Core Viewpoint - Glass House Brands Inc. is implementing a long-term management incentive plan that includes performance-based restricted stock units (RSUs) for key executives, aimed at aligning their interests with those of shareholders and driving long-term value creation [1][2][6]. Group 1: Management Incentive Plan - The Board of Directors approved a long-term management incentive plan on May 15, 2025, granting performance-based RSUs to key executives, which will vest based on achieving specific share price milestones [2][5]. - The performance-based RSUs will vest over a five-year period, contingent upon the company achieving a minimum share price of $30.00, with additional vesting if the price reaches or exceeds $60.00 [2][3]. - A total of 3,000,000 performance-based RSUs were granted, representing approximately 2.3% of the fully diluted share count as of May 14, 2025 [3]. Group 2: Shareholder Alignment and Governance - The Performance Awards are designed to align the interests of shareholders, the company, and the recipients, encouraging retention of key executives and promoting the achievement of strategic and financial objectives [6][7]. - A special committee of independent directors was established to assess the efficacy of the Performance Awards, ensuring they are in the best interests of the company [5]. - The Board adopted a clawback policy to recover any proceeds from the Performance Awards in the event of financial restatements, consistent with best governance practices [7]. Group 3: Company Overview - Glass House Brands is recognized as one of the fastest-growing, vertically integrated cannabis companies in the U.S., focusing on the California market and building strong brands [8][9]. - The company operates a range of brands and retail dispensaries, emphasizing sustainable practices and community respect [9].