Mauro Atalla
Trane TechnologiesAbout Mauro Atalla
Mauro Atalla (age 56) is Senior Vice President and Chief Technology & Sustainability Officer (CTSO) at Trane Technologies, appointed as an executive officer effective January 6, 2025. He previously led Engineering & Technology at Collins Aerospace, and holds a PhD in Engineering Mechanics (Virginia Tech) and an MBA (Duke), with recognition as ASME Fellow (2023) and SAE International Aerospace Executive Award (2024). TT’s recent performance context: FY2024 revenue $19.8B (+12% y/y), adjusted EBITDA $3.8B (+21%), free cash flow $2.8B (+29.7%), and 2022–2024 CROIC 32.3% (78th percentile) and TSR 101.96% (84th percentile) versus S&P 500 Industrials.
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Collins Aerospace Systems | SVP, Engineering & Technology | 2018–2024 | Led ~21,000 engineers, oversaw technology development, product safety/cybersecurity/sustainability; key integration leadership for Rockwell Collins (2018) and UTC–Raytheon merger (2020). |
External Roles
| Organization | Role/Recognition | Year(s) | Strategic Impact |
|---|---|---|---|
| American Society of Mechanical Engineers (ASME) | Fellow | 2023 | Recognizes technical leadership and contributions in mechanical engineering. |
| SAE International | Aerospace Executive Award (honoring the Wright Brothers) | 2024 | Industry recognition for executive leadership in aerospace innovation. |
Fixed Compensation
| Component | Value | Notes |
|---|---|---|
| Base Salary | $650,000 | Annual rate per offer letter. |
| Target Annual Bonus (AIM) | 75% of base ($487,500) | Range 0–200% based on company/individual performance and sustainability modifier. |
| Annual LTI Target | $1,300,000 | Split 50% RSU/Options ($650k) and 50% PSUs ($650k). |
| Financial Counseling Perq | $11,000 first year ($9,000 subsequent) | Eligible as officer; imputed income for services used. |
| Executive Health & LTD | Eligible | Enhanced executive programs (health, LTD coverage includes incentive comp). |
Performance Compensation
AIM (Annual Incentive Matrix) Design
| Metric | Weighting | Target Basis | Payout Structure | Modifier | Cap |
|---|---|---|---|---|---|
| Revenue | 1/3 | Pre-set enterprise targets | 30% at threshold, 100% at target, 200% at max (interpolated) | Sustainability +/- up to 20% (2024), updated to +/-15% for 2025 | Overall 200% cap |
| Adjusted EBITDA | 1/3 | Pre-set enterprise targets | Same as above | Same | Same |
| Cash Flow | 1/3 | Pre-set enterprise targets | Same as above | Same | Same |
| Individual Objectives | Multiplier | Leadership principles & goals | 0–150% | Included in overall AIM | Included in cap |
2024 outcomes were disclosed for NEOs broadly; Atalla joined in 2025, so his actual 2025 payout is not yet disclosed.
LTI Structure and Vesting
| Instrument | Weight of LTI | Target Value | Vesting / Term | Performance Metrics | Payout Range |
|---|---|---|---|---|---|
| Stock Options | 25% | ~$650,000 (combined with RSUs) | Ratable 1/3 per year over 3 years; 10-year term | Stock price appreciation | N/A (option value contingent on price) |
| RSUs | 25% | ~$650,000 (combined with options) | Ratable 1/3 per year over 3 years; cash dividend equivalents paid only on vesting | Time-based | N/A (time-based units) |
| PSUs (PSP) | 50% | ~$650,000 | 3-year cycle (2025–2027) | Relative CROIC and TSR vs. S&P 500 Industrials (equal weights); 0–200% payout, interpolated | 0–200% |
Company added a special Outperformance Incentive Program (2024–2026) for executive officers and senior leaders tied to enterprise revenue growth above AIM max with leverage guardrails; individual inclusion for Atalla not explicitly disclosed in his offer letter.
Equity Ownership & Alignment
| Policy/Item | Requirement | Status/Notes |
|---|---|---|
| Executive Stock Ownership Guidelines | Multiples of salary; SVP/EVP category at 3x base salary (2023 framework) | Company uses multiple-of-salary approach; executives have 5 years to achieve after promotion. |
| Counting Toward Ownership | Shares, EDCP share equivalents, qualified/nonqualified plan equivalents, unvested RSUs | Stock options and unvested PSUs do not count. |
| Anti-Hedging/Pledging | Hedging and pledging prohibited for directors and executive officers | Explicitly prohibited by policy. |
| EDCP Eligibility | Eligible to defer salary, AIM, PSP awards (timing limits for new executives) | Atalla eligible; must elect within 30 days of hire. |
| Beneficial Ownership / Pledging | Not disclosed for Atalla in available 2025 proxy excerpts | No pledging allowed; Form 4 data not available in retrieved docs. |
Employment Terms
| Term | Detail | Source |
|---|---|---|
| Start Date | January 6, 2025 (appointed Section 16 executive officer) | |
| Employment Nature | At-will (either party may terminate for any/no reason) | |
| Non-Compete | Required agreement as condition of offer | |
| Change-in-Control (CIC) Severance | 2.5x base salary + AIM target; enhanced benefits coverage upon qualifying CIC job loss | |
| Single vs. Double Trigger | Company policy: no single-trigger vesting for cash payments/equity upon CIC | |
| Insider Trading Windows | Restricted from transactions except during designated windows; governed by Insider Trading Policy | |
| Clawback/Recoupment | SEC/NYSE-compliant policy to recover excess incentive compensation upon restatement; broader discretionary recovery for misconduct |
Performance & Track Record
- Appointment press release highlights leadership of 21,000 engineers at Collins Aerospace, responsibility for tech development, product safety/cybersecurity, sustainability, and major post-merger integrations. Education: PhD (Virginia Tech), MBA (Duke). Recognition: ASME Fellow (2023), SAE Aerospace Executive Award (2024).
- TT business performance context used in incentives: FY2024 revenue $19.8B (+12%), adjusted EBITDA $3.8B (+21%), free cash flow $2.8B (+29.7%), 3-year CROIC 32.3% (78th percentile) and TSR 101.96% (84th percentile).
- Sustainability leadership context: CDP ‘A List’ recognition; TIME World’s Most Sustainable Companies; public statements by Atalla reinforcing sustainability embedded in strategy.
Compensation Committee & Governance Signals
- Pay-for-performance design: AIM tied to revenue, adjusted EBITDA, cash flow; modifier linked to 2030 Sustainability Commitments; PSUs based on relative CROIC and TSR vs S&P 500 Industrials; strong emphasis on variable pay.
- Governance practices: robust clawback, anti-hedging/pledging, no single-trigger vesting; no tax gross-ups on CIC payments; capped awards; independent advisor (Meridian) to HRCC.
- Compensation peer group benchmarking (15 industrial peers); the company removed Ametek from 2025 peer group to better align with size/strategy.
Say-on-Pay & Shareholder Feedback
- 2024 Say‑on‑Pay approval: 87% in favor; Board commits to annual vote cadence and ongoing investor outreach.
Investment Implications
- Alignment: Significant at‑risk pay via AIM and LTI (options/RSUs/PSUs) and strict anti‑hedging/pledging supports shareholder alignment; strong clawback reduces misconduct risk.
- Retention and change‑of‑control: CIC multiple (2.5x salary + AIM target) provides economic security, aiding retention; absence of single‑trigger vesting mitigates windfall risk.
- Execution signal: Atalla’s deep engineering/innovation leadership and industry recognition, coupled with TT’s strong CROIC/TSR performance framework, are positive for delivering technology‑led growth in sustainability and thermal management, including AI data center solutions.
- Watchpoints: Actual insider holdings/sales not disclosed in available documents; monitor Form 4 filings for vesting‑related sales and evolving ownership compliance against SVP 3x salary guideline over the 5‑year compliance window.