Paula Dempsey
About Paula Dempsey
Paula S. Dempsey is Executive Vice President and Chief Financial Officer of Torrid Holdings Inc. (CURV), age 44, serving as CFO since December 4, 2023, after joining the company in January 2023 and serving as Interim CFO from May–December 2023 . She holds an MBA in Finance and a BA in Economics from Colorado State University . Annual cash incentives for executives, including the CFO, are tied to Adjusted EBITDA, with FY2024 payout at 88.5% of target . The Board adopted stock ownership guidelines in December 2024 requiring executive vice presidents/NEOs to hold stock equal to 2x base salary and to retain 50% of net after-tax shares until compliance; hedging and pledging of company stock are prohibited under insider trading policy .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Mattress Firm, Inc. | Vice President, FP&A | Dec 2020–Jan 2022 | Led financial planning and analysis in specialty retail |
| Mattress Firm, Inc. | Senior Vice President, Corporate Finance | Jan 2022–Dec 2022 | Oversaw corporate finance functions |
| PriceSmart, Inc. (NASDAQ: PSMT) | Vice President, Finance | May 2019–Sep 2019 | Finance leadership at Latin America warehouse club operator |
| PriceSmart, Inc. | VP, Commercial Finance & Investor Relations | Oct 2019–Dec 2020 | Led commercial finance and IR |
| Natural Grocers by Vitamin Cottage, Inc. | Finance/FP&A leadership roles | Apr 2017–May 2019 | Financial planning and analysis leadership in grocery retail |
External Roles
- No public-company board or external directorships disclosed in CURV proxy/8-K filings for Ms. Dempsey .
Fixed Compensation
| Metric | FY2024 |
|---|---|
| Salary ($) | $544,999 |
| Target Bonus (% of base) | 65% |
| All Other Compensation ($) | $13,333 (supplemental healthcare $4,704; supplemental disability $1,271; 401(k) match $7,358) |
Notes:
- CFO appointment effective Dec 4, 2023; CFO base salary rate set at $545,000 and target bonus at 65% .
Performance Compensation
| Component | Metric | Target | Actual | Payout | Vesting/Payment Timing |
|---|---|---|---|---|---|
| Annual Incentive (FY2024) | Adjusted EBITDA | 65% of base salary | Company achieved 88.5% of target bonus payout | $313,511 (non‑equity incentive plan compensation) | Paid in Q1 following fiscal year |
Additional FY2024 equity grants and design:
- Equity mix includes options and RSUs under the 2021 LTIP; special RSU award of $25,000 to Ms. Dempsey on Dec 5, 2024 that vested immediately .
- Option grant timing controls to avoid MNPI; Ms. Dempsey received 62,950 options on Apr 2, 2024 at $4.51 exercise price, aligned with disclosure timing practices .
Equity Awards Outstanding and Vesting
| Award Type | Grant Date | Status | Shares | Exercise Price | Expiration | Market Value at 1/31/2025 |
|---|---|---|---|---|---|---|
| Options | 1/3/2023 | Exercisable | 55,248 | $3.00 | 1/3/2033 | — |
| Options | 1/3/2023 | Unexercisable | 55,250 | $3.00 | 1/3/2033 | — |
| Options | 3/7/2023 | Exercisable | 16,108 | $3.23 | 3/27/2033 | — |
| Options | 3/7/2023 | Unexercisable | 48,325 | $3.23 | 3/27/2033 | — |
| Options | 1/2/2024 | Exercisable | 3,424 | $6.01 | 1/2/2034 | — |
| Options | 1/2/2024 | Unexercisable | 10,275 | $6.01 | 1/2/2034 | — |
| Options | 4/2/2024 | Unexercisable | 62,950 | $4.51 | 4/2/2034 | — |
| RSUs | 1/3/2023 | Unvested | 33,334 | — | — | $235,338 (at $7.06) |
| RSUs | 3/27/2023 | Unvested | 29,025 | — | — | $204,917 (at $7.06) |
| RSUs | 1/2/2024 | Unvested | 6,240 | — | — | $44,054 (at $7.06) |
| RSUs | 4/2/2024 | Unvested | 38,803 | — | — | $273,949 (at $7.06) |
Key vesting terms:
- Options and RSUs vest in substantially equal installments over four anniversaries of the vesting commencement date, subject to continued employment .
- Special RSU award on Dec 5, 2024 vested immediately .
- Unvested awards generally forfeit upon termination; Compensation Committee may accelerate vesting at its discretion .
Equity Ownership & Alignment
| As of April 15, 2025 | Shares |
|---|---|
| Common Stock Beneficially Owned | 52,084 |
| Awards Exercisable/Vesting within 60 days | 106,625 |
| Total Beneficial Ownership | 158,709 (less than 1%) |
Alignment policies and restrictions:
- Stock ownership guidelines: Executive vice presidents/NEOs must hold stock equal to 2x base salary; until met, retain a minimum of 50% of net after‑tax shares from equity awards .
- Hedging and pledging prohibited; no margin accounts or pledging of Company securities permitted for directors, officers, or employees .
Employment Terms
| Term | Provision |
|---|---|
| Status | CFO since Dec 4, 2023; joined CURV Jan 2023 |
| Base Salary | $545,000 (CFO rate) |
| Target Annual Bonus | 65% of base salary |
| Severance (Offer Letter) | If terminated without “cause”: salary continuation for 6 months plus COBRA premiums for up to 6 months, subject to release |
| Executive Severance Plan (effective Mar 29, 2025) | Participant under plan; Qualifying Termination outside CIC: 12 months salary pay continuation, Company‑paid COBRA for 12 months, up to $20,000 outplacement over 9 months |
| Executive Severance Plan (during CIC Period) | Upon Qualifying Termination: lump‑sum 12 months salary payable following the change in control, prorated annual bonus based on actual performance, Company‑paid COBRA, outplacement benefits |
| Equity Acceleration on CIC | No automatic acceleration for Ms. Dempsey; Compensation Committee retains discretion; only CEO’s PSU has time‑vesting upon CIC per award terms |
Compensation Structure Notes
- FY2024 compensation mix: Salary $544,999; stock awards $200,000; options awards $175,000; annual incentive $313,511; other $13,333; total $1,246,843 .
- Compensation consultant: Exequity, LLP engaged by the Compensation Committee; assessed independent with no conflicts .
- No excise tax gross‑ups; Section 280G and 4999 considered but no gross‑ups provided .
- Option grant timing processes designed to avoid MNPI; grants reviewed and delayed if necessary .
Investment Implications
- Pay-for-performance alignment: Annual bonus wholly based on Adjusted EBITDA; FY2024 payout at 88.5% of target, translating to $313,511 for the CFO, indicating tight linkage to operational profitability .
- Retention and selling pressure: Significant awards vest over four years, with 106,625 shares/options exercisable or vesting within 60 days as of April 15, 2025, which can create scheduled trading activity; forfeiture upon termination and committee discretion on acceleration mitigate windfalls .
- Ownership alignment: Less than 1% beneficial ownership and a 2x salary ownership guideline with mandatory 50% net share retention suggest continued equity accumulation over time; hedging/pledging prohibitions strengthen alignment and reduce leverage‑related risk .
- Change‑of‑control economics: The March 2025 Executive Severance Plan enhances severance terms relative to the original offer letter (e.g., 12 months salary vs 6 months), including prorated bonus and COBRA, but does not automatically accelerate equity for Ms. Dempsey—limiting potential transaction windfalls and focusing incentives on continued service/performance .