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Razvan Radulescu

Chief Financial Officer at Blue Bird
Executive

About Razvan Radulescu

Razvan Radulescu is Chief Financial Officer (CFO) of Blue Bird Corporation, appointed effective October 1, 2021. He is age 50, with a B.S. in Computer Science from the Academy of Economic Studies in Bucharest and an MBA from Case Western Reserve University . During his tenure, Blue Bird reported strong improvements: FY2023 net sales up 41% to $1.13B with Adjusted EBITDA of $87.9M , and FY2024 net sales up 19% to $1.35B with Adjusted EBITDA of $183M . Pay-versus-performance disclosures show cumulative TSR rising to 402 (value of $100 initial investment) in FY2024, alongside Adjusted EBITDA margin of 13.6% and Return on Revenue of 7.8% .

Past Roles

OrganizationRoleYearsStrategic Impact
Daimler Trucks North America (DTNA)General Manager – Procurement; Global Lead Cab Interior/Exterior and Aftersales2020–2021Led all production and aftersales purchases; global cab interior/exterior parts leadership
Daimler AG (Stuttgart)CFO, Global Powertrain Trucks Business Unit2017–2020Finance leadership across global powertrain operations
DTNA (Freightliner Trucks)Controller – Freightliner Trucks2013–2017Controlling leadership for the Freightliner brand

External Roles

No public company directorships or external board roles disclosed for Radulescu .

Fixed Compensation

Multi-year CFO compensation (USD):

ComponentFY2022FY2023FY2024
Salary$433,125 $479,375 $511,250
Bonus (sign-on/other cash)$100,000 $86,250
Stock Awards (RSUs fair value)$219,656 $1,293,513 $525,106
Option Awards (fair value)$29,878 $69,547 $128,226
Non-Equity Incentive (MIP cash)$740,813 $572,063
All Other Compensation$203,355 $15,383 $240,207
Total$986,014 $2,598,631 $2,063,102

Key salary terms and target bonus:

  • Base salary set at $500,000 as of Oct 1, 2023, increased to $515,000 as of Jan 1, 2024 .
  • Target annual bonus under MIP: 100% of base salary beginning FY2024 .

Performance Compensation

Annual Management Incentive Plan (MIP) design and FY2024 outcome:

Metric/TermFY2024 TargetWeightingThresholdTargetMax/CeilActual FY2024
Adjusted EBITDA (company-wide)Company AOP EBITDA70% of award (financial) $80.0M → 50% payout $110.0M → 100% payout $120.0M → 200% payout; Committee allowed up to 225% for eligible participants Max achieved for company; CFO non-equity incentive paid $572,063
Individual performancePerformance management30% of award (individual) Included in total MIP determination

Long-Term Incentives (LTI):

  • Beginning FY2024, all new equity awards are RSUs (no options) with performance and time-based vesting; historical LTI allowed up to 50% forfeiture if MIP targets not achieved .
  • Special retention RSU award effective July 1, 2023 equal to 2x base salary, vesting on July 1, 2025 (or upon change in control); Radulescu grant value $1,000,000 .

Vesting schedules and selected grants:

  • RSUs: 3-year annual tranches tied to MIP performance; time-based tranches July 1, 2022/2023/2024/2025 .
  • Options (historical): Exercise prices typically at grant-date close; vest over 3 years upon MIP achievement; expire 10 years post grant . CFO option strikes include $20.00 and $12.35 from Dec 2022/Dec 2023 grants .

Equity Ownership & Alignment

Beneficial ownership and award status:

ItemDetail
Total beneficial ownership (as of Jan 15, 2025)2,848 shares; includes 2,165 shares subject to presently exercisable options
Shares outstanding (record date)32,111,078
Ownership as % of outstanding~0.009% (2,848 ÷ 32,111,078)
Options – exercisable vs unexercisable (FY2024 YE)Unexercised/Unearned options: 4,328 (#, $20.00 strike) and 14,014 (#, $12.35 strike); vesting per 3-year schedules
RSUs – unvested (FY2024 YE)8,438 (time-based) and 39,432 (special retention vesting 7/1/2025); plus performance RSUs tranches per schedules
Market value of unvested RSUs (FY2024 YE)$408,821 (8,438) and $1,910,480 (39,432)
Option exercises and stock vested (FY2024)Options exercised: 15,662; value realized $217,920. RSUs vested: 11,051 and 8,437; value realized $241,022 and $400,251
Hedging/PledgingCompany policy prohibits hedging and pledging of company stock by officers and directors
Stock ownership guidelinesStarting FY2025: executives required to hold equity valued at 2x base salary (compliance may include vested/unvested/exercised/unexercised)

Employment Terms

TermProvision
Role and effective dateCFO effective Oct 1, 2021
Contract termEmployment agreement effective Oct 1, 2023; one-year term; auto-renews for successive 12-month periods unless 60 days’ notice
Base salary$500,000 as of Oct 1, 2023; $515,000 as of Jan 1, 2024
Target MIP100% of base salary beginning FY2024
Severance (no CIC)If terminated without cause or non-renewal: unpaid prior-year bonus, 12 months’ salary continuation, up to 12 months COBRA premium reimbursement, subject to release
Severance (CIC double-trigger)If terminated without cause within 6 months before or 12 months after CIC: salary continuation increased to 24 months; COBRA up to 12 months
Change-in-Control (CIC) bonus planCash bonus equals target MIP times price-based multiplier: <$25=2x; $25=3x; $30=4x; $35=5x; ≥$40=6x; paid within 60 days of CIC close
CIC vestingAll unvested RSUs and options accelerate at CIC (Committee standardized vesting across prior awards)
ClawbackDodd-Frank-compliant clawback adopted May 2023, covering incentive comp tied to financial reporting measures for 3 preceding fiscal years in event of restatement
Restrictive covenantsConfidentiality; non-solicit and non-compete for 24 months post-termination

Performance & Track Record

  • Company performance during CFO tenure: FY2023 net sales rose 41% to $1.13B; Adjusted EBITDA $87.9M; backlog ~4,600 units . FY2024 net sales increased 19% to $1.35B; Adjusted EBITDA $183M; backlog ~4,800 units . These reflect operational improvements and pricing discipline .
  • Pay-versus-performance: TSR value of $100 investment rose to 402 in FY2024; Adjusted EBITDA margin 13.6% and Return on Revenue 7.8% .
  • Insider activity signals: In FY2024, CFO exercised 15,662 options (value realized $217,920) and had RSU vesting totaling 19,488 shares (aggregate value realized $641,273), indicating monetization activity consistent with multi-year award schedules .

Compensation Structure Analysis

  • Shift to RSUs: Starting FY2024, all equity grants are RSUs; options no longer issued, reducing leverage and risk for executives vs prior mix .
  • Increased at-risk pay: FY2024 MIP formula tied 100% to Adjusted EBITDA, with Committee allowing payout up to 225% of target for exceptional performance, sharpening performance sensitivity .
  • CIC enhancements: January 2024 CIC plan adds sizable cash multipliers and accelerates all equity, improving retention but introducing event-linked windfalls .
  • Ownership guidelines instituted FY2025: 2x salary guideline broadens alignment; compliance status not disclosed .

Equity Ownership & Alignment Details

CategoryNumbers and Terms
Beneficial ownership (Jan 2025)2,848 shares; includes 2,165 currently exercisable options; less than 1% of class
Unvested awards (FY2024 YE)RSUs: 8,438 time-based; 39,432 special retention vesting 7/1/2025; additional performance RSUs tranches; Options: 4,328 ($20.00), 14,014 ($12.35) unearned
Vesting datesRSUs time-based tranches vest on 7/1/2022, 7/1/2023, 7/1/2024, 7/1/2025; Performance tranches vest on 12/7/2024, 12/6/2025, 12/5/2026 (assuming target achievement); Options vest across Dec 2022–Dec 2025 per grant
Pledging/HedgingProhibited by policy; short sales and options trading restricted; Rule 10b5-1 plans permitted under policy guidance

Employment Contracts, Severance & Change-of-Control Economics

  • Employment agreement provides 12 months salary and COBRA on termination without cause; increases to 24 months if termination around CIC; unpaid prior-year bonus payable on separation .
  • CIC cash bonus multiplies target MIP (100% of base) by stock-price bracket (up to 6x) and pays within 60 days; equity awards fully accelerate at CIC per 2015 Plan amendment .
  • Potential FY2024 termination/CIC amounts (illustrative as of fiscal year-end): earned FY2024 MIP $1,030,000; accelerated vesting value $4,937,453; salary continuation $1,030,000 under CIC termination scenario .

Investment Implications

  • Strong pay-for-performance linkage: Annual cash incentives and LTI vesting tied to Adjusted EBITDA, with FY2024 max outcomes reflecting execution momentum; this supports alignment but concentrates incentives on EBITDA vs multi-factor scorecards .
  • Event-driven upside: The CIC bonus multipliers and full equity acceleration could create significant personal liquidity at a transaction, potentially increasing selling supply post-vesting; watch for 10b5-1 plan filings and Form 4s near anticipated events .
  • Ownership alignment: New 2x salary ownership guidelines strengthen alignment; individual compliance not disclosed. Current disclosed beneficial ownership is de minimis vs shares outstanding, with most exposure via unvested RSUs/options .
  • Retention risk: Standard 12–24 month severance and robust CIC terms reduce near-term departure risk; however, special retention RSUs cliff-vesting on 7/1/2025 may create a window of increased liquidity and potential turnover after vesting .