Sun Park
TENET HEALTHCAREAbout Sun Park
Sun Park is Executive Vice President and Chief Financial Officer of Tenet Healthcare, appointed CFO in January 2024 after serving as EVP from July–December 2023; he is 49 years old . He previously held executive finance and strategy roles at AmerisourceBergen (EVP Strategy & Development 2012–Sep 2018; Group CFO for Pharmaceutical Distribution & Strategic Global Sourcing since Sep 2018) and leadership roles at MedImmune/AstraZeneca, Charterhouse Group, and Merrill Lynch; he holds B.A. degrees in Economics and Biochemistry from Yale, and prior disclosures also note a B.A. in Mathematical Economics & Molecular Biology (Yale) and an M.A. in Biotechnology (Johns Hopkins) . Under Park’s finance leadership in 2024, Tenet delivered Adjusted EBITDA up 13% year-over-year, consolidated adjusted EBITDA margin of 19.3%, ~$1.1B adjusted free cash flow, and ended 2024 at 2.54x leverage, alongside portfolio transformation and deleveraging . The company’s long-term incentives use Relative TSR vs CHS, HCA, and UHS; the 2022 PRSU cycle (through 2024) ranked first, applying a +25% TSR modifier to performance-based payouts .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Tenet Healthcare | Chief Financial Officer | Jan 2024–present | Leads finance across FP&A, accounting, SEC reporting, treasury, tax, investor relations; supports portfolio transformation and deleveraging |
| Tenet Healthcare | Executive Vice President | Jul 2023–Dec 2023 | Executive leadership transition into CFO role |
| AmerisourceBergen (now Cencora) | EVP & Group CFO, Pharmaceutical Distribution & Strategic Global Sourcing | Sep 2018–Jun 2023 (to Tenet start) | Oversaw commercial/operational finance across global units (> $240B revenue), data & analytics, sourcing |
| AmerisourceBergen | EVP, Strategy & Development | 2012–Sep 2018 | Led corporate strategy/M&A and growth initiatives |
| MedImmune (AstraZeneca) | Corporate development/strategy/R&D portfolio roles | Not disclosed | Advanced corporate strategy and portfolio management |
| Charterhouse Group International | Investment roles | Not disclosed | Private equity experience |
| Merrill Lynch & Company | Investment roles | Not disclosed | Investment banking/finance exposure |
External Roles
| Organization | Role | Years | Notes |
|---|---|---|---|
| Not disclosed | — | — | No public company directorships or external roles disclosed in executive biography |
Fixed Compensation
| Element | 2024 Value | Notes |
|---|---|---|
| Base Salary | $700,000 | Set by HR Committee; no change vs prior year |
| Target Bonus % (AIP) | 100% of salary | Corporate AIP: Adjusted EBITDA (70%), Adjusted FCF Less NCI (30%) |
| Actual 2024 AIP Paid | $1,540,000 | Final corporate funding 200% and individual multiplier 110% |
| Cash Retention Bonus | $500,000 (paid Jun 2024) | Repayable if resigns before Jun 21, 2026 without good reason/for cause |
| Sign-on Bonus | $1,000,000 | Per offer letter |
| All Other Compensation | $247,881 (total) | Includes DCP match $24,231; ERA contribution $140,000; 401(k) match $10,350; relocation benefits $59,184 + tax reimbursement $14,116; other perqs $6,541 |
Performance Compensation
| Program | Metric | Weighting | Target | Actual | Payout Basis | Vesting |
|---|---|---|---|---|---|---|
| 2024 AIP | Adjusted EBITDA | 70% | $3.995B | Funded to 200% pool (weighted 140% for EBITDA) | Corporate pool funding component | Cash paid Feb 2025 |
| 2024 AIP | Adjusted FCF Less NCI | 30% | $588M | Weighted 60% (contributing to 200% pool) | Corporate pool funding component | Cash paid Feb 2025 |
| 2024 AIP | Individual Performance Multiplier | — | — | 110% for Park | Applied to calculated AIP amount | — |
| 2024 Annual LTI | Performance RSUs (Adjusted EPS; Adjusted FCF Less NCI) + Relative TSR modifier | 50% of EVP LTI | Annual goals set each year; TSR vs CHS/HCA/UHS (±25%) | 2022 PRSU cycle earned 199.7% with first-place TSR (+25%) | Earn-out 0–200% per year, then TSR multiplier overall (cap 250%) | Cliff after three-year period; 2024 grants vest Feb 28, 2027 |
| 2024 Annual LTI | Time-Based RSUs | 50% of EVP LTI | — | — | Service-based only | Ratable over 3 years (2024 grant vests annually through 2027) |
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership (as of Mar 3, 2025) | 2,685 shares of common stock; 20,707 RSUs exercisable/settleable within 60 days; <1% of class |
| Relocation RSUs | 20,707 RSUs vest in full upon relocation of primary residence to Dallas area by Sep 1, 2025 |
| Outstanding Equity (12/31/2024) | 14,011 time-based RSUs (2024 grant); 11,675 PRSUs (max first tranche of 2024 award); relocation RSUs 20,707; market values shown using $126.23/share |
| Ownership Guidelines | EVP required to hold 2x base salary; counts time-based RSUs and deferred stock units; excludes unearned PRSUs/options; compliance/on-track confirmed |
| Pledging/Hedging | Prohibited; no director/executive pledged company stock; anti-hedging policy in place |
| Equity Grant Timing | Annual grants typically in Q1; 2024 grant date Feb 28, 2024; no options granted in 2024 |
Employment Terms
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Appointment and Offer Terms:
- Appointed EVP and CFO (EVP Jul 11, 2023; CFO effective Jan 1, 2024) .
- Offer letter: base salary $700,000; target cash bonus 100% of salary; initial RSUs ~$1,670,000 vest on relocation by Sep 1, 2025; recommended 2024 equity ~$2,500,000 split 50% service RSUs / 50% performance RSUs; $1,000,000 cash sign-on; relocation benefits .
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2024 Grants (Plan-Based):
- RSU: 14,011 units on Feb 28, 2024 (service-based) .
- 2024 PRSU: target 4,670 units (first third tranche; performance-based) .
-
Severance and Change-of-Control:
- Executive Severance Plan (ESP) non-cause termination (outside change-of-control): severance period generally 1.5 years; for Park until relocation by Sep 1, 2025, nine months; severance equals base + applicable bonus; pro-rata AIP bonus; continued benefits; outplacement up to $25,000; equity vesting per agreements (time-based RSUs and options vest; PRSUs vest subject to performance with proration) .
- Change-of-control scenario (assumed termination as of Dec 31, 2024): Cash severance $2,800,000; pro-rata bonus $1,540,000; health/welfare $38,096; outplacement $25,000; accelerated equity $4,263,998; no excise tax gross-up; payments subject to cutback to avoid 4999 excise tax as needed .
- Non-compete/non-solicit/confidentiality/non-disparagement covenants required for ESP benefits; durations at least through severance period .
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Clawbacks:
- Rule 10D-1 clawback policy for restatements; separate misconduct-based clawback for AIP/LTI; anti-hedging/anti-pledging enforced .
Investment Implications
- Pay-for-performance alignment appears strong: AIP tied to Adjusted EBITDA and Adjusted FCF Less NCI with 200% corporate pool in 2024, and PRSUs driven by Adjusted EPS/Adjusted FCF Less NCI plus Relative TSR versus direct hospital peers; Park’s individual multiplier was 110% reflecting execution on liquidity, deleveraging, and results delivery .
- Retention risk looks contained near-term: 2024 RSUs vest ratably over three years, and relocation RSUs (20,707) vest by Sep 1, 2025 upon relocation, providing retention hooks; however, the relocation tranche’s single-vesting date could create short-term selling pressure around vesting for tax withholding/liquidity .
- Alignment and governance are investor-friendly: No pledging or hedging, EVP ownership requirement of 2x salary, and robust clawback framework; no excise tax gross-ups on change-of-control; say-on-pay support >96% in 2024 indicates shareholder endorsement of compensation design .
- Change-of-control economics: Double-trigger style protections yield meaningful cash and accelerated equity (illustrative values above), but with cutback to avoid 4999 excise tax; this reduces windfall risk for shareholders while securing executive continuity .
- Execution signals: Park’s background in large-scale finance/strategy at AmerisourceBergen and his 2024 performance review highlight strengthening capital structure, cashflow management, and systems — supportive for ongoing deleveraging and USPI-led growth strategy; continued strong TSR relative to peers in prior LTI cycles reinforces incentive efficacy .