Material Agreement (Form 8-K)

Item 1.01

Entry into a Material Definitive Agreement.

CEO Employment Agreement

On June 26, 2026, Motorcar Parts of America, Inc. (the "Company") and Selwyn Joffe, the Chairman, President and Chief Executive Officer of the Company, entered into Amendment No. 7 (the "Amendment") to the Employment Agreement, dated as of May 18, 2012, and subsequently amended (as amended, the "Employment Agreement"). The Company's Human Resources and Compensation Committee and Board of Directors of the Company approved the Amendment.

The Amendment extends the Term of the Employment Agreement from July 1, 2027 to July 1, 2029. All other terms of the Employment Agreement remain the same.

In connection with the Amendment, the Board, in accordance with the Employment Agreement, also reviewed Mr. Joffe's salary and approved an increase in his salary pursuant to Amendment No. 5 to the Employment Agreement of $828,256 per annum to $902,799 per annum, effective June 26, 2026, and from $902,799 per annum to $984,050, effective April 1, 2027.