EXTREME NETWORKS INC

Our guiding principle in establishing executive compensation is to align compensation with the creation of stockholder value while achieving the Company’s strategic objectives and financial goals. Consistent with this principle, we seek to provide a competitive total compensation package that allows us to attract high quality candidates for senior leadership positions, to retain these employees, and to establish a total compensation program which motivates and rewards individual and team performance in alignment with our short- and long-term business strategies and objectives. Our compensation program is designed to provide accountability at both the individual and team level with respect to both absolute and relative competitive performance. We also align the interests of our executives and our stockholders by providing variable compensation to our executives that is directly linked to the performance of the Company and to our stock price. As illustrated below, a substantial portion of our NEOs’ fiscal 2024 compensation (PSUs, including SLTI PSUs for our CEO, and short-term cash incentives) was directly tied to the Company's financial and stock price performance. The graph below consists of base salary, bonuses, actual short-term cash incentives and the grant-date value of equity awards granted during fiscal 2024.

(1) Fiscal 2024 other NEO pay mix excludes Mr. Rhodes because he did not receive equity awards in fiscal 2024 and thus his fiscal 2024 total compensation is not reflective of our typical NEO pay design.

Annual compensation for a given NEO is determined with reference to competitive market data, as well as the individual’s experience, knowledge, skills, and performance. See "Compensation-Setting Process" section below for additional detail.

As noted above, a significant portion of fiscal 2024 compensation to our CEO was at risk, specifically his short-term cash incentive and his PSU awards.