Anthony Tyree
MEDIFASTAbout Anthony Tyree
Anthony E. Tyree (age 60) is Medifast’s Chief Business Operations Officer, appointed in 2022 after joining as Chief Marketing Officer in September 2018. He leads Supply Chain, Public Relations, Product Marketing, Scientific & Clinical Affairs, Product Development, and Consumable Product Management, with 25+ years in global marketing and product innovation at Hershey (VP Global Snacks), Fonterra, Kraft, Nabisco, and Kellogg . Company performance during his tenure reflects a transformation amid GLP‑1 disruptions: LTM revenue declined from $1,072M in 2023 to $602M in 2024 , and cumulative TSR by 2024 stood at 19 vs S&P 600 Consumer Staples 156 .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| The Hershey Company | Vice President, Global Snacks | — | Accelerated health & wellness snacks across NA, Brazil, China, India |
| Fonterra LTD | Leadership roles | — | Marketing/general management experience |
| Kraft Foods | Leadership roles | — | Marketing/general management experience |
| Nabisco | Leadership roles | — | Marketing/general management experience |
| Kellogg Company | Leadership roles | — | Marketing/general management experience |
External Roles
No public company directorships disclosed in company filings for Mr. Tyree .
Fixed Compensation
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary ($) | 404,048 | 415,873 | 415,873 |
| Target Bonus (% of Salary) | 70% (unchanged from 2022) | 70% | 70% |
| Actual Bonus Paid ($) | 238,711 | 334,778 | 142,644 |
Performance Compensation
| Metric (2024 annual incentive) | Weight | Threshold | Target/Max | Actual | Payout vs Target |
|---|---|---|---|---|---|
| Q3 Coach Productivity (New customers per AEC) | 20% | 0.95 | 1.42 | 1.05 | Contributed to 49% overall payout |
| Q4 Coach Productivity (New customers per AEC) | 20% | 0.74 | 1.26 | 0.85 | Contributed to 49% overall payout |
| Transformation Initiatives | 35% | Company-led acquisition channel implemented; initial “dual offer” in market | Same | 23% achieved | Contributed to 49% overall payout |
| Operating Income (Adj., before investments/one-time) ($M) | 25% | 2.70 | 17.60 | 49.8 (non‑GAAP) | Contributed to 49% overall payout |
| Long-Term Equity Mix | 2023 | 2024 |
|---|---|---|
| Equity Mix (CEO vs. NEOs) | NEOs: 50% performance-based, 50% time-based | NEOs: 50% PSUs, 50% RSUs; target LTI increased by 4% of salary in lieu of merit raise |
| Long-Term Target Value ($) | 810,952 | 583,886 |
| Time-Based RSUs/Shares (#) | 3,704 | 6,879 |
| Performance Shares/PSUs (#) | 3,704 | 6,879 |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership | 13,331 shares; <1% of outstanding common stock |
| Shares Outstanding (Record Date) | 10,991,021 |
| Unvested RSUs (by grant) | 337 vest 3/16/2025 ; 1,235 vest 3/17/2025 and 1,235 vest 3/17/2026 ; 2,293 vest 3/13/2025, 2,293 vest 3/13/2026, 2,293 vest 3/13/2027 |
| PSUs (Unearned, by cycle) | 3,704 scheduled 12/31/2025 (2023 cycle) ; 6,879 scheduled 12/31/2026 (2024 cycle) |
| Options | No options listed for Tyree in outstanding awards table |
| Ownership Guidelines | Direct reports to CEO must hold 3× annual salary; 50% of net shares must be retained until guidelines met |
| Compliance Status | All NEOs in compliance or making reasonable progress toward guidelines |
| Hedging/Pledging | Hedging and pledging prohibited by policy |
| Clawback | Dodd-Frank/NYSE-compliant clawback covering restatements and specified misconduct |
Vesting Schedule (future)
| Award | 2025 | 2026 | 2027 |
|---|---|---|---|
| RSUs (03/16/2022 grant) | 337 (3/16/2025) | — | — |
| RSUs (03/17/2023 grant) | 1,235 (3/17/2025) | 1,235 (3/17/2026) | — |
| RSUs (03/13/2024 grant) | 2,293 (3/13/2025) | 2,293 (3/13/2026) | 2,293 (3/13/2027) |
| PSUs (2023 cycle) | 3,704 (12/31/2025, performance-based) | — | — |
| PSUs (2024 cycle) | — | 6,879 (12/31/2026, performance-based) | — |
Employment Terms
| Provision | Standard (Pre-CIC or >24 months post-CIC) | Change-in-Control Window (within 2 years post-CIC) |
|---|---|---|
| Cash Severance Multiple | 1× salary + target bonus | 1.5× salary + target bonus |
| Annual Bonus (year of termination) | Prorated, based on actual company performance | Prorated at greater of target or actual per latest forecast |
| Equity—Options | Accelerated vesting | Accelerated vesting |
| Equity—Time-based RSUs | Pro‑rata vesting | Full acceleration |
| Equity—PSUs | Pro‑rata vesting based on actual performance | Pro‑rata vesting at greater of target or latest projection |
| 280G Excise Tax Gross‑ups | Not eligible |
| Potential Payments (as of 12/31/2024) | Severance ($) | Annual Cash Bonus ($) | Unvested RSUs ($) | Unvested PSUs ($) |
|---|---|---|---|---|
| Termination Without Cause/Good Reason | 706,984 | 142,644 | 51,076 | 65,359 |
| Same, Following a Change in Control | 1,060,476 | 291,111 | 170,667 | 83,912 |
Compensation Structure Analysis
- Base salaries held flat in 2023–2024; 2024 LTI target increased by an amount equal to 4% of salary, delivered via equity rather than cash merit raises (retention focus) .
- Annual incentive framework shifted to operational measures (coach productivity, transformation milestones) and adjusted operating income; payout curve tightened with lower thresholds and maxima; 2024 paid at 49% of target reflecting mixed execution .
- 2022–2024 PSUs (prior cycle) failed to vest (below threshold on 3‑year revenue and operating income), reinforcing pay-for-performance linkage .
- Governance controls include clawbacks, anti-hedging/pledging, double-trigger equity vesting on CIC, and no 280G gross-ups .
Performance & Track Record
- Company initiatives under transformation: GLP‑1 Nutrition Support Kit and OPTAVIA ASCEND launched; collaboration with LifeMD for medically supported weight loss; cost savings of ~$21M in 2024; cash/investments increased from $150M to $162M .
- 2024 operational outcomes: Q3/Q4 coach productivity improved vs 2023 thresholds but below targets; adjusted operating income $49.8M; annual bonus paid at 49% of target .
Say-on-Pay & Peer Benchmarking
- Say‑on‑Pay support: ~96% approval at the 2024 annual meeting (for 2022 compensation decisions), continued high support into 2025 .
- Compensation peer group maintained; targets positioned near median, with emphasis on at‑risk pay; Medifast LTM revenue and market cap fell to lower end versus peers by 12/31/2024 .
Investment Implications
- Alignment: Significant unvested RSUs/PSUs and 3× salary ownership guideline with retention requirement fosters multi‑year alignment; anti‑hedging/pledging reduces misalignment risk .
- Retention risk: Equity-heavy mix and pro‑rata/accelerated vesting under the severance plan mitigate turnover risk during transformation; CIC terms are double‑trigger and moderate vs market .
- Trading signals: Multiple vesting events in March/December 2025–2027 may create episodic selling pressure post‑vesting, subject to windows and policies; no options overhang for Tyree .
- Execution risk: 2022 PSUs earned 0% and 2024 bonus at 49% highlight operational challenges; continued delivery on transformation metrics (coach productivity, revenue trajectory) will drive incentive outcomes and investor confidence .