Velarion · Company Intelligence
Compensation Brief
Fiscal year 2025 · Filings through 2026-07-15

Carters (CRI)

Fiscal year 2025 executive and director compensation, incentive-plan design, equity activity, and governance — every figure in this brief is traceable to its exact location in the company’s SEC filing — the document, the section, the page, and the table, linked directly.

$7,496,679
Douglas Palladini total, FY2025
38th
CEO pay percentile vs peers
542:1
CEO-to-median pay ratio
95.42%
Say-on-pay support, latest vote
Companies that benchmark against CRI
12 companies name CRI as a compensation peer

Each company listed discloses CRI in its own benchmarking peer group, as disclosed in each company's most recent proxy statement within the last two proxy seasons. Two companies are therefore absent by design: one that named CRI in an earlier year and no longer does, and one whose own most recent disclosure is older than the last two seasons.

01

Summary Compensation Table — fiscal year 2025

Named executive officerSalaryBonusStock awardsOption awardsNon-equity incentivePension / NQDCAll otherTotal
Douglas Palladini$882,803$0$4,955,424$0$1,225,200$0$433,252$7,496,679
Chief Executive Officer & President, Director
Richard Westenberger787,740440,0001,900,1950705,3000131,7033,964,938
Chief Financial Officer & Chief Operating Officer
Emily Evert260,68502,000,0920443,700043,1652,747,642
Chief Strategy Officer
Kendra Krugman676,635250,0001,000,1060482,9000231,1322,640,773
Former Chief Product Officer
Allison Peterson762,3290650,0350511,900094,6942,018,958
Chief Retail & Digital Officer
Karen Smith604,7810750,0800406,100071,3881,832,349
Chief Supply Chain Officer
Michael Casey257,69200000129,493387,185
Former Chairman, Chief Executive Officer & President

A dash means the company reported no figure in that column; 0 means it reported zero. Figures are as printed in the filing, without adjustment.

Three-year trend — total compensation per named executive

Named executive officerFY2025 totalFY2024 totalFY2023 totalΔ FY20242025
Douglas Palladini$7,496,679
Richard Westenberger3,964,9382,582,9182,896,769+1,382,020
Emily Evert2,747,642
Kendra Krugman2,640,7733,095,794
Allison Peterson2,018,9583,084,148−1,065,190
Karen Smith1,832,3491,394,5311,713,485+437,818
Michael Casey387,1859,146,76910,088,133−8,759,584

Prior-year totals as disclosed in the corresponding proxy; deltas are computed values with the derivation shown in the register.

02

Equity transactions since the proxy statement was filed

No insider equity transactions reported since the proxy statement.

03

Grants of plan-based awards — fiscal year 2025

ExecutiveAwardGrant dateThresholdTargetGrantedMaximumGrant-date fair value
Richard WestenbergerPSU2025-01-085,8785,8785,878$300,013
Allison PetersonRSU2025-02-2615,360650,035
Emily EvertRSU2025-08-0878,8682,000,092
Kendra KrugmanRSU2025-02-2623,6321,000,106
Douglas PalladiniRSU2025-04-0398,4003,500,088
Richard WestenbergerPSU2025-04-012,4362,4362,436100,022
Douglas PalladiniPSU2025-04-0332,80065,60065,60098,4001,455,336
Karen SmithRSU2025-02-2617,724750,080
Richard WestenbergerRSU2025-02-2635,4481,500,159
03b

Vehicle mix — grant-date fair value by award type

Named executive officerTime-vested (RSU)Performance-vested (PSU)Options / SARs% performance-vested
Richard Westenberger$1,500,159$400,035$021.1%
Allison Peterson650,035000.0%
Emily Evert2,000,092000.0%
Kendra Krugman1,000,106000.0%
Douglas Palladini3,500,0881,455,336029.4%
Karen Smith750,080000.0%

% performance-vested = PSU grant-date fair value ÷ (RSU + PSU + Options), a computed value with the derivation shown in the register.

04

Outstanding equity awards at fiscal year-end 2025

ExecutiveAwardShares unvestedExercise priceMarket value unvested
Allison PetersonPSU45,300$1,503,960
Richard WestenbergerPSU77,1952,562,874
Michael CaseyPSU83,5442,773,661
Emily EvertPSU78,8682,618,418
Karen SmithPSU35,3081,172,226
Douglas PalladiniPSU196,8006,533,760
05

Incentive-plan design — the Compensation Discussion & Analysis

Our compensation philosophy is to set our NEOs' total direct compensation at levels that will attract, motivate, and retain superior executive talent in a highly competitive environment. Carter's compensation program for our NEOs is designed to support these objectives and encourage strong financial performance on an annual and long-term basis by linking a significant portion of our NEOs' total direct compensation to Company performance and stockholder value creation in the form of annual cash incentive compensation and long-term equity incentive compensation.

CEO STI target (% of salary)150%
CEO LTI target (% of salary)
Independent consultantMeridian Compensation Partners, LLC
Clawback policyCarter's has adopted a clawback policy consistent with Rule 10D-1 under the Exchange Act and NYSE listing standards, requiring executive officers to repay or return erroneously awarded compensation in the event of an accounting restatement of previously reported financial results. This policy applies to both cash incentive compensation and equity awards granted from fiscal 2024 onward.
Anti-hedgingHedging and pledging of Company stock by any Board member or employee, including NEOs, is prohibited. During fiscal 2025, none of the NEOs entered into a hedging arrangement.
Anti-pledgingTrue
06

Say-on-pay — recent advisory votes

Meeting yearMeeting dateForAgainstAbstainSupportOutcome
20262026-05-1327,183,7481,303,325312,17795.42%Passed
20252025-05-1426,944,9581,683,822216,28594.12%Passed
20242024-05-1632,828,890820,19255,96297.56%Passed
20232023-05-1729,565,1854,200,215172,34687.56%Passed

Rows are labeled by annual-meeting year, with the meeting date beside each; the vote held in a given year acts on the prior fiscal year's compensation.

Say-on-pay — history, company's computation

Meeting yearMeeting dateApproval — company's computation
20262026-05-1395.42%a
20252025-05-1494.12%b
20242024-05-1697.56%c

a. Approved under the standard stated in the filing — “be held as follows in a virtual meeting format: ITEMS OF BUSINESS Item Board's Recommendation Voting Approval Standard Effect of Abstention Effect of Broker Non- Vote Election of nine nominated directors FOR More votes "For" than "Against" No effect No effect Advisory approval of compensation of named executive officers FOR More votes "For" than "Against" No effect No effect Approval of amended and restated equity incentive plan FOR Majority of votes properly cast at the meeting No effect No effect Ratification of appointment of PricewaterhouseCoopers LLP for fiscal 2026 FOR Majority of votes properly cast at the meeting No effect Not applicable In addition, at the Annual Meeting we will conduct any other business that may properly come before the meeting.”.

b. Approved under the standard stated in the filing — “o be held as follows in a virtual meeting format: ITEMS OF BUSINESS Item Board's Recommendation Voting Approval Standard Effect of Abstention Effect of Broker Non- Vote Election of 11 nominated directors FOR More votes "For" than "Against" No effect No effect Advisory approval of compensation of named executive officers FOR More votes "For" than "Against" No effect No effect Ratification of appointment of PricewaterhouseCoopers LLP for fiscal 2025 FOR Majority of votes properly cast at the meeting No effect Not applicable In addition, at the Annual Meeting we will conduct any other business that may properly come before the meeting.”.

c. Approved under the standard stated in the filing — “Abstentions are not considered votes cast and thus will not affect the outcome of this proposal.”.

Approval percentages are the company's own reported computations under its own stated standard, not recomputed by Velarion. Where a company does not state a standard, none is assumed.

07

CEO pay ratio

Ratio (CEO : median employee)542 : 1
CEO total compensation$7,496,679
Median employee compensation$13,844
09

Board fee structure and ownership guideline

Annual cash retainer$90,000
Annual equity retainer$160,000
Per board meeting fee$2,500
Committee chair fees (audit / comp / nom-gov)30,000 / 25,000 / 25,000
Stock ownership guideline5x annual cash retainer ($450,000)
10

Disclosed peer group — fiscal year 2025

The compensation peer group as the company disclosed it in its own proxy — the reference set behind the percentile above.

AEO American Eagle Outfitters, Inc.URBN Urban Outfitters, Inc.COLM Columbia Sportswear CompanyGIII G-III Apparel Group, Ltd.GES Guess?, Inc.LEVI Levi Strauss & Co.HBI HanesBrands Inc.VSCO Victoria's Secret & Co.PLCE The Children's Place, Inc.GIL Gildan Activewear, Inc.OXM Oxford Industries, Inc.KTB Kontoor Brands, Inc.TPR Tapestry, Inc.ANF Abercrombie & Fitch Co.UAA Under Armour, Inc.
10a

Peer reciprocity

Of the companies Carters names as compensation peers, which name it back in their own disclosed peer groups. A peer set the market reciprocates reads differently from one selected in a single direction.

American Eagle Outfitters, Inc. (AEO) Urban Outfitters, Inc. (URBN)32 Columbia Sportswear Company (COLM) G-III Apparel Group, Ltd. (GIII) Guess?, Inc. (GES) Levi Strauss & Co. (LEVI)33 HanesBrands Inc. (HBI)34 Victoria's Secret & Co. (VSCO) The Children's Place, Inc. (PLCE) Gildan Activewear, Inc. (GIL) Oxford Industries, Inc. (OXM)35 Kontoor Brands, Inc. (KTB) Tapestry, Inc. (TPR)36 Abercrombie & Fitch Co. (ANF)37 Under Armour, Inc. (UAA)38

Reciprocity shown where the peer's own current proxy has been read — each mark is cited in the register to that peer's filing. A dash means the peer's current proxy was read and names no reciprocal group including Carters.

10b

Chief executive pay against the peer group

Most recent fiscal-year chief executive compensation at each disclosed peer, taken from that company's own proxy statement.

RankCompanyFYChief executiveSalaryStock awardsOption awardsNon-equity incentiveTotal
1Tapestry, Inc.2025Joanne Crevoiserat$1,400,000$6,573,679$3,999,999$5,303,200$17,340,349
2Levi Strauss & Co.2025Michelle Gass1,475,0008,129,3183,144,8993,032,96916,145,173
3Abercrombie & Fitch Co.2025Fran Horowitz1,400,00010,456,90301,372,00013,300,257
4HanesBrands Inc.2024Stephen Bratspies1,250,0008,284,39903,306,73912,933,300
5Under Armour, Inc.2026Kevin Plank903,4629,040,000510,0001,128,15011,597,975
6Carters2025Douglas Palladini882,8034,955,42401,225,2007,496,679
7Urban Outfitters, Inc.2026Sheila B. Harrington1,136,7831,699,46703,442,7366,290,916
8Oxford Industries, Inc.2025Thomas Chubb III900,0003,942,2050388,4405,529,136
9Columbia Sportswear Company2025Timothy Boyle1,080,000001,938,7203,036,220
American Eagle Outfitters, Inc.not in coverage universe
G-III Apparel Group, Ltd.not in coverage universe
Guess?, Inc.not in coverage universe
Victoria's Secret & Co.not in coverage universe
The Children's Place, Inc.not in coverage universe
Gildan Activewear, Inc.not in coverage universe
Kontoor Brands, Inc.not in coverage universe

Each peer's compensation is from its most recently filed proxy; fiscal years differ by company. Each peer's figures come from its own filings; the subject company is highlighted. Peers whose chief executive compensation is outside our coverage universe are stated as such, never left blank.

10c

Incentive design against the same peers

CompanyAnnual incentive payoutLong-term vehicle mixPSU measures include TSRCompensation consultant
Carters91%RSU 100NoMeridian Compensation Partners, LLC
Abercrombie & Fitch Co.49%PSU 50 · RSU 50Yes — Relative TSR vs. compensation peer groupSemler Brossy Consulting Group, LLC
American Eagle Outfitters, Inc.not disclosednot disclosednot disclosednot disclosed
Columbia Sportswear Company57%not disclosedYes — three year relative total shareholder return (Relative TSR)FW Cook
G-III Apparel Group, Ltd.not disclosednot disclosednot disclosednot disclosed
Gildan Activewear, Inc.not disclosednot disclosednot disclosednot disclosed
Guess?, Inc.not disclosednot disclosednot disclosednot disclosed
HanesBrands Inc.165.34%PSU 60 · RSU 40Yes — 3-Year rTSR (3-Year Cumulative)FW Cook
Kontoor Brands, Inc.not disclosednot disclosednot disclosednot disclosed
Levi Strauss & Co.110%PSU 50 · Options 25 · RSU 25Yes — Relative TSRSemler Brossy
Oxford Industries, Inc.43%not disclosedYes — Total Shareholder Return (TSR) relative to comparator groupMeridian Compensation Partners, LLC
Tapestry, Inc.189.4%Options 40 · PSU 40 · RSU 20Yes — Relative TSRFrederic W. Cook and Co., Inc.
The Children's Place, Inc.not disclosednot disclosednot disclosednot disclosed
Under Armour, Inc.60%RSU 100NoWillis Towers Watson
Urban Outfitters, Inc.100%PSU 50 · RSU 50NoKorn Ferry Hay Group
Victoria's Secret & Co.not disclosednot disclosednot disclosednot disclosed

Read from each company's Compensation Discussion and Analysis: annual incentive payout as a percentage of target, the disclosed long-term vehicle mix, whether performance-share measures include a total shareholder return component, and the retained compensation consultant. “Not disclosed” appears only where the company's filing does not state the item.

11

Source register

Each figure's location is given both for the eye (section · page · table · row · column) and for a script (table/row/column index and exact character span in the filed document). Any figure can be independently confirmed against the source.

#SupportsDocumentFiledAccessionLocation in document
1Section 01, Douglas PalladiniDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 7,496,679. Filing ↗machine: r2 · c7 · span 1027158–1027168
2Section 01, Richard WestenbergerDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 3,964,938. Filing ↗machine: r5 · c7 · span 1038968–1038978
3Section 01, Emily EvertDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 2,747,642. Filing ↗machine: r8 · c7 · span 1051405–1051415
4Section 01, Kendra KrugmanDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 2,640,773. Filing ↗machine: r20 · c7 · span 1099773–1099783
5Section 01, Allison PetersonDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 2,018,958. Filing ↗machine: r11 · c7 · span 1063305–1063315
6Section 01, Karen SmithDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 1,832,349. Filing ↗machine: r14 · c7 · span 1075424–1075434
7Section 01, Michael CaseyDEF 14A2026-04-010001060822-26-000059Section “SUMMARY COMPENSATION TABLE*”. As printed: 387,185. Filing ↗machine: r17 · c7 · span 1087326–1087334
8Section 03, Richard Westenberger PSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r4 · c4 · span 1140093–1140098
9Section 03, Allison Peterson RSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r13 · c2 · span 1176079–1176085
10Section 03, Emily Evert RSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r10 · c2 · span 1163736–1163742
11Section 03, Kendra Krugman RSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r23 · c2 · span 1217607–1217613
12Section 03, Douglas Palladini RSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r2 · c2 · span 1130424–1130430
13Section 03, Richard Westenberger PSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r6 · c4 · span 1148222–1148227
14Section 03, Douglas Palladini PSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t34 · r6 · c7 · span 1312716–1312722
15Section 03, Karen Smith RSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r16 · c2 · span 1188582–1188588
16Section 03, Richard Westenberger RSUDEF 14A2026-04-010001060822-26-000059Section “FISCAL 2025 GRANTS OF PLAN-BASED AWARDS” · grants of plan-based awards table. Filing ↗machine: t32 · r5 · c2 · span 1143092–1143098
17Section 07, pay ratioDEF 14A2026-04-010001060822-26-000059Section “CEO Pay Ratio”. As printed: 542 : 1. Filing ↗
18Section 06, 2026 voteForm 8-K2026-05-140001060822-26-000074Item 5.07 · say-on-pay result. As reported: 95.42% (votes for as printed: 27,183,748). Filing ↗
19Section 06, 2025 voteForm 8-K2025-05-200001060822-25-000124Item 5.07 · say-on-pay result. As reported: 94.12% (votes for as printed: 26,944,958). Filing ↗
20Section 06, 2024 voteForm 8-K2024-05-160001060822-24-000115Item 5.07 · say-on-pay result. As reported: 97.56% (votes for as printed: 32,828,890). Filing ↗
21Section 01 trend, Δ column (computed)ComputedcomputedΔ = current-FY total − prior-FY total per named officer.machine: formula: Δ = FY(n) − FY(n−1)
22Section 03b vehicle mix (computed)ComputedcomputedRSU / PSU / Options grant-date fair values summed per officer from the grants table; % performance-vested = PSU ÷ (RSU+PSU+Options).machine: formula: sums + PSU ratio
23Tapestry, Inc., Section 10b CEO totalDEF 14A2025-09-260001140361-25-036303CEO total compensation as printed in Tapestry, Inc.'s own proxy. As printed: 17,340,349. Filing ↗machine: t223 · r2 · c25 · span 1671584–1671594
24Levi Strauss & Co., Section 10b CEO totalDEF 14A2026-03-110001308179-26-000050CEO total compensation as printed in Levi Strauss & Co.'s own proxy. As printed: 16,145,173. Filing ↗machine: t255 · r2 · c35 · span 713671–713681
25Abercrombie & Fitch Co., Section 10b CEO totalDEF 14A2026-04-200001018840-26-000022CEO total compensation as printed in Abercrombie & Fitch Co.'s own proxy. As printed: 13,300,257. Filing ↗machine: t170 · r3 · c8 · span 903659–903669
26HanesBrands Inc., Section 10b CEO totalDEF 14A2025-03-170001104659-25-024433CEO total compensation as printed in HanesBrands Inc.'s own proxy. As printed: 12,933,300. Filing ↗machine: span 1485257–1485267
27Under Armour, Inc., Section 10b CEO totalDEF 14A2026-07-150001336917-26-000102CEO total compensation as printed in Under Armour, Inc.'s own proxy. As printed: 11,597,975. Filing ↗machine: r2 · c48 · span 595286–595296
28Carters (subject), Section 10b CEO totalDEF 14A2026-04-010001060822-26-000059CEO total compensation as printed in Carters's own proxy. As printed: 7,496,679. Filing ↗machine: r2 · c7 · span 1027158–1027168
29Urban Outfitters, Inc., Section 10b CEO totalDEF 14A2026-04-010001193125-26-137990CEO total compensation as printed in Urban Outfitters, Inc.'s own proxy. As printed: 6,290,916. Filing ↗machine: span 307336–307345
30Oxford Industries, Inc., Section 10b CEO totalDEF 14A2026-05-130000075288-26-000032CEO total compensation as printed in Oxford Industries, Inc.'s own proxy. As printed: 5,529,136. Filing ↗machine: t36 · r3 · c12 · span 668880–668889
31Columbia Sportswear Company, Section 10b CEO totalDEF 14A2026-04-240001050797-26-000062CEO total compensation as printed in Columbia Sportswear Company's own proxy. As printed: 3,036,220. Filing ↗machine: t61 · r3 · c27 · span 566267–566276
32Section 10a, Urban Outfitters, Inc. reciprocityDEF 14A0001193125-25-070459Urban Outfitters, Inc. names Carters in its own disclosed peer group (read from its most recent proxy). Filing ↗
33Section 10a, Levi Strauss & Co. reciprocityDEF 14A0001308179-26-000050Levi Strauss & Co.'s most recent proxy was read; its disclosed peer group does not include Carters. Filing ↗
34Section 10a, HanesBrands Inc. reciprocityDEF 14A0001104659-25-024433HanesBrands Inc.'s most recent proxy was read; its disclosed peer group does not include Carters. Filing ↗
35Section 10a, Oxford Industries, Inc. reciprocityDEF 14A0000075288-26-000032Oxford Industries, Inc. names Carters in its own disclosed peer group (read from its most recent proxy). Filing ↗
36Section 10a, Tapestry, Inc. reciprocityDEF 14A0001140361-25-036303Tapestry, Inc.'s most recent proxy was read; its disclosed peer group does not include Carters. Filing ↗
37Section 10a, Abercrombie & Fitch Co. reciprocityDEF 14A0001018840-26-000022Abercrombie & Fitch Co. names Carters in its own disclosed peer group (read from its most recent proxy). Filing ↗
38Section 10a, Under Armour, Inc. reciprocityDEF 14A0001336917-26-000102Under Armour, Inc. names Carters in its own disclosed peer group (read from its most recent proxy). Filing ↗