2018 Guide to Effective Proxies

2.10 Board skills matrix | 169 6 TH EDITION | GUIDE TO EFFECTIVE PROXIES NASDAQ, INC. PROLOGIS PRUDENTIAL FINANCIAL, INC. PSEG Notice of 2018 Annual Meeting of Stockholders and Proxy Statement 40 CapitalMarkets Cybersecurity FinTech Mergers& Acquisitions PublicCompany Board&Corporate Governance Risk Management Strategic Acumen and Leadership MelissaM.Arnoldi • • • • Charlene T.Begley • • • • • StevenD.Black • • • • • • Adena T. Friedman • • • • • • EssaKazim • • • • • ThomasA.Kloet • • • • • • JohnD.Rainey • • • • • MichaelR. Splinter • • • • • • • JacobWallenberg • • • • • LarsR.Wedenborn • • • • • • Melissa M. Arnoldi Age: 45 DirectorSince: 2017 OtherPublicCompanyBoards: None BoardCommittees: Audit Ms.ArnoldihasbeenPresidentof Technology&Operations atAT&TCommunications, awholly owned subsidiaryofAT&T Inc., a telecommunications company, sinceAugust2017.Ms.Arnoldihas served invarious capacities atAT&T since2008 including:Presidentof TechnologyDevelopment atAT&T Services, Inc. from September2016 toAugust2017; SVP, Technology Solutions&Business Strategy, fromDecember2014 to September2016;VP, IT Strategy&Business Integration, from December2012 toDecember2014; andAVP, IT from January2008 toDecember2012.Prior toAT&T,Ms.Arnoldiwas apartner in theCommunications&High Technology IndustryGroup at Accenture Ltd. from2006 to2008, serving invariousother capacities from1996 to2008. BOARDOFDIRECTORSANDCORPORATEGOVERNANCE BOARDQUALIFICATIONS Inadditiontofundamentalcharacteristicsnecessaryforalldirectors,suchas courage,wisdomandgoodjudgment,belowarequalificationsofourBoard identifiedasimportantinourBoardevaluationprocess.Thesecharacteristicsare criticaltostrongoversight. WehavedeepexperienceinrealestateonourBoardcoveringallcomponentsof ourbusinessmodel.TheBoardbelievesabalanceofperspectivesfromother industriesisalsocriticaltowell-roundedoversight.OurBoard’swiderangeof experienceacrossaspectrumofindustriesfrombankingtohealthcarebroadens perspectivesandstrengthensriskassessmentsbytheBoard.Inadditiontothe qualificationslistedbelow,Ms.Bitabringsherexperienceinthetechnology industrytotheBoardprovidingvaluableinsightsupportingourstrategic initiativesdrivinginnovationanddataanalytics. Real estate/logistics (1) CEO/executivemanagement Strategicplanning Finance/accounting Globaloperations Riskmanagement H.Moghadam C.Bita G. Fotiades L.Kennard J.M. Losh I. Lyons III D.O’Connor O.Piani J. Skelton C.Webb W.Zollars (1) Includesdevelopment,operations,realestateinvestmentsandfundmanagement. I 12 Total of 02 pages in section Biographical Information 28 PSEG2018ProxyStatement Skills and Qualifications WillieA.Deese WilliamV.Hickey Ralph Izzo ShirleyAnn Jackson DavidLilley BarryH.Ostrowsky ThomasA.Renyi HakCheol (H.C.)Shin Richard J.Swift SusanTomasky AlfredW.Zollar Accounting/Finance experience is important inoverseeingour financial reporting and internal controls toassure transparency and accuracy. 3 3 3 3 3 3 3 3 3 3 3 Construction/Engineering experience is important inassessingour operations, project developmentandopportunities for growth. 3 3 ConsumerProducts/ProductDevelopment experience is important indeveloping innovative solutions and adapting our business and strategy tomeet customerexpectations. 3 3 3 3 CorporateGovernance experience is important inassuringBoard effectivenessand appropriateoversight. 3 3 3 3 3 3 3 3 3 3 3 CustomerSatisfaction&Sales experience is important inunderstanding the consumer- driven aspectof our business in order to provideoutstanding service. 3 3 3 3 3 Environment/Science experience is important toan entity dependenton scientificexpertise and in assessingenvironmental compliance, obligationsandoperations. 3 3 3 3 3 Government/Policy/Regulatory experience is important toa heavily regulatedentitydirectly impactedby governmental actions,public policyandeconomic trends. 3 3 3 3 3 Industry/GeneratingPlantOperations experience is important inoverseeing the developmentand implementationof our operating plan and business strategy. 3 3 3 3 Legal experience is important inunderstanding andevaluatingour legal risks andobligations. 3 3 Management experience is important in overseeing the leadership and performanceof ourCompany’s seniormanagement. 3 3 3 3 3 3 3 3 3 3 3 Manufacturing experience is important in understanding and assessing theoperationof ourbusiness, including safety, controls, efficiency and compliance. 3 3 3 3 3 RiskManagement experience is important in overseeing the risks facing theCompany. 3 3 3 3 3 3 3 Technology/Cybersecurity experience is important inassessing thebest tools to enhancebusiness operationsand customer serviceand address cybersecurity risks. 3 3 3 3 3 3 Item1—ElectionofDirectors: DirectorNominees Summary of Director Qualifications and Experience ACADEMIA/EDUCATION experience is important because it brings perspective regarding organizationalmanagement and academic research relevant to our business and strategy. BUSINESS ETHICS experience is important given the critical role that ethics plays in the success of ourbusinesses. BUSINESSHEAD/ADMINISTRATION experience is important since directors with administration experience typically possess strong leadership qualities and the ability to identify and develop those qualities in others. BUSINESS OPERATIONS experience givesdirectors a practical understanding of developing, implementing and assessing our operatingplan and business strategy. CORPORATE GOVERNANCE experience supports our goals of strongBoard andmanagement accountability, transparency andprotection of shareholder interests. ENVIRONMENTAL/SUSTAINABILITY/CORPORATE RESPONSIBILITY experience strengthens theBoard’s oversight and assures that strategic business imperatives and long term value creation for shareholders are achievedwithin a responsible, sustainable businessmodel. FINANCE/CAPITAL ALLOCATION experience is important in evaluating our financial statements and capital structure. FINANCIAL EXPERTISE/LITERACY is important because it assists our directors in understanding and overseeing our financial reporting and internal controls. FINANCIAL SERVICES INDUSTRY experience is important in understanding and reviewing ourbusiness and strategy. GOVERNMENT/PUBLIC POLICY experience is relevant to theCompany as it operates in aheavily regulated industry that is directly affectedby governmental actions. INSURANCE INDUSTRY experience is important in understanding and reviewing our business and strategy. INTERNATIONAL experience is important inunderstanding and reviewing our business and strategy. INVESTMENTS experience is important in evaluating our financial statements and investment strategy. MARKETING/SALES experience is relevant to theCompany as it seeks to identify and develop newmarkets for its financial products and services. TALENTMANAGEMENT experience is valuable inhelping us attract,motivate and retain top candidates for positions at theCompany. TECHNOLOGY/SYSTEMS experience is relevant to theCompany as it looks forways to enhance the customer experience and internal operations. Baltimore, Thomas J., Jr. Casellas,Gilbert F. Grier,MarkB. Krapek, Karl J. Lighte, Peter R. Paz, George Hund-Mejean,Martina Scovanner, Douglas A. Poon, Christine A. Pianalto, Sandra Todman,Michael A. Strangfeld, John R. REAL ESTATE experience is important in understanding and reviewing our business and strategy. RISKMANAGEMENT experience is critical to theBoard’s role in overseeing the risks facing theCompany. • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • 16 | NoticeofAnnualMeetingofShareholdersand2018ProxyStatement