Johannes Eckert
Executive Vice President and Chief Information & Technology Officer at AEP
Executive
About Johannes Eckert
Executive Vice President and Chief Information & Technology Officer (CITO) at American Electric Power (AEP), effective July 21, 2025; previously Senior Vice President & CIO at Cox Communications with 16 years of leadership in wireless technology, application development, and network operations across the U.S., Germany, and South America . Education: BS in Computer Science, Berlin University of Applied Sciences; MBA in International Marketing & Finance, Kennesaw State University . Company performance context relevant to incentive alignment: 2024 operating EPS of $5.62 (non-GAAP “operating EPS” used for incentives) ; 2022–2024 long-term incentive (LTI) TSR outcome was 20.5% (59th percentile vs. utility peers) with a 109.8% weighted payout for that cycle .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Cox Communications | Senior Vice President & Chief Information Officer | 16 years (through 2025) | Led cloud architecture, infrastructure, applications, network operations; cultivated high-performing teams to support customer experience transformation |
| Acta Wireless | Partner & Head of Wireless | Not disclosed | Wireless leadership and commercialization experience; market and technology expertise in telecom |
| Kearney; AT&T; Telefónica Germany; Accenture | Leadership/consulting roles | Not disclosed | International operating and consulting experience across U.S., Germany, South America, covering technology, operations, and strategy |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| Not disclosed | — | — | No public board or external directorships disclosed in AEP materials or press texts reviewed |
Fixed Compensation
| Component | Detail |
|---|---|
| Base salary | Not disclosed for Eckert in filed 8-Ks/proxy as of Nov 2025 (no individual figure located) . |
| Target annual incentive (AIP) | For the EVP & Chief Information & Technology Officer role, AEP set a 2024 AIP target at 75% of base earnings (role-based program level) . |
| Pension/Deferred comp/Perqs | Program-level disclosures (not Eckert-specific): executives participate in broad-based benefits; limited perquisites; no income tax gross-ups for executive officers other than relocation . |
Performance Compensation
AEP uses a balanced annual scorecard and multi-year stock-based LTI. 2025 LTI metrics were simplified to EPS and TSR (50%/50%).
- Annual Incentive Plan (AIP) – 2024 Company Scorecard Results (context for role-level incentives)
| Metric | Weight | Target | Actual/Result | Payout |
|---|---|---|---|---|
| Operating EPS | 60% | $5.63 | $5.6178 (1.22¢ below midpoint) | 91.5% of target |
| Safety (CORE programs, leadership engagement) | 20% | Programmatic targets (see proxy) | 93.1% score; 50% fatality reduction not applied per circumstances | 93.1% |
| Compliance (NERC) | 5% | Target level | Achieved; capped at target due to EPS modifier | 100% |
| Affordability (LIHEAP/HEAP) | 5% | 2% increase for 100% | 96.1% score | 96.1% |
| Reliability (SAIDI) | 5% | Five-year avg (jurisdiction-adjusted) | 143.9% raw; capped at 100% due to EPS modifier | 100% |
| Employee Engagement | 5% | Target level | Achieved target | 100% |
- Long-Term Incentive (LTI) Design and Outcomes
| Plan/Period | Metric | Weight | Performance Period | Vesting | Notes/Outcome |
|---|---|---|---|---|---|
| 2024–2026 LTI | Cumulative Operating EPS | 50% | 3 years | Cliff at 3 yrs | Program design in effect through 2026 |
| 2024–2026 LTI | Relative TSR vs. utility peers | 40% | 3 years | Cliff at 3 yrs | Program design in effect through 2026 |
| 2024–2026 LTI | Reliability (non-/low-emitting capacity add approvals) | 10% | 3 years | Cliff at 3 yrs | Eliminated for 2025 awards; 2025: EPS/TSR each 50% |
| 2022–2024 LTI Outcome | Relative TSR | 40% | 3 years | N/A | 20.5% TSR; 59th percentile → 129.3% factor |
| 2022–2024 LTI Outcome | Cumulative Operating EPS | 50% | 3 years | N/A | $15.958; 107.3% factor |
| 2022–2024 LTI Outcome | Non-emitting capacity | 10% | 3 years | N/A | 31.1%; 44.2% factor; overall payout 109.8% |
- Governance Features: double-trigger CIC vesting on LTI; robust clawbacks (SEC 10D-1 and “no fault” recoupment) .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Initial beneficial ownership | Form 3 filed July 21, 2025 stated “No securities are beneficially owned” . |
| 10b5-1 trading plans | Q3 2025 10-Q: aside from a plan adopted by EVP & CHRO, the company disclosed that no other officers adopted, terminated, or modified Rule 10b5-1 or non-Rule 10b5-1 arrangements during Q3 2025 . |
| Hedging/Pledging | Insider trading policy prohibits executives/directors from hedging AEP holdings or pledging AEP stock . |
| Stock ownership guidelines | AEP maintains stock ownership requirements for senior officers (51 executives as of Dec 31, 2024) and describes “robust” ownership requirements for executive officers . |
| RSU/LTI vesting norms | RSUs typically vest in 3 roughly equal annual tranches (Feb 21 cycle); performance shares have 3-year performance and vesting period . |
Employment Terms
| Term | Detail |
|---|---|
| Effective date | EVP & CITO effective July 21, 2025 . |
| Contract/offer disclosure | No Eckert-specific compensatory arrangement terms were found in reviewed 8-Ks/proxy as of Nov 2025 . |
| Severance (company precedent) | Executive Severance Plan (illustrated in Oct 2023 CFO separation) provided 1x salary + target AIP and prorated vesting of PSUs/RSUs, contingent on signing a severance/non-compete agreement (1-year non-compete, plus covenants) . |
| Change-in-control (equity) | Double-trigger LTI acceleration (requires CIC and qualifying termination) . |
| Clawbacks | Mandatory SEC Rule 10D-1-compliant policy and “no fault” recoupment for excess incentive pay if results are restated/corrected . |
| Role oversight | CITO and Chief Security Officer attend Board Technology Committee meetings overseeing IT, cyber, AI, and resiliency programs . |
Investment Implications
- Alignment and overhang: Initial Form 3 shows zero ownership at appointment; watch for first Form 4 grants to assess equity mix, vesting cadence, and potential vesting-driven selling pressure at upcoming tranche dates . Policy prohibits hedging/pledging, reducing alignment and collateral risks .
- Incentive structure: AEP’s move to a 50/50 EPS-TSR LTI mix for 2025 tightens linkage to shareholder returns and earnings durability; annual bonus includes safety, reliability, affordability, and compliance, with payout caps tied to EPS midpoint—tempering windfall risk .
- Retention/transition risk: Successor to a CITO who resigned April 1, 2025; expect onboarding and transformation agenda across cloud, applications, and operations; equity grants (RSUs/PSUs) and ownership guidelines should anchor retention, but until grant sizes are disclosed, retention visibility remains limited .
- Execution focus: CITO’s board-facing oversight (Technology Committee) underscores cyber/AI/IT resiliency as value levers in AEP’s grid investment plan; operational reliability metrics influence AIP outcomes and reputational risk, tying IT execution to compensation .
- Governance/compensation risk: Strong clawbacks, no excise tax gross-ups, double-trigger CIC, and say‑on‑pay support (~95% in 2024) indicate low governance friction; continue to monitor any discretionary adjustments to safety metrics, as applied in 2024 AIP .