Thomas Hassfurther
Executive Vice President — Corrugated Products at PKG
Executive
About Thomas Hassfurther
Thomas A. Hassfurther (age 69) is President of Packaging Corporation of America (PCA) since February 2025, previously serving as Executive Vice President – Corrugated Products from September 2009 to February 2025; he joined PCA in 1977 and earlier led Sales & Marketing for Corrugated (2005–2009) . Under PCA’s operating performance in 2024, net sales grew 7.4% to $8.38B, EBITDA rose to $1.63B, and corrugated products shipments increased 10.5% YoY—key outcomes tied to his long-time leadership domain (corrugated) . Shareholder value creation remained strong with one-, three-, and five‑year TSR of 41.7%, 81.9%, and 135.2%, respectively . EPS excluding special items was $9.04 in 2024 vs $8.70 in 2023, highlighting profit improvement despite price headwinds .
Past Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| Packaging Corporation of America | President | Feb 2025–Present | Elevated to oversee company-wide operations following strong corrugated performance; continuity of execution focus |
| Packaging Corporation of America | EVP – Corrugated Products | Sep 2009–Feb 2025 | Led corrugated segment during 2024’s 10.5% YoY shipment growth and 7.8% Packaging net sales increase |
| Packaging Corporation of America | SVP – Sales & Marketing, Corrugated Products | Feb 2005–Sep 2009 | Drove commercial strategy for corrugated products |
| PCA/Tenneco Packaging | Various senior management and sales roles | 1977–2005 | Progressive leadership across corrugated operations and sales |
External Roles
- Not disclosed in company filings reviewed.
Fixed Compensation
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Base Salary ($) | $1,090,548 | $1,131,444 | $1,173,876 |
| All Other Compensation ($) | $121,012 | $86,096 | $130,489 |
| Perquisites detail (2024): Club memberships | $73,089 | ||
| Perquisites detail (2024): Extended 401(k) match | $39,309 | ||
| Company 401(k) contribution (2024) | $17,940 |
Notes:
- Pension value change in 2024 was negative overall (SERP decrease more than PCA Pension increase); PCA Pension +$8,871; SERP −$67,613; Pactiv pension distribution $15,704 .
Performance Compensation
2024 Annual Cash Incentive (EICP) – Structure and Outcome
- Performance metric: EPS excluding special items (single metric) .
- Payout grid (EPS ex‑items): Threshold $5.63 (50%), Target $7.50 (100%), Maximum $9.75 (~160%) .
- Actual 2024 EPS ex‑items: $9.04; payout 139% of target .
| Executive | Target Award ($) | Actual Award ($) | Payout vs Target |
|---|---|---|---|
| Thomas A. Hassfurther | $1,666,667 | $2,322,250 | 139% |
Long-Term Equity Awards – 2024 Grants (Grant date: 2/28/2024)
| Award type | Target shares/units | Max shares/units | Grant date fair value ($) | Vesting | Performance metric |
|---|---|---|---|---|---|
| Restricted Stock | 13,861 | — | $2,444,526 | Cliff vest 4th anniversary (2/28/2028) | Service-based |
| ROIC Performance Units | 13,861 | 16,633 (120%) | $2,444,526 | Vest on 4th anniversary (2/28/2028) | Relative ROIC vs peer group |
| TSR Performance Units | 11,923 | 23,846 (200%) | $2,444,453 | Vest after 3-year period to 2/28/2027 | Relative TSR vs peer group |
Performance frameworks:
- ROIC Units: 0–120% payout; ≥median = 100%; top 3: 106.66–120%; below median scales down; four-year average ROIC vs defined peers .
- TSR Units: 0–200% payout; <33.33rd percentile = 0%; median = 100%; best = 200%; three-year TSR vs defined peers .
Recent vest/payout history:
- 2021 TSR Units paid at 176.4% (period ended 2/28/2024) .
- 2020 ROIC Units paid at 100% (vested 2/25/2024) .
- 2021 ROIC Units achieved 114% (certified March 4, 2025) .
Future Vesting Cadence (as of 12/31/2024)
| Year | ROIC Units (sh) | TSR Units (sh) | Notes |
|---|---|---|---|
| 2025 | 13,278 | 10,142 | 2021 awards vesting/payouts timeline |
| 2026 | 11,474 | 14,889 | |
| 2027 | 16,454 | 11,923 | TSR 2024 grant period ends 2/28/2027 |
| 2028 | 13,861 | — | ROIC/RS 2024 grant vest at 4 years |
Restricted stock scheduled vesting:
| Year | Unvested Restricted Stock (sh) |
|---|---|
| 2025 | 11,647 |
| 2026 | 11,474 |
| 2027 | 16,454 |
| 2028 | 13,861 |
2024 stock vested realized:
| Shares vested | Value realized ($) |
|---|---|
| 48,591 | $8,757,785 |
Equity Ownership & Alignment
| Category | Detail |
|---|---|
| Total beneficial ownership (3/14/2025) | 296,596 shares (includes forms noted below) |
| Components | 230,617 shares not subject to vesting ; 54,198 restricted shares subject to forfeiture ; 11,781 shares in 401(k) |
| Additional disclosures | Includes 53,862 shares held by spouse and 34,293 shares held via Bears Club Investment LLC; Hassfurther disclaims beneficial ownership except to extent of pecuniary interest |
| Unvested restricted stock (12/31/2024) | 53,436 shares (market value $12,030,047 at $225.13) |
| Unearned performance units (target basis) | 92,021 units (market value $20,716,593 at $225.13) |
| Ownership as % of shares outstanding | ~0.33% (=296,596 / 89,928,116) using shares outstanding 89,928,116 |
| Ownership guidelines | 4.5x base salary for EVPs/SVPs first elected before 2019; all NEOs in compliance or progressing |
| Hedging/pledging | Hedging and pledging prohibited by policy; trades require pre‑clearance and blackout compliance |
Deferred compensation and pensions:
- Non-qualified deferred comp balance $8,811,883; 2024 aggregate earnings $1,908,648 .
- Pension benefits (present value 12/31/2024): PCA Pension Plan $993,515; PCA SERP $10,984,327; credited service 25.71 years; Pactiv pension distribution $15,704 in 2024 .
Employment Terms
| Topic | Terms |
|---|---|
| Employment agreement | None; PCA does not have employment contracts with officers |
| Severance | No contractual severance; any severance/accelerations considered case‑by‑case |
| Change-of-control | Double‑trigger equity vesting if qualifying substitute award is provided; otherwise vest; “good reason” includes diminution of duties/compensation or relocation |
| Clawback | Restatement-based recovery policy covering erroneously awarded compensation; includes TSR as a financial measure; three-year lookback |
| Trading policy | Blackouts, pre‑clearance, prohibition on hedging/pledging/short selling |
| Retirement eligibility | Retirement-eligible under PCA Pension Plan (as noted for Mr. Hassfurther) |
Indicative equity values under scenarios (12/31/2024 price $225.13):
- Unvested equity (target) at termination (general): $32,379,547 .
- Death/disability: $34,452,633 .
- Change-of-control (double trigger or no qualifying substitute award): $40,185,668 .
Performance & Track Record
| Measure | 2023 | 2024 | Commentary |
|---|---|---|---|
| Net Sales ($M) | $7,802.4 | $8,383.3 | +7.4% YoY; Packaging +7.8% to $7,690.9M |
| EBITDA ($M) | $1,592.8 | $1,626.9 | +$34.1M; ex‑specials $1,603.8 → $1,637.1 |
| Packaging Op Income ($M) | $1,074.3 | $1,101.5 | Volume‑led increase |
| Corrugated Shipments (BSF) | 60.5 | 66.9 | +10.5% YoY |
| EPS excl. special items ($) | $8.70 | $9.04 | Performance basis for EICP |
| TSR (cum.) | 1‑yr: 41.7% | 3‑yr: 81.9% | 5‑yr: 135.2% |
Related-party/other risk indicators:
- No related-party transactions disclosed for Mr. Hassfurther; related items disclosed involve other executives’ family members .
- Say-on-pay support “nearly 94%” in 2024; ≥93% each of last five years .
Investment Implications
- Alignment and performance leverage: High at-risk mix via ROIC/TSR performance units and meaningful unvested equity ($20.7M in performance units at target; $12.0M restricted at 12/31/24) aligns outcomes with relative and absolute value creation . Clawback and anti‑hedging/pledging strengthen alignment .
- Vesting calendar and potential supply: Significant vesting years ahead—TSR units in 2025–2027 and ROIC/restricted in 2025–2028—plus 2024 vest realization of ~48.6k shares ($8.76M) could contribute to periodic insider selling pressure as awards settle .
- Retention and transition: Retirement-eligible with long tenure and newly promoted to President in Feb 2025, indicating near-term continuity; no contractual severance reduces windfall risk; change-of-control uses double trigger .
- Performance linkage: Annual cash incentives tied to EPS excluding special items with a transparent matrix (target $7.50; actual $9.04 → 139% payout), and long-term awards benchmarked to peer-relative TSR and ROIC, supporting pay-for-performance construct through cycles .