The Company utilizes stock-based compensation incentives as a component of its employee and non-employee director and officer compensation philosophy. A committee of the Board of Directors determines the terms of the awards granted and may grant various forms of equity-based incentive compensation. Currently, these incentives consist principally of stock options, restricted stock units, performance stock units, deferred stock units, and restricted shares. For all stock-based compensation plans, the Company issues authorized but unissued shares to fulfill plan terms.

Since the inception of the employee stock purchase plan, 5,500,000 shares of common stock have been authorized for issuance and 1,276,552 shares remain available for future purchases as of May 30, 2026. At May 30, 2026, there were 19,864,945 shares authorized for issuance under active long-term incentive compensation plans: 7,182,670 and 12,682,275 shares authorized under the MillerKnoll, Inc. 2020 Long Term Incentive Plan and the MillerKnoll, Inc. 2023 Long-Term Incentive Plan (jointly referred to as the "LTIP"), respectively. There were 6,540,967 shares available for issuance under the LTIP as of May 30, 2026.

The Company measures the cost of employee services received in exchange for an award of equity instruments based on the fair value of the award on the date of grant. This compensation expense is recognized over the requisite service period, which includes any applicable performance period. Certain Company stock-based compensation awards contain provisions that allow

for continued vesting into retirement. Stock-based awards are considered fully vested for expense attribution purposes when the employee's retention of the award is no longer contingent on providing subsequent service.

The Company classifies pre-tax stock-based compensation expense primarily within Operating expenses in the Consolidated Statements of Comprehensive Income. Excluding fully vested and non-forfeitable deferred stock units described under "Director Fees and Director Deferred Compensation Plan" below, pre-tax compensation expense and the related income tax benefit for all types of stock-based programs were as follows for the periods indicated:


(In millions)	May 30, 2026		May 31, 2025		June 1, 2024
Employee stock purchase program	$	0.5	$	0.5	$	0.5
Stock options	1.5		3.5		7.7
Restricted stock units	17.7		22.6		8.7
Performance share units	6.3		5.2		3.4
Restricted stock awards	—		—		0.3
Total	$	26.0	$	31.8	$	20.6
Tax benefit	$	6.3	$	7.7	$	5.0

As of May 30, 2026, total pre-tax stock-based compensation cost not yet recognized related to non-vested awards was approximately $15.1 million. The weighted-average period over which this amount is expected to be recognized is 1.3 years.

The Company has an employee stock purchase plan (“ESPP”) which allows for eligible employees to participate in the purchase of shares of the Company’s common stock at a price equal to 85% of the closing price on the date of purchase, which coincides with the last trading day of each fiscal quarter. The ESPP is considered a liability award with estimated expense recognized over the three-month offering period which is subsequently adjusted to actual expense based on the fair value as of the date of purchase. Shares of common stock purchased under the ESPP were 174,824, 155,758, and 139,211 during the fiscal years ended 2026, 2025 and 2024 respectively.

The Company grants options to purchase the Company's stock to certain key employees and non-employee directors under its LTIP. Under the current award program, all options become exercisable between one year and three years from the date of grant and expire ten years from the date of grant. Most options are subject to graded vesting, and the related compensation expense is based on the fair value of the stock options on the date of grant using the Black-Scholes model and is recognized on a straight-line basis over the requisite service period.

No stock options were granted during fiscal 2026; accordingly, no valuation assumptions are presented for that period. In fiscal 2025, there was one stock option valuation date. In fiscal 2024, there were two stock option valuation dates. Therefore, the table below has been presented with the assumptions relevant to each valuation date. The Company estimated the fair value of stock options on the date of grant using the Black-Scholes model. In determining these values, the following weighted-average assumptions were used for the options granted during the fiscal years indicated:


	2025		2024
Valuation Method	Black-Scholes		Black-Scholes
Risk-free interest rates (1)	4.53%		3.76% to 3.94%

Expected term of options (2)	5.3 years		4.9 years
Expected volatility (3)	50.33%		49.33% to 50.26%
Dividend yield (4)	3.13%		2.90% to 4.79%
Weighted-average grant-date fair value of stock options:
Granted with exercise prices equal to the fair market value of the stock on the date of grant	$	8.48	$	9.61
Granted with exercise prices greater than the fair market value of the stock on the date of grant	N/A		$	4.94

(3) The blended volatility approach was used. 90% term-matched historical volatility from daily stock prices and 10% weighted average implied volatility from the 30 days preceding the grant date for fiscal 2025 and the 90 days preceding the grant date for fiscal 2024.


	Shares Under Option	Weighted-Average Exercise Prices		Aggregate Intrinsic Value (in millions)		Weighted-Average Remaining Contractual Term (Years)
Outstanding at May 31, 2025	4,256,929	$	24.19	$	—	6.5
Granted	—	—
Exercised	(23,453)	20.00
Forfeited or expired	(371,605)	22.06
Outstanding at May 30, 2026	3,861,871	24.42		—		5.3
Exercisable at end of period	3,325,611	$	25.13	$	—	5.0

The weighted-average remaining recognition period of the outstanding stock options at May 30, 2026, was 0.13 years. The total pre-tax intrinsic value of options exercised was $0.1 million, $0.7 million, and $0.4 million in fiscal 2026, fiscal 2025, and fiscal 2024, respectively. The aggregate intrinsic value in the preceding table represents the total pre-tax intrinsic value. Based on the Company's closing stock price as of the end of the period presented, the options were not in-the-money as of that date. Total cash received during fiscal 2026 from the exercise of stock options was approximately $0.5 million.

The Company grants time-based restricted stock units to certain key employees under its LTIP. As of the end of fiscal 2026, awards outstanding generally cliff-vest or vest ratably over a three-year service period. Prorated vesting occurs under certain circumstances and full or partial accelerated vesting occurs upon retirement. Awards granted in fiscal 2026 had a graded vesting schedule of 33%, 33%, and 33% after the first, second, and third year, respectively. Each restricted stock unit represents one equivalent share of the Company's common stock to be issued, free of restrictions, after the vesting period. Compensation expense is based on the grant-date fair value and recognized on a straight-line basis over the requisite service period. Dividend reinvestment units are credited on the dividend payable date and vest with the underlying shares. The units do not entitle participants to the rights of holders of common stock, such as voting rights, until shares are issued after vesting.


	Share Units	Weighted Average Grant-Date Fair Value		Aggregate Intrinsic Value (in millions)		Weighted-Average Remaining Contractual Term (Years)
Outstanding at May 31, 2025	1,571,198	$	25.22	$	26.7	0.7
Granted	1,202,060	19.59
Forfeited	(142,564)	20.79
Released	(968,092)	26.49
Outstanding at May 30, 2026	1,662,602	$	20.94	$	27.4	0.9

The weighted-average remaining recognition period of the outstanding restricted stock units at May 30, 2026, was 1.31 years. The total market value of the units that vested during the twelve months ended May 30, 2026, was $18.1 million. The weighted-average grant-date fair value of restricted stock units granted during 2026, 2025, and 2024 was $19.59, $28.24, and $17.30, respectively.

The Company grants performance-based restricted stock units, commonly referred to as performance stock units, to certain key employees under its LTIP that vest subject to the satisfaction of pre-established financial and non-financial metrics. Each performance stock unit represents one equivalent share of the Company's common stock. The number of shares of Company common stock ultimately issued in connection with these performance stock units will be determined based on attainment of the pre-established metrics over a defined three-year service period. For fiscal 2024, fiscal 2025 and fiscal 2026, this calculation is adjusted by a relative total shareholder return modifier on all performance-based awards granted. Compensation expense is recognized over the requisite service period on a straight-line basis and based on the grant-date fair value. For certain awards

incorporating a market condition, grant-date fair value is determined using a Monte Carlo simulation. For each tranche, fair value is determined on the date performance metrics are approved. Performance stock units awarded under the LTIP do not have dividend rights.


	Share Units	Weighted Average Grant-Date Fair Value		Aggregate Intrinsic Value (in millions)		Weighted-Average Remaining Contractual Term (Years)
Outstanding at May 31, 2025	627,912	$	25.29	$	10.6	0.9
Granted	378,039	18.83
Forfeited	(256,956)	23.54
Released	(121,312)	20.35
Outstanding at May 30, 2026	627,683	$	23.09	$	10.2	1.0

The weighted-average remaining recognition period of the outstanding performance stock units at May 30, 2026, was 1.0 year. The total market value for shares vested in a prior fiscal year but deferred that were released during the twelve months ended May 30, 2026, was $0.01 million; the fair value for shares vested during the twelve months ended May 30, 2026, was $2.2 million. The weighted-average grant-date fair value of performance stock units granted during fiscal 2026, 2025, and 2024 was $18.83, $28.04, and $18.39, respectively.

The MillerKnoll, Inc. Executive Equalization Retirement Plan, as amended (the "Executive Equalization Plan"), is a supplemental deferred compensation plan that was made available for salary deferrals and Company contributions beginning in January 2008. The plan is available to a select group of management or highly compensated employees who are selected for participation by the Compensation Committee of the Board of Directors. The plan allows participants to defer up to 50% of their base salary and up to 100% of their incentive cash bonus. Company contributions to the plan “mirror” the amounts the Company would have contributed to the various qualified retirement plans had the employee's compensation not been above the IRS statutory ceiling ($360,000 in 2026). The Company does not guarantee a rate of return for amounts deferred pursuant to this plan. Instead, participants make investment elections for their deferrals and Company contributions which are subject to market conditions.

In the Executive Equalization Plan, investment options are the same as those available under the MillerKnoll Retirement Plan, except the Company stock fund is excluded from the Executive Equalization Plan. At the time(s) specified by the participant for receipt of this deferred compensation, these deferred amounts will be paid to the participant in cash.

In accordance with the terms of the Executive Equalization Plan and the Director Plan described below, participant deferrals and Company contributions have been placed in a Rabbi trust. The assets in the Rabbi trust remain subject to the claims of creditors of the Company and are not the property of the participant. Investments in securities other than the Company's common stock are included within the Other assets line item, while the remaining investments in the Company's stock are included in the line item Deferred compensation plan in the Company's Consolidated Balance Sheets.

The Company records a liability equal to the value of the related Rabbi trust assets, which is included in Other liabilities in the Company's Consolidated Balance Sheets. The recorded liability was $22.8 million and $18.0 million as of May 30, 2026 and May 31, 2025, respectively. Realized and unrealized gains and losses for investment assets other than Company common stock are recognized within the Company's Consolidated Statements of Comprehensive Income in the Interest and other investment income line item. The associated changes to the liability are recorded as compensation expense within the Selling, general and administrative line item within the Company's Consolidated Statements of Comprehensive Income. The net effect of any change to the asset and corresponding liability is offset and has no impact on net earnings in the Consolidated Statements of Comprehensive Income.

The Director Plan allows the Company's non-employee directors to elect to receive their director fees in one or more of the following forms: cash, deferred cash, unrestricted Company shares at the market value at the date of grant, stock options, or shares of common stock to be received on a deferred basis, as described below. Stock options granted as director compensation are fully vested upon grant, expire in 10 years, and have an exercise price equal to the fair market value of the Company's common stock on the date of grant. Beginning in January 2022, not less than 50% of annual director fees must be paid in the form of Company equity.

The Amended and Restated MillerKnoll, Inc, Director Deferred Compensation Plan (the "Director Plan") allows non-employee directors of the Company to defer all or a portion of their annual director fees in either a deferred cash account or, beginning in January 2022, a deferred stock account.

In the deferred cash account, investment options are the same as those available under the MillerKnoll Retirement Plan, except the Company stock fund is excluded from the deferred cash account. At the time(s) specified by the director for receipt of this deferred compensation, these deferred amounts will be paid to the director in cash.

In the deferred stock account, deferred stock units (“DSUs”) are credited to the director with each unit representing one equivalent share of the Company's common stock to be issued after the deferral period. The deferred stock units are valued at the market price of the Company's common stock on the date of grant, and the value of the units credited are expensed on the date of grant. Each time a dividend is paid on the Company's common stock, the director is credited with dividend equivalent units. At the time(s) specified by the director for receipt of this deferred compensation, these deferred amounts will be paid to the director in shares of the Company's common stock. The units do not entitle the directors to the rights of holders of common stock, such as voting rights, until shares are issued.

During fiscal year 2026, 18,976 DSUs were credited and 18,312 DSUs were released to directors pursuant to the Director Plan. The total fair value of deferred stock units issued during fiscal year 2026 was $0.3 million. At May 30, 2026, there were 75,434 deferred stock units outstanding, all of which are vested, with an aggregate intrinsic value of $1.2 million. The weighted-average grant date fair value of deferred stock units granted during 2026, 2025, and 2024 was $19.50 , $22.79, and $25.47 per share, respectively.