2018 Guide to Effective Proxies

6 TH EDITION | GUIDE TO EFFECTIVE PROXIES 82 GENERAL MOTORS PROXYSTATEMENTSUMMARY Governance Highlights We recognize that strong corporate governance contributes to long-term shareholder value. We are committed to sound governance practices,includingthosedescribedbelow. NEWFOR2017–2018 Aspartofourcomprehensiverefreshmentandrecruitmentprocess,weaddedanewdirector,Mr.Wenig,whoisthePresident andChiefExecutiveOfficerofeBayandbringsconsiderabletechnologyandconsumer-facingexpertisetoyourBoard. EstablishednewCybersecurityCommitteetoenhanceBoardoversightofGM’scybersecurityriskmanagementprogram,pol- icies,andprocedures. SelectedErnst&YoungLLPastheCompany’snewindependentregisteredpublicaccountingfirm. EnhancedProxyStatementdisclosures: • Q&AwithourChairmanandCEO,IndependentLeadDirector,andGovernanceCommitteeChairtooutlinetheBoard’s strategicframeworkfordrivinglong-termshareholdervaluecreation,theimportanceofshareholderengagement,and whyGMhastherightBoardattherighttime. • Expanded Proxy Statement Summary to highlight our director nominees, governance best practices, Company performance, compensation strategy, and corporate social responsibility, environmental, and sustainability performance. • OverviewofBoard’sleadershipstructureandriskoversightresponsibilities. BestPractices Active shareholder engagementprocess, includingaDirector- ShareholderEngagement Policy DiverseBoard in terms ofgender,ethnicity, and specific skillsand qualifications Strategyand risk oversightby fullBoard andCommittees, includingnewly formed CybersecurityCommittee Long-standing commitment to sustainabilityand corporate social responsibility Robust stockownership guidelines forexecutive officersandnon- employeedirectors “Overboarding” limits Orientationprogram fornewdirectorsand continuingeducation for alldirectors Accountability Annualelectionofall directors Majorityvotingwith director resignation policy (pluralityvoting in contestedelections) AnnualBoardand Committee self- evaluations, including individualBoardmember evaluation AnnualevaluationofCEO (including compensation)by independentdirectors Clawbackpolicy that applies toour short- and long-term incentive plans ShareholderRights Proxyaccess for shareholders Shareholder right to call specialmeetings Nopoisonpill Independence Tenoutofeleven directorsare independent Strong Independent LeadDirectorwith clearly delineatedduties All standingBoard Committeesother than theExecutiveCommittee composedentirelyof independentdirectors Regularexecutive sessionsof independent directors BoardandCommittees mayhireoutsideadvisors independentlyof management PUBLICPOLICYENGAGEMENT Our Board has adopted a U.S. Corporate Political Contributions & Expenditures Policy (“Political Contributions Policy”), which, together with other policiesandproceduresof theCompany,guidesGM’s approach to political contributions. Our Political Contributions Policy and Voluntary Report on Political Contributions are available on our website at: gm.com/investors/corporate-governance. One-share,one-vote standard Independence[Ten]outof[eleven]directorsareindependentStrongIndependentLeadDirectorwithclearlydelineateddutiesAllstandingBoardCommitteesotherthantheExecutiveCommitteecomposedentirelyofindependentdirectorsRegularexecutivesessionsofnon-managementdirectorsBoardandCommitteesmayhireoutsideadvisorsindependentlyofmanagementBestPracticesActiveshareholderengagementprocess,includingaDirector-ShareholderEngagementPolicyDiverseBoardintermsofgender,ethnicity,andspecificskillsandqualificationsStrategyandriskoversightbyfullBoardandCommittees,includingnewlyformedCybersecurityCommitteeLong-standingcommitmenttosustainabilityandcorporatesocialresponsibilityRobuststockownershipguidelinesforexecutiveofficersandnon-employeedirectors“Overboarding”limitsOrientationprogramfornewdirectorsandcontinuingeducationforalldirectorsAccountabilityAnnualelectionofalldirectorsMajorityvotingwithdirectorresignationpolicy(pluralitystandardtoapplyincontestedelections)AnnualBoardandCommitteeself-evaluations,includingindividualBoardmemberevaluationAnnualevaluationofCEO(includingcompensation)by independentdirectorsclawbackpolicythatappliestoourshort-andlong-termincentiveplansShareholderRightsProxyaccessforshareholdersShareholderrighttocallspecialmeetingsNopoisonpillOne-share,one-votestandardPublicPolicyEngagementOurBoardhasadoptedaU.S.CorporatePoliticalContributions&ExpendituresPolicy,whichtogetherwithotherpoliciesandproceduresoftheCompany,guidesGM’sapproachtopoliticalcontributions.OurPoliticalContributionsPolicyandVoluntaryReportonPoliticalContributionsareavailableonourwebsiteatgm.com/investors/corporate-governance.html . G E N E R A L M O T O R S 2018 PROXYSTATEMENT 3 Total of 06 pages in section PROXYSTATEMENTSUMMARY Thefollowingtableprovidessummaryinformationabouteachdirectornominee.Formoredetailedinformationaboutourdirectors,see “ItemNo.1—ElectionofDirectors—YourBoard’sNomineesforDirector”onpage10. Name Age Director Since PrincipalOccupation Independent Committee Memberships MaryT.Barra 56 2014 Chairman& ChiefExecutiveOfficer, GeneralMotorsCompany Executive– Chair TheodoreM.Solso 71 2012 IndependentLeadDirector, GeneralMotorsCompany,and RetiredChairman&Chief ExecutiveOfficer,Cummins,Inc. Executive LindaR.Gooden 65 2015 RetiredExecutiveVicePresident, InformationSystems&Global Solutions,LockheedMartin Corporation Audit Cybersecurity– Chair Executive Risk JosephJimenez 58 2015 RetiredChiefExecutiveOfficer, NovartisAG ExecutiveCompensation Governance JaneL.Mendillo 59 2016 RetiredPresident& ChiefExecutiveOfficer, HarvardManagementCompany Finance Audit Admiral MichaelG.Mullen 71 2013 FormerChairman, JointChiefsofStaff Audit Cybersecurity Executive Risk– Chair JamesJ.Mulva 71 2012 RetiredChairman& ChiefExecutiveOfficer, ConocoPhillips Executive ExecutiveCompensation Finance– Chair Risk PatriciaF.Russo 65 2009 Chairman,HewlettPackard EnterpriseCompany Executiv ExecutiveCompensation Finance Governance– Chair ThomasM. Schoewe 65 2011 RetiredExecutiveVicePresident &ChiefFinancialOfficer, Wal-MartStores,Inc. Audit– Chair Cybers curity Executive Finance Risk CarolM. Stephenson 67 2009 RetiredDean,IveyBusiness School,TheUniversityof WesternOntario Executive ExecutiveCompensation– Chair Governance DevinN.Wenig 51 2018 President& ChiefExecutiveOfficer, eBayInc. Com ittee mbershipstobe determinedattheBoard’sJune 2018meeting 2 G E N E R A L M O T O R S 2018 PROXYSTATEMENT PROXY STATEMENT SUMMARY This summary highlights information contained elsewhere in this Proxy Statement. It does not contain all of the information that you shouldconsider.PleasereadtheentireProxyStatementcarefullybeforevoting. Agenda and Voting Recommendations Proposal BoardVoteRecommendation PageReference MANAGEMENTPROPOSALS: ItemNo.1 – ElectionofDirectors FOR 7 ItemNo.2 –Approvalof,onanAdvisoryBasis, NamedExecutiveOfficerCompensation FOR 68 ItemNo.3 –RatificationoftheSelectionof Ernst&YoungLLPastheCompany’sIndependent RegisteredPublicAccountingFirmfor2018 FOR 69 SHAREHOLDERPROPOSALS: ItemNo.4 –IndependentBoardChairman AGAINST 72 ItemNo.5 – ShareholderRighttoActbyWrittenConsent AGAINST 74 ItemNo.6 –ReportonGreenhouseGasEmissionsandCAFEStandards AGAINST 76 Board Nominees WEHAVETHERIGHTBOARDATTHERIGHTTIMEFORGM The Board and management are overseeing a period of unprecedented change at GM. Ensuring the Board is composed of directors who bring diverse viewpoints and perspectives,exhibit a variety of skills, professional experience,and backgrounds, andeffectivelyrepresentthelong-terminterestsofshareholdersisatoppriorityofyourBoardandtheGovernanceCommittee. OurmembershipcriteriaanddirectorrecruitmentinitiativesaligntheBoard’scapabilitieswiththeexecutionoftheCompany’s businessstrategy.TheBoardrecognizestheneedforrefreshmenttobringnewperspectives,keepingin indourcommitment to diversity. In fact, we added four new directors in the past three years as part of our comprehensive refreshment and recruitmentprocess,includingMr.Wenig,PresidentandChiefExecutiveOfficerofeBay.Thesenewdirectorscomplementedour directors’mixofskillsbybringingkeyleadership,technology,consumer-facingandcapitalmarketsexpertisetotheBoard.Fora detaileddiscussionofwhywehavetherightBoardforGM,see“ItemNo.1—ElectionofDirectors”onpage7. CompositionofBoardNominees 60s 50s 70s AGEOFDIRECTORS 4 4 3 AVERAGE AGE 64 YEARS 3–5 Years DIRECTORTENURE 5 4 2 AVERAGE TENURE 5 YEARS Women Men GENDER 6 5 45% 9% DIRECTOR INDEPENDENCE 1 10 10 of 11 NOMINEESARE INDEPENDENT WOMEN 6–9 Years 91% 1–2 Years G E N E R A L M O T O R S 2018 PROXYSTATEMENT 1 GLOBAL PAYMENTS INC. BoardandCorporateGovernanceHighlights(Page18) Wehaveadoptedleadinggovernancepracticesthatestablishstrongindependentleadershipinourboardroom andprovideourshareholderswithmeaningfulrights.Highlightsinclude: Í IndependentChairman Í Eightofninedirectorsarenon-employeedirectors Í FullyindependentAudit,Compensation,and GovernanceandNominatingCommittees Í Annualboardandcommitteeself-evaluations Í Proxyaccessforshareholders NEW Í Majorityvotingfordirectorsinuncontestedelections Í Minimumstockownershiprequirements Í Limitationonoutsideboardandauditcommittee service Í Greaterthan75%attendanceatmeetings Í Non-employeedirectorsmeetwithoutmanagement present Í Codeofbusinessconductandethicsfordirectors Theboardhastakenathoughtfulanddeliberateapproachtoboardcompositiontoensurethatourdirectorshave backgroundsthatcollectivelyaddsignificantvaluetothestrategicdecisionsmadebytheCompanyandenable themtoprovideoversightofmanagementtoensureaccountabilitytoourshareholders.Thecompositionofour boardconsistsof: 62% 25% 13% 22% 78% 22% 78% Tenure* Independence Diversity <5Years 5-15 Years >15 Years * represents tenure fornon-employeedirectors GenderandEthnicDiversity Non-Independent Independent GLOBALPAYMENTSINC. | 2018ProxyStatement – 3 Total of 07 pages in section • Continuetodevelopseamlessmultinationalsolutionsforleadingglobalcustomers; • Providecustomerserviceatlevelsthatexceedourcompetition,whileinvestingintechnology,tr i ingand enhancementstoourserviceofferings;and • Pursuepotentialdomesticandinternationalacquisitionsof,investmentsinandallianceswithcompanies thathavehighgrowthpotential,significantmarketpresence,sustainabledistributionplatformsand/orkey technologicalcapabilities. Ourboardanditscommitteesprovidesupportandoversighttomanagementintheoperationofourbusinessand strategy,asfurtherdescribedinthisproxy. 2017PerformanceHighlights Weexperiencedstrongbusinessandfinancialperformancearoundtheworldduringtheyearended December31,2017.HighlightsrelatedtoourfinancialconditionandresultsofoperationsasofDec mber31, 2017andfortheyearthenendedincludethefollowing: • Consolidatedrevenuesincreasedby17.9%to$3,975.2millionfortheyearendedDecem er31,2017 from$3,371.0millionfor2016. • Consolidatedoperatingincomewas$558.9millionfortheyearendedDecember31,2017comparedto $356.3millionfor2016.OuroperatingmarginfortheyearendedDecember31,2017was14.1% comparedto10.6%for2016. • NetincomeattributabletoGlobalPaymentswas$468.4millionfortheyearendedDecember31,2017 comparedto$201.8millionfor2016,anddilutedearningspersharewas$3.01fortheyearended December31,2017comparedto$1.37for2016. • Overthe12-monthperiodfromJanuary1,2017throughDecember31,2017,ourstockpriceincreasedby 42%.OurstockpricefromJanuary1,2013throughDecember31,2017relativetotheperformanceofour peergroupandtheS&P500index,whichwejoinedinApril2016,isshowninthegraphbelow. Thefollowinggraphcomparesthecumulativeshareholderreturnsof$100investedintheS&P500Index,our CompanyandtheaverageofourperformancepeergroupfromJanuary1,2013throughDecember31,2017, assumingreinvestmentofdividends. ThegraphexcludespeergroupperformanceforSabreCorporation,PayPal,Inc.andFirstDataCorp.,becausethesecompanieswerenot publiclytradedforthefullperiodpresentedabove. 2 – GLOBALPAYMENTSINC. | 2018ProxyStatement Proxy Summary Thissummary highlightsinformation containedelsewhereinthis proxy statement, but doesnot containallof the information you shouldconsiderbefore votingyour shares. For completeinformation regardingthe 2018Annual Meetingof Shareholders,which we refer to as the “annualmeeting,” the proposalsto be voted on at the annual meeting, and our performance duringthe year endedDecember31, 2017, pleasereview the entire proxy statement and our 2017AnnualReport on Form 10-K, or the AnnualReport on Form 10-K. In this proxy statement, the “Company,”“we,” “our” and “us”refer to GlobalPayments Inc. and its consolidated subsidiaries,unlessthe context requires otherwise. Information AboutOur 2018AnnualMeeting Date and Time: Friday, April27, 2018, at 9:30 a.m. Eastern DaylightTime Place: Our offices at 3550LenoxRoad, Atlanta, Georgia,30326 RecordDate: March 5, 2018 Voting: Holdersof our common stock as of the closeof businesson the record date may vote at the annualmeeting. Each shareholderis entitledto onevote per share for each director nominee and onevote per share for each of the other proposalsdescribedbelow. Proposals andVoting Recommendations Proposal BoardVote Recommendation Page Number 1 – Electionof Three Directors FOR each nomin e 1 2–AdvisoryVoteonCompensationofOurNamedExecutiveOfficers (“say-on-pay”vote) FOR 29 3 – Ratificationof the Reappointmentof Our IndependentPublicAccountingFirm FOR 60 BusinessandStrategy We are a leadingworldwide provider of payment technologyand software solutionsdeliveringinnovative services to our customers globally.Our technologies,services and employeeexpertise enableus to providea broad range of solutionsthat allowour customers to accept various payment types and operate their businesses more efficiently. We distribute our services across a variety of channelsto customers in30 countries throughout North America, Europe, the Asia-Pacificregionand Braziland operate inthree reportable segments: North America, Europeand Asia-Pacific. Our services enableour customers to accept card, electronic, check and digital-basedpayments at the pointof sale. We offer hightouch services that provideour customers with reliableand secure payment solutions coupledwith highqualityand responsivesupport services. We seek to leveragethe adoptionof, and transition to, card, electronicand digital-basedpayments by expanding share inour existingmarkets through our distributionchannelsand service innovation,as wellas through acquisitionsto improve our offerings and scale, whilealsoseekingto enter new markets through acquisitions, alliancesand jointventures around the world. We intendto continueto invest inand leverageour technology infrastructure and our peopleto increaseour penetration inexistingmarkets. Our key objectivesincludethe following: • Grow and control our direct distributionby addingnew channelsand partners, includingexpandingour ownershipof additionalenterprise software solutionsinselect vertical markets; • Deliverinnovativeservices by developingvalue-addedapplications,enhancingexistingservices and developingnew systems and services to blendtechnologywith customer needs; • Leveragetechnologyand operationaladvantages throughout our globalfootprint; GLOBAL PAYMENTSINC. | 2018Proxy Statement – 1