Value of Initial Fixed

$100 Investment Based

Average

On:

Summary

Compensation

Peer

Compensation

Actually

Arrow's

Group

Table Total for

Actually Paid

Table Total

Paid to

Total

Net

First

Second

to First

to Second

for Non-PEO

Non-PEO

Shareholder

Income

Absolute

Year¹ (a)

PEO² (b)

PEO² (c)

PEO³ (d)

PEO³ (e)

NEOs² (f)

NEOs³ (g)

Return⁴ (h)

Return⁵ (i)

(in millions)⁶ (j)

EPS⁷ (k)

2022

$7,478,225

$11,550,022

$8,491,878

$6,037,995

$2,734,955

$819,075

123

140

$1,427

$23.13

2021

n/a

$12,880,838

n/a

$27,114,175

$3,902,722

$7,392,978

158

157

$1,108

$15.60

2020

n/a

$11,703,943

n/a

$15,248,190

$3,705,149

$4,166,011

115

106

$584

$7.92

(1) NEOs included in these columns reflect the following:


Year	PEOs	Non-PEO NEOs
2022	Sean J. Kerins (PEO 1) Michael J. Long (PEO 2)	Rajesh K. Agrawal, Kirk D. Schell, Gretchen K. Zech, Vincent P. Melvin, Richard A. Seidlitz, Christopher D. Stansbury,
2021	Michael J. Long (PEO 2)	Sean J. Kerins, Christopher D. Stansbury, Gretchen K. Zech, Vincent P. Melvin
2020	Michael J. Long (PEO 2)	Sean J. Kerins, Christopher D. Stansbury, Gretchen K. Zech, Andrew D. King

(2)	Amounts reflect the table labeled “2022 Summary Compensation Table” for our NEOs for each corresponding year.

(3)

The following table shows the adjustment to the total compensation reported in the “2022 Summary Compensation Table” for our PEOs, as well as the average for our other NEOs, to determine “compensation actually paid,” as computed in accordance with the Rules. Because “compensation actually paid,” as calculated per the Rules, requires the inclusion of equity awards as compensation prior to vesting of the awards, the amounts reported below do not reflect the actual compensation earned by or paid to our NEOs during the applicable year, with a significant portion of the “compensation actually paid” subject to forfeiture if the underlying vesting conditions are not achieved.


	2022						2021				2020
					Non-PEO				Non-PEO				Non-PEO
	PEO 1		PEO 2		NEO Average		PEO 2		NEO Average		PEO 2		NEO Average
Total Compensation from the Summary Compensation Table	$	7,478,225	$	11,550,022	$	2,734,955	$	12,880,838	$	3,902,722	$	11,703,943	$	3,705,149
Adjustments for Pension
Adjustment Summary Compensation Table Pension ^(a)	$	(533,030)	$	—	$	—	$	—	$	(594,473)	$	(979,530)	$	(951,949)
Amount added for Current Year Service Cost^(b)	$	—	$	(14,085)	$	273,214	$	(13,682)	$	544,659	$	(12,599)	$	528,740
Amount added for Prior Year Service Cost Impacting Current Year ^(b)	$	3,029,395	$	—	$	—		—	$	—	$	—	$	—
Total Adjustments for Pension	$	2,496,365	$	(14,085)	$	273,214	$	(13,682)	$	(49,814)	$	(992,129)	$	(423,209)
Adjustments for Equity Grants
Adjustment for grant date values in the Summary Compensation Table^(c)	$	(3,500,063)	$	(6,000,112)	$	(1,615,082)	$	(6,000,028)	$	(1,625,076)	$	(6,000,044)	$	(1,475,005)
Year-end fair value of unvested awards granted in the current year^(d)	$	1,465,339	$	2,456,663	$	435,412		3,781,983	$	2,048,625	$	5,527,029	$	1,727,597
Year-over-year difference of year-end fair values for unvested awards granted in prior years^(d)	$	(773,043)	$	(559,996)	$	(521,948)	$	11,810,161	$	2,762,440	$	3,814,512	$	804,113
Fair values at vest date for awards granted and vested in the current year ^(d)	$	1,734,329	$	3,000,056	$	—		2,999,961	$	—	$	1,500,031	$	—
Difference in fair values between prior year-end fair values and vest date fair values for awards granted in prior years^(d)	$	(409,275)	$	(4,394,554)	$	(154,965)	$	1,654,942	$	354,081	$	(305,152)	$	(172,636)
Forfeitures during the current year equal to the prior year-end fair value^(d)	$	—	$	—	$	(332,512)		—	$	—	$	—	$	—
Dividends or dividend equivalents not otherwise included in total compensation	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Total Adjustments for Equity Awards	$	(1,482,713)	$	(5,497,943)	$	(2,189,095)	$	14,247,019	$	3,540,070	$	4,536,376	$	884,069
Compensation Actually Paid	$	8,491,877	$	6,037,994	$	819,074	$	27,114,175	$	7,392,978	$	15,248,190	$	4,166,009

(a)

The amounts reflect the change in the actuarial present value of the accumulated benefit under all defined benefit and actuarial pension plans reported in the “Change in Pension Value and Nonqualified Deferred Compensation Earnings” column in the “2022 Summary Compensation Table” for the applicable year.

(b)

The amounts represent the sum of the actuarial present value of the benefits under all defined benefit and actuarial pension plans attributable to services rendered during the indicated fiscal yar and any plan modifications during the applicable year, calculated using the same methodology as used in the Company’s financial statements under generally accepted accounting principles.

(c)	The amounts reflect the aggregate grant-date fair value reported in the “Stock Awards” and “Option Awards” columns in the “2022 Summary Compensation Table” for the applicable year.

(d)

In accordance with the Rules, the fair values of unvested and outstanding equity awards to our NEOs were remeasured starting on December 31, 2019, and subsequently as of each vesting date and as of the end of each fiscal year while the award remains unvested, during the years displayed in the table above. Fair values as of each measurement date were determined using valuation assumptions and methodologies (including volatility, dividend yield, and risk-free interest rates) that are generally consistent with those used to estimate fair value on the grant date under US GAAP.

For options, a Black-Scholes model was used to estimate the fair value as of the various measurement dates. We explain assumptions made in valuing equity awards on the grant date in the “Stock-Based Compensation Plans” section of the Notes to Consolidated Financial Statements contained in the Company’s Annual Report on Form 10-K for the corresponding fiscal year.

(4)	The amounts in this column show changes over our past three fiscal years in the value of $100 (assuming reinvestment of dividends) invested in Arrow’s common shares traded on the NYSE.

(5)

The amounts in this column show changes over the past three fiscal years in the value of $100 (assuming reinvestment of dividends), invested in Arrow’s peer group, consisting of Avnet, Inc., Celestica Inc., Flex Ltd., Jabil Inc., WESCO International, Inc., CDW Corp., HP Inc., HP Enterprise Co., and TD SYNNEX Corp. In 2020, our peer group consisted of Anixter International Inc., Avnet, Inc., Celestica Inc., Flex Ltd., Jabil Inc., Tech Data Corporation, and WESCO International, Inc. (the “2020 Peer Group”). The TSR for the 2020 Peer Group for the fiscal years 2020 and 2021 was $112 and $150, respectively. During 2020 Anixter International Inc. completed a merger with WESCO International, Inc. and Tech Data Corporation was acquired by Apollo Global Management Inc. As a result, these companies were only included in the TSR for the 2020 Peer Group for the periods information was available.

(6)	The dollar amounts reported represent the amount of net income reflected in the Company’s audited financial statements for the applicable year.

(7)

While we use numerous financial and non-financial performance measures to evaluate performance under our compensation programs, Absolute EPS is the financial performance measure that, in our assessment, represents the most important performance measure used to link “compensation actually paid” to NEOs to Company performance in 2022. Absolute EPS determines the payout

with respect to 70% of our 2022 annual cash incentive. See Appendix to this Proxy Statement for a reconciliation of Absolute EPS to the most directly comparable GAAP measure.

Named Executive Officers, Footnote [Text Block]

(1) NEOs included in these columns reflect the following:


Year	PEOs	Non-PEO NEOs
2022	Sean J. Kerins (PEO 1) Michael J. Long (PEO 2)	Rajesh K. Agrawal, Kirk D. Schell, Gretchen K. Zech, Vincent P. Melvin, Richard A. Seidlitz, Christopher D. Stansbury,
2021	Michael J. Long (PEO 2)	Sean J. Kerins, Christopher D. Stansbury, Gretchen K. Zech, Vincent P. Melvin
2020	Michael J. Long (PEO 2)	Sean J. Kerins, Christopher D. Stansbury, Gretchen K. Zech, Andrew D. King

Adjustment To PEO Compensation, Footnote [Text Block]

(3)

The following table shows the adjustment to the total compensation reported in the “2022 Summary Compensation Table” for our PEOs, as well as the average for our other NEOs, to determine “compensation actually paid,” as computed in accordance with the Rules. Because “compensation actually paid,” as calculated per the Rules, requires the inclusion of equity awards as compensation prior to vesting of the awards, the amounts reported below do not reflect the actual compensation earned by or paid to our NEOs during the applicable year, with a significant portion of the “compensation actually paid” subject to forfeiture if the underlying vesting conditions are not achieved.


	2022						2021				2020
					Non-PEO				Non-PEO				Non-PEO
	PEO 1		PEO 2		NEO Average		PEO 2		NEO Average		PEO 2		NEO Average
Total Compensation from the Summary Compensation Table	$	7,478,225	$	11,550,022	$	2,734,955	$	12,880,838	$	3,902,722	$	11,703,943	$	3,705,149
Adjustments for Pension
Adjustment Summary Compensation Table Pension ^(a)	$	(533,030)	$	—	$	—	$	—	$	(594,473)	$	(979,530)	$	(951,949)
Amount added for Current Year Service Cost^(b)	$	—	$	(14,085)	$	273,214	$	(13,682)	$	544,659	$	(12,599)	$	528,740
Amount added for Prior Year Service Cost Impacting Current Year ^(b)	$	3,029,395	$	—	$	—		—	$	—	$	—	$	—
Total Adjustments for Pension	$	2,496,365	$	(14,085)	$	273,214	$	(13,682)	$	(49,814)	$	(992,129)	$	(423,209)
Adjustments for Equity Grants
Adjustment for grant date values in the Summary Compensation Table^(c)	$	(3,500,063)	$	(6,000,112)	$	(1,615,082)	$	(6,000,028)	$	(1,625,076)	$	(6,000,044)	$	(1,475,005)
Year-end fair value of unvested awards granted in the current year^(d)	$	1,465,339	$	2,456,663	$	435,412		3,781,983	$	2,048,625	$	5,527,029	$	1,727,597
Year-over-year difference of year-end fair values for unvested awards granted in prior years^(d)	$	(773,043)	$	(559,996)	$	(521,948)	$	11,810,161	$	2,762,440	$	3,814,512	$	804,113
Fair values at vest date for awards granted and vested in the current year ^(d)	$	1,734,329	$	3,000,056	$	—		2,999,961	$	—	$	1,500,031	$	—
Difference in fair values between prior year-end fair values and vest date fair values for awards granted in prior years^(d)	$	(409,275)	$	(4,394,554)	$	(154,965)	$	1,654,942	$	354,081	$	(305,152)	$	(172,636)
Forfeitures during the current year equal to the prior year-end fair value^(d)	$	—	$	—	$	(332,512)		—	$	—	$	—	$	—
Dividends or dividend equivalents not otherwise included in total compensation	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Total Adjustments for Equity Awards	$	(1,482,713)	$	(5,497,943)	$	(2,189,095)	$	14,247,019	$	3,540,070	$	4,536,376	$	884,069
Compensation Actually Paid	$	8,491,877	$	6,037,994	$	819,074	$	27,114,175	$	7,392,978	$	15,248,190	$	4,166,009

(a)

The amounts reflect the change in the actuarial present value of the accumulated benefit under all defined benefit and actuarial pension plans reported in the “Change in Pension Value and Nonqualified Deferred Compensation Earnings” column in the “2022 Summary Compensation Table” for the applicable year.

(b)

The amounts represent the sum of the actuarial present value of the benefits under all defined benefit and actuarial pension plans attributable to services rendered during the indicated fiscal yar and any plan modifications during the applicable year, calculated using the same methodology as used in the Company’s financial statements under generally accepted accounting principles.

(c)	The amounts reflect the aggregate grant-date fair value reported in the “Stock Awards” and “Option Awards” columns in the “2022 Summary Compensation Table” for the applicable year.

(d)

In accordance with the Rules, the fair values of unvested and outstanding equity awards to our NEOs were remeasured starting on December 31, 2019, and subsequently as of each vesting date and as of the end of each fiscal year while the award remains unvested, during the years displayed in the table above. Fair values as of each measurement date were determined using valuation assumptions and methodologies (including volatility, dividend yield, and risk-free interest rates) that are generally consistent with those used to estimate fair value on the grant date under US GAAP.

For options, a Black-Scholes model was used to estimate the fair value as of the various measurement dates. We explain assumptions made in valuing equity awards on the grant date in the “Stock-Based Compensation Plans” section of the Notes to Consolidated Financial Statements contained in the Company’s Annual Report on Form 10-K for the corresponding fiscal year.

Non-PEO NEO Average Compensation Actually Paid Amount

$ 819,075

7,392,978

4,166,011

Compensation Actually Paid vs. Total Shareholder Return [Text Block]

Required Relationship Disclosure

In accordance with the Rules, Arrow is providing the following representation of the relationships between the information presented in the Pay versus Performance table.

Compensation Actually Paid and Cumulative TSR

Compensation Actually Paid vs. Company Selected Measure [Text Block]

Required Relationship Disclosure

In accordance with the Rules, Arrow is providing the following representation of the relationships between the information presented in the Pay versus Performance table.

Compensation Actually Paid vs. Absolute EPS (Company Selected Measure)

Total Shareholder Return Amount

$ 123

158

115

Net Income (Loss)

$ 1,427,000,000

$ 1,108,000,000

$ 584,000,000

PEO Name

Sean J. Kerins

2020 peer group, Total shareholders return

$ 150

$ 112

Pay vs Performance Disclosure [Table]

Non-GAAP Measure Description [Text Block]

(7)

While we use numerous financial and non-financial performance measures to evaluate performance under our compensation programs, Absolute EPS is the financial performance measure that, in our assessment, represents the most important performance measure used to link “compensation actually paid” to NEOs to Company performance in 2022. Absolute EPS determines the payout

with respect to 70% of our 2022 annual cash incentive. See Appendix to this Proxy Statement for a reconciliation of Absolute EPS to the most directly comparable GAAP measure.