Peter Allen
GENCO SHIPPING & TRADINGAbout Peter Allen
Peter Allen is Chief Financial Officer of Genco Shipping & Trading Limited; he was appointed effective June 16, 2023, is 38 years old, has been employed by Genco since August 2008, holds a B.S. from Fairfield University, and is a CFA charterholder . In 2024, the company delivered Net Income of $76.5 million and Adjusted EBITDA of $151.2 million, a 49% year-over-year increase, alongside dividends declared of $1.46 per share, reflecting execution on deleveraging and fleet renewal within the firm’s value strategy . Allen’s incentive framework links pay to Free Cash Flow and strategic initiatives (annual cash plan), and to multi-year metrics of relative TSR and ROIC (PRSUs), aligning with pay-for-performance and shareholder returns .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Genco Shipping & Trading Limited | Senior Vice President, Strategy & Finance | Aug 2008 – Jun 2023 | Led capital allocation, M&A, market analysis, debt/equity capital markets, and SEC reporting to support value strategy |
External Roles
- Not disclosed in the latest proxy statement for Peter Allen .
Fixed Compensation
| Metric | 2023 | 2024 |
|---|---|---|
| Salary ($) | $307,712 | $360,000 |
| Target Bonus (%) | — | 85% of salary ($306,000 target) |
| Actual Cash Bonus ($) | $308,000 | $463,000 |
| Stock Awards ($) | $473,021 | $711,992 |
| All Other Compensation ($) | $29,700 (401(k) match) | $31,050 (401(k) match) |
| Total ($) | $1,118,433 | $1,566,042 |
2025 decisions: Base salary increased to $380,000; target cash bonus remains 85% of salary; equity awards aggregate $900,000 split equally between RSUs and PRSUs, granted on same terms as 2024 awards .
Performance Compensation
Annual Incentive Plan (2024)
| Metric | Weighting | Threshold / Target / Max | Actual | Payout (Allen) | Vesting |
|---|---|---|---|---|---|
| Free Cash Flow | 60% | $0 / $55m / $100m | ~$86m (169% achievement) | Part of $463,000 cash bonus | Cash |
| Strategic Initiatives (Team) | 20% | Discretionary objectives | 125% achievement | Part of $463,000 cash bonus | Cash |
| Strategic Initiatives (Individual) | 20% | Discretionary objectives | 125% achievement | Part of $463,000 cash bonus | Cash |
Key performance measures linking pay to results: Adjusted EBITDA, TCE vs benchmark, relative TSR, ROIC, Free Cash Flow, costs vs budget, and strategic goals .
PRSU Metrics (2024 grant; performance period Jan 1, 2024 – Dec 31, 2026)
| Metric | Weighting | Threshold | Target | Stretch | Measurement Period |
|---|---|---|---|---|---|
| Relative TSR vs drybulk peers | 50% | 25th percentile | 55th percentile | 85th percentile | 1/1/2024–12/31/2026; 20-day avg prices + reinvested dividends |
| ROIC (adjusted) | 50% | 3.0% | 6.0–6.5% | 11.0% | 1/1/2024–12/31/2026 |
Equity Grants to Peter Allen
| Grant Detail | Apr 14, 2023 | Jun 16, 2023 | Feb 21, 2024 |
|---|---|---|---|
| RSUs (shares) | 9,969 | 3,917 | 17,887 |
| RSUs fair value ($) | $162,495 | $56,248 | $325,007 |
| PRSUs (target shares) | 9,969 | 3,917 | 17,887 |
| PRSUs fair value ($) | $190,508 | $63,769 | $386,985 |
| RSU vesting cadence | One-third on each of the first three anniversaries of Feb 23, 2023 (Apr/Jun 2023 grants) | Same | One-third on each of the first three anniversaries of Feb 23, 2024 |
| PRSU vesting basis | 1/1/2023–12/31/2025 metrics (Apr/Jun 2023 grants) | Same | 1/1/2024–12/31/2026 metrics |
Equity Ownership & Alignment
- Beneficial ownership: 47,429 shares; includes 2,178 shares underlying exercisable options granted 2/23/2021; percent of outstanding indicated as less than 1% (“*”) .
- Outstanding equity at FY 2024 (snapshot):
- Unvested PRSUs (target): 17,887 (2024 PRSUs) and 13,886 (2023 PRSUs) .
- Unvested RSUs: 17,887 (2024 RSUs), 9,258 (2023 RSUs), 20,579 (12/23/2022 RSUs), and 2,982 (2/23/2022 RSUs); total unvested units 82,479; aggregate market/payout value $1,319,238 using $13.94 closing price on 12/31/2024 plus accrued dividend equivalents .
- Options: 2,178 exercisable, strike $9.91, expiration 2/23/2027 .
- Ownership policies:
- Anti-hedging and anti-pledging policy for directors/executives (no hedging and no pledging except a grandfathered pledge disclosed for CEO; no pledge disclosed for Allen) .
- Stock ownership guidelines: executives must hold shares valued at 2× base salary (4× for CEO; 4× cash retainer for directors); five years to comply; time-vested RSUs count, PRSUs and options do not .
Employment Terms
- Clawback: Mandatory recovery of erroneously awarded incentive-based compensation for current/former executive officers on accounting restatements (three-year lookback; misconduct not required), administered by the Compensation Committee, adopted November 7, 2023 .
- Equity acceleration (Allen):
- RSUs: Full vesting if terminated without cause within 12 months after change of control; if terminated without cause otherwise, full vesting for 2024+ grants and next yearly tranche of prior RSUs; pro rata vesting on death/disability .
- PRSUs: Full vesting at target if terminated without cause within 12 months after change of control; pro rata vesting based on service for death/disability and (under 2023 PRSU agreement) termination without cause; full target vesting for post‑2023 agreements on termination without cause .
- Quantified accelerated vesting values (assuming trigger on 12/31/2024 at $13.94/share): RSUs—$706,841 (change of control), $177,804 (termination without cause), $148,170 (death/disability); PRSUs—$442,916 (change of control), $378,392 (termination without cause), $212,162 (death/disability) .
- Options: All unexercised options awarded to Allen are currently vested and exercisable .
Compensation Structure Notes and Governance
- Compensation mix: Base salary, annual cash bonus (AIP), and long-term equity (RSUs, PRSUs); perquisites minimal; no tax gross-ups; dividend equivalents paid only upon settlement of vested RSUs/PRSUs .
- Comparator peer group and benchmarking: 13 companies across shipping/energy services; Compensation Committee uses peer data as reference and does not target a specific percentile .
- Say-on-pay: 87.8% approval at the May 23, 2024 meeting; Committee maintained program design .
Vesting Schedules and Insider Selling Pressure
- Recurring vest dates likely around February 23 each year for RSUs (2022, 2023, 2024 awards) in ratable annual tranches, which can create predictable windows for settlement and potential sales for tax/liquidity needs .
- 2024 stock vested for Allen: 14,660 shares, value realized $316,714 upon vesting (before taxes/commissions), indicating prior tranches settling during the year .
Investment Implications
- Strong alignment: Allen’s incentives are tied to FCF, strategic execution, and multi-year ROIC/relative TSR, with 2024 FCF and strategic goals above target supporting a sizable cash bonus; multi-year PRSUs keep focus on long-term value creation .
- Retention: Significant unvested RSUs/PRSUs (82,479 units; $1.32 million indicative value at 12/31/2024) and double-trigger change-of-control protections are retention levers; equity acceleration terms balance retention with transaction flexibility .
- Selling pressure timing: Annual RSU vest tranches around late-February create predictable settlement events; monitor trading windows and potential tax-related selling near these dates .
- Governance quality: No hedging/pledging permitted (with a grandfathered exception for the CEO), robust clawback policy, and stock ownership guidelines (2× salary for executives) support shareholder-friendly alignment and risk controls .