DEF 14A of Public Service Enterprise Group Inc
Filed Mar 12, 2026 · FY20250001193125-26-104270
GOVERNANCE HIGHLIGHTS FOR DIRECTOR NOMINEES
GOVERNANCE HIGHLIGHTS FOR DIRECTOR NOMINEES
GOVERNANCE HIGHLIGHTS FOR DIRECTOR NOMINEES
| Demographics | LaRossa | Tomasky | Deese | Gentoso | Pérez | Smith | Stephenson | Sugg | Surma | Tanji | Williams | | TENURE/AGE | | | | | | | | | | | | | Tenure (years) | 3 | 14 | 10 | 4 | 2 | 4 | 6 | 7 | 6 | 3 | 0 | | Age | 62 | 73 | 70 | 49 | 66 | 70 | 68 | 65 | 71 | 60 | 64 | | RACE/ETHNICITY | | | | | | | | | | | | | African American | | | | | | | | | | | | | Asian/Pacific Islander | | | | | | | | | | | | | White/Caucasian | | | | | | | | | | | | | Hispanic/Latino | | | | | | | | | | | | | Native American | | | | | | | | | | | | | GENDER | | | | | | | | | | | | | Male | | | | | | | | | | | | | Female | | | | | | | | | | | |
OUR DIRECTOR NOMINEES
OUR DIRECTOR NOMINEES
OUR DIRECTOR NOMINEES
| Name | Age* | Director Since | Primary Occupation** | Independent | Committee Memberships*** | | Ralph A. LaRossa | 62 | 2022 | Chair of the Board, President and Chief Executive Officer of PSEG | | E (Chair) | | Susan Tomasky Lead Independent Director | 73 | 2012 | Retired President of AEP Transmission of American Electric Power Corporation | ● | E | | Willie A. Deese | 70 | 2016 | Retired Executive Vice President of Merck & Co. Inc. | ● | A, E, G (Chair), O | | Jamie M. Gentoso | 49 | 2022 | Former President of Holcim Building Envelope and Global Head of Solutions and Products Business Unit, Holcim | ● | F, IO | | Ricardo G. Pérez | 66 | 2024 | Retired President and Chief Operating Officer of Westinghouse Electric Company | ● | G, IO | | Valerie A. Smith | 70 | 2022 | President of Swarthmore College | ● | G, O | | Scott G. Stephenson | 68 | 2020 | Retired Chairman of the Board, President and Chief Executive Officer of Verisk Analytics, Inc. | ● | A, F (Chair), IO | | Laura A. Sugg | 65 | 2019 | Retired President of Australasia Division of ConocoPhillips Corporation | ● | A, F, IO (Chair) | | John P. Surma | 71 | 2019 | Retired Chairman of the Board and Chief Executive Officer of United States Steel Corporation | ● | G, IO, O (Chair) | | Kenneth Y. Tanji | 60 | 2023 | Retired Executive Vice President and Chief Financial Officer, Prudential Financial, Inc. | ● | A, F | | Geisha J. Williams | 64 | 2026 | Retired President and Chief Executive Officer of PG&E Corporation | ● | |
OUR DIRECTOR NOMINEES
*Director age as of the 2026 Annual Meeting **CEO=Chief Executive Officer; EVP=Executive Vice President; COO=Chief Operating Officer; CFO=Chief Financial Officer ***A=Audit; E=Executive; F=Finance; G=Governance, Nominating and Sustainability; IO=Industrial Operations; O=Organization and Compensation Lead Independent Director, Committee Chair and Committee member positions are indicated as of the date of this Proxy Statement. If elected, we currently anticipate as part of our commitment to Board refreshment, and subject to the Governance, Nominating and Sustainability Committee’s recommendation and the Board’s approval following the 2026 Annual Meeting, the following changes in the Lead Independent Director and Committee Chair roles: • Mr. Deese to succeed Ms. Tomasky as the Lead Independent Director; • Mr. Tanji to replace Mr. Ostrowsky as Chair of the Audit Committee; • Ms. Sugg to replace Mr. Stephenson as Chair of the Finance Committee; • Mr. Surma to replace Mr. Deese as Chair of the Governance, Nominating and Sustainability Committee; • Mr. Stephenson to replace Ms. Sugg as Chair of the Industrial Operations Committee; and Ms. Smith to replace Mr. Surma as Chair of the Organization and Compensation Committee.
EXECUTIVE COMPENSATION HIGHLIGHTS
| Key Components | Type | Rationale | | Base salary | Fixed | Experience, skills, scope of role, performance and competitive market. | | Annual cash incentive award under our Management Incentive Compensation Plan (MICP) | Variable performance-based | Emphasis on Operating EPS (non-GAAP) as the corporate financial objective, business scorecards, including operational and people metrics, and critical strategic initiatives. Payout opportunity from zero to 200% of target percentage of salary. | | Equity-based incentive awards under our Long-Term Incentive Plan (LTIP), consisting of PSUs and restricted stock units (RSUs) | Variable performance-based | PSUs (70% for the Named Executive Officers (NEOs)) are measured over a three-year period based upon: (i) Total Shareholder Return (TSR) vs. peers; (ii) EPS Growth; and (iii) Sustainability Index priorities with the opportunity to earn between zero and 200% of target. PSUs cliff vest at the end of the three-year period, unless retirement eligible, when PSUs vest 1/36 per month. RSUs (30% for the NEOs) have graded vesting over three years (1/3 per year), unless retirement eligible, when RSUs vest 1/12 per month over one year. All of our NEOs are retirement eligible, except for Grace H. Park. | | Retirement and post-employment benefits | | Assist in attracting and retaining our executives and provide a competitive benefits package to our employees. |
2025 TARGET COMPENSATION SUMMARY
| | | | | | | Target Total | | | Base | Annual | Target Total | Long-Term Incentive ($) | | Compensation | | Executive | Salary ($) | Incentive | Cash ($) | PSUs | RSUs | ($) | | Ralph A. LaRossa | 1,386,000 | 135% | 3,257,100 | 6,300,079 | 2,700,075 | 12,257,254 | | Daniel J. Cregg | 854,000 | 90% | 1,622,600 | 1,750,035 | 750,077 | 4,122,712 | | Kim C. Hanemann | 802,100 | 85% | 1,483,885 | 1,400,044 | 600,045 | 3,483,974 | | Grace H. Park | 700,000 | 80% | 1,260,000 | 980,023 | 420,023 | 2,660,046 | | Charles V. McFeaters | 700,000 | 75% | 1,225,000 | 910,073 | 390,033 | 2,525,106 |
OVERVIEW OF BOARD NOMINEES
OVERVIEW OF BOARD NOMINEES You are being asked to vote on the election of eleven Directors. Our Corporate Governance Principles place great emphasis on diversity that utilizes a broad meaning to include a balance of factors such as background, experience, leadership positions, skills, accomplishments, financial expertise, professional interests, personal qualities and other traits desirable for achieving an appropriate group of qualified individuals. Our Governance Committee evaluated the nominees and recommended them to the full Board, which approved their nomination. Vote required: Each Director must receive the affirmative vote of a majority of the votes cast with respect to the Director’s election in order to be elected. Abstentions and broker non-votes will have no effect on the outcome of this proposal. See Majority Voting for Election of Directors on page 90.
Diversity of Skills, Qualifications and Experience
| Executive Leadership & Business Strategy Experience in guiding complex organizations, including developing and implementing corporate strategies and long-term business plans. | Accounting/Finance Experience in capital markets, corporate or private organization finance, or accounting, through managing or serving in such functions at large public companies or private entities, or through service on a public company board. | Construction/Engineering/ Manufacturing Experience in managing construction, engineering or manufacturing projects and other related activities. | | Corporate Governance Experience with board oversight and/or management accountability, as well as protecting shareholder and other stakeholder interests. | Customer Satisfaction & Community Ties Experience with meeting customer needs and expectations, including optimizing the customer experience, or with the communities we serve through residence, employment or other ties. | Energy Industry Experience in utility, energy or nuclear operations. | | Environment/Sustainability Experience in overseeing, advising or being responsible for environmental, climate or sustainability practices; or understanding of environmental, sustainability and climate policy, regulation, risk or impacts. | Government/Policy/Regulatory Experience in law, public policy, government affairs or regulatory matters to provide insight and develop strategies that incorporate current and potential changes, as well as risks, in these areas. | Human Capital Management Experience in attracting, developing and retaining a talented workforce, as well as fostering an inclusive workplace culture. | | Industrial Operations & Safety Experience in businesses with capital intensive and complex infrastructure projects, including the safety of the workforce and the public. | Risk Management Experience overseeing or managing financial, operational, regulatory, reputational and other significant risks that affect our business. | Technology/Cybersecurity Experience with digital technology, including technology innovation, as well as the security and integrity of digital assets and systems and their associated cyber threats, risks and mitigations. |
NOMINEES FOR DIRECTOR
NOMINEES FOR DIRECTOR Set forth on the following pages is important information about our Director nominees, reflective as of the date of this Proxy Statement.
NOMINEES FOR DIRECTOR
| | THE BOARD RECOMMENDS A VOTE FOR EACH OF THE NOMINEES BELOW. |
NOMINEES FOR DIRECTOR
| RALPH A. LAROSSA Chair of the Board, President and CEO, PSEG Age: 62 Director since: 2022 | Committees Executive (Chair) Current Public Company Directorships None Prior Public Company Directorships None Experience Chair of the Board since January 2023 and President and CEO of PSEG since September 2022. Chair of the Boards of PSE&G, PSEG Power, PSEG Energy Holdings and PSEG Services Corporation since September 2022. Joined PSE&G in 1985 as an associate engineer and held numerous executive and operational leadership positions across all of our business segments, including as COO of PSEG from January 2020 to August 2022, President and COO of PSEG Power from October 2017 to August 2022, and President and COO of PSE&G from October 2006 to October 2017. Education BE – Engineering, Stevens Institute of Technology Reasons for Nomination • In-depth knowledge of PSEG business management, strategic planning and regulatory matters gained through his many years in leadership positions at PSEG. Starting in our gas division, he led operations of all of our business segments throughout his career. • Extensive senior leadership experience in operations, human capital management and workplace culture gained through numerous executive and operational positions held at PSEG and its subsidiaries. • Highly valuable experience in risk management and safety as well as in cybersecurity and information technology. • Industry expertise and knowledge of PSEG’s strengths, opportunities, service territory and corporate culture. | | SUSAN TOMASKY Lead Independent Director, PSEG Retired President, AEP Transmission of American Electric Power Corporation Age: 73 Director since: 2012 | Committees Executive Current Public Company Directorships Fidelity Equity and High Income Mutual Funds Prior Public Company Directorships Andeavor Corporation; Marathon Petroleum Corporation; Summit Midstream Partners, LP Experience Lead Independent Director of PSEG since April 2022. Director of PSE&G (wholly owned subsidiary of PSEG) since April 2020. Member of the Advisory Board of certain Fidelity funds from February 2020 to June 2020. President, AEP Transmission of American Electric Power Corporation (AEP), Columbus, Ohio, an electric utility holding company with generation, transmission and distribution businesses, from May 2008 to July 2011, and held executive positions with AEP from July 1998 to May 2008, including EVP, CFO and General Counsel. General Counsel of the U.S. Federal Energy Regulatory Commission (FERC) from March 1993 to June 1997. Education JD – George Washington University; BA – Liberal Arts, University of Kentucky Reasons for Nomination • Broad electric industry executive experience from key leadership positions involving transmission operations, services and governance at one of the largest utility holding companies in the United States. • In-depth knowledge of industry financial and legal matters acquired as CFO and General Counsel at AEP. • Highly valuable experience in oversight of regulated business and environmental matters gained as General Counsel of FERC. • Deep knowledge of, and valuable perspective on, utility management, finance, law, risk management, human capital management and workplace culture, and governmental regulation. |
NOMINEES FOR DIRECTOR
| WILLIE A. DEESE Retired EVP, Merck & Co. Inc. and President, Merck Manufacturing Division Age: 70 Director since: 2016 | Committees Audit; Executive; Governance, Nominating and Sustainability (Chair); Organization and Compensation Current Public Company Directorships Dentsply Sirona USA Prior Public Company Directorships CDK Global, Inc.; G1 Therapeutics, Inc. Experience Director of PSE&G (wholly owned subsidiary of PSEG) since December 2023. Executive Vice President of Merck & Co. Inc., which develops, manufactures and distributes pharmaceuticals, from January 2008 until June 2016, President of Merck Manufacturing Division from 2005 until 2008, and SVP of Global Procurement at Merck from 2004 to 2005. Prior to that, SVP of Global Procurement and Logistics at GlaxoSmithKline, a pharmaceutical company. Education MBA – Western New England University; BA – Business Administration, North Carolina A&T State University Reasons for Nomination • Significant regulatory, manufacturing and procurement experience gained through his service as EVP of Merck & Co., President of Merck Manufacturing Division and SVP of Global Procurement and Logistics at GlaxoSmithKline. • Thorough understanding of the many regulatory requirements our Company faces gained through extensive leadership experience in a highly-regulated industry. • In-depth knowledge of human capital management and workplace culture. • Deep knowledge of manufacturing and technology contributes to strong oversight of our operations and overall cost effectiveness. | | JAMIE M. GENTOSO, P.E. Former President of Holcim Building Envelope, Global Head of Solutions & Products Business Unit, Holcim Age: 49 Director since: 2022 | Committees Finance; Industrial Operations Current Public Company Directorships None Prior Public Company Directorships None Experience President of Holcim Building Envelope, Global Head of Solutions & Products Business Unit, and Executive Committee member at Holcim, a Swiss multinational company that manufactures building materials, from March 2021 to March 2025. Previously, CEO of the U.S. Cement Operations for Holcim from May 2018 to February 2021. VP of Sales and Marketing, Construction Specialties from September 2017 to May 2018, and various leadership positions at Sika Corporation US, from March 2007 to August 2017. Ms. Gentoso is a registered Professional Engineer. Education MBA – University of Michigan; BS – Civil Engineering, University of Michigan Reasons for Nomination • Extensive experience in engineering, sustainability, operations and safety, including responsibility for full supply chain, capital programs and manufacture of roofing, insulation, waterproofing, adhesives and cement product lines. • Valuable managerial experience and oversight of operational excellence, customer satisfaction, and human capital management and workplace culture. • Broad knowledge of sales and marketing and product management acquired during her 20+ year career in construction and construction materials. • Valuable experience gained through executive positions in industry addressing climate and sustainability, as well as from advocacy for climate and sustainability through various advisory positions at industry organizations. Led business unit sustainability roadmap in order to meet Holcim’s 2050 Net Zero commitment where 2030 and 2050 targets have been validated by Science-Based Target initiative. • Led multi-billion-dollar international business unit with extensive strategic acquisition and transaction experience. |
NOMINEES FOR DIRECTOR
| RICARDO G. PÉREZ Retired President and COO, Westinghouse Electric Company Age: 66 Director since: 2024 | Committees Governance, Nominating and Sustainability; Industrial Operations Current Public Company Directorships None Prior Public Company Directorships None Experience Senior Vice President and Chief Administrative Officer, and SVP, Nuclear Operations Support and Projects at Tennessee Valley Authority from 2013 to 2017. From 1981 to 2013, held various leadership roles at Westinghouse Electric Company, including President and COO from 2010 to 2013. Member of the University of Florida Nuclear Engineering Advisory Board and an executive member of the Latino Corporate Directors Association. Education MS – Engineering, University of Pittsburgh; BS – Engineering, University of Florida Reasons for Nomination • Extensive experience in nuclear operations and safety through executive leadership roles at Westinghouse Electric Company and Tennessee Valley Authority. • Significant understanding of regulatory requirements applicable to our Company gained through extensive energy industry experience. • Valuable background in supply chain, information technology, cyber and physical security matters. • Strong track record of inclusive leadership and human capital management and workplace culture matters. | | VALERIE A. SMITH President, Swarthmore College Age: 70 Director since: 2022 | Committees Governance, Nominating and Sustainability; Organization and Compensation Current Public Company Directorships None Prior Public Company Directorships None Experience President of Swarthmore College, a private liberal arts college, since July 2015. Dean of the College, Princeton University from 2011 until 2015, served as Founding Director of Princeton University’s Center for African American Studies from 2006 to 2009, and Director of Princeton University’s Program in African American Studies from 2002 to 2006. Served as Woodrow Wilson Professor of Literature, Professor of English and African American Studies, Princeton University from 2001 to 2015. Education PhD – University of Virginia; MA – University of Virginia; BA – Bates College Reasons for Nomination • In-depth knowledge of human capital management and workplace culture matters, including from leadership positions at Swarthmore College and Princeton University and being a scholar of African American Studies. • Significant experience in management and strategic planning acquired as President of Swarthmore College and Dean of the College, Princeton University. • Valuable background knowledge in climate risk management and sustainability gained as President of Swarthmore College. • Strong track record in varied leadership roles. |
NOMINEES FOR DIRECTOR
| SCOTT G. STEPHENSON Retired Chairman of the Board, President and CEO, Verisk Analytics, Inc. Age: 68 Director since: 2020 | Committees Audit; Finance (Chair); Industrial Operations Current Public Company Directorships Definitive Healthcare Corporation Prior Public Company Directorships Verisk Analytics, Inc. Experience Chairman of the Board and CEO of Verisk Analytics, Jersey City, New Jersey, a data analytics and risk assessment company, from April 2013 to May 2022, and President from March 2011 to May 2022. Between 2001 and 2011, held various leadership positions at Verisk Analytics, including COO, head of the Decision Analytics segment, EVP and President of its Intego Solutions segment. Partner with the Boston Consulting Group from 1989 to 1999. Education MBA – Business Administration, Harvard Business School; BS – Mechanical Engineering, University of Virginia Reasons for Nomination • Significant strategic leadership, financial management, human capital management and workplace culture experience as Chairman, President and CEO of Verisk Analytics. • Valuable innovation, technology, data analytics, customer service and risk assessment experience from his various senior management and operational positions at Verisk Analytics. • In-depth operations and value creation experience gained from his positions at the Boston Consulting Group. | | LAURA A. SUGG Retired President, Australasia Division of ConocoPhillips Corporation Age: 65 Director since: 2019 | Committees Audit; Finance; Industrial Operations (Chair) Current Public Company Directorships Kinetik Holdings Inc.; Murphy Oil Corporation Prior Public Company Directorships The Williams Companies, Inc.; Denbury Resources, Inc. Experience President, Australasia Division of ConocoPhillips Corporation, Houston, Texas, a leading worldwide oil and gas exploration and development company, from July 2005 to February 2007. General Manager-Human Resources, exploration and production of ConocoPhillips from October 2003 to June 2005. From 2001 to 2003, VP of Worldwide Gas of Phillips Petroleum, and later General Manager of Midstream of ConocoPhillips. Education BS – Chemical Engineering, Oklahoma State University Reasons for Nomination • Extensive experience in engineering and operations, including responsibility for major exploration and production operations. • Valuable background in corporate planning, business development and regulatory matters acquired through executive roles at ConocoPhillips. • In-depth knowledge of human capital management and workplace culture matters from leadership experience in human resources management. • Strong track record across disciplines gained through her success in varied roles at ConocoPhillips. |
NOMINEES FOR DIRECTOR
| JOHN P. SURMA Retired Chairman and CEO, United States Steel Corporation Age: 71 Director since: 2019 | Committees Governance, Nominating and Sustainability; Industrial Operations; Organization and Compensation (Chair) Current Public Company Directorships Trane Technologies plc; Marathon Petroleum Corporation (and its consolidated subsidiary, MPLX GP LLC)* Prior Public Company Directorships Concho Resources, Inc.; Bank of New York Mellon Corporation; Mellon Bank Corporation; Calgon Carbon Corporation Experience Chairman and CEO, United States Steel Corporation, a leading global integrated steel producer, from October 2004 through September 2013 and Executive Chair until December 2013. President and COO of United States Steel Corporation from February 2003 to October 2004; CFO from January 2002 to February 2003. Chair of the Board of the Federal Reserve Bank of Cleveland from 2017 to 2018; Chair of the National Safety Council from September 2015 to September 2017. Education BS – Accounting, Pennsylvania State University Reasons for Nomination • Experienced leader with a strong background in financial, human capital management, workplace culture, operations, safety, manufacturing and regulatory matters as Chairman and CEO of United States Steel Corporation. • Deep knowledge of enhancing shareholder value in a complex enterprise. • Significant financial and accounting expertise as the CFO of United States Steel Corporation. • Extensive experience in strategic, operational and financial oversight gained as a Director of large public company boards. *Mr. Surma transitioned from Independent Chair of the Marathon Petroleum Corporation Board of Directors to its Lead Independent Director. Due to their affiliate nature, we count Mr. Surma’s concurrent service on the boards of Marathon Petroleum Corporation and its wholly owned subsidiary, MPLX GP LLC, as one for purposes of the numerical limits on outside public company board memberships contained in our Director time commitments policy. For more information on this policy, please see page 21. | | KENNETH Y. TANJI Retired EVP and CFO, Prudential Financial, Inc. Age: 60 Director since: 2023 | Committees Audit; Finance Current Public Company Directorships Centene Corporation Prior Public Company Directorships None Experience Executive Vice President and Chief Financial Officer of Prudential Financial, Inc. from December 2018 to March 2024, overseeing global financial management matters, including financial reporting, investor relations, treasury, tax, corporate development and actuarial. SVP and Treasurer at Prudential Financial, Inc. from March 2013 to November 2018. CFO of Prudential’s International businesses from January 2010 to March 2013; Senior Financial Officer of Prudential Annuities from August 2006 to January 2010. Trustee and Treasurer for the New Jersey Institute for Social Justice. Education MBA – Finance, University of Minnesota; BA – Economics, Yale University Reasons for Nomination • In-depth knowledge of public company accounting and financial matters, as well as corporate development, gained from various leadership positions. • Deep understanding of enhancing shareholder value in a complex enterprise. • Strong track record of inclusive leadership and human capital management and workplace culture. • Extensive knowledge of our service territory benefiting our large, diverse customer base. |
NOMINEES FOR DIRECTOR
| GEISHA J. WILLIAMS Retired President and CEO, PG&E Corporation Age: 64 Director since: 2026 | Committees To be determined Current Public Company Directorships Siemens Energy AG; Meritage Homes Prior Public Company Directorships PG&E Corporation Experience Former President and Chief Executive Officer at PG&E Corporation, a public company focused on natural gas and electric energy, from 2017 to 2019. President, Electric of Pacific Gas and Electric Company (PG&E Corporation’s utility subsidiary) from August 2015 to February 2017; the utility’s Executive Vice President, Electric Operations from June 2011 to August 2015; and the utility’s Senior Vice President, Energy Delivery from December 2007 to May 2011. Before joining PG&E, held officer-level positions leading electric distribution at Florida Power and Light Company, an electric utility serving customers in Florida. Education MBA, Nova Southeastern University; BS - Industrial Engineering, University of Miami Reasons for Nomination • Extensive experience in energy industry through executive leadership roles at PG&E Corporation and Florida Power & Light Company. • Significant understanding of regulatory requirements and public policy matters applicable to our Company gained through significant industry experience. • Broad knowledge of customer service which is of great benefit for matters relating to our large customer base. • Significant human capital management, corporate governance, environmental, strategic planning and implementation, and financial experience gained from management of a large comprehensive energy business. |
NOMINEES FOR DIRECTOR
| Corporate Governance – Role of the Board |
Board Oversight of Cybersecurity
Board Oversight of Cybersecurity To reduce the likelihood and severity of cybersecurity incidents, we maintain a comprehensive cybersecurity program designed to protect and preserve the confidentiality, integrity and availability of our technology systems and business operations. The Board, IOC, Audit Committee and senior management receive reports on: personnel and resources to monitor and address cybersecurity threats; technological advances in cybersecurity protection; evolving cybersecurity threats that may affect us and our industry; cybersecurity incident response and applicable cybersecurity laws, regulations and standards; and collaboration with intelligence and enforcement agencies and industry groups to assure timely threat awareness and response coordination. Risks associated with potential or actual cybersecurity incidents are promptly escalated by senior management to the Board outside of regularly scheduled meetings, if and as appropriate. Our cybersecurity program focuses on: Governance: Board Oversight: The IOC holds primary responsibility for overseeing our cybersecurity program and assessing compliance through active, independent and critical oversight. Cybersecurity is a standing agenda item at each IOC meeting, which includes discussion about operational technology (OT) and information technology (IT) cyber risks, cybersecurity updates from the CISO and/or CIDO and reviews of the corporate cybersecurity scorecard and performance indicators. The IOC meets with the CISO in Executive Session. Cybersecurity Council: Comprised of members of senior management and meets at least six times annually to receive reports on the state of PSEG’s cybersecurity program, provide guidance on the strategic direction of the program, discuss emerging cybersecurity issues and review the cybersecurity scorecard to measure performance of key risk indicators. Ensures that senior management, and ultimately, the Board, is given the information required to exercise proper oversight over cybersecurity risks and that escalation procedures are followed. Management Responsibility: The CIDO has overall management responsibility for cybersecurity, including the assessment and management of material risks to the Company from cybersecurity threats. Documentation: Documented corporate practices provide that potential or actual delineated cybersecurity incidents must be escalated promptly to senior management. Risk Management and Strategy: Training and Awareness: Provides mandatory annual cybersecurity training to all personnel with network access and additional education to personnel with access to industrial control systems and/or customer information systems. Conducts phishing exercises with progressive consequences for failures. Shares periodic cybersecurity awareness messages and, in recognition of Cybersecurity Awareness Month, hosts presentations from cyber experts covering diverse cyber topics. Technical Safeguards: Manages controls to protect our network perimeter, internal IT and OT environments, including internal and external firewalls, network intrusion detection and prevention controls, penetration testing, vulnerability assessments, threat intelligence, endpoint security and access controls. Incident Response Plan: Maintains and periodically updates a cyber incident response plan that covers technical (i.e., detection, response and recovery) and collaborative (i.e., external communication/disclosure and legal compliance) aspects of cyber incident and breach response; and conducts tabletop exercises to test plan effectiveness (both internally and through external exercises). Mobile Security: Maintains controls to prevent loss of data through mobile devices. Artificial Intelligence (AI) Security: Maintains AI governance, including policies and a council; incorporates AI into Nth Party Risk Assessment process; implements technical controls enabling efficient AI use; and combats sophisticated threats that make use of AI. Ongoing Assessment: Actions daily assessments from cyber professionals on material risks from cybersecurity threats. Engagement of Nth Parties: Engages Nth parties (third parties and other business relationships, including fourth parties, etc.), such as cybersecurity service providers, risk management firms and external legal counsel, to assess material risks from cybersecurity threats, assess our internal incident response preparedness and cyber posture, support incident response, conduct tabletop exercises and comply with applicable laws and regulations. Nth Party Service Provider Management: Maintains a risk-based vendor management program, including cybersecurity contractual provisions, vendor security assessments and, if appropriate, periodic audits. Physical Security of Assets: Maintains physical security measures to protect our OT systems, consistent with a defense in-depth and risk-tiered approach. Physical security measures may include access control systems, video surveillance, around-the-clock command center monitoring and physical barriers (e.g., fencing, walls and bollards). Additional features of PSEG’s physical security program include threat intelligence, insider threat mitigation, background checks, a threat level advisory system, a business interruption management model and active coordination with federal, state and local law enforcement officials.
Delinquent Section 16(a) Reports
| Director Compensation |
DIRECTOR COMPENSATION
DIRECTOR COMPENSATION The table below reports 2025 compensation to Directors except Mr. LaRossa, as explained below, under How Our Directors Are Compensated.
DIRECTOR COMPENSATION
| | Fees Earned or Paid in Cash ($)(1) | Stock Awards ($)(2) | Option Awards ($) | Non-Equity Incentive Plan Compensation ($) | Change in Pension Value and Nonqualified Deferred Compensation Earnings ($) | All Other Compensation ($)(3) | Total ($) | | Willie A. Deese | 145,000 | 180,053 | - | - | - | 8,650 | 333,703 | | Jamie M. Gentoso | 120,000 | 180,053 | - | - | - | 7,650 | 307,703 | | Barry H. Ostrowsky | 150,000 | 180,053 | - | - | - | 1,150 | 331,203 | | Ricardo G. Pérez | 120,000 | 180,053 | - | - | - | 1,150 | 301,203 | | Valerie A. Smith | 120,000 | 180,053 | - | - | - | 8,650 | 308,703 | | Scott G. Stephenson | 145,000 | 180,053 | - | - | - | 8,650 | 333,703 | | Laura A. Sugg | 145,000 | 180,053 | - | - | - | 150 | 325,203 | | John P. Surma | 150,000 | 180,053 | - | - | - | 8,650 | 338,703 | | Kenneth Y. Tanji | 120,000 | 180,053 | - | - | - | 8,650 | 308,703 | | Susan Tomasky | 160,000 | 180,053 | - | - | - | 1,150 | 341,203 |
DIRECTOR COMPENSATION
| (1) Includes any Lead Independent Director and Committee Chair fees and the annual retainer, as described below under How Our Directors Are Compensated, and reflects time served in a particular position throughout the year. Includes the following amounts deferred pursuant to the Directors’ Deferred Compensation Plan, described below. |
DIRECTOR COMPENSATION
| Deese ($) | Gentoso ($) | Ostrowsky ($) | Pérez ($) | Smith ($) | Stephenson ($) | Sugg ($) | Surma ($) | Tanji ($) | Tomasky ($) | | - | - | - | - | 120,000 | - | - | - | 120,000 | - |
DIRECTOR COMPENSATION
| (2) For each, the grant date fair value of the award on May 1, 2025 equated to 2,289 stock units, rounded up to the nearest whole share, based on the then-current market price of the common stock of $78.66. In addition, each individual’s account is credited with additional stock units on the quarterly dividend dates at the then-current dividend rate. The following table shows outstanding stock units granted under the Directors’ Equity Plan as of December 31, 2025: |
DIRECTOR COMPENSATION
| | Deese (#) | Gentoso (#) | Ostrowsky (#) | Pérez (#) | Smith (#) | Stephenson (#) | Sugg (#) | Surma (#) | Tanji (#) | Tomasky (#) | | Stock Units | 22,648 | 11,142 | 23,204 | 5,059 | 11,142 | 16,941 | 19,824 | 14,223 | 7,120 | 50,532 | | Restricted Stock | - | - | - | - | - | - | - | - | - | - |
DIRECTOR COMPENSATION
| (3) Consists of charitable contributions made by us on behalf of each individual, including through our matching gift program available to all employees and Directors. |
How Our Directors Are Compensated
How Our Directors Are Compensated As provided in our Corporate Governance Principles, Director compensation is reviewed periodically by the Governance Committee, which recommends approval to the Board. Our compensation to non-management Directors is benchmarked against our peer companies in order to be able to attract and retain high quality Board members. This compensation includes a cash retainer, RSUs and reimbursement for expenses for attending Board and Committee meetings and related functions. Ralph A. LaRossa, who is compensated as our CEO does not receive any additional compensation for Board membership. His compensation as an employee is shown in this Proxy Statement in the executive compensation tables and in the Executive Compensation section. In accordance with PSEG’s Certificate of Incorporation, the Company provides indemnity and reimbursement of expenses to the full extent permitted by law and provides Directors’ and officers’ insurance. The Independent Directors are compensated according to the schedule shown below. All amounts are paid in cash, except the equity grant, which is paid in common stock units equal to the amount shown. All payments to the Committee Chairs and Lead Independent Director, as indicated, are per assignment and are in addition to the annual retainer and equity grant. Directors receive no additional compensation for serving on the PSE&G Board. Every two years, the O&CC engages its independent compensation consultant, CAP, to advise the Governance Committee on the competitiveness of Director compensation. Based on CAP’s review of peer company market data, the fee schedule was last reviewed in 2025 and will be updated effective May 1, 2026. In September 2025, the Governance Committee recommended, and the full Board approved, an increase to the annual retainer from $120,000 to $125,000.
How Our Directors Are Compensated
| | Current Fee Schedule ($) | | Annual Retainer | 120,000 | | Annual Equity Grant | 180,000 | | Lead Independent Director | 40,000 | | Committee Chair: Audit; O&CC | 30,000 | | Committee Chair: Governance; Finance; Industrial Operations | 25,000 |
2025 Target Compensation Summary
| | | | | | | Target Total | | | Base | Annual | Target Total | Long-Term Incentive($) | | Compensation | | Executive | Salary ($) | Incentive | Cash ($) | PSUs | RSUs | ($) | | Ralph A. LaRossa | 1,386,000 | 135% | 3,257,100 | 6,300,079 | 2,700,075 | 12,257,254 | | Daniel J. Cregg | 854,000 | 90% | 1,622,600 | 1,750,035 | 750,077 | 4,122,712 | | Kim C. Hanemann | 802,100 | 85% | 1,483,885 | 1,400,044 | 600,045 | 3,483,974 | | Grace H. Park | 700,000 | 80% | 1,260,000 | 980,023 | 420,023 | 2,660,046 | | Charles V. McFeaters | 700,000 | 75% | 1,225,000 | 910,073 | 390,033 | 2,525,106 |
Executive Compensation Best Practices
| | What We Do | | What We Don’t Do | | | Pay for performance, with a significant portion of target compensation at risk | | No guaranteed incentive compensation | | | Use of sustainability metrics in both the MICP and LTIP for the PSU component | | No excise tax gross ups | | | Set stretch performance goals, and disclose them for forward-looking PSU grants | | No hedging or pledging for any employee, including officers and Directors | | | Target competitive pay based on relevant market data, taking into consideration scope of role, performance and tenure in role | | No compensation plans that encourage or reward executives’ excessive risks | | | Payout cap maximum for incentive plans | | No dividends paid on unearned awards | | | Vesting of three years for PSUs and 3-year graded vesting period starting from the grant date for RSUs, unless retirement eligible | | No repricing or exchange of underwater stock options No excessive perks | | | Use of “double-trigger” in the event of a change-in-control to receive severance benefits | | No additional service credit for pension calculation | | | Apply clawback practices related to financial restatements or in the event of misconduct or material violations of our Standards of Conduct and covers the MICP and LTIP (RSUs and PSUs) | | | | | Utilize robust stock ownership guidelines for executives | | | | | Review of programs and practices by independent executive compensation consultant | | | | | Engage stockholders to solicit feedback on our compensation programs | | |
Executive Compensation Best Practices
| Compensation Discussion and Analysis – Peer Comparison and Benchmarking |
Peer Comparison and Benchmarking
Peer Comparison and Benchmarking
How We Choose Peers for Benchmarking
How We Choose Peers for Benchmarking We evaluate and set executive compensation to be competitive within a peer group comprising similarly-sized utilities. We consider our peers’ earnings, market capitalization, operational characteristics, price-to-earnings ratio and revenue. Because our revenue is driven by energy demand and prices that are outside the control of management, we emphasize earnings over revenue. We believe this approach is more reflective of the nature of our business when comparing across companies. Each year, we re-evaluate the peer group to assess its appropriateness. Our peer companies for 2025 are listed below.
How We Choose Peers for Benchmarking
| | Peer Companies | | | Ameren Corporation | American Electric Power Co., Inc. | CenterPoint Energy, Inc. | | CMS Energy Corporation | Consolidated Edison, Inc. | Dominion Energy, Inc. | | DTE Energy Company | Duke Energy Corporation | Edison International | | Entergy Corporation | Eversource Energy | Exelon Corporation | | FirstEnergy Corporation | PPL Corporation | Sempra Energy | | Southern Company | WEC Energy Group, Inc. | Xcel Energy Inc. |
How We Choose Peers for Benchmarking
For 2026, we did not make changes to the peer group.
How We Use Peer Data
| Review target compensation levels at the market median of the peer group of comparable positions with a design that enables above median actual pay for top quartile performance (individual and Company). Above market median pay (e.g., 75th percentile) targeted for significant contributions and sustained strong performance levels, as well as scope and responsibilities. | Assess our performance under our LTIP (e.g., relative TSR) and the alignment between pay and performance. | Review incentive plan design, equity usage and governance practices. |
How We Use Peer Data
Pay Governance LLC is management’s compensation consultant for executive and broad-based compensation. Pay Governance LLC provides market compensation data for our officers, including the NEOs, and assists in analyzing the annual Willis Towers Watson Energy Services Executive Compensation Survey Report – U.S. market data using the peer companies. We use the peer group data to the extent each position is reported in the survey. The O&CC’s independent consultant, CAP, reviews the outcome of the competitive assessment and provides supplemental data on the peer group as required.
How We Compensate Our Executives
| Element | Link to Business & Talent Strategy | Link to Performance | Form | | Base Salary Fixed Pay | Recognizes executives’ competencies, experience, job responsibilities, skills, internal equity and the competitive market for the position | Individual Performance | Cash | | Annual Cash Incentive At Risk Pay | Incentivizes the achievement of key financial, operational, people and strategic goals | Multiple performance measures, with a strong emphasis on non-GAAP EPS, measured over a one-year period with a payout ranging from 0% - 200% of target | Cash | | Equity-Based Incentive Awards At Risk Pay | Aligns NEOs’ interests with long-term interests of shareholders and the Company by rewarding for strong stock price performance, earnings growth and achieving sustainability goals | 70% PSUs and 30% RSUs; Payout for the PSUs (if any) based on TSR vs. peers (50%), EPS Growth (25%), and Sustainability Index (25%); Payouts range from 0% - 200% of target; PSUs vest at the end of three years | Common Stock | | Retirement and Post Employment Benefits | Facilitates attraction and retention and provides participants with the opportunity to effectively manage the timing of income and tax liability | – | Cash |
Annual Cash Incentive
Annual Cash Incentive Our NEOs are eligible for an annual cash incentive under our MICP. The O&CC evaluates each NEO’s incentive compensation based on achievement of specific performance goals relating to the Company’s earnings, business unit scorecards and strategic critical initiatives. The O&CC approves the incentive compensation for all NEOs except the CEO. The O&CC recommends the CEO’s incentive compensation to the Board, which approves it. The business unit scorecard goals focus on the following categories: People and Safety, Reliability, Customer and Sustainability, which are benchmarked, when possible, against the broader utility industry, setting our targets at the top quartile (or the top decile for safety-related measures). Other metrics are set at targets demonstrating continuous improvement from prior year performance. People-related goals include safety, staffing and New Jersey spend. Customer and Reliability includes System Average Interruption Duration Index, cybersecurity measures, JD Power measures and other reliability measures. Sustainability includes renewable energy generation, energy efficiency and performance indicators. Strategic critical initiatives for 2025 focused on building a strong safety culture and supporting sustainable growth. These critical initiatives include strengthening and enhancing training and practices to emphasize safety, optimizing vendor management, securing a contract extension at PSEG Long Island and actively addressing customer value. Each NEO’s performance under each applicable factor – corporate EPS, business unit scorecard and strategic critical initiatives – could range from zero to 2.0 (200%) based on the achievement of pre-determined goals.
Executive Long-Term Incentive
Executive Long-Term Incentive Annual equity grants are typically made each February. Factors that are considered in determining award amounts are the competitive market and the individual’s role, responsibilities and contributions, as well as talent retention needs. With respect to the CEO, the O&CC develops a recommended award opportunity in consultation with CAP and presents the proposal for approval by the Board.
Executive Long-Term Incentive
| 2025 LTIP (2025 – 2027 Performance Period) | | | 70% PSUs • Rewards strong financial and stock price performance over a longer time frame than annual awards • Facilitates retention, as recipient generally must remain an employee through vesting dates to earn payout, unless retirement eligible • Aligns the interest of officers with long-term stockholder value • PSUs are denominated in units of common stock and are subject to achievement of certain performance goals over a three-year period, vesting at the end of the performance period • Awards can be earned from 0%-200% of target based on Relative TSR (50%), EPS Growth (25%) and Sustainability (25%) | 30% RSUs • Facilitates retention, as recipient generally must remain an employee through vesting dates to earn payout, unless retirement eligible • Aligns the interest of officers with long-term stockholder value • RSUs are denominated in units of common stock and vest beginning with the 2024 grant, on a graded basis over three years starting from the date of grant. At the end of the vesting period, shares are payable in common stock |
Executive Long-Term Incentive
2025 Grants: The metrics for our 2025 – 2027 PSU award, granted in February 2025, are as follows: • 50% relative TSR versus the peer panel; • 25% EPS Growth; and • 25% Sustainability index priorities: • Methane reduction target • Carbon-free generation target • Energy efficiency target – electric • Energy efficiency target – gas Each of the metrics will be calculated based on results over the 2025-2027 performance period. Target performance yields a 100% payout factor, threshold performance yields a 20% payout factor, and maximum performance yields a 200% payout factor. Payout percentages above and below target will be interpolated based on actual results. TSR: Relative TSR is determined by calculating the 25th, 50th and 75th percentiles of the peer group actual results, inclusive of PSEG’s actual result. Actual TSR will be measured with 50th percentile as target, 25th percentile as threshold and 75th percentile as maximum performance levels. EPS Growth: Consistent with our stated non-GAAP Operating EPS Growth rate of 5%-7%, average performance over the 2025-2027 performance period aligns with the growth rate range, with the midpoint of that growth rate range as the target, and the threshold and maximum 0.5% above and below the top and bottom of that range, respectively. Sustainability Index: Each of the four metrics in the Sustainability index are sub-weighted equally. Payout for the Sustainability index is measured by the sum of the payout factors of each sub-metric, provided the sum exceeds 20%. Methane Reduction (CO2 Equivalent Tons) will be measured as follows: -41.2% as a zero payout, -44.4% as target and -47.6% as maximum performance. Energy Efficiency Electric Savings (GWh) will be measured as follows: 348 as a zero payout, 1,393-2,089 as target range that is consistent with our BPU order and 2,612 as maximum performance. Energy Efficiency Gas Savings (thousands of therms) will be measured as follows: 11,317 as a zero payout, 45,269-67,904 as target range that is consistent with our BPU order and 84,879 as maximum performance. Carbon Free Generation (GWh) will be measured as follows: 93,139 as a zero payout, 95,040 as target and 96,941 as maximum performance. We believe these metrics will drive long-term shareholder value through a sustainable, predictable growth platform. The mix of the long-term incentive awards is consistent with the prior grants as described below, in the form of 70% PSUs and 30% RSUs vesting on a graded basis over three years starting on the date of the grant. The grants included in our Summary Compensation Table were approved in February 2025 for the NEOs. These grants have a three-year performance period ending December 31, 2027, and are shown in the 2025 Grants of Plan-Based Awards Table. These awards are also reported in the Summary Compensation Table at the grant date fair value.
2023 - 2025 PSU Payout
2023 - 2025 PSU Payout 2023 PSU Grant Result: LTIP awards of PSUs made for the three-year performance period ending December 31, 2025, were reported in our Proxy Statement at fair value at the time of the grants. These PSU grants were subject to the achievement of goals related to relative TSR, EPS Growth and Environmental, Social and Governance (ESG) Index.
2023 - 2025 PSU Payout
| 50% Relative TSR | 25% EPS Growth | 25% ESG Index | | Rewards management when we deliver value to shareholders in excess of our peers | Measured on operating earnings per share in year three | Based on actual attainment of goals for methane reduction, energy efficiency electric and gas savings, carbon free generation and relative performance in the Sustainalytics risk rating |
2023 - 2025 PSU Payout
The performance schedule for relative TSR is determined by calculating the 25th, 50th and 75th percentiles of the peer group actual results, inclusive of PSEG’s actual result. Payout percent above and below target will be interpolated based on PSEG’s results over the three-year performance period, as illustrated below. For 2023 grants, the peer group consisted of 18 companies plus PSEG. Based on the performance results for that period, as approved by the O&CC, Mr. Cregg, Ms. Hanemann, Ms. Park and Mr. McFeaters, and as recommended by the O&CC and approved by the Board, Mr. LaRossa, will receive payment in 2026 of shares of our common stock equal to 163% (see table below) of the grant target. The total 163% PSU payout for the 2023 PSU grants is derived from the following factors:
2023 - 2025 PSU Payout
| Metric | Weighting | Target/Payout Range | Score | Results | | Total Shareholder Return | 50% | Percentile within peer group: > or = 75th (Top Quartile) = 200% 50th = Target = 100% 25th = Threshold = 20% | 200% | • Top quartile | | EPS Growth | 25% | Measured on operating earnings per share in year three | 163% | • Exceeded our 2025 EPS target | | ESG Index | 25% | Targets, thresholds and maximums were established in accordance with our 2023-2025 Business Plan for the following metrics: (1) energy efficiency program targets for electric savings, (2) energy efficiency program targets for gas savings, (3) methane reductions driven by GSMP, (4) carbon free generation and (5) Sustainalytics risk rating | 89% | • High end of our targeted range of electric savings • Below our target for gas savings, but within the target range set by the BPU • Below target threshold for methane reductions • Above base target for our carbon free generation • First quartile for Sustainalytics ESG Risk Rating |
2023 - 2025 PSU Payout
Determination of Individual Payouts for Executives: Based on these results, participants earned a PSU payout of 163% for the 2023 PSU grant. The dollar amount of each payout, made in shares of our common stock, is shown below, calculated using the average of the high and low price of our common stock on February 24, 2026, $85.73. These amounts are reported in the Option Exercises and Stock Vested during 2025 Table.
2023 - 2025 PSU Payout
| NEO | PSUs Granted (#) | PSUs Earned (#)(1) | PSUs Payout ($)(1) | | Ralph A. LaRossa | 82,378 | 148,242 | 12,708,770 | | Daniel J. Cregg | 20,080 | 36,135 | 3,097,818 | | Kim C. Hanemann | 14,417 | 25,944 | 2,224,166 | | Grace H. Park | 2,207 | 3,972 | 340,482 | | Charles V. McFeaters | 10,218 | 18,313 | 1,569,985 |
2023 - 2025 PSU Payout
| (1) Reflects rounding and includes accrued dividend equivalents earned. |
Retirement and Post-Retirement Benefits
Retirement and Post-Retirement Benefits Deferred Compensation Plans: We offer a deferred compensation plan to our officers so they can more effectively manage their personal financial situations. Participants may elect to defer all or any portion of their cash compensation and may choose from among several different investment options based upon the choices available in our 401(k) Plan (except the Company Stock Fund and the Fidelity Brokerage Link Account). We also have a plan that provides officers with the opportunity to defer equity compensation. The election to defer shares underlying an equity award must be made before the services giving rise to the equity award are performed. Deferred shares are held in a Rabbi Trust. Additionally, effective January 1, 2025, the plan provides that a select group of management and highly-compensated employees (including non-officers) who elect the Core Contribution/401(k) Program shall be eligible for Core Contributions equal to 4% of Eligible Compensation, as defined under the Deferred Compensation Plan. Additional details about these deferred compensation plans are provided in the descriptions following the Non-Qualified Deferred Compensation Table. Retirement Benefits for Executives: Substantially all employees, including the NEOs, receive certain qualified retirement benefits under either the Pension Plan of Public Service Enterprise Group Incorporated (Pension Plan) or the Pension Plan of Public Service Enterprise Group Incorporated II (Pension Plan II), collectively referred to as the Pension Plans, which provide either a Final Average Pay Component or a Cash Balance Component. Effective January 1, 2026, Pension Plan II was merged into the Pension Plan. The nature of the individual’s pension plan benefit depends upon the date of hire. Mr. LaRossa, Mr. Cregg and Ms. Hanemann participate in the Final Average Pay Component, as they each began employment before January 1, 1996. Ms. Park and Mr. McFeaters participate in the Cash Balance Component, as they began employment after January 1, 1996. In addition to the Pension Plans, we provide certain nonqualified retirement benefits under the Reinstatement Plan and the Supplemental Executive Retirement Income Plan (Supplemental Plan). All of our NEOs participate in the Reinstatement Plan, and Mr. LaRossa also participates in the additional limited benefit provisions of the Supplemental Plan. Additional information is provided in the Pension Benefits Table and the accompanying narrative, below. Amounts reported for 2025 reflect changes in the discount rate as well as actuarial changes, which impacted the benefit calculations. We also maintain a defined contribution 401(k) Plan and provide a partial employer matching contribution for 401(k) Plan participants. We provide retirees with the opportunity to receive medical benefits with a subsidy available to participants in the Final Average Pay Component of the Pension Plans who meet the eligibility requirements. Pension Plan II was amended effective January 1, 2025, to provide new hires with a retirement program choice between the “Core Contribution/401(k) Program” and the current program, “Cash Balance/401(k) Program.” Employees who elect the Cash Balance/401(k) Program participate in the Cash Balance Component of Pension Plan II and the current 401(k) Company Match formula of $0.50 on the dollar up to the first 7% for union represented employees and $0.50 on the dollar up to the first 8% for non-represented employees. Employees in the Core Contribution/401(k) Program receive an enhanced 401(k) benefit under the Thrift or Savings Plans, which is 100% match up to 4% and a 4% core contribution. Additionally, existing Cash Balance Component participants as of December 31, 2024, have been provided with the opportunity to opt into the Core Contribution/401(k) Program. If elected, the change took effect on January 1, 2026. None of the NEOs elected to move to the Core Contribution/401(k) Program. Retirement Notice Program: To support succession planning and knowledge transfer, we implemented a 6-month retirement notice program, effective April 1, 2024. All employees who are retirement eligible under the component of the Pension Plans in which they participate, and who provide at least 6-months’ notice of their intent to retire, will become fully vested in their outstanding RSUs and PSUs awards (starting with the 2024 RSU and PSU grants) at retirement. For those employees that do not participate in a Pension Plan, they will be treated as retirement eligible, if while employed, they attain age 55 and complete five years of service, or attain age 65. The shares underlying the RSUs and PSUs will be released on the normal distribution dates. Severance and Change-In-Control Benefits for Executives: We provide to all officers, including the NEOs, severance benefits in the event of certain employment terminations. All of our NEOs participate in our Key Executive Severance Plan. Mr. LaRossa is also eligible for certain other severance benefits, as described under Potential Payments Upon Termination of Employment or Change-In-Control. We provide severance benefits to officers upon a change-in-control. A change-in-control is, by its nature, disruptive to an organization and its executives. Executives are frequently key players in the success of organizational change. To assure the continuing performance of these executives and maintain stability and continuity in the face of a possible termination of employment in the event of a change-in-control, we provide a competitive severance package. Our Key Executive Severance Plan does not provide for gross-up payments from us in the event that any NEO or other participant is subject to an excise tax related to receipt of a change-in-control payment. We have transitioned from an automatic “cut back” to a “best net” provision for the excise tax. Under this approach, the executive receives the greater of (a) the full severance benefit (paying the excise tax themselves) or (b) a reduced benefit (cut back), such that they do not trigger the excise tax, but in no event will the Company gross up the executive for the excise tax. The Key Executive Severance Plan includes a “double-trigger” provision on benefits, which are paid only in the event of termination of employment following a change-in-control. PSU payments, if any, are prorated. No benefits are paid in the event of a termination for cause. Severance and change-in-control benefits are described under Potential Payments Upon Termination of Employment or Change-In-Control.
Role of the Compensation Consultant
Role of the Compensation Consultant The O&CC has retained CAP as its independent compensation consultant to provide information, analyses and advice regarding executive and Director compensation. CAP reports directly to the O&CC. Select responsibilities include:
Role of the Compensation Consultant
| Review compensation programs and levels | Analyze pay and performance alignment | | Provide comparative industry trends and peer data | Ad hoc support on executive compensation matters |
Role of the Compensation Consultant
CAP meets with the O&CC in Executive Session without the presence of management and provides only executive and Director compensation consulting services. In 2025, CAP attended five meetings of the O&CC. Management also retains a compensation consultant, Pay Governance LLC, to provide market compensation data for our officers, including the NEOs. This data is made available to CAP. In July 2025, the O&CC reviewed CAP’s independence relative to the following factors: • CAP’s provision of other services to the Company • The amount of fees CAP receives from the Company as a percentage of CAP’s total revenue • The policies and procedures of CAP that are designed to prevent conflicts of interest • Any business or personal relationship between O&CC members and CAP or its compensation consultants • Any PSEG stock owned by CAP or its compensation consultants • Any business or personal relationship between our executive officers and CAP or any of its compensation consultants • Other factors that would be relevant to CAP’s independence from management The O&CC concluded that CAP is independent and no conflicts of interest exist.
Executive Compensation Risk Assessment
| • Strong governance processes and controls in place • Multi-year vesting for long-term incentives • Multiple dimensions of performance, including: a balanced scorecard EPS (non-GAAP) for corporate financial performance; and key strategic and operational metrics that balance risks • Equity compensation and our stock ownership and retention policy discourage a short-term focus | • A balanced total compensation package that includes a mix of base salary, benefits and annual and long-term incentive • Caps on the total amount of incentive compensation that can be earned and paid out annually • O&CC oversight of incentive plan design, performance measures/goals and corresponding payment scales • Robust clawback practices |
Trading Pre-clearance is Required for Directors and Officers
Trading Pre-clearance is Required for Directors and Officers Under our Insider Trading Practice, all of our Directors and officers, including the NEOs, are required to obtain pre-clearance from the General Counsel or her designee prior to engaging in any transaction involving our common stock and may only engage in transactions during “open window” periods or pursuant to pre-established plans.
2025 Summary Compensation Table
2025 Summary Compensation Table The following table summarizes the compensation of our NEOs for the years shown. The NEOs are our CEO, CFO and three most highly compensated executive officers in 2025.
2025 Summary Compensation Table
| Name and Principal Position(1) | Year | Salary ($)(1) | Stock Awards ($)(2) | Non-Equity Incentive Plan Compensation ($)(3) | Change in Pension Value and Non-Qualified Deferred Compensation Earnings ($)(4) | All Other Compensation ($)(5 & 6) | Total ($) | | Ralph A. LaRossa | 2025 | 1,386,000 | 9,000,153 | 2,563,400 | 734,000 | 183,181 | 13,866,735 | | Chair of the Board, | 2024 | 1,345,600 | 8,500,035 | 2,470,500 | - | 51,825 | 12,367,961 | | President & CEO | 2023 | 1,293,800 | 8,000,097 | 1,833,300 | 611,000 | 40,666 | 11,778,863 | | Daniel J. Cregg | 2025 | 854,000 | 2,500,112 | 1,053,000 | 381,000 | 31,003 | 4,819,115 | | EVP & CFO | 2024 | 825,000 | 2,400,086 | 1,009,800 | - | 42,938 | 4,277,824 | | | 2023 | 780,500 | 3,950,148 | 680,600 | 410,000 | 31,835 | 5,853,083 | | Kim C. Hanemann | 2025 | 802,100 | 2,000,089 | 1,036,300 | 473,000 | 39,185 | 4,350,674 | | President & COO | 2024 | 775,000 | 1,800,019 | 869,600 | 146,000 | 30,526 | 3,621,145 | | (PSE&G) | 2023 | 671,600 | 1,400,115 | 569,200 | 405,000 | 76,356 | 3,122,271 | | Grace H. Park | 2025 | 700,000 | 1,400,046 | 767,200 | 65,000 | 36,797 | 2,969,043 | | EVP & General Counsel | 2024 | - | - | - | - | - | - | | | 2023 | - | - | - | - | - | - | | Charles V. McFeaters | 2025 | 700,000 | 1,300,106 | 724,500 | 96,000 | 29,297 | 2,849,903 | | President & Chief Nuclear Officer | 2024 | 676,000 | 1,200,075 | 684,500 | 82,000 | 29,169 | 2,671,744 | | | 2023 | 571,910 | 1,000,088 | 411,600 | 70,000 | 28,185 | 2,081,783 |
2025 Summary Compensation Table
| (1) Amounts shown are based on annualized salary. Mr. Cregg deferred $0, $207,837 and $195,125, of his 2025, 2024 and 2023 salary, respectively. Ms. Park deferred $210,807 of her 2025 salary. See 2025 Non-Qualified Deferred Compensation Table. | | (2) The amounts shown reflect the grant date fair value of the awards. For a discussion of the assumptions made in valuation, see Note 17 to the Consolidated Financial Statements included in our 2025 Form 10-K. 2025, 2024 and 2023 LTIP awards were granted in February of each year. All 2025 awards are shown in the Grants of Plan Based Awards Table and discussed in the Executive Compensation section and consist of PSUs and RSUs. PSU value is shown at the target amount. Actual value of the shares received upon vesting of RSUs depends upon the price of our common stock. Payout value of the PSUs earned at the conclusion of the three-year performance period may be less than or exceed the grant date fair value, dependent upon achieving respective years performance factors. Included above, for Mr. Cregg is his 2023 retention RSU grant in the amount of $2 million that was granted in April 2023. This retention grant vested on January 1, 2025. Ms. Park elected to defer her 2025 RSU and PSU awards. More detailed information is provided in the Executive Compensation section. The respective amounts shown below represent the grant date fair value of PSUs at target and maximum amounts. |
2025 Summary Compensation Table
| | 2025 | | 2024 | | 2023 | | | | Value at Target (100%) ($) | Value at Maximum (200%) ($) | Value at Target (100%) ($) | Value at Maximum (200%) ($) | Value at Target (100%) ($) | Value at Maximum (200%) ($) | | Ralph A. LaRossa | 6,300,079 | 12,600,157 | 5,950,007 | 11,900,014 | 5,600,056 | 11,200,113 | | Daniel J. Cregg | 1,750,035 | 3,500,070 | 1,680,038 | 3,360,076 | 1,365,038 | 2,730,077 | | Kim C. Hanemann | 1,400,044 | 2,800,088 | 1,260,012 | 2,520,024 | 980,068 | 1,960,135 | | Grace H. Park | 980,023 | 1,960,046 | - | - | - | - | | Charles V. McFeaters | 910,073 | 1,820,146 | 840,052 | 1,680,104 | 700,039 | 1,400,078 |
2025 Summary Compensation Table
| (3) As discussed in the Executive Compensation section, amounts awarded were earned under the MICP and determined and paid in the following year. Mr. Cregg deferred $0, $252,450 and $170,150, of his 2025, 2024 and 2023 MICP, respectively. Ms. Park deferred $383,600 of her 2025 MICP. | | (4) Includes the change in the actuarial present value of accumulated benefit under Pension Plans and Supplemental Executive Retirement Plans between calendar years 2025 and 2024, 2024 and 2023, and 2023 and 2022, determined by calculating the benefit under the applicable plan benefit formula for each of the plans, measured at December 31 of each year, based on years of credited service, earnings in effect at the respective measurement dates, applicable interest rates and other assumptions as discussed in Note 11 to the Consolidated Financial Statements included in our 2025 Form 10-K. The changes are as follows: |
2025 Summary Compensation Table
| | LaRossa ($) | Cregg ($) | Hanemann ($) | Park ($) | McFeaters ($) | | 2025 | 734,000 | 381,000 | 473,000 | 65,000 | 96,000 | | 2024 | (27,000) | - | 146,000 | - | 82,000 | | 2023 | 611,000 | 410,000 | 405,000 | - | 70,000 |
2025 Summary Compensation Table
Any interest earned under the Deferred Compensation Plan at the Prime rate plus 1/2% did not exceed 120% of the applicable long-term rate for any of the NEOs in 2025, 2024 or 2023. (The Prime plus 1/2% investment option was eliminated as of October 27, 2025.)
2025 Summary Compensation Table
| (5) For 2025, depending on the individual, includes perquisites and personal benefits which include: (a) automobile, parking and related expenses; (b) physical examinations; (c) home security system implementation and services; (d) executive protection services; (e) personal and spousal travel including use of aircraft; (f) limited credit card annual fees; (g) limited personal entertainment; (h) limited club memberships; and (i) charitable contributions. For automobiles, the pro-rata personal usage value of the vehicle lease cost based on the IRS Annual Lease Value Table was used or a stipend; for parking, the market value for the parking space was used; for certain executive protection services relating to a security driver, actual pro-rata expense was used for the time devoted to CEO and other executive officer commuting and personal use. For all other items, actual expenses were used. No NEO received a perquisite in 2025 that exceeded the greater of $25,000 or 10% of the NEO’s total perquisite and personal benefit amount, except for Mr. LaRossa whose perquisite for: (i) home security system implementation and services totaled $103,826; and (ii) personal and spousal travel on aircraft provided by a third-party charter aircraft company totaled $29,335. The incremental cost to the Company for personal and spousal use of aircraft provided by a third-party charter aircraft company includes the amount invoiced to the Company for the hourly rate and operating costs of a particular flight. More information regarding perquisites can be found under Limited Perquisites for Executives. | | (6) Includes the employer matching contribution to our 401(k) Plan at the same percentage generally available to all non-represented employees. For 2025, these amounts were: |
2025 Summary Compensation Table
| | LaRossa ($) | Cregg ($) | Hanemann ($) | Park ($) | McFeaters ($) | | 401(k) Company Match | 14,000 | 14,000 | 14,000 | 14,000 | 14,000 |
2025 Summary Compensation Table
| Executive Compensation Tables – 2025 Grants of Plan-Based Awards Table |
2025 Grants of Plan-Based Awards Table
2025 Grants of Plan-Based Awards Table The following table provides information on plan-based awards made to our NEOs for 2025.
2025 Grants of Plan-Based Awards Table
| | | Estimated Possible Payouts Under Non-Equity Incentive Plan Awards(2) | | | Estimated Future Payouts Under Equity Incentive Plan Awards(3) | | | All Other Stock Awards; Number of Shares of Stock | Grant Date Fair Value of Stock and Option | | Name and Type of Award(1) | Grant Date | Threshold ($) | Target ($) | Maximum ($) | Threshold (#) | Target (#) | Maximum (#) | or Units (#)(4) | Awards ($)(5) | | Ralph A. LaRossa | | | | | | | | | | | MICP | | 935,550 | 1,871,100 | 3,742,200 | - | - | - | - | - | | PSUs | 2/11/2025 | - | - | - | 981 | 78,447 | 156,894 | - | 6,300,079 | | RSUs | 2/11/2025 | - | - | - | - | - | - | 32,232 | 2,700,075 | | Daniel J. Cregg | | | | | | | | | | | MICP | | 384,300 | 768,600 | 1,537,200 | - | - | - | - | - | | PSUs | 2/11/2025 | - | - | - | 272 | 21,791 | 43,582 | - | 1,750,035 | | RSUs | 2/11/2025 | - | - | - | - | - | - | 8,954 | 750,077 | | Kim C. Hanemann | | | | | | | | | | | MICP | | 340,893 | 681,785 | 1,363,570 | - | - | - | - | - | | PSUs | 2/11/2025 | - | - | - | 218 | 17,433 | 34,866 | - | 1,400,044 | | RSUs | 2/11/2025 | - | - | - | - | - | - | 7,163 | 600,045 | | Grace H. Park | | | | | | | | | | | MICP | | 280,000 | 560,000 | 1,120,000 | - | - | - | - | - | | PSUs | 2/11/2025 | - | - | - | 153 | 12,203 | 24,406 | - | 980,023 | | RSUs | 2/11/2025 | - | - | - | - | - | - | 5,014 | 420,023 | | Charles V. McFeaters | | | | | | | | | | | MICP | | 262,500 | 525,000 | 1,050,000 | - | - | - | - | - | | PSUs | 2/11/2025 | - | - | - | 142 | 11,332 | 22,664 | - | 910,073 | | RSUs | 2/11/2025 | - | - | - | - | - | - | 4,656 | 390,033 |
2025 Grants of Plan-Based Awards Table
| (1) Relates to cash awards under the MICP and equity awards (PSUs and RSUs) made under the LTIP. | | (2) Represents possible payouts under MICP for 2025 performance. Threshold represents minimum amount payable, if earned. For payout factors, see the Executive Compensation section. The actual payouts on the awards were determined in February 2026 and paid thereafter, as reported in the 2025 Summary Compensation Table. | | (3) Represents LTIP award of PSUs described below. Threshold represents minimum amount payable, if earned. For additional information, see the Executive Compensation section. | | (4) Represents LTIP award of RSUs described below. For additional information, see the Executive Compensation section. | | (5) Represents the grant date fair value of the equity award. For a discussion of the assumptions made in valuation, see Note 17 to the Consolidated Financial Statements included in our Form 10-K for the year ended December 31, 2025. |
2025 Grants of Plan-Based Awards Table
| Executive Compensation Tables – Material Factors Concerning Awards Shown |
Material Factors Concerning Awards Shown in Summary Compensation Table, Grants of Plan-Based Awards Table
Material Factors Concerning Awards Shown in Summary Compensation Table, Grants of Plan-Based Awards Table
Outstanding Equity Awards at Year-End December 31, 2025 Table
Outstanding Equity Awards at Year-End December 31, 2025 Table The following table lists all outstanding awards, consisting of PSUs and RSUs, as of December 31, 2025 for our NEOs.
Outstanding Equity Awards at Year-End December 31, 2025 Table
| Name | Number of Shares or Units of Stock that have Not Vested (#)(1) | Market Value of Shares or Units of Stock that have Not Vested ($) | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights that have Not Vested (#)(2) | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units, or Other Rights that have Not Vested ($)(3) | | Ralph A. LaRossa | 5,537 | 444,595 | 86,318 | 6,931,337 | | Daniel J. Cregg | 1,538 | 123,508 | 24,126 | 1,937,300 | | Kim C. Hanemann | 1,230 | 98,804 | 18,843 | 1,513,112 | | Grace H. Park | 9,527 | 764,993 | 17,346 | 1,392,897 | | Charles V. McFeaters | 800 | 64,226 | 12,363 | 992,755 |
Outstanding Equity Awards at Year-End December 31, 2025 Table
| (1) The vesting schedule for unvested RSUs is shown below. Dividend equivalents accrue on RSUs at the regular dividend rate and are paid in shares of common stock upon distribution. All NEOs, except for Ms. Park, are retirement eligible; therefore, their 2025 RSUs are 10/12ths vested as of December 31, 2025. The 2024 and 2023 RSUs are fully vested as of December 31, 2025. The 2025 and 2024 RSU grants vest on a graded basis from the grant date and are fully vested after one year. The 2023 RSU grants vest 1/12th each month in the year awarded. Since Ms. Park is not retirement eligible, her 2025 RSU grant, 2/3rds of her 2024 RSU grant and her 2023 RSU grant are unvested. Amounts vested in 2025 are shown in the Option Exercises and Stock Vested During 2025 Table. |
Outstanding Equity Awards at Year-End December 31, 2025 Table
| | RSU Vesting Schedule | | | | | | | Grant Date | 2026 (#) | 2027 (#) | 2028 (#) | Total (#) | | Ralph A. LaRossa | 2/11/2025 | 5,537 | - | - | 5,537 | | Daniel J. Cregg | 2/11/2025 | 1,538 | - | - | 1,538 | | Kim C. Hanemann | 2/11/2025 | 1,230 | - | - | 1,230 | | Grace H. Park | 2/11/2025 | 1,723 | 1,723 | 1,723 | 5,169 | | | 9/16/2024 | 368 | 368 | - | 735 | | | 2/13/2024 | 908 | 908 | - | 1,816 | | | 2/14/2023 | 1,806 | - | - | 1,806 | | Charles V. McFeaters | 2/11/2025 | 800 | - | - | 800 |
Outstanding Equity Awards at Year-End December 31, 2025 Table
| (2) PSUs in the table above are shown at target. PSUs awarded under the LTIP are earned based on a three-year performance period. Payment, if any, is made in the first quarter of the year following the end of the performance period. The vesting schedule below shows the number of unvested PSUs at target and maximum and includes accrued dividend equivalents. Each of the NEOs are retirement eligible, except for Ms. Park. PSUs for retirement eligible NEOs vest 1/36th each month over the three-year performance period. The amounts shown for the retirement eligible NEOs represent 12/36th of their 2024 awards that vest in 2026, 12/36th of their 2025 awards that vest in 2026, and 12/36th of their 2025 awards that vest in 2027. For further explanation of PSUs, see the Executive Compensation section. Totals may not add due to rounding. |
Outstanding Equity Awards at Year-End December 31, 2025 Table
| | PSU Vesting Schedule | | | | | | | | | Grant Date | Target 2026 (#) | Maximum 2026 (#) | Target 2027 (#) | Maximum 2027 (#) | Target Total (#)(4) | Maximum Total (#)(4) | | Ralph A. LaRossa | 2/13/2024 | 32,401 | 64,802 | - | - | 32,401 | 64,802 | | | 2/11/2025 | 26,959 | 53,917 | 26,959 | 53,917 | 53,917 | 107,834 | | | | | | | | 86,318 | 172,636 | | Daniel J. Cregg | 2/13/2024 | 9,149 | 18,297 | - | - | 9,149 | 18,297 | | | 2/11/2025 | 7,489 | 14,977 | 7,489 | 14,977 | 14,977 | 29,954 | | | | | | | | 24,126 | 48,252 | | Kim C. Hanneman | 2/13/2024 | 6,861 | 13,723 | - | - | 6,861 | 13,723 | | | 2/11/2025 | 5,991 | 11,982 | 5,991 | 11,982 | 11,982 | 23,964 | | | | | | | | 18,843 | 37,686 | | Grace H. Park | 2/13/2024 | 2,451 | 4,902 | - | - | 2,451 | 4,902 | | | 9/16/2024 | 2,314 | 4,629 | - | - | 2,314 | 4,629 | | | 2/11/2025 | - | - | 12,581 | 25,162 | 12,581 | 25,162 | | | | | | | | 17,346 | 34,692 | | Charles V. McFeaters | 2/13/2024 | 4,575 | 9,149 | - | - | 4,575 | 9,149 | | | 2/11/2025 | 3,894 | 7,789 | 3,894 | 7,789 | 7,789 | 15,577 | | | | | | | | 12,363 | 24,726 |
Outstanding Equity Awards at Year-End December 31, 2025 Table
| (3) Value of PSUs is shown at target, multiplied by the closing price on the NYSE on December 31, 2025 of $80.30. | | (4) Totals may not add due to rounding. |
Outstanding Equity Awards at Year-End December 31, 2025 Table
| Executive Compensation Tables – Option Exercises and Stock Vested During 2025 Table |
Option Exercises and Stock Vested During 2025 Table
Option Exercises and Stock Vested During 2025 Table The following table provides information, as noted, regarding the exercise of stock options by the NEOs in 2025 and the vesting during 2025 of RSUs and PSUs previously granted to the NEOs, under our LTIP.
Option Exercises and Stock Vested During 2025 Table
| | Stock Awards | | | | Name | Award | Number of Shares Acquired on Vesting (#) | Value Realized on Vesting ($) | | Ralph A. LaRossa | PSU (1)(2) | 148,242 | 12,708,770 | | | RSU (3)(4) | 35,325 | 2,863,325 | | Daniel J. Cregg | PSU (1)(2) | 36,135 | 3,097,818 | | | RSU (3)(4) | 44,197 | 3,700,466 | | Kim C. Hanemann | PSU (1)(2) | 25,944 | 2,224,166 | | | RSU (3)(4) | 7,770 | 629,621 | | Grace H. Park | PSU (1)(2) | 3,972 | 340,482 | | | RSU (4) | 2,821 | 237,182 | | Charles V. McFeaters | PSU (1)(2) | 18,313 | 1,569,985 | | | RSU (3)(4) | 5,078 | 411,536 |
Option Exercises and Stock Vested During 2025 Table
| (1) The table above shows the total payout value distributed for each of the NEOs for the 2023 grants based on the results of the three-year performance period and our common stock price, as described further in the Executive Compensation section. Each NEO became retirement eligible in, or prior to, 2023, except for Ms. Park. Under the LTIP, PSUs vest 1/36th per month of service for retirement eligible participants. We show below for each NEO the number of PSUs, including accrued dividend equivalents, at both target and maximum values, that vested in 2025 with respect to their 2024 and 2025 grants. No dollar values are shown for these payouts. Payouts, if any, are dependent on the actual results of the performance metrics and applicable stock prices for the respective performance periods. The number of PSUs, including dividend equivalents, earned, if any, will be determined at the conclusion of the applicable performance periods and reported in the relevant Proxy Statements. |
Option Exercises and Stock Vested During 2025 Table
| | PSU Grant Date | Granted | Target Vested (#) | Maximum Vested (#) | | Ralph A. LaRossa | 2/13/2024 | 91,412 | 32,401 | 64,802 | | | 2/11/2025 | 78,447 | 26,959 | 53,917 | | Daniel J. Cregg | 2/13/2024 | 25,811 | 9,149 | 18,297 | | | 2/11/2025 | 21,791 | 7,489 | 14,977 | | Kim C. Hanemann | 2/13/2024 | 19,358 | 6,861 | 13,723 | | | 2/11/2025 | 17,433 | 5,991 | 11,982 | | Grace H. Park | 2/13/2024 | 2,305 | - | - | | | 9/16/2024 | 2,229 | - | - | | | 2/11/2025 | 12,203 | - | - | | Charles V. McFeaters | 2/13/2024 | 12,906 | 4,575 | 9,149 | | | 2/11/2025 | 11,332 | 3,894 | 7,789 |
Option Exercises and Stock Vested During 2025 Table
| (2) Each of the NEOs had PSUs which vested on December 31, 2025, including accrued dividend equivalents, for the three-year performance period ended that day. The final awards shown in the table were made at 163% of target, as explained in the Executive Compensation section. PSUs earned and value realized reflects rounding. Shares are issued in 2026. Value realized reflects the value of the PSUs on February 24, 2026, the PSU value determination date, using the average of the high and low NYSE stock price of $85.73. | | (3) Represents RSUs that vested for NEOs, each of whom is retirement eligible, at the NYSE closing price of $80.30 on December 31, 2025. | | (4) RSUs that vested in 2023 and 2024 due to retirement eligibility were previously reported in our prior years’ Proxy Statements. RSUs that were granted in 2022 were distributed on January 1, 2025 in the following amounts, including accrued dividend equivalents: Mr. LaRossa: 37,380 shares, with a value of $3,157,822; Mr. Cregg: 9,548 shares, with a value of $806,592; Ms. Hanemann: 6,710 shares, with a value of $566,880; Ms. Park: 1,548 shares, with a value of $130,811; and Mr. McFeaters: 2,323 shares, with a value of $196,264. Amounts include rounding. |
Option Exercises and Stock Vested During 2025 Table
| Executive Compensation Tables – 2025 Pension Benefits Table |
2025 Pension Benefits Table
2025 Pension Benefits Table The following table provides information on the actuarial present value of the NEOs’ accumulated benefit under each of our pension and retirement plans.
2025 Pension Benefits Table
| Name | Plan Name | Number of Years Credited Service (#)(2) | Present Value of Accumulated Benefit ($)(3) | | Ralph A. LaRossa | Qualified Pension Plan II(1) | 40.50 | 2,056,000 | | | Retirement Income Reinstatement Plan | 40.50 | 5,484,000 | | | Supplemental Executive Retirement Plan | 40.50 | 626,000 | | | | | 8,166,000 | | Daniel J. Cregg | Qualified Pension Plan II(1) | 34.17 | 1,756,000 | | | Retirement Income Reinstatement Plan | 34.17 | 2,624,000 | | | | | 4,380,000 | | Kim C. Hanemann | Qualified Pension Plan II(1) | 39.51 | 1,962,000 | | | Retirement Income Reinstatement Plan | 39.51 | 1,598,000 | | | | | 3,560,000 | | Grace H. Park | Qualified Pension Plan II(1) | 8.29 | 131,000 | | | Retirement Income Reinstatement Plan | 8.29 | 95,000 | | | | | 226,000 | | Charles V. McFeaters | Qualified Pension Plan II(1) | 9.25 | 208,000 | | | Retirement Income Reinstatement Plan | 9.25 | 225,000 | | | | | 433,000 |
2025 Pension Benefits Table
| (1) All NEOs, except Mr. McFeaters and Ms. Park, participate in the Final Average Pay Component of the Pension Plan II, described below. Years shown reflect actual years of service. Mr. McFeaters and Ms. Park participate in the Cash Balance Component of the Pension Plan II. Each NEO, except for Ms. Park, is retirement eligible. | | (2) Years shown reflect actual years of service. | | (3) Amounts shown represent the actuarial present value of accumulated benefit computed as of the same Pension Plans measurement date used for our financial statements for the year ended December 31, 2025, with the exception that no pre-retirement termination, disability or death was assumed to occur. For a discussion of the valuation method and material assumptions applied in quantifying the present value, see Note 11 to the Consolidated Financial Statements included in our 2025 Form 10-K. |
Supplemental Executive Retirement Income Plan (Supplemental Plan)
| Executive Compensation Tables – 2025 Non-Qualified Deferred Compensation Table |
2025 Non-Qualified Deferred Compensation Table
2025 Non-Qualified Deferred Compensation Table The following table provides information regarding compensation deferred by the NEOs under our Deferred Compensation Plans.
2025 Non-Qualified Deferred Compensation Table
| Name | | Executive Contributions in Last Fiscal Year (2025) ($)(1) | Registrant Contributions in Last Fiscal Year (2025) ($) | Aggregate Earnings in Last Fiscal Year (2025) ($)(2) | Aggregate Withdrawals/ Distributions (2025) ($) | Aggregate Balance at Last Fiscal Year End (2025) ($)(1) | | Ralph A. LaRossa | Deferred Compensation Plan | - | - | - | - | - | | | Equity Deferral Plan | - | - | (291,842) | - | 14,157,486 | | Daniel J. Cregg | Deferred Compensation Plan | - | - | 448,215 | - | 3,226,196 | | | Equity Deferral Plan | - | - | - | - | - | | Kim C. Hanemann | Deferred Compensation Plan | - | - | - | - | - | | | Equity Deferral Plan | - | - | - | - | - | | Grace H. Park | Deferred Compensation Plan | 594,407 | - | 22,186 | - | 616,593 | | | Equity Deferral Plan | 73,373 | - | (455) | - | 72,918 | | Charles V. McFeaters | Deferred Compensation Plan | - | - | - | - | - | | | Equity Deferral Plan | - | - | - | - | - |
2025 Non-Qualified Deferred Compensation Table
| (1) Amounts shown include, pursuant to the Deferred Compensation Plan, 2025 deferred salary and MICP earned in 2025 and paid in 2026. | | (2) Reflects earnings and change in value of each individual’s deferred compensation account. |
POTENTIAL PAYMENTS UPON TERMINATION OF EMPLOYMENT OR CHANGE-IN-CONTROL
POTENTIAL PAYMENTS UPON TERMINATION OF EMPLOYMENT OR CHANGE-IN-CONTROL
Termination Following a Change-In-Control
| Pay Ratio |
PAY RATIO
PAY RATIO We have calculated the ratio of our CEO’s compensation to that of our median employee. In doing so, we reviewed a comparison of our CEO’s annual total compensation for 2025 to that of all other employees in 2025, using the same methodology and elements of compensation as we used in determining the total compensation shown for the CEO in the Summary Compensation Table that appears on page 57. The median employee was determined using internal payroll records of income reported on IRS Form W-2, which is a consistently applied compensation measure, as provided by the applicable SEC provisions. We believe that the pay ratio shown below is a reasonable estimate calculated in a manner consistent with those provisions. We note that our calculation does not include all elements of our employee compensation package, such as health insurance and other benefits generally applicable to all employees. For 2025, for purposes of this pay ratio disclosure, the compensation of our median employee was $174,510 and the compensation paid to our CEO was $13,866,735. The ratio of CEO compensation to median employee pay was approximately 79:1.
PAY VERSUS PERFORMANCE
PAY VERSUS PERFORMANCE In accordance with Item 402(v) of Regulation S-K, we are providing the following information regarding the relationship between compensation of our CEO or Principal Executive Officer (PEO) and NEOs and certain financial performance measures of PSEG for the fiscal years ended on December 31, 2025, 2024, 2023, 2022 and 2021. For further information on PSEG’s pay-for-performance philosophy and how executive compensation aligns with the Company’s performance, refer to the Compensation Discussion and Analysis section of this Proxy Statement.
PAY VERSUS PERFORMANCE
| Year | Summary Compensation Table Total for PEO #1(1&2) ($) | Compensation Actually Paid to PEO #1(1&3) ($) | Summary Compensation Table Total for PEO #2(1&2) ($) | Compensation Actually Paid to PEO #2(1&3) ($) | Average Summary Compensation Table Total for Non-PEO NEOs(1&2) ($) | Average Compensation Actually Paid to Non-PEO NEOs ($)(1&3) | Value of Initial Fixed $100 Investment based on Total Shareholder Return ($)(4) | Value of Initial Fixed $100 Investment based on Peer Group Total Shareholder Return ($)(4) | Net Income (Loss) ($ millions)(5) | Operating EPS (Non-GAAP) ($)(6) | | 2025 | - | - | 13,866,735 | 11,342,953 | 3,747,184 | 3,207,126 | 162.80 | 144.69 | 2,111 | 4.05 | | 2024 | - | - | 12,367,961 | 31,359,707 | 3,498,175 | 7,157,809 | 165.95 | 129.21 | 1,772 | 3.68 | | 2023 | - | - | 11,778,863 | 12,972,702 | 3,578,301 | 3,490,761 | 116.36 | 112.19 | 2,563 | 3.48 | | 2022 | 12,869,210 | 1,495,352 | 9,510,542 | 6,408,817 | 2,733,718 | 1,371,783 | 112.30 | 118.96 | 1,031 | 3.47 | | 2021 | 14,208,674 | 16,757,115 | - | - | 3,834,217 | 4,311,559 | 118.33 | 117.01 | (648) | 3.65 |
PAY VERSUS PERFORMANCE
| (1) NEOs included in these columns reflect the following: |
PAY VERSUS PERFORMANCE
| Year | PEO#1 | PEO#2 | Non-PEO NEOs | | 2025 | N/A | Mr. LaRossa | Mr. Cregg, Ms. Hanemann, Ms. Park and Mr. McFeaters | | 2024 | N/A | Mr. LaRossa | Mr. Cregg, Ms. Hanemann, Ms. Linde and Mr. McFeaters | | 2023 | N/A | Mr. LaRossa | Mr. Cregg, Ms. Hanemann, Ms. Linde and Mr. McFeaters | | 2022 | Mr. Izzo | Mr. LaRossa | Mr. Cregg, Ms. Hanemann, Ms. Linde and Mr. Carr | | 2021 | Mr. Izzo | N/A | Mr. Cregg, Mr. LaRossa, Ms. Linde and Mr. Daly |
PAY VERSUS PERFORMANCE
| (2) Amounts reflect the total compensation for our NEOs, as reported in the Summary Compensation Table for each applicable year. | | (3) In accordance with Item 402(v) requirements, the fair values of unvested and outstanding equity awards were remeasured as of the end of each fiscal year, and as of each vesting date, during the years displayed in the tables below. For PSUs with a relative TSR metric, the fair values as of each measurement date (prior to the end of the performance period) were determined using a Monte Carlo simulation pricing model, with assumptions and methodologies that are generally consistent with those used to estimate fair value at grant under U.S. GAAP. The range of estimates used in the Monte Carlo calculations are as follows: (i) for 2025, volatility between 21.3%-20.3% and risk-free rate of 3.4%; (ii) for 2024, volatility between 19.1%-19.3% and risk-free rate between 4.1%-4.2%; (iii) for 2023, volatility between 20%-22% and risk-free rate between 4.1%-4.7%; (iv) for 2022, volatility between 19%-41% and risk-free rate of 0.1%; and (v) for 2021, volatility between 30%-32% and risk-free rate between 0.4%-0.7%. For PSUs with a ROIC metric, fair values reflect the probable outcome of the performance vesting conditions as of each measurement date. For a discussion of the assumptions made in the valuation at grant, see Note 17 to the Consolidated Financial Statements included in our Form 10-K. In calculating the ‘compensation actually paid’ amounts reflected in the columns below, the adjustments made to the pension benefit values were computed in accordance with U.S. GAAP. For each fiscal year reflected, the ‘compensation actually paid’ to the PEO and the average ‘compensation actually paid’ to the non-PEO NEOs reflect the following adjustments made to the total compensation amounts reported in the Summary Compensation Table for each applicable fiscal year, computed in accordance with Item 402(v) of Regulation S-K. |
PAY VERSUS PERFORMANCE
| | 2025 ($) | | Summary Compensation Table Total for PEO | 13,866,735 | | Minus: Grant Date Fair Value of Equity Awards Granted in Fiscal Year | (9,000,153) | | Minus: Change in Pension Value | (734,000) | | Plus: Pension Service Cost and Associated Prior Service Cost | 234,084 | | Plus: Fair Value at Fiscal Year End of Outstanding and Unvested Equity Awards Granted in the Fiscal Year | 5,491,203 | | Plus: Change in Fair Value of Outstanding and Unvested Equity Awards Granted in Prior Fiscal Years | (1,184,471) | | Plus: Fair Value at Vesting of Equity Awards Granted and Vested in the Fiscal Year | 2,188,875 | | Plus: Change in Fair Value as of the Vesting Date of Equity Awards Granted in Prior Fiscal Years that Vested in the Fiscal Year | (797,184) | | Minus: Fair Value as of the Prior Fiscal Year End of Equity Awards Granted in Prior Fiscal Years that Failed to Meet Vesting Conditions in the Fiscal Year | - | | Plus: Value of Dividends or Other Earnings Paid on Equity Awards Not Otherwise Reflected in Total Compensation | 1,277,864 | | Compensation Actually Paid for PEO | 11,342,953 |
PAY VERSUS PERFORMANCE
| | 2025 ($) | | Summary Compensation Table Total for NEOs (other than PEO) | 3,747,184 | | Minus: Grant Date Fair Value of Equity Awards Granted in Fiscal Year | (1,800,088) | | Minus: Change in Pension Value | (253,750) | | Plus: Pension Service Cost and Associated Prior Service Cost | 91,102 | | Plus: Fair Value at Fiscal Year End of Outstanding and Unvested Equity Awards Granted in the Fiscal Year | 1,182,165 | | Plus: Change in Fair Value of Outstanding and Unvested Equity Awards Granted in Prior Fiscal Years | (207,056) | | Plus: Fair Value at Vesting of Equity Awards Granted and Vested in the Fiscal Year | 352,659 | | Plus: Change in Fair Value as of the Vesting Date of Equity Awards Granted in Prior Fiscal Years that Vested in the Fiscal Year | (113,998) | | Minus: Fair Value as of the Prior Fiscal Year End of Equity Awards Granted in Prior Fiscal Years that Failed to Meet Vesting Conditions in the Fiscal Year | - | | Plus: Value of Dividends or Other Earnings Paid on Equity Awards Not Otherwise Reflected in Total Compensation | 208,908 | | Compensation Actually Paid for NEOs (other than PEO) | 3,207,126 |
PAY VERSUS PERFORMANCE
(4) The Company’s TSR and the Company’s Peer Group TSR reflected in these columns for each applicable fiscal year is calculated based on a fixed investment of $100 at the applicable measurement point on the same cumulative basis as is used in Item 201(e) of Regulation S-K. The Peer Group used to determine the Company’s Peer Group TSR for each applicable fiscal year is the Dow Jones Utilities (DJU) Index, as disclosed in our Annual Report on Form 10-K for fiscal year ended 2025 pursuant to Item 201(e) of Regulation S-K. (5) Amounts reflect PSEG’s Net Income (Loss) as reported in our audited financial statements for the applicable year. While we use numerous financial and non-financial performance measures to evaluate performance under our compensation programs, non-GAAP Operating EPS is the financial performance measure that, in PSEG’s assessment, represents the most important performance measure (that is not otherwise required to be disclosed in the table) used to link compensation actually paid to NEOs, for the most recently completed fiscal year, to Company performance.
Relationship Between Compensation Actually Paid for CEO and NEOs (Average) vs. Cumulative TSR of Company and the Peer Group
Relationship Between Compensation Actually Paid for CEO and NEOs (Average) vs. Cumulative TSR of Company and the Peer Group The graph below illustrates the trend in “compensation actually paid” over the five years compared to our TSR performance, as well as TSR relative to the DJU Index. This illustrates that compensation decreased in 2022 in alignment with our TSR performance. In 2023 and 2024, compensation increased in alignment with our TSR performance. For 2025, compensation decreased in alignment with our TSR performance. Our TSR performance was stronger than the DJU Index in 2021, 2023, 2024 and 2025.
Relationship Between Compensation Actually Paid for CEO and NEOs (Average) vs. Net Income (Loss)
Relationship Between Compensation Actually Paid for CEO and NEOs (Average) vs. Net Income (Loss) The graph below illustrates the trend in “compensation actually paid” over the five years to our GAAP Net Income (Loss). This illustrates that in 2022 compensation decreased and net income increased. For 2023, compensation increased alongside net income. For 2024, compensation increased and net income decreased. In 2025, compensation decreased and net income increased. See Appendix A for a complete list of items excluded from Net Income (Loss) in the determination of non-GAAP Operating Earnings.
Relationship Between Compensation Actually Paid for CEO and NEOs (Average) vs. Non-GAAP Operating EPS
Relationship Between Compensation Actually Paid for CEO and NEOs (Average) vs. Non-GAAP Operating EPS The graph below illustrates the trend in “compensation actually paid” over the five years to our Operating EPS (non-GAAP). This illustrates that in 2022 compensation decreased with Operating EPS. In 2023 and 2024, compensation increased in alignment with Operating EPS. For 2025, compensation decreased while Operating EPS increased. See Appendix A for a complete list of items excluded from Net Income (Loss) in the determination of non-GAAP Operating Earnings.
Majority Voting for Election of Directors
Majority Voting for Election of Directors Our By-Laws provide that in an uncontested election, each Director shall be elected by a majority of the votes cast with respect to the Director. A majority of votes cast means that the number of shares cast for a Director’s election exceeds the number of votes cast against that Director. We do not include as votes cast (i) shares which are marked withheld, (ii) abstentions and (iii) shares as to which a stockholder has given no authority or direction. As provided in the Corporate Governance Principles, the Board has adopted a policy whereby any incumbent Director receiving a majority vote against must promptly tender an offer of resignation. As a result, in uncontested elections, the Board will nominate for election or re-election as a Director only candidates who have agreed promptly to tender a letter of resignation in the event that the number of shares voted for that Director does not exceed the number of shares voted against that Director. If an incumbent Director fails to receive the required majority vote, the Governance Committee will consider the matter and then make a recommendation to the Board as to whether or not to accept the resignation. The Board will make the determination on whether or not to accept the recommendation of the Governance Committee.