Doug Hill
KBRAbout Doug Hill
Doug Hill serves as President, Readiness & Sustainment (R&S) at KBR, overseeing global defense and commercial supply-chain programs within the Mission Technology Solutions segment; he stepped into this role in May 2025 after joining KBR in 2017, and holds a B.S. in Business Management from Towson University . KBR’s performance context for his incentive alignment includes 2024 revenue growth of 11%, adjusted EBITDA growth of 16%, backlog and options of $21.2B, and a 3‑year TSR ranking of 4th among peers (2022–2024) . His scope explicitly includes oversight of the HomeSafe Alliance joint venture in R&S, a focal area for execution risk and operational KPIs .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| KBR | President, Readiness & Sustainment | 2025–present | Leads global supply-chain solutions; oversees HomeSafe JV; executive leadership of MTS reporting directly to CEO |
| KBR | Senior executive roles within R&S | 2017–2025 | Multiple operational leadership positions building R&S capability and programs |
| Honeywell Aerospace & Defense | Operational PM, finance & BD roles | Prior to 2017 | Government services support, program leadership across A&D |
| Honeywell (Middle East) | Business analyst (supporting Desert Storm ops & FMS) | Early career | Field analytics and FMS execution experience in theater operations |
External Roles
None disclosed in company biography or investor materials for public boards or committee roles .
Fixed Compensation
- KBR does not use individual employment agreements for senior executives; base salaries are market‑benchmarked and adjusted for performance and internal equity at the Compensation Committee’s discretion .
- Stock ownership guidelines require Level 1 executives (direct reports to CEO) to hold KBR stock equal to 3× base salary within five years; counting vested/unvested RSUs toward compliance .
- Prohibitions: no hedging and no pledging of KBR stock for officers/directors .
Performance Compensation
| Incentive | Metric | Weighting/Design | Target | Actual/Payout | Vesting |
|---|---|---|---|---|---|
| Short‑Term Incentive (STI) | Adjusted EPS (diluted) | Financial metric in STI plan | Company target set annually | 2024 achieved $3.34; contributed to financial metrics payout; Committee certified results Feb 2025 | Annual cash payout per plan |
| Short‑Term Incentive (STI) | Adjusted Operating Cash Flow (OCF) | Financial metric in STI plan | Company budgeted OCF | 2024 achieved $462MM; contributed to financial metrics payout; Committee certified results Feb 2025 | Annual cash payout per plan |
| Short‑Term Incentive (STI) | Zero Harm / Sustainability | 10% of STI weighting | Qualitative ME/SE/EE scale | Company links STI to safety and sustainability pillars annually | Annual cash payout |
| Short‑Term Incentive (STI) | Individual KPIs | Executive‑specific | Set annually | Company discloses KPI determinations for NEOs; structure applies enterprise‑wide | Annual cash payout |
| Long‑Term Incentive (LTI) | Relative TSR vs peer group | 50% of LTI; sustained quarterly TSR ranking; capped at target if average TSR is negative for Section 16 officers | Target = 50th percentile; Max = 90th percentile | TSR percentile → payout per schedule (up to 200%); sustained measurement over 12 quarters | Stock‑settled units earned after 3‑year performance period |
| Long‑Term Incentive (LTI) | Book‑to‑Bill (B2B) | 50% of LTI; measured annually; final payout = average of annual B2B payouts | Threshold 0.90; Target 1.05 (2024 schedule); Max ≥1.20 | Linear payout 25%–200%; aligns awards won vs revenue recognized | Cash‑settled units earned after 3‑year performance period |
| Time‑based RSUs | Service | 33⅓% of target LTI | N/A | N/A | Vest in three equal annual installments from grant date; Committee may apply up to 20% negative discretion in first year (not exercised for 2024 grants) |
Note: STI/LTI design above is KBR enterprise framework; specific KPI outcomes and STI percentages for Hill were not disclosed. KBR certified 2024 STI and LTI results company‑wide in Feb 2025 .
Equity Ownership & Alignment
- Stock Ownership Guidelines: 3× base salary for Level 1 executives; five years to comply; counts RSUs; reduced by 50% after age 60 for most executives except CEO/COO/CFO/GC .
- Anti‑hedging/Anti‑pledging: Strict prohibitions for officers/directors .
- Clawbacks: Dodd‑Frank Section 10D/NYSE‑compliant policy adopted Oct 2023; additional award‑level clawbacks may extend beyond minimums .
- RSU Vesting: 3 equal annual tranches, consistent with KBR NEO practice .
- Ownership Reporting: Hill became a Section 16 reporting officer in May 2025 (Form 3); subsequently filed Form 4 reporting changes in beneficial ownership .
Employment Terms
- Severance & Change‑in‑Control Agreements: KBR provides agreements to senior executives with double‑trigger CIC requirements, no excise tax gross‑ups, confidentiality, non‑compete, non‑solicitation, mandatory arbitration, and clawback of benefits within two years if termination could have been for cause . KBR recently disclosed such an agreement for its incoming CFO (Oct 2025 8‑K/A), evidencing current practice .
- No Employment Agreements: KBR does not maintain individual employment agreements for NEOs; governance and pay decisions are committee‑driven .
Insider Filings & Trading
| Date | Filing | Summary |
|---|---|---|
| May 1, 2025 | Form 3 (Initial Statement) | Hill reported as an officer: President, Readiness & Sustainment; address: c/o KBR, 601 Jefferson St, Houston, TX 77002 |
| May 9, 2025 | Form 4 | Statement of changes in beneficial ownership filed; Rule 10b5‑1 indicator included in form template; details filed on EDGAR (transaction specifics not disclosed in proxy) |
KBR’s policies prohibit hedging and pledging, and require pre‑clearance/trading windows, which mitigate misalignment and insider‑selling pressure risks .
Performance & Track Record
- Organizational Leadership: KBR’s July 2025 leadership change confirmed Hill’s elevation within MTS and direct reporting to the CEO, positioning him to drive growth and margin expansion in R&S while maintaining operational continuity following the COO’s departure .
- Company Operating Momentum: Q3 FY2025 results showed adjusted EBITDA up 10% YoY, adjusted EPS up 21%, and book‑to‑bill of 1.4x, supporting incentive frameworks focused on earnings and cash conversion .
- Strategic Delivery: KBR announced awards and execution wins across STS and MTS in late 2025, indicating steady program activity relevant to R&S supply chains (e.g., Rosslyn office expansion to engage national security stakeholders) .
Risk Indicators & Red Flags
- HomeSafe Alliance JV Termination: TRANSCOM issued notice to terminate the Global Household Goods Contract in June 2025; subsequent class‑action announcements allege misstatements regarding ramp‑up, highlighting execution risk in R&S oversight areas tied to Hill’s scope . KBR disclosed HomeSafe as discontinued operations in investor materials (Q2 2025), reflecting portfolio de‑risking .
- Governance Safeguards: Anti‑hedging/pledging, clawbacks, and double‑trigger CIC terms reduce agency risk and pay–for–performance misalignment .
Investment Implications
- Alignment: Hill’s compensation is governed by KBR’s enterprise STI/LTI design tying pay to adjusted EPS, OCF, safety/sustainability, relative TSR, and B2B—structures that historically delivered strong payouts when company performance met/exceeded targets; these frameworks support shareholder alignment and reduce discretionary risk .
- Retention/Pressure: Section 16 status with active Form 3/4 reporting, ownership guidelines (3× salary), and trading prohibitions suggest low pledging/hedging risk; however, R&S exposure to HomeSafe JV termination introduces near‑term scrutiny on execution and KPI achievement within Hill’s remit .
- Catalyst/Risk Balance: Continued program awards and improved margins in Q3 2025 bolster incentive realizability; yet litigation headlines and program transitions (HomeSafe discontinued) could pressure insider selling optics and KPI outcomes—watch subsequent Form 4s, STI certifications, and R&S backlog growth vs B2B targets .