In accordance with SEC rules, we are reporting our CEO pay ratio. As set forth in the Summary Compensation Table, our CEO’s annual total compensation for fiscal 2021 was $20,733,806. Our median employee’s annual total compensation was $67,667, resulting in a CEO pay ratio of 306:1.
In calculating the CEO pay ratio, the SEC rules allow companies to adopt a variety of methodologies, apply certain exclusions, and make reasonable estimates and assumptions reflecting their unique employee populations. Therefore, our reported CEO pay ratio may not be comparable to CEO pay ratios reported by other companies due to differences in industries and geographical dispersion, as well as the different estimates, assumptions, and methodologies applied by other companies in calculating their CEO pay ratios.
Our CEO pay ratio is based on the following methodology:
- We used a measurement date that is as close as possible to the end of our fiscal year and identified our employee population as of September 1, 2021, including employees who joined HP as part of acquisitions and excluding employees on furlough or a leave of absence, consistent with SEC rules.
- We utilized annualized base salary as the consistently applied compensation measure as of September 1, 2021 to identify the median employee.
- We calculated the median employee’s actual annual total compensation for fiscal 2021 using the same methodology that was used for our named executive officers, as set forth in the Summary Compensation Table.