Shane Tackett
Chief Financial Officer at ALK
Executive
About Shane Tackett
Shane R. Tackett is Executive Vice President Finance and Chief Financial Officer of Alaska Air Group, Inc. and Alaska Airlines, Inc., a role he has held since March 2020; he joined Alaska in December 2000 and has been a corporate officer since 2011 (age 46 as disclosed in the FY2024 10-K) . Under his finance leadership, Alaska Air Group delivered consolidated pretax income of $545 million in 2024 versus $323 million in 2023, and finished first on the PBP margin modifier versus key airline peers, driving the maximum 60-point uplift to short-term incentive payouts .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Alaska Airlines | Managing Director Financial Planning & Analysis | Dec 2008–Aug 2011 | Led FP&A during post‑merger integration and network growth . |
| Alaska Airlines | Vice President Labor Relations | Aug 2011–Feb 2015 | Managed labor strategy and negotiations . |
| Alaska Airlines | Vice President Revenue Management | Feb 2015–Aug 2017 | Directed pricing and yield management . |
| Alaska Airlines | Senior Vice President Revenue & E‑commerce | Aug 2017–Sep 2018 | Advanced revenue and digital commerce initiatives . |
| Alaska Air Group | Executive Vice President Planning & Strategy | Sep 2018–Mar 2020 | Led enterprise planning ahead of CFO appointment . |
| Alaska Air Group | Executive Vice President Finance & CFO | Mar 2020–present | Principal financial officer; SEC certifications and financial stewardship . |
External Roles
No external public company directorships or committee roles for Mr. Tackett are disclosed in ALK’s FY2024 10‑K or 2025 proxy statement .
Fixed Compensation
Multi-year summary compensation for Shane Tackett (NEO CFO):
| Metric ($) | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Salary | 527,654 | 552,462 | 577,446 |
| Stock Awards (grant-date fair value) | 1,498,951 | 4,011,210 | 2,319,878 |
| Option Awards (grant-date fair value) | 414,608 | — | — |
| Non-Equity Incentive (PBP/OPR) | 1,003,255 | 672,243 | 1,098,017 |
| Change in Pension/Deferred Earnings | — | 91,725 | — |
| All Other Compensation | 166,427 | 297,066 | 225,481 |
| Total | 3,610,895 | 5,624,706 | 4,220,822 |
Additional 2024 base pay and target bonus parameters:
- 2024 base salary approved by Committee: $585,200 effective April 13, 2024 .
- 2024 PBP target participation: 95% of base salary (executive vice presidents) .
- All Other Compensation detail (selected 2024 items): Company 401(k) contribution $45,274; DC‑OSRP company contribution $113,539; travel benefits $30,331; reimbursement of taxes paid on travel benefits $19,679; reimbursement of tax paid on business travel income $9,596; other $4,555; total $225,480 .
Performance Compensation
2024 Short‑Term Incentive (PBP Plan)
| Metric | Weight | Target | Actual | Payout % (for metric) |
|---|---|---|---|---|
| Profitability (Adjusted Pretax Profit %) | 60% | 6% | 9.04% | 120.00% |
| Safety (increase in safety reports) | 20% | 5% increase | 6.37% increase | 33.72% |
| Guest Experience (months rated “very good”/“excellent”) | 10% | 8 months | 3 of 12 months | 0% |
| Fuel Efficiency (gallons per flight hour) | 10% | 851 | 846.62 | 15.48% |
| Initial PBP payout % | — | — | — | 169.20% |
| Margin modifier placement | +60 pts (1st place) | — | — | +60.0% |
| Total payout % (capped) | — | — | — | 200.00% cap applied |
Notes:
- PBP capped at 200% for executives; margin modifier benchmarked against Delta, United, American, Southwest, JetBlue .
- NEOs also earned $869 under the OPR Plan in 2024 .
Long‑Term Equity Awards (2024 grants)
| Award Type | Grant Date | Target Units | Max Units | Grant-Date Fair Value ($) |
|---|---|---|---|---|
| RSUs (service-based) | 3/19/2024 | 30,670 | n/a | 1,159,939 |
| PSUs (ROIC and related metrics) | 3/19/2024 | 30,670 | 61,340 | 1,159,939 |
PSUs vest based on three‑year performance periods (2024 grants through 12/31/2026; 2023 grants through 12/31/2025) per CD&A .
Equity Ownership & Alignment
Beneficial Ownership (as of March 14, 2025)
| Holder | Common Shares Owned | Options Exercisable within 60 Days | Total Beneficially Owned | % Outstanding |
|---|---|---|---|---|
| Shane R. Tackett | 50,986 | 71,704 | 122,690 | * (<1%) |
- Stock Ownership Policy: minimum 3x base salary for executive vice presidents; executives must retain 50% of shares acquired via RSU/PSU vesting until reaching guideline; all NEOs were compliant as of Dec 31, 2024 .
- Hedging/Pledging: executives and directors are prohibited from hedging and pledging company stock; speculative transactions and margin accounts are prohibited under the Insider Trading Policy .
- ESPP participation: 374 shares purchased in the 12 months ended March 14, 2025; cumulative 2,656 shares .
Outstanding Awards and Vesting Schedule (as of Dec 31, 2024)
| Award | Quantity | Key Dates | Notes |
|---|---|---|---|
| Stock options (exercisable) | 22,750 at $64.55; 15,180 at $66.57; 7,740 at $66.89; 3,770 at $68.15; 1,860 at $96.30; 1,750 at $65.63; 925 at $65.37 | Various expirations 2025–2030 | Historical option grants; mix now heavily RSUs/PSUs . |
| RSUs (unvested, market value at $64.75) | 3,670 ($237,633); 18,060 ($1,169,385); 30,670 ($1,985,883) | 2023 RSUs vest 5/4/2026; 2024 RSUs vest 2/13/2025, 2/13/2026, 2/13/2027 | RSUs split across 2023 and 2024 programs . |
| Options (unvested tranche) | 4,538 vest on 2/9/2025 (from 2/9/2021 grant) | 2/9/2025 | Remaining tranche of 2021 grant . |
| PSUs (unearned at max) | 18,060 (2023 cycle) and 30,670 (2024 cycle) at target, with max levels shown in table | Performance ends 12/31/2025 and 12/31/2026 | Vest subject to ROIC and plan goals . |
Aggregate past grants under the 2016 Plan show Mr. Tackett’s cumulative option and stock award history and current outstanding unvested units at target levels .
Employment Terms
Severance and Change‑in‑Control Economics
| Scenario (as of 12/31/2024) | Cash Severance ($) | Benefit Continuation ($) | Air Travel Benefit ($) | Equity Acceleration ($) | Excise Tax ($) | Total ($) |
|---|---|---|---|---|---|---|
| Retirement | 0 | 0 | 11,740 | 0 | — | 11,740 |
| Death/Disability | 0 | 0 | 11,740 | 3,760,668 | — | 3,772,408 |
| Change‑in‑Control (double trigger) | 3,962,605 | 116,087 | 11,740 | 6,915,935 | (1,364,227) | 10,238,240 |
| Termination w/o Cause (outside CIC) | 2,311,520 | 34,258 | 26,150 | 0 | — | 2,396,928 |
Key terms and governance:
- Double‑trigger CIC agreements; compensation multiples: 3x for CEO and executive vice presidents; 2x for senior vice presidents; no tax gross‑ups; option repricing prohibited without shareholder approval .
- Shareholder ratification policy: ALK will seek shareholder approval if executive severance exceeds 2.99x salary+average bonus (except CIC/death/disability); range of multiples in Guidelines remains 0.5x–2x for severance outside CIC .
- Clawback: SEC/NYSE-compliant recovery policy for incentive compensation upon restatement; discretionary recovery for legal/compliance violations within three years, including reputational harm .
- Pension benefits: Participates in Salaried Retirement Plan (hard‑frozen effective 1/1/2014); credited service 13.058 years; present value $220,573 as of 12/31/2024 .
- Nonqualified deferred compensation: 2024 registrant contribution $153,425; aggregate earnings $90,153; ending balance $1,001,413 .
Investment Implications
- Pay-for-performance alignment is robust: 2024 PBP payout reached the 200% cap driven by 9.04% adjusted pretax margin and first-place margin performance among major peers; long-term PSUs are tied to ROIC over 3-year periods, supporting durable value creation incentives .
- Near-term insider selling pressure: Watch option vest on 2/9/2025 (4,538 shares) and RSU tranches on 2/13/2026 and 2/13/2027, plus 5/4/2026; the company’s policy requires retention of 50% of net shares until ownership guidelines are met, which mitigates forced selling .
- Alignment and risk controls: Ownership guidelines (3x salary), ban on hedging/pledging, no tax gross-ups, and clawback mechanisms reduce governance risk and align with shareholder interests .
- Retention risk moderate: Executive CIC protections are standard with double-trigger and 3x multiple for EVPs; outside CIC severance economics are lower (1.5x guideline range) and subject to a 2.99x shareholder ratification cap, which balances retention with shareholder oversight .
- Execution track record: 2024 consolidated pretax income improved to $545M and ALK completed the Hawaiian acquisition, indicating continued financial discipline under Tackett’s CFO tenure; focus should remain on integration, cost control, and fuel efficiency to sustain margin leadership .
Say‑on‑Pay and Shareholder Feedback
- 2024 annual meeting: 96% approval for the advisory vote on 2023 executive compensation .
- 2025 annual meeting results: Proposal 2 (Say‑on‑Pay) received 88,089,246 For, 2,162,742 Against, 428,712 Abstain; directors re‑elected and plan amendments approved, signaling continued investor support for compensation design .
Compensation Peer Group (benchmarking)
Air Canada, American Airlines Group, Delta Air Lines, Hawaiian Airlines, JetBlue Airways, SkyWest, Southwest Airlines, Spirit Airlines, United Airlines Holdings (used for 2024 pay benchmarking and performance comparisons) .
Risk Indicators & Red Flags
- Hedging/pledging prohibited; no option repricing without shareholder approval; no severance tax gross‑ups .
- Section 16(a) compliance: One-day late Form 4 filings on Feb 16, 2024 listed several insiders, including Mr. Tackett, per proxy disclosure .
Notes
- Closing price reference for award values: $53.94 as of March 14, 2025; outstanding awards valued at $64.75 at 12/31/2024 per proxy tables .
- PSUs assume target performance for accelerated vesting calculations in CIC scenarios .