Nickolas Musial
AllegionAbout Nickolas Musial
Nickolas A. Musial, age 44, is Allegion’s Vice President, Controller and Chief Accounting Officer (also Treasurer), serving as Principal Accounting Officer since March 1, 2022; previously Vice President of Finance, Allegion Americas, from 2017 to 2022, Director of External Reporting from 2013 to May 2016, and Vice President, Audit from May 2016 to August 2017 . He is a signatory on Allegion’s Form 10-Qs and certain financing documents, reflecting core responsibility for reporting integrity, controls, and capital markets execution . Company performance relevant to pay-for-performance: 2024 net revenues $3,772.2M (+3.3% YoY), operating income $780.7M (+10.2%), adjusted operating income $860.8M (+6.9%), available cash flow $582.9M (+12.9%), EPS $6.82 (+11.4%), adjusted EPS $7.53 (+8.2%); TSR was 10.06% for 2022–2024 (30th percentile vs S&P 400 Capital Goods) .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Allegion plc | Vice President, Finance, Allegion Americas | 2017–2022 | Not disclosed |
| Allegion plc | Vice President, Audit | May 2016–Aug 2017 | Not disclosed |
| Allegion plc | Director, External Reporting | 2013–May 2016 | Not disclosed |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| None disclosed in the proxy for Musial | — | — | — |
Fixed Compensation
| Component | Amount | Terms/Notes |
|---|---|---|
| Base Salary | $290,000 | Effective upon CAO appointment, Mar 1, 2022 |
| Target Annual Incentive (AIP) | 50% of base salary | Cash incentive opportunity |
| Long-Term Incentive Target | $180,000 | Annual LTI opportunity (mix per company practice) |
| Allowances | Up to $10,000 financial/tax planning; up to $2,000 executive health program annually | Per offer terms |
| Change-in-Control Plan | Participates | Plan participation confirmed |
Performance Compensation
| Plan/Metric | Weighting | Target | Actual/Payout | Vesting |
|---|---|---|---|---|
| Annual Incentive Plan (AIP): Company financial performance (profitable revenue growth, strong cash flow) | Not disclosed for Musial | Pre-established annual goals | Corporate NEOs achieved 92.06% of target for 2024 (region/individual modifiers apply); Musial-specific payout not disclosed | Annual (cash) |
| Annual Incentive Plan (AIP): Individual performance score (with People, Environment & Safety modifier up to −3%) | Not disclosed for Musial | Goal-based evaluations | Formulaic with cap at 200% of target; pool cap applies; Musial-specific result not disclosed | Annual (cash) |
| Long-Term Incentive: PSUs | Company design | Adjusted EPS & relative TSR metrics | 117% payout for 2022–2024 PSU cycle for corporate NEOs; Musial-specific PSU awards/payouts not disclosed | 3-year vesting |
| Long-Term Incentive: RSUs | Company design | Service-based | Time-based vesting; award values for Musial not disclosed beyond target | 3-year vesting |
| Long-Term Incentive: Stock Options | Company design | Stock price appreciation | Time-based vesting; award values for Musial not disclosed beyond target | 3-year vesting |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership | Individual holdings for Musial are not itemized in the 2025 proxy’s named tables; all directors and executive officers as a group held less than 1% as of Mar 14, 2025 |
| Pledging/Hedging | Company prohibits pledging and hedging; no directors or executive officers hold any pledged securities |
| Ownership Guidelines | Vice Presidents: 1x base salary; compliance must be achieved within specified timelines; RSUs and EDCP notional shares count; options and unvested PSUs excluded; NEOs were in compliance or on track by April 2024; Musial-specific compliance not disclosed |
| Vested vs. Unvested | Not disclosed for Musial |
| Options (exercisable/unexercisable) | Not disclosed for Musial |
Employment Terms
| Term | Provision |
|---|---|
| Appointment | Appointed Vice President, Controller and Chief Accounting Officer effective Mar 1, 2022 |
| CIC/Severance Framework | Participates in Allegion Change-in-Control Plan; Company compensation practices include severance only upon qualifying termination following a CIC; no single-trigger equity vesting; no tax gross-ups under CIC agreements |
| Clawbacks | NYSE/SEC-compliant clawback for restatements (3 years lookback); enhanced discretionary recoupment for misconduct or termination for cause covering cash and equity, including time-based awards |
| Anti-Hedging/Anti-Pledging | Hedging and pledging prohibited; margin accounts prohibited |
| Contract Term/Non-Compete | Specific employment term length, non-compete, non-solicit, and garden leave terms not disclosed in the proxy/filings reviewed |
Investment Implications
- Alignment: Musial’s package is balanced—moderate cash (AIP target 50%) with equity via RSUs/PSUs/options; PSU metrics tied to adjusted EPS and relative TSR enhance linkage to shareholder outcomes .
- Governance and risk controls: Strong clawbacks, anti-hedging/pledging, and no single-trigger vesting or tax gross-ups mitigate misalignment and reputational risk for accounting leadership roles .
- Performance backdrop: 2024 execution delivered margin expansion and EPS growth, yet TSR for 2022–2024 was 10.06% (30th percentile vs peers), implying PSU payouts at 117%—above target but not top decile; this supports pay-for-performance without excessive upside .
- Data gaps: Musial is not an NEO in 2024/2025 proxy tables, limiting visibility into his actual bonuses, vesting schedules by grant, and current beneficial ownership; monitoring future proxies and Form 4 filings is warranted to assess insider selling pressure and ownership guideline compliance .