PROPOSAL 1 ELECTION OF DIRECTORS
Information about our Board and the Nominees
Our certificate of incorporation divides our Board into three classes. The Board currently consists of 10 directors with three directors in each of Classes I and II
and four directors in Class III.
The term of office of our current Class III directors expires at the Annual Meeting. There are three Class III
nominees standing for election at the Annual Meeting.
The term of the Class III directors elected at the Annual Meeting ends at the 2025 annual meeting of
stockholders. The term of the Class I directors ends at the 2023 annual meeting of stockholders, and the term of the Class II directors ends at the 2024 annual meeting of stockholders.
Proxies cannot be voted for the election of more than three persons to our Board at the Annual Meeting.
Each nominee named in this proxy statement has consented to being named in this proxy statement and to serve if elected. If any nominee is unable to serve or for good
cause will not serve, the shares represented by the proxies will be voted for the person, if any, designated by our Board to replace such nominee. However, CMC has no reason to believe that any nominee will be unavailable. All of the director
nominees, as well as the continuing directors, plan to attend this years Annual Meeting.
Changes to our Board During 2021
Mr. Kelson served as a Class III director on the Board until his passing on February 13, 2021. Following Mr. Kelsons passing,
the Board voted to reduce the number of directors on the Board from ten to nine directors and to reduce the number of Class III directors to three.
In
connection with the Boards succession planning, as well as to fill the vacancy created by Mr. Kelsons passing, the Nominating and Corporate Governance Committee initiated a search process to select qualified director candidates. The
Nominating and Corporate Governance Committee took into account many factors including, but not limited to, requirements for independence; the individuals general understanding of the various disciplines relevant to the success of our Company
as a large globally-operated, publicly-traded company in todays business environment; each candidates understanding of the Companys businesses and the metals industry and markets; the individuals professional expertise and
educational background; and the individuals ethics, integrity, values, inquisitive and objective perspectives, practical wisdom, judgment and availability. When evaluating potential director candidates, the Board and the Nominating and
Corporate Governance Committee also believe it is important to consider diversity of race, ethnicity, gender, sexual orientation, age, education, cultural background and other factors that promote diversity of thought, views and experience.
Selected candidates were evaluated and interviewed through a series of meetings with directors and executive management. The Nominating and Corporate Governance Committee
evaluated potential candidates in the context of the Board as a whole, with the objective of recommending a director candidate that would be the most likely to drive the success of the business and represent stockholder interests through the
exercise of sound judgment. A background review of the ultimate candidate was conducted by an independent professional agency specializing in the performance of such background reviews.
As a result of this process, the Nominating and Corporate Governance Committee selected Gary E. McCullough from a slate of qualified candidates for election to our Board
and recommended him to our Board for appointment. On September 8, 2021, our Board voted to increase the size of our Board from nine persons to ten persons (and to increase the size of Class III from three to four directors), and our Board
appointed Mr. McCullough as a Class III director, effective October 12, 2021.
On November 19, 2021, Mr. Joseph C. Winkler, a Class II
director and Lead Director, notified the Board that he will retire at the Annual Meeting following nine years of distinguished service to the Company.
Mr. Best,
a Class III director, will also retire from the Board at the Annual Meeting after 11 years of distinguished service to the Company pursuant to the mandatory retirement policy in the Companys Corporate Governance Guidelines. Accordingly,
the Board has not nominated Mr. Best for reelection as a Class III director.
Commercial Metals Company 2022 Proxy Statement 16