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Marney Kadrmas

Chief Accounting Officer at Knife River
Executive

About Marney Kadrmas

Marney L. Kadrmas, age 55, is Vice President and Chief Accounting Officer (principal accounting officer) of Knife River Corporation, appointed February 28, 2025; she previously served as Chief Accounting Officer from May 31, 2023 and has held senior accounting and controller roles at Knife River since 2005 . During her current tenure, Knife River delivered record FY2024 results (Revenue $2.899B, Net Income $201.7M, Adjusted EBITDA $463.0M, Adj. EBITDA margin 16.0%) and has continued momentum into 2025 with Q3 revenue of $1.2037B and Adjusted EBITDA of $272.8M; since becoming a standalone public company in mid-2023, TSR equated to $290 on a $100 initial investment by year-end 2024 . She is a signatory on SEC filings and serves as Knife River’s principal accounting officer, underscoring accountability for financial reporting and controls .

Past Roles

OrganizationRoleYearsStrategic Impact
Knife River Corporation (Corporate)Vice President & Chief Accounting OfficerFeb 2025–presentPrincipal accounting officer oversight; SEC reporting; controls and disclosures .
Knife River Corporation (Corporate)Chief Accounting OfficerMay 2023–Feb 2025Led corporate accounting through separation and public company transition .
Knife River Corporation – Northwest (Subsidiary)Vice President, Region Controller & Assistant SecretaryJan 2022–May 2023Regional financial leadership; governance duties .
Knife River Corporation – Northwest (Subsidiary)Region Controller & Assistant SecretaryJul 2014–Dec 2021Regional controllership; financial management .
Knife River Corporation (Corporate)Director of Accounting2012–2014Consolidated accounting; systems/process improvements .
Knife River Corporation (Corporate)Financial Planning & Reporting Manager2005–2012FP&A leadership; reporting .

External Roles

  • No public company external directorships or committee roles disclosed in the proxy or 10-K for Marney Kadrmas .

Fixed Compensation

  • Executive employment agreements are not used; compensation comprises base salary plus at-risk incentives governed by policy and committee oversight .
  • 2024 NEO target design (policy context for senior executives): annual cash incentive tied to Adjusted EBITDA and safety metrics; long-term equity split between PSAs (65%) and RSUs (35%). Specific base salary or target bonus percentages for the CAO are not disclosed .

Performance Compensation

MetricWeighting (%)ThresholdTargetMaximum2024 ActualPayout %Weighted Payout %
Adjusted EBITDA90%$325.5M $434.0M $477.4M $469.5M 181.8% 163.6%
TRIR (safety)5%2.40 2.10 1.84 1.89 180.8% 9.0%
LTIR (safety)5%0.91 0.55 0.26 0.39 155.2% 7.8%
Long-Term Incentive ComponentDesignPerformance MetricsPeriodVesting/Settlement
PSAs (65% of LTI)Earn 0–200% of targetRelative TSR vs peer group; Adjusted EBITDA margin growth2024–2026Measured Dec 31, 2026; payout Feb 2027 .
RSUs (35% of LTI)Time-based retentionN/A3-year tranches2024 grant vests Dec 31, 2026; settled Jan 2027 .
  • The peer group used for TSR benchmarking spans 17 construction materials/building products companies (e.g., Vulcan, Martin Marietta, Summit Materials, Eagle Materials) .

Equity Ownership & Alignment

  • Anti-hedging/anti-pledging: executives and directors are prohibited from hedging company stock and from pledging/margin accounts (with limited margin-account exceptions requiring explicit exclusion) .
  • Executive stock ownership policy: CEO 6x base salary; other executive officers 2–3x base salary; mandatory retention—hold net after-tax vested shares until guideline met .
Vesting Schedule (current programs)Grant YearVest DateSettlementNotes
RSUs2023Dec 31, 2025Early 2026 (historically in late Feb)2024 vested RSUs settled Feb 27, 2025 for certain NEOs, indicative of settlement cadence .
RSUs2024Dec 31, 2026Jan 2027Standard 3-year cliff vest .
PSAs2024–2026Dec 31, 2026 (measurement)Feb 20270–200% payout; metrics: relative TSR, Adj. EBITDA margin growth .
  • For separations (proration rules): PSAs and RSUs are forfeited or prorated based on age/service and year within the cycle; double-trigger change-of-control treatment moves to qualifying termination for 2025 grants (no single-trigger vesting) .

Employment Terms

TermDisclosureNotes
AppointmentVP & Chief Accounting Officer effective Feb 28, 2025; previously Chief Accounting Officer from May 31, 2023 .Principal accounting officer; SEC filing signatory .
Employment AgreementNone (company does not use executive employment agreements) .Compensation governed by committee policies.
ClawbackIncentive Compensation Recovery Policy compliant with Rule 10D-1; applies to current/former executive officers on material restatement regardless of misconduct .Administered by Compensation Committee.
Change-in-Control PlanCIC plan adopted Aug 2024; double-trigger vesting starting with 2025 equity awards; benefits require qualifying termination, release, and covenants .Covenants: 1-year non-compete/non-solicit; 2-year non-disparagement; perpetual confidentiality; 4999 excise tax cutback if beneficial .

Performance & Track Record

MetricFY2023FY2024
Revenue ($B)$2.830 $2.899
Net Income ($M)$182.9 $201.7
Adjusted EBITDA ($M)$432.4 $463.0
Adjusted EBITDA Margin (%)15.3% 16.0%
Total Shareholder Return (value of initial $100 investment)20232024
Company TSR ($)$188.98 $290.23
Peer Group TSR ($)$120.11 $117.14
  • Q3 2025 operational performance: Revenue $1,203.7M; Net Income $143.2M; Adjusted EBITDA $272.8M; Adj. EBITDA margin 22.7%; record backlog of $995M, up 32% YoY .

Compensation Governance, Peer Group & Say-on-Pay

  • Compensation peer group (benchmarking): Allegion, Arcosa, Armstrong World Industries, Compass Minerals, Construction Partners, Dycom, Eagle Materials, Gibraltar Industries, Granite Construction, Martin Marietta, Masonite, Minerals Technologies, Simpson Manufacturing, Sterling Infrastructure, Summit Materials, The AZEK Company, Vulcan Materials .
  • Say-on-Pay: 96% approval at 2024 annual meeting; board asserts strong pay-for-performance alignment .

Related Policies and Risk Indicators

  • Prohibitions against hedging/pledging of company stock (alignment) .
  • No stock options used (reduces repricing risk) .
  • No tax gross-ups (shareholder-friendly) .
  • Robust audit committee oversight of financial reporting, cybersecurity, and sustainability risks; CAO role interfaces closely with these processes .

Investment Implications

  • Alignment: Strong pay-for-performance mechanics (90% EBITDA + safety metrics in annual plan; TSR + margin growth in PSAs), anti-hedging/pledging, and stock ownership/retention requirements support executive-shareholder alignment; the CAO role is subject to clawback on restatement, reinforcing discipline in financial reporting .
  • Retention and selling pressure: Time-vested RSUs with three-year cliffs and double-trigger CIC (post-2025 awards) reduce immediate vesting catalysts; insider selling pressure assessment requires monitoring Form 4 filings—no such transactions were disclosed in the reviewed proxy/10-K; watch for vest events (Dec 2025 and Dec 2026) that could mechanically increase sellable shares .
  • Execution risk: As principal accounting officer and SEC signatory, Kadrmas’ governance and controls stewardship are pivotal; the clawback policy and audit committee oversight mitigate restatement risk but heighten consequence severity if issues arise .
  • Benchmarking: Peer group anchored in construction materials/building products suggests compensation targets and performance hurdles are calibrated to sector dynamics; continued margin expansion and elevated backlog provide favorable backdrop, supporting incentive payout potential while maintaining controls rigor .