KBR, INC., PRE 14A filed on 3/21/2025
Proxy Statement - Notice of Shareholders Meeting (preliminary)
v3.25.1
Cover
12 Months Ended
Jan. 03, 2025
Cover [Abstract]  
Document Type PRE 14A
Entity Registrant Name KBR, INC.
Entity Central Index Key 0001357615
Amendment Flag false
v3.25.1
Pay vs Performance Disclosure - USD ($)
12 Months Ended 24 Months Ended 36 Months Ended 48 Months Ended 60 Months Ended
Jan. 03, 2025
Dec. 29, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2021
Dec. 31, 2022
Dec. 29, 2023
Jan. 03, 2025
Pay vs Performance Disclosure [Table]                  
Pay vs Performance Disclosure, Table

Pay Versus Performance Table

As required by Section 953(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 402(v) of Regulation S-K, we are providing the following information about the relationship between executive compensation and certain financial performance measures of the Company. For more information, refer to the “Compensation Discussion and Analysis” section of this proxy statement.

                                 
            Average
Summary
  Average   Value of initial fixed
$100 investment based on:
       
Year
(a)
  Summary
Compensation
Table Total
for CEO(1)
($)(b)
  Compensation
Actually Paid
to CEO(2)
($)(c)
  Compensation
Table Total for
non-CEO
NEOs(3)
($)(d)
  Compensation
Actually Paid to

non-CEO
NEOs(4)
($)(e)
  Company TSR(5)
($)(f)
  Peer Group
Total
Shareholder
Return(6)
($)(g)
  Net Income
(Loss)(7)
($)(h)
  Company-Selected
Performance
Measure: Adj.
EPS(8)
($)(i)
2024   12,556,945   13,432,658   3,147,439   3,317,203   204.78   201.70   381,000,000   3.34
2023   12,659,920   15,968,454   3,017,505   3,602,870   190.41   175.48   (261,000,000)   2.91
2022   12,617,035   16,957,757   2,943,662   3,716,852   179.76   143.37   192,000,000   2.71
2021   12,024,347   22,501,119   2,595,828   3,781,778   160.59   131.72   35,000,000   2.43
2020   9,864,381   9,222,322   2,218,991   2,138,848   103.16   103.03   (42,000,000)   1.74
               
Company Selected Measure Name Adjusted EPS                
Named Executive Officers, Footnote
(1) The amounts in this column are the amounts of total compensation reported for Mr. Bradie for each corresponding year in the “Total” column of the Summary Compensation Table on page 81.
               
Peer Group Issuers, Footnote [Text Block]
(6)

The peer group used for this purpose is the Peer Group used by the Company for benchmarking purposes as discussed in the “Compensation Discussion and Analysis” section of this proxy statement. Peer group TSR was calculated on a market capitalization weighted basis according to the respective issuers’ stock market capitalization at the beginning of each period for which a return is indicated. TSR for both the Company and the peer group is based on an initial $100 investment, measured on a cumulative basis from the market close on December 31, 2019, through and including January 3, 2025. TSR calculations reflect reinvestment of dividends. 

The 2024 Peer Group is composed of the following companies: BAE Systems plc, Booz Allen Hamilton Holding Corporation, CACI International Inc., Conduent Incorporated, Dover Corporation, Flowserve Corporation, Fluor Corporation, Gartner, Inc., Hubbell Incorporated, Huntington Ingalls Industries, Inc., Jacobs Solutions Inc., L3Harris Technologies, Inc., Leidos Holdings, Inc., Parsons Corporation, Science Applications International Corporation, Teradata Corporation, Tetra Tech, Inc., Textron Inc., and The Timken Company. ManTech International Corporation, which was a constituent of our 2023 Peer Group, was taken private and ceased being publicly traded in September 2022, and it therefore was excluded in determining our peer group TSR for 2023 (and the prior years presented). As a result, the 2024 Peer Group and 2023 Peer Group were the same for the purpose of determining our peer group TSR.

               
PEO Total Compensation Amount $ 12,556,945 $ 12,659,920 $ 12,617,035 $ 12,024,347 $ 9,864,381        
PEO Actually Paid Compensation Amount $ 13,432,658 15,968,454 16,957,757 22,501,119 9,222,322        
Adjustment To PEO Compensation, Footnote
(2) The amounts in this column represent the amount of “Compensation Actually Paid” to Mr. Bradie, as computed in accordance with Item 402(v) of Regulation S-K. The amounts do not reflect the actual amount of compensation earned by or paid to Mr. Bradie during the applicable year. In accordance with the requirements of Item 402(v) of Regulation S-K, the following adjustments were made to Mr. Bradie’s total compensation for each year to determine the “Compensation Actually Paid”:

 

                         
Year   Reported Summary
Compensation table
total for CEO
($)
  Reported value of
equity awards(a)
($)
  Equity award
adjustments(b)
($)
  Reported change
in the actuarial
present value of
pension benefits(c)
($)
  Pension benefit
adjustments
($)
  Compensation
Actually Paid
to CEO
($)
2024   12,556,945   (4,819,548)   5,695,261       13,432,658
2023   12,659,920   (4,630,378)   7,938,912       15,968,454
2022   12,617,035   (4,641,028)   8,981,750       16,957,757
2021   12,024,347   (4,256,264)   14,733,036       22,501,119
2020   9,864,381   (3,614,585)   2,972,526       9,222,322
(a) This column reflects the grant date fair value of equity awards, which are the amounts reported in the “Stock Awards” column in the Summary Compensation Table for the applicable year.
(b) The equity award adjustments for each applicable year include the addition (or subtraction, as applicable) of the following: (i) the year-end fair value of any equity awards granted in the applicable year that are outstanding and unvested as of the end of the year; (ii) the amount of change as of the end of the applicable fiscal year (from the end of the prior fiscal year) in fair value of any awards granted in prior years that are outstanding and unvested as of the end of the applicable year; (iii) for awards that are granted and vest in same applicable year, the fair value as of the vesting date; (iv) for awards granted in prior years that vest in the applicable year, the amount equal to the change as of the vesting date (from the end of the prior fiscal year) in fair value; (v) for awards granted in prior years that are determined to fail to meet the applicable vesting conditions during the applicable year, a deduction for the amount equal to the fair value at the end of the prior fiscal year; and (vi) the dollar value of any dividends or other earnings paid on stock or option awards in the applicable year prior to the vesting date that are not otherwise reflected in the fair value of such award or included in any other component of total compensation for the applicable year. The valuation assumptions used to calculate fair values did not materially differ from those disclosed at the time of grant. The amounts deducted or added in calculating the equity award adjustments are as follows:
                             
Year   Year-end fair
value of equity
awards granted
in year
($)
  Year over year
change in fair
value of
outstanding and
unvested equity
awards
($)
  Fair value as of
vesting date of
equity awards
granted and
vested in the year
($)
  Year over year
change in fair
value of equity
awards granted
in prior years
that vested
in the year
($)
  Fair value at
the end of the
prior year of
equity awards
that failed to
meet vesting
conditions
in the year
($)
  Value of dividends
or other earnings
paid on stock or
option awards
not otherwise
reflected in fair
value or total
compensation
($)
  Total equity
award
adjustments
($)
2024   5,592,210   (143,980)     221,880     25,151   5,695,261
2023   5,608,767   2,118,155     163,948     48,042   7,938,912
2022   5,553,263   3,224,991     131,229     72,267   8,981,750
2021   8,574,868   6,082,602     7,120     68,446   14,733,036
2020   4,852,517   (1,404,632)     (551,461)     76,102   2,972,526
(c) Mr. Bradie does not participate in any KBR-sponsored defined benefit or actuarial pension plans.
               
Non-PEO NEO Average Total Compensation Amount $ 3,147,439 3,017,505 2,943,662 2,595,828 2,218,991        
Non-PEO NEO Average Compensation Actually Paid Amount $ 3,317,203 3,602,870 3,716,852 3,781,778 2,138,848        
Adjustment to Non-PEO NEO Compensation Footnote [Text Block]
(3) The amounts in this column represent the average of the amounts reported for the Company’s NEOs as a group (excluding Mr. Bradie) in the “Total” column of the Summary Compensation Table in each applicable year. The names of each of the NEOs (excluding Mr. Bradie) included for purposes of calculating the average amounts in each applicable year are as follows: (i) for 2024, Messrs. Bright, Ibrahim, and Sopp and Ms. Galindo; (ii) for 2022  and  2023, Messrs. Bright, Ibrahim, and Sopp and Ms. Myles; (iii) for 2021, Messrs. Bright, Ibrahim, Kelly, and Sopp and Ms. Akerson; and (iv) for 2020, Messrs. Bright, Ibrahim, and Sopp and Ms. Akerson.
(4) The amounts in this column represent the average amount of “Compensation Actually Paid” to the NEOs as a group (excluding Mr. Bradie), as computed in accordance with Item 402(v) of Regulation S-K. The amounts do not reflect the actual average amount of compensation earned by or paid to the NEOs as a group (excluding Mr. Bradie) during the applicable year. In accordance with the requirements of Item 402(v) of Regulation S-K, the following adjustments were made to average total compensation for the NEOs as a group (excluding Mr. Bradie) for each year to determine the “Compensation Actually Paid,” using the same methodology described above in Note 2:

 

                         
Year   Average reported
Summary
Compensation
Table total for
non-CEO named
executive officers
($)
  Average reported
value of equity
awards(a)
($)
  Average equity
award
adjustments(b)
($)
  Average reported
change in the
actuarial
present value of
pension benefits(c)
($)
  Average pension
benefit adjustments
($)
  Average
Compensation
Actually Paid to
non-CEO named
executive officers
($)
2024   3,147,439   (850,524)   1,020,288       3,317,203
2023   3,017,505   (750,463)   1,335,828       3,602,870
2022   2,943,662   (762,467)   1,535,657       3,716,852
2021   2,595,828   (721,882)   1,907,832       3,781,778
2020   2,218,991   (628,951)   548,808       2,138,848
(a) This column reflects the average grant date fair value of equity awards, which are the amounts reported in the “Stock Awards” column in the Summary Compensation Table for the applicable year, for the NEOs as a group (excluding Mr. Bradie).
(b) The amounts deducted or added in calculating the total average equity award adjustments are as follows:
                             
Year   Average
year-end fair
value of equity
awards
granted in
year
($)
  Year over year
average change
in fair value of
outstanding and
unvested equity
awards
($)
  Average fair
value as of
vesting date
of equity awards
granted and
vested in the year
($)
  Year over year
average change
in fair value of
equity awards
granted in prior
years that vested
in the year
($)
  Average fair value
at the end of the
prior year of equity
awards that failed
to meet vesting
conditions in the year
($)
  Average value of
dividends or
other earnings
paid on stock or
option awards
not otherwise
reflected in fair
value or total
compensation
($)
  Total
average
equity award
adjustments
($)
2024   986,895   (25,383)     49,196     9,580   1,020,288
2023   909,059   362,354     56,203     8,212   1,335,828
2022   912,352   605,404     7,066     10,835   1,535,657
2021   1,239,559   802,342     2,557   (147,871)   11,245   1,907,832
2020   844,368   (213,742)     (93,908)     12,090   548,808
(c) Our NEOs do not participate in any KBR-sponsored defined benefit or actuarial pension plans.
               
Compensation Actually Paid vs. Total Shareholder Return [Text Block]

Compensation actually paid versus total shareholder return

               
Compensation Actually Paid vs. Net Income [Text Block]

Compensation actually paid versus net income (loss)

               
Compensation Actually Paid vs. Company Selected Measure [Text Block]

Compensation actually paid versus adjusted EPS

               
Tabular List [Table Text Block]

Important Financial Performance Measures

For 2024, the most important financial performance measures (including the Company-Selected Measure) that we used to link executive compensation actually paid to the NEOs to our performance, which are the performance metrics the Committee chose for our short-term and long-term incentive plans and are described in more detail in the “ Compensation Discussion and Analysis” section of this proxy statement, are as follows, listed on an unranked basis:

   Adjusted EPS
  Adjusted OCF
  Relative TSR
  Book-to-bill
  Sustainability

Adjusted EPS and adjusted OCF are non-GAAP financial measures. See the section titled “Non-GAAP Financial Information” at the end of this proxy statement for further information, including reconciliations of adjusted EPS and adjusted OCF to the most directly comparable GAAP measures.

               
Total Shareholder Return Amount         103.16 $ 160.59 $ 179.76 $ 190.41 $ 204.78
Peer Group Total Shareholder Return Amount         103.03 $ 131.72 $ 143.37 $ 175.48 $ 201.70
Net Income (Loss) Attributable to Parent $ 381,000,000 $ (261,000,000) $ 192,000,000 $ 35,000,000 $ (42,000,000)        
Company Selected Measure Amount 3.34 2.91 2.71 2.43 1.74        
PEO Name Mr. Bradie Mr. Bradie Mr. Bradie Mr. Bradie Mr. Bradie        
Measure [Axis]: 1                  
Pay vs Performance Disclosure [Table]                  
Measure Name Adjusted EPS                
Non-GAAP Measure Description [Text Block]
(8) Adjusted EPS or adjusted earnings per share is a non-GAAP financial measure. See the section titled “Non-GAAP Financial Information” at the end of this proxy statement for further information, including reconciliation of adjusted EPS to the most directly comparable GAAP measure.
               
Measure [Axis]: 2                  
Pay vs Performance Disclosure [Table]                  
Measure Name Adjusted OCF                
Measure [Axis]: 3                  
Pay vs Performance Disclosure [Table]                  
Measure Name Relative TSR                
Measure [Axis]: 4                  
Pay vs Performance Disclosure [Table]                  
Measure Name Book-to-bill                
Measure [Axis]: 5                  
Pay vs Performance Disclosure [Table]                  
Measure Name Sustainability                
Reported Value Of Equity Awards [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount $ (4,819,548) $ (4,630,378) $ (4,641,028) $ (4,256,264) $ (3,614,585)        
Equity Award Adjustments [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 5,695,261 7,938,912 8,981,750 14,733,036 2,972,526        
Reported Change In The Actuarial Present Value Of Pension Benefits [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Pension Benefit Adjustments [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Year End Fair Value Of Equity Awards Granted In Year [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 5,592,210 5,608,767 5,553,263 8,574,868 4,852,517        
Year Over Year Change In Fair Value Of Outstanding And Unvested Equity Awards [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount (143,980) 2,118,155 3,224,991 6,082,602 (1,404,632)        
Fair Value As Of Vesting Date Of Equity Awards Granted And Vested In The Year [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Year Over Year Change In Fair Value Of Equity Awards Granted In Prior Years That Vested In The Year [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 221,880 163,948 131,229 7,120 (551,461)        
Fair Value At The End Of The Prior Year Of Equity Awards That Failed To Meet Vesting Conditions In The Year [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Value Of Dividends Or Other Earnings Paid On Stock Or Option Awards Not Otherwise Reflected In Fair Value Or Total Compensation [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 25,151 48,042 72,267 68,446 76,102        
Total Equity Award Adjustments [Member] | PEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 5,695,261 7,938,912 8,981,750 14,733,036 2,972,526        
Average Reported Value Of Equity Awards [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount (850,524) (750,463) (762,467) (721,882) (628,951)        
Average Equity Award Adjustments [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 1,020,288 1,335,828 1,535,657 1,907,832 548,808        
Average Reported Change In The Actuarial Present Value Of Pension Benefits [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Average Pension Benefit Adjustments [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Average Year End Fair Value Of Equity Awards Granted In Year [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 986,895 909,059 912,352 1,239,559 844,368        
Year Over Year Average Change In Fair Value Of Outstanding And Unvested Equity Awards [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount (25,383) 362,354 605,404 802,342 (213,742)        
Average Fair Value As Of Vesting Date Of Equity Awards Granted And Vested In The Year [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 0 0        
Year Over Year Average Change In Fair Value Of Equity Awards Granted In Prior Years That Vested In The Year [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 49,196 56,203 7,066 2,557 (93,908)        
Average Fair Value At The End Of The Prior Year Of Equity Awards That Failed To Meet Vesting Conditions In The Year [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 0 0 0 (147,871) 0        
Average Value Of Dividends Or Other Earnings Paid On Stock Or Option Awards Not Otherwise Reflected In Fair Value Or Total Compensation [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount 9,580 8,212 10,835 11,245 12,090        
Total Average Equity Award Adjustments [Member] | Non-PEO NEO [Member]                  
Pay vs Performance Disclosure [Table]                  
Adjustment to Compensation Amount $ 1,020,288 $ 1,335,828 $ 1,535,657 $ 1,907,832 $ 548,808        
v3.25.1
Insider Trading Policies and Procedures
12 Months Ended
Jan. 03, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true