Page 19 - Martin Marietta - 2023 Proxy Statement

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Our Commitment to Our People and Pay-for-Performance

In 2022, we advanced our initiatives relating to employee engagement

✓ Developed and launched an inclusion and engagement awareness communications campaign to help managers and
employees better understand why inclusion and engagement matters and how inclusion and engagement are already
ingrained in Martin Marietta’s culture and values. The campaign highlights that ensuring we maintain an inclusive and
engaging culture will help create a competitive advantage for the Company.
✓ Launched a dedicated section on our Company’s external website to highlight Inclusion, Engagement and Diversity at
Martin Marietta.

✓ Developed guidelines and strategies to launch Martin Marietta’s first three Employee Resource Groups, supporting
veterans, women and diverse cultures, in early 2023.
✓ Joined the CEO Action for Diversity & Inclusion coalition.

✓ Elevated the Head of Inclusion and Engagement position to a Vice President level.

Our Compensation Approach and Highlights

A substantial portion of compensation paid to our named executive officers (NEOs) is variable and performance-based.
We use the 50th percentile of our peer group as a reference point when determining target compensation, but target
pay is set based on a variety of factors and actual pay realized by our NEOs is dependent on our financial, operational
and other related performance. Based on our record levels of performance in 2022, variable compensation payable
under both our short-term and long-term incentive plans exceeded the target amounts established for each NEO, which PROXY HIGHLIGHTS
is consistent with our pay-for-performance philosophy. All compensation paid to our CEO and other NEOs for 2022 was
performance-based other than base salary; approximately 88% of our CEO’s compensation was performance-based
and 75% of our other NEOs’ actual compensation was performance based.*

CEO Other NEO
Compensation Compensation

26% 34% 30% 25%
PSUs
BONUS
PSUs BONUS

PERFORMANCE
25% BASED
28% 12% 20% BASE
RSUs BASE PERFORMANCE RSUs SALARY
SALARY
BASED

* Based on grant date value of Performance Share Units (PSUs) and Restricted Stock Units (RSUs).

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