2019 Annual Meeting of Stockholders slide image

2019 Annual Meeting of Stockholders

Significant Majority of CEO Pay is At Risk... Demonstrating Pay for Performance Alignment McDermott's compensation program is designed to align interests of executives with those of our stockholders with a focus on long-term performance results CEO 2018 Post-Combination Target Total Direct Compensation CEO 2018 LTI Value Reduction 10% 10- $6.4 million $8.3 million 8 77% Long-Term Incentives, or LTI Variable compensation designed to align interests of executives with those of our stockholders with a focus on long-term performance results Annual Base Salary Fixed cash compensation recognizing an executive officer's experience, skill and performance M CO 6 13% 90% At Risk Annual Incentive, or EICP Variable compensation designed to reward achievement of short-term business goals and strategic objectives, while recognizing individual contributions 4- $1.9 million 2 0 LTI Award Value on Grant Date 3/1/18 RSU LTI Award Value as of 12/31/18 6/1/18 RSU 6/1/18 PU* Investor Presentation: 2019 Annual Meeting of Stockholders The LTI award value as of December 31, 2018 is based on McDermott's closing stock price as of December 31, 2018. The value of performance units as of December 31, 2018 is based on achieving threshold performance. 14
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