. Chodak III | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Annual Incentive(4) | | | | | 01/31/24 | | | | | | 340,000 | | | | | | 680,000 | | | | | | 1,360,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Long-Term Incentive(5) | | | | | 01/31/24 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 28,286 | | | | | | 56,572 | | | | | | 9,429 | | | | | | 1,886,789 | | |
Susan Sgroi | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Annual Incentive(4) | | | | | 01/31/24 | | | | | | 194,500 | | | | | | 389,000 | | | | | | 778,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Long-Term Incentive(5) | | | | | 01/31/24 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 23,385 | | | | | | 46,770 | | | | | | 7,795 | | | | | | 1,559,857 | | |
Gregory B. Butler | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Annual Incentive(4) | | | | | 01/31/24 | | | | | | 256,000 | | | | | | 512,000 | | | | | | 1,024,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Long-Term Incentive(5) | | | | | 01/31/24 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 18,275 | | | | | | 36,550 | | | | | | 6,092 | | | | | | 1,219,021 | | |
| | | |
Stock Awards(1)
|
| |||||||||||||||||||||
|
Name
|
| |
Number of
Shares or Units of Stock That Have Not Vested (#)(2) |
| |
Market Value
of Shares or Units of Stock That Have Not Vested ($)(3) |
| |
Equity Incentive
Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested (#)(4) |
| |
Equity Incentive
Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested ($)(5) |
| ||||||||||||
|
Joseph R. Nolan, Jr.
|
| | | | 63,244 | | | | | | 3,632,081 | | | | | | 256,448 | | | | | | 14,727,795 | | |
|
John M. Moreira
|
| | | | 15,351 | | | | | | 881,591 | | | | | | 54,334 | | | | | | 3,120,396 | | |
|
Paul W. Chodak III
|
| | | | 21,881 | | | | | | 1,256,639 | | | | | | 47,650 | | | | | | 2,736,518 | | |
|
Susan Sgroi
|
| | | | 8,174 | | | | | | 469,409 | | | | | | 24,521 | | | | | | 1,408,226 | | |
|
Gregory B. Butler
|
| | | | 10,624 | | | | | | 610,152 | | | | | | 44,264 | | | | | | 2,542,069 | | |
| | | |
Stock Awards
|
| |||||||||
|
Name
|
| |
Number of
Shares Acquired on Vesting (#)(1) |
| |
Value Realized
on Vesting(2) |
| ||||||
|
Joseph R. Nolan, Jr.
|
| | | | 25,263 | | | | | $ | 1,445,731 | | |
|
John M. Moreira
|
| | | | 4,765 | | | | | | 272,867 | | |
|
Paul W. Chodak III
|
| | | | 5,923 | | | | | | 358,749 | | |
|
Susan Sgroi
|
| | | | — | | | | | | — | | |
|
Gregory B. Butler
|
| | | | 11,810 | | | | | | 677,491 | | |
|
Name
|
| |
2021 Program
|
| |
2022 Program
|
| |
2023 Program
|
| |||||||||
|
Joseph R. Nolan, Jr.
|
| | | | 10,599 | | | | | | 6,545 | | | | | | 8,119 | | |
|
John M. Moreira
|
| | | | 2,479 | | | | | | 347 | | | | | | 1,939 | | |
|
Paul W. Chodak III
|
| | | | — | | | | | | — | | | | | | 5,923 | | |
|
Susan Sgroi
|
| | | | — | | | | | | — | | | | | | — | | |
|
Gregory B. Butler
|
| | | | 9,150 | | | | | | 1,281 | | | | | | 1,379 | | |
Name
|
| |
Plan Name
|
| |
Number
of Years Credited Service (#) |
| |
Present
Value of Accumulated Benefits |
| |
During Last
Fiscal Year |
| |||||||||
Joseph R. Nolan, Jr.
|
| | Retirement Plan (QP) | | | | | 39.42 | | | | | $ | 1,337,446 | | | | | $ | — | | |
| | | Supplemental Plan (Excess) | | | | | 39.42 | | | | | | 13,124,690 | | | | | | — | | |
| | | Supplemental Plan (SERP) | | | | | 20.00 | | | | | | 11,512,338 | | | | | | — | | |
John M. Moreira
|
| | Retirement Plan (QP) | | | | | 24.67 | | | | | | 959,290 | | | | | | — | | |
| | | Supplemental Plan (Excess) | | | | | 24.67 | | | | | | 2,990,437 | | | | | | — | | |
Gregory B. Butler
|
| | Retirement Plan (QP) | | | | | 28.00 | | | | | | 1,528,980 | | | | | | — | | |
| | | Supplemental Plan (Excess) | | | | | 28.00 | | | | | | 6,190,291 | | | | | | — | | |
| | | Supplemental Plan (Excess) | | | | | 28.00 | | | | | | 3,404,391 | | | | | | — | | |
|
Name
|
| |
Executive
Contributions in Last FY |
| |
Registrant
Contributions in Last FY |
| |
Aggregate
Earnings in in Last FY |
| |
Aggregate
Withdrawals/ Distributions |
| |
Aggregate
Balance at Last FYE(1) |
| |||||||||||||||
|
Joseph R. Nolan, Jr.
|
| | | $ | — | | | | | $ | — | | | | | $ | 534,183 | | | | | $ | — | | | | | $ | 7,269,458 | | |
|
John M. Moreira
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
|
Paul W. Chodak III
|
| | | | — | | | | | | 68,575 | | | | | | 2,510 | | | | | | — | | | | | | 71,085 | | |
|
Susan Sgroi
|
| | | | — | | | | | | 25,027 | | | | | | 628 | | | | | | — | | | | | | 25,655 | | |
|
Gregory B. Butler
|
| | | | — | | | | | | — | | | | | | 210 | | | | | | — | | | | | | 25,370 | | |
| | |
Type of Payments
|
| |
Voluntary
Termination |
| |
Involuntary
Termination Not for Cause |
| |
Termination
Upon Death or Disability |
| |
Termination
Following a Change in Control |
| ||||||||||||
Joseph R. Nolan, Jr.
|
| |
Cash Severance(1)
|
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 9,090,000 | | |
| Annual Incentives(2) | | | | | — | | | | | | — | | | | | | — | | | | | | 1,960,000 | | | ||
| Performance Shares(3) | | | | | 8,740,882 | | | | | | 8,740,882 | | | | | | 8,740,882 | | | | | | 14,727,795 | | | ||
| RSUs(4) | | | | | 1,562,819 | | | | | | 1,562,819 | | | | | | 1,562,819 | | | | | | 3,632,081 | | | ||
|
Special Retirement Benefit(5)
|
| | | | — | | | | | | — | | | | | | — | | | | | | 3,158,549 | | | ||
|
Health and Welfare Benefits(6)
|
| | | | — | | | | | | — | | | | | | — | | | | | | 106,974 | | | ||
| Perquisites(7) | | | | | — | | | | | | — | | | | | | — | | | | | | 60,000 | | | ||
| Excise Tax and Gross-ups(8) | | | | | — | | | | | | — | | | | | | — | | | | | | 7,410,591 | | | ||
|
Total
|
| | | $ | 10,303,701 | | | | | $ | 10,303,701 | | | | | $ | 10,303,701 | | | | | $ | 40,145,991 | | | ||
John M. Moreira
|
| |
Cash Severance(1)
|
| | | $ | — | | | | | $ | 1,530,000 | | | | | $ | — | | | | | $ | 3,060,000 | | |
| Annual Incentives(2) | | | | | — | | | | | | — | | | | | | — | | | | | | 680,000 | | | ||
| Performance Shares(3) | | | | | 1,515,909 | | | | | | 1,515,909 | | | | | | 1,515,909 | | | | | | 3,120,396 | | | ||
| RSUs(4) | | | | | 335,251 | | | | | | 335,251 | | | | | | 335,251 | | | | | | 881,591 | | | ||
|
Health and Welfare Benefits(6)
|
| | | | — | | | | | | 22,097 | | | | | | — | | | | | | 44,195 | | | ||
|
Total
|
| | | $ | 1,851,159 | | | | | $ | 3,403,257 | | | | | $ | 1,851,159 | | | | | $ | 7,786,182 | | | ||
Paul W. Chodak III
|
| |
Cash Severance(1)
|
| | | $ | — | | | | | $ | 1,530,000 | | | | | $ | — | | | | | $ | 3,060,000 | | |
| Annual Incentives(2) | | | | | — | | | | | | — | | | | | | — | | | | | | 680,000 | | | ||
| Performance Shares(3) | | | | | — | | | | | | — | | | | | | — | | | | | | 2,736,518 | | | ||
| RSUs(4) | | | | | — | | | | | | — | | | | | | — | | | | | | 1,256,639 | | | ||
|
Health and Welfare Benefits(6)
|
| | | | — | | | | | | 31,388 | | | | | | — | | | | | | 62,775 | | | ||
|
Total
|
| | | $ | — | | | | | $ | 1,561,388 | | | | | $ | — | | | | | $ | 7,795,932 | | | ||
Susan Sgroi
|
| |
Cash Severance(1)
|
| | | $ | — | | | | | $ | 944,000 | | | | | $ | — | | | | | $ | 1,888,000 | | |
| Annual Incentives(2) | | | | | — | | | | | | — | | | | | | — | | | | | | 389,000 | | | ||
| Performance Shares(3) | | | | | — | | | | | | — | | | | | | — | | | | | | 1,408,226 | | | ||
| RSUs(4) | | | | | — | | | | | | — | | | | | | — | | | | | | 469,409 | | | ||
|
Health and Welfare Benefits(6)
|
| | | | — | | | | | | 1,634 | | | | | | — | | | | | | 3,268 | | | ||
|
Total
|
| | | $ | — | | | | | $ | 945,634 | | | | | $ | — | | | | | $ | 4,157,903 | | | ||
Gregory B. Butler
|
| |
Cash Severance(1)
|
| | | $ | — | | | | | $ | 2,488,000 | | | | | $ | — | | | | | $ | 3,732,000 | | |
| Annual Incentives(2) | | | | | — | | | | | | — | | | | | | — | | | | | | 680,000 | | | ||
| Performance Shares(3) | | | | | 2,542,069 | | | | | | 2,542,069 | | | | | | 2,542,069 | | | | | | 2,542,069 | | | ||
| RSUs(4) | | | | | 610,152 | | | | | | 610,152 | | | | | | 610,152 | | | | | | 610,152 | | | ||
|
Health and Welfare Benefits(6)
|
| | | | — | | | | | | 47,824 | | | | | | — | | | | | | 71,736 | | | ||
| Perquisites(7) | | | | | — | | | | | | 24,000 | | | | | | — | | | | | | 36,000 | | | ||
|
Total
|
| | | $ | 3,152,221 | | | | | $ | 5,712,045 | | | | | $ | 3,152,221 | | | | | $ | 7,671,958 | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Value of Initial Fixed $100 Investment Based on | | | | | | | | | | | | | | |||||||||
| Fiscal Year | | | SCT Total PEO #1(1) | | | CAP PEO #1(1) | | | SCT Total PEO #2(1) | | | CAP PEO #2(1) | | | Average SCT Non-PEO NEOs(2) | | | CAP Non-PEO NEOs(2) | | | Company TSR(3) | | | Peer Group TSR(3) | | | Net Income (GAAP) | | | Company Selected Measure ( Non-GAAP)(4) | | ||||||||||||||||||||||||||||||
| a | | | b | | | c | | | d | | | e | | | f | | | g | | | h | | | i | | | j | | | k | | ||||||||||||||||||||||||||||||
| 1 (2024) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||||||||
| 2 (2023) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | - | | | | | | | | |||||||
| 3 (2022) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||||||||
| 4 (2021) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||||||||||
| 5 (2020) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Fiscal Year | | | SCT Total PEO #1 | | | Pension Deducted from SCT | | | Pension Service Value Added to SCT | | | Stock Awards Deducted from SCT | | | Fair Value of Equity Awards Granted during the Year and Remained Unvested at Year-End | | | Change in Fair Value of Unvested Equity Awards that Vested During the Year | | | Change in Fair Value of Unvested Equity Grants | | | CAP PEO #1 | | ||||||||||||||||||||||||
| a | | | b | | | c | | | d | | | e | | | f | | | g | | | h | | | i | | ||||||||||||||||||||||||
| 1 (2024) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | - | | | | | | | | ||||
| 2 (2023) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | - | | | | | | | | ||||
| 3 (2022) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | - | | | | | | | | ||||
| 4 (2021) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | | |
| Fiscal Year | | | SCT Total PEO #2 | | | Pension Deducted from SCT | | | Pension Service Value Added to SCT | | | Stock Awards Deducted from SCT | | | Fair Value of Equity Awards Granted during the Year and Remained Unvested at Year-End | | | Change in Fair Value of Unvested Equity Awards that Vested During the Year | | | Change in Fair Value of Unvested Equity Grants | | | CAP PEO #2 | | ||||||||||||||||||||||||
| a | | | b | | | c | | | d | | | e | | | f | | | g | | | h | | | i | | ||||||||||||||||||||||||
| (2021) | | | | | | | | | | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | | | ||||||
| (2020) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | | | | | | | | | | | | |
| Fiscal Year | | | Average SCT Non-PEO NEOs | | | Pension Deducted from SCT | | | Pension Service Value Added to SCT | | | Stock Awards Deducted from SCT | | | Fair Value of Equity Awards Granted during the Year and Remained Unvested at Year-End | | | Change in Fair Value of Unvested Equity Awards that Vested During the Year | | | Change in Fair Value of Unvested Equity Grants | | | Average CAP Non-PEO NEOs | | ||||||||||||||||||||||||
| a | | | b | | | c | | | d | | | e | | | f | | | g | | | h | | | i | | ||||||||||||||||||||||||
| 1 (2024) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | - | | | | | | | | ||||
| 3 (2023) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | - | | | | | | | | ||||
| 4 (2022) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | - | | | | | | | | ||||
| 5 (2021) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | | | |||||
| 6 (2020) | | | | | | | | | | - | | | | | | | | | | | - | | | | | | | | | | | | | | | | | | | | | | |
| Fiscal Year | | | Service Cost | | | Prior Service Cost | | | Total Pension Benefit Adjustments | | |||||||||
| a | | | b | | | c | | | d | | |||||||||
| PEO#1 (2024) | | | | | | | | | | | | | | | | | |||
| PEO#1 (2023) | | | | | | | | | | | | | | | | | |||
| PEO#1 (2022) | | | | | | | | | | | | | | | | | |||
| PEO#1 (2021) | | | | | | | | | | | | | | | | | |||
| PEO#2 (2021) | | | | | | | | | | | | | | | | | |||
| PEO#2 (2020) | | | | | | | | | | | | | | | | | |||
| Average Non-PEO NEO (2024) | | | | | | | | | | | | | | | | | |||
| Average Non-PEO NEO (2023) | | | | | | | | | | | | | | | | | |||
| Average Non-PEO NEO (2022) | | | | | | | | | | | | | | | | | |||
| Average Non-PEO NEO (2021) | | | | | | | | | | | | | | | | | |||
| Average Non-PEO NEO (2020) | | | | | | | | | | | | | | | | |
| | | | Most Important Performance Measures | | | | |
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | | ||
| | | | | | |
|
Adjusted Earnings and EPS Reconciliation
|
| ||||||||||||||||||||||||||||||||||||
| | | |
For the Years Ended December 31,
|
| |||||||||||||||||||||||||||||||||
| | | |
2024
|
| |
2023
|
| |
2022
|
| |||||||||||||||||||||||||||
|
(Millions of Dollars, Except Per Share Amounts)
|
| |
Amount
|
| |
Per Share
|
| |
Amount
|
| |
Per Share
|
| |
Amount
|
| |
Per Share
|
| ||||||||||||||||||
|
Net Income/(Loss) Attributable to Common
Shareholders (GAAP) |
| | | $ | 811.7 | | | | | $ | 2.27 | | | | | $ | (442.2) | | | | | $ | (1.26) | | | | | $ | 1,404.9 | | | | | $ | 4.05 | | |
|
Adjustments (after-tax) to reconcile to Adjusted
Earnings: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Losses on Offshore Wind Investments
|
| | | | 524.0 | | | | | | 1.47 | | | | | | 1,953.0 | | | | | | 5.58 | | | | | | — | | | | | | — | | |
|
Loss on Pending Sale of Aquarion
|
| | | | 298.3 | | | | | | 0.83 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
|
Land Abandonment Loss and Other Charges
|
| | | | — | | | | | | — | | | | | | 6.9 | | | | | | 0.02 | | | | | | — | | | | | | — | | |
|
Transaction and Transition Costs
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 15.0 | | | | | | 0.04 | | |
| Adjusted Earnings (Non-GAAP) | | | | $ | 1,634.0 | | | | | $ | 4.57 | | | | | $ | 1,517.7 | | | | | $ | 4.34 | | | | | $ | 1,419.9 | | | | | $ | 4.09 | | |
|
| |
The Board of Trustees recommends that Shareholders vote FOR this Item.
|
| |
| |
The Board of Trustees recommends that Shareholders vote FOR this Item.
|
| |
Audit and Non-Audit Fees
|
| |
2024
|
| |
2023
|
| ||||||
Audit Fees(1) | | | | $ | 5,984,500 | | | | | $ | 5,310,000 | | |
Audit Related Fees(2) | | | | $ | 1,386,000 | | | | | $ | 1,759,000 | | |
Tax Fees(3) | | | | | — | | | | | | — | | |
All Other Fees(4) | | | | $ | 83,914 | | | | | $ | 1,914 | | |
TOTAL | | | | $ | 7,454,414 | | | | | $ | 7,070,914 | | |
| |
The Board of Trustees recommends that Shareholders vote FOR this Item.
|
| |
| |
The Board of Trustees recommends that you vote “AGAINST” Item 5.
|
| |
|
Item
|
| |
Board
Recommendation |
| |
Vote
Required |
| |
Effect of
Abstentions |
| |
Effect of
Broker Non-Votes |
| |
Discussion
Beginning on Page |
|
|
Election of Trustees
(Item 1) |
| |
FOR
All Nominees |
| |
Majority of all common
shares issued and outstanding |
| |
Against
|
| |
Against
|
| | | |
|
Advisory vote on executive compensation
(Item 2) |
| |
FOR
|
| |
Majority of votes cast
|
| |
No effect
|
| |
No effect
|
| | | |
|
Ratify Deloitte & Touche LLP as Independent Registered Public Accounting Firm
(Item 3) |
| |
FOR
|
| |
Majority of votes cast
|
| |
No effect
|
| |
Not applicable
|
| | | |
|
Amendments to the Declaration of Trust
(Item 4) |
| |
FOR
|
| |
Majority of votes cast
|
| |
Against
|
| |
Against
|
| | | |
|
Shareholder Proposal Regarding Independent Chairman of the Board
(Item 5) |
| |
AGAINST
|
| |
Majority of votes cast
|
| |
No effect
|
| |
No effect
|
| | |