ࡱ> uvwx l \pThe Free Software Foundation B=PF0*8X@"1 Helvetica1Courier1 Courier New1 Courier 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%)6 0%;[Red](0%)7#,##0.00;[Red](#,##0.00)8#,##0;[Red](#,##0)                + ) , *   Ј ~~ ؈ ~~#؈ ~~ ؈ ~~"؈ ~~8#܈ ~~"؈ ~~#؈ ~~<#܈ ~~4#܈ ~~4"܈ ~~7#܈ ~~7"܈ ~~8"܈ ~~<"܈ ~~3#܈ ~~3"܈ ~~83ffff̙̙3f3fff3f3f33333f33b SCHEDULE 14A#SCHEDULE 14A (1).SCHEDULE 14A (2)7SCHEDULE 14A (3)MSummary CompensationUoTABLE OF CONTENTS&{NonEmployee Director Compensati NonEmployee Director (1)&Director Compensation for FiscaFees and Services&Determining Competitive Compens%Fiscal Year 2017 Base Salaries&VDesign of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1) !LongTerm Incentive Awards2LongTerm Incentive (1)@LongTerm Incentive (2)]TLongTerm Incentive (3)]Summary Compens (1)&FSupplemental Table to the All O9Restricted Stock Units Outstanding Equity Awards&'ROption Exercises and Stock Vest&dEstimated Payments for Named Ex҃Beneficial Ownership&ȒSecurity Ownership of Principal&Information Regarding Equity Co l  p  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/??SCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $ } a/      MTS SYSTEMS CORPDEF 14A 12/28/2017 SCHEDULE 14A! Filed by the Registrant ?2 *Filed by a Party other than the Registrant ?" Check the appropriate box: ? # Preliminary Proxy Statement ?/'Confidential, for Use of the Commission/'Only (as permitted by Rule 14a-6(e)(2)) ?"Definitive Proxy Statement ?'Definitive Additional Materials ?-%Soliciting Material under ?240.14a-12$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/6sO*5g=PF0*8X> @:     l  :#,  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $ } U} $ } : :     MTS SYSTEMS CORPDEF 14A 12/28/2017 SCHEDULE 14A MTS Systems Corporation/ '(Name of Registrant as Specified In Its Charter) 2 *(Name of Person(s) Filing Proxy Statement,%if other than the Registrant)4,Payment of Filing Fee (Check the appropriate box): ?No fee required. ?0(Fee computed on table below per Exchange'Act Rules 14a-6(i)(1) and 0-11.~ 2*Title of each class of securities to whichtransaction applies:~ /'Aggregate number of securities to whichtransaction applies:~ 0(Per unit price or other underlying value4,of transaction computed pursuant to Exchange4,Act Rule 0-11 (set forth the amount on which2*the filing fee is calculated and state howit was determined):D8 ls7b*T`o 9 !"#$%&'()*+,-./0123456789  ~  8 0Proposed maximum aggregate value of transaction:!!!!!""~ """Total fee paid:##### $?$7$/Fee paid previously with preliminary materials. %?%2%*Check box if any part of the fee is offset&&3&+as provided by Exchange Act Rule 0-11(a)(2)''8'0and identify the filing for which the offsetting((6(.fee was paid previously. Identify the previous))0)(filing by registration statement number,**3*+or the Form or Schedule and the date of its+++filing.,,~ ,,,Amount Previously Paid:-----..~ ..0.(Form, Schedule or Registration Statement//// /No.:0000011~ 111 Filing Party:2222233~ 333 Date Filed:4444456$7____________________________18)Created by Morningstar Document Research.09(http://documentresearch.morningstar.com/8V y*5ox8u,=PF0*8X> @998877++**))((''&&%%$$     l  \7  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} !      MTS SYSTEMS CORPDEF 14A 12/28/2017 SCHEDULE 14A ? ? ?   MTS Systems Corporation   14000 Technology Drive  # Eden Prairie, MN 55344-2290   Telephone 952-937-4000Fax: 952-937-4515 Info@mts.com www.mts.com$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/2sO(t:vjB=PF0*8X> @ l  5=FCM  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $ } mB 5     MTS SYSTEMS CORPDEF 14A 12/28/2017 SCHEDULE 14A   December 28, 2017   Dear MTS Shareholder:  / 'MTS is holding a virtual Annual Meeting  : 2of Shareholders this year on Tuesday, February 13,  1 )2018, at 8:30 a.m. Central Standard Time.6.The Annual Meeting can be accessed by visiting3+www.virtualshareholdermeeting.com/MTSC2018,7/where you will be able to listen to the meeting/'live, submit questions and vote online.5-We believe that a virtual shareholder meeting0(provides greater access to those who may0(want to attend and therefore have chosen/'this method for our Annual Meeting over6.an in-person meeting. You will need to provide/'your 16-digit control number that is on/'your Notice of Internet Availability of0(Proxy Materials or on your proxy card if&you receive materials by mail.4,Your vote is important to us . Approximately1)93% of the Company's shares were voted at2*our prior Annual Meeting held in June 2017/'and we thank our shareholders for their0(response. We urge you to cast your vote,D lsO@Rc.L m !"#$%&'()*+,-./01234  / 'as instructed in the Notice of Internet!!-!%Availability of Proxy Materials, over""0"(the Internet or by telephone as promptly##1#)as possible. You may also request a paper$$2$*proxy card to submit your vote by mail, if%%0%(you prefer. And, as indicated above, you&&1&)may vote during the Annual Meeting online''6'.at www.virtualshareholdermeeting.com/MTSC2018.((4(,I encourage you to attend our virtual Annual))/)'Meeting of Shareholders on February 13,**2**2018, at 8:30 a.m., Central Standard Time,++?+7by visiting www.virtualshareholdermeeting.com/MTSC2018.,,,Very truly yours,---...David J. Anderson///Chairman of the Board01$2____________________________13)Created by Morningstar Document Research.04(http://documentresearch.morningstar.com/.l 9JV!wO=PF0*8X> @443322 l  S2\gn  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)TABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } y<} $} $} $ S     MTS SYSTEMS CORPDEF 14A 12/28/2017Summary Compensation   Page     ? ? ? ? ? GENERAL  ~   ? ? ? ? ?)!PROPOSAL 1: ELECTION OF DIRECTORS~  ? ? ? ? ?General Information~ Nominees~  :2Voting Information and Board Voting Recommendation~ -%Other Information Regarding the Board~ *"Non-Employee Director Compensation~ ./'PROPOSAL 2: RATIFICATION OF APPOINTMENT~ 63+OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ? ? ? ? ?Fees and Services~ 6Pre-Approval Policy~ :#Board Voting Recommendation~ :AUDIT COMMITTEE REPORT~ > ? ? ? ? ?EXECUTIVE COMPENSATION~ B ? ? ? ? ?D lwk/QpiA jl+ !"#$%&'()*+,-./0123456789:;<=>?, $Compensation Discussion and Analysis  ~ B /!'Compensation and Leadership Development!!~ !~!"Committee Report/#'Risk Considerations in our Compensation##~ #~#$Programs%%Conflict of Interest Analysis%%~ %%"&Summary Compensation Table&&~ &&2'*Grants of Plan-Based Awards in Fiscal Year''~ ''~ (0)(Outstanding Equity Awards at 2017 Fiscal))~ ))*Year End3++Option Exercises and Stock Vested in Fiscal++~ ++, Year 2017+-#Non-Qualified Deferred Compensation--~ --..&Potential Payments upon Termination or..~ ../Change in Control-0%PROPOSAL 3: NON-BINDING ADVISORY VOTE00~ 0041,TO APPROVE THE COMPENSATION OF THE COMPANY'S 2NAMED EXECUTIVE OFFICERS 3? 3? 3? 3? 3?4General Information44~ 44#5Board Voting Recommendation55~ 556OTHER INFORMATION66~ 66 7? 7? 7? 7? 7?48,Security Ownership of Principal Shareholders88~ 889and Management":Related Party Transactions::~ ::4;,Section 16(a) Beneficial Ownership Reporting;;~ ;;< Compliance1=)Information Regarding Equity Compensation==~ == >Plans-?%Compensation Committee Interlocks and??~ ??DP l9I{">Pg! @ABCDEFGHIJKLMNOPQR@Insider ParticipationAShareholder ProposalsAA~ AA4B,ABOUT THE ANNUAL MEETING AND PROXY MATERIALSBB~ BB C? C? C? C? C?2D*What is the Purpose of the Annual Meeting?DD~ DD8E0Why did I receive a notice in the mail regardingEE~ EE4F,the internet availability of proxy materials1G)instead of a full set of proxy materials? HWho is entitled to vote?HH~ HH*I"Who can attend the Annual Meeting?II~ II"JWhat constitutes a quorum?JJ~ JJKHow do I vote?KK~ KKLWhen do I vote?LL~ LL8M0Can I change my vote after I vote electronicallyMM~ MM Nor return my proxy card?O$P____________________________1Q)Created by Morningstar Document Research.0R(http://documentresearch.morningstar.com/*h"y HDeY1=PF0*8X> @"RRQQPP  l  C{  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary Compensation!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } I;} $} $} $      MTS SYSTEMS CORPDEF 14A 12/28/2017TABLE OF CONTENTS   Page     ? ? ? ? ?& What does the Board recommend?  ~  7 /What vote is required to approve each proposal?  ~   Who will count the vote?~ 4,What does it mean if I receive more than one~ ( Notice of Internet Availability?0(How will voting on any other business be~  conducted?"How are proxies solicited?~ What is "householding"?~ 91Who pays for the cost of this proxy solicitation?~ $____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/:yzn2=z~hL@4 =PF0*8X> @"  l  X  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTSNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } *} $}       MTS SYSTEMS CORPDEF 14A 12/28/2017*"Non-Employee Director Compensation Role  Fiscal Year 2017    Annual Cash   Retainer    ? ? ?Chairman of the Board~ S( All other non-employee directors~ b[Audit Committee Chair~ 8#All other committee members~ BCompensation Committee Chair~ b#All other committee members~ 2u+#Governance and Nominating Committee Chair~ #All other committee members~ "N$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/@Dui]9[ |;N#=PF0*8X> @ l  $K  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director Compensati!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} U} $} I}  $} } $ $     MTS SYSTEMS CORPDEF 14A 12/28/2017*"Non-Employee Director Compensation                                ? ? ? ? ? ? ? ? ? ? ? ? ? ?   Name    Fiscal Year 2017     Calculation          Award Amount       ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?David J. Anderson~ Bf      (Chairman of the Board) ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?David D. Johnson      ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?Randy J. Martinez   FMV ? Grant Date Stock   ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?Michael V. Schrock  ! Price rounded down to the   ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?Gail P. Steinel~    next whole number   ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?Maximiliane C. Straub      ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? Kenneth Yu      ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ?Dlui]} dZd@q2h? !"# $!____________________________1")Created by Morningstar Document Research.0#(http://documentresearch.morningstar.com/ <=PF0*8X> @*## "" !!   l  U  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)Fees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $}  } $}  } $} <} $}                               MTS SYSTEMS CORPDEF 14A 12/28/20172*Director Compensation for Fiscal Year 2017 Name   Fees Earned  Stock   All Other  Total    or Paid in  Awards   Compensation  ($)   Cash   ($) (2)(3)  ($) (4)     ($) (1)        ? ? ? ? ? ? ? ? ?David J. Anderson~ ~ f ~ o~ David D. Johnson~ ~ F~  i~ 6T Randy J. Martinez~ I~ F~ %~ t Barb J. Samardzich (5)~  ?~ v~ 2Michael V. Schrock~ Vs~ F~ %~ 6 Gail P. Steinel~ ~ F~ P~ 9 Maximiliane C. Straub~ &~ F~ *~   Kenneth Yu~ v~ F~ %~ V $____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/< ymaU[O[RD;4(=PF0*8X> @ l  @  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for Fisca!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $}  } $}       MTS SYSTEMS CORPDEF 14A 12/28/2017Fees and Services    Fiscal Year   ($000's)   2017  2016  Audit Fees (1) ~ 7 ~ vBAudit-Related Fees (2)~ V~  Tax Fees (3)~ v~ All Other Fees (4) ? ? ? ? ? ? ? Total fees~ z;~ a$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/4zn29G|=PF0*8X> @*   l    dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $ } m)      MTS SYSTEMS CORPDEF 14A 12/28/2017,$Determining Competitive Compensation Badger Meter Inc. * "John Bean Technologies Corporation Cognex Corporation ! Kimball Electronics, Inc.  Coherent Inc. ! Methode Electronics, Inc. CTS Corporation  MKS Instruments, Inc. Daktronics Inc. (  National Instruments CorporationESCO Technologies Inc. Novanta Inc.FabrinetOSI Systems, Inc.FARO Technologies Inc.RBC Bearings Inc. FEI Company%Rofin-Sinar Technologies Inc.HEICO Corporation)!Standex International Corporation$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/4Msg[7Gf)<0$=PF0*8X> @ l  w  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } U} $} $      MTS SYSTEMS CORPDEF 14A 12/28/2017&Fiscal Year 2017 Base Salaries Named Executive Officer  Fiscal Year 2017  Fiscal Year 2017   Annualized Base  Annualized Base Salary   Salary  as a Percent of Median     of Base Salary       Comparable ? ? ? ? ? ?Jeffrey A. Graves~ 2)100.0% Brian T. Ross~ br 89.3%Jeffrey P. Oldenkamp~ b100.0%William C. Becker~ O109.1%Steven B. Harrison~ br103.7%Catherine L. Powell~ "100.0%$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/: ymaEQ fi|=PF0*8X> @b     l    dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salariesfor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } U} $} I"} $      MTS SYSTEMS CORPDEF 14A 12/28/2017E=Design of EVC Plan and Review of Fiscal Year 2017 Performance Named Executive Officer " % of Fiscal Year 2017 Base    $ Salary at Target Achievement      ? ? ? ? ? Jeffrey A. Graves  100.0%   Brian T. Ross 55.0%William C. Becker 40.0%Steven B. Harrison 45.0%$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/0fZNBA;~V=PF0*8X> @ l  #z  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $} $} }  $} } $}  } $} I } $}  } $} !}  $} !! } "#$ #$$$$$$$$$$ $ $ $ $ $$$$$$$$$$$$$$$$$$$MTS SYSTEMS CORPDEF 14A 12/28/2017for Fiscal Year 2017      !"#                               ! " #                               ! " # ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? !? "? #?    Corporate    Weight     Threshold (2)    Target    Stretch    Maximum    Result    ! Percent of " #   Goal (1)                Target            !Target " #      ! Performance      !Achieved      ! ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?&Adjusted EPS for the EVC Plan* 45.0%   $ 2.06  $ 2.58 N/A$ 3.10$ 1.87  !72%"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?Revenue (000s) 30.0%    $ 670,800   $ 838,500 N/A $ 1,006,200 $ 787,955  !94%"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?Leverage Ratio* (3) 15.0%   @   @!Q@ @ Gz@  !78%"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?SOX Compliance (4) 10.0%  ~  "  ~ " N/A~ "#No significant deficiencies  !100%"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?      !"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?#Payout as % of Target Bonus    50%   100% 200%  !35.5%"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #?D*lwk/c ,Co(My $!$"$$ ____________________________1!)Created by Morningstar Document Research.0"(http://documentresearch.morningstar.com/ (=PF0*8X> @2""#!!# #   l  _   dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } y#} $}  } $} } $} } $} } $} } $      MTS SYSTEMS CORPDEF 14A 12/28/2017for Fiscal Year 2017      Performance Goal  Percent   Jeffrey A.  Brian T.   William C.   Steven B.     of Target  Graves  Ross (1)   Becker (2)  Harrison (2)(3)   Payout           Achieved    ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ?%Adjusted EPS for the EVC Plan 0%~ ~  ~   ~  NRevenue 85%~ l ~  ~   ~  sLeverage Ratio 0%~ ~  ~   ~  rSOX Compliance 100%~ .~ k ~  J ~   Total~ J~ | ~   ~  Total as % of Target 35.5% 35.5%    35.6%   100%$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/8_ wk+uQ(9RF:=PF0*8X> @                 l  O2  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} $} } $}  } $} } $} a                               MTS SYSTEMS CORPDEF 14A 12/28/2017"Long-Term Incentive Awards Named Executive ?  Number of ?  Number of ?  Number of ? Aggregate Value of Officer  Shares   Restricted   Performance  Awards   Underlying Stock   Stock Units  Restricted Stock     Options    Units        ? ? ? ?Jeffrey A. Graves ?~ "v` ?~ "~ ?~ "b ?~ [Jeffrey P. Oldenkamp ?~ " ?~ " ?~ ""; ?~ \Brian T. Ross (1) ?~ "I ?~ "6 ? ?~ B~Brian T. Ross (2) ?~ ">D ?~ "~  ?~ " ?~ "D William C. Becker ?~ "2 ? ?~ "% ?~ OSteven B. Harrison ?~ "F ?~ " ?~ " ?~ b Steven B. Harrison (3) ? ?~ " ? ?~ B  Dave T. Hore ?~ "o ?~ ": ?~ "v. ?~ Catherine L. Powell ?~ "F ?~ " ?~ " ?~ b $____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/> 0}qeM"nubR>/#=PF0*8X> @ l  V@  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } } $}  } $} } $} I } $} } $} } $}                       MTS SYSTEMS CORPDEF 14A 12/28/2017"Long-Term Incentive Awards      Performance   Threshold  Target  Maximum  Result   Percent of   Percent of Goal          Target  Target            Performance  Payout           Achieved  Achieved              ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?Adjusted ROIC* 11.2% 18.2% 23.2% 16.1%   88.5%   92.5%$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/.m}qeFQ=PF0*8X> @   l  S  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } } $} U} $}  } $}  } $}  } $} } $}                               MTS SYSTEMS CORPDEF 14A 12/28/2017"Long-Term Incentive Awards            Target PRSUs   Actual PRSUs      Named   Performance  Vesting   Number of   Grant Date  Number  Value  Executive  Period  and  Shares  Fair   of Shares  Realized Officer    Payout  Awarded   Value (1)  Acquired   at Vest (2) Date (#) ($)   (#)   ($)     ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?Jeffrey A. GravesFiscal Year 2015 12/3/2015~ ")~ V  ~  "' ~  6 Fiscal Year 2015 - 2016 12/3/2016~ ")~ V  ~  "2' ~  V:Fiscal Year 2015 - 2017 12/3/2017~ ")~ V  ~  "& ~  WJeffrey P. OldenkampFiscal Year 2015 12/3/2015~ " ~ N ~  "  ~  QFiscal Year 2015 - 2016 12/3/2016~ " ~ N ~  "  ~  Fiscal Year 2015 - 2017 12/3/2017~ " ~ N   ?   ?$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/< }qeE 8o[ \=PF0*8X> @*    l  e]  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } U} $} } $}       MTS SYSTEMS CORPDEF 14A 12/28/2017"Long-Term Incentive Awards Named Executive Officer ?" Number of Restricted Stock ? Value of Award   Units      Jeffrey P. Oldenkamp ?~ "j ?~ N~ Catherine L. Powell ?~ "6 ?~ &$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/*h}qe)kG\=PF0*8X> @ l  0zņ  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } } $} } $}  } $}  } $}  } $} } $} } $} } $} y 0     MTS SYSTEMS CORPDEF 14A 12/28/2017Summary Compensation      Name and Principal  Year  Salary   Bonus (1)  Stock  Option  Non-   All Other  Total Position    ($)  ($)   Awards (2)   Awards (2)  Equity  Compensation (4)  ($)         ($)  ($)   Incentive  ($)               Plan               Compensation (3)     ($)     ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ?     Jeffrey A. Graves~ #~ "( ?~ "D ~  " ~  "J ~ "B~ "uPresident and Chief~ #~ "2' ?~ "%& ~  ", ~  "2' ~ "B~ "^Executive Officer~ #~~ ""& ?~ "  ~  "NP ~  "  ~ "~ "*i Brian T. Ross~ #~ "z ?~ ">r  ~  "Vb ~  " ~ "~ "$Senior Vice President,     Chief Financial Officer     Jeffrey P. Oldenkamp~ #~ "y ?~ " ~  "V   ? ~ "~ "-Former Senior Vice~ #~ " ?~ "  ~  "W  ~  "[  ~ "G~ "N8President, Chief~ #~~ " ?~ "= ~  "6 ~  "2J ~ "~ "V#Financial Officer     William C. Becker~ #~ "2~ "~ "R ~  "z ~  "ށ ~ "zB~ "5 !President, Materials Test     Systems     Steven B. Harrison~ #~ "6 ~ "~ "  ~  "v   ? ~ "~ "&DlwkH 0dx+Na| !"#$%&'()*+,-./ President, Vehicles                !and Structures Test!!!!!!!!! ! ! ! ! !!!"Systems""""""""" " " " " """# David T. Hore#~ ###~ #"F# #?#~ #"V # ~ # " #  # ?# ~ #"J#~ #"{0$President, Sensors$~ $#$~ $""$ $?$~ $"z$  $ ?$  $ ?$ ~ $"$~ $"v%Catherine L. Powell%~ %#%~ %"5 % %?%~ %" % ~ % "v%  % ?% ~ %"g %~ %""&Former Senior Vice&~ &#&~ &"v& &?&~ &" & ~ & "6Y& ~ & "r& ~ &"v8&~ &"N +'President, General''''''''' ' ' ' ' '''(Counsel and Corporate((((((((( ( ( ( ( ((() Secretary))))))))) ) ) ) ) )))********** * * * * ***+,$-____________________________1.)Created by Morningstar Document Research.0/(http://documentresearch.morningstar.com/$ ,!Bo/cWK#=PF0*8X> @//..-- l  #զ  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)Restricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } } $}  } $}  } $} } $} } $} U} $}  } $}  } $}  } $ #     MTS SYSTEMS CORPDEF 14A 12/28/2017A9Supplemental Table to the "All Other Compensation" Column        Retirement Plan      Life Insurance                     Premiums,                      Executive                Physical and                Health Saving     Account      Contributions      ($) Name Match Fiscal Year Car   Club  Relocation/ Severance Total ($)Contribution (1) ($)   Membership LivingRelated ($) ($)   ($)  Expenses (2) Payments (3)     ($) ($)      ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ?Jeffrey A. Graves~ V ?~  }    ? ~   ? ?~ B Brian T. Ross~ V ?~  Z4    ? ~   ? ?~ Jeffrey P. Oldenkamp~ V ?~  S    ? ~ &  ?~ ~ William C. Becker~ V ?~  }    ? ~   ? ?~ zBSteven B. Harrison~  ?~  S    ? ~ ~ *$ ?~  David T. Hore ?~ j)~  ju  ~  J ~ . ? ?~ JCatherine L. Powell~ V ?~  S    ? ~   ?~ N~ g DDlj^RF1DKTUT !"$ ____________________________1!)Created by Morningstar Document Research.0"(http://documentresearch.morningstar.com/ (=PF0*8X> @ ""!!             l  C[ p   dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All OOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } } $}  } $}  } $} y } $}  } $}  } $} y} $}  } $}  } $}  } $}  } $}  } #$} $$ } %%$ C&&&&&&&&&& & & & & &&&&&&&&&&&&&&&&&&&MTS SYSTEMS CORPDEF 14A 12/28/2017Restricted Stock Units      !"#$%         Estimated Future Payouts  Estimated Future Payouts  All   All Other   " # %        " Under Non-Equity Incentive # Under Equity Incentive Plan  Other     " #         Plan Awards (2)  Awards  Stock             Awards:              ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #? $? %? Name GrantApproval Award Threshold (3)  Target Maximum Threshold (4)TargetMaximumNumberOptions Exercise" #Grant% Date DateType (1) ($)   ($)  ($) ($) (#) (#) ofAwards:  or"# Date Fair   SharesNumber  Base"#Value of      of of Price of" #Stock      Stock Securities Options" #and      or Underlying  Awards (5)"#Option      Units Options (5) ($/Sh)"# Awards (6)      (#) (#) " #($)      !"# ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?  ? !? "? #? $? %?Jeffrey A. Graves Cash~   .  ~  2) ~ eR ? ? ? ? ?  !?"# $?% 4/17/2017 11/14/2016Options  ?    ?  ? ? ? ? ?~ v` $ G@"#~ $% 4/17/2017 11/14/2016 PRSUs  ?    ?  ?~ ~~ b~  ? ?  !?"#~ $-% 4/17/2017 11/14/2016 RSUs  ?    ?  ? ? ? ?~ ~ ?  !?"#~ $N%% Brian T. Ross Cash~  گ  ~  >  ~ } ? ? ? ? ?  !?"# $?% 4/17/2017 11/14/2016Options  ?    ?  ? ? ? ? ?~ I $ G@"#~ $%D&luiuWbtFMT'9Ohzw &!&"&#&$&%&&&'&(&)&*&+&,&-&.&/&0&1&2&3&4&5&6&7&8&9&:&;&<&=&>&?&    5/15/2017   4/24/2017  Options   ?   ?   ?   ?   ?   ?   ?  ~ >D  $33333SJ@ " #~ $ %!!! 5/15/2017!! 4/24/2017! !PRSUs!! ! ?! !  ! ?! ! !?!!~ !z !!~ !!!~ !1!! !?!! !?!!  !!?!"!#~ !$!!%""" 4/17/2017"" 11/14/2016" "RSUs"" " ?" "  " ?" " "?"" "?"" "?"" "?""~ "6"" "?""  "!?"""#~ "$&"%### 5/15/2017## 4/24/2017# #RSUs## # ?# #  # ?# # #?## #?## #?## #?##~ #~ ## #?##  #!?#"##~ #$N#%$$%%Jeffrey P. Oldenkamp%% 4/17/2017%% 11/14/2016%%Options%% % ?% %  % ?% % %?%% %?%% %?%% %?%% %?%%~ %%% $ G@%"%#~ %$V%%&&& 4/17/2017&& 11/14/2016& &PRSUs&& & ?& &  & ?& & &?&&~ &&&~ &";&&~ &Bv&& &?&& &?&&  &!?&"&#~ &$ &%''' 4/17/2017'' 11/14/2016' 'RSUs'' ' ?' '  ' ?' ' '?'' '?'' '?'' '?''~ 'j'' '?''  '!?'"'#~ '$N~'%((( 4/17/2017(( 11/14/2016( (RSUs(( ( ?( (  ( ?( ( (?(( (?(( (?(( (?((~ ((( (?((  (!?("(#~ ($FW(%))%*William C. Becker***** *Cash**~ * B* * ~ * S* *~ *** *?** *?** *?** *?** *?**  *!?*"*# *$?*%+++ 4/17/2017++ 11/14/2016++Options++ + ?+ +  + ?+ + +?++ +?++ +?++ +?++ +?++~ +2++ $ G@+"+#~ +$z+%,,, 4/17/2017,, 11/14/2016, ,PRSUs,, , ?, ,  , ?, , ,?,,~ , ,,~ ,,,~ ,f,, ,?,, ,?,,  ,!?,",#~ ,$R,%--- 10/15/2016--9/3/2016- -RSUs-- - ?- -  - ?- - -?-- -?-- -?-- -?--~ -j -- -?--  -!?-"-#~ -$~-%... 4/17/2017.. 11/14/2016. .RSUs.. . ?. .  . ?. . .?.. .?.. .?.. .?..~ . .. .?..  .!?.".#~ .$.%//%0Steven B. Harrison00000 0Cash00~ 0 Va0 0 ~ 0 z3 0 0~ 0f00 0?00 0?00 0?00 0?00 0?00  0!?0"0# 0$?0%111 4/17/201711 12/28/201611Options11 1 ?1 1  1 ?1 1 1?11 1?11 1?11 1?11 1?11~ 1F11 $ G@1"1#~ 1$v1%222 4/17/201722 12/28/20162 2PRSUs22 2 ?2 2  2 ?2 2 2?22~ 222~ 222~ 2";22 2?22 2?22  2!?2"2#~ 2$FW2%333 4/15/201733 12/28/20163 3RSUs33 3 ?3 3  3 ?3 3 3?33 3?33 3?33 3?33~ 333 3?33  3!?3"3#~ 3$2 3%444 4/17/201744 12/28/20164 4RSUs44 4 ?4 4  4 ?4 4 4?44 4?44 4?44 4?44~ 444 4?44  4!?4"4#~ 4$4%55%6 David T. Hore66 4/17/201766 11/14/201666Options66 6 ?6 6  6 ?6 6 6?66 6?66 6?66 6?66 6?66~ 6o66 $ G@6"6#~ 6$ 6%777 4/17/201777 11/14/20167 7PRSUs77 7 ?7 7  7 ?7 7 7?77~ 7"77~ 7v.77~ 7:77 7?77 7?77  7!?7"7#~ 7$vd7%888 4/17/201788 11/14/20168 8RSUs88 8 ?8 8  8 ?8 8 8?88 8?88 8?88 8?88~ 8:88 8?88  8!?8"8#~ 8$18%99%:Catherine L. Powell:: 4/17/2017:: 11/14/2016::Options:: : ?: :  : ?: : :?:: :?:: :?:: :?:: :?::~ :F:: $ G@:":#~ :$v:%;;; 4/17/2017;; 11/14/2016; ;PRSUs;; ; ?; ;  ; ?; ; ;?;;~ ;;;~ ;;;~ ;";;; ;?;; ;?;;  ;!?;";#~ ;$FW;%<<< 4/17/2017<< 11/14/2016< <RSUs<< < ?< <  < ?< < <?<< <?<< <?<< <?<<~ <6<< <?<<  <!?<"<#~ <$&<%=== 4/17/2017== 11/14/2016= =RSUs== = ?= =  = ?= = =?== =?== =?== =?==~ === =?==  =!?="=#~ =$=%>?D,3l-BX@EWli'-B*0BWl@&A&B&$@____________________________1A)Created by Morningstar Document Research.0B(http://documentresearch.morningstar.com/ (=PF0*8X> @ ABB%AA%@@%:: !66 !11 !++ !%% ! ! ! !#$ !#$ !#$ !#$ !#$ !#$   !#$   !#$            l  >,O  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock Units!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } } $}  } $}  }  $} } $}  } $}  } $}  } $} y} $ >     MTS SYSTEMS CORPDEF 14A 12/28/2017!Outstanding Equity Awards         Option Awards   Stock Awards       ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?   Number of Securities                Underlying Unexercised             Options (1) ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? Name Exercisable Un-Option  Option  Number of Market ValueEquityEquity (#) ExercisableExercise   Expiration  Shares or of Shares orIncentive PlanIncentive Plan (#) Price ($)   Date  Unites of Unites ofAwards:Awards:    Stock That Stock That Number of Market or     Have NotHave NotUnearned Payout Value      Vested (#)Vested ($) (2) Shares, Units of Unearned     or OtherShares,      Rights That Unites or     Have Not Other Rights     Vested (#) (3) That Have Not     Vested ($) (2)      ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ?Jeffrey A. Graves~ F* ?$9P@    12/4/2020 ~ >V~ $QP@    12/3/2021 Dl~rf.?krNwO'd !"#$%&'()*+,-./0123456789:;<=   ~ @  ~ *  $QN@    12/9/2022             !!! !?!!~ !v`!!$ G@! ! !  4/17/2024! !!!!!!!!!!!!"""""""""" " " " " "~ "~""~ "vs""~ "F""~ "^"## #? #?# #? #?# #? # ?#  # ? # ?#  #? #?# #? #?# #? #?# #? #?#$ Brian T. Ross$$~ $$$~ $ $$$zGQ@$ $ $  1/15/2022$ $$$$$$$$$$$$%%%~ %%%~ %.%%$QN@% % %  12/9/2022% %%%%%%%%%%%%&&& &?&&~ &I&&$ G@& & &  4/17/2024& &&&&&&&&&&&&''' '?''~ '>D''$33333SJ@' ' '  5/15/2024' ''''''''''''(((((((((( ( ( ( ( (~ (*((~ (>((~ (((~ (5()) )? )?) )? )?) )? ) ?)  ) ? ) ?)  )? )?) )? )?) )? )?) )? )?)*Jeffrey P. Oldenkamp** *?** *?** * ?* *  * ?* ********** *?*++++++++++ + + + + + +?++ +?++ +?++ +?+,, ,? ,?, ,? ,?, ,? , ?,  , ? , ?,  ,? ,?, ,? ,?, ,? ,?, ,? ,?,-William C. Becker-- -?--~ -2--$ G@- - -  4/17/2024- ------------.......... . . . . .~ ...~ .`..~ ...~ .Nh.// /? /?/ /? /?/ /? / ?/  / ? / ?/  /? /?/ /? /?/ /? /?/ /? /?/0Steven P. Harrison00 0?00~ 0F00$ G@0 0 0  4/17/20240 0000000000001111111111 1 1 1 1 1~ 111~ 1ޜ11~ 111~ 1,122 2? 2?2 2? 2?2 2? 2 ?2  2 ? 2 ?2  2? 2?2 2? 2?2 2? 2?2 2? 2?23 David T. Hore33 3?33~ 3o33$ G@3 3 3  4/17/20243 3333333333334444444444 4 4 4 4 4~ 4bQ44~ 444~ 4v.44~ 4 455 5? 5?5 5? 5?5 5? 5 ?5  5 ? 5 ?5  5? 5?5 5? 5?5 5? 5?5 5? 5?56Catherine L. Powell66 6?66 6?66 6 ?6 6  6 ?6 6666666666 6?67777777777 7 7 7 7 7 7?77 7?77 7?77 7?788 8? 8?8 8? 8?8 8? 8 ?8  8 ? 8 ?8  8? 8?8 8? 8?8 8? 8?8 8? 8?89:$;____________________________1<)Created by Morningstar Document Research.0=(http://documentresearch.morningstar.com/@"DCp2lHp0]A5)=PF0*8X> @?==<<;;33 00 -- '' && %% $$ !!               l  d  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } $} } $}  } $}  } $}  } $}                                  MTS SYSTEMS CORPDEF 14A 12/28/2017=5Option Exercises and Stock Vested in Fiscal Year 2017      Option Awards   Stock Awards       ? ? ? ? ? ? ? ? ? ?  Name   Number of  Value   Number of  Value    Shares  Realized  Shares  RealizedAcquired on ExerciseAcquired  on Vest (2) on Exercise ($) on Vest (1)  ($) (#) (#)  ? ? ? ? ? ? ? ? ?  ?Jeffrey A. Graves~ "~ "V~ ".$~  "> Brian T. Ross ? ?~ "j~  ".Jeffrey P. Oldenkamp ? ?~ " ~  "=William C. Becker ? ? ?  ?Steven B. Harrison ? ? ?  ? David T. Hore ? ?~ "F~  "VCatherine L. Powell~ "r~ "~ " ~  "T$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/B XnbVJq){IkX; =PF0*8X> @*     l    dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock VestBeneficial Ownership!Security Ownership of Principal!Information Regarding Equity CoU } a} $} y} $}  } $} y } $} } $} } $} I } $} y } $}  } $      MTS SYSTEMS CORPDEF 14A 12/28/20177/Estimated Payments for Named Executive Officers        0 (Termination of Employment in Conjunction      Change in      Termination     with a Change in Control     Control    # (without Change in Control)                  (without                        Termination                  of Employment) ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? Name Cash Accelerated Benefits    Total Value  Accelerated CashBenefits Total ValuePaymentVesting ($) (3)  ~   VestingPayment($) (5)~ ($) (1)($) (2)     ($) (2)($) (4) ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Jeffrey A. Graves~ |~ ^3~    ~   ~ ^3~ 2)~ *~ ]* Brian T. Ross~ "0~ JB~  "  ~  A ~ JB~ br~ g~ William L. Becker~ :-~ &6 ~  &g  ~  H9 ~ &6 ~ O~ F~ 3Steven B. Harrison~ ?~ ~  j2  ~  N ~ ~ br~ v~ ֈ David T. Hore~ R@~ ~    ~   ` ~ ~ ~ b&~ $____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/> 0th\P1qseR=PF0*8X> @:     l  !Ցe  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named Ex!Security Ownership of Principal!Information Regarding Equity CoU } 0} $} } $} } $} I !     MTS SYSTEMS CORPDEF 14A 12/28/2017Beneficial Ownership, $Name and Address of Beneficial Owner  Number of Shares  Note  Percent        ? ? ? ? ? ? ? BlackRock, Inc. ~ | ~   11.5% 55 East 52 nd St.New York, NY 10055Ariel Investments, LLC~ 2Ym~  10.1%)!200 E. Randolph Drive, Suite 2900Chicago, IL 60601 The Vanguard Group, Inc.~  X~  8.1%100 Vanguard Blvd.Malvern, PA 19355.&Fuller & Thaler Asset Management, Inc.~ |P~  7.4%#411 Borel Avenue, Suite 300San Mateo, CA 944020(Barrow, Hanley, Mewhinney & Strauss, LLC~ K~  7.0%%2200 Ross Avenue, 31 st FloorDallas, TX 75201$Clearbridge Investments, LLC~ f^B~  6.1%620 8 th AvenueNew York, NY 10018$____________________________1)Created by Morningstar Document Research.D] lwk0iL.q@vM1 0 (http://documentresearch.morningstar.com/H=PF0*8X> @  l  7  dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Information Regarding Equity CoU } $} a/} $} }  $} } $} <} $}  } $} y } $ 7     MTS SYSTEMS CORPDEF 14A 12/28/2017C;Security Ownership of Principal Shareholders and Management                                                        ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?   Name     Number of Shares     Options      RSUs vesting     Total    Percent          of Common Stock      Exercisable     within         of Class    within  60 days of    60 days  December 18,    of December 18, ~ #   ~  # ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?David J. Anderson~ .   ~  " ~ "~ . * ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?David D. Johnson~    ~  " ~ "~  * ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Randy J. Martinez~ &F   ~  " ~ "~ &F * ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Michael V. Schrock~ &F   ~  " ~ "~ &F * ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Gail P. Steinel~    ~  " ~ "~  * ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Maximiliane C. Straub~ "   ~  " ~ "~ " * ? ? ? ? ? ? ? ? ?  ?  ?  ?  ?  ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Chun Hung (Kenneth) Yu~ F   ~  " ~ "~ F *DN#lh\PD4I`IZl}& !"#$%&'()*+,-./0123456 ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?!!!Jeffrey A. Graves!!!!~ !!! ! ! ~ ! ƫ! !!!~ !"!!!!~ !y !!! !*!! "? "? "? "? "? "? "? "? "? " ? " ? " ? " ? " ? "? "? "? "? "? "? "? "? "? "? "? "? "? "? "?### Brian T. Ross####~ #N ## # # ~ # K# ###~ #B####~ #NW### #*## $? $? $? $? $? $? $? $? $? $ ? $ ? $ ? $ ? $ ? $? $? $? $? $? $? $? $? $? $? $? $? $? $? $?%% %Jeffrey P. Oldenkamp (1)%%%%~ %%% % % ~ % "% %%%~ %"%%%%~ %%%% %*%% &? &? &? &? &? &? &? &? &? & ? & ? & ? & ? & ? &? &? &? &? &? &? &? &? &? &? &? &? &? &? &?'''William C. Becker''''~ '@'' ' ' ~ ' "' '''~ '"''''~ '@''' '*'' (? (? (? (? (? (? (? (? (? ( ? ( ? ( ? ( ? ( ? (? (? (? (? (? (? (? (? (? (? (? (? (? (? (?)))Steven B. Harrison))))~ )")) ) ) ~ ) ") )))~ )"))))~ )"))) )*)) *? *? *? *? *? *? *? *? *? * ? * ? * ? * ? * ? *? *? *? *? *? *? *? *? *? *? *? *? *? *? *?+++ David T. Hore++++~ +G++ + + ~ + "+ +++~ +"++++~ +G+++ +*++ ,? ,? ,? ,? ,? ,? ,? ,? ,? , ? , ? , ? , ? , ? ,? ,? ,? ,? ,? ,? ,? ,? ,? ,? ,? ,? ,? ,? ,?---Catherine L. Powell (2)----~ --- - - ~ - "- ---~ -"----~ ---- -*-- .? .? .? .? .? .? .? .? .? . ? . ? . ? . ? . ? .? .? .? .? .? .? .? .? .? .? .? .? .? .? .?////'All Directors and Executive Officers as////~ /i// / / ~ / / ///~ /B////~ /b/// /1.5%//000a group (13 persons) 1? 1? 1? 1? 1? 1? 1? 1? 1? 1 ? 1 ? 1 ? 1 ? 1 ? 1? 1? 1? 1? 1? 1? 1? 1? 1? 1? 1? 1? 1? 1? 1?23$4____________________________15)Created by Morningstar Document Research.06(http://documentresearch.morningstar.com/2&0AQfqi1x=PF0*8X> @665544 l     dMbP?_*+%,&٭e2?'٭e2?(٭e2?)٭e2?",D/?? SCHEDULE 14ASCHEDULE 14A (1)SCHEDULE 14A (2)SCHEDULE 14A (3)Summary CompensationTABLE OF CONTENTS!NonEmployee Director CompensatiNonEmployee Director (1)!Director Compensation for FiscaFees and Services!Determining Competitive Compens Fiscal Year 2017 Base Salaries!Design of EVC Plan and Review ofor Fiscal Year 2017for Fiscal Year (1)LongTerm Incentive AwardsLongTerm Incentive (1)LongTerm Incentive (2)LongTerm Incentive (3)Summary Compens (1)!Supplemental Table to the All ORestricted Stock UnitsOutstanding Equity Awards!Option Exercises and Stock Vest!Estimated Payments for Named ExBeneficial Ownership!Security Ownership of PrincipalU } 0.} $} } $} } $} U      MTS SYSTEMS CORPDEF 14A 12/28/20177/Information Regarding Equity Compensation Plans (shares in thousands) 0 (Securities Authorized for Issuance Under  ! Equity Compensation Plans ? ? ? ? ? ? ?  Plan category  Number of shares of  Weighted-average  Number of shares of   Common Stock to be  exercise price of   Common Stockissued upon exerciseoutstanding options,remaining available forof outstanding warrants andfuture issuance underoptions, warrants and rights (2)equity compensation rights (1) plans (3) ? ? ? ? ? ? ?-%Equity compensation plans approved by~ " %GzL@~ "z shareholders.&Equity compensation plans not approved~ "~ "~ "by shareholders ? ? ? ? ? ? ? Total~ " %GzL@~ "z ? ? ? ? ? ? ?$____________________________1)Created by Morningstar Document Research.0(http://documentresearch.morningstar.com/DE lth\P^hRI3?=PF0*8X> @*   Root Entry FBook  2  !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}~      !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrst