SCHN 2017 Proxy Statement

Contents PROXY MATERIALS Page 5 Proxy Summary 13 Proxy Statement 13 Questions and Answers about these Proxy Materials and Voting 17 Voting Securities and Principal Shareholders 18 Section 16(a) Beneficial Ownership Reporting Compliance 18 Certain Transactions COMPENSATION DISCUSSION AND ANALYSIS Page 31 Overview 31 Shareholder Outreach 32 Linkage to Company Performance 33 Summary of Executive Compensation Program 36 Executive Compensation Process 40 Elements of Compensation PROXY VOTING MATTERS Page 19 Proposal 1 – Election of Directors 62 Proposal 2 – Advisory Resolution on Executive Compensation 64 Proposal 3 – Advisory Vote on Frequency of Executive Compensation Advisory Vote 65 Proposal 4 – Ratification of Selection of Independent Registered Public Accounting Firm CEO Letters to Shareholders . . . . . . . . . . . . . . . . . . 1 Corporate Governance . . . . . . . . . . . . . . . . . . . . . . . 23 Board Committees and Responsibilities . . . . . . . . . . 24 Director Compensation . . . . . . . . . . . . . . . . . . . . . . 29 Compensation Committee Report . . . . . . . . . . . . . . . 52 Compensation of Executive Officers . . . . . . . . . . . . . 53 Audit Committee Report . . . . . . . . . . . . . . . . . . . . . . 67 Shareholder Proposals for 2019 Annual Meeting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69 4 | Notice of Annual Meeting of Shareholders and 2017 Proxy Statement