Erika Davis
Performance Food GroupAbout Erika Davis
Erika T. Davis is Executive Vice President and Chief Human Resources Officer at Performance Food Group (PFG), a role she has held since joining the company in July 2019. She is a Certified Compensation Professional with a B.A. from the University of Richmond and an M.P.A. from the University of North Carolina at Chapel Hill; she is 61 years old per the latest proxy . During fiscal 2025, PFG’s business performance included 8.6% net sales growth to $63.3B, 12.8% gross profit growth to $7.4B, adjusted diluted EPS up 4.2% to $4.48, and cumulative pay-versus-performance TSR value of $313.74 for a $100 investment over the SEC-defined measurement window, framing the performance environment during her tenure .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Owens & Minor, Inc. | Chief Administrative Officer; Corporate Chief of Staff; Administration & Operations leader; Human Resources leader | ~1993–2019 (26 years) | Senior leadership across HR and corporate functions; led program management and global shared services at a global healthcare services company |
| Performance Food Group | EVP & CHRO | 2019–present | Executive leadership of human capital strategy; compensation governance and safety/engagement initiatives context at PFG |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| — | — | — | No public company directorships disclosed for Davis in the proxy . |
Fixed Compensation
- Individual CHRO compensation (salary, target bonus, actual AIP payout) is not disclosed because Davis is not listed among Named Executive Officers (NEOs) in the latest proxy; PFG discloses plan architecture and NEO outcomes instead .
- For context, PFG’s executive pay mix emphasizes at‑risk incentives with base salary, annual cash AIP, and long‑term equity; CEO/NEO plan structure and governance practices (clawback, anti‑pledge/hedge) apply broadly to senior executives .
Performance Compensation
Annual Incentive Plan (AIP) – Design (fiscal 2025)
| Metric | Weight | Threshold/Target/Max Mechanics | Company Achievement Indicator |
|---|---|---|---|
| Net Sales Growth | 40% | Payout range 50%–200% of target per metric | 137.9% of target payout for Net Sales |
| Adjusted EBITDA Growth | 40% | Payout range 50%–200% of target per metric | 97.9% of target payout for Adjusted EBITDA |
| Strategic Initiatives (safety, Foodservice into Convenience) | 20% | Payout range 50%–200% of target per metric | 128.75% of target across strategic metrics; safety achieved 200% based on AMM/RCR improvement |
- Aggregate AIP payout for NEOs in FY2025 was 120% of target (illustrative table provided in proxy); CHRO-specific payout is not disclosed as Davis is not an NEO .
Long‑Term Incentive (LTI) – Structure and Vesting
| Instrument | Weight (senior mgmt) | Vesting | Performance Metric/Curve |
|---|---|---|---|
| Performance Shares (PSUs) | 60% (FY2025 grants) | Vests upon Compensation Committee certification after a 3‑year period (6/30/2024–7/3/2027) | 100% tied to Relative TSR vs. Russell 1000; Threshold 30th pct=25%, Target 60th pct=100%, Max 80th pct=200%; cap at 100% if cumulative TSR negative |
| Time‑based Restricted Stock (RS) | 40% (FY2025 grants) | 1/3 per year on each grant anniversary | Time‑based; no performance metric |
| Recent performance cycle result | — | 2022–2025 PSU cycle | Company earned 171.60% of target based on weighted TSR percentiles across 1‑, 2‑, and 3‑year windows |
Governance safeguards:
- Clawback policy updated in 2023 to comply with NYSE standards; applies to cash and equity, irrespective of fraud/misconduct in case of restatement or calculation error .
- Anti‑hedging and anti‑pledging policies for directors and executive officers .
Equity Ownership & Alignment
- Stock ownership guidelines apply to executive officers in two tiers (CEO; CFO/EVPs/SVPs reporting to CEO), expressed as a multiple of base salary with retention requirements (hold 100%/50% of net shares, respectively) until compliance; the proxy confirms NEO compliance as of Sept 30, 2025. Multiples are expressed as salary multiples in policy; specific numeric multiples are not shown in the excerpted text .
- Hedging and pledging of company stock by executive officers are prohibited .
Insider trading and holdings (2025 activity):
| Date | Action | Shares | Price (weighted avg) | 10b5‑1 Plan | Post‑Trade Beneficial Ownership (as disclosed) |
|---|---|---|---|---|---|
| 2025‑08‑20 | Sale | 2,687 | $100.23 | Yes; plan established 2025‑02‑27 | Noted in Form 4 footnote; specific shares after this line not in the snippet |
| 2025‑08‑20 | Sale | 1,629 | $100.99 | Yes; same plan | — |
| 2025‑08‑22 | Sale | 1,085 | $101.91 | Yes; plan noted across filings in window | 54,288 shares beneficially owned after trade per summary site |
| 2025‑08‑25 | Sale | Multiple (range) | $101.50–$101.87 | Yes; plan established 2025‑02‑27 | — |
| 2025‑09‑02 | Sale | 4,100 | $105.06 | Yes; plan established 2025‑02‑27 | 46,541 shares directly owned after trade (per report) |
Notes:
- These trades were disclosed as being conducted under a pre‑arranged Rule 10b5‑1 trading plan established on February 27, 2025, which generally mitigates signaling risk compared to discretionary sales .
Employment Terms
- Contracts: PFG states it does not typically enter into formal employment agreements with executive officers (only CEO has a separate agreement); executives are covered by the Executive Severance Plan via individual participation agreements .
- Severance Plan architecture (generic terms; CHRO not enumerated among NEO examples): CEO (Tier 1) = 2.0x salary on non‑CIC termination; on qualifying CIC termination, additional 2.0x target bonus; Tier 2 participants (e.g., CFO/EVPs in NEO table) = 1.5x salary on non‑CIC; on qualifying CIC termination, additional 0.5x salary + 2.0x target bonus; COBRA supplements also provided; benefits contingent on release and restrictive covenants .
- Restrictive covenants: One‑year non‑compete and non‑solicit post‑termination required under the Severance Plan; breach can forfeit/recover benefits .
- Equity treatment on CIC/termination: Double‑trigger equity vesting; PSUs convert to time‑based RS at target or as‑measured (per timing) with accelerated vesting if not assumed or upon qualifying termination; death/disability/retirement provisions specified; details per award agreements .
Compensation Structure Analysis
- Shift toward performance equity: Senior management awards weighted 60% PSUs (Relative TSR) and 40% time‑based RS in FY2025, increasing at‑risk, market‑aligned pay .
- AIP metric balance: 40% Net Sales, 40% Adjusted EBITDA, 20% strategic initiatives (safety and cross‑sell), with capped maxima and committee discretion, supporting risk controls .
- Governance quality: Updated clawback policy; strict anti‑hedging/anti‑pledging; no CIC excise tax gross‑ups; double‑trigger CIC vesting; no option repricing .
Say‑on‑Pay & Peer Group
- Say‑on‑Pay support: ~99% approval at the 2024 Annual Meeting; committee retained 2024 structure into 2025 given strong investor support .
- 2025 Compensation Peer Group includes Albertsons, ADM, Bunge, CDW, Compass, Dollar General, Dollar Tree, Genuine Parts, Mondelez, TD SYNNEX, Sysco, Kraft Heinz, Tyson, UNFI, US Foods, WESCO, Arrow Electronics, Avnet; targeted at median levels on aggregate .
Performance & Track Record
- Company outcomes in FY2025: Net sales +8.6% to $63.3B; gross profit +12.8% to $7.4B; net income $340.2M; adjusted EBITDA $1,766.9M; adjusted diluted EPS up 4.2% to $4.48; safety metrics improved and achieved maximum for AIP safety component .
- TSR context: $100 invested value reached $313.74 (Company TSR) vs. $138.91 (peer index TSR) over the SEC pay-versus-performance measurement window through FY2025 .
Compensation Committee Analysis
- Committee: Human Capital and Compensation Committee (Chair: Barbara J. Beck; members: Manuel A. Fernandez, Kimberly S. Grant, Jeffrey M. Overly, Warren M. Thompson); 100% attendance, four meetings in FY2025; committee issued the CD&A report .
Risk Indicators & Red Flags
- Executive policies explicitly prohibit hedging and pledging; robust clawback applies irrespective of misconduct, lowering governance risk .
- Severance features are double‑trigger, with time‑limited non‑compete/non‑solicit, no excise tax gross‑ups—generally shareholder‑friendly .
- Insider selling: Multiple 2025 sales were under a 10b5‑1 plan established 2/27/2025, which reduces signaling concerns, though sales near 52‑week highs can create near‑term technical pressure .
Investment Implications
- Pay‑for‑performance alignment: Heavy weighting to PSUs on Relative TSR (above‑median target) plus sales/EBITDA AIP metrics aligns management incentives with growth and shareholder returns; high Say‑on‑Pay support underscores investor acceptance .
- Retention risk: Executives are subject to one‑year post‑termination non‑compete/non‑solicit, stock ownership guidelines with holding requirements, and multi‑year vesting—factors that moderate near‑term attrition risk; CHRO is not detailed in severance tiers but would be governed by the Severance Plan if a participant .
- Trading signals: Davis’ 2025 10b5‑1 plan sales suggest pre‑scheduled diversification rather than discretionary selling; residual holdings (e.g., 46,541 shares post‑9/2) indicate continued alignment, with anti‑pledging rules mitigating leverage risks .
- Execution focus: Company hit strong sales/gross profit growth and achieved maximum safety goals used in incentives; ongoing TSR‑based LTI keeps leadership focused on market‑relative outperformance .
References:
SEC/Form 4 and media references:
- SEC Form 4 8/20/2025 (Erika T. Davis)
- StockTitan summary 8/20/2025
- StockTitan 8/22/2025
- StreetInsider 8/25/2025
- Investing.com 9/2/2025
- GuruFocus holdings snapshot