Bonus compensation
From time to time, our Board or Compensation Committee may approve bonuses for our NEOs based on individual performance, company performance,
or as otherwise determined appropriate. Pursuant to their respective employment letter agreements, each NEO has an established target annual bonus amount. For 2022, our NEOs target bonuses, expressed as a percentage of annual base salary, were
60% for Dr. Lim and 40% for Dr. Chacko and Dr. Lin.
For 2022, annual bonuses were based on corporate performance relative to
key corporate objectives tied to clinical and regulatory priorities as well as operational and financial objectives. Following a comprehensive review of our corporate performance relative to these corporate objectives, our compensation committee
approved the payment of annual bonuses to our NEOs at 90% of target levels. The annual bonuses paid to our NEOs for 2022 are reflected in the Summary Compensation Table above.
Equity-based incentive awards
Our
equity-based incentive awards are designed to align our interests and the interests of our stockholders with those of our employees and consultants, including our NEOs. The Board and compensation committee is responsible for approving equity grants.
We typically grant equity awards to new hires upon their commencing employment with us. Generally, our equity awards vest over four years, subject to the employees continued employment with us on each vesting date.
In February 2022, we granted Dr. Lim, Dr. Chacko, and Dr. Lin options to purchase 791,000, 366,125, and 272,100 shares of our
common stock, respectively, under our 2021 Incentive Award Plan (the 2021 Plan). The options are eligible to vest over a period of four years, with 1/48th of the options vesting on a monthly basis following the vesting commencement date, or
February 1, 2022, subject to continuous service through each vesting date. These options are eligible for accelerated vesting on the terms provided in the Severance Plan.
In February 2023, we granted Dr. Lim, Dr. Chacko, and Dr. Lin options to purchase 1,500,000, 600,000, and 560,000 shares of our
common stock, respectively, under our 2021 Plan. The options are eligible to vest over a period of four years, with 1/48th of the options vesting on a monthly basis following the vesting commencement date, or February 1, 2023, subject to
continuous service through each vesting date. These options are eligible for accelerated vesting on the terms provided in the Severance Plan.
Other
elements of compensation
Perquisites, health, welfare and retirement benefits
Our NEOs are eligible to participate in our employee benefit plans, including our medical, dental, vision, group life, disability and
accidental death and dismemberment insurance plans, in each case, on generally the same basis as all of our other employees.
We generally
do not provide perquisites or personal benefits to our named executive officers, except in limited circumstances. Our Board may elect to adopt qualified or
non-qualified benefit plans in the future if it determines that doing so is in our best interests.
401(k)
plan
We maintain a defined contribution employee retirement plan (401(k)) plan, for our employees. Our NEOs are eligible to
participate in the 401(k) plan on the same basis as our other employees. The 401(k) plan is intended to qualify as a tax-qualified plan under Section 401(a) of the Internal Revenue Code. The 401(k) plan
provides that each participant may make pre-tax deferrals from his or her compensation up to the statutory limit, which is $22,500 for calendar year 2023, and other testing limits. Participants that are 50
years or older can also
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