> l \pThe Free Software Foundation B=PF0*8X@"1 Helvetica1Courier1Courier New1Courier New1 Helvetica$#,##0_);($#,##0)$#,##0_);[Red]($#,##0)$#,##0.00_);($#,##0.00)$#,##0.00_);[Red]($#,##0.00)**_($* #,##0_);_($* (#,##0);_($* ""_);_(@_)*)'_(* #,##0_);_(* (#,##0);_(* ""_);_(@_)5,2_($* #,##0.00_);_($* (#,##0.00);_($* ""??_);_(@_)2+/_(* #,##0.00_);_(* (#,##0.00);_(* ""??_);_(@_)2$#,##0.00;[Red]$#,##0.003$#,##0.00;[Red]($#,##0.00)4$#,##0;[Red]($#,##00)50.00%;[Red](0.00%)60%;[Red](0%)7#,##0.00;[Red](#,##0.00)8#,##0;[Red](#,##0) + ) , * Ј ~~ ؈ ~~#؈ ~~ ؈ ~~8#܈ ~~4#܈ ~~3#܈ ~~7#܈ ~~9#܈ ~~83ffff̙̙3f3fff3f3f33333f335Mercury Systems Inc&Important Notice Regarding the %TABLE OF CONTENTS&9Corporate Governance Highlights&HHow often did the Board and Com&YCash Compensation for NonEmploy& fNonEmployee Director Compensati"Cv16EQUITY COMPENSATION PLANS&Who owns more than 5 of our stoGBeneficial Ownership&oWho are Mercury s executive off&÷How We Determine Executive Comp<Base SalaryBase Salary (1)&4Executive Bonus Program for Fis&Fiscal 2017 First Half Payout F&PFiscal 2017 First Half Payo (1)wOverAchievement Awards& 32Fiscal 2017 Restricted Stock &"2Vesting of Prior Period Perform&?Vesting of Prior Period Per (1)&LVesting of Prior Period Per (2)&Y Fiscal 2018 Restricted Stock kSummary Compensation!Summary Compensation Table%Summary Compensation Table (1)8Stock Option Grants&38Grants of PlanBased Awards Fi&038Grants of PlanBased Award (1)&wVesting Formula for Acquisition&&Vesting Formula for Acquisi (1)&3Vesting Formula for Acquisi (2) @Outstanding Equity Awards&x43Vesting Formula for the Fisca&Vesting Formula for the Fiscal %0Vesting Formula for the Fi (1)%Vesting Formula for the Fi (2)&[Vesting Formula for Acquisi (3)&Vesting Formula for Acquisi (4)&Vesting Formula for Acquisi (5)&Option Exercises and Stock Vest%46Pension Benefits Fiscal 2017&Potential Payments to Mr Aslett&47Potential Payments to Messrs NonCEO Executives&
)What were the fees of our indep&6You may obtain a copy of our an*B56Appendix A
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/!Important Notice Regarding the TABLE OF CONTENTS!Corporate Governance Highlights!How often did the Board and Com!Cash Compensation for NonEmploy!NonEmployee Director Compensati16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }$ }*
MERCURY SYSTEMS INCDEF 14A
09/05/2017Mercury Systems, Inc.
Sincerely yours,Mark Aslett,
+
#President, Chief Executive Officer,and Director$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/,sg[Cth@=PF0*8X>
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/Mercury Systems IncTABLE OF CONTENTS!Corporate Governance Highlights!How often did the Board and Com!Cash Compensation for NonEmploy!NonEmployee Director Compensati16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }$ }m)
MERCURY SYSTEMS INCDEF 14A
09/05/2017kcImportant Notice Regarding the Availability of Proxy Materials for the Annual Meeting of Shareholde
*
"By Order of the Board of DirectorsChristopher C. Cambria
Secretary$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/*h=1%
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/Mercury Systems Inc!Important Notice Regarding the !Corporate Governance Highlights!How often did the Board and Com!Cash Compensation for NonEmploy!NonEmployee Director Compensati16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }U5}
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MERCURY SYSTEMS INCDEF 14A
09/05/2017TABLE OF CONTENTS
Page/'QUESTIONS AND ANSWERS ABOUT THESE PROXY~
MATERIALS AND VOTING4,PROPOSAL 1: ELECTION OF ONE CLASS I DIRECTOR~
$AND THREE CLASS II DIRECTORSCORPORATE GOVERNANCE~
"DIRECTOR COMPENSATION~
>!EQUITY COMPENSATION PLANS~
F.&PROPOSAL 2: ADVISORY VOTE ON EXECUTIVE~
J#COMPENSATION ("SAYONPAY")2*PROPOSAL 3: ADVISORY VOTE ON THE FREQUENCY~
J*"OF HOLDING FUTURE SAYONPAY VOTES/'PROPOSAL 4: RATIFICATION OF APPOINTMENT~
N3+OF INDEPENDENT REGISTERED PUBLIC ACCOUNTINGFIRMVOTING SECURITIES~
REXECUTIVE OFFICERS~
Z,$COMPENSATION DISCUSSION AND ANALYSIS~
b,$REPORT OF THE COMPENSATION COMMITTEE~
%REPORT OF THE AUDIT COMMITTEE~
0(INDEPENDENT REGISTERED PUBLIC ACCOUNTING~
Dylwk_G/lDtM cS( !"#$%&'()*+,./ FIRM!%COMPENSATION COMMITTEE INTERLOCKS AND~
!"INSIDER PARTICIPATION4#,SECTION 16(a) BENEFICIAL OWNERSHIP REPORTING~
#$
COMPLIANCE2%*SHAREHOLDER PROPOSALS FOR THE 20 18 ANNUAL~
%&MEETING'
OTHER MATTERS~
'"(ANNUAL REPORT ON FORM 10K~
())+*#Appendix A  Reconciliation between* +adjusted EBITDA and GAAP,$____________________________1.)Created by Morningstar Document Research.0/(http://documentresearch.morningstar.com/$,J4j/=PF0*8X>
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/Mercury Systems Inc!Important Notice Regarding the TABLE OF CONTENTS!How often did the Board and Com!Cash Compensation for NonEmploy!NonEmployee Director Compensati16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }0.}I }$4}
MERCURY SYSTEMS INCDEF 14A
09/05/2017'Corporate Governance Highlights (
Board and Governance Information
(
Board and Governance Information
&Size of the Board of Directors~
&.&Board Meetings Held During Fiscal 2017~
'Number of Independent Directors~
"Poison Pill
No
Average Age of Directors~
Proxy Access
NoAverage Director Tenure6 years3+Code of Conduct Business Conduct and EthicsYesWomen Board Members22%0(Stock Ownership Guidelines for DirectorsYesand CEO%Classified Board of DirectorsYes*"AntiHedging and Pledging PoliciesYes%Majority Voting in Director ElectionsYes$Compensation Clawback PolicyYes.&Plurality Voting in Contested DirectorYes!Separate Chairman and CEOYes Elections$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/6ui]Q!9k
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/Mercury Systems Inc!Important Notice Regarding the TABLE OF CONTENTS!Corporate Governance Highlights!Cash Compensation for NonEmploy!NonEmployee Director Compensati16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }}<}$ }<}$ }}$ }
MERCURY SYSTEMS INCDEF 14A
09/05/2017G?How often did the Board and Committees meet during fiscal 2017?
Name
Audit
Compensation
Nominating
Ad HocCommittee(1) Committeeand Governance
M&A Review Committee Committee
James K. Bass
X
AlternateMichael A. DanielsChairman X XGeorge K. Muellner XChairmanMark S. Newman X XWilliam K. O?BrienChairman X X
Vincent Vitto XChairman%Number of Meetings During Fiscal 2017~
*~
"~
~
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/Mercury Systems Inc!Important Notice Regarding the TABLE OF CONTENTS!Corporate Governance Highlights!How often did the Board and Com!NonEmployee Director Compensati16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }1}$ }
MERCURY SYSTEMS INCDEF 14A
09/05/2017D<Cash Compensation for NonEmployee Directors for Fiscal 2017 )
!Independent Chairman of the Board~
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per annum'Chairman of the Audit Committee~
( per annum.&Chairman of the Compensation Committee~
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dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??/Mercury Systems Inc!Important Notice Regarding the TABLE OF CONTENTS!Corporate Governance Highlights!How often did the Board and Com!Cash Compensation for NonEmploy16EQUITY COMPENSATION PLANS!Who owns more than 5 of our stoBeneficial Ownership!Who are Mercury s executive off!How We Determine Executive Comp
Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }a}$
MERCURY SYSTEMS INCDEF 14A
09/05/20176.NonEmployee Director Compensation Fiscal 2017
Name
Fees Earned
Restricted Stock
Total
Awards ($)(1)
James K. Bass~
b[~
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Michael A. Daniels~
JY
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~
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George K. Muellner~
b[~
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{ Mark S. Newman~
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{ William K. O?Brien~
~
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Vincent Vitto~
n~
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }0.}}$ }U}$ } y}
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MERCURY SYSTEMS INCDEF 14A
09/05/2017#16EQUITY COMPENSATION PLANS
Plan Category
Number of~
WeightedAverage
Number of SecuritiesSecurities to beExercise Price of Remaining Available forIssuedOutstanding Future Issuance under
upon Exercise of
Options, Warrants
!
Equity Compensation PlansOutstanding
and Rights (excluding securitiesOptions,& reflected in the first column)Warrants andRights%Equity compensation plans approved by~
~
(\+@~
~
shareholders (2).&Equity compensation plans not approved   
by shareholders
TOTAL~
(\+@~
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }}y}$ } }$
MERCURY SYSTEMS INCDEF 14A
09/05/2017+#Who owns more than 5% of our stock?
Name of Beneficial Owner
Number of
PercentShares
ofBeneficially
Class
OwnedBlackRock, Inc. (1)~
w<%@ %The Vanguard Group (2)~
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }a/}
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MERCURY SYSTEMS INCDEF 14A
09/05/2017Beneficial Ownership 
%Name and Address of Beneficial Owner*
Number of
PercentShares
ofBeneficially Class (1)
Owned (1)Mark Aslett (2)~
F ? %James K. Bass (3)~
R
**Michael A. Daniels (4)~
b
**Lisa S. Disbrow (5) 
** Mary Louise Krakauer (6) 
**George K. Muellner (7)~
&
**Mark S. Newman (8)~
F
**William K. O?Brien (9)~
z
**Vincent Vitto (10)~
ޗ
**#Christopher C. Cambria (11)~
** Gerald M. Haines II (12)~
"
** Charles A. Speicher (13)~
A
** Didier M.C. Thibaud (14)~
Z
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }$}$ }U5
MERCURY SYSTEMS INCDEF 14A
09/05/2017%Who are Mercury s executive officers?
Name
PositionMark Aslett%President and Chief Executive OfficerChristopher C. Cambria2*Executive Vice President, General Counsel,
and SecretaryGerald M. Haines II1)Executive Vice President, Chief FinancialOfficer, and TreasurerCharles A. Speicher4,Vice President, Controller, Chief Accounting( Officer, and Assistant TreasurerDidier M.C. Thibaud1)Executive Vice President, Chief OperatingOfficer$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/6[{ocWK'?tmB6*=PF0*8X>
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }'}$ }1}$ }y#
MERCURY SYSTEMS INCDEF 14A
09/05/2017/'How We Determine Executive Compensation
ADTRAN, Inc.
Ducommun Incorporated
Netgear Inc.AeroVironment, Inc.
Gigamon, Inc.NetScout Systems, Inc.Analogic Corporation)!Novanta Inc. (fka GSI Group Inc.)%Progress Software Corporation
Astronics Corporation
Infinera Corporation
Qualys, Inc.Brooks Automation, Inc.InvenSense, Inc.Ruckus Wireless, Inc.CalAmp Corp.iRobot CorporationShore Tel, Inc.Cognex CorporationIxiaSonus Networks, Inc.( Comtech Telecommunications Corp.1)Kratos Defense & Security Solutions, Inc.
Sparton Corp.
Cray, Inc..&M/ACOM Technology Solutions Holdings,Vicor Corp.Inc.Digi International Inc.MKS Instruments, Inc.$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/8^ymaUI
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MERCURY SYSTEMS INCDEF 14A
09/05/2017Base Salary )
!Named Executive Officer and Title
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Base Salary!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }6}$
MERCURY SYSTEMS INCDEF 14A
09/05/2017Base Salary )
!Named Executive Officer and Title
%Fiscal 2018 Salary (effective October1, 2017)2*Mark Aslett, President and Chief Executive~
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Base SalaryBase Salary (1)!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }6}U}$}$ }U}$
MERCURY SYSTEMS INCDEF 14A
09/05/2017/'Executive Bonus Program for Fiscal 2017 )
!Named Executive Officer and Title
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }$4}+}$ }a
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09/05/2017%Fiscal 2017 First Half Payout Formula 3
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MERCURY SYSTEMS INCDEF 14A
09/05/2017%Fiscal 2017 First Half Payout Formula 4
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }}}}}0.
MERCURY SYSTEMS INCDEF 14A
09/05/2017OverAchievement Awards 4
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MERCURY SYSTEMS INCDEF 14A
09/05/2017IAVesting of Prior Period PerformanceBased Restricted Stock Awards $
Fiscal 20152017 Performance
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09/05/2017IAVesting of Prior Period PerformanceBased Restricted Stock Awards $
Fiscal 20162017 Performance
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MERCURY SYSTEMS INCDEF 14A
09/05/2017IAVesting of Prior Period PerformanceBased Restricted Stock Awards
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&&&&&&&&&&&&&&&&&&&MERCURY SYSTEMS INCDEF 14A
09/05/2017Summary Compensation
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MERCURY SYSTEMS INCDEF 14A
09/05/2017"Summary Compensation Table
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MERCURY SYSTEMS INCDEF 14A
09/05/2017"Summary Compensation Table
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09/05/2017Stock Option Grants
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MERCURY SYSTEMS INCDEF 14A
09/05/20171)38Grants of PlanBased Awards Fiscal 2017
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MERCURY SYSTEMS INCDEF 14A
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09/05/2017UMVesting Formula for the Fiscal 2016 PerformanceBased Restricted Share Awards 9
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }@}0}
MERCURY SYSTEMS INCDEF 14A
09/05/2017UMVesting Formula for the Fiscal 2016 PerformanceBased Restricted Share Awards
Fiscal 20172019
Vesting %
Threshold/Cap3+Company Adjusted EBITDA/ Revenue Percentile/'Compared to Peer Group Adjusted EBITDA/
Revenue Percentile (a)&Less than 25 th percentile
0%Below Threshold=5Between 25 th percentile and 75 th percentile.&Straight line interpolation between 0% Thresholdand 200%=5Between 75 th percentile and 90 th percentile0(Straight line interpolation between 200%and 300%%Equal to 90 th percentile300%Cap)!Greater than 90 th percentile300%Capped at 300%$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/8SG;/#~K)N.E=PF0*8X>
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }@}0}
MERCURY SYSTEMS INCDEF 14A
09/05/2017UMVesting Formula for the Fiscal 2016 PerformanceBased Restricted Share Awards
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to Peer Group&
Less than 25 th percentile
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }I"}0.}
MERCURY SYSTEMS INCDEF 14A
09/05/2017aYVesting Formula for Acquisition Integration Incentive Performance Restricted Stock Awards
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Vesting % (2)
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }$4}}
MERCURY SYSTEMS INCDEF 14A
09/05/2017aYVesting Formula for Acquisition Integration Incentive Performance Restricted Stock Awards
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }2}}
MERCURY SYSTEMS INCDEF 14A
09/05/2017aYVesting Formula for Acquisition Integration Incentive Performance Restricted Stock Awards
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to Peer Group&
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MERCURY SYSTEMS INCDEF 14A
09/05/20175Option Exercises and Stock Vested Fiscal 2017
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MERCURY SYSTEMS INCDEF 14A
09/05/2017&46Pension Benefits Fiscal 2017
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }0}
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MERCURY SYSTEMS INCDEF 14A
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr AslettNonCEO Executives!What were the fees of our indep!You may obtain a copy of our an56Appendix AU }$}$ }U} $
MERCURY SYSTEMS INCDEF 14A
09/05/2017kc47Potential Payments to Messrs. Cambria, Haines, Speicher, and Thibaud upon Termination of Employme
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!You may obtain a copy of our an56Appendix AU }m}$}$ }$}$
MERCURY SYSTEMS INCDEF 14A
09/05/2017kcWhat were the fees of our independent registered public accounting firm for services rendered to us
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Base SalaryBase Salary (1)!Executive Bonus Program for Fis!Fiscal 2017 First Half Payout F!Fiscal 2017 First Half Payo (1)OverAchievement Awards!32Fiscal 2017 Restricted Stock !Vesting of Prior Period Perform!Vesting of Prior Period Per (1)!Vesting of Prior Period Per (2)! Fiscal 2018 Restricted Stock Summary CompensationSummary Compensation Table Summary Compensation Table (1)Stock Option Grants!38Grants of PlanBased Awards Fi!38Grants of PlanBased Award (1)!Vesting Formula for Acquisition!Vesting Formula for Acquisi (1)!Vesting Formula for Acquisi (2)Outstanding Equity Awards!43Vesting Formula for the Fisca!Vesting Formula for the Fiscal Vesting Formula for the Fi (1) Vesting Formula for the Fi (2)!Vesting Formula for Acquisi (3)!Vesting Formula for Acquisi (4)!Vesting Formula for Acquisi (5)!Option Exercises and Stock Vest 46Pension Benefits Fiscal 2017!Potential Payments to Mr Aslett!47Potential Payments to Messrs NonCEO Executives!What were the fees of our indep56Appendix AU }1
MERCURY SYSTEMS INCDEF 14A
09/05/2017kcYou may obtain a copy of our annual report on Form 10K for the fiscal year ended June 30, 2017 (wi
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MERCURY SYSTEMS INCDEF 14A
09/05/201756Appendix A
(in thousands)
Fiscal 2017
Net income~
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.& Amortization of intangible assets~
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