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Mindy Garrison

Chief People Officer and Corporate Secretary at Charlotte's Web Holdings
Executive

About Mindy Garrison

Mindy Garrison is Chief People Officer at Charlotte’s Web Holdings and, since August 1, 2025, also serves as Corporate Secretary; she has held the CPO role since November 2021 . As a member of the company’s executive operations committee (the CODM), the Chief People Officer is included among the decision-makers the company identifies for resource allocation and performance assessment, indicating direct involvement in strategy and execution . Company performance context during her tenure: FY 2023 revenue was $63.2 million with a pre‑tax loss of $(23.3) million; FY 2024 revenue was $49.7 million with a pre‑tax loss of $(29.8) million .

Past Roles

OrganizationRoleYearsStrategic impact
Charlotte’s Web Holdings, Inc.Chief People OfficerNov 2021 – presentMember of the CODM responsible for resource allocation/performance oversight ; supports administration of the Code of Ethics alongside General Counsel .
Charlotte’s Web Holdings, Inc.Corporate Secretary (added responsibility)Aug 1, 2025 – presentCorporate governance and disclosure role; appointed with no compensation or equity award changes; signs 8‑K filings .

Fixed Compensation

  • Not disclosed for Ms. Garrison in the latest proxy and 8‑K filings; she was not a 2024 named executive officer, and the company stated there were no compensation or equity changes upon her appointment as Corporate Secretary on Aug 1, 2025 .

Performance Compensation

FeatureDetail
Annual bonusCompany uses performance-based cash bonuses for certain executives; payouts occurred in 2024 (company did not disclose Ms. Garrison’s specific bonus terms) .
RSUs (LTIP)Time‑based RSUs generally vest evenly over three years from grant; fair value set at grant date market price .
Stock options (LTIP)Options typically vest over up to four years; exercise price not below prior trading day or grant‑day close; no options granted in 9M’25 .
Change‑of‑controlUnless assumed/substituted, outstanding awards terminate at effective time; certain awards become fully vested and exercisable immediately before the effective time .
ClawbackIncentive compensation may be recouped for willful misconduct or fraud causing a material restatement when compensation would have been lower; after‑tax basis recovery .
Hedging/pledgingHedging transactions (short sales, puts, calls) are prohibited under the Insider Trading and Reporting Policy; trading permitted only in prescribed windows .
Ownership guidelinesStock ownership policy: CEO 3x base salary; CFO 2x; other designated officers 1x base salary; five years to comply (designation status per officer not specified in proxy) .

Equity Ownership & Alignment

MetricValue/Policy
Beneficial ownership (directors and executive officers as a group)3,011,278 shares; 1.9% of class as of Apr 15, 2025 .
Equity overhang (as of Apr 15, 2025)Legacy options outstanding equivalent to 985,011 shares; LTIP options 2,304,677; LTIP RSUs 5,839,649; total reserved across plans 15,776,223 (9.95% of outstanding); remaining LTIP capacity 6,646,885 (4.19%) .
Burn rateLTIP burn rate: 5.02% (2022), 7.41% (2023), 1.94% (2024) .
HedgingProhibited for insiders (policy) .
Ownership guidelinesCEO 3x base salary; CFO 2x; other designated officers 1x (five‑year compliance window) .

Vesting and potential supply dynamics:

  • RSUs outstanding were 4,663,762 as of Sep 30, 2025; 1,126,913 shares vested YTD with 374,491 shares withheld upon vesting, indicating ongoing vesting-driven share issuance and withholding activity that can create periodic supply/demand effects .
  • Options outstanding decreased to 3,189,744 as of Sep 30, 2025, with 2,982,939 exercisable; no options granted or exercised in 9M’25 .

Employment Terms

TermDetail
Start date at Charlotte’s WebChief People Officer since November 2021 .
Current rolesChief People Officer; Corporate Secretary (effective Aug 1, 2025) .
Code of Ethics administrationChief People Officer co‑administers Code of Ethics with General Counsel; reports to Audit Committee .
Compensation change on role expansionNone upon appointment as Corporate Secretary .
Change‑of‑control treatment (plan‑level)Awards terminate at effective time unless assumed; certain awards that terminate accelerate immediately before closing .

Performance & Track Record

Company performance during Ms. Garrison’s tenure (context for pay-for-performance and execution risk):

Metric (USD $000s)FY 2023FY 2024
Revenues63,155 49,667
Pre‑tax net income/(loss)(23,267) (29,807)

Additional operating context in 2025:

  • Q3 2025 press release highlighted SG&A down 23.6% YoY and targeted ~$9 million annualized cost savings in 2026, alongside manufacturing internalization and medical channel initiatives .

Compensation Committee & Governance Notes

  • The Compensation Committee consists of independent directors; chair: Matthew E. McCarthy; members include Angela McElwee and Maureen Usifer .
  • The committee used Pearl Meyer & Partners LLC in 2024 for certain executive/director compensation matters .
  • As an Emerging Growth Company, Charlotte’s Web is not required to conduct “say‑on‑pay” advisory votes until it ceases to be an EGC (no say‑on‑pay data disclosed) .

Related Party Transactions (environmental governance considerations)

  • Outstanding secured promissory note to founder Jesse Stanley; maturity extended to Nov 13, 2029; full reserve recorded due to collectability risk .
  • DeFloria JV with AJNA and BAT; AJNA partially owned by a Company founder; governance oversight via related‑party disclosures .

Risk Indicators & Red Flags

  • Clawback policy is in place and covers incentive compensation tied to restated financials resulting from willful misconduct/fraud .
  • LTIP prohibits option repricing without shareholder approval among other amendments requiring shareholder vote .
  • Insider policy prohibits hedging and restricts trading windows, reducing alignment risks from derivative use .
  • 2024 acceleration of 2,927,313 RSUs may have contributed to concentrated vesting events (supply overhang), though not tied specifically to Ms. Garrison .

Investment Implications

  • Alignment/retention: Ms. Garrison’s elevation to Corporate Secretary without incremental compensation suggests cost discipline and expanded governance responsibilities; retention risk appears moderate given policy-driven equity alignment (ownership guidelines, hedging ban, clawback), though her individual pay/ownership were not disclosed .
  • Overhang and vesting: With ~10% equity overhang as of April 15, 2025 and ~4.66 million RSUs outstanding by Sep 30, 2025, continued vesting could create periodic selling pressure; however, option activity was muted in 2025 (no grants/exercises YTD) .
  • Execution risk: Company revenues declined from 2023 to 2024, and pre‑tax losses widened, increasing pressure on the CODM (including the CPO) to deliver cost efficiencies and growth; management cites cost reductions and manufacturing internalization as 2026 catalysts .
  • Governance: Prohibitions on hedging, ownership guidelines, clawback policy, and independent comp committee oversight support investor alignment; EGC status limits say‑on‑pay visibility in the near term .