Steven M. Guberman
Executive Vice President, Chief Transformation Officer and Nationally Managed Business at 
US Foods Holding
US Foods HoldingExecutive
About Steven M. Guberman
Executive Vice President, Chief Transformation Officer and Nationally Managed Business at US Foods (NEO). US Foods delivered Net Sales of $37.9B (+6.4% YoY) and Adjusted EBITDA of $1.74B (+11.7% YoY) in FY 2024, with cumulative 5-year TSR value of $161.34 per $100 invested, underscoring pay-for-performance alignment in incentive design . Age and education are not disclosed in the proxy; tenure as NEO spans FY 2022–2024 .
Past Roles
Not disclosed in the proxy for Steven M. Guberman .
External Roles
Not disclosed in the proxy for Steven M. Guberman .
Fixed Compensation
Multi-year compensation detail:
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Base Salary ($) | 550,800 | 565,569 | 570,000 |
| Stock Awards – Grant Date Fair Value ($) | 1,750,032 | 1,350,022 | 1,350,010 |
| AIP – Non-Equity Incentive Plan Compensation ($) | 597,522 | 590,549 | 504,721 |
| All Other Compensation ($) | 31,775 | 32,000 | 40,406 (perqs $26,606; 401(k) $13,800) |
2024 AIP targets and payouts:
| Item | FY 2024 |
|---|---|
| Eligible Earnings ($) | 570,000 |
| AIP Target (%) | 100% |
| AIP Target Award ($) | 570,000 |
| AIP Actual Award ($) | 504,721 |
Performance Compensation
Annual Incentive Plan (AIP) – FY 2024 Design and Outcome
| Metric | Weight | Threshold | Target | Maximum | Actual | Payout Contribution |
|---|---|---|---|---|---|---|
| Adjusted EBITDA | 70% | $1.609B | $1.720B | $1.868B | $1.741B | 114% weighted |
| Distribution Cost Per Case | 15% | -$0.102 | -$0.026 | $0.081 | -$0.115 | 0% weighted |
| IND Market Share | 15% | +20 bps | +60 bps | +100 bps | +27 bps | 38% weighted |
| AIP Business Performance Factor | — | — | — | — | — | 86% before safety |
| Safety Modifier (AFR/IFR) | — | -10% (no improvement) | 0% (+14% YoY) | +10% (+31% YoY) | +19% YoY | +3.13% → 89% total |
Long-Term Incentive Plan (LTIP) – PRSUs/RSUs Mix and Performance Metrics
- 2024 LTIP: 50% RSUs and 50% PRSUs; PRSUs tied to Adjusted EBITDA growth rate (70%) and ROIC (30%), with annual growth targets for 2024–2026; payout determined by simple average of annual results (0–200%) .
- 2023 LTIP: identical 50/50 mix; PRSUs with annual growth targets for 2023–2025 (0–200%) .
- Realized performance:
- 2022 PRSUs vested at 157.95% based on 3-year Adjusted EBITDA and Adjusted ROIC growth; Steven earned 26,667 units .
- 2021 Value Creation Awards (TSR stock price hurdles) vested at target; Steven earned 25,373 units (vested March 29, 2025) .
Award-level detail:
| Award | Grant Date | Type | Units/Value | Vesting / Performance Terms |
|---|---|---|---|---|
| FY 2024 LTIP | 3/25/2024 | RSUs | 12,514 | Time-based; 3 equal annual tranches (2025–2027) |
| FY 2024 LTIP | 3/25/2024 | PRSUs | 12,514 (target) | 3-year performance (2024–2026); average annual Adjusted EBITDA and ROIC growth; 0–200% payout |
| FY 2023 LTIP | 3/27/2023 | RSUs | 12,556 (unvested) | Time-based; remaining vest 3/27/2025 and 3/27/2026 |
| FY 2023 LTIP | 3/27/2023 | PRSUs | 18,834 (target unearned) | 3-year performance (2023–2025); vests 2026 at 0–200% of target |
| FY 2022 LTIP | 3/28/2022 | RSUs | 5,628 (unvested) | Final tranche vested 3/28/2025 |
| FY 2022 LTIP | 3/28/2022 | PRSUs | 16,833 (target unearned at FY-end) | Vest 3/28/2025; paid at 157.95% of target |
Equity Ownership & Alignment
- Beneficial ownership: 131,121 shares; less than 1% of outstanding .
- Options and RSUs (near-term/exercisable):
- Options exercisable within 60 days: 270,326 .
- Unvested RSUs expected within 60 days: 16,077 .
- Stock ownership guidelines: executives must hold 3x base salary; all executive officers were in compliance or on track at end of FY 2024; 50% net shares retention until guideline met; “in-the-money” vested options excluded from guideline calc starting April 1, 2025 .
- Anti-hedging/anti-pledging policy: executives prohibited from hedging or pledging USFD stock, aligning with shareholder interests .
Outstanding awards and option profile (as of FY 2024 year-end):
| Instrument | Quantity | Strike | Expiration |
|---|---|---|---|
| Stock Options (2016) | 64,409 | $23.18 | 6/23/2026 |
| Stock Options (2017) | 33,468 | $30.39 | 6/03/2027 |
| Stock Options (2018) | 25,721 | $33.56 | 3/26/2028 |
| Stock Options (2019) | 34,651 | $34.56 | 3/25/2029 |
| Stock Options (2020) | 85,252 | $13.29 | 3/23/2030 |
| Stock Options (2021) | 26,825 | $36.95 | 3/29/2031 |
Employment Terms
Executive severance agreements (double-trigger structure, no fixed-term employment):
- Without cause or for good reason: accrued base salary; prorated AIP; salary continuation for 18 months; fixed bonus equal to 1.5x AIP target; lump-sum COBRA premium for severance period .
- Change in control + qualifying termination (within 18 months): accrued base salary; prorated AIP; lump sum 24 months base salary; fixed bonus equal to 2x AIP target; COBRA premiums for 24 months; equity vesting at target if awards are not assumed or upon qualifying termination (RSUs fully vest; PRSUs vest at target) .
- Restrictive covenants: non-disclosure, non-competition, non-solicitation, non-interference; severance subject to clawback upon covenant breach or fraud-related restatement .
- Clawback policy: Dodd-Frank compliant recovery of erroneously awarded incentive compensation for 3 preceding fiscal years upon accounting restatement .
Scenario-specific cash and equity value illustrations (as of 12/27/2024):
| Scenario | Cash Compensation ($) | Equity Value ($) | COBRA/Benefits ($) | Total ($) |
|---|---|---|---|---|
| Good Reason (no CIC) | 2,214,721 | — | 23,530 | 2,238,251 |
| Not For Cause (no CIC) | 2,214,721 | 1,283,747 | 23,530 | 3,521,998 |
| CIC + Not For Cause | 2,850,000 | 8,747,876 | 31,373 | 11,629,249 |
| Disability/Death | 504,721 | 8,361,552 | 632,000 (LTD) | 9,498,274 |
Compensation Structure Analysis
- Mix shift and at-risk pay: 50% PRSUs in LTIP and AIP weighted to Adjusted EBITDA, cost efficiency (Distribution Cost Per Case), market share (IND Market Share), plus safety modifier, tightening pay-for-performance linkage .
- Say-on-Pay support: 94% approval in 2024, indicating investor endorsement of design .
- No stock options granted in 2024; equity grants limited to RSUs/PRSUs, consistent with broader market governance preferences .
- No excise tax gross-ups; no supplemental retirement benefits; clawback policy implemented; anti-hedging/pledging policies in effect .
Equity Vesting & Potential Selling Pressure
- Near-term RSU vesting: 5,628 units (final 2022 RSU tranche) on 3/28/2025; 12,556 (2023 RSUs) over 2025–2026; 12,514 (2024 RSUs) over 2025–2027—could create periodic tax-withholding sales .
- PRSU events: 16,833 (2022 PRSUs) vested at 157.95% in March 2025; 18,834 (2023 PRSUs) contingent until 2026; 12,514 (2024 PRSUs) contingent until 2027 .
- Options: sizable in-the-money inventory across 2016–2021 vintages; exercise decisions may align with blackout windows and ownership guideline retention requirements .
Related Policies and Perquisites
- Perquisites: 2024 total $40,406 (includes executive allowance and spousal airfare to Company event; plus 401(k) match) .
- Pension: only NEO with defined benefit plan history; pension benefits paid out as part of plan termination in 2024; prior year actuarial change disclosed .
Company Performance Context (Alignment Signals)
- FY 2024 highlights: Net Sales $37.9B (+6.4%), Adjusted EBITDA $1.74B (+11.7%), Adjusted EBITDA margin expanded +22 bps to 4.6%, Net Income $494M; Net leverage at 2.8x; $341M capex; ~$1B share repurchases .
- Strategic metrics embedded in incentives: Adjusted EBITDA, ROIC, Distribution Cost Per Case, IND Market Share, safety .
- Pay versus performance: cumulative TSR index value $161.34 (Company) vs $188.59 (peer group) over five years; CAP tracks equity performance .
Investment Implications
- Alignment: High proportion of at-risk pay (AIP and PRSUs) linked to EBITDA growth, ROIC, market share and safety suggests strong performance orientation; Say-on-Pay support reinforces governance quality .
- Selling pressure: Multiple RSU tranches vest 2025–2027 and realized PRSUs in 2025 may prompt periodic sales for tax; options inventory across older grants could be exercised opportunistically; monitor Form 4s around vest/exercise windows .
- Retention/transition risk: Double-trigger CIC and standard severance (1.5x AIP target; 18 months salary) with restrictive covenants indicate balanced protection and retention; lack of tax gross-ups reduces red flags .
- Governance safeguards: Anti-hedging/pledging and clawback policy mitigate misalignment and restatement risk; executive ownership guidelines (3x salary) and retention requirements bolster “skin-in-the-game” .