Susan Sgroi
About Susan Sgroi
Executive Vice President, Human Resources & Information Technology at Eversource Energy (ES) since January 8, 2024; prior CHRO at Blue Cross Blue Shield of Massachusetts (2015–Oct 2023), EVP HR at Fidelity Investments Asset Management (2006–2015), and EVP HR at Citizens Bank Financial Group . Education: MA in Organizational Development (American University) and BA in Psychology (Bowdoin College) . Age 59 at appointment (Dec 2023) ; tenure at ES began Jan 2024 . Company 2024 performance tied to her incentive framework: non-GAAP EPS rose 5.3% YoY to $4.57 (vs. $4.52 goal), but payout on EPS goal was reduced to 75% due to GAAP losses and stock performance; overall annual incentive scorecard approved at 125% (financial 76% weighted, operational 49% weighted) . Company TSR on a $100 basis was $80 in 2024 vs $127 for the EEI peer index, highlighting underperformance during her first year .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Blue Cross Blue Shield of Massachusetts | EVP & Chief Human Resources Officer | 2015–Oct 2023 | Led business transformation, organizational effectiveness, DEI, compensation/benefits, technology, and succession across multiple businesses . |
| Fidelity Investments (Asset Management) | EVP, Human Resources | 2006–2015 | Drove HR strategy in a global asset manager; supported M&A and talent/succession processes . |
| Citizens Bank Financial Group | EVP, Human Resources | ~2000–2006 | Led enterprise HR; supported large-scale organizational change across geographies . |
External Roles
| Organization | Role | Years |
|---|---|---|
| Everett Bank | Director | Current (as of Dec 2023) |
| St. Francis House (Boston) | Director | Current (as of Dec 2023) |
Fixed Compensation
| Component | FY 2024 |
|---|---|
| Base Salary | $533,654 |
| Target Annual Incentive (AIP) | $389,000 (plan target set Jan 31, 2024) |
Performance Compensation
| Metric | Weighting | Target/Goal | Actual | Payout % | Vesting/Settlement |
|---|---|---|---|---|---|
| Non-GAAP EPS | 60% (Financial) | $4.52 | $4.57 (+5.3% YoY) | 75% (Committee discretion due to GAAP losses/stock performance) | |
| Dividend Growth | 10% (Financial) | > industry median | 5.9% increase to $2.86 (EEI median 5.3%) | 160% | |
| Strategic Initiatives & Regulatory Outcomes | 30% (Financial) | Seven initiatives (divestitures, storm cost recovery, regulatory approvals, funding, policy leadership) | Achieved | 160% | |
| Reliability (MBI) | 25% (Operational) | 17.7–19.7 months | 21.2 months (top decile) | 190% | |
| Restoration (SAIDI) | 25% (Operational) | 62–74 minutes | 63.5 minutes (top decile) | 185% | |
| Safety (DART) + Combined Operational Goals | 50% (Operational) | DART 0.85–1.30; combined category includes gas emergency response, diverse leadership, sustainability, customer & clean energy initiatives | DART 0.76 (better than target); broader initiatives achieved | 170% (DART); combined operational category included in overall 49% weighted operational result | |
| Overall Annual Incentive Scorecard | — | — | Financial 76% (weighted); Operational 49% (weighted) | 125% overall scorecard | Paid in cash; individual AIP for Sgroi approved at $486,000 |
Long-Term Incentives (granted Jan 31, 2024; vest over time):
- RSUs: Grant date fair value $1,559,857; vest in equal annual installments over 3 years; dividend equivalents accrue and distribute upon vesting .
- Performance Shares (2024–2026 program): Target 23,385 shares at grant; payout 0–200% based on 3-year EPS growth (absolute) and relative TSR vs EEI index; dividend equivalents accrue and are at risk until vesting (Dec 31, 2026) .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Total Beneficial Ownership | 12,350 shares (includes RSUs/deferred units) as of Feb 24, 2025 |
| RSUs/Deferred Units Included | 9,958 (no voting/investment power until vesting/distribution) |
| Unvested RSUs (12/31/24) | 8,174 units; market value $469,409 (at $57.43) |
| RSU Vesting Schedule | 2,724 vested Feb 15, 2025; 2,724 vest Feb 15, 2026; 2,725 vest Feb 15, 2027 |
| Performance Shares Outstanding (Target) | 24,521 units; market/payout value at target $1,408,226 (at $57.43); vests based on 2024–2026 results |
| Options | None outstanding; company has not granted options since 2002 |
| Hedging/Pledging | Prohibited for executives; no short sales, margin accounts, pledging; broad no-hedging/no-pledging policy |
| Ownership Guidelines | EVPs must hold shares equal to 3× base salary; must hold 100% of net shares from awards until guideline met; 5-year compliance window |
Employment Terms
| Provision | Summary |
|---|---|
| Appointment & Start Date | Appointed EVP HR & IT effective Jan 8, 2024; annual base salary $555,000 at hire; cash sign-on bonus $357,500 (paid Feb 2024) . |
| Severance Program (Dec 4, 2023) | For eligible senior executives: Following Change in Control (within two years) – cash 2.0× (base + target AIP), prorated target AIP, acceleration of all PS at target and all unvested RSUs, continued healthcare 2.0× annual amount, outplacement; Involuntary Not-for-Cause – cash 1.0× base, continued healthcare 1.0× annual amount, outplacement; subject to release; no excise tax gross-ups under program . |
| Potential Payments (as of 12/31/24) | Involuntary Not for Cause: Cash severance $944,000; Health & Welfare $1,634; Total $945,634. Following Change in Control: Cash severance $1,888,000; Target AIP $389,000; Performance Shares $1,408,226; RSUs $469,409; Health & Welfare $3,268; Total $4,157,903 . |
| Clawback | Executive Clawback Policy adopted Oct 2023 (SEC-compliant for restatements); Incentive Plan also allows clawback for willful material violations of Code of Business Conduct or material covenant breaches . |
| Retirement/Pension | Does not participate in retirement plans (no pension accrual) . |
| Insider Trading Policy | Company policy filed with 2024 Form 10-K; limited trading windows for executives . |
Investment Implications
- Pay-for-performance alignment: Annual incentive tied to financial and operational scorecard with explicit caps and balanced measures; Committee reduced EPS payout to 75% despite non-GAAP beat, reflecting shareholder alignment amidst GAAP losses and stock underperformance . Long-term incentives are 100% equity, 75% performance-based, using EPS growth and relative TSR, directly linking realizable value to multi-year performance and share price .
- Near-term vesting/selling pressure: Scheduled RSU vesting of 2,724 shares in Feb 2026 and 2,725 in Feb 2027 may create periodic Form 4 activity (net share withholding for taxes common), but hedging/pledging prohibitions and ownership guidelines mitigate misalignment risk .
- Retention economics: Change-in-control protection includes double-trigger and full acceleration; quantified CIC package of ~$4.16M anchors retention but introduces takeover-related dilution risk; new severance program excludes excise tax gross-ups, reducing shareholder-unfriendly optics .
- Ownership alignment: Beneficial ownership of 12,350 shares (incl. RSUs/deferred) plus stringent 3× salary guideline and no-pledging policy signal alignment; however, 2024 company TSR lag vs peers (80 vs 127 on $100 basis) makes PSU outcomes more sensitive to improving EPS/TSR trajectory through 2026 .