319 Life Is On | Schneider Electric www.se.com Chapter 4 – Corporate Governance Report Corporate Governance 4. Long-term incentive (Performance shares) (continued) Application of the 2021 compensation policy The volume of the maximum annual award was set in consideration of: • The market practice and competitive positioning of the Chairman and CEO’s compensation package; • The Group’s resilient performance; • The structure of performance measurement governing the final acquisition of LTIP awards; • The culture of ownership deeply rooted in Schneider Electric’s DNA. Considering the continuous increase in the Company’s stock price and in the spirit of maintaining a culture of moderation in an uncertain economic environment, the Board decided to reduce the number of shares granted to Jean-Pascal Tricoire markedly below the maximum allowed by the compensation policy, which would represent 60,000 performance shares. According to the authorization given by the Annual Shareholders’ Meeting on April 25, 2019 in its 21 st resolution, the Board of Directors, during its meeting of March 25, 2021 decided to grant Mr. Jean-Pascal Tricoire a total of 37,903 Performance Shares (representing 0.006% of Schneider Electric’s share capital) subject to the performance criteria described above and measured over a period of three years: • 11,371 Performance Shares under Plan n° 38 in his capacity as Chairman and CEO of Schneider Electric SE; • 26,532 Performance Shares under Plan n° 39 in his capacity as Regional Asia President and Chairman of Schneider Electric Asia Pacific. Pension benefits €572,941 (amount due for 2021 (fixed portion of €191,600 paid in 2021 and variable portion of €381,3 41 to be paid in 2022)) Reminder: €421,252 (amount due for 2020 (fixed portion of €191,600 paid in 2020 and variable portion of €229,652 paid in 2021)) Reminder of the 2021 compensation policy Complementary payments are intended to take account of the fact that, following the decision of the Board of Directors on February 18, 2015 to remove the benefit of the defined-benefit pension scheme (Article 39) for Corporate Officers, Mr. Jean-Pascal Tricoire is personally responsible for building up his pension. He undertook to redirect these complementary payments, net of taxes, to investment vehicles devoted to financing his additional pension. To determine this authorized complementary compensation, the Board of Directors sought the recommendation of an independent expert, namely the firm Willis Towers Watson, and ensured that the mechanism implemented therefore, was in line with shareholders’ interests. Accordingly, Mr. Jean-Pascal Tricoire is entitled to receive annually a complementary component, split into a fixed and variable portion as follows: Variable portion Fixed portion Target (% of Fixed) Minimum At target Maximum Total at Target €191,600 130% €0 €249,080 €498,160 €440,680 The variable part is dependent on performance criteria aligned with the variable annual compensation (see above). Application of the 2021 compensation policy At the meeting held on February 16, 2022, the annual complementary variable portion for pension for 2021 to be paid after the Annual Shareholders’ Meeting if the latter approves it, was set by the Board of Directors at 199% of the annual complementary fixed portion, i.e. an achievement rate of 153.1%. For 2021, Mr. Jean-Pascal Tricoire is entitled to receive: Fixed amount Target achievement rate Variable amount (1) Total due for 2021 €191,600 130% € 381,3 41 € 572,941 (1) Calculated by applying to the fixed compensation above the percentage of target achievement determined for the calculation of the 2021 annual variable compensation, i.e. 15 3 .1% . In compliance with applicable law, the payment of the variable amount will be subject to shareholders’ approval (see 8 th resolution submitted to the Annual Shareholders’ Meeting of May 5, 2022). Reminder: an amount of €229,652 was paid in 2021 to Mr. Jean-Pascal Tricoire for the variable portion of his pension due for the fiscal year 2020 after its approval by the Annual Shareholders’ Meeting on April 28, 2021 (see page 273 of the 2020 Universal Registration Document).