Rayonier Advanced Materials Inc. Grants Vito J. Consiglio Inducement Awards Pursuant to NYSE RULE 303A.08

Rhea-AI Summary

Rayonier Advanced Materials Inc. (NYSE: RYAM) has granted an award of Leveraged Performance Units (LPUs) valued at $1.5 million to CEO Vito J. Consiglio. The LPUs are contingent on stock price growth over a three-year measurement period, with performance thresholds set at 10%, 25%, and 100%. Results below 10% yield no payout. If Mr. Consiglio resigns or is terminated for cause before payout, LPUs will be forfeited. The award complies with NYSE rules for public announcement of inducement awards.

Positive

• Target value of $1.5 million in LPUs aligns CEO's compensation with shareholder interests.
• Performance-based structure incentivizes stock price growth, potentially benefiting shareholders.

Negative

• LPUs will be forfeited if CEO resigns or is terminated, which could lead to instability in leadership.

JACKSONVILLE, Fla.--(BUSINESS WIRE)-- Rayonier Advanced Materials Inc. (NYSE: RYAM) announced today that it granted an award of Leveraged Performance Units (“LPUs”) with a target value of $1,500,000 to its recently appointed Chief Executive Officer Vito J. Consiglio, pursuant to its letter agreement with Mr. Consiglio, dated December 5, 2021.

The actual number of LPUs earned will be based on share price growth from the average of the closing market price of Company common stock during the 20 trading days preceding the grant date and during the 20 trading days following the grant date (the “grant date share price”) compared to the “measurement date share price” determined based on the average of the closing market price of RYAM common stock during the last 20 trading days of the three-year measurement period. The following table sets forth the payout range of these LPUs, with results to be interpolated:

Performance Requirement	Stock Price Growth from Grant	% of LPUs Target Earned
Threshold	10%	50%
Target	25%	100%
Maximum	100%	250%

Any result lower than 10% stock price growth will result in no payout. Earned LPUs will be settled in Company common stock and will be subject to a one-year holding requirement post-vesting as well as a value cap of 15x of the initial grant value. In the event of Mr. Consiglio’s voluntary resignation or termination for cause prior to the payout of earned LPUs, the LPUs will be forfeited.

The LPU award was granted in reliance on the employment inducement exemption under the NYSE’s Listed Company Manual Rule 303A.08, which requires public announcement of inducement awards. Pursuant to the requirements of that rule, RYAM is issuing this press release.

About Rayonier Advanced Materials

Rayonier Advanced Materials is a global leader of cellulose-based technologies, including high purity cellulose specialties, a natural polymer commonly found in filters, food, pharmaceuticals and other industrial applications. The Company also manufactures products for paper and packaging markets. With manufacturing operations in the U.S., Canada and France, Rayonier Advanced Materials employs just over 2,500 people and generates approximately $1.4 billion of revenues. More information is available at www.rayonieram.com.

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Media

Ryan Houck

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Investors

Mickey Walsh

904-357-9162

Source: Rayonier Advanced Materials

FAQ

What is the value of the LPUs granted to Rayonier CEO Vito J. Consiglio?

The LPUs granted to CEO Vito J. Consiglio have a target value of $1.5 million.

How does the LPU payout structure work for Rayonier Advanced Materials?

Payouts for the LPUs are based on stock price growth, with thresholds of 10%, 25%, and 100%.

What happens if Rayonier's stock price growth is below 10%?

If growth is below 10%, no LPUs will be paid out.

Is there a holding requirement for the earned LPUs at Rayonier?

Yes, there is a one-year holding requirement post-vesting for the earned LPUs.

What are the implications of Mr. Consiglio's resignation on the LPUs?

If Mr. Consiglio resigns or is terminated for cause before payout, the LPUs will be forfeited.