Michael Rickheim
About Michael Rickheim
Mike Rickheim is Executive Vice President, Chief Human Resources Officer and Chief Communications Officer at Mativ, appointed to the CHRO/CCO role at Neenah in April 2020 and to Mativ effective at the July 2022 SWM–Neenah merger; he was age 49 as of February 29, 2024 and age 50 in 2025 per later profiles . He is a Bowling Green State University graduate and completed Cornell ILR’s Modern CHRO program; prior to Mativ/Neenah he served as Chief Human Resources Officer at Newell Brands . During his tenure, Mativ’s cumulative TSR underperformed its peer index and net income was negative in 2023–2024, while “EBITDA Delivered” improved modestly (2024 $220.6m vs. 2023 $213.4m); pay programs emphasized STIP on EBITDA/Revenue/Safety and PSUs on Free Cash Flow % of Net Sales and ROIC with a relative TSR modifier .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Neenah, Inc. | EVP, Chief HR Officer & Chief Communications Officer | 2020–2022 | Led HR/communications prior to merger; role continued post-merger at Mativ . |
| Newell Brands, Inc. | Chief Human Resources Officer (and prior HR leadership roles) | Pre-2020 | Led global HR, talent, engagement, I&D; preparation for later CHRO roles . |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| Naismith Awards & Atlanta Tipoff Club | Board/Director | n/a | Non-profit board service . |
| Atlanta Sports Council | Board/Director | n/a | Non-profit board service . |
| The Newell Brands Foundation | Board/Director | n/a | Non-profit board service . |
| Direct Employers Association | Board/Director | n/a | Non-profit board service . |
Fixed Compensation
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary ($) | $201,882 | $425,000 | $450,000 |
| Target STIP (% of Base) | 65% | 65% | 65% |
| Target STIP ($) | n/a | n/a | $292,500 |
| All Other Compensation ($) | $75,943 | $75,734 | $41,099 (incl. $26,099 company contributions + $15,000 exec benefits allowance) |
Performance Compensation
| Metric | Weight | Threshold | Target | Max | Actual | Attainment | Payout Indicator |
|---|---|---|---|---|---|---|---|
| 2024 STIP – EBITDA Delivered ($mm) | 70% | $213 | $235 | $272 | $221 | 67% | Contributed to 59% total payout |
| 2024 STIP – Revenue ($mm) | 20% | $2,026 | $2,168 | $2,261 | Below Threshold | 0% | Contributed to 59% total payout |
| 2024 STIP – Safety Scorecard | 10% | 80% | 90% | 100% | 96% | 115% | Contributed to 59% total payout |
| 2024 Final STIP Payout ($) | — | — | — | — | — | — | $172,575 (59% of target $292,500) |
| 2024 LTIP Components | Target Value (% of 2024 Base) | Target Value ($) | 2024 PSUs (# at Target) | 2024 Service RSUs (#) |
|---|---|---|---|---|
| Allocation (PSUs + RSUs) | 125% | $562,500 | 24,906 | 16,605 |
| PSU Performance Framework | Year | Threshold | Target | Max | Actual | Payout |
|---|---|---|---|---|---|---|
| Free Cash Flow as % of Net Sales (2023–2025 cycle) | 2023 | 3.0% | 5.0% | 7.0% | Below Threshold | 0% |
| ROIC (2023–2025 cycle) | 2023 | 6.0% | 7.5% | 9.0% | Below Threshold | 0% |
| Free Cash Flow as % of Net Sales (2024–2026 cycle) | 2024 | 0.7% | 1.6% | 3.7% | 2.0% | 105% |
| ROIC (2024–2026 cycle) | 2024 | 3.5% | 4.5% | 7.0% | 4.5% | 105% |
| TSR Modifier | Applied at Committee’s discretion vs S&P 600 Materials |
Equity Ownership & Alignment
| Ownership Item | As of/Terms | Detail |
|---|---|---|
| Beneficial ownership (Rickheim) | March 10, 2025 | 54,683 shares; <1% of class; no deferred stock units; shares outstanding 54,517,608 . |
| Ownership guidelines | NEOs | 3x base salary for NEOs (CEO 5x); must retain at least 50% of vested shares until guidelines met; 5-year compliance window; all NEOs meet or are within compliance period . |
| Hedging/Pledging | Policy | Prohibited for directors/key executives, including NEOs; short sales/derivatives generally prohibited . |
| Clawbacks | Policy | Dodd-Frank-compliant clawback adopted in 2024 and legacy clawback permitting recovery of annual/long-term incentives for restatements/adjustments . |
| Outstanding Equity Awards (Rickheim) | Dec 31, 2024 | Shares/Units | Vesting/Status | Market/Payout Value |
|---|---|---|---|---|
| RSU (one-year tranche) | 1,006 | Vested Jan 26, 2025 | $10,965 (at $10.90) | |
| PSUs (2023–2025 cycle) | 6,822 (at target) | Scheduled to vest Feb 16, 2026 (performance-based) | $74,360 | |
| RSUs (two-year tranche) | 4,548 | Vest 50% Feb 16, 2025 & 2026 | $49,573 | |
| RSUs | 5,535 | Vested Feb 13, 2025 | $60,332 | |
| RSUs (three-year tranche) | 11,070 | Vest 50% Feb 13, 2026 & 2027 | $120,663 | |
| PSUs (2024–2026 cycle) | 16,604 (at maximum shown) | Scheduled to vest Feb 13, 2027 (performance-based) | $180,984 |
| 2024 Stock Vested (Rickheim) | 2024 | Shares | Value |
|---|---|---|---|
| Stock awards vested | 2024 | 61,539 | $682,343 |
| Options exercised | 2024 | — | — |
Employment Terms
| Provision | Term | Rickheim Applies? | Notes |
|---|---|---|---|
| Severance – CIC Qualifying Transaction (double trigger) | 2x (salary + target bonus) lump sum; prorated/earned bonus; 24 months COBRA premium; $25,000 outplacement; equity awards vest at target for performance-based awards | Yes (NEOs other than CEO) | Reduction to avoid 280G excise tax if beneficial after-tax . |
| Severance – agreements contain restrictive covenants | Non-compete, non-disclosure, non-solicitation, non-disparagement | Yes | Release required for benefits . |
| Employment contract | Generally no executive employment contracts unless required by local law | Not disclosed | Company practice . |
| Deferred compensation participation | Legacy SWM DCP and Legacy Neenah NDP | Yes | 2024 NDP: $4,660 earnings; aggregate balance $35,351. 2024 DCP: $32,130 deferrals, $3,213 registrant contributions; aggregate balance $85,914 . |
Multi-Year Compensation Summary (Rickheim)
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Salary ($) | $201,882 | $425,000 | $450,000 |
| Bonus ($) | — | — | — |
| Stock Awards ($) | $822,428 | $255,279 | $383,709 |
| Option Awards ($) | — | — | — |
| Non-Equity Incentive Plan ($) | $307,377 | $110,500 | $172,575 |
| Change in Pension/Deferred Comp Earnings ($) | — | — | — |
| All Other Compensation ($) | $75,943 | $75,734 | $41,099 |
| Total ($) | $1,377,630 | $866,513 | $1,047,383 |
Performance & Track Record Context
| Company Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| TSR – Value of $100 Investment (Company) | 58.69 | 45.40 | 33.10 |
| TSR – Peer Group (S&P 600 Capped Materials) | 136.06 | 163.35 | 164.88 |
| Net Income ($mm) | (6.6) | (309.5) | (48.7) |
| EBITDA Delivered ($mm) | 304.7 | 213.4 | 220.6 |
Additional governance signals: Say-on-pay support ~97% in 2024; program emphasizes pay-for-performance, double-trigger CIC, ownership guidelines, clawbacks, and prohibits hedging/pledging .
Compensation Structure Analysis
- Mix and shifts: 2024 saw base salary increased to $450,000; target LTIP raised to 125% of base (from 100% in 2023), indicating greater emphasis on equity and multi-year goals .
- STIP metrics tightened to EBITDA Delivered, Revenue, Safety; revenue missed threshold in 2024, driving a 59% payout outcome across NEOs, consistent discipline against budget targets .
- PSU design is multi-year with annual goal-setting and discretionary TSR modifier vs S&P 600 Materials; 2023 PSU year paid 0% on FCF/ROIC while 2024 PSU year delivered 105%, showing sensitivity to operating cash and capital efficiency .
- No options are outstanding for Rickheim; equity is via RSUs/PSUs with structured vesting and cash-settlement amendments under legacy plan to preserve share pool .
Risk Indicators & Red Flags
- TSR underperformance vs peer index and negative net income in 2023–2024 could pressure PSU payouts; 2023 PSU metrics paid 0%, while 2024 improved to 105%—ongoing execution risk remains .
- Hedging/pledging prohibited and double-trigger CIC terms limit misalignment risk; clawbacks (Dodd-Frank and legacy) strengthen recourse .
- Equity vesting cadence (2025–2027 RSU/PSU tranches) creates potential supply overhang; performance-conditioned PSUs may mitigate if targets are missed .
Employment & Contracts
- Severance economics: On double-trigger CIC termination, Rickheim would receive 2x salary+target bonus, 24 months COBRA premium, $25,000 outplacement, and equity vesting (performance-based awards at target), subject to release and restrictive covenants; benefits may be reduced for 280G excise tax efficiency .
- Deferred compensation: Active participation in Legacy SWM DCP and Legacy Neenah NDP with disclosed balances and 2024 activity .
- No individual employment contract disclosed (company generally avoids executive employment contracts unless required by local law) .
Investment Implications
- Alignment: 3x salary ownership guideline, retention of 50% of vested shares until met, hedging/pledging bans, and clawbacks support alignment; Rickheim’s beneficial ownership of 54,683 shares is <1%, providing some skin-in-the-game but not concentrated exposure .
- Retention risk and selling pressure: RSU tranches vest through Feb 2027 (11,070 shares across 2026–2027) with PSUs set to vest in Feb 2026 and Feb 2027 subject to performance (6,822; 16,604 shown at max); these dates can create event-driven liquidity windows; monitor Form 4s around vestings for potential selling pressure .
- Execution risk: PSU reliance on Free Cash Flow % and ROIC (with TSR modulation) ties payouts to tangible value creation; 2024 improvements (105% payout year) contrast with 2023 shortfalls (0%), highlighting sensitivity to cash discipline and capital efficiency amid TSR underperformance .
- Governance quality: Strong say-on-pay (~97% support), independent consultant, capped payouts, double-trigger CIC, and explicit clawbacks reduce compensation-related risk .
Note: Age, education, and prior role details sourced from company filings and executive profiles; age 49 at Feb 29, 2024 (10-K), age 50 in 2025 profiles; education includes BGSU and Cornell ILR Modern CHRO program; prior CHRO role at Newell Brands .