MERCER INTERNATIONAL INC
For the period ended May 30, 2025. Filed Apr 17, 2025.
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What shareholders are asked to vote on at a company's meeting. It is where to find what directors and top executives are paid, and who owns the most shares.
May 30, 2025 · Filed Apr 17, 2025
MERC$0.26+4.3%Stored close · as of Nov 6, 2026
Contents
Executive Compensation Objectives and Program Design
As part of the design of our pay programs and the evaluation of performance of our NEOs, for fiscal 2024 the Committee, among other things, considers the following strategic and other objectives and performance measures that form the framework of our compensation philosophy:
| OBJECTIVES | PERFORMANCE MEASURE AND WHY IT MATTERS |
|---|---|
| Operate World Class Assets | The operation and maintenance of modern, low-cost, reliable and energy efficient operations is key to produce stable returns through the economic cycle. Further, our manufacturing operations are capital intensive and complex. Our executives' ability to operate and maintain our assets at a high standard differentiates us from higher cost, lower efficiency competitors. We consider EBITDA to be the best indicator of our ability to successfully manage our assets. We also believe that EBITDA is the best indicator of the success of our executives in meeting the objectives of our Shareholders. In addition, we measure operating production and unit cost at each mill and the contribution of our NEOs in achieving these targets. To measure our executives' performance we measure EBITDA to our trend EBITDA targets with consideration to our annual plan. As a market check, we also consider EBITDA versus applicable TSR Peer Group companies (as hereinafter listed), both on an absolute basis and on an EBITDA per unit of production basis. |
| Grow and Diversify in Our Core Competencies | We are focused on growth in areas where we have a clear leadership position or high degree of competence to ensure that we can add value for Shareholders. We believe that a larger company will benefit Shareholders in terms of improved equity trading, liquidity and reduced variability of earnings. In addition, diversification can enhance the efficiency of our operations and reduce operational risks by increasing the value of the products we produce and by providing security of supply and lowering the price of key inputs to our production processes. Our core competencies lend themselves to growth in the areas of pulp, solid wood products, biomaterials and green energy. We measure our NEOs' performance in respect of our long-term performance based on Absolute Return on Average Assets and Relative Total Shareholder Return. We believe that our growth in areas of our core competencies should allow us to achieve improved profitability returns and superior Shareholder returns. These performance measures are the best indicators of our executives' long-term performance in creating Shareholder value due to the growth initiatives we pursue. |
| Manage the Integrity of our Balance Sheet and Liquidity | We focus on maintaining a balance sheet that allows us to advance our objectives through the full economic cycle, while giving us some flexibility to take advantage of strategic growth opportunities and returning capital to Shareholders. Our NEOs' contributions to maintaining a strong balance sheet throughout the economic cycle are important to enhancing long-term Shareholder value. |
| Sustainable Operations | We seek to meet best-in-class ESG standards. We measure the performances and contributions of our NEOs in achieving various targets in each of these areas, including, among others, based on GHG and health and safety based upon Total Recordable Incident Rates. We believe a high performance in these ESG standards is critical for our business and directly correlated to efficient operations and manufacturing performance. Further, we believe that our products, which are: (i) renewable wood-based fiber; (ii) carbon sequestering solid wood products; (iii) green energy; and (iv) naturally sourced biomaterials, are becoming more important for a world seeking to limit its reliance on fossil fuel-based products. |
| Develop Top Talent to Drive Sustainability and Execute our Strategy | Developing our talent through effective human capital management is a key component of our focus on sustainability and is critical to achieving our strategic objectives. We strive to develop a culture that attracts and develops the most talented people, teams and leaders. An important component of all of our executives' performance assessment is their ability to develop people, teams and leaders. |
| Individual Objectives | Our NEOs' progress on meeting pre-set and approved individual objectives for the fiscal year, most of which fall into the objectives above. |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.