John A. Sunny

About John A. Sunny

John A. Sunny, age 62, serves as Executive Vice President of CompX International Inc. (CIX) and has held the role since May 2024; he has built a 20+ year career in information technology leadership across the Contran-affiliated group of companies since 2003, currently also serving as Executive Vice President and Chief Information Officer (CIO) of Valhi, Kronos Worldwide, and NL Industries, and as Senior Vice President and CIO of Contran; education not disclosed . As context for alignment and value creation at CIX, the company’s total shareholder return (TSR) grew from a $100 base at YE2019 to $250 at YE2024, while 2024 net income was $16.6 million; CIX reports it does not link named executive officer compensation to specific financial performance measures and maintains a largely cash-based, discretionary bonus program without equity awards to NEOs .

Past Roles

External Roles

Fixed Compensation

• Not specifically disclosed for John A. Sunny in CIX’s proxy statements. CompX reports one NEO (the CEO) is directly employed by CompX and other named executive officers are typically employees of Contran whose costs are allocated via an Intercorporate Services Agreement (ISA); Sunny is an executive officer at CIX but is not a named executive officer in the Summary Compensation Table, so his individual compensation is not provided .

Performance Compensation

• Program design: CIX states it does not use specific financial performance measures or formulas for NEO incentive bonuses; instead, it pays discretionary annual cash bonuses primarily for the CEO, considering qualitative factors and overall company performance; there are no plan-based awards in 2024 .
• Equity/LTI: No grants of plan-based awards during 2024; no outstanding equity awards at 12/31/2024; no option exercises or vesting during 2024; company does not award options. This implies no formulaic vesting metrics, no option strike-price overhang, and minimal equity-driven selling pressure among NEOs .
• ISA charges for Contran-employed executives (context): The cost allocation for services under the ISA (which includes certain NEO services) is based on estimated time allocation and Contran’s employment cost and is expressly not dependent on CIX’s financial performance (i.e., not pay-for-performance linked); Sunny’s individual ISA allocation is not disclosed .

Equity Ownership & Alignment

• Sunny’s individual beneficial ownership in CIX is not disclosed in the “Ownership of CompX” table, which lists directors and named executive officers; as he is not a named executive officer in the proxy, his holdings are not itemized. Directors and executive officers as a group (17 persons) held 48,582 shares (<1%); individual figures for Sunny are not provided .
• Equity compensation: For 2024, no equity awards and no options were outstanding for NEOs; the company states it does not award options, indicating low near-term insider selling pressure from vesting schedules or in-the-money options among NEOs .
• Hedging and pledging: CIX has not adopted policies or practices regarding hedging of its equity securities by employees (including officers) or directors; employees and directors must comply with CIX’s insider trading policy. No pledging policy is disclosed .
• Ownership guidelines: Stock ownership guidelines apply to non-employee directors (≥3x base annual cash retainer); there is no executive officer ownership guideline disclosure for Sunny .

Employment Terms

• Role/tenure: Executive Vice President since May 2024; executive officers serve at the pleasure of the Board; no specific employment contract terms for Sunny are disclosed .
• Employment agreements and severance: CIX discloses no written employment agreement for the CEO; no severance or change-in-control terms are disclosed for Sunny; no golden parachute, single/double trigger, or clawback provisions are disclosed for Sunny .
• Intercorporate Services Agreement (ISA) framework (context): CIX pays Contran for shared services, including certain executive officer services; fee based on estimated time allocation and employer cost; not performance-based. ISA typically renews quarterly and may be terminated by either party with written notice 30 days before the next quarter; 2024 ISA fees paid were approximately $3.2 million, with ~$3.4 million expected for 2025 .

Investment Implications

• Alignment and incentives: The absence of disclosed equity awards, options, or performance-vested equity for NEOs (and no itemized equity for Sunny) suggests limited direct equity alignment and minimal forced selling from vesting events; incentive pay is discretionary rather than tied to hard financial hurdles, and ISA allocations for Contran-employed executives (context) are not dependent on CIX performance, reducing pay-for-performance linkage .
• Retention dynamics: Executive services are embedded in a group ISA structure that renews quarterly and can be terminated with short notice; retention stability may rely more on the broader Contran ecosystem than on CIX-specific employment protections or severance economics for Sunny; no individual employment or severance terms are disclosed for him .
• Trading signals: With no outstanding equity awards and no options for NEOs, insider selling pressure from vesting is structurally low; the company has not adopted hedging policies (beyond insider trading compliance), offering limited visibility into hedging behavior from a policy standpoint .
• Governance and shareholder feedback: CIX’s Say-on-Pay received strong support (90.3% approval at the 2024 annual meeting), indicating shareholder acceptance of the overall compensation framework despite its discretionary nature and low equity usage .
• Performance context: TSR compounded positively since 2019 (value of initial $100 investment reaching $250 by YE2024) alongside steady net income, but compensation disclosures indicate no explicit linkage to TSR or financial metrics, which may limit performance alignment for executives not already holding meaningful stock positions; Sunny’s individual ownership is not disclosed .