Dow raises CEO Karen Carter’s 2026 compensation
Dow Inc. filed an amended report to detail new compensation terms for incoming Chief Executive Officer Karen S. Carter, effective July 1, 2026.
Rhea-AI Filing Summary
Dow Inc. filed an amended report to detail new compensation terms for incoming Chief Executive Officer Karen S. Carter, effective July 1, 2026. The Board increased her annual base salary from $997,425 to $1,500,000 and raised her target award under the annual cash incentive program from 120% to 165% of base salary.
Her 2026 cash incentive will be split between her time as Chief Operating Officer and Chief Executive Officer, using the different salary and target levels for each role and remaining subject to company and individual performance. The Board also increased her annual long-term incentive target from $5,319,600 to $14,025,000 and approved a one-time long-term incentive grant valued at $4,350,000, delivered as performance stock units, stock options, and restricted stock units with multi-year vesting. She continues to participate in the same benefit plans as other executives, as described in Dow’s 2026 proxy statement.
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8-K Event Classification
Key Figures
Key Terms
annual cash incentive program financial
long-term incentive compensation awards financial
performance stock units financial
stock options financial
restricted stock units financial
Definitive Proxy Statement regulatory
FAQ
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
July 6, 2026 (
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
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If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Section 5 – Corporate Governance and Management
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On April 14, 2026, Dow Inc. (“Dow” or the “Company”) filed a Current Report on Form 8-K with the U.S. Securities and Exchange Commission (the “SEC”) reporting that the Board of Directors of the Company (the “Board”) appointed Karen S. Carter as Chief Executive Officer of the Company, effective July 1, 2026 (the “Original Filing”).
This Form 8-K/A amends and supplements the Original Filing to provide a description of the material changes to Ms. Carter’s compensation in connection with her appointment as Chief Executive Officer, which had not been determined by the Board at the time of the Original Filing.
On June 30, 2026 and effective as of July 1, 2026, the Board approved (i) an increase to Ms. Carter’s annual base salary from $997,425 to $1,500,000, (ii) an increase to Ms. Carter’s target award under the Company’s annual cash incentive program from 120% to 165% of her annual base salary, and (iii) an increase to Ms. Carter’s aggregate target value for annual long-term incentive compensation awards from $5,319,600 to $14,025,000. Ms. Carter’s annual cash incentive payout for the 2026 program will be calculated to reflect the timing, targets and salary for both of her roles held during 2026 as follows: for the period from January 1, 2026 to June 30, 2026, the calculation will be based on the 120% target of her Chief Operating Officer base salary, and for the period from July 1, 2026 to December 31, 2026, the calculation will be based on the 165% target of her Chief Executive Officer base salary, each subject to Company and individual performance and the Company’s standard terms and conditions for the annual cash incentive program as described in the Company’s Definitive Proxy Statement on Schedule 14A filed with the SEC on February 27, 2026 (the “Proxy Statement”).
The Board also approved the grant of a one-time long-term incentive compensation award to Ms. Carter with a grant date of July 1, 2026 and an aggregate grant date award value of $4,350,000, comprised of (i) 65% performance stock units to be earned based on performance over a three-year performance period, (ii) 20% stock options vesting in three equal annual installments beginning on February 12, 2027 and expiring on February 12, 2036, and (iii) 15% restricted stock units vesting on February 12, 2029. This award is consistent with the target award mix for other executives, includes vesting periods aligned to the Company’s annual executive compensation review cycle, and is subject to the Company’s standard terms and conditions for such award as described in the Proxy Statement. The number of shares underlying the award was calculated based on the closing stock price of Dow Inc. common stock on the grant date.
Ms. Carter will continue to participate in compensation and benefit arrangements available to other Dow executives, as well as other compensation and benefit arrangements similar to those available to eligible salaried U.S. employees, all of which are described in the Proxy Statement.
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
DOW INC.
Date: July 6, 2026
/s/ SHANDELL S. MASSEY
Shandell S. Massey
Corporate Secretary and Assistant General Counsel