Craig E. Hunsaker
Alphatec HoldingsAbout Craig E. Hunsaker
Craig E. Hunsaker, age 61, is Executive Vice President, People & Culture at Alphatec (ATEC) and has also served as General Manager of EOS imaging S.A.S since September 2023; he joined ATEC in September 2016 and served as General Counsel from March 2017 to July 2023 . He holds a JD from Columbia University School of Law and a BS in Finance and International Business from Brigham Young University, and previously specialized in trade secret protection and employment law as a partner at Mintz Levin and Fish & Richardson, with earlier roles at Brobeck, Cooley, and Morgan Lewis . Company performance levers tied to executive pay include 2024 revenue growth of 27%, adjusted EBITDA margin improvement of over 690 bps, and peer-relative percentile ranks of 90% (1-year revenue growth), 85% (3-year revenue CAGR), 19% (1-year TSR), and 75% (3-year TSR), aligning incentives to growth and profitability .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| ATEC | EVP, People & Culture; GM, EOS imaging S.A.S | Since Sep 2016; GM since Sep 2023 | Built people systems, led EOS imaging integration and commercial development |
| NuVasive, Inc. | SVP, Global HR; VP, Legal Affairs | 2009–2014 | Led HR and legal in a high-growth spine medtech context |
| General Atomics | Senior Advisor, Human Resources (Consultant) | Apr–Sep 2014 | Advised HR at defense contractor |
| Mintz Levin; Fish & Richardson | Partner; Managing Member (San Diego offices) | Pre-2009 | Led litigation on trade secrets/employment law |
| Brobeck; Cooley; Morgan Lewis | Associate | Pre-2009 | Employment and IP litigation experience |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| None disclosed | — | — | No public company board or external directorships disclosed in proxy |
Fixed Compensation
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Base Salary ($) | 467,692 | 470,000 | 482,385 |
| Approved 2024 Base Salary ($) | — | — | 484,000 (effective Feb 1, 2024) |
| Expatriate cost-of-living adjustment ($/month) | — | — | 5,000/month; ~55,000 in 2024 |
| Total “All Other Compensation” ($) | 41,642 | 165,735 | 222,471 (incl. ~$262,000 expat benefits) |
Performance Compensation
Annual Bonus Plan Design and Outcomes (FY 2024)
| Metric | Weighting | Target/Threshold | Actual Payout | Weighted Contribution |
|---|---|---|---|---|
| Global Revenue | 75% | Aggressive target; threshold 96% of target | 102% payout | 76% |
| Adjusted EBITDA | 25% | Challenging target; individual adjustment allowed | 114% payout | 29% |
| Aggregated Percentage Payment | — | — | 105% | 105% |
| Executive | Target Bonus % of Salary | Target ($) | Actual Total Bonus ($) | Cash Paid ($) | RSUs Granted (#) | RSU Vesting |
|---|---|---|---|---|---|---|
| Craig E. Hunsaker | 70% | 338,800 | 360,000 (106% of target) | 180,000 | 21,709 (at $9.95, ×1.2 factor) | Vests in full on Dec 5, 2025 |
Long-Term Incentive (LTI) Grants and Vesting
| Component | Grant Date | Target Units/Value | Performance Result | Earned Units | Vesting Schedule |
|---|---|---|---|---|---|
| 2024 Global Revenue Growth PRSUs | Feb 21, 2024 | 123,571 units | 27% YoY revenue; 107% of goal | 156,935 units (127% of target) | 1/3 on Mar 5, 2025; 1/3 on Mar 5, 2026; 1/3 on Mar 5, 2027 |
| 2024 Time-based RSUs | Feb 21, 2024 | 41,190 units | Time-based | — | Ratable over 3 years from grant |
| 2024 LTI Total Target Value | Feb 21, 2024 | $2,595,000 | — | — | — |
PRSUs include a one-year revenue goal and a three-year market performance condition; earned PRSUs vest ratably over three years contingent on continued service .
2025 Salary Conversion RSUs (Cash-to-Equity)
| Effective Date | Cash Salary Reduction | RSUs Granted (range for NEOs) | Vesting |
|---|---|---|---|
| Mar 31, 2025 | 10%, 25%, or 50% of base for period | 3,866 to 21,751 RSUs (per NEO; at Mar 31 close) | 50% on Aug 5, 2025; 50% on Dec 5, 2025 |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial ownership (shares) | 1,517,741; 1.04% of outstanding |
| Vested options within ownership | Includes 355,207 shares issuable upon exercise of vested options |
| Options outstanding (exercisable) | 125,000 @ $3.09 exp 2/21/2027; 31,710 @ $1.93 exp 6/15/2027; 120,248 @ $1.68 exp 7/26/2027; 78,249 @ $2.69 exp 7/30/2028 |
| Unvested equity at 12/31/2024 | RSUs: 32,185 (2/24/2022); 60,950 (6/14/2023); 41,190 (2/21/2024). PRSUs (unearned/at target): 48,277 (2/24/2022); 123,132 (6/14/2023); 123,571 (2/21/2024) |
| Stock ownership guidelines | Section 16 officers: 1.0x base salary; RSUs count; options do not; 5-year compliance window |
| Hedging/pledging | Prohibited: no short sales, margin pledges, collars, or public options |
| Clawback | Nasdaq/Rule 10D-1 compliant clawback for incentive comp upon restatement (3 prior fiscal years) |
Employment Terms
| Agreement | Key Economics | Triggers | Equity Treatment | Benefits |
|---|---|---|---|---|
| Employment letter | At-will; base salary; 70% target bonus; benefits; effective Sep 14, 2016; 2025 base set to $503,000 and target bonus remains 70% | — | — | Standard benefits |
| Severance Agreement (Feb 18, 2021) | Lump sum 1.5× (base + target bonus); 18 months COBRA; time-based awards vest if scheduled within 18 months; performance awards remain eligible; extended option exercise window (≥90 days or remaining term) | Involuntary termination not for Cause (or for Good Reason); excluding death/disability; subject to release and other conditions | Partial acceleration as noted; continued eligibility for performance awards | 18 months COBRA |
| Change in Control Agreement (effective Sep 14, 2016) | Lump sum equal to: 2× annual compensation; plus prorated portion of highest LTI grant (prior 3 years); plus prorated portion of greater of current target bonus or highest prior 3 bonuses; 18 months COBRA | Double-trigger: termination without cause or for good reason within 24 months post-CIC | All outstanding equity vests (performance awards per award terms); options exercise period extended to later of 24 months or remaining term; if options cashed-out, receive Black-Scholes time value incl. extended window | 18 months COBRA |
| Clawback & misc. | Clawback policy adopted Dec 1, 2023; separation agreements may include non-disparagement and non-solicit commitments | As applicable | As applicable | As applicable |
Additional Program Governance
- Pay philosophy: Emphasis on variable, at-risk pay via annual cash bonuses and PRSUs/RSUs; multi-year vesting to drive retention and alignment .
- Say-on-Pay: 85% support at June 12, 2024 annual meeting .
- Peer benchmarking: 2024 peer group set with Compensia; ATEC ranked at high percentiles for revenue growth and mid-to-high for TSR .
- No tax gross-ups: No excise tax gross-ups on CIC; no perquisite tax reimbursements beyond standard relocation/expat benefits .
- Minimal perquisites: 2024 expatriate assignment benefits for Hunsaker; otherwise limited perqs .
Investment Implications
- Strong pay-for-performance alignment: 2024 short-term payout strictly tied to revenue (75%) and adjusted EBITDA (25%), with aggregate 105% funding; Hunsaker’s payout at 106% of target and partially delivered in RSUs increases equity alignment .
- Material vesting over next 24 months: Bonus RSUs vest Dec 5, 2025; salary-conversion RSUs vest Aug 5 and Dec 5, 2025; 2024 PRSUs vest in equal tranches through Mar 2027; this cadence may create periodic selling pressure around vest dates if net settlement occurs .
- Retention protections are robust but shareholder-friendly: Double-trigger CIC with comprehensive cash and equity acceleration, yet no tax gross-ups; standard severance 1.5× salary+bonus reduces exit friction while COBRA support and option exercise extensions preserve economic value and retention .
- Governance risk mitigants: Prohibitions on hedging/pledging, stock ownership guidelines, and a compliant clawback reduce misalignment and reputational risk; say-on-pay support indicates investor acceptance of the program .