Peter Fjellman
COMPASS MINERALS INTERNATIONALAbout Peter Fjellman
Compass Minerals’ Chief Financial Officer since January 28, 2025 (age 56), Fjellman brings 30+ years of senior finance leadership across industrial, manufacturing and logistics sectors, including GXO and XPO Logistics, ABB, Danaher, and Newell Rubbermaid . In 2025 under his financial stewardship and commentary, CMP delivered sequential operating progress: Q3 revenue +6% YoY to $215M, adjusted EBITDA +25% to $41M, net debt down 13% YoY, and FY2025 adjusted EBITDA guidance raised to $193M midpoint; Q2 and Q1 results reflected deleveraging/working capital actions and liquidity improvement .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| GXO Logistics (NYSE: GXO) | SVP Finance, Americas & Asia Pacific | Aug 2021 – Oct 2024 | Multi-continent finance leadership for a logistics spinoff, aligning capital allocation and controls at scale |
| XPO Logistics (NYSE: XPO) | SVP Finance, Americas & Asia Pacific | Oct 2018 – Aug 2021 | Pre-spinoff finance leadership; transformation toward spin readiness |
| ABB | CFO, Americas | Not disclosed | Regional CFO role at a global power/automation leader; cost control and capital stewardship focus |
| Danaher | VP Finance, North America | Not disclosed | Operated within a disciplined, returns-focused system (DBS) emphasizing ROIC and cash |
| Newell Rubbermaid | Increasing responsibility roles | Not disclosed | Consumer manufacturing finance; operational discipline |
Fixed Compensation
| Item | Value | Notes |
|---|---|---|
| Base Salary ($) | 525,000 | CFO Offer Letter dated Jan 17, 2025 |
| Target Bonus (% of Base) | 70% | Eligible under MAIP beginning FY2025; pro-rated in FY2025 |
| LTIP Target ($) | 892,500 | Pro-rated for FY2025; full value beginning with fiscal 2026 annual grant (Oct 2025) |
| Sign-on Bonus ($) | 100,000 | Paid within 30 days of start; full clawback if departure <12 months; prorated clawback 12–24 months (except job elimination) |
| Executive Benefits | Annual physical; Executive Disability Plan participation | Per offer letter benefits |
Performance Compensation
| Component | Metric | Weighting | Target/Payout Mechanics | Vesting |
|---|---|---|---|---|
| MAIP (FY2024 program baseline) | Adjusted EBITDA | 30% | Linear scale: 75% threshold (50% payout), 100% target, 120% max (200% payout) | Annual cash bonus |
| MAIP (FY2024 program baseline) | Adjusted Free Cash Flow | 35% | Linear scale aligned to AOP with WIBA adjustment; 75%/100%/120% thresholds; 0–200% payout | Annual cash bonus |
| MAIP (FY2024 program baseline) | TRIR (safety) | 15% | Target equal to 10% reduction vs prior 3-year average; 75%/100%/120% thresholds; 0–200% payout | Annual cash bonus |
| MAIP (FY2024 program baseline) | Shared Objectives (ESG/Performance/Strategy) | 20% | Scorecard points: 22.5/30/36 at 75%/100%/120%, 0–200% payout | Annual cash bonus |
| MAIP (FY2025 change) | Adjusted Operating Cash Flow | Not disclosed | Replaces Adjusted FCF in MAIP for FY2025 to emphasize cash generation | Annual cash bonus |
| LTIP PSUs (FY2025) | Free Cash Flow | 50% | 3-year performance; target-to-max; rTSR modifier ±20% vs LTIP peer group | Cliff vest at year 3 |
| LTIP PSUs (FY2025) | ROCE | 50% | 3-year performance; rTSR modifier ±20% vs LTIP peer group | Cliff vest at year 3 |
| RSUs | Time-based | n/a | Value at vesting; dividend equivalents | 1/3 per year over 3 years |
Equity Ownership & Alignment
- Stock ownership guidelines require “other executive officers” (includes CFO) to hold 2x base pay within five years of appointment; executives are either in compliance or within the five-year window as of Dec 2024 .
- Anti-hedging and anti-pledging policy prohibits short sales, derivatives, hedging, pledging, or margin transactions in CMP securities for directors, executive officers, and employees .
- Robust clawback policy (NYSE Rule 10D-1 compliant) mandates recovery of erroneously awarded incentive compensation for three years preceding a required restatement; applies to current/former officers .
Employment Terms
| Term | Details | Notes |
|---|---|---|
| Employment start | Jan 27–28, 2025 | Start date Jan 27 per Offer Letter; appointment Jan 28 |
| Status | At-will | CFO employment is at-will |
| Severance eligibility | Executive Severance Plan | Participant designation per Offer Letter |
| Executive Severance Plan cash | 1x base + higher of 3-yr avg MAIP or target | Plus 18 months health/vision/dental premiums; RSU acceleration or cash equivalent at Committee election; PSUs governed by award terms |
| Change-in-control (cash) | Double-trigger; CFO multiple 1.25x | Lump sum: 1.25x (base + Bonus Amount) + 15 months benefits; prorated MAIP at termination; “best net” 280G cut (no gross-ups) |
| Change-in-control (equity) | Equity vesting at CoC under updated agreements | New CIC agreements (Oct 2024) remain double-trigger for cash but provide equity vesting upon CoC |
| Restrictive covenants | Non-solicit 1 year; CIC non-compete/non-solicit 2 years | NEO restrictive covenant 1 year; CIC agreements require 2-year non-compete/non-solicit post-termination |
| Clawback | SEC/NYSE compliant | Mandatory recovery of erroneously awarded incentive comp |
| Perquisites | Annual physical; Exec Disability Plan | Offer Letter benefits |
Performance & Track Record (FY2025 under Fjellman’s CFO tenure)
| Metric ($USD Millions) | Q1 2025 | Q2 2025 | Q3 2025 |
|---|---|---|---|
| Revenue | 307 | 495 | 215 |
| Adjusted EBITDA | ~32 | 84.1 (modified: 76.2) | 41 |
| Net Loss | 24 | 32 | 17 |
| Liquidity | 126 (cash 46; revolver ~80) | 329 (cash 51; revolver ~279) | 388 (cash 79; revolver ~309) |
| Guidance (Adj. EBITDA midpoint) | — | 188 | 193 |
| Notable balance sheet actions | — | Inventory value -47% YoY; net debt sequential -$171; YoY -$81 | Net debt $746 (-$116 YoY; -13%); credit facility amended (commitment $325; covenant to net first lien debt) |
Compensation Peer Group (FY2025)
- Alpha Metallurgical; Arch Resources; Balchem; Coeur Mining; Ecovyst; Hecla Mining; Innospec; Koppers; LSB Industries; Metallus; Minerals Technologies; Peabody Energy; Ramaco Resources; Sensient Technologies; SSR Mining; Tronox; Warrior Met Coal; U.S. Silica subsequently removed post-acquisition .
Say-on-Pay & Shareholder Feedback
- 2024 say-on-pay approval 94.1%; investors emphasized cash flow, debt reduction, cost control in annual incentives; CMP responded by adding operating cash flow, CapEx, and production cost per unit to MAIP and shifting PSU metrics to FCF and ROCE for FY2025, with rTSR modifier .
- Ongoing investor outreach by Compensation Committee chair; all non-employee director pay delivered in equity; robust ownership guidelines .
Investment Implications
- Pay-for-performance alignment: CFO’s MAIP and PSU metrics now center on cash generation (Adjusted Operating Cash Flow) and ROCE with an rTSR modifier, directly tying bonus and equity outcomes to deleveraging, returns, and operational cost control—key to CMP’s “Back-to-Basics” strategy .
- Retention and selling pressure: RSUs vest over three years and PSUs on 3-year performance, creating natural retention; anti-hedging/pledging policies mitigate misalignment; sign-on clawback over 24 months reduces near-term departure risk .
- Change-of-control economics: CFO’s CIC cash multiple at 1.25x with equity vesting on CoC (new agreements) preserves deal neutrality while avoiding excise tax gross-ups; double-trigger for cash reduces windfalls without termination .
- Execution signal: 2025 commentary tied to net debt reduction, liquidity enhancement, and an EBITDA guidance raise suggests disciplined capital and inventory management under Fjellman’s finance leadership—supportive for cash/ROCE-linked incentive attainment .