Tana Cashion
DEVON ENERGY CORP/DEAbout Tana Cashion
Tana K. Cashion (age 53) is Executive Vice President, Human Resources and Administration at Devon Energy (DVN). She oversees enterprise HR and multiple corporate functions including physical security, facilities and real estate, aviation, community relations, internal communications, and corporate services . She joined Devon in 2005 and was appointed EVP in February 2022 after serving as SVP of Human Resources & Administration and earlier as VP of Human Resources . Cashion holds a B.A. in Political Science from Pepperdine University and an M.B.A. from the University of Oklahoma . Company performance context for incentive alignment in 2024: $2.9B net earnings, $6.6B operating cash flow, $3.0B free cash flow, record 737 Mboe/d production, with 1-, 3-, and 5-year TSR of -25.3%, -12.8%, and +63.4%, respectively .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Devon Energy | EVP, Human Resources & Administration | Feb 2022–Present | Leads HR plus security, facilities/real estate, aviation, community relations, internal communications, and corporate services, central to talent, safety and corporate services continuity . |
| Devon Energy | SVP, Human Resources & Administration | Prior to 2022 | Senior leadership over HR and corporate administration, foundational to organizational capacity and culture . |
| Devon Energy | VP, Human Resources | Prior to SVP role | HR leadership supporting workforce development and alignment across the enterprise . |
| Retail/Wholesale/Tourism Industries | Various roles | Prior to 2005 | Cross-industry experience preceding Devon tenure; provides breadth to HR leadership approach . |
External Roles
- Not disclosed in company filings reviewed .
Fixed Compensation
- Individual base salary and 2024–2025 cash compensation for Cashion are not disclosed (she was not a 2024 Named Executive Officer) .
- Program design: For NEOs, base salary is a smaller component versus incentives; 2024 salary decisions and philosophy emphasize market competitiveness and role scope .
Performance Compensation
Company-wide incentive architecture applies to executives, including HR/administration leaders:
- Annual bonus scorecard measures (with weights) used for 2024 payouts: Free Cash Flow (25%), CROCE (25%), Total Capital Expenditures (10%), Total Production (10%), Health & Safety (15%), Environmental Performance (15%) .
- 2024 outcome: Company Performance Score of 158% based on the metric results below .
| Metric | Threshold | Target | Maximum | Outcome | Weight | Score | Weighted Score |
|---|---|---|---|---|---|---|---|
| Free Cash Flow ($MM) | $1,485 | $2,235 | $3,235 | $2,943 | 25% | 171% | 42.75% . |
| CROCE (%) | 21% | 31% | 41% | 36% | 25% | 147% | 36.75% . |
| Total Capital Expenditures ($MM) | $3,780 | $3,600 | $3,240 | $3,631 | 10% | 91% | 9.10% . |
| Total Production (Mboe/d) | 656 | 691 | 760 | 737 | 10% | 167% | 16.70% . |
| Health & Safety (composite) | See footnote | See footnote | See footnote | 15% | 190% | 28.50% . | |
| Environmental Performance (composite) | See footnote | See footnote | See footnote | 15% | 165% | 24.75% . | |
| Company Performance Score | 158% . |
Long-term incentives:
- Restricted Stock Awards (RSAs): Vest 25% annually over four years to foster ownership and retention .
- Performance Share Units (PSUs): 60% of LTI; payout 0–200% based on 3-year relative TSR vs a defined peer set; payouts >100% require positive absolute TSR (cap at 100% if TSR is negative) .
- Realized alignment: PSUs granted in 2022 paid at 75% of target (8th of 12 peer rank) for period ending 12/31/2024, with lower-than-target value realization, demonstrating performance linkage .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Total beneficial ownership | 125,040 DVN shares as of March 31, 2025 (beneficially owned) . |
| Ownership as % of shares outstanding | Less than 1% of class per proxy ownership table . |
| Hedging/pledging | Company policy prohibits pledging or hedging DVN stock by directors and executive officers; prohibits short sales and options; discourages standing/limit orders . |
| Ownership guidelines | Executives must maintain minimum ownership; CEO 6× salary; other executive officers/NEOs 3× salary; hold at least half of net after-tax shares until compliant . |
| Guideline compliance disclosure | As of Dec 31, 2024, NEOs held stock in excess of required levels; individual compliance for Cashion not separately disclosed . |
| Vested/unvested breakdown | Not individually disclosed for Cashion (outstanding award detail tables are provided for NEOs only) . |
Implications for selling pressure and vesting cadence: RSAs vest annually (25% per year), and PSUs settle after three years, creating predictable vesting events that can be planned under the company’s prohibition on pledging/hedging and insider trading policy preclearance .
Employment Terms
- Employment/severance frameworks in force (as disclosed):
- NEO EVPs: If terminated without cause/for good reason, lump-sum 3× (greater of current or recent base salary) plus largest prior 3-year bonus; pro rata current-year bonus; 18 months COBRA-equivalent; 3 years life insurance continuation; outplacement; double-trigger enhancements post change-in-control (adds 3 years to age/service for retiree medical eligibility); no excise tax gross-ups .
- Senior Vice Presidents: Example disclosed SVP terms include 2× base salary + target bonus multiple, pro rata bonus, and outplacement (e.g., Hellman and Raines appointments) .
- Cashion-specific agreement terms are not individually disclosed in filings reviewed; as an EVP, she is part of the executive leadership team subject to the company’s executive compensation and governance framework summarized above .
Clawback policy: Company must recoup erroneously awarded incentive compensation following a restatement per SEC/NYSE rules (policy updated in 2023) .
Investment Implications
- Pay-for-performance alignment: 2024 bonus scorecard heavily weighted to FCF and CROCE, with strong outperformance (score 158%) and explicit ESG/safety metrics, indicating robust linkage of cash incentives to value-creation and operations/safety outcomes . PSU under-target realization for the 2022 cycle (75%) underscores downside sensitivity to TSR, which supports shareholder alignment for long-term awards .
- Ownership and alignment: Cashion’s 125,040-share stake plus prohibitions on pledging/hedging and executive ownership guidelines reduce misalignment risks and speculative behavior; NEOs disclosed as exceeding ownership requirements; policy architecture likely constrains risk-taking and promotes retention .
- Retention risk: Executive severance/change-in-control protections (no gross-ups; double-trigger; standardized multiples) are market-standard in E&P and mitigate flight risk amid leadership transitions (CEO succession) and portfolio changes (Williston acquisition) .
- Governance and shareholder sentiment: 2025 say-on-pay was approved (Votes For 284.45M; Against 155.05M; Abstain 1.55M; broker non-votes 93.79M), following ~94% support in the prior year’s disclosure, suggesting continued but more scrutinized investor support for executive pay programs as capital allocation and TSR remain in focus .
- Company performance context: Strong 2024 operational/financial delivery (record production, $6.6B CFO, $3.0B FCF) with continued capital returns (dividends, buybacks), but mixed short-term TSR—this combination typically supports stable or improved incentive realizations for metrics other than TSR, while keeping PSU outcomes balanced, which aligns incentives for HR-driven productivity, safety and culture initiatives under Cashion’s remit .
Additional Program Details Relevant to Cashion
- Perquisites available to executives include limited personal aircraft use (pre-approved), executive physicals, limited entertainment tickets, financial planning, and charitable match up to $10,000; taxable value applied per IRS rules .
- Deferred compensation options and supplemental restoration plans allow deferrals beyond 401(k) limits with investment choices mirroring 401(k) options; distribution/vesting rules stipulated; plan mechanics and options disclosed for executives (illustrated for NEOs) .
Say-on-Pay & Shareholder Feedback
- 2024 program received strong support (~94% “for” in prior-year disclosure), with the company continuing investor engagement and retaining metrics substantially similar into 2025 (FCF, CROCE, capex, production, H&S, environmental performance) .
- 2025 vote approved (Votes For 284,449,935; Against 155,053,865; Abstain 1,552,945; broker non-votes 93,794,011), reinforcing continuity while signaling heightened scrutiny on outcomes and capital returns .
Expertise & Qualifications
- Education: B.A. Political Science (Pepperdine); M.B.A. (University of Oklahoma) .
- Functional expertise: Human resources leadership and broad administrative oversight including security and critical corporate services, supporting operational reliability and workforce performance .
- Industry tenure: With Devon since 2005; promoted to EVP in 2022; prior cross-industry experience (retail/wholesale/tourism) .
Compensation Peer Group (Benchmarking)
- Compensation peer sets for 2024–2025 include large-cap E&Ps (e.g., APA, COP, CTRA, FANG, EOG, MRO, OXY, OVV; 2025 includes PR; removes PXD post acquisition), used for benchmarking total direct compensation levels and PSU relative TSR comparisons .
- PSU comparator set (2024 award) also includes S&P 500 and XOP ETF to broaden context; payout grid 0–200% with negative TSR cap .
Equity & Ownership Policies
- Insider Trading Policy: Blackouts, preclearance, and bans on short-term/speculative transactions; strict anti-pledging/hedging for executive officers .
- Stock ownership guidelines: CEO 6× salary; other executive officers/NEOs 3× salary; half-net-shares hold-until-compliant; year-end compliance check .
Employment & Contracts
- Executive severance/co‑c terms for NEO EVPs (3× multiple; double-trigger; no gross-ups) and published SVP templates (2× multiple) provide market-based retention protection; Cashion’s specific agreement is not disclosed in the filings reviewed .
Risk Indicators & Red Flags
- Related person transactions: None identified for 2025 after Audit Committee review .
- Clawback: Policy aligned to SEC/NYSE rules; recoupment upon restatement .
- Hedging/pledging: Prohibited for executive officers .
- Options repricing: Not practiced .
- Legal/regulatory: Routine NOV disclosures exist at company level; no executive-specific legal issues disclosed for Cashion .
Investment Implications
- Alignment: Cashion’s role is structurally tied to operational excellence (safety, workforce, corporate services) captured in the annual scorecard (H&S, environmental metrics), while long-term equity is TSR-sensitive—combination supports investor alignment on cost, productivity, safety and returns .
- Retention risk: Mitigated by ownership, severance framework, and established succession structures; lack of disclosed individual severance terms suggests reliance on company-standard EVP frameworks and policies .
- Monitoring items: PSU trend (2023 awards trending 63% as of 12/31/24; 2024 awards trending 50% as of 12/31/24), evolving say‑on‑pay support levels, and continued delivery on FCF/CROCE targets amid commodity volatility .
Notes: All information above is sourced from Devon Energy’s 2025 and 2024 DEF 14A proxy statements, 2025 Form 10-K, and 8-K filings as cited.